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Home My WebLink AboutMINUTES - 05162023 - BOS Min PktCALENDAR FOR THE BOARD OF SUPERVISORS CONTRA COSTA COUNTY AND FOR SPECIAL DISTRICTS, AGENCIES, AND AUTHORITIES GOVERNED BY THE BOARD BOARD CHAMBERS, ADMINISTRATION BUILDING, 1025 ESCOBAR STREET MARTINEZ, CALIFORNIA 94553-1229 JOHN GIOIA, CHAIR, 1ST DISTRICT FEDERAL D. GLOVER, VICE CHAIR, 5TH DISTRICT CANDACE ANDERSEN, 2ND DISTRICT DIANE BURGIS, 3RD DISTRICT KEN CARLSON, 4TH DISTRICT MONICA NINO, CLERK OF THE BOARD AND COUNTY ADMINISTRATOR, (925) 655-2075 PERSONS WHO WISH TO ADDRESS THE BOARD DURING PUBLIC COMMENT OR WITH RESPECT TO AN ITEM THAT IS ON THE AGENDA, MAY BE LIMITED TO TWO (2) MINUTES. A LUNCH BREAK MAY BE CALLED AT THE DISCRETION OF THE BOARD CHAIR. The Board meeting will be accessible in-person, via television, and via live-streaming to all members of the public. Board meetings are televised live on Comcast Cable 27, ATT/U-Verse Channel 99, and WAVE Channel 32, and can be seen live online at www.contracosta.ca.gov. Persons who wish to address the board during public comment or with respect to an item on the agenda may comment in person or may call in during the meeting by dialing 888-278-0254 followed by the access code 843298#. A caller should indicate they wish to speak on an agenda item, by pushing "#2" on their phone. Access via Zoom is also available using the following link: https://cccounty-us.zoom.us/j/87344719204 . Those participating via Zoom should indicate they wish to speak on an agenda item by using the “raise your hand” feature in the Zoom app. To provide contact information, please contact Clerk of the Board at clerkoftheboard@cob.cccounty.us or call 925-655-2000. Meetings of the Board are closed-captioned in real time. Public comment generally will be limited to two minutes. Your patience is appreciated. A Spanish language interpreter is available to assist Spanish-speaking callers. A lunch break or closed session may be called at the discretion of the Board Chair. Staff reports related to open session items on the agenda are also accessible online at www.contracosta.ca.gov. ANNOTATED AGENDA & MINUTES May 16, 2023 9:00 A.M. Convene, call to order and opening ceremonies. Closed Session A. CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code § 54957.6) 1. Agency Negotiators: Monica Nino. Employee Organizations: Public Employees Union, Local 1; AFSCME Locals 512 and 2700; California Nurses Assn.; SEIU Locals 1021 and 2015; District Attorney Investigators’ Assn.; Deputy Sheriffs Assn.; United Prof. Firefighters I.A.F.F., Local 1230; Physicians’ & Dentists’ Org. of Contra Costa; Western Council of Engineers; United Chief Officers Assn.; Contra Costa County Defenders Assn.; Contra Costa County Deputy District Attorneys’ Assn.; Prof. & Tech. Engineers IFPTE, Local 21; and Teamsters Local 856. 2. Agency Negotiators: Monica Nino. Unrepresented Employees: All unrepresented employees. B. CONFERENCE WITH LEGAL COUNSEL--EXISTING LITIGATION (Gov. Code § 54956.9(d)(1)) In re Workers’ Compensation Claim of Mark Spaulding1. Inspirational Thought- "Housing is absolutely essential to human flourishing. Without stable shelter, it all falls apart." ~Matthew Desmond, Sociologist Present: John Gioia, District I Supervisor; Candace Andersen, District II Supervisor; Diane Burgis, District III Supervisor; Ken Carlson, District IV Supervisor; Federal D. Glover, District V Supervisor Staff Present:Monica Nino, County Administrator Thomas Geiger, County Counsel CONSIDER CONSENT ITEMS (Items listed as C.1 through C.48 on the following agenda) – Items are subject to removal from Consent Calendar by request of any Supervisor. Items removed from the Consent Calendar will be considered with the Discussion Items. PRESENTATIONS (5 Minutes Each) PRESENTATION recognizing Ethan Logue for receiving the Congressional Award Gold Medal. (Supervisor Andersen) PRESENTATION to celebrate the East Bay Municipal Utility District on their 100th anniversary. (Supervisor Gioia) DISCUSSION ITEMS D.1 CONSIDER accepting the Marsh Creek Corridor Multi-Use Trail Feasibility Study, and direct staff to coordinate with corridor stakeholders to pursue funding opportunities for implementation, as recommended by the Transportation, Water and Infrastructure Committee. (Jamar Stamps, Department of Conservation and Development) Speakers: David Sondergeld; Elizabeth Reilly, Clayton Palms; Juan Pablo Gonsalves Martinez, Save Mt. Diablo; Liz Ritchie; Kit Sondergeld. D.2 ACCEPT the Aging & Adult Services Report as recommended by the Family & Human Services Committee. (Marla Stuart, Employment and Human Services Director) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover D.3 CONSIDER creating a fiscal oversight body for Measure X sales tax as recommended by the Finance Committee, DISCUSS the role of the Measure X Community Advisory Board, and PROVIDE DIRECTION on the proposed oversight body and revisions to the MXCAB Bylaws. (Adam Nguyen, County Finance Director) Speakers: Roxanne Carrillo-Garza, MXCAB; John Dante; Diana Honig, MXCAB; Caller 6770; Rachel Rosekind, MXCAB. RECEIVED the report; ESTABLISHED the Measure X Community Fiscal Oversight Committee: Responsible for reviewing and confirming Measure X revenues and expenditures, including overseeing annual financial audits conducted by an external auditor, verifying conformance with the Measure’s language and intent and with the Board’s direction for specific allocations, and producing an associated annual report. Would not do performance measurement or program evaluation; role is solely financial accountability 1. Shall be composed of five seats, one from each district; the appointment will run in alignment with the term of office from their appointing district (4 year term), and staffed by the County Administrator’s Office 2. No appointee may be a current member of the Measure X Community Advisory Board (MXCAB), a county employee, related to or associated with a grantee, or an elected official 3. County Administrator’s Office will provide staff services to support reporting, public information, website development, and meetings 4. The Committee will not make any funding recommendations5. The Committee will meet quarterly to start, transitioning to semi-annual6. Bylaws will be developed and submitted to the Board of Supervisors. 7. ADOPTED the proposed modifications to the MXCAB bylaws: 1. To shift annual needs assessment to every 3 years or as needed, as determined by the Board of Supervisors 2. Specify that the MXCAB makes general funding recommendations to the Board, with no specific dollar amounts, prior to budget adoption, on any net revenues available for allocation (after cost-of-living adjustments are made for existing allocations) 3. Create a joint session between the Board of Supervisors and MXCAB to receive an annual report from county staff on implementation, milestones, impact, and outcomes of Measure X 4. Prioritize MXCAB eligibility based on lived experience of the harms caused by racial and economic inequities 5. Allows public officials (with membership on other county bodies) to serve on the MXCAB, and clarifies restrictions apply to elected officials and county department heads D. 4 CONSIDER Consent Items previously removed. There were no consent items removed for discussion D. 5 PUBLIC COMMENT (2 Minutes/Speaker) Bara spoke on the history of companship between dogs and people and notes that she has interacted with many of the dogs on the euthanasia list at the county shelter and has found none of them to be aggressive or unadoptable; Svetlana Hill, spoke on the animal welfare crisis in Contra Costa County. She said that the most in-need dogs appear on the euthanasia list almost immediately. She requests the Animal Services Department: 1. Create a more robust foster program. 2. Focus shifted to the most at-need dogs 3. Create more facilities for holding animals; Terese, San Pablo, questions why a behavior specialist has not been hired for the shelter dogs by the Animal Services Department and suggests a tip-line to report illegal backyard breeding, and requested information on how much of Animal Benefits Fund is going to rescue services; Irina Dvolski spoke on the need for greater efforts to adopt out the many dogs at the shelter; Corinne Cooper spoke on the loss of two animal rescue partners in t county and the importance of the realtionship between rescue coordinator and rescue partners; Name Unknown reported on the unsuccessful attempts to obtain a forever home for a german shephard that was subsequently euthanized; Laura spoke on difficulties with staff at the shelter being unprepared and not helper; Veronica Ramos, who has fostered many animals spoke on the cost of spay and nueter being diverted to the rescue organizations; rescue organizations; Lisa Kirk, Contra Costa ASPCA, inquired as to whether non-profit rescue organizations and shelter management have coordinated together; Malu spoke on the cat-trapping services of Lisa Kirk, and the many issues with the shelter including lack of advertising and a grant writer; Caller 6770 spoke on current and upcoming fiscal challenges for California; Yamin Bilal spoke on the loss of charm school volunteers and other losses at the animal shelter; John Dante expressed approval of the thorough public discussion of the Measure X CAB matter before the Board today; Liz Ritchie spoke on an e-mail she sent to each member of the Board that is a documentation of additional information that has been collected from the cast vote records of all of the counties across the nation in which one video specifically mentions Contra Costa County. She claims it is proof of manipulation of the ballot throuigh the tabulation process and requests that voting machines be eliminated, reverting to a paper process. D. 6 CONSIDER reports of Board members. There were no items reported today. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover ADJOURN in memory of Orin Allen Probation Superintendent retiree and 1999 Humanitarian of the Year Adjourned today's meeting at 4:18 p.m. CONSENT ITEMS Road and Transportation C. 1 ADOPT Resolution No. 2023/168 approving the annual county miles in the Total Maintained Mileage for County Roads Report, as recommended by the Public Works Director, Countywide. (No fiscal impact) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover Claims, Collections & Litigation C. 2 RECEIVE public report of litigation settlement agreements that became final during the period January 5, 2023, through April 30, 2023. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 3 DENY claims filed by Michelle Marie Araica, Kim Brown, Noureen D. Eric, Ricardo D. Hernandez-Pina, C. 3 DENY claims filed by Michelle Marie Araica, Kim Brown, Noureen D. Eric, Ricardo D. Hernandez-Pina, Alba Ruth Espinoza Ruiz & Jose Mata, John Muir M.C., Walnut Creek, Sushil Marwaha, James & Jennifer Spinello, and Monique Webb. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover Statutory Actions C. 4 ACCEPT Board members meeting reports for April 2023. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover Honors & Proclamations C. 5 ADOPT Resolution No. 2023/176 proclaim May 2023 as Community Action Month, as recommended by the Employment and Human Services Director. Renee Zeimer, Chair, Economic Opportunity Council. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 6 ADOPT Resolution No. 2023/143 recognizing Ethan Logue for being awarded the Congressional Award Gold Medal, as recommended by Supervisor Andersen. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 7 ADOPT Resolution No. 2023/174 honoring Mary Ann McNett Mason on the occasion of her retirement after 35 years of distinguished service to Contra Costa County, as recommended by the County Counsel. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 8 ADOPT Resolution No. 2023/179 honoring the East Bay Municipal Utility District on their 100th anniversary, as recommended by Supervisor Gioia. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 9 ADOPT Resolution No. 2023/180 recognizing May 2023 as Jewish American Heritage Month, as recommended by Supervisor Andersen. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 10 ADOPT Resolution No. 2023/181 recognizing the 60th Anniversary of the Contra Costa Crisis Center, as recommended by Supervisors Andersen and Gioia. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover Appointments & Resignations C. 11 ACCEPT the resignation of David Leimsieder, DECLARE a vacancy in the District IV Seat on the Family And Children's Trust Committee for a term ending September 30, 2023, and DIRECT the Clerk of the Board to post the vacancy, as recommended by Supervisor Carlson. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 12 ESTABLISH an ad hoc committee of the Board of Supervisors titled the "Contra Costa Resilient Shoreline Ad Hoc Committee" to address sea level adaptation and resilience composed of two County Supervisors with staff support by the Department of Conservation and Development and APPOINT Supervisor John Gioia as Chair, and Supervisor Diane Burgis as Vice-Chair of the committee, as recommended by Supervisors Gioia and Burgis. (100% Measure X-Climate Equity and Resilience Investment Allocation) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 13 REAPPOINT Jerry Holcombe to Seat 5, John Phillips to Seat 9, and Jay Kwon to the Alternate to 4, 5 ,6 & 9 Seat on the Contra Costa County Employees' Retirement Association Board of Trustees to new three year terms ending on June 30, 2026, as recommended by the Internal Operations Committee. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover Personnel Actions C. 14 ADOPT Position Adjustment Resolution No. 26148 to cancel one limited-term Elections Services Supervisor (represented) position in the Clerk-Recorder Department. (No budgetary impact) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover Leases C. 15 APPROVE and AUTHORIZE the Public Works Director, or designee, to execute a lease with Pacific Clinics for approximately 2,098 square feet of space in the County-owned property located at 25 Allen Street, Martinez, in exchange for services to children and adolescents with behavioral health issues. (No fiscal impact) RELISTED to a date uncertain. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover Grants & Contracts APPROVE and AUTHORIZE execution of agreements between the County and the following agencies for receipt of fund and/or services: C. 16 ADOPT Resolution No. 2023/146 to approve and authorize the Employment and Human Services Director, C. 16 ADOPT Resolution No. 2023/146 to approve and authorize the Employment and Human Services Director, or designee, to execute a revenue agreement amendment with the California Department of Community Services and Development to accept additional funds in the amount of $39,848 with a new total payment limit $4,486,754 and no changes to contract term. (100% Federal) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 17 ADOPT Resolution No. 2023/175 approving and authorizing the District Attorney, or designee, to execute a contract with the California Victim Compensation Board in an amount not to exceed $460,977 to fund Victim Witness Assistance Program Specialist positions for the period July 1, 2023 through June 30, 2026. (100% State) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 18 ADOPT Resolution No. 2023/178 authorizing the Health Services Director, or designee, to submit an application to the California Department of Housing and Community Development, accept Homekey program funding in an amount up to $16,000,000, and enter into any amendments as required by the State for funding, for the provision of supportive housing and support services to persons in Contra Costa County experiencing homelessness through June 30, 2026. (No County match) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover APPROVE and AUTHORIZE execution of agreement between the County and the following parties as noted for the purchase of equipment and/or services: C. 19 APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract renewal with Orantes, LLC dba Tiny Toes Preschool, in an amount not to exceed $384,064 to provide Childcare services, for the period July 1, 2023 through June 30, 2024. (36% Federal, 64% State) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 20 APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract amendment, with Contra Costa Family Justice Alliance, to increase the payment limit by $132,480 to a new payment limit of $1,015,473 for additional services to victims of interpersonal violence and their families, with no change to the term. (10% County General Fund, 90% Blue Shield Foundation Grant Fund) Speaker: Caller 6770. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 21 APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract with Richmond Elementary School in an amount not to exceed $408,672 to provide State Preschool services for the term July 1, 2023 through June 30, 2024. (100% State) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 22 APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract with Meals on Wheels Diablo Region in an amount not to exceed $250,629 for the Senior Nutrition Infrastructure Grant Program for the period May 17, 2023 through December 31, 2023. (100% State) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 23 APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract with Paradise Adolescent Homes, Inc., in an amount not to exceed $1,192,436 to provide residential placement and supportive services for Contra Costa County dependent foster youth for the period July 1, 2023 through June 30, 2024. (30% County General Fund, 70% State) Speaker: Caller 6770 AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 24 APPROVE and AUTHORIZE the Health Services Director, or designee, to execute a contract with Coffey Communications, Inc., in an amount not to exceed $220,000 to provide professional design, publication, distribution and technical assistance for Contra Costa Health Plan Member Services' Health Sense Newsletter for the period July 1, 2023 through June 30, 2024. (100% Contra Costa Health Plan Enterprise Fund II) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 25 APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract with West Contra Costa County Meals on Wheels in an amount not to exceed $357,934 for Older Americans Act Title IIIC-2 Senior Nutrition Home Delivered Meals Program for the period July 1, 2023 through June 30, 2024. (35% State, 65% Federal) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 26 APPROVE and AUTHORIZE the Purchasing Agent, or designee, to execute on behalf of the Health Services Director, a purchase order with Beckman Coulter, Inc. in the amount of $250,000 for the use of AUTION MAX AX-4030 analyzers and purchase of reagents and supplies for the clinical laboratory at the Contra Costa Regional Medical Center for the period from May 15, 2023, through May 14, 2028. (100% Hospital Enterprise Fund I) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 27 APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to enter into a contract with employers participating in the Contra Costa Works Subsidized Employment Program not to exceed a cumulative payment limit of $857,533 to reimburse employers up to $21 per hour for those CalWORKs clients placed with employers during the period July 1, 2023 through June 30, 2024. (100% Federal) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 28 APPROVE and AUTHORIZE the Conservation and Development Director, or designee, to execute legal documents to provide a Housing Opportunities for Persons with AIDS loan of $600,000 to Aspen Drive Housing, Inc., a California nonprofit public benefit corporation, to rehabilitate the Aspen Court Apartments located at 121 Aspen Drive in the unincorporated community of Pacheco. (100% Federal funds) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 29 APPROVE and AUTHORIZE the Health Services Director, or designee, to execute a contract with UniHealth, Licensed Clinical Social Worker, Professional Corporation (dba UniHealth, LCSW, PC), in an amount not to exceed $400,000 to provide therapeutic behavioral health services for Contra Costa Health Plan members and County recipients for the period June 1, 2023 through May 31, 2025. (100% Contra Costa Health Plan Enterprise Fund II) Speaker: Caller 6770 AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 30 APPROVE and AUTHORIZE the Clerk of the Board, or designee, to execute a contract amendment with Granicus, Inc., extending the contract term through May 16, 2026, with no change to the payment limit of $825,816 for continued meeting and agenda management. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 31 APPROVE and AUTHORIZE the Purchasing Agent to execute, on behalf of the Public Defender, a purchase order amendment with Thomson Reuters West, to increase the payment limit by $90,000 to a new payment limit of $335,196 for the purchase of a subscription to an online law library, including access to legal publications, updates and materials. (100% General Fund) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 32 APPROVE and AUTHORIZE the Health Services Director, or designee, to execute a contract with Lisa Wang, M.D., in an amount not to exceed $254,655 to provide outpatient psychiatric services for County patients in West County for the period July 1, 2023 through June 30, 2024. (100% Mental Health Realignment) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 33 APPROVE and AUTHORIZE the Purchasing Agent, or designee to execute, on behalf of the Department of Child Support Services (DCSS), a purchase order with Allsteel, in care of Sam Clar Office Furniture Inc. in an amount not to exceed $825,514 for the purchase, delivery, and installation of Sit-Stand stations as well as work surfaces, pedestals, office landscape partitioning and other office furniture for the department's office refresh project. (66% Federal, 34% State) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 34 APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to enter into a contract with employers participating in the Expanded Contra Costa WORKs Subsidized Employment Program not to exceed a cumulative payment limit of $960,666 to reimburse employers up to to up to $21 per hour for those CalWORKs clients placed with employers during the period July 1, 2023 through June 30, 2024. (83% Federal, 17% State) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 35 APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract with Star View Behavioral Health, Inc., in an amount not to exceed $476,453 to provide residential placement services for the period July 1, 2023 through June 30, 2024. (70% State, 30% County General Fund) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 36 APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract with KinderCare Learning Centers LLC in an amount not to exceed $893,989 to provide Head Start and Early Head Start services as well as State General Childcare program services for the period July 1, 2023 through June 30, 2024. (61% State, 39% Federal) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 37 APPROVE and AUTHORIZE the Health Services Director, or designee, to execute a contract with The Alliance for Community Wellness (dba La Familia), in an amount not to exceed $304,209 to provide substance use disorder treatment services for adolescents needing outpatient services for the period July 1, 2023 through June 30, 2024. (100% Contra Costa Probation) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 38 APPROVE and AUTHORIZE the Purchasing Agent to execute, on behalf of the Sheriff-Coroner, a purchase order with Bay Cities Produce, in an amount not to exceed $500,000, to provide fresh produce and related items for the County's adult detention facilities for the period May 1, 2023 through April 30, 2024 (100% General Fund). AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 39 APPROVE and AUTHORIZE the County Administrator, or designee, to enter into a contract amendment with Ernst and Young, LLP, increasing the payment limit by $500,000, from $1,500,000 to an amount not to exceed $2,000,000, for COVID-19 cost recovery consulting services for the period June 2, 2020 through June 30, 2024. (100% Federal) Speaker: Caller 6770 AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 40 APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract with Aspiranet, a non-profit corporation, in an amount not to exceed $2,330,000, to provide emergency shelter receiving center services for children taken into protective custody or transitioning through foster placements for the period July 1, 2023 through June 30, 2024. (70% State, 30% County General Fund) Speaker: Caller 6770 AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 41 APPROVE and AUTHORIZE the Auditor-Controller, or designee, to pay stipends in an amount not to exceed $150 per Resource Family or birth parent for the successful completion of heritage training as approved by the Employment and Human Services Department for a total payment amount not to exceed $25,000 for the period July 1, 2023 through June 30, 2025. (38% Federal, 44% State, 18% County) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover Other Actions C. 42 ACCEPT the fiscal year 2022/23 3rd Quarter report on American Rescue Plan Act (ARPA) and Infrastructure, Investment and Jobs Act (IIJA) funding to Contra Costa County, as recommended by the County Administrator. (No fiscal impact) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 43 APPROVE amendments to the Contra Costa Children and Families Commission (First 5) Conflict of Interest C. 43 APPROVE amendments to the Contra Costa Children and Families Commission (First 5) Conflict of Interest Code, as recommended by County Counsel. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 44 ADOPT Resolution No. 2023/169 to authorize City of Brentwood’s application to the Department of Water Resources for funding to implement the East Contra Costa Groundwater Sustainability Plan; and AUTHORIZE the Auditor-Controller, or designee, to pay $7,330.39 to Ludorff & Scalmanini Consulting Engineers for preparation of the County’s and Water Agency’s comments on the State of California, Department of Water Resources Delta Conveyance Project draft environmental impact report. (100% Water Agency funds) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 45 APPROVE and AUTHORIZE the Conservation and Development Director, or designee, to execute legal documents and take related actions to provide a HOME Investment Partnerships Act (HOME) loan in the amount of $2,636,280 to Pinole Housing, L.P., a California limited partnership, for the construction of an affordable housing development known as Pinole Housing (formerly known as 811 San Pablo) located at 811 San Pablo Avenue in the City of Pinole. (100% Federal funds) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 46 APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to enter into a software license agreement with Citrix Systems, Inc. for a remote desktop application, for the period April 16, 2023 through April 15, 2026. (No fiscal impact) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 47 APPROVE the amended Medical Staff Bylaws and Rules and Regulations to address operational needs, as recommended by the Medical Executive Committee, the Joint Conference Committee, and Health Services Director. AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover C. 48 APPROVE and AUTHORIZE the Health Services Director, or designee, to execute a one-day use permit with the City of San Pablo for the use of Chattleton Lane, behind the San Pablo Library, for a community health, wellness and resource fair on June 10, 2023. (No fiscal impact) AYE: District I Supervisor John Gioia, District II Supervisor Candace Andersen, District III Supervisor Diane Burgis, District IV Supervisor Ken Carlson, District V Supervisor Federal D. Glover GENERAL INFORMATION The Board meets in all its capacities pursuant to Ordinance Code Section 24-2.402. Any disclosable public records related to an open session item on a regular meeting agenda and distributed by the Clerk of the Board to a majority of the members of the Board of Supervisors less than 96 hours prior to that meeting are available for public inspection at 1025 Escobar Street, First Floor, Martinez, CA 94553, during normal business hours. All matters listed under CONSENT ITEMS are considered by the Board to be routine and will be enacted by one motion. There will be no separate discussion of these items unless requested by a member of the Board before the Board votes on the motion to adopt. 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Members of the Board of Supervisors who have received, and applicants, contractors or their agents who have made, campaign contributions totaling more than $250 to a Board member since January 1, 2023, are required to disclose that fact for the official record of the subject proceeding. Disclosures must include the amount of the campaign contribution and identify the recipient Board member, and may be made either in writing to the Clerk of the Board of Supervisors before the subject hearing or by verbal disclosure at the time of the hearing. STANDING COMMITTEES The Airport Committee (Supervisors Karen Mitchoff and Diane Burgis) meets quarterly on the second Wednesday of the month at 11:00 a.m. at the Director of Airports Office, 550 Sally Ride Drive, Concord. The Family and Human Services Committee (Supervisors John Gioia and Candace Andersen) meets on the fourth Monday of the month at 9:00 a.m. in Room 110, County Administration Building, 1025 Escobar Street, Martinez. The Finance Committee (Supervisors John Gioia and Karen Mitchoff) meets on the first Monday of the month at 9:00 a.m. in Room 110, County Administration Building, 1025 Escobar Street, Martinez. The Hiring Outreach Oversight Committee (Supervisors Federal D. Glover and John Gioia) meets quarterly on the first Monday of the month at 10:30 a.m.. in Room 110, County Administration Building, 1025 Escobar Street, Martinez. The Internal Operations Committee (Supervisors Candace Andersen and Diane Burgis) meets on the second Monday of the month at 10:30 a.m. in Room 110, County Administration Building, 1025 Escobar Street, Martinez. The Legislation Committee (Supervisors Karen Mitchoff and Diane Burgis) meets on the second Monday of the month at 1:00 p.m. in Room 110, County Administration Building, 1025 Street, Martinez. The Public Protection Committee (Supervisors Andersen and Federal D. Glover) meets on the fourth Monday of the month at 10:30 a.m. in Room 110, County Administration Building, 1025 Escobar Street, Martinez. The Sustainability Committee (Supervisors Federal D. Glover and John Gioia) meets on the fourth Monday of every other month at 1:00 p.m. in Room 110, County Administration Building, 1025 Escobar Street, Martinez. The Transportation, Water & Infrastructure Committee (Supervisors Candace Andersen and Karen Mitchoff) meets on the The Transportation, Water & Infrastructure Committee (Supervisors Candace Andersen and Karen Mitchoff) meets on the second Monday of the month at 9:00 a.m. in Room 110, County Administration Building, 1025 Escobar Street, Martinez. AGENDA DEADLINE: Thursday, 12 noon, 12 days before the Tuesday Board meetings. Glossary of Acronyms, Abbreviations, and other Terms (in alphabetical order): Contra Costa County has a policy of making limited use of acronyms, abbreviations, and industry-specific language in its Board of Supervisors meetings and written materials. Following is a list of commonly used language that may appear in oral presentations and written materials associated with Board meetings: AB Assembly Bill ABAG Association of Bay Area Governments ACA Assembly Constitutional Amendment ADA Americans with Disabilities Act of 1990 AFSCME American Federation of State County and Municipal Employees AICP American Institute of Certified Planners AIDS Acquired Immunodeficiency Syndrome ALUC Airport Land Use Commission AOD Alcohol and Other Drugs ARRA American Recovery & Reinvestment Act of 2009 BAAQMD Bay Area Air Quality Management District BART Bay Area Rapid Transit District BayRICS Bay Area Regional Interoperable Communications System BCDC Bay Conservation & Development Commission BGO Better Government Ordinance BOS Board of Supervisors CALTRANS California Department of Transportation CalWIN California Works Information Network CalWORKS California Work Opportunity and Responsibility to Kids CAER Community Awareness Emergency Response CAO County Administrative Officer or Office CCCPFD (ConFire) Contra Costa County Fire Protection District CCHP Contra Costa Health Plan CCTA Contra Costa Transportation Authority CCRMC Contra Costa Regional Medical Center CCWD Contra Costa Water District CDBG Community Development Block Grant CFDA Catalog of Federal Domestic Assistance CEQA California Environmental Quality Act CIO Chief Information Officer COLA Cost of living adjustment ConFire (CCCFPD) Contra Costa County Fire Protection District CPA Certified Public Accountant CPI Consumer Price Index CSA County Service Area CSAC California State Association of Counties CTC California Transportation Commission dba doing business as DSRIP Delivery System Reform Incentive Program EBMUD East Bay Municipal Utility District ECCFPD East Contra Costa Fire Protection District EIR Environmental Impact Report EIS Environmental Impact Statement EMCC Emergency Medical Care Committee EMS Emergency Medical Services EPSDT Early State Periodic Screening, Diagnosis and Treatment Program (Mental Health) et al. et alii (and others) FAA Federal Aviation Administration FEMA Federal Emergency Management Agency F&HS Family and Human Services Committee First 5 First Five Children and Families Commission (Proposition 10) FTE Full Time Equivalent FY Fiscal Year GHAD Geologic Hazard Abatement District GIS Geographic Information System HCD (State Dept of) Housing & Community Development HHS (State Dept of ) Health and Human Services HIPAA Health Insurance Portability and Accountability Act HIV Human Immunodeficiency Syndrome HOV High Occupancy Vehicle HR Human Resources HUD United States Department of Housing and Urban Development IHSS In-Home Supportive Services Inc. Incorporated IOC Internal Operations Committee ISO Industrial Safety Ordinance JPA Joint (exercise of) Powers Authority or Agreement Lamorinda Lafayette-Moraga-Orinda Area LAFCo Local Agency Formation Commission LLC Limited Liability Company LLP Limited Liability Partnership Local 1 Public Employees Union Local 1 LVN Licensed Vocational Nurse MAC Municipal Advisory Council MBE Minority Business Enterprise M.D. Medical Doctor M.F.T. Marriage and Family Therapist MIS Management Information System MOE Maintenance of Effort MOU Memorandum of Understanding MTC Metropolitan Transportation Commission NACo National Association of Counties NEPA National Environmental Policy Act OB-GYN Obstetrics and Gynecology O.D. Doctor of Optometry OES-EOC Office of Emergency Services-Emergency Operations Center OPEB Other Post Employment Benefits OSHA Occupational Safety and Health Administration PARS Public Agencies Retirement Services PEPRA Public Employees Pension Reform Act Psy.D. Doctor of Psychology RDA Redevelopment Agency RFI Request For Information RFP Request For Proposal RFQ Request For Qualifications RN Registered Nurse SB Senate Bill SBE Small Business Enterprise SEIU Service Employees International Union SUASI Super Urban Area Security Initiative SWAT Southwest Area Transportation Committee TRANSPAC Transportation Partnership & Cooperation (Central) TRANSPLAN Transportation Planning Committee (East County) TRE or TTE Trustee TWIC Transportation, Water and Infrastructure Committee UASI Urban Area Security Initiative VA Department of Veterans Affairs vs. versus (against) WAN Wide Area Network WBE Women Business Enterprise WCCTAC West Contra Costa Transportation Advisory Committee November 2022 Dra� Public Comments From: To:DCD Transportation Cc: Subject:Bike Trail Marsh Creek road Date:Tuesday, October 25, 2022 8:28:51 AM As a homeowner off Marsh Creek Road that has dealt with many traffic issues as well as lack of Contra Costa County support for problems with roadways I am very surprised to see this proposal. In addition, our land runs next to Marsh Creek and am double surprised no notice was sent to the property owners. I do not support the plan as laid out. While I am a bike rider and would love to be able to ride this corridor, it is unsafe. The county has never taken road safety seriously and I find this a dangerous plan. I am also on the Watershed council and support our environment as well as having our community be able to recreate in the outdoors. In order to have this plan be worthy of consideration there is so much missing in ensuring rights of property owners are protected as well as all the citizens that live along the path way. To date it is a crap shoot to depart our road “Aspara Drive” and enter onto Marsh Creek. Bikes make this area a huge danger. We have met with county Supervisors and CHP on the dangers on Marsh creek road which are yet to be improved. Again, I would love such a pathway to exist yet my vote is no with the current plan. Best Regards, David Sondergeld Strategic Technology Executive, Board Advisor From:Alicia Nuchols To:Jamar Stamps Subject:Re: Marsh Creek Public Draft Date:Tuesday, October 25, 2022 3:23:01 PM Attachments:image001.png image003.png image004.png image005.png image006.png image007.png Good afternoon Jamar, We’ve looked at the draft report and it looks good. Supervisor Burgis wanted to make sure that it mentioned the installation of paved pullout areas for traffic enforcement in the improvements section with the other recommended improvements which I noted was in the report. We have no other questions at this time. Let me know if we can help share the document for public input. Best, Alicia~ Alicia Nuchols~ Deputy Chief of Staff Office of Supervisor Diane Burgis Contra Costa County, District 3 3361 Walnut Boulevard, Suite 140 Brentwood, CA 94513 Phone (925) 655-2330 Direct (925) 655-2335 From: Jamar Stamps <Jamar.Stamps@dcd.cccounty.us> Date: Monday, October 17, 2022 at 5:54 PM To: Alicia Nuchols <Alicia.Nuchols@bos.cccounty.us>, Lia Bristol <Lia.Bristol@bos.cccounty.us> Subject: FW: Marsh Creek Public Draft Good evening Alicia and Lia, Its been a while but we’re finally close to wrapping up the Marsh Creek Trail Feasibility Study. A public draft is available at the link below. I’m working with the consultant (Fehr & Peers) on getting the public draft out this week and setting up a virtual public workshop in early November. However, before we send the draft out for public review I wanted to ask if you think either of your offices would want to review and possibly discuss the draft plan exclusively before we publish for public comment. If you would like to set up a virtual call to discuss before we publish let me know what dates/times work best for you in October. If you could let me know sometime this week that’d be great. Thank you, please let me know if you have any questions. Jamar I. Stamps, AICP Contra Costa County Conservation & Development Department 30 Muir Rd., 2nd Floor Martinez, CA. 94553-4601 Main: (925) 655-2917 Cell: (925) 877-8250 What should Contra Costa County be and look like in 20 years? Check out EnvisionContraCosta2040.org and let us know! From: Ryan McClain <R.McClain@fehrandpeers.com> Sent: Sunday, October 16, 2022 1:19 PM To: Jamar Stamps <Jamar.Stamps@dcd.cccounty.us> Cc: Kari McNickle <K.McNickle@fehrandpeers.com> Subject: Marsh Creek Public Draft Hi Jamar, I’ve saved a pdf of the Public Draft report and a combined appendix in the shared folder here: Marsh Creek Report Probably best to keep them as separate files given the size. Let me know if you have any questions or need anything else. Thanks! Ryan Ryan McClain, PE | Principal 100 Pringle Avenue, Suite 600 | Walnut Creek, CA 94596 Direct: 925.357.3384 | Main: 925.930.7100 Be engaged in our efforts to improve communities: | | | www.fehrandpeers.com From: To:DCD Transportation Subject:Morgan Terrifies Rd Date:Friday, November 4, 2022 2:27:16 AM I can’t tell looking at the map, would there be an access point at the intersection of Morgan Territory and Marsh Creek? There are a huge number of cyclists (and equestrians) that would benefit Sent from my iPhone From: To:DCD Transportation Subject:I am at work Thursday during the meeting regarding the trail near Marsh Creek. Date:Thursday, November 3, 2022 8:31:38 PM Any chance there is a map of the proposed route somewhere and information regarding the proposed width and surface? I live on Morgan Territory and walk and ride to Clayton a few times a week, I’m Mai Lu interested in that section Thanks, Pat Duggan From:margaret kruse To:Jamar Stamps Subject:Zoom meeting Date:Monday, November 7, 2022 11:35:08 AM Hi Jamar, Perhaps you are aware of this but there is a fair amount of buzz in our Marsh Creek Neighbors group about the trail and the potential for eminent domain. The group is holding a zoom meeting with an attorney this week, prior to your county zoom. I am sharing this with you in the hopes that your presentation will address this concern clearly and upfront. I know the feasibility study implies there would not be eminent domain, but what kind of actual assurances exist? Also, even though I expressed this to you and the consultants at the time of the first draft, I was dismayed to see that the proposed alignment maps are still so poorly done. It is so difficult to view the actual proposed alignments in some cases due to the sizing of the map online as well as the use of colors. Perhaps it is yet another technology challenge I am having. I just can’t see why the maps in the study documents are not larger and with better clarity. See you later int he week! From:Toni Chimienti To:Jamar Stamps Subject:Re: Map of proposed trail Date:Monday, November 7, 2022 8:56:40 AM Attachments:image002.png image002.png image002.png Thank you! Sent from my iPhone On Nov 7, 2022, at 8:54 AM, Jamar Stamps <Jamar.Stamps@dcd.cccounty.us> wrote: Because of the amount of information on these maps a single map would be too large of a file. The best map to get a visual scope of the study corridor is in Figure 6-1 of the draft study. You bring up a good point though, we’ll try to see if we can get a manageable web version of the entire study corridor so it can be viewed in one shot. Thank you, -Jamar What should Contra Costa County be and look like in 20 years? Check out EnvisionContraCosta2040.org and let us know! From: Toni Chimienti Sent: Monday, November 7, 2022 8:44 AM To: Jamar Stamps <Jamar.Stamps@dcd.cccounty.us> Subject: Re: Map of proposed trail Hi Jamar, Thank you for getting back to me. I was able to find this, but I had wanted to see the whole map of the proposed trail, not segments at a time. Is there one like that available to the public? Thanks! Toni Sent from my iPhone On Nov 7, 2022, at 8:38 AM, Jamar Stamps <Jamar.Stamps@dcd.cccounty.us> wrote: Good morning Toni, Sorry the website is giving you trouble. The map files are very large documents so it may take a few minutes to load. If you go to Appendix C Clayton Palms is in the "Clayton Palms to Round Valley" corridor map (see below). Thank you, Jamar I. Stamps, AICP Contra Costa County Conservation & Development Department 30 Muir Rd., 2nd Floor Martinez, CA. 94553-4601 Main: (925) 655-2917 Cell: (925) 877-8250 What should Contra Costa County be and look like in 20 years? Check out EnvisionContraCosta2040.org and let us know! -----Original Message----- From: Toni Chimienti Sent: Friday, November 4, 2022 4:20 PM To: Jamar Stamps <Jamar.Stamps@dcd.cccounty.us> Subject: Map of proposed trail Hello, I’m having difficulty seeing the trail in its entirety. I live at Clayton Palms and would like to see exactly what is proposed before I weigh in. Can you send me a link or copy of the map. This website is not user friendly and I only could see a tiny segment. Very unrealistic. If this is not something that you can help me with, please point me in the direction of the person that can. Thank you. Toni Chimienti Sent from my iPhone From:Kari McNickle To:Erik Owens Cc:Jamar Stamps Subject:RE: Marsh Creek Draft Plan Workshop Confirmation Date:Thursday, November 10, 2022 5:14:52 PM Thank you for your comment, Erik! I am adding Jamar to this email as well, and we will add this to our log. Best, Kari Kari McNickleAssociate Transportation PlannerD 925.357.3374 | C 209.406.3951k.mcnickle@fehrandpeers.com From: Erik Owens Sent: Thursday, November 10, 2022 5:13 PM To: Kari McNickle <K.McNickle@fehrandpeers.com> Subject: Re: Marsh Creek Draft Plan Workshop Confirmation [EXTERNAL EMAIL] Hello Kari, My comments: As a citizen of Concord, and Contra Costa Country, I appreciate these efforts. I used to ride my bike through this area. After circumnavigating MT Diablo multiple times I have stopped. I have had repeated experiences in this area where I am climbing on a bike over a hill and have had drivers pass me at very high speeds, tires squalling, on a road with no shoulder. We need to prioritize bikes and pedestrian traffic over vehicle traffic, or we will keep seeing repeated fatalities on our roads. Thank you, Erik O On Mon, Nov 7, 2022 at 9:19 PM Kari McNickle <no-reply@zoom.us> wrote: Hello Erik Owens, Thank you for registering for Marsh Creek Draft Plan Workshop. You can find information about this meeting below. Marsh Creek Draft Plan Workshop Date & Time Nov 10, 2022 04:00 PM Pacific Time (US and Canada) Meeting ID 841 0774 4731 Add to Calendar(.ics) | Add to Google Calendar | Add to Yahoo Calendar You can cancel your registration at any time. Please submit any questions to: k.mcnickle@fehrandpeers.com. 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All rights reserved. -- From:Bruce 0le Ohlson To:Jamar Stamps Cc:BEB Advocacy Department; Robert Prinz; Delta Pedalers Bicycle Club; Bike Concord; EBRPD Sean Dugan; John Cunningham; SupervisorMitchoff; BoS3 Diane Burgis Subject:Marsh Creek Road Feasibility Study Date:Wednesday, November 16, 2022 9:53:12 AM Jamar, You conducted yourself well during the Marsh Creek Road Feasibility Study. Man, you have a lot of freaked out land owners with whom to deal. www.contracosta.ca.gov/MCT_Study So, if we can't build a Class 1 trail entirely separate from Marsh Creek Road between EBRPD's Round Valley Preserve and the town of Clayton, the next thing to study is building a Class 4 trail along the side of Marsh Creek Road where we are not allowed access to private property. Such a "trail" would provide a lower quality experience for the trail user, however, building the required segments as Class 4 would provide a continuous link between the two points, which is our ultimate goal. I'll leave it to you and your planners to determine how much to widen Marsh Creek Road where the Class 4 trail is installed. On the one hand, we do not want to have to rip out and replace the Class 4 at some time in the future if we decide to upgrade and widen this road. On the other hand, a decision to upgrade Marsh Creek Road might include authorization to put the trail outside of the road corridor through the condemnation process wherever needed. That decision is for the policy makers, though, not the end users. A principal concern for whatever trail corridor with which we end up is with the safety of the trail user as he or she crosses Marsh Creek Road. This concern is principal whether or not we have the trail completely off road (Class 1) or need to include portions of the trail along the road (Class 4). Please include a traffic signal at each crossing as part of the planning and cost estimate for construction. And, of course, Class 4 trails have reinforced concrete K-rail separating the vehicle portion of the road from the people portion of the road. As you know, there are only four routes between East County and Central County. Marsh Creek Road is one. The others are Kirker Pass, Bailey Road, and Willow Pass. Alas, currently, the SAFEST route includes riding one's bicycle along the shoulder of a one-mile segment of 8-lane Highway 4. It is hoped that the construction of a trail paralleling the Marsh Creek Road corridor will help to remedy this. Thank you very much for all the effort and work you are putting into this study. All best wishes, ~0le Bruce "0le" Ohlson Bike East Bay Delta Pedalers Bicycle Club Contra Costa Countywide Bicycle Advisory Committee CCTA Bicycle & Pedestrian Advisory Committee Caltrans District 4 Bicycle Advisory Committee TRANSPLAN appointee to Highway 4 Integrated Corridor Management Study Healthy and Livable Pittsburg Collaborative From:Erik Owens To:Bruce 0le Ohlson Cc:Jamar Stamps; BEB Advocacy Department; Robert Prinz; Delta Pedalers Bicycle Club; Bike Concord; EBRPD Sean Dugan; John Cunningham; SupervisorMitchoff; BoS3 Diane Burgis Subject:Re: Marsh Creek Road Feasibility Study Date:Wednesday, November 16, 2022 10:04:02 AM The safety issue was mentioned on this road. I have cycled through here a few times, and wonder how many people have been injured/killed. Thank you, Erik O On Wed, Nov 16, 2022 at 9:53 AM Bruce 0le Ohlson wrote: Jamar, You conducted yourself well during the Marsh Creek Road Feasibility Study. Man, you have a lot of freaked out land owners with whom to deal. www.contracosta.ca.gov/MCT_Study So, if we can't build a Class 1 trail entirely separate from Marsh Creek Road between EBRPD's Round Valley Preserve and the town of Clayton, the next thing to study is building a Class 4 trail along the side of Marsh Creek Road where we are not allowed access to private property. Such a "trail" would provide a lower quality experience for the trail user, however, building the required segments as Class 4 would provide a continuous link between the two points, which is our ultimate goal. I'll leave it to you and your planners to determine how much to widen Marsh Creek Road where the Class 4 trail is installed. On the one hand, we do not want to have to rip out and replace the Class 4 at some time in the future if we decide to upgrade and widen this road. On the other hand, a decision to upgrade Marsh Creek Road might include authorization to put the trail outside of the road corridor through the condemnation process wherever needed. That decision is for the policy makers, though, not the end users. A principal concern for whatever trail corridor with which we end up is with the safety of the trail user as he or she crosses Marsh Creek Road. This concern is principal whether or not we have the trail completely off road (Class 1) or need to include portions of the trail along the road (Class 4). Please include a traffic signal at each crossing as part of the planning and cost estimate for construction. And, of course, Class 4 trails have reinforced concrete K-rail separating the vehicle portion of the road from the people portion of the road. As you know, there are only four routes between East County and Central County. Marsh Creek Road is one. The others are Kirker Pass, Bailey Road, and Willow Pass. Alas, currently, the SAFEST route includes riding one's bicycle along the shoulder of a one-mile segment of 8-lane Highway 4. It is hoped that the construction of a trail paralleling the Marsh Creek Road corridor will help to remedy this. Thank you very much for all the effort and work you are putting into this study. All best wishes, ~0le Bruce "0le" Ohlson Bike East Bay Delta Pedalers Bicycle Club Contra Costa Countywide Bicycle Advisory Committee CCTA Bicycle & Pedestrian Advisory Committee Caltrans District 4 Bicycle Advisory Committee TRANSPLAN appointee to Highway 4 Integrated Corridor Management Study Healthy and Livable Pittsburg Collaborative -- November 17, 2022 Jamar I. Stamps, AICP Senior Planner Contra Costa County Department of Conservation and Development Transportation Planning Section 30 Muir Rd., 2nd Floor Martinez, CA. 94553-4601 RE: Comments regarding the Draft Marsh Creek Corridor Multi-Use Trail Feasibility Study Dear Mr. Stamps, The East Bay Regional Park District (Park District) has taken the opportunity to review the draft Marsh Creek Corridor Feasibility Study (Study). The Study proposes to connect the trail system within the City of Clayton to Round Valley Regional Preserve via multi-use trail through the 12.5-mile-long Marsh Creek Road corridor for recreational and commuting purposes. The study shows that there is significant demand for such a facility, and that the type of facility (width, surface etc.) may vary throughout the corridor depending on the topography, environmental impacts, right-of- way and more. The goals for Study include, but are not limited to, conducting extensive public engagement to understand the needs of the community and stakeholders, developing a trail alignment that uses a public lands first approach, minimizes impacts to private property and the environment, and identifying a phased approach. As mentioned in a pervious comment letter, dated December 4th, 2020, a portion of the conceptual alignment crosses Marsh Creek Rd from Mount Diablo California State Park to Park District property. This property, referred to as Clayton Ranch in the Study, is not currently open to the public. Park District staff, in partnership with the East Contra Costa County Habitat Conservancy (Habitat Conservancy), is developing a Preserve Management Plan (PMP, formerly referred to as the Black Diamond Mines Land Use Plan Amendment in the previous letter) for a portion of this property because it was purchased in partnership with the Habitat Conservancy. The ECCC Habitat Conservation Plan/Natural Communities Conservation Plan (HCP/NCCP) is primarily a mitigation and conservation plan to address development impacts and prioritize species and habitat protection, limiting recreation and recreation development. The conceptual alignment identified in the Study uses trails and roads in Clayton Ranch that are proposed for closure, per the PMP’s conceptual public access plan, due to the quality of the surrounding habitat. The County should coordinate with Park District staff to identify an alignment that does not conflict with the goals and implementation strategies of the PMP. The Study anticipates that the Park District will implement the multi-use trail within Clayton Ranch. The timing of implementation and typology of the trail should be closely coordinated with the Park District, and additional funding may need to be provided if the scope is beyond what is identified in the PMP, but still allowable. The Park District appreciates the opportunity to provide comments on the Draft Marsh Creek Corridor Multi-Use Feasibility Study. Please provide any future information to the Park District for review. If you have any questions or concerns, please contact Suzanne Wilson at (510) 544-2609, or by e-mail at swilson@ebparks.org. Respectfully, Suzanne Wilson Sr. Planner – Trails Development East Bay Regional Park District State of California  Natural Resources Agency Gavin Newsom, Governor DEPARTMENT OF PARKS AND RECREATION Armando Quintero, Director Diablo Range District 14311 Tesla Road Livermore, CA 94550 November 18, 2022 Jamar Stamps, AICP Principal Planner 30 Muir Road Martinez, CA 94553 Via email to jamar.stamps@dcd.cccounty.us RE: Marsh Creek Corridor Multi-Use Trail Feasibility Study Dear Mr. Stamps, This letter provides comments by the Diablo Range District of the California Department of Parks and Recreation (State Parks) on the Marsh Creek Corridor Multi-Use Trail Feasibility Study. The Marsh Creek Corridor includes two State Park properties: Mount Diablo State Park to the west and Marsh Creek State Park to the east. State Parks recognizes the importance of promoting corridors that provide access to long distance hiking, biking, and riding experiences and that connect people from population centers to lands with outstanding values. We are supportive of this effort to evaluate those opportunities within the Marsh Creek Corridor. State Parks recommends that the feasibility study highlight opportunities to connect with park trails as identified in the 2016 Mount Diablo State Park Road and Trail Management Plan, and the 2012 Marsh Creek State Park General Plan. While Marsh Creek State Park is not currently open to the public, the General Plan includes facilities and resources that would support public use in the future. We encourage close coordination with State Parks as planning efforts progress. If you have any questions about this comment letter or would like to discuss potential trail alignments as they relate to State Park properties, please contact Diablo Range District Environmental Coordinator Gina Benigno at 925 -409-8392 or gina.benigno@parks.ca.gov Sincerely, Clinton Elsholz District Superintendent (Acting) Diablo Range District DocuSign Envelope ID: 859672B2-C8AB-46EA-87E5-C6BD8D37B277 From:cheryl allegro To:Jamar Stamps; k.mcnickle@fehrandpeers.com Subject:Marsh Creek Feasibility Study Date:Friday, November 18, 2022 3:10:31 PM November 18, 2022 Jamar Stamps, Jamar.stamps@cd.CCCounty.us Kari McNickle k.mcnickle@fehrandpeers.com Re. Marsh Creek Corridor Multi-use Feasibility Study Property owners: Property address: Parcel Number: Dear Jamal and Kari, Thank you for meeting with us on your Feasibility study. It was great for me to see the turnout. I am writing to you on my thoughts although I know you have heard them from others. 1. Property Value and Beauty downgraded. 2. Liability- Our insurance agent advised for us to be on “your” policy as additional insured. We already maintain an umbrella policy for it is to protect us in a lawsuit accusing us of negligence. We lease all our properties for cattle grazing. If a fence is down and it doesn’t get replaced, a cow gets out and a car hits it, we could be sued. If public is allowed to transverse property lines, gates have to be closed and they aren’t, a cow gets out and a car hits it, with deep pocket litigious action, we would have to hire a lawyer anyway. Your insurance gets sued, we get sued etc. 3. Homeless potential 4. Fire Safety Risks-We have had numerous fires directly affecting our property. One was caused by fire crackers sent off from a car in the turnout. Another a Mylar balloon tangled with a power line. 5. Trail Maintenance- Unless the trails have hours of operation, there should “eyes” all along the trail where it dissects private property. Bathrooms? Garbage cans and how often are they dumped? Litter? When we get rain, the trails get broken up, whose responsibility is it to repair? 6. Cattle vs Human- There are seasonal situations with grazing cattle. Calving season, Mamas are very aggressive. Bull season, they can be mean. If dogs are allowed, who is going to make sure they are on lease as the EB Parks website mandates? 7. Turnoffs and Parking- You mentioned providing them in your plan. I travel Marsh Creek Rd and often see the “turnouts” being used by hikers to gain access to a “part” of the trail. How will the parking be controlled? 8. Trespassers- I have real live stories about dealing with trespassers. One time they couldn’t see why they couldn’t be on property as there were no signs (right where they were standing). We were advised to place the signs every so many feet along the fence line on the public road. Are we going to need to do that along ALL property lines the trail in on? Another parked below our house in a turnout and proceeded to relieve herself and clean out her car. When we confronted her, she blamed us for no garbage cans and bathrooms! I know that people who hike and bike have more respect for the environment and their own actions but when you open up this opportunity, it can be a problem. One last example of a friend who runs marathons and uses Round Valley to practice mentioned a time when she came upon a closed gate, private property, and really wanted to climb and keep going. Her running friend talked her out of it but the temptation was there. It is the human nature I worry about. 9. Law Enforcement- We have been told numerous times where the Sheriff Department is concerned it is at least a 20-30 minute response time and good thing we armed because we are on our own until they arrive. Who will be the law enforcement with issues on the trails? Regards, Tony and Cheryl Allegro From:Nanette Bosworth To:DCD Transportation Cc:Margaret Kruse; l peter Dailey Subject:Marsh Creek Corridor Multi-Use Trail 18400 Marsh Creek Road Date:Friday, November 18, 2022 3:03:59 PM Attachments:18400 Marsh Creek Rd - Property Owner Comment Letter.pdf Lot Line Adjustment - LLA[1].pdf Dear Jarmar and Kari, I am enclosing a copy of my previous letter to you with comments on the Marsh Creek Corridor. While I appreciate that you have changed the proposed path from the last draft which had the trail directly through our property, I still have the same concerns with the new proposal with the trail way up behind our property in a very secluded area of Margaret Cruz's property. Homeless camps, fire risk, privacy infringement and security risks are still my major concerns with the proposal. In addition, you now have a dual path on the road in front of our home, which still brings concerns regarding privacy as well as some the concerns mentioned above, particularly having a dual path on both sides of our property. Also, you will see from the attached survey, that there are 2 operating wells right on the edge of Marsh Creek Road that service our property. I would expect that any path construction on the south side of Marsh Creek Road would require a relocation of those wells. Based on the conversations on the call on the 10th, it does not appear that you have provided any comfort to the property owners regarding the concerns in the attached letter, particularly fire risk, illegal homeless encampment control, livestock control and personal and property safety from those who do not respect the property and person of others. Plans and programs to address these areas must be a part of this plan if there is any chance that the property owners along the proposed trail will support it. I would also suggest that your team take the time to travel the proposed trail (walk, horseback, etc) to actually see the path you are proposing. It does frustrate property owners when the path as proposed goes through their homes, (i.e. Lisa Rossi and the Sunshine House Fire Station) or in my case would affect our water producing wells. As of this time, we will not support the proposal and feel there are better areas in our county to provide the recreation opportunities that those that support this proposed trail are looking for, particularly as the original east/west "commuter path" purpose has been abandon as you indicated on the call. Please feel free to contact me with any questions, or if you would like to discuss. Regards, Nanette Nanette Bosworth November 25, 2020 Jamar Stamps, AICP Contra Costa County Jamar.stamps@dcd.CCCounty.us Kari McNickle Fehr & Peers k.mcnickle@fehrandpeers.com RE: Draft MARSH CREEK CORRIDOR Multi-use Trail Feasibility Study Property Owners: Property Address: Parcel Number: Dear Jamar and Kari, We are writing this letter in response to your request for property owner comments on the Proposed Shared Use Path for the Marsh Creek Corridor. As the property owners of , we are opposed to the proposed path. The following are the reasons why: 1. Diminished Property Beauty and Value. The corridor map provided shows that the proposed path leaves Marsh Creek Road on the western edge of our property, cuts through approximately 700 ft on the secluded private southern side and then returns to follow Marsh Creek Road at the eastern border of our property. Thus separating us from approximately 25% of our property. A paved and/or gravel path will diminish the beauty and natural landscape of this portion of the property and significantly decrease our privacy and property value. 2. Not Feasible to Construct. The path across our property is proposed for the northern bank of Marsh Creek. The north bank is steep and we feel that a significant cut of even 5 feet into the bank to make an unpaved path is not feasible. Such a cut would cause bank erosion in this steep area and will cause damage to the improved area of our property, i.e. fencing, motorhome cement pad, garage foundation, septic tank and yard improvements. In addition, Marsh Creek receives a large amount of water runoff that passes through the property during the rainy season and any proposed trail on the north bank will be under water. The water flow during this period is very swift would also cause a safety issue for trail users during this time. (See pictures attached.) Also, it is unclear on the map how you plan to get users from the west end where the trail is on the south side of Marsh Creek to the north side onto our property for further trail to the east. Again this area gets significant water runoff in the rain months and a foot path will be washed away and passage would not be possible. A significant bridge would need to be constructed on the west side of our property to cross over to the proposed north side of the creek where there is a steep bank with no area to place a bridge support. 3. Privacy Infringed. We have significant concern that the proposed placement of the path on the north bank of Marsh Creek, through our property, will eliminate the privacy we now enjoy. It appears that the path would come within 5 to 10 feet of the house. The south side of our property is the beautiful, private and natural portion of the home. We have outdoor living space, a pool, and the homes open windows facing the creek are all protected because of the privacy the creek provides. A path with public access will eliminate this privacy completely resulting in an undesirable change in life style for us as well as diminished property value. 4. Security Infringed. Providing public access on the very private side south side of the property exposes our home to heightened security issues. While we would like to think that only good people will use the trail, this proposed out of site portion of the trail will make our home a perfect target for the less desirable users of the trail. We are very concerned about the increased threat of thefts and security to our person that will come with public access. 5. Homeless Potential. Creeks, including Marsh Creek, in East Contra Costa County are often areas for homeless encampments. This protected portion of the creek, off the road and unseen, with some protection from weather, is ideal for such an encampment. A potential homeless encampment is a significant objection we have to the proposed path. 6. Fire Safety Risks. Fire is a major concern for homeowners in this area. This past year, we had a fire within 100 yards of the house. We are constantly monitoring and working to provide our properties with the best fire prevention possible. Public access or a potential homeless encampment will increase the risk of fire to the land and our home. It will also potentially increase the cost of insuring our home against fire with increased traffic with public access. 7. Increase Liability Risk. Allowing public access across our private land increase our liability risk. While there may be a way to protect property owners from this liability, there is no way to stop people from suing the land owner. Liability insurance cost would likely increase. 8. Additional Path Concerns: The above issues are direct comments regarding the specific property at 18400 Marsh Creek Road. However, the following are comments about the path in general: a. Fire Risk. Fire risk is significant in the Marsh Creek Canyon. We have a number of fires throughout the canyon every year. Home owners are constantly doing all we can to prevent and mitigate fire risks. Allowing public access to such a large stretch of Marsh Creek, significantly increases the risks we all deal with each year to protect our property. b. Road Crossings. Marsh Creek is a very busy road during rush hour traffic. Speed limits and double yellow lines are ignored, particularly in the straight away stretch between the Clayton Palms and our property. Marsh Creek Road crossings should be kept to an absolute minimum. c. Creek Flow. During the rainy season, Marsh Creek flow is high. Do not be fooled by the dry nature of Marsh Creek during the summer. Water levels are high and flow is swift. Creek crossings need to be at a minimum and bridges will be needed at all crossings. d. Cattle Grazing. Much of the property along Marsh Creek, particularly on the east end is used to graze cattle. This will have an added risk for the public and the ranchers to keep fence lines secure and cattle safe. e. Steep and Confined Terrain. Much of Marsh Creek is confined and has very steep banks as well as drop offs along the road. The proposed path does not seem to take into account these terrain issues. In several areas, the opposite side of Marsh Creek Road would be a much better choice than where the path is proposed. Has Fehr and Peers done a full onsite review of the proposed path and evaluated bridge, hill grading and road shoulder constraints that will be required to actually build this path? We appreciate what Contra Costa County is trying to do to provide a safe path through the Marsh Creek Corridor and we appreciate your efforts to reach out to property owners that would be affected by the proposed path. However, we feel that this feasibility study to date has not sufficiently evaluated the course of the trail in this area or some of the more overall issues a trail will pose throughout the Marsh Creek Corridor and specifically to our property. We would like to invite you both, Jamar at the county and Kari at Fehr and Peers, to come out for a site visit to better understand the issues that exist with the proposed path. Please contact me, Nanette, at to arrange a time. Regards, Nanette Bosworth and Gerald Stein From:Eileen Hanson To:DCD Transportation Subject:Marsh Creek Trail Date:Friday, November 18, 2022 5:04:30 PM My husband and I live on Marsh Creek Road and have been here since 1999. We do business as Hanson Family Farms and we sell meat at some of the local Farmer’s Markets. Our kids went to school in Brentwood, as does my granddaughter currently. In the past, we were very active in local 4H groups as well as the Contra Costa County Farm Bureau. We have chosen a ranching lifestyle and have chosen to live quietly on Marsh Creek Road. Our son and his family live on the property also, as it is a multi-generational ranch. We were eminent domained on Highway 4 in 1999. My parents researched the potential rerouting of Highway 4 before the property was acquired, as even forty years earlier it was obvious at some point it would become a major thoroughfare. We had four generations living on the farm, two businesses and two residences. We spent three years in court, but we won and the state and county had to buy all the property and not leave us with just the hills with no promise of forever access to our own property. We chose the property on Marsh Creek Road because we wanted to stay in the area that my parents had lived in all their lives and we felt Brentwood would be a good match as it was a farming community. Our boarding kennel had to be closed. So my mom’s main source of income was gone, but she was able to live off rentals that my dad had acquired over the years. We on the other hand, brought our livestock and children thinking we would fit into the community. Our land in in the Williamson Act and we raise meat that we sell at local Farmer’s Markets. My parents are now both deceased, but we still have three generations living on the property. A property that was chosen because we did not want neighbors or lots of human activity nearby (the trailer park is about a quarter mile from where we live and they are good about staying in their own area, but enjoy watching the circle of life on the farm next door), a place nestled on three sides by private property so we and our livestock were protected, and a place beyond the urban limits so there would be no development in our lifetimes. The Marsh Creek Trail will take these privileges away from us. There will be human traffic at all times of the day seven days a week, our safety and privacy will be taken away and development will be on our property. These are just the obvious reasons, let us look into this a bit deeper… 1. One of the things they are trying to call this is a possible commute trail for bicyclists. This is really a pipedream. We are ten miles from anywhere and once it is dark out there, it is very dark. Street lights are not there and wildlife runs amok as soon as the sun goes down and would be on the path causing problems and creating distractions that cause car accidents, these accidents could be even more abundant and less accessibility if someone was injured on a dark trail. 2. All the users of this path would be on what is our property. This absolutely infringes on our privacy. We already have people that pull into our driveway and want to have a picnic. Now you are allowing them to do this at all hours. 3. You are allowing access to a very large percentage of our property. This affects our safety, as well as that of our livestock. You never know who is going to come off the path looking for trouble or stealing livestock or chasing them because it is funny. I have bulls, rams and bucks out there. None of them have any sense of humor when anything bothers their harems. And I have guardian dogs that have even less. Who is going to come immediately if I find someone messing with my livelihood? Who is going to fix the fences immediately when someone falls through it or cuts the wire to extend their adventure. Is there going to be someone with authority to come out when we call to tell them someone is messing with our cows? 4. How is the sheriff or the fire department going to get back there when there is no vehicle access? The only fire we have had on our property was when someone from the trailer park went down in the creek and started a fire that got away from them. People do things when they don’t think they are visible and don’t think they will get caught. 5. Who is going to pick up the garbage and keep the area policed of litter? How can we be sure there will be no food scraps left to attract skunks, raccoons and coyotes? We can police ourselves, but not someone else. 6. Has anyone looked at a topographical map of the area? Behind the trailer park is a very steep incline and then the creek. You are talking major renovation to keep that trail right behind the trailer park. There is also the fact that in a rainy year, Marsh Creek can be a raging river and it is dangerous to be anywhere near it. One certainly could not plan to cross it year-round. 7. Who is responsible for the fencing? Who is responsible for the upkeep of it after a storm, or heaven forbid, a fire? Who is going to check that no-one has dug a little hole under it so they can get into the secluded area and take a nap? You are adding a lot of responsibility and liability to every land owner out here. 8. You are decreasing the value of our property. It will no longer be a ranch or farm, but a piece of land chiseled away at by the powers that be “for the good of all”. It is NOT for the good of those of us who have chosen to work seven days a week for the love of the land and the livestock. We had to start closing our gates on weekends because people would come in and want tours. We can’t close off the section of trail that interferes with our lives. We have put our blood, sweat and tears into this land and now you want to take part of it so someone who would never work as hard as us can recreate? Who is going to want to buy a ranch that has a bike path and all the headaches attached? You are taking away the natural beauty of the area. 9. What a great place for a homeless encampment! No one can see you. You have water in the creek at least part of the year. You can pee in the creek and throw your garbage in it. That is all really good for the environment. You are creating a perfect scenario for homeless encampments. Out of sight and out of mind. This creates danger for all the local inhabitants. 10. You are creating another reason to increase our fire insurance premiums, as well as our liability. Insurance companies are already looking for reasons to get us off their rosters. Falling into Marsh Creek, having a cow rush the fence and have them fall of their bicycle or horse and break a leg, stopping for a smoke and throwing their butt on the dry grass. All these are going to have an effect on our ability to get insurance, or at least to be able to afford it. 11. In front of our property, Marsh Creek Road is pretty straight and speeding is a fact of life. We have people going through our fence every year. Having this path right along the road is going to cause even more distracted driving. There are several jerks that honk everyday that want to see our animals run. Thankfully our animals have gotten used to it and ignore it. What about the horse that freaks and bucks off his owner, or the bicyclist that is startled by the honk? This plan is certainly not very well thought through, even if I was not a property owner that is being affected. 12. The idea that you would think we would donate a portion of our land is laughable. You are raping our land, you are putting our livestock in more danger as access to them is hidden from the road and us, and you are taking away our safety as the creek access would give cover to someone coming down the creek to break into the houses or barns. Trying to call it an alternate commute opportunity is laughable. I understand you want there to be a path from Brentwood to Mt. Diablo, but this plan is full of holes. In case I have not made myself clear, the owners of , are totally not in favor of this path. It adds great liability, destroys our safety net and increases danger potential to our livestock. There is danger to the whole corridor in increased accidents due to distracted driving on Marsh Creek Road, increased fire danger, destruction of habitat along the creek and danger to the users when the creek is high and the aftermath of its power. You are putting more pressure on local fire departments, the Sheriff Department and even CHP. All of these are already incredibly overworked and understaffed in this area. Any questions, feel free to contact me at , or you can call me at Please be aware that to come on my property, an appointment must be made in advance. Thank you, James and Eileen Hanson P. S. After I finished this, my husband brought up the fact of when we are pulling in and out of our driveway, we are crossing the path. At least 4 times a week, we are pulling a trailer in and out. Our gates allow for our trailer to be off the road as we lock and unlock the gates. We will either be blocking the path or the road. Neither is safe and we are not the only ones on the corridor that this would be an issue. November 17, 2022 Jamar Stamps, AICP Contra Costa County Jamar.stamps@dece.cccounty.us transportation@dcd.cccouty.us Re: Draft MARSH CREEK CORRIDOR Multi-use Trail Feasibility Study Property Owner: Property Address: Parcel Number: Dear Jamar, I am writing this letter in response to your request for property owner comments on the Proposed Shared Use Path for the Marsh Creek Corridor. As the property owner of , I am opposed to the proposed path. The following are the reasons why: 1. The current proposed path is currently running right through my house. The path cuts fairly deep through my property. I am not interested in selling my rights to the land or giving access rights for use of the path as it is proposed. 2. Diminished Property Beauty and Value. The corridor map provided shows the path running on two sides of my property front and back. The back path would ruin the value of my property for seclusion and serenity. I purchased the property to have privacy and serenity from the city life. Having foot traffic or bike traffic behind me would diminish the reason I sought out this property. A paved and /or gravel path will diminish the beauty and natural landscape of this portion of the property and significantly decrease our privacy and property value. 3. Not Feasible to Construct. The proposed path would need a significant cut into hillside in order to make such a path. Based on slope of the hill that has a natural runoff of water in the winter season that gushes like nigari falls that runs directly through my property down to Marsh Creek it would be likely that we would be looking at erosion which would create issues on my property. 4. Privacy Infringed. I have significant concern that the proposed placement of the path even on the backside of my property, will eliminate the privacy we now enjoy. It appears now that the path runs through my house but even if it is relocated behind my property, it would have the same effect. We enjoy our outdoor living in the back with a pool and a spa and we enjoy our privacy of not having other humans in our space. It is the reason we sought such a property to enjoy the natural surroundings and vast privacy. A path with public access will eliminate this privacy completely resulting in an undesirable change in life style for me as well as diminished property value. 5. Security Infringed. Providing public access on the very private back side of my property exposes my home to heightened security issues. While we would like to think that only good people will use the trail, this proposed out of site portion of the trail will make my home a perfect target for the less desirable users of the trail. I am very concerned about the increased threat of thefts and security to my person that will come with public access. We had two incidents in that past two years were 51/50 people were left in the park unattended for the neighbors to be asked to leave for our safety. These are new concerns and the fact that law enforcement is strapped for resources and the ability to police correctly, neighbors are left to fend for themselves. The path runs along Marsh Creek Road in front of property. This a road that already has many safety issues that don’t have adequate services to control the issues that encompass this road. (speeding, illegal passing on double lines, numerous crashes, illegal dumping). Adding another element of travel to the roads current state does not make a lot of sense until there are improvements to the current conditions. 6. Homeless potential. The proposed path located on the backside of the property would potentially expose me to homeless encampments, dumping along path, endangering my livestock by people feeding things to my animals through the fence that are not part of their diet, exposing my belongings to potential theft as people pass and see the contents located on my property. East Contra Costa is often an area for homeless encampments. This protected portion of the creek, off the road and unseen, with some protection from weather, is ideal for such an encampment. A potential homeless encampment is a significant objection I have to the proposed path. 7. Fire Safety Risks. Fire is a major concern for homeowners in this area. This past year, we had a fire within 100 yards of the house. We are constantly monitoring and working to provide our properties with the best fire prevention possible. Public access or a potential homeless encampment will increase the risk of fire to the land and our home. It will also potentially increase the cost of insuring our home against fire with increased traffic with public access. 8. Additional Path Concerns: The above issues relate to my property specifically these are additional general concerns with the proposed path. a. Fire Risk. Fire risk is significant in the Marsh Creek Canyon. We have a number of fires throughout the canyon every year. Home owners are constantly doing all we can to prevent and mitigate fire risks. Allowing public access to such a large stretch of Marsh Creek, significantly increases the risks we all deal with each year to protect our property. b. Road Crossings. Marsh Creek is a very busy road during rush hour traffic. Speed limits and double yellow lines are ignored, particularly in the straight away stretch between Clayton Palms and our property. Marsh Creek Road crossings should be kept to an absolute minimum. c. Creek Flow. During the rainy season, Marsh Creek flow is high. Do not be fooled by the dry nature of Marsh Creek during the summer. Water levels are high and flow is swift. Creek Crossings need to be at a minimum and bridges will be needed at all crossings. d. Steep and Confined Terrain. Much of Marsh Creek is confined and has very steep banks as well as drop offs along the road. The proposed path does not seem to take into account these terrain issues. In several areas, the opposite side of Marsh Creek Road would be a much better choice than where the path is proposed. Has Fehr and Peers done a full onsite review of the proposed path and evaluated bridge, hill grading and road shoulder constraints that will be required to actually build this path? I appreciate what Contra Costa County is trying to do to provide a safe path through the Marsh Creek Corridor and I appreciate your efforts to reach out to property owners that would be affected by the proposed path. However, I feel that this feasibility study to date has not sufficiently evaluated the course of the trail in this area or some of the more overall issues a trail will pose throught the Marsh Creek Corridor and specifically to my property. Regards, Lisa Rossi Halo Farms LLC 1 Gwen & Peter Dailey November 18, 2022 Jamar Stamps, AICP Contra Costa County Jamar.stamps@dcd.CCCounty.us Kari McNickle Fehr & Peers k.mcnickle@fehrandpeers.com RE: Draft MARSH CREEK CORRIDOR Multi-use Trail Feasibility Study Dear Jamar and Kari: This letter is in response to a call for comments on the Marsh Creek Corridor Multi-Use Trail Feasibility Study dated November 2022. As Homeowners at , we would be adversely impacted by this trail. The following are just some of our concerns: 1. Lack of privacy - Much of the trail travels through private property. Having the public biking, hiking, horseback riding, dog walking etc. through private ranches and ranchettes cancels the use and enjoyment of our properties. There are many issues related to this, such as decreased property values. 2. Gates - Having the trail travel through private property entails the use of gates in the existing fence lines. These fences keep our livestock both off the road and out of neighboring properties, often with their own livestock. Trail users, especially those bicyclists who are commuters and, in a hurry, will not want to be stopping frequently to open and close gates, especially on the smaller properties. They will be tempted to prop open the gates, leading to animals getting out into the neighbors and onto the road. As you know, Marsh Creek Road is a very fast and dangerous road. Loose livestock on the road can lead to dead livestock and vehicle damage, injuries and even fatalities. Legal liabilities will also result. 3. Types of livestock - It should be noted that not all the livestock residents keep are cattle. Many of us have sheep, goats, horses and donkeys, camelids, pigs, and poultry. We also have our own dogs and cats. It is not suitable for many of these animals to be exposed to the public and the disturbances and liabilities that could result. For example, horses may bite, kick and trample. Sheep, goats, and poultry are very vulnerable to being chased and killed by dogs from the public, as well as being harassed and stolen by those with wrong intent. 2 4. Lack of security - Having the public on private property greatly increases security and safety issues. Property owners become much more vulnerable to theft and bodily harm. Unfortunately, not all trail users have good intent. 5. Ability of the county to enforce rules and deter crime on the trail - The county can’t even keep people from illegally dumping trash on Marsh Creek Road. It is a big problem. How will the county monitor another route along this same corridor? 6. Homeless encampments - trails alongside Marsh Creek are prime areas for homeless encampments, as has happened in East County. This brings crime, drug use, fire dangers and environmental pollution such as trash and excrement that invariably ends up in the creek. 7. Fire danger - As you know, the Marsh Creek corridor has a great vulnerability to fire and has had many fires recently. Giving more people access to secluded vulnerable areas makes it a target for arsonists, the major cause of fires in our area. Homeless encampments also greatly increase fire risk as they use fires for cooking and warming. 8. Impact of the trail on wildlife and the riparian habitat - The Study maps show much of the trail being very close to the Creek. It also notes that according to the Habitat Conservation Plan and Natural Community Conservation Plan (page 30) the setback requirement for Marsh Creek is 75 feet from the edge of the bank. There is no explanation of how to resolve this problem. Constructing a trail so close to the creek will be detrimental to both the flora and fauna of the creek. Several rare species and species of concern are documented to inhabit the riparian areas of Marsh Creek. Also, retaining walls have been proposed for some of the trail. These would impede the migration of some of the smaller species such as the Red Legged Frog and the California Tiger Salamander. 9. Road crossings - several road crossings are shown on the maps. Unless full stop traffic signals are installed, crossing the road would be dangerous. Ask any resident or commuter on Marsh Creek Road. Speeding, tailgating, lack of regard for passing rules all contribute to dangerous conditions. Thank you for your consideration, Gwen Dailey Peter J. Dailey Gwen & Peter Dailey From:Glenn Fox To:DCD Transportation Subject:Comments on Marsh Creek multi-use corridor Date:Thursday, November 17, 2022 9:24:27 PM Jamar Stamps, AICP Contra Costa County Jamar.stamps@dcd.CCCounty.us Kari McNickle Fehr & Peers k.mcnickle@fehrandpeers.com RE: Draft MARSH CREEK CORRIDOR Multi-use Trail Feasibility Study Dear Jamar and Kari, We are writing this letter in response to your request for property owner comments on the Proposed Shared Use Path for the Marsh Creek Corridor. As residents of Marsh Creek Road, we are greatly concerned and opposed to the concept of such a shared use path on Marsh Creek, as it is currently designed. 1) The plan is not physically practical or fiscally responsible. Having lived on Marsh Creek Road for over twenty years, it is clearly a dangerous rural road. A “multi-use corridor” is a classic example of an idea that “looks good on paper” to some, but not close to the reality of the outcome. From my personal experience over the years, I cannot count the number of accidents (both motorcycle and vehicular) that have occurred in the proposed area of the corridor, as well as dangerous driving (speeding, passing on double yellow lines, tailgating) that happens daily. Marsh Creek Road (abbreviated in the rest of the document as MCR). MCR, and associated areas of Morgan Territory and Briones Valley, are already under-resourced related to public safety and protection (and such a project would make it much worse. It is impractical to think that such a corridor would be safely used for pedestrian, bicycle and equestrian use. Numerous parks and public land access is currently available for public use and could be improved for “multi-use” at a much lower price tag with ultimate greater safety for equestrians, bicyclists and pedestrians. The actual topography of MCR and the surrounding area is also not conducive for such a project and clearly would require multiple millions of dollars for project design, approval permitting and construction, way more than articulated in the plan. If that type of funding is actually available, improving current public land and parks, and improvement to MCR itself and public safety and protection would be of greater value to the community and county. Improving the resourcing and support to the Marsh Creek, Morgan Territory and Briones Valley community would be critical to any future new area/trail planning. If this project is also, as represented in the recent community Zoom meeting, multiple years or decades off, the cost will be even more than described in the current plan. 2) Fire Safety Risk. Fire risk is one of the biggest issues we face in the Marsh Creek Community, as well as Morgan Territory and Briones Valley areas. Over the past several years, we have also seen the increase of arson and fires caused by visitors to the area. We have personally had acres of our property burn by arson and property close by burn by people setting off fireworks, throwing cigarettes out of windows, etc. By developing unsecured and unpatrolled miles of corridor, the risk of fire will rise dramatically, as well as the cost of patrol, support and community costs such as property/homeowners insurance. 3) Increased Liability and Property Protection. In a litigious society and state in which we live, MCR property owners that live adjacent to the corridor plan would be susceptible to increased litigation if someone is injured on privately owned land. Second, it would be great if all people using the corridor would be upstanding citizens, but evidence points otherwise. Dozens of articles can be found about issues around similar public corridors (e.g., the Iron Horse Trail as one example), populated with homeless encampments, litter, fire concern and crime. This is not a comment on homelessness, but the documented issues that come with a public corridor like the Iron Horse trail. (I am happy to provide articles that document these issues.) If these issues are prevalent on a corridor such as Iron Horse Trail that has much more community protection and safety, the MCR corridor is much more susceptible to these issues because of the isolation of the residents in the area. 4) Other property issues. a. Cattle and livestock. The MCR corridor is used to graze cattle and other livestock. Issues of liability, fencing, gating with increased public population near these areas will add risk to keep livestock safe and secure. b. Road crossing and access. As discussed earlier, MCR is a busy and dangerous road, especially during rush hours. Adding road crossings, turnouts or other similar road features would be more people at risk of injury. c. Property infringement. The current plan has the corridor nonsensically running through the middle of the Sunshine Fire station and other homes along the path, as well as feet away from other residential homes. Even if these were mistakes, having such a corridor run so closely to residential homes is problematic for many of the reasons listed above. We appreciate the opportunity to comment on the corridor plan. It is currently over-scoped in deliverables (the plan is incorporating too much-- bike, equestrian, pedestrian—along a dangerous corridor.) and clearly, under-scoped in cost. Second, the Marsh Creek, Morgan Territory and Briones Valley community is under resourced and having a dialog with our communities about foundational investment in protection, public lands, etc., would be an appropriate and important next step for Contra Costa County. Sincerely, Glenn & Terisa Fox, Marsh Creek Residents From:Glenn Fox To:Jamar Stamps Subject:Re: Comments on Marsh Creek multi-use corridor Date:Friday, November 18, 2022 6:11:38 PM Attachments:image001.png Hi Jamar, Thanks for the response. I didn't do a deep dive on the topic, but did searches related to crime and the Iron Horse Trail. Articles popped up about arrests of homeless for menacing (https://patch.com/california/danville/homeless-man-arrested-on-iron-horse-trail), and of a sexual assault (https://www.mercurynews.com/2018/01/18/iron-horse-trail-attempted-rape- suspect-facing-life-in-prison/. It is unclear the status of this individual, only that he was from SF) as an example. More information is probably out there with more detailed or specific research. While these may be individual cases, you can also look at community threads and some on Reddit (as well as pics related to these topics as well as one I haven't mentioned-- junk/midnight dumping, an issue we already deal with on a daily basis on MCR). Here's a YouTube video of a kind-hearted bicyclist saying "...A lot of brothers and sisters who are unfortunately camping out in the bushes and on the trail..." (https://www.youtube.com/watch? v=NTo4LZPgwcQ) The community comments make the point of neighborhood and community concerns not captured by the media or news articles. Further, doing a quick search on other similar community trails around the western US seem to have problems similar to this topic. I found several articles, and we have seen recently in the bay area the issue of fire and encampments. Again, I want to be clear-- I am not broad-brushing homeless people and crime. How to appropriately assist and help the homeless and what we should do as a society is a topic for a different day. A remote area like ours is already susceptible to the issues of crime, fire, trespassing, dumping, and we deal with it on a daily basis. The qualitative evidence is that areas with similar corridors experience higher number of incidents of the issues described above. Sincerely, Glenn On Fri, Nov 18, 2022 at 2:48 PM Jamar Stamps <Jamar.Stamps@dcd.cccounty.us> wrote: Good afternoon Glenn & Terisa, Thank you very much for taking the time to put together your thoughtful comments and attend last week’s workshop. A few years ago I worked on a study for the Iron Horse Corridor and don’t recall hearing the same concerns about homeless encampments from adjacent residents and trail users. If you could share the articles you’re referring to that would be appreciated. Thank you again, have a great weekend and a happy holidays. Jamar I. Stamps, AICP Contra Costa County Conservation & Development Department 30 Muir Rd., 2nd Floor Martinez, CA. 94553-4601 Main: (925) 655-2917 Cell: (925) 877-8250 What should Contra Costa County be and look like in 20 years? Check out EnvisionContraCosta2040.org and let us know! From: Glenn Fox Sent: Thursday, November 17, 2022 9:24 PM To: DCD Transportation <transportation@dcd.cccounty.us> Subject: Comments on Marsh Creek multi-use corridor Jamar Stamps, AICP Contra Costa County Jamar.stamps@dcd.CCCounty.us Kari McNickle Fehr & Peers k.mcnickle@fehrandpeers.com RE: Draft MARSH CREEK CORRIDOR Multi-use Trail Feasibility Study Dear Jamar and Kari, We are writing this letter in response to your request for property owner comments on the Proposed Shared Use Path for the Marsh Creek Corridor. As residents of Marsh Creek Road, we are greatly concerned and opposed to the concept of such a shared use path on Marsh Creek, as it is currently designed. 1) The plan is not physically practical or fiscally responsible. Having lived on Marsh Creek Road for over twenty years, it is clearly a dangerous rural road. A “multi-use corridor” is a classic example of an idea that “looks good on paper” to some, but not close to the reality of the outcome. From my personal experience over the years, I cannot count the number of accidents (both motorcycle and vehicular) that have occurred in the proposed area of the corridor, as well as dangerous driving (speeding, passing on double yellow lines, tailgating) that happens daily. Marsh Creek Road (abbreviated in the rest of the document as MCR). MCR, and associated areas of Morgan Territory and Briones Valley, are already under-resourced related to public safety and protection (and such a project would make it much worse. It is impractical to think that such a corridor would be safely used for pedestrian, bicycle and equestrian use. Numerous parks and public land access is currently available for public use and could be improved for “multi-use” at a much lower price tag with ultimate greater safety for equestrians, bicyclists and pedestrians. The actual topography of MCR and the surrounding area is also not conducive for such a project and clearly would require multiple millions of dollars for project design, approval permitting and construction, way more than articulated in the plan. If that type of funding is actually available, improving current public land and parks, and improvement to MCR itself and public safety and protection would be of greater value to the community and county. Improving the resourcing and support to the Marsh Creek, Morgan Territory and Briones Valley community would be critical to any future new area/trail planning. If this project is also, as represented in the recent community Zoom meeting, multiple years or decades off, the cost will be even more than described in the current plan. 2) Fire Safety Risk. Fire risk is one of the biggest issues we face in the Marsh Creek Community, as well as Morgan Territory and Briones Valley areas. Over the past several years, we have also seen the increase of arson and fires caused by visitors to the area. We have personally had acres of our property burn by arson and property close by burn by people setting off fireworks, throwing cigarettes out of windows, etc. By developing unsecured and unpatrolled miles of corridor, the risk of fire will rise dramatically, as well as the cost of patrol, support and community costs such as property/homeowners insurance. 3) Increased Liability and Property Protection. In a litigious society and state in which we live, MCR property owners that live adjacent to the corridor plan would be susceptible to increased litigation if someone is injured on privately owned land. Second, it would be great if all people using the corridor would be upstanding citizens, but evidence points otherwise. Dozens of articles can be found about issues around similar public corridors (e.g., the Iron Horse Trail as one example), populated with homeless encampments, litter, fire concern and crime. This is not a comment on homelessness, but the documented issues that come with a public corridor like the Iron Horse trail. (I am happy to provide articles that document these issues.) If these issues are prevalent on a corridor such as Iron Horse Trail that has much more community protection and safety, the MCR corridor is much more susceptible to these issues because of the isolation of the residents in the area. 4) Other property issues. a. Cattle and livestock. The MCR corridor is used to graze cattle and other livestock. Issues of liability, fencing, gating with increased public population near these areas will add risk to keep livestock safe and secure. b. Road crossing and access. As discussed earlier, MCR is a busy and dangerous road, especially during rush hours. Adding road crossings, turnouts or other similar road features would be more people at risk of injury. c. Property infringement. The current plan has the corridor nonsensically running through the middle of the Sunshine Fire station and other homes along the path, as well as feet away from other residential homes. Even if these were mistakes, having such a corridor run so closely to residential homes is problematic for many of the reasons listed above. We appreciate the opportunity to comment on the corridor plan. It is currently over-scoped in deliverables (the plan is incorporating too much-- bike, equestrian, pedestrian—along a dangerous corridor.) and clearly, under-scoped in cost. Second, the Marsh Creek, Morgan Territory and Briones Valley community is under resourced and having a dialog with our communities about foundational investment in protection, public lands, etc., would be an appropriate and important next step for Contra Costa County. Sincerely, Glenn & Terisa Fox, Marsh Creek Residents From:John Cunningham To:Jamar Stamps Subject:FW: Comment on Marsh Creek Bike trail Date:Monday, December 12, 2022 11:15:54 AM Just an fyi. I’ll include the second note in the meeting record, the first part seems to just be a message to me. From: Sent: Monday, December 12, 2022 10:41 AM To: John Cunningham <John.Cunningham@dcd.cccounty.us> Subject: Comment on Marsh Creek Bike trail Hi John, Below is the comment I read at todays Transportation meeting. Please understand we (the community) are aware that this is a feasibility study not action to build the trail. I am concerned that the county and the project lead(Jamar) make it seem like a great deal of community outreach has occurred which has not. I mentioned the topic at a watershed council meeting and members were unaware. I brought this up to the exec director of CCRCD Chris Lim, and he was unaware. I met with Jamar last month and he stated he had met with landowners for feedback yet no meetings with the majority of landowners occurred until I pressed to have one. As I mentioned I am passionate for the county and trail use yet this team needs assistance and better leadership. If I can help in any way, please let me know. Hello Chair Supervisor Diane Burgis and committee. My name is David Sondergeld, my wife Kit and I live on Aspara Drive off Marsh Creek Road. I am a very passionate outdoors person an avid cyclist, hiker and Trail runner though slower at the age of 62 . Since moving to this beautiful corridor, I fell in love with the views of mt Diablo and the rambling Creek of Marsh creek, I have become active coordinating cleanups in the upper Watershed of marsh creek and am now helping to form the Marsh Creek Watershed Council which I plan to continue to be a passionate leader and volunteer with. As a hiker/Cyclist I have navigated approx. 90% of the trails in Contra Costa County. I would love to see more trails and access created for public use. With this said, Supervisor Burgis understands my concerns for the Marsh Creek Corridor as I have met with her and her staff in the past over the many issues with Marsh Creek road, The commuter traffic using the country road, the lack of turn outs, lack of shoulders, increase fire danger, break ins, trespassing, Mud slides and more. Note we lost 80% of our property in the 2018 Marsh Fire, it took us 3 years to rebuild with 0 County assistance. I have brought more than a handful of concerns to the county in the past few years with no action or support for those of us out in the unincorporated area. After the Mud slide, Diane did visit our house which we appreciated and that was the last we saw or heard from the county. I offer my support to the county in any way I can to help to improve communication as well as action. Before we even consider a bike trail (Which I oppose for this corridor as it stands), I would suggest focusing on the needed improvements to make this corridor safer as well as continue to preserve the country environment. I am aligned with the property owners in this area that this corridor is not fitting to consider such a trail. Thank you. Best Regards, David Sondergeld Strategic Technology Executive, Board Advisor RESOLUTION NO. 2016/116 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANTIOCH SUPPORTING THE EXPLORATION OF THE MARSH CREEK MULTI-USE TRAIL CONCEPT THAT WOULD CONNECT THE DELTA TO MOUNT DIABLO AND NEIGHBORING COMMUNITIES; AND SUPPORTING EFFORTS TO IDENTIFY AND SECURE PROJECT STUDY AND IMPLEMENTATION FUNDING FROM LOCAL, STATE, AND FEDERAL TRANSPORTATION, RECREATION, PARK AND OPEN SPACE SOURCES WHEREAS , Marsh Creek Road is a major thoroughfare that connects Central Contra Costa County and East Contra Costa County and is the gateway to 110,000 acres of open space and recreational areas managed by the East Bay Regional Park - District , Contra Costa Water District, State Parks and other local jurisdictions ; and WHEREAS, once this trail and adjacent trails are completed , there will be a continuous non-motorized network in Eastern Contra Costa County , including this link, from Central Contr.a Costa County to the Delta; and WHEREAS, a significant number of bicycle trips take place on Marsh Creek Road, in spite of the IC'lck of a bicycle path or dedicated lanes; and WHEREAS , in East Contra Costa County, the Marsh Creek Trail currently runs from the Big Break Regional Sho reline in the City of Oakley to the City of Brentwood's southern city limits, leaving a gap between that terminus and trails in Clayton ; and WHEREAS, Marsh Creek Road within the City of Clayton ("Clayton ") has an existing Class II bicycle lane, which connects to Clayton's extensive trail network into the City of Concord ("Concord") and Mount Diablo State Park; and WHEREAS, the completed multi-use trail would create a new, major non- motorized east-west thoroughfare for expanded and safer commuting and recreational opportunities; and WHEREAS, improved access to separated trails of the type proposed, are consistently shown to substantially increase use of non-motorized modes of travel relative to facilities in the shared roadway ; and WHEREAS, construction of the trail could be performed in conjunction with restoration of Marsh Creek, as anticipated i n the East Contra Costa County Habitat Conservation Plan/Natural Community Conservation Plan and be constructed in a sensitive manner that reflects the scenic and natural resources of the area. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Antioch does hereby support the exploration of the Marsh Creek Multi-Use Trail concept that would connect the Delta to Mount Diablo and neighboring communities; and supporting efforts to identify and secure project study and implem e ntation funding from local , state , and federal transportation , recreation , park and open space sources . * * * * * * * I HEREBY CERTIFY that the foregoing Resolution was passed and adopted by the City Council of the City of Antioch at a regular meeting thereof, held on the 25th day of October 2016, by the following vote : AYES : Council Members Wilson , Ogorchock , Tiscareno, Ro c ha and Mayor Harper NOES: None ABSENT : None 4~·- ARNE SIMONSEN CITY CLERK OF TH E CrfY OF ANTIOCH RESOLUTION NO. 2016-113 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BRENTWOOD SUPPORTING THE EXPLORATION OF THE MARSH CREEK MULTI-USE TRAIL CONCEPT THAT WOULD CONNECT THE DELTA TO MOUNT DIABLO AND NEIGHBORING COMMUNITIES; AND SUPPORTING EFFORTS TO IDENTIFY AND SECURE PROJECT STUDY AND IMPLEMENTATION FUNDING FROM LOCAL, STATE, AND FEDERAL TRANSPORTATION, RECREATION, PARK AND OPEN SPACE SOURCES. WHEREAS, Marsh Creek Road is a major thoroughfare that connects Central Contra Costa County and East Contra Costa County and is the gateway to 110,000 acres of open space and recreational areas manageq by the East Bay Regional Park District, Contra Costa Water District , State Parks and other local jurisdictions ; and WHEREAS, a significant number of bicycle trips take place on Marsh Creek Road , in spite of the lack of a bicycle path or a dedicated lane; and WHEREAS, Marsh Creek Road within the City of Clayton ("Clayton ") has an existing Class II bicycle lane , which connects to Clayton 's extensive trail network into the City of Concord ("Concord ") and Mount Diablo State Park ; and WHEREAS, in East Contra Costa County , the Marsh Creek Trail currently runs from the Big Break Regional Shoreline in the City of Oakley ("Oakley ") to the City of Brentwood 's ("Brentwood ") southern city limits , leaving a gap between that terminus and trails in Clayton ; and WHEREAS, the completed multi-use trail would create a new major non-motorized east- west thoroughfare for expanded and safer commuting and recreational opportunities, would provide non-motorized access to Downtown Clayton, Diablo View Middle School , Mount Diablo State Park , Round Valley Regional Preserve , and the Marsh Creek Trail through the cities of Brentwood and Oakley ; and WHEREAS, once this trail and adjacent trails are completed , there will be one continuous non-motorized route from Central Contra Costa County to the Delta ; and WHEREAS, improved access to separated trails, of the type proposed , are consistently shown to substantially increase use of non-motorized modes of travel relative to facilities in the shared roadway ; and WHEREAS, co nstruction of the trail could be performed in con j unction with restoration of Marsh Creek , as anticipated in the East Contra Costa County Habitat Conservation Plan/Natural Community Conservation Plan and be constructed in a sensitive manner that reflects the scenic an d natural resources of the area . NOW, THER EFORE, BE IT RESOLVED that the City Council of the City of Brentwo od does hereby support t he exploration of the Marsh Creek Multi -Use Trail concept that would . connect the Delta to Mount Diablo and neighboring communities; and supporting efforts to identify a nd secure project study and implementation f unding from local, state , and federal t ra nsportation , re creation , park and open space sou rc es . · RESOLUTION NO. 46 -2016 A RESOLUTION SUPPORTING THE CONCEPT OF THE MARSH CREEK CORRIDOR MULTI-USE TRAIL CONNECTING THE DELTA SHORELINE WITH MOUNT DIABLO THE CITY COUNCIL City of Clayton, California WHEREAS, Marsh Creek Road is a major thoroughfare connecting Central and East Contra Costa County and is the gateway to 110,000 acres of open space ·and recreational areas managed by the East Bay Regional Park District, Contra Costa Water District, State Parks and other local jurisdictions; and WHEREAS, Marsh Creek Road has a significant number of bicycle trips without a bicycle path or dedicated lane; and WHEREAS, Marsh Creek Road within the City of Clayton has an existing Class II bicycle lane, which connects to Clayton's extensive trail network linking Concord and Mount Diablo State Park; and WHEREAS, in East Contra Costa County, the Marsh Creek Trail currently runs from the Big Break Regional Shoreline in Oakley to the southern city limits of the City of Brentwood , leaving a gap between that terminus and trails in the City of Clayton; and WHEREAS, the Contra Costa Transportation Authority's Countywide Bicycle and Pedestrian Plan call for bicycle facilities along Marsh Creek Road; and WHEREAS , the completed multi-use trail would create a new major non- motorized east-west thoroughfare for expanded and safer commuting and recreational opportunities, would provide non-motorized access to Downtown Clayton, Diablo View Middle School, Mount Diablo State Park, Round Valley Regional Preserve, and the Marsh Creek Trail through Brentwood and Oakley; and WHEREAS, once this trail and adjacent trails are completed , there will be one continuous non-motorized route from Central Contra Costa County to the Delta shoreline; and WHEREAS, improved access to separated trails, of the type proposed, are consistently shown to substantially increase use of non-motorized modes of travel relative to facilities in the shared roadway; and Resolution 46 -2016 Page 1 of 3 July 19, 2016 RESOLUTION NO. 153-16 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF OAKLEY SUPPORTING THE EXPLORATION OF THE MARSH CREEK MULTI-USE TRAIL CONCEPT THAT COULD CONNECT THE DELTA TO MOUNT DIABLO AND NEIGHBORING COMMUNITIES; AND SUPPORTING EFFORTS TO IDENTIFY AND SECURE PROJECT STUDY AND IMPLEMENTATION FUNDING FROM LOCAL, STATE, AND FEDERAL TRANSPORTATION, RECREATION, PARK AND OPEN SPACE SOURCES WHEREAS, Marsh Creek Road is a major thoroughfare that connects Central Contra Costa County and East Contra Costa County, and is the gateway to 110,000 acres of open space and recreational areas managed by the East Bay Regional Park District , Contra Costa Water District, State Parks and other local ju risdictions ; and WHEREAS, a significant number of bicycle trips take place on Marsh Creek Road , in spite of the lack of a bicycle path or a dedicated lane; and WHEREAS, Marsh Creek Road within the City of Clayton ("Clayton ") has an existing Class II bicycle lane, which connects to Clayton's extensive trail network into the City of Concord ("Concord ") and Mount Diablo State Park; and WHEREAS, in East Contra Costa County , the Marsh Creek Trail currently runs from the Big Break Regional Shoreline in the City of Oakley ("Oakley") to the City of Brentwood 's ("Brentwood ") southern city limits , leaving a gap between that terminus and trails in Clayton ; and WHEREAS, the completed multi-use trail would create a new major non-motorized east-west thoroughfare for expanded and safer commuting and recreational opportunities, would provide non-motorized access to Downtown Clayton , Diablo View Middle School, Mount Diablo State Park, Round Valley Reg ional Preserve , and the Marsh Creek Trial through the cities of Brentwood and Oakley; and WHEREAS, once this trail and adjacent trails are completed , there will be one continuous non-motorized route from Central Contra Costa County to the Delta ; and WHEREAS, improved access to separated trails, of the type proposed , are consistently shown to substantially increase use of non-motorized modes of travel relative to facilities in the shared roadway; and WHEREAS, construction of the trail could be performed in conjunction with restoration of Marsh Creek , as anticipated in the East Cont ra Costa County Habitat Conservation Plan/Natural Community Conservation Plan and be constructed in a sensitive manner that reflects the scenic and natural resources of the area . Resolution No . 153-16 Page 1 of 2 EAST BAY REGIONAL PARK DISTRICT RESOLUTION NO.: 2016 -06 -160 June 21,2016 RESOLUTION TO SUPPORT CONTRA COSTA COUNTY'S LEADERSHIP ON THE CONCEPT OF A MARSH CREEK CORRIDOR MULTI-USE TRAIL WHEREAS, Marsh Creek Road is a major thoroughfare which connects Central Contra Costa County and East Contra Costa County; and WHEREAS, a significant number of bicycle trips take place on Marsh Creek Road despite the narrow and serpentine character of the corridor; and WHEREAS, a separate, multi-use trail would create a new non-motorized east-west thoroughfare for expanded and safer commuting and recreational opportunities; and WHEREAS, construction of the trail could be performed in conjunction with restoration of Marsh Creek, as anticipated in the East Contra Costa County Habitat Conservation Plan I Natural Community Conservation Plan; and WHEREAS, the trail would connect Big Break Regional Shoreline to Round Valley Regional Preserve; and WHEREAS, although the District currently has no funding committed to this project, support of the concept is consistent with previous Green Transportation efforts. NOW, THEREFORE, BE IT RESOLVED the Board of Directors of the East Bay Regional Park District hereby support Contra Costa County's leadership on the concept of a Marsh Creek corridor multi-use trail; and BE IT FURTHER RESOLVED, the General Manager is hereby authorized and directed, on behalf of the District and in its name, to execute and deliver such documents, and to do such acts as may be deemed necessary or appropriate to accomplish the intentions of this resolution . Moved by Director Burgis, seconded by Director Wieskamp, and adopted this 21st day of June, 2016 by the following vote: FOR: AGAINST: ABSTAIN: ABSENT: Diane Burgis, Whitney Dotson, Beverly Lane, Doug Siden, John Sutter, Dennis Waespi , Ayn Wieskamp. None. None . None. ("'"'., 0 '&7 /:;;t~ Doug S1den, Board President CERTIACATION I, Yolande Barlal Knight, Clerk of the Board of Directors of the East Bay Regional Park District, do hereby certify that the above and foregoing Is a full, true and correct copy of Resolution No . ZOt{l· Ofo ·lll 0 adopted by the Board of Directors .. b egular "0;_"9 ~# on dUtlt' Zj . 2QJ~ dJ 'JJ{I, ~' Resolution No: 2015-02 RESOLUTION OF THE EAST CONTRA COSTA COUNTY HABITAT CONSERVANCY SUPPORTING THE CONCEPT OF A MARSH CREEK CORRIDOR MULTI-USE TRAIL THAT CONNECTS THE DELTA TO MOUNT DIABLO AND NEIGHBORING C01vli\IDNITIES WHEREAS, Marsh Creek Road is a major thoroughfare that connects Central Contra Costa County and East Contra Costa County and is the gateway to 110,000 acres of open space and recreational areas managed by the East Bay Regional Park District, Contra Costa Water District, State Parks and other local jurisdictions; and WHEREAS, a significant number of bicycle trips take place on Marsh Creek Road, in spite of the lack of a bicycle path or a dedicated lane; and WHEREAS, Marsh Creek Road within Clayton has an existing Class II bicycle lane, which connects to Clayton's extensive trail network into Concord and Mount Diablo State Park; and WHEREAS, in East Contra Costa County, the Marsh Creek Trail currently runs from the Big Break Regional Shoreline in Oakley to the southern city limits of the City of Brentwood, leaving a gap between that terminus and trails in the City of Clayton; and WHEREAS, the completed multi-use trail would create a new major non-motorized east- west thoroughfare for expanded commuting or recreational opportunities, would provide non- motorized access to Downtown Clayton, Diablo View Middle School, Mount Diablo State Park, Round Valley Regional Preserve, and the Marsh Creek Trail through Brentwood and Oakley; and WHEREAS, once this trail and adjacent trails are completed, there will be one continuous non-motorized route from Central Contra Costa County to the Delta; and WHEREAS, construction of the trail could be performed in conjunction with restoration of Marsh Creek, as anticipated in the East Contra Costa County HCP/NCCP, and be constructed in a sensitive manner that reflects the scenic and natural resources of the area. NOW, THEREFORE, BE IT RESOLVED that the East Contra Costa County Habitat Conservancy will advocate for support and funding for the Marsh Creek Corridor Multi-Use Trail, including study and potential implementation, in local, state, and federal transportation, recreation, park and open space funding efforts. Approved by the following vote on August 24,2015. Ayes: Noes: Abstain: Absent: Bryant, Evola, Haydon, Piepho and Pope None None 1 /~ /~. / Attest: ~t:-' -,..L~-=-r-t---cf-=~-"'----~-=::;...._·-------- ASfgailFatJtilah, Executive Director 1" = 100'DATE:SCALE:MARSH CREEK TRAIL VEHICLE COUNT45' BUS 406/05/2020 1" = 400' DATE: SCALE: MARSH CREEK TRAIL 10/07/2021 1" = 400' DATE: SCALE: MARSH CREEK TRAIL 11/09/2021 1" = 100'DATE:SCALE:MARSH CREEK TRAIL VEHICLE COUNT45' BUS 4Shared Use Next To Roadway Shared Use By Itself Bike Lanes And Sidewalk06/05/2020 1" = 400' DATE: SCALE: MARSH CREEK TRAIL 10/07/2021 Final Plan May 16, 2023 Board of Supervisors •Text •Text •Text Overview •Provide an overview of the study findings •Share feedback heard on the draft plan •Recommendation and Next Steps 2 •Text •Text •Text Background & Objectives •Marsh Creek corridor and the Habitat Conservation Plan and Natural Community Conservation Plan (HCP/NCCP) •Resolutions/letters of support (2015/2016): Cities of Antioch, Brentwood, Clayton,Oakley,EBRPD,SMD,Habitat Conservancy, County BOS •Creek corridor is adjacent to state and regional parks, ranches and farms, open space, and parks, with two small denser areas of residential parcels •Watershed is home to multiple habitat types, including agricultural lands, grasslands, various oak woodlands, and a riparian corridor •Work to expand public park lands and planned creek restoration activities could be enhanced if coupled with the vision of a trail system connecting Clayton to Brentwood through Marsh Creek Corridor 3 •Text •Text •Text Background & Objectives “The purpose of the path would be to provide a safe, useful and enjoyable transportation corridor for various forms of non‐motorized travel, including pedestrian, equestrian and bicycle users.” 4 •Text •Text •Text What this Plan is (and isn’t) •Goal of the project is to assess the feasibility of a possible trail and multi-modal facility in the Marsh Creek corridor •This is not a plan to engineer, build, or construct a trail •Costs, topography, environmental constraints, safety considerations, and demand all factor into feasibility •Study does not commit the county to move forward with the design of the trail, or decide if/when the trail will be built •No eminent domain or forced sale of property for this trail 5 •Text •Text •Text Existing Conditions •Relationship to other plans and policies •County Vision Zero Plan (2021) •County Active Transportation Plan (2022) •Natural Resources Inventory •Basemap Development •Demand Analysis Report Overview 6 Public Engagement Report Overview •Technical Advisory Committee •Project website •Pop-up events •Design workshop •Property Owner workshop •Field review •Draft Plan public workshop 7 Approach to Trail Alignment Report Overview •Public lands first approach •Create access to existing public spaces •Minimize impacts to property owners •Refinements to the alignment will be necessary in future phases if the project advances 8 Trail Design Principles & Typologies Report Overview •Overview of design considerations and best practices •Creek setback requirements and opportunities for rehabilitation •Details on supportive amenities including staging area and trailhead recommendations •Considerations for special design considerations given the topography and constraints 9 Implementation & Phasing Report Overview Corridor split into 3 segments: •Phase 1: Clayton City Limits to Clayton Ranch •Phase 2: Clayton Palms to Round Valley •Phase 3: Dark Canyon Phasing is based on the constraints, opportunity to connect existing facilities, and public feedback. Note: EBRPD conducted planning study for segment from Round Valley to Brentwood. 10 East Bay Regional Park District Implementation & Phasing Report Overview •Phase 1: Clayton City Limits to Clayton Ranch - $19.1m •Phase 2: Clayton Palms to Round Valley - $7.1m •Phase 3: Dark Canyon - $16.5m Cost estimates are high level and will need to be adjusted over time. Multiple funding sources will be required. 12 Implementation & Phasing Report Overview •There is no eminent domain or forced sale of property for this trail •Access will depend on arrangements with willing sellers •This could include the purchase of an easement that would preserve agricultural operations •Can include the potential for trail closures during key periods of land activity if trail use might interfere with operations or safety 13 Draft Plan Feedback •Concerns about risks to adjacent property owners, including fire risk, liability, personal safety, privacy, and impacts to ranch and livestock operations •Draft provides a high-level overview of how these details would be addressed in a management plan for the trail •Best practices for safety, maintenance, and mitigation of liability/risk •At this time, no owner/operator has been identified 14 Draft Plan Feedback •Support for on-road improvements and desire for better bike connections between East and Central CCC •Adopted Vision Zero and Active Transportation Plans both speak to these items •Support for coordination with existing recreational resources and agencies such as EBRPD and State Parks 15 TWIC Feedback •Recommended incorporating minor changes to reflect comments received from the public •Recommended advancing to the full Board of Supervisors for approval 16 •Text •Text •Text Requested Action •ACCEPT the Marsh Creek Corridor Trail Feasibility Study and DIRECT staff to coordinate with corridor stakeholders to pursue funding opportunities for implementation, as recommended by the Transportation, Water and Infrastructure Committee •If approved, staff would monitor opportunities to seek funding for additional planning and community outreach and report back to the Board 17 Questions? Jamar Stamps, AICP e: Jamar.Stamps@dcd.cccounty.us p: 925-655-2917 http://www.contracosta.ca.gov/MCT_Study Marsh Creek Corridor Multi-Use Trail Feasibility Study Prepared for: Contra Costa County May 2022 WC18-3536 Table of Contents Executive Summary ........................................................................................................................ i Public Engagement ...................................................................................................................................................................... i Environmental Assessment ....................................................................................................................................................... i Development of Alignments .................................................................................................................................................... ii Implementation and Phasing .................................................................................................................................................. ii 1. Existing Conditions ................................................................................................................... 1 Summary of Existing Plans and Data .................................................................................................................................... 2 CCTA Bicycle and Pedestrian Plan ................................................................................................................................. 2 East Bay Regional Parks District Master Plan ............................................................................................................ 3 Contra Costa County General Plan ............................................................................................................................... 4 CCTA Countywide Transportation Plan (2017) ......................................................................................................... 4 Contra Costa Vision Zero Action Plan and Systemic Safety Analysis Report ............................................... 5 Contra Costa Active Transportation Plan ................................................................................................................... 6 Natural Resources Inventory ................................................................................................................................................... 6 Base Map Development ............................................................................................................................................................ 6 Demand Analysis .......................................................................................................................................................................... 7 2. Public Engagement ................................................................................................................... 8 3. Development of Trail Alignments ......................................................................................... 12 4. Trail Design Principles ............................................................................................................ 13 Trail Design Standards and Guidelines ..............................................................................................................................13 Contra Costa County Trail Guidelines ........................................................................................................................13 Caltrans Bicycle and Pedestrian Standards and Guidelines ..............................................................................13 Federal ADA Trail Guidelines .........................................................................................................................................13 AASHTO Guidelines ..........................................................................................................................................................15 Guide for the Development of Bicycle Facilities, 4th Addition (2012). .........................................................16 Guide for the Planning, Design, and Operation of Pedestrian Facilities (2004) ........................................16 Trail User Types and Trail Design Preferences ................................................................................................................16 Multi-Use Trail Design Principles for Natural Settings ................................................................................................19 Trail Design Considerations for Steep Slopes .................................................................................................................22 Trail Width ............................................................................................................................................................................22 Trail Gradient .......................................................................................................................................................................22 Trail Surfacing......................................................................................................................................................................24 Switchbacks and Climbing Turns .................................................................................................................................27 Retaining Walls ...................................................................................................................................................................28 Creek Setback Requirements ................................................................................................................................................30 Staging Area Design .................................................................................................................................................................33 Trail Amenities ....................................................................................................................................................................35 Staging Area Amenities ...................................................................................................................................................36 Trailhead Amenities ..........................................................................................................................................................37 On-Trail Amenities ............................................................................................................................................................38 5. Potential Trail Typologies for Marsh Creek Corridor .......................................................... 39 Steep Slope - Retaining Wall/Switchback Location .....................................................................................................39 Road Crossings ...........................................................................................................................................................................42 On Roadway .................................................................................................................................................................................43 On Driveway or Fire Road .......................................................................................................................................................45 Flat Land + Trail ..........................................................................................................................................................................46 Detached from Road, Adjacent to Creek ..........................................................................................................................48 Detached from Road and Creek ...........................................................................................................................................50 6. Implementation Considerations ............................................................................................ 52 Phasing ...........................................................................................................................................................................................52 Phase 1: Clayton City Limits to Clayton Ranch .......................................................................................................52 Phase 2: Clayton Palms to Round Valley Regional Preserve ............................................................................52 Phase 3: Dark Canyon ......................................................................................................................................................53 Cost Estimates .............................................................................................................................................................................55 Environmental Assessment ....................................................................................................................................................55 Property Acquisition and Access Options ........................................................................................................................56 Outright Acquisition – Fee Title ...................................................................................................................................57 Easements .............................................................................................................................................................................57 Licenses ..................................................................................................................................................................................57 Funding ..........................................................................................................................................................................................57 Local Sources .......................................................................................................................................................................57 Regional Sources ...............................................................................................................................................................58 State Funding Sources .....................................................................................................................................................59 Federal Sources ..................................................................................................................................................................60 Liability, Maintenance and Management .........................................................................................................................61 Liability ...................................................................................................................................................................................61 Risk Reduction Strategies ...............................................................................................................................................62 Operation and Maintenance .........................................................................................................................................63 Public Information .............................................................................................................................................................65 Insurance and Waivers .....................................................................................................................................................65 Summary of Public Comments .................................................................................................. 72 Appendices Appendix A: Natural Resources Inventory Appendix B: Demand Analysis Appendix C: Corridor Maps Appendix D: Cost Estimates Appendix E: Environmental Assessment Appendix F: Summary of Comments Received on Draft Feasibility Study Project Team Fehr & Peers TrailPeople Mark Thomas Environmental Science Associates (ESA) i Executive Summary The Marsh Creek Corridor Multi-Use Trail Feasibility Study was initiated to assess the opportunity to develop a new multi-purpose recreational facility along the Marsh Creek and Marsh Creek Road corridor. As ultimately envisioned, the trail would create a new major non-motorized thoroughfare for expanded commuting and recreational opportunities. The purpose of the trail is to provide a safe, useful, and enjoyable transportation corridor that supports multiple forms of non-motorized travel, including pedestrians, bicyclists, and equestrians. The goals of the study include: • Evaluate the potential for a multi-modal trail providing connectivity from the trail system in the City of Clayton to the Round Valley Regional Preserve • Conduct extensive public engagement to understand the needs and concerns of groups including residents, advocacy groups, and rural and disadvantaged communities • Develop a trail alignment that minimizes impacts to private property and retains privacy for residents • Identify restoration opportunities along Marsh Creek to occur in conjunction with trail development opportunities • Assess environmental constraints and impacts that may constrain trail development • Identify a phased approach for implementation Public Engagement Throughout the plan process, public outreach to the surrounding communities was critical to ensure trail development and feasibility included the needs and considerations of community members and property owners along the corridor. Engagement undertaken as part of the study included the formation of a technical advisory committee, pop-ups events at public locations for community members to provide feedback, direct outreach to property owners, field visits, public workshops, and online engagement tools. Feedback provided through these channels was used to develop initial trail alignments, revise these alignments to reduce impacts to property owners, and ultimately arrive at a set of recommendations for trail design, phasing, and implementation considerations for Marsh Creek Trail. Additional details on public engagement activities can be found in Chapter 2. Environmental Assessment Given the sensitive ecological nature of the Marsh Creek corridor and its inclusion in the Habitat Conservation Plan and Natural Community Conservation Plan (HCP/NCCP, particular attention was paid to ii developing trail alignments that avoided sensitive ecological areas to the extent feasible. A natural resources inventory was completed early in the process to examine the distribution of common and sensitive vegetation communities, aquatic habitat, and special-status species (further details in Chapter 1). Given the constrained topography of the study corridor, there are multiple instances where the trail alignment will fall within the preferred creek setback outlined in the HCP/NCCP. This presents an opportunity to conduct creek restoration activities during trail construction. Subsequent to the development of alignments, a Phase 1 Environmental Site Assessment was conducted to identify environmental conditions along the alignments that may represent hazards. No Recognized Environmental Conditions (RECs), Historical Recognized Environmental Conditions (HRECs), or Controlled Recognized Environmental Conditions (CRECs) were observed relative to hazardous materials, hazardous waste, or chemical use, storage, or disposal. A summary of the Environmental Assessment can be found in Chapter 6, while the full assessment can be found in Appendix E. Development of Alignments The development of potential trail alignments was shaped by the project goals and public feedback received throughout the study. Alignments were developed with consideration for a multitude of factors, which included: • A public lands first approach, beginning with identifying opportunities to link sections of land currently under public control, or in conservation through Save Mount Diablo • A strong desire from the public to minimize encroachment upon private property, except where necessary to link parcels of publicly dedicated land • An alignment that roughly follows the curvature of the creek and Marsh Creek Road • Minimize the number of roadway crossings to reduce user exposure to vehicular traffic • Consideration of an on-road option in some locations to accommodate road cyclists and to avoid areas where significant disruption to private lands or environmental settings would otherwise occur • Use of existing fire roads, access roads, and trail segments where possible to minimize impacts to undisturbed land Implementation and Phasing A phased approach to implementation is recommended to complete the Marsh Creek Corridor Trail. The first phase would stretch from Clayton to just past Morgan Territory Road. This section offers a near-term opportunity to link the existing trail system in Clayton to proposed trails under consideration by the East Bay Regional Parks District (EBRPD) on the Clayton Ranch Property. With the least number of topographical constraints, the recommended second phase of the project would link existing trails in Round Valley Regional Preserve to the Clayton Palms Community. Similar to the first iii phase, this would capitalize on existing non-motorized facilities to provide expanded recreational access for residents and visitors. The third phase of the project would fall in the middle of the Marsh Creek Road corridor, in the area locally referred to as Dark Canyon. As the name suggests, this section of trail is faced with the greatest number of topographical constraints, which may require the trail to be developed with a larger number of retaining walls or in closer proximity to the creek and/or roadway. The completion of the third phase would allow for a complete non-motorized facility connection from Round Valley Preserve to the Clayton City Limits, for a total trail length of approximately 13 miles. Chapter 6 provides additional detail on implementation, including resources for funding, as well as liability, maintenance, and management considerations. Big Bend (Marsh Creek 8) property; photo courtesy of Save Mount Diablo 1 1. Existing Conditions The approximately 12.5-mile Marsh Creek corridor travels through rolling hills between the communities of Clayton on the west and Brentwood on the east. The creek corridor is adjacent to numerous state and regional parks, and currently includes mostly rural residences, ranches and farms, open space, and parks, with two small denser areas of residential parcels. The creekshed is home to multiple habitat types, including agricultural lands, grasslands, various oak woodlands, and a riparian corridor along the creek, The proposed Marsh Creek trail alignment would create a new public connection from the eastern edge of the City of Clayton to the Round Valley Regional Preserve at the eastern end of the corridor. Marsh Creek Corridor Multi-Use Trail – Study Area Marsh Creek Road roughly traces the path of the creek and is a major east-west thoroughfare connecting Central and East Contra Costa County. In the present state, the roadway is a winding two-lane rural road that passes through scenic ranch lands and open space on the flank of Mount Diablo. The roadway’s cross section varies with the terrain it traverses but is generally a two-lane roadway with limited to no shoulder along much of the corridor. Marsh Creek Road has limited intersections but provides access to private 2 property at driveways along the corridor. There is no roadway lighting along much of the corridor. The posted speed limit ranges from 45 to 50 mph. Sight distance is limited at several locations due to the horizontal curvature of the road and topography that blocks views. Within the city limits of Clayton, Marsh Creek Road has an existing Class II Bicycle Lane, which provides connection to numerous trails and other bicycle and pedestrian facilities. In the eastern portion of the County, a segment of the existing Marsh Creek Trail connects the Big Break Regional Shoreline to the southern limits of Brentwood. A project to extend the trail from the Brentwood city limits to Round Valley Regional Reserve is currently in progress. The Marsh Creek Road corridor serves primarily vehicular traffic but does see some limited use by bicyclists. Most of the land use along the corridor is dedicated to agricultural, open space, and parks and recreation. Several parks and destinations for recreational activities exist along the corridor. Access to Mt. Diablo State Park is provided via multiple staging areas and trailheads along Marsh Creek Road and Morgan Territory Road. Round Valley Regional Preserve is accessed via a staging area and parking lot located at the eastern end of the study corridor. Marsh Creek Road also provides access to Morgan Territory Road and the Morgan Territory Regional Preserve. Diablo View Middle School is located along Marsh Creek Road at the western end of the corridor. Near the corridor’s eastern end, several schools are located within the City of Brentwood’s southern limits. Summary of Existing Plans and Data Available information relating to the Marsh Creek Trail Feasibility Study was reviewed on existing conditions, relevant plans and policies, and emerging best practices. Several sources of information were reviewed, including the 2018 Contra Costa Transportation Authority (CCTA) Countywide Bicycle and Pedestrian Plan (CBPP), county policy and design standards, as well as other available baseline data such as as-built drawings, right-of-way drawings, parcel maps, GIS data, and usage/data reports. CCTA Bicycle and Pedestrian Plan The 2018 update to the CBPP includes an extensive review of local and countywide policies as well as best practice design guidelines. Much of the information found within the report may prove useful in helping to inform the trail feasibility study for the Marsh Creek corridor. The 2018 CBPP proposes a network of bicycle facilities that when completed, “will provide facilities to connect Contra Costa’s communities and key destinations, serve all ages and abilities by addressing the barriers created by high-stress arterials and collectors, and create a regional “backbone” that connects and supports more local bikeways.” This Countywide Bikeway Network (CBN) identifies potential corridors to be prioritized for the planning of bicycle facilities, as well as existing facilities that will help make connections throughout the network. The CBN will consist of only “regionally significant” facilities that operate at low Levels of Traffic Stress (LTS), LTS 1 or 2. The Marsh Creek Trail is included in the CBN’s roughly 513 miles of proposed bicycle facilities. 3 Information on the CBPP can be found at https://ccta.net/projects/countywide-bicycle-and-pedestrian- plan/. Level of Traffic Stress The 2018 update to the CBPP introduced a new metric used to evaluate the level of comfortability bicyclists experience along a roadway. Levels of Traffic Stress are assigned to a roadway based on several stress-inducing factors, including vehicle speed, number of vehicles, number of lanes, and the presence and width of bicycle facilities. LTS rankings range from 1 (low stress) to 4 (high stress). The category of “Interested but Concerned” cyclists comprise a majority of potential bicyclists, and are most likely to make use of bicycle facilities that operate at LTS 1 or 2. It is for this reason the CBPP designates all routes within the CBN to be LTS 1 or 2. A more detailed description of these Levels of Traffic Stress are provided below: LTS 1: Physically separated from traffic or low-volume, mixed-flow traffic at 25 mph or less. Bike lanes are six-feet-wide or more. Intersections are easy to approach and cross. The facility is comfortable for children. LTS 2: Bike lanes are 5.5-feet-wide or less, next to 30 mph vehicular traffic. Unsignalized crossings of up to 5 lanes at 30 mph exist. The facility is comfortable for most adults. This ranking is typical of bicycle facilities in the Netherlands. LTS 3: Bike lanes are next to 35 mph auto traffic or mixed-flow traffic at 30 mph or less. The facility is comfortable for most current U.S. riders. This ranking is typical of bicycle facilities in the United States. LTS 4: No dedicated bicycle facilities are present. Traffic travels at speeds of 40 mph or greater. The facility is comfortable only for the “strong and fearless” riders, also known as “vehicular cyclists”. Marsh Creek Road has an existing LTS ranking of 4. The CCTA CBPP identifies Marsh Creek Road as part of the CBN with a ranking of LTS 2, but does not identify a specific facility type for the corridor. Generally, the higher the speed and volume of a road, the more protective the recommended bikeway should be to achieve the desired LTS. Given the high speed of traffic along Marsh Creek Road, an on-road separated facility (such as a Class IV separated bikeway) would likely be the recommended treatment to achieve LTS 2, while a fully separated facility (such as a trail or Class I Path) would likely achieve LTS 1. East Bay Regional Parks District Master Plan Most recently updated in 2013, the East Bay Regional Parks District (EBRPD) Master Plan provides guidance, policies, and descriptions of the programs undertaken by EBRPD to guide the stewardship and development of parks within the district. Covering all of Alameda and Contra Costa counties, the district is the primary provider of regional park facilities and activities for the area. Two EBRPD properties, the Round Valley Regional Preserve and Clayton Ranch, abut the Marsh Creek Corridor study area. Round 4 Valley is open to the public for hiking, horseback riding, and bicycling (with some restrictions), while Clayton Ranch is identified as a future regional preserve and is not currently accessible to the public. The master plan can be viewed at https://www.ebparks.org/master-plan. Contra Costa County General Plan Contra Costa County is currently in the process of updating their general plan. The General Plan outlines the County’s goals for physical growth, conservation, and community life in the unincorporated area, and contains the policies and actions necessary to achieve those goals. County staff members use the general Plan to guide decisions about zoning, permitted development, provision of public services, and transportation improvements. The County’s current General Plan was adopted in 1991 and updated twice; once for 1990 – 2005 and again for 2005 – 2020. The updated General Plan, titled “Envision Contra Costa 2040”, will respond to current concerns about sustainability, environmental justice, and affordable housing, while carrying forward enduring County values like balancing growth and conservation. More information on the General Plan update can be found at https://envisioncontracosta2040.org/. CCTA Countywide Transportation Plan (2017) The Countywide Transportation Plan (CTP) provides the overall direction for achieving and maintaining a balanced and functional transportation system within Contra Costa County while strengthening links between land use decisions and transportation. Adopted by CCTA in 2017, Volume 1 of the CTP provides the county’s vision, goals, and strategies surrounding the countywide transportation network, a review of issues facing the transportation system, and an overview of the cooperative planning process. Volume 2 contains a summary of the CTP Action Plans, along with a performance and equity evaluation of major projects; those costing more than $25 million. Relevant projects identified in the CTP include the Marsh Creek Road Curve Realignment project, which would realign certain curves on segments between Aspara Drive and Deer Valley Road to improve safety and operations. East County Action Plan for Routes of Regional Significance (2017) Tiering off of the CTP, the Regional Transportation Planning Committees generated updated Action Plans for Routes of Regional Significance. The Action Plans identify a series of Regional Routes that provide the main connections throughout and between Contra Costa’s Communities. In the East County Action Plan, completion of unbuilt segments of regional multipurpose trails (including the Marsh Creek Trail) is noted as an implementing action under the goal of improving multimodal mobility and decreasing single- occupant vehicle travel. The CTP and associated Action Plan can be found at https://ccta.net/planning/2017-countywide- transportation-plan/. 5 Contra Costa Vision Zero Action Plan and Systemic Safety Analysis Report The purpose of Contra Costa County’s Vision Zero Action Plan (adopted in 2022) is to identify opportunities to enhance safety for all modes through implementation of a Safe System approach. The report builds upon the engineering-focused Systemic Safety Analysis Report (SSAR) to provide a comprehensive, multidisciplinary and holistic approach to safety. The goal of the Action Plan is to eliminate fatalities and severe injuries through existing efforts and programs, along with implementation of additional recommendations. Based on collision data from 2014 through 2018 (the latest available years at the time of the study), the SSAR identified a High-Injury Network to spotlight roadways with a high concentration of severe injuries and fatalities, laying the framework for the development of targeted collision profiles and priority project locations. Marsh Creek Road was identified as part of the HIN, with 8 collisions where a victim was killed or severely injured in the timeframe analyzed. Ten priority projects focused on infrastructure improvements were recommended, with the Action Plan also providing further non-infrastructure recommendations to cover a range of Safe System elements, such as safe roads, safe road users, safe speeds, and post-crash care. Safety improvements on Marsh Creek Road from west of Deer Valley Road to Clayton city limits were one of the ten priority “Tier One” projects identified in the Action Plan. The collision history includes seven vehicle-involved KSIs (two DUI hit object, one speeding and overturned, two improper turning hit object, two wrong-way driving), and one bicycle-involved vehicle improper passing KSI. Recommended improvements include curve-warning signs, rumble strips, speed feedbacks signs, and other roadway improvements that would benefit both motorists and bicyclists. Trimming vegetation and installing lighting to provide more visibility is also recommended, with intersection lighting at Morgan Territory Road specifically identified as a potential improvement. The recommended improvements also include installation of paved pullout areas for traffic enforcement, including locations near Morgan Territory Road, Sycamore Springs Road, and Deer Valley Road. Improvements on Marsh Creek Road from Deer Valley Road to Camino Diablo are identified as one of the twenty Tier Two projects, representing a priority or important location for which future funding and prioritization will be considered following the implementation of Tier One projects. Additionally, rural roadway contexts such as Marsh Creek Road are one of the focal points of the collision profiles of emphasis within the Plan, which identified safety issues including roadway departure collisions, vehicles crossing into opposing lanes, and bicycles and pedestrians being struck due to the lack of dedicated bike facilities or sidewalks. The recommended improvements identified in the SSAR and Vision Zero Action Plan are consistent with the goal of this study to improve safety for all users. The full Vision Zero Action Plan and preceding Systemic Safety Analysis Report can be found at https://www.contracosta.ca.gov/8532/Vision-Zero. 6 Contra Costa Active Transportation Plan Contra Costa County's Active Transportation Plan (ATP) focuses on developing safe, comfortable, and feasible walking and biking projects throughout unincorporated Contra Costa County. Adopted in April of 2022, the ATP provides a set of comprehensive, grant-ready projects that the County can put directly into action. Within the plan and in keeping with this study, Marsh Creek Road is identified as a potential location for both Class II bicycle lanes and a Class I bicycle and pedestrian multi-use facility. The adopted ATP can be found at https://www.contracosta.ca.gov/8533/Active-Transportation. Natural Resources Inventory A natural resources inventory was conducted along the project corridor to examine the distribution of common and sensitive vegetation communities, aquatic habitat (creeks, ponds, and seasonal wetlands) and special-status species. This inventory consisted of a two-step approach including a desktop review and field assessment of sensitive biological resources within the approximately 12-mile trail study corridor. Full results from this inventory can be found in Appendix A. Staff stopped at numerous locations along the corridor during a field assessment of the Marsh Creek Road corridor, including a 300-foot buffer zone around the roadway. The field assessment verified habitat classification, creek and drainage locations, water presence, identified seasonal ponds and wetlands, mapped invasive plant species, and determined potential suitable habitat for special-status species. Data from this inventory was used to inform the selection of trail alignment concepts as well as the initial environmental assessment presented in later sections of this report. Base Map Development To establish a blueprint of the physical environment, an extensive dataset was developed and used to create a series of maps for the trail corridor. Components evaluated during the base map effort included: • Utilities: mapping of existing utilities to identify conflicts with potential trail alignments and associated cost implications. This included the locations of water, wastewater, electrical, and phone utilities • Topography and Planimetric Features: a topographic model of contours and elevations, including features such as buildings, roads, fences, vegetation, and trees that were relevant to the study area • Intersections and Access Points: a GIS map series was developed to address existing intersections, access points, and future opportunities for vehicular, pedestrian, bicycle, and wildlife crossings, and equestrian access to and through the corridor • Right of Way Assessment: public and private land ownership was mapped throughout the corridor, as well as existing transportation facilities • Physical and Natural Resources: including potential protected species habitats, drainage and erosion control conditions and issues, and soils information 7 The basemapping effort and compilation of several data sources resulted in a set of maps that best represents the current conditions and potential constraints with which to plan a new trail alignment along the corridor. The maps were used to identify opportunities, barriers, and concerns for trail alignments in subsequent tasks. Demand Analysis The proposed trail corridor is in a predominantly rural landscape and would connect a small suburban community to a mid-sized suburban community, with many agricultural land uses and parklands in between. A demand analysis was conducted to assess whether there is demand for a trail along this corridor, and if so, the potential usage when and if it is completed. Data was collected on the location, number, and type of origins and destinations along the trail; the current use by pedestrians and bicyclists of the corridor and adjacent areas; and the number and type of users along trails with similar characteristics. This information was used to understand the number, type (recreational vs. commuting), and activity (hiking, walking, bicycling, horseback riding, etc.) of trail users that should be expected along the trail. Currently, there are low levels of walking and bicycling along the existing roadway due to the lack of designated facilities for these uses. The demand analysis found that due to the scenic nature of the corridor, the number of regional parks, existing travel patterns in the area, and the size of adjacent communities, there is significant demand for a trail along Marsh Creek. However, each user type and activity have specific design and connectivity- related demands, which must be accommodated during the future phases of trail design for significant trail use to be actualized. These needs have informed the recommendations found in the Corridor Design Considerations section of this report, and include the need for trailside amenities, separation from the roadways and shade for user comfort, connections to parks and recreational centers, and the need for a parallel natural surface to facilitate equestrian use. It is anticipated that the proposed Marsh Creek Trail would be a well-used and appreciated trail if designed to safely and attractively accommodate all users. The full demand analysis, including case studies of other trails, can be found in Appendix B. 8 2. Public Engagement Throughout the plan process, public outreach to the surrounding communities was used to ensure trail development and feasibility included the needs and considerations of community members and property owners along the corridor. This Chapter provides an overview of this outreach. Technical Advisory Committee A project steering committee was established and consulted at key points throughout the project. Consisting of agency, community, and technical stakeholders, the group provided valuable insights early in the project. In addition to departmental staff from Contra Costa County, participants included representatives from a mix of public and non-profit entities, including: • East Bay Regional Park District ◦ The East Bay Regional Park District is a special district operating in Alameda County and Contra Costa County. It maintains and operates a system of regional parks which is the largest urban regional park district in the United States, including over 125,186 acres and 73 regional parks, recreation areas, wilderness, shorelines, preserves and land bank areas. • Save Mount Diablo ◦ Save Mount Diablo is a nationally accredited land trust and conservation organization founded in 1971, with a mission to forever preserve the remaining natural lands on and around Mount Diablo, and to connect Mount Diablo to its sustaining Diablo Range. • Bike East Bay ◦ Bike East Bay is a Californian non-profit organization that has worked since 1972 toward "promoting bicycling as an everyday means of transportation and recreation" in Alameda and Contra Costa counties in California's East Bay. • Greenbelt Alliance ◦ Greenbelt Alliance is a San Francisco Bay Area nonprofit organization founded to help the region handle growth in a way that protects precious open spaces while focusing equitable, climate-smart growth within existing urban areas. • California Department of Parks and Recreation ◦ More commonly known as California State Parks, the system manages the California state parks system with a goal of preserving biological diversity, protecting natural and cultural resources, and creating opportunities for high-quality outdoor recreation. • Contra Costa Resource Conservation District 9 ◦ Formed in 1941, CCRCD is a non-regulatory special district of the state whose mission is to facilitate conservation and stewardship of natural resources in Contra Costa County. Project Website A project page, housed on the County’s website, was created to help inform the general public of the Project’s purpose, progress and resources and gave an opportunity to provide feedback. An online web-map was used to gather specific feedback from the public regarding potential trail alignments. The tool was useful in gathering information regarding any potential constraints or concerns seen by the corridor’s users and residents, and the information received helped inform the final trail alignment alternative. The project page can be viewed at http://www.contracosta.ca.gov/MCT_Study. Pop-Up Events Part of the project team’s public outreach efforts included attendance at two Farmer’s Markets; one held in Brentwood and one in Clayton. At both events, consultants and County staff occupied an informational booth with handouts, flyers and other visuals to help promote the Marsh Creek Corridor Feasibility Study. In addition to learning about the project and its envisioned alignment, members of the public had opportunities to provide feedback and suggestions via written comment cards and conversations with the project team. The project received positive feedback from community members who supported the idea of better bicycle and pedestrian facilities in the area, and the opportunity for greater connectivity between local and regional recreational facilities (for example, from Clayton to the Marsh Creek corridor). The outreach events also provided a valuable opportunity to hear the concerns of property owners throughout the corridor who may be potentially affected by the trail’s alignment. Property owners expressed concerns about liability implications, fire safety, impacts to cattle ranching operations, and personal safety. Property owners also provided valuable feedback on constraints and existing conditions in the corridor. Comments and feedback provided at the pop-up events were reflected in the approach to and development of preliminary trail alignments. 10 Trail Alignment and Property Owner’s Workshop Following the development of draft trail alignments, a workshop was held with property owners along the Marsh Creek corridor, as well as the general public. The goal of the workshop was to provide an overall update on the project, solicit feedback on the draft trail alignment maps, and inform property owners about the status of the study and results of early deliverables, such as environmental considerations. Due to the Covid-19 pandemic, the workshop was hosted via Zoom. Attendees were invited to submit comments on the draft alignments. An online web-commenting tool was developed to allow for location specific comments on specific alignment segments. Comments received focused mainly around concerns on the impacts to specific property; for example, where the trail was seen to pass too close to a residence, or where there was local knowledge to indicate a concern with the surrounding topography. This feedback directly informed updates and modifications to the draft trail alignments. 11 Field Visit In conjunction with the property owner’s workshop, the project team was invited to do a field review and meeting with a handful of property owners in the eastern section of the project area. Participants shared their concerns about the impacts to local ranching operations, fire-safety and personal liability concerns, and knowledge about the seasonal variations in water heights and banks that regularly occur in the creek shed. The field visit supported the modifications made to the alignments following the previously discussed workshop, which emphasized moving the trail away from private residences. Draft Plan Workshop The public draft of this plan was released for comment and review in November 2022. A virtual public workshop was held to review the plan and solicit comments and questions. Eighteen comment letters were also received via e-mail directed to County staff. Details on these comments are summarized in Appendix F. The plan was then presented to the Transportation, Water, and Infrastructure Committee of the Board of Supervisors in December of 2022. In response to comments, adjustments were made to the conceptual trail alignment, and clarifications were provided to address concerns around fire risk, liability, and maintenance of the proposed trail. These items would be addressed in greater depth in a trail management plan, when an operator is selected if the project proceeds to construction. 12 3. Development of Trail Alignments This section provides an overview of the process used to identify potential trail alignments. The development of potential trail alignments for the purposes of identifying opportunities and constraints was shaped by a multitude of factors, which included: • A public lands first approach, beginning with identifying opportunities to link sections of land currently under public control, or in conservation through Save Mount Diablo • A strong desire from the public to minimize encroachment upon private property, except where necessary to link parcels of publicly dedicated land • An alignment that roughly follows the curvature of the creek and Marsh Creek Road • Minimize the number of roadway crossings to reduce user exposure to vehicular traffic • Consideration of an on-road option in some locations to accommodate road cyclists and to avoid areas where significant disruption to private lands or environmental settings would otherwise occur • Use of existing fire roads, access roads, and trail segments where possible to minimize impacts to undisturbed land The alignments are shown in Appendix C and went through multiple iterations. The development included a project team design charrette to identify initial alignments that would link public lands. These alignments were further modified to minimize impacts following review from Save Mount Diablo, public feedback through a workshop and online map as detailed in the previous chapter, and a review of potential environmental and natural resource impacts. It is anticipated that additional refinements to the trail alignments will be necessary to capture specific, nuanced topographical, environmental, and construction considerations as sections move forward into implementation. The trail may also be adjusted if additional parcels of land become publicly held or move into conservation. 13 4. Trail Design Principles Many segments of the Marsh Creek Trail study corridor feature rugged terrain with grasslands, oak woodlands, riparian vegetation, and chapparal. This calls for a trail design (width, slope, turn radii) that accommodates the widest range of users balanced with potential environmental effects including ground disturbance, removal of trees and related habitat, and trail construction and maintenance costs. Design considerations and their relative trade-offs are described in this chapter. Trail Design Standards and Guidelines Contra Costa County Trail Guidelines The Contra Costa County Trail Design Resource Handbook (2001) is focused on paved bicycle trails and the configuration of roadway crossings for these trails, including signage. It does not address trails in challenging topographic or environmental settings. Caltrans Bicycle and Pedestrian Standards and Guidelines Providing ADA-accessible bicycle and pedestrian connections is typically a Caltrans requirement. This usually means meeting standards for a Class I Bike Route/shared use path as defined in the Caltrans Highway Design Manual: Chapter 1000 Bicycle Transportation Design (2015). Chapter 1000 requires a paved surface, a maximum 5% gradient, or 8.33% gradient on ramps with regular level resting intervals, and typically a minimum 10-foot clear width. However, segments of Marsh Creek Trail, such as the northern steep slope trail connection, will be an unpaved recreational trail unconnected to ADA-accessible trails, parking, or other facilities. This portion cannot be expected to comply with full ADA access or “Class I” shared use path standards, though the design should strive to meet trail guidelines described below. Caltrans design guidelines recognize several federal ADA guidelines specific to trails. In the Caltrans Design Information Bulletin concerning ADA access, Section 4.3.18 on Trails refers to and adopts as design standards trail guidance provided within Sections 1016 through 1018 of the federal “Outdoor Developed Areas” guidelines. Federal ADA Trail Guidelines The federal Architectural Barriers Act (ABA) Accessibility Guidelines; Outdoor Developed Areas (AGODA), are a set of standards adopted by the Architectural and Transportation Barriers Compliance Board and are included in the 2015 ABA Standards. These standards apply to trails built by federal agencies or on federal lands. While non-federal agencies may choose to adopt these guidelines, they are example guidelines for trail construction by non-federal agencies. Under AGODA, recreational trails have an established set of criteria that allows for deviance from the ABA trail standards that apply to the “path of travel” between developed facilities. These recreational trail guidelines respond to natural conditions and constraints. 14 Similarly, access routes between developed facilities, such as picnic areas and overlooks, permit higher trail gradients in a prescribed manner at specific situations; however, the intent should be to align these features as much as feasible with the ABA standards. Section 1017.1 of these guidelines for trails lists two types of exceptions based on whether it is “impracticable” for a portion of the trail or the entire trail to comply: 1017 Trails 1017.1 General. Trails shall comply with 1017. EXCEPTIONS: 1. When an entity determines that a condition in 1019 [see below] does not permit full compliance with a specific provision in 1017 on a portion of a trail, the portion of the trail shall comply with the provision to the extent practicable. 2. After applying Exception 1, when an entity determines that it is impracticable for the entire trail to comply with 1017, the trail shall not be required to comply with 1017. The Outdoor Developed Area standards for trails contained in 1017 include the following key features: 1017.2 Surface – Firm and stable. 1017.3 Clear Tread Width – 36 inches minimum. 1017.4 Passing Spaces – 60 x 60 inches at intervals of 1,000 feet maximum. 1017.5 Tread Obstacles – Not to exceed 1/2 inch 1017.6 Openings – Does not allow the passage of a sphere more than 1/2 inch in diameter. 1017.7 Slopes – Not more than 30 percent of the total length of a trail shall have a running slope steeper than 1:12 (8.33%). The running slope of any segment of a trail shall not be steeper than 1:8 (12%). Where the running slope of a segment of a trail is steeper than 1:20 (5%), the maximum length of the segment shall be in accordance with Table 1017.7.1, and a resting interval complying with 1017.8 shall be provided at the top and bottom of each segment. Table 1017.7.1 Maximum Running Slope and Segment Length Running Slope of Trail Segment Maximum Length of Segment Steeper than But not Steeper than 1:20 (5%) 1:12 (8.33%) 200 feet 1:12 (8.33%) 1:10 (10%) 30 feet 1:10 (10%) 1:8 (12%) 10 feet 15 1017.8 Resting Intervals – 60 inches long minimum; at least as wide as the widest segment of the trail tread leading to the resting interval; slopes not steeper than 1:48 in any direction. The guidelines make it clear that trail project managers should consider Exception 1 first if only a portion of the trail is impracticable to make standard, or make a case for Exception 2 if it is indeed “impracticable” for the entire trail to comply with Section 1017, based on conditions described in Section 1019, below: 1019 Conditions for Exceptions 1019.1 General. Exceptions to specific provisions in 1011, 1013, 1014, 1015, 1016, 1017, and 1018 shall be permitted when an entity determines that any of the following conditions does not permit full compliance with the provision: 1. Compliance is not practicable due to terrain. 2. Compliance cannot be accomplished with prevailing construction practices. 3. Compliance would fundamentally alter the function or purpose of the facility or the setting. 4. Compliance is limited or precluded by any of the following laws, or by decisions or opinions issued or agreements executed pursuant to any of the following laws: • Endangered Species Act (16 U.S.C. §§ 1531 et seq.); • National Environmental Policy Act (42 U.S.C. §§ 4321 et seq.); • National Historic Preservation Act (16 U.S.C. §§ 470 et seq.); • Wilderness Act (16 U.S.C. §§ 1131 et seq.); or • Other federal, state, or local laws the purpose of which is to preserve threatened or endangered species; the environment; or archaeological, cultural, historical, or other significant natural features. ABA Section 1019, Conditions for Exception, provides exceptions to compliance with the technical standards identified in 1017 Trails. For the northern steep slope trail segment, compliance with the running slope requirements of 1017.7.1 is not feasible due to terrain and would likely be precluded by the National Environmental Policy Act, California Environmental Quality Act, and other state or local laws with the purpose of preserving threatened or endangered species, the environment, and significant natural features. Along the Marsh Creek Corridor, terrain is a limiting factor as land ownership constraints require the trail to be aligned at a particularly steep location. AASHTO Guidelines The American Association of State Highway and Transportation Officials (AASHTO) Guide for the Development of Bicycle Facilities (2012) and Guide for the Planning, Design, and Operation of Pedestrian Facilities (2004), contain further recommendation for the design of these facilities. 16 Guide for the Development of Bicycle Facilities, 4th Addition (2012). This is the authoritative national standard for designing on-street bicycle facilities and shared-use paths (trails). It includes chapters on bicycle planning, bicycle operations and safety, the design of on-road and shared use paths, bicycle parking, maintenance and operations. It provides design specifications for shared used paths including widths, clearances, design speeds, grades, stopping sight distances, bridges and underpasses, drainage, lighting, turn radii, intersection design (path to path and path to street), pavement markings, signs, and signals. (An updated 2019 version is under development.) The Guide recommends that shared-use paths be 12 feet or wider in areas with high use and a mix of pedestrians and bicyclists. A minimum of ten feet is acceptable in low-use areas and eight feet is acceptable for short distances where there are physical constraints (the Shared Use Path Level of Service Calculator is recommended to determine path width). Additional width is recommended along steep slopes and through curves. To accommodate all users, a maximum running slope of 5% is recommended. Path curvature should safely accommodate the fastest design speeds — typically bicyclists. These range from a 30 mph design speed (on hills) with a recommended minimum radius of 166 feet to a 12 mph design speed on flat natural surface path with a recommended minimum radius of 27 feet. Trails should be crowned or designed with a 1% minimum cross slope in the direction of the existing terrain. Where considerable run-off or freezing temperatures exist, a ditch should be placed on the uphill side. Guide for the Planning, Design, and Operation of Pedestrian Facilities (2004) This Guide provides nationally recognized recommendations on the planning, design and operation of pedestrian facilities with a focus on identifying effective measures for accommodating pedestrians on public rights-of-way. The Guide includes chapters on design regulations and guidelines, pedestrian characteristics and planning strategies, school and development design, traffic calming, designing roadways for safe pedestrian use, sidewalk design, intersection design, mid-block and grade-separated crossings, pedestrian-related signals and signage, sidewalk maintenance, and pedestrian accommodation in work zones. The Guide notes that two people walking side-by-side or passing one another require about five feet of space. For Shared Use Paths, the Guide notes that the Guide for the Development of Bicycle Facilities should be used, and that those guidelines also serve the needs of pedestrians. The Guide highlights the need for paths to be accessible and recommends consulting with the Guidelines for Outdoor Developed Areas (AGODA), which note that it may not be feasible to design all paths to accessibility standards (due to terrain, etc.), but it is desirable to remove as many barriers as possible and to post signage noting steep grades, narrow widths, or uneven surface conditions. Trail User Types and Trail Design Preferences There is a wide variety of types of trails, in which some types have specific standards, such as Caltrans Class I bike routes that are defined as multi-use paths, Americans with Disabilities Act (ADA) federal 17 standards and guidelines for access routes between developed facilities, and for trails that are destinations in their own right. The Marsh Creek Trail should be designed to adapt to its setting. In less constrained areas, where there is ample right-of-way and level ground, a Class I paved multi-use path up to 14 feet wide (at least eight feet wide to meet minimum standards) is appropriate, meeting ADA standards for accessibility. Such trails accommodate both wheelchairs and road bikes as well as pedestrians – the widest range of potential users. Ideally, an unpaved sidepath would be provided for equestrians and mountain bikes. In other settings it may be a narrow, rugged hiking/equestrian/mountain biking trail. In some cases, both trail types exist in parallel. An important objective of the current trail study and public engagement is to assess the demand for different user types and the public’s desire to accommodate them. Additional details on this are provided in Appendix B, Demand Analysis. There is a diversity of trail users, and people can’t necessarily be “pigeon-holed,” but there are some general categories of users: Wheelchair users and others with mobility constraints – ADA standards are intended to accommodate wheelchairs, but there are wheelchair athletes who tackle rough trails, and others who may be challenged to negotiate an ADA-compliant ramp. Some users have powered wheelchairs or other devices. This category includes seniors and others who may use walkers, crutches, canes, and other assistive devices. Casual walkers/hikers – people who prefer an easier, more developed trail, often because they are with family members or others who have a range of abilities, such as babies in strollers, young children, or seniors. They tend to walk side-by-side. These users tend to prefer not to be close to bikes moving at higher speeds. For these users wider, smoother, and gentler tends to be better. 18 Serious hikers and trail runners – tend to prefer a narrower, steeper, more challenging trail and the associated more natural setting. Road bicyclists – skinny tires typically require pavement, wider turns, and gentler grades than recreational trails. Serious road bicyclists tend to avoid multi-use trails, so they don’t have to contend with slower users. Marsh Creek Road experiences some touring cyclists, who may choose to ride on roadway shoulders and share the lane with motor vehicles where there is no shoulder. Casual road bicyclists, including those with young children, tend to travel at a slower pace and prefer dedicated bicycle facilities with a greater degree of separation from motor vehicles, especially on high-speed roadways. Mountain bicyclists – experienced riders tend to prefer technical single-track (narrower) trails; beginners may prefer wider, gentler unpaved roads, but those tend to contribute to speed, which creates more conflict with other users. 19 Equestrians – may be able to handle narrow, steep, challenging trails, but most riders prefer gentler, wider trails. Horses need to avoid surprises and need other users such as hikers and bicyclists to go to one side of the trail to allow them to pass. Many equestrians would prefer wider, gentler trails with more room for passing. Also, pavement isn’t good for horses – they require an unpaved surface or sidepath. Multi-Use Trail Design Principles for Natural Settings Laying out and designing trails in natural settings is both a science and an art. It takes a team experienced in trail planning, design, and construction to create a trail that is environmentally compatible and sustainable, and enjoyable by users. Basic principles are outlined in Figures 4-1 and 4-2. In combination, they help to meet key objectives: • Manage soil impacts – compaction, displacement and erosion • Keep water off the trail • Take people where they want to go with an enjoyable trail experience • Provide a gradual but varied route • Adapt to the existing slopes and drainage patterns • Protect natural resources • Mange bike speed by avoiding long straight steep sections For multi-use trails mixing hikers, bicyclists and potentially equestrians, it is important to maintain sight distance ahead to avoid surprise encounters, and to provide regular passing spaces at least six feet wide if the trail is narrower than this. Emergency access should be factored into design and is easier on a Class 1 path. Amenities and support features, such as wayfinding signage, map boards, and benches, are also important features for use and enjoyability. 20 Follow Natural Contours: Trails that follow natural contours shed water easily and are more functional for a broad range of users. Follow the “Half Rule:” A trail's slope should not be any greater than half the grade of the hillside it contours along. For example, if the slope of the hill the trail runs along is 16%, then the grade of the trail should be no more than 8%. This will allow water to flow across the trail, off the trail and continue down the slope. This is especially important along gentle slopes. Use a full bench trail on steep slopes: If feasible, use full bench (not partial bench) trail construction on steep side slopes. The outside tread is much less likely to fail or be worn away. Partial bench trails are typically feasible only on slopes of 20% or less. Outslope the Tread: The trail tread should be outsloped (sloped away from the hillside) at 3 to 4%. This will allow water that comes on to the trail to flow off downhill and not be channeled down the trail. Close and Reclaim Unsustainable Trails: Where existing trails cannot be improved, the entire route should be obliterated, and a suitable replacement route provided. Figure 4-1: Trail layout and design principles 21 10% Average Grade, Maximum: An average trail grade of 10% or less will be most sustainable, on most soils and for most users. For ADA compliance, and for accommodating the maximum range of users in a public setting where the terrain allows it, a maximum gradient of 5% is desirable, though ADA standards for trails allow steeper sections for compliant trails. Tread Watersheds and Grade Reversals: To avoid concentrating water on the trail, reverse grade often with a series of dips and crests. Dividing the trail tread into smaller watersheds minimizes erosion caused by water flowing along the tread. Small scale erosion will remain a problem within each watershed, but the problems will be more manageable. Depending on soil type and annual rainfall, a low point should occur every 20 to 50 linear feet. Use Drainage “Knicks” and “Rolling Dips:” Drainage “knicks” and “rolling dips” help drain water from the tread surface where rolling grades are not feasible. “Knicks” are used on gently sloped trails. “Rolling dips” are used on steeper slopes. Design with a Rolling Grade: Rolling grade trails climb slopes using a series of climbs and subtle drops. The change in grade allows water to drain off the trail tread. The series of curves and dips makes the trail more interesting for users, and provide short periods of downhill during long climbs. The curves also provide visual separation between groups of trail users. Avoid Switchbacks: Use climbing turns where feasible. If switchbacks are required, space them far enough apart to reduce visual impact and shortcutting. Crown switchbacks to improve drainage. Figure 4-2: Trail layout and design principles, continued 22 Trail Design Considerations for Steep Slopes Where a trail must traverse or climb up or down a steep slope there are important considerations and trade-offs for design of the trail to accommodate the widest range of users while preserving the most natural resources, and limiting cost and maintenance to a practical level. Trail Width A wider trail will accommodate a wider variety and volume of users. However, construction and maintenance costs, site disturbance, and tree removal tend to increase exponentially along with trail width. A consistent trail bench (relatively flat graded surface) width of six feet tends to yield a net trail width of four feet due to raveling of the cut and fill edges and encroachment of vegetation and tree litter. A wider trail bench would require an exponential increase in grading and expansion of ground disturbance, as illustrated in Figure 4-3. In many locations, particularly at climbing turns, high retaining walls would be required to maintain a stable trail and avoid more tree removal and graded area. Trail Gradient As the grade (or steepness) of the trail increases, the variety of people who are able to use the trail decreases. For example, people in wheelchairs and many people on bicycles would find it hard to use a trail where the grade is greater than eight percent. However, as the grade of the trail changes, the length of the trail alignment increases exponentially, as shown in Figure 4-4 and Figure 4-5. Figure 4-3. Example of different trail widths on steep slope and the exponential increase in soil removal 23 To meet accessibility requirements stated in the California State Parks Accessibility Guidelines, which take into consideration both federal and state regulations, whenever a route of travel exceeds a slope of 5%, a ramp must be provided. Should a ramp be required, it cannot exceed 8.3% in gradient and must have landings for every 30” of vertical gain, which equates to every 35’ of trail. The landings must be level (no more than 2% gradient), and no less than 60” wide in all directions. The guidelines are intended to allow all users to comfortably climb elevation and have adequate space to rest. California State Parks Accessibility Guidelines state that if a trail segment has a slope greater than 5% but not steeper than 8.33%, it cannot exceed 200’ in length and must have landings on either side of the segment. If the slope is greater than 8.33% but no steeper than 10%, the segment must be no longer than 30’ between landings. If the slope is between 10%-12% the maximum length of the trail between landings is 10’. No trail can exceed a 12% gradient if it is to be designated as accessible. Figure 4-4. Illustration of trail length at various slope percentages Figure 4-5. Change in length of trail needed to rise 10 feet at gradients of 7%, 10% Figure 4-6: Trail gradient requirements from California State Parks Accessibility Guidelines (2015) 24 Trail Surfacing The trail surface can be composed of a variety of materials including material found on-site. Types of surface materials can include compacted base rock, quarry fines, or decomposed granite (DG) with a polymer binder such as the proprietary Park Tread surface used on trails in the Golden Gate National Recreation Area. This accommodates a wider range of users but increases construction and maintenance costs. An asphaltic concrete (AC) trail would require further trail bed and hillside stabilization and have additional environmental impacts. If Park Tread were used it would likely require periodic maintenance to recondition the surface where any erosion of the surface or settlement of the subgrade had occurred. An asphaltic concrete (AC) trail would have a brittle surface that would require further trail bed grading, compaction, and hillside stabilization if asphalt cracking and settlement were to be avoided, and such work would have further environmental impacts during construction. Figure 4-8. Example of an asphaltic concrete (AC) trail Figure 4-7. Example of Park Tread surface near Golden Gate Bridge 25 Midpeninsula Regional Open Space District has had success on their access roads using a special base rock mixture, with smaller sized rock than the standard road base mixture, and treated with lime to help it bind and compact (see Figure 4-11 and 4-12). This could be installed with much less subgrade preparation than pavement. It would be much less expensive at the outset (on the order of a fourth to a third the cost of asphalt pavement) but it would require more annual maintenance. Figure 4-12 shows an Open Space District Road after a few years of wear, including use by cattle (similar to horse impacts). This surface would not be as smooth and stable as asphalt and would be more challenging/uncomfortable for some users (i.e., people using strollers or wheeled walkers) but given the steep slopes, unstable soils, and Figure 4-9. Example of base rock surfaced multi-use trail in Marin County Figure 4-10. Example of new natural (dirt) surfaced trail in Marin County 26 remote locations of portions of the trail the benefits of paving for access are reduced. This lime-treated base rock mixture is a reasonable compromise given the significant cost savings compared to asphalt. Figure 4-11. Lime-treated base rock surface Figure 4-12. Lime-treated base rock surface after use and weathering 27 Switchbacks and Climbing Turns Climbing up a steep hillside within a narrow piece of property requires multiple switchbacks, which has an environmental impact. Reducing the trail gradient (or steepness) to provide access for the disabled and people on bicycles also increases the number of switchbacks. Accommodating bicyclists, by designing “climbing turns” with a minimum 12-foot centerline radius, as shown in Figure 4-13, further impacts the hillside. Design note: Climbing Turns have a steeper gradient on the inside radius of a switchback and a lesser gradient along the outer edge. If turns can be sited on less steep slopes, they will require less grading. Conversely, on steeper slopes they will require more significant cuts on the uphill side, and taller retaining walls on the downhill side, as shown in Figure 1-14. Figure 4-14. Example of tie-back structures recommended for trail turns along steep slopes where the natural terrain is too steep to place structural fill in a stable manner Figure 4-13. Example of area required for 6-foot-wide trail to make 12-foot-wide turn 28 Retaining Walls Retaining walls are often needed when a trail is built within a steep slope. A wider trail on a steeper slope will require higher retaining walls. If taller and/or more robust retaining walls were required, they would likely need to be cast in place concrete with deep footings or concrete pier foundations, driving up construction cost and access impacts. Figure 4- 15 shows the type of wall that might be necessary. An alternative to concrete walls in more remote trail settings where wooden retaining walls are more practical would be engineered “sutter” type walls, with vertical steel beams retaining timber segment walls (see Figure 4-16). These are typically four to six feet high or higher. They often feature “tie-back” anchors drilled into the slope. In some areas along the trail corridor, for shorter walls (less than four feet high) stacked rock walls (see Figure 4-17) could be used to retain cuts, and potentially fills, at climbing turns. This would blend into the natural environment and be simpler to engineer and construct. Finally, there is the option of concrete masonry unit (CMU) walls, as illustrated in Figure 4-18. These are typically more practical to build in an urban, accessible setting. They may be a good alternative to stacked rock walls supporting the downhill side of a switchback or climbing turn, where they can be hidden by burying in soil. Figure 4-15. Concrete retaining wall 29 Figure 4-16. Sutter-type retaining wall for trail on a steep slope Figure 4-18. Concrete masonry unit retaining wall (could be covered with soil and planted on downhill side) Figure 4-17. Stacked rock retaining wall 30 Creek Setback Requirements Contra Costa County zoning codes require a 30-foot setback for roads or paved trails from the top of a creek bank, but the Marsh Creek corridor is subject to the requirements of the adopted Habitat Conservation Plan and Natural Community Conservation Plan (HCP/NCCP). The HCP/NCCP is intended to provide regional conservation and development guidelines to protect natural resources, while improving and streamlining the permit process for endangered species and wetland regulations. Environmental Science Associates (ESA), who are responsible for researching environmental constraints for this study, documented the pertinent standards for this report. Stream setback requirements are described in Chapter 6 Conditions: Conservation Measure 1.7 of the HCP/NCCP: “Project proponents are encouraged to site trails and access roads outside the required setback to reduce disturbance to wildlife that use adjacent streams and riparian habitats. When roads and trails cannot be sited outside the required setback, they must be sited as far from the stream channel as practicable, must adhere to limitations on exceptions to stream setback requirements described in Table 6-2, and must mitigate additional impacts as described below. Project proponents are encouraged to use permeable or semi-permeable surfaces on roads and trails within stream setbacks as long as they are consistent with safety and zoning limits. If such surfaces are used, the project may be eligible for fee reductions.” Table 6-2 from the HCP/NCCP is replicated below (the last row applies to Marsh Creek): for the mainstem of Marsh Creek within the HCP area, there is a dedicated 75-foot setback, not the County’s 30-foot setback. There is a 300 linear-foot limit on exceptions to the setback requirements that “may” be granted. This exemption covers bridges and outfalls; the paragraph above implies it could cover roads and trails, but these are not explicitly included in Table 6-2. The document also states that, “All covered activities must also meet County and city setback requirements, where applicable.” Based on this, it appears that if the project wants to use the HCP/NCCP to cover special-species impacts, it will need to demonstrate compliance with local setback requirements and the HCP setback requirements where feasible, and potentially be subject to additional mitigation fees. Due to the natural topography of the study area, it is likely that the trail will frequently fall within the proposed setback area. To minimize impacts to the creek in these instances, it is recommended that the trail be constructed in keeping with the recommended permeable and semi-permeable surfaces as described above, and that opportunities for creek and habitat restoration be conducted as part of trail construction. 31 Table 6-2: Stream Setback Requirements for Streams within the Urban Development Area Stream Reach Type and Location Buffer Objective/ Function (from Figure 5-11) Example Sites in Inventory Area Required Setback (from top of bank measured in aerial perspective) Limitations on Exceptions to Setback Requirements That May Be Granted by Local Agencies Comments Maximum allowable Linear Impact to Streams (per project) Activities Eligible for Streams Impact Exemption Maximum Allowable Area of Impact within Setback (per project) 1st and 2nd order5 ephemeral reaches in urban and agricultural areas N/A Multiple unnamed tributaries to intermittent and perennial reaches Avoidance and minimization measures for drainages must be documented but no setback is required No limitations3 Any activities No limitations4 These reaches are located in dense urban and intensive agricultural areas, and provide low habitat function for covered species. Avoidance and implementation of Conservation Measure 1.10 will minimize impacts to water quality and hydrologic functions. Concrete-lined channels Enhance water quality; retain restoration potential Reaches of Kirker Creek 20 ft No limitations3 Any activities No limitations4 These reaches are located in dense urban areas and provide low habitat function for covered species. A minimal buffer width will reduce sediment and nutrient inputs from surface flows, retain some potential for stream restoration, and provide for recreational opportunities. 1st and 2nd order5 ephemeral reaches in natural areas Erosion and nutrient control; Multiple unnamed tributaries to intermittent and perennial reaches 25 ft No limitations3 Any activities No limitations4 Although ephemeral streams play a limited role in providing habitat to covered species, these systems represent the first point of entry for sediment and other contaminants into downstream reaches. Thus, unlike the stream types below, the primary objective of the setback for ephemeral streams is to filter out sediment and contaminants before they degrade downstream habitat. Perennial, intermittent, or 3rd or higher order5 ephemeral streams in urban areas except Marsh Creek mainstem Enhance water quality; retain restoration potential Lower Willow Creek, Lower Kirker Creek 50 ft 300 feet3 Necessary bridges and outfalls Up to 15% of setback area4 These reaches are located mostly in dense urban areas and provide low habitat function for covered species. However, potential may exist for restoration of riparian vegetation and minimal floodplain areas. In addition, a minimal buffer width will reduce sediment and nutrient inputs from surface flows and provide for recreational opportunities. 32 Stream Reach Type and Location Buffer Objective/ Function (from Figure 5-11) Example Sites in Inventory Area Required Setback (from top of bank measured in aerial perspective) Limitations on Exceptions to Setback Requirements That May Be Granted by Local Agencies Comments Maximum allowable Linear Impact to Streams (per project) Activities Eligible for Streams Impact Exemption Maximum Allowable Area of Impact within Setback (per project) Perennial, intermittent, or 3rd or higher order5 ephemeral streams in agricultural or natural areas and Marsh Creek mainstem Enhance water quality; retain restoration potential See examples below6 75 ft 300 feet3 Necessary bridges and outfalls Up to 15% of setback area4 These reaches retain the greatest habitat value and potential for restoration within the Urban Development Area. The buffer will filter sediment and other contaminants, maintain habitat for covered species, allow for restoration of riparian vegetation and some small floodplain areas, as well as providing recreation opportunities. Source: Habitat Conservation Plan and Natural Community Conservation Plan (HCP/NCCP), https://www.cocohcp.org/221/Final-HCP-NCCP Notes: 1 Location parameters (e.g., “agricultural areas”, “natural areas”, etc.) describe the setting of the stream at the time of completing this HCP/NCCP and refer t o the fee zones and urban landcover shown in Figure 9-1. 2 Where native woody riparian vegetation is present, minimum setbacks must extend to the outer dripline of the riparian vegetation or the specified number of feet measured from top of bank, whichever is greatest. Riparian vegetation is defined broadly to include oaks and other woody species that function as riparian corridors. Setbacks must also meet minimum setback requirements of the applicable local land use agency. Contra Costa County has an ordinance regulating impacts near unimproved earthen channels. This Ordinance requires a “structure setback line” that varies between approximately 30 feet and 50 feet from top of bank depending on the height of top of bank above the channel invert (County Code Title 9, Division 914-14.012). 3 Mitigation is required for all impacts to streams, as described in Chapter 5. Restoration requirements are summarized in Tables 5-16, 5-17, and 9-5. Preservation requirements are summarized in Tables 5-5a and 5-5b and may be accomplished through payment of the development fee described in Section 9.3.1 or through provision of land in lieu of fees. 4 Restrictions will be measured as a percentage of the setback area excluding the area the of the stream channel. Impacts withi n setbacks must be mitigated through: a) payment of the development fee described in Section 9.3.1 over the entire property including the setback and the stream channel; and b) through payment of the riparian impact fee (see Table 9-5) for every acre of impact within the setback or through direct performance of riparian restoration at a 0.5 to 1 ratio on-site or offsite. 5 Stream order refers to the numeric identification of the links within a stream network. This document follows the stream ordering system of Strahler (1964). In this system, a first order stream is a stream with an identifiable bed and bank, without any tributary streams. A second order stream is formed by the confluence of two first order streams. A third order stream is formed by the confluence of two second order streams, and so on. Addition of a lesser order stream does not change the stream order of the trunk stream. 6 Perennial streams in agricultural or natural areas within the Inventory Area consist of the following: • Mount Diablo Creek, Russelman Creek, Peacock Creek upstream of the Oakhurst Country Club property, and tributaries to Mount Diablo Creek within Mount Diablo State Park; • Kellogg Creek in the Foothills/Upper Valley and Delta geomorphic zones; • Brushy Creek in the Delta and Lower Valley/Plain geomorphic zones; • Indian, Rock, Sand Mound, Dutch, Piper, and Taylor Sloughs, and False River (does not include reaches in concrete channels); and • Sand Creek and Oil Canyon Creek in the Montane geomorphic zone. 33 Staging Area Design Trail staging areas, or parking areas, provide access to the trail and can be simple turnouts along the road accommodating a few vehicles, small parking areas accommodating 8 to 10 vehicles, or very large lots accommodating dozens of vehicles with additional amenities, such as the staging area for the Round Valley Regional Park near Brentwood. Staging areas need to have safe ingress and egress for vehicles, bicycles, and pedestrians, which requires a straight stretch of road with sufficient sight distance in either direction and should be situated on relatively level terrain with sufficient drainage. Most rural staging areas are surfaced with base rock/gravel, although ADA parking spaces must be paved to meet current standards. The layout may be perpendicular parking with the same lane for entering and departing, or angled parking with loop access drives. Such loop access is particularly important for accommodating horse trailers, for which there may be demand along the Marsh Creek Trail. Round Valley Regional Park Staging Area Small staging area at Sibley Volcanic Regional Preserve Stewarts Point Coastal Trail Staging Area Plan 34 Example of staging area plan with horse trailer parking (Jacobs Ranch, Sonoma Mountain) 35 Trail Amenities Trail amenities are elements that support user access and improve the user experience. They are often invisible to the user, except in their absence. Some amenities, such as trash receptacles, help maintain a positive experience for users. Other amenities, such as benches, make trails more usable and comfortable by providing resting places. Trail amenities can fall into two categories: amenities found at the trailhead/staging area, and amenities found along the trail. Within the trailhead amenities category, there are those that are appropriate at larger trailheads, or staging areas, and those that are appropriate at the smaller and more typical trail access points. 36 Staging Area Amenities Staging areas are the major access points to the trail system, and therefore should have the most comprehensive set of amenities. Each staging area should have: • Vehicle parking • Bicycle parking • Trail rules and information • Trailhead information kiosks • Maps • Trail signposts • Restrooms • Drinking water • Trash and recycling receptacles • Dog waste stations (if dogs are permitted) • Picnic tables • Benches In many cases, it is appropriate for a staging area to also have: • Interpretive information • Picnic shelters • Self-guided tour information Briones Preserve Newt Hollow Picnic Area Recommended Amenities at Staging Areas 37 Trailhead Amenities Trailheads include all the access points to a given trail. In many cases, these are simply locations where the trail meets a roadway. In all cases, there are minimum elements that should be present at each access point: • Trail rules and information • Trail signposts and/or other identification In some cases, the trailhead is larger than a minor access point, but not large enough to warrant an entire staging area set up. At such mid-sized trailheads, it would be appropriate to have additional facilities, such as: • Bicycle parking • Trailhead information kiosks • Trash and recycling receptacles • Dog waste stations (if dogs are permitted) • Drinking water • Benches Recommended Amenities at Minor Trailheads Recommended Amenities at Mid-Size Trailheads 38 On-Trail Amenities The need for specific amenities along the trail varies greatly depending on the type and location of the trail. The only elements required for most types of trails are: • Trail signposts • Benches at key overlooks and rest spots In all cases, trail signposts should be provided at every trail junction. In many cases it is beneficial to include mile markers along the trail. Other elements that should be considered along very heavily used trails include: • Restrooms • Drinking water • Trash and recycling receptacles • Picnic shelters • Picnic tables Also beneficial are: • Interpretive panels • Dog waste stations • Benches • Self-guided tour Recommended Amenities On-Trail 39 5. Potential Trail Typologies for Marsh Creek Corridor The following locations illustrate different settings where the trail would require special design considerations. While specific cross sections may vary depending on the ultimate alignment of the trail, these locations illustrate typical conditions found throughout the project corridor. Steep Slope - Retaining Wall/Switchback Location Multiple locations will involve creating a trail across a steep slope. The example below shows a 2:1 slope with an existing narrow road (about 6’ wide) overlaid by a 14’ wide paved trail with a 6’ to 8’ high retaining wall. The envisioned route uses an existing paved access road that leads to Contra Costa Water District water tanks, with switchbacks/climbing turns before the tanks to continue the trail below them. This hillside shows evidence of prior slope failures. Figure 5-1 shows a simulation of an alternative trail configuration. Figure 5-2 shows two alternative configurations for this steep slope trail: A separate unpaved trail at a lower elevation for mountain bikes, horses, and potentially trail runners and dog walkers, and a 14-foot- wide bench requiring a taller retaining wall that would allow the unpaved path. 40 Figure 5-1. Trail simulation on steep hillside 41 Figure 5-2. Alternative steep slope trail configurations 42 Road Crossings There are several potential crossing locations of Marsh Creek Road identified in the study; the location shown in Figure 5-3 at Morgan Territory Road is a typical example. With a 45-mph speed limit (and often vehicles are traveling faster) it is important to implement a high visibility crosswalk and warning devices to alert motorists of people crossing. At this location and many others there are embankments on the side of the road that would need to have accessible ramps to facilitate access. Figure 5-3 illustrates these improvements. Sight distance to the crosswalk and visibility of warning beacons would also need to be evaluated during the design phase. Figure 5-3. Illustrative trail road crossing near Morgan Territory Road 43 On Roadway This is a typical segment where the trail would be adjacent to the road in the right-of-way. There is a steep hillside adjacent, and to create space for a multi-use trail would require significant concrete retaining walls and a barrier between the trail and the roadway. Drainage along the base of the slope would have to be accommodated. Use of this shoulder would eliminate the opportunity for motorists to pull over on this segment, and any such change to the shoulder should be coordinated with the California Highway Patrol. Figure 5-4. Trail in the ROW along base of steep hill 44 Figure 5-5 shows an example of a route in the right-of-way in a more level setting, such as near the Clayton Palms Mobile Home Community. There is adequate space for a multi-use trail if a barrier between the road and the trail is provided. There is a series of utility poles and signs in the middle of the trail corridor. They would either have to be relocated or the trails would have to split around them, as illustrated in Figure 5-5. Typically, there is a ditch or swale in the right-of-way that would have to be accommodated. Figure 5-5. Trail in the ROW in a flat area 45 On Driveway or Fire Road Where possible, the trail alignment aims to follow existing roadways to minimize impacts to undisturbed land. In this illustrative example, the proposed route alignment shows the trail following this private driveway and fire road to reach a parallel former ranch road that would bypass narrow portions of Marsh Creek Road, assuming permission/acceptance from the adjacent property owner. As a private road, recreational trail use is currently prohibited. Given the low levels of traffic, signing and pavement marking would suffice to guide trail users. Figure 5-6. Route up a driveway/fire road 46 Flat Land + Trail Figure 5-7 is an example of an unconstrained segment, where the full width of paved trail plus an unpaved side path could easily be accommodated. Figure 5-8 illustrates a potential configuration for a trail in a wide-open flat space. Ideally it would have a separate unpaved trail for horses, mountain bikes, and potentially trail runners and dog walkers. Figure 5-7. Trail in an unconstrained area 47 Figure 5-8. Design for a trail in unconstrained area 48 Detached from Road, Adjacent to Creek The trail location shown in Figure 5-9 includes a very steep slope which may potentially exhibit slope failures. A narrower trail across the steep slope will require a robust retaining wall, which still could potentially fail given the apparent unstable soils in the area. An alternative would be a narrower trail on the shoulder of the road. Some portions of the roadway have turnouts that would accommodate even a wide trail (Figure 5-10), but some portions have no paved shoulder and berms on the outside (Figure 5- 11). These would have to be removed, potentially a retaining wall and railing constructed on the slope to provide additional width, and a barrier placed between the road and the trail. The best alternative would be to secure permission to locate the trail on the other side of the creek, where the land is relatively flat. Figure 5-9. Trail at the base of a steep slope 49 Figure 5-10. Wide unpaved shoulder with turnout Figure 5-11. Portion with no shoulder 50 Detached from Road and Creek In select locations, the trail is unconstrained and could easily accommodate a Class I trail with a separate unpaved sidepath for horses and mountain bikes. In this example within Round Valley Regional Preserve, the former ranch road trails that this segment connects to are unpaved and do not meet ADA gradients. A new route near the dead vineyard to the right in Figure 5-13 would allow an ADA-compliant connection. Figure 5-12. Unconstrained area detached from creek 51 Figure 5-13. Potential connecting trail in Round Valley Regional Preserve Figure 5-14. View on same trail toward staging area 52 6. Implementation Considerations Implementation of the Marsh Creek Trail is expected to occur over a long period of time, as funding and land for the trail become available. This section provides recommendations for a phased implementation approach by segment, cost estimates, and an overview of the environmental assessment. Phasing Each section of the trail has varied considerations for implementation. As such, a phased approach is recommended that prioritizes the development of one trail section at a time, starting on either end of the trail and ultimately meeting in the middle in the Dark Canyon area. An overview of the phasing is shown in Figure 6-1, with proposed alignments shown in the Corridor Maps in Appendix C. It is recommended that outreach and collaboration with residents, property owners, and potential users continue to occur as each phase moves through more detailed design and into implementation and construction. Phase 1: Clayton City Limits to Clayton Ranch The section of trail proposed for initial implementation would connect to existing bicycle and pedestrian facilities at the Clayton city limits and stretch approximately 5.7 miles to the east. The trail is recommended to connect to lands held by the East Bay Regional Parks District (EBRPD), which begin approximately 2.3 miles from the Clayton City limits. The property, known locally as Clayton Ranch, is planned for future recreational amenities including public access and hiking trails. Phase 1 would allow for a more immediately usable section of trail that links public lands to existing bike and pedestrian facilities. Connecting to planned projects at Clayton Ranch would reduce the overall cost and effort for implementation, while also creating new access to recreational amenities. This section of the overall project also has the highest amount of land held publicly or by Save Mount Diablo, reducing the need for right-of-way acquisition. It is anticipated that the portion of the trail within Clayton Ranch would be developed by EBRPD. Phase 2: Clayton Palms to Round Valley Regional Preserve Similar to Phase 1, the second phase of the project would leverage existing recreational amenities at Round Valley Regional Preserve. With a length of approximately 4.7 miles, this section of trail would extend from Round Valley on the southern side of the roadway, cross at Deer Valley Road, and end just west of the Clayton Palms community, increasing recreational opportunities for residents of that community. The trail would also provide better access to Round Valley for bicyclists using the existing bike lanes on Deer Valley Road, which is a popular cycling route that connects to Brentwood. Implementing this section of trail will require sensitivity to private land ownership given that most of the proposed alignment, while following Marsh Creek, crosses through multiple privately owned properties. As such, two alignments are proposed, with one focused on on-road improvements along Marsh Creek 53 Road to use public right-of-way and minimize environmental impacts, particularly in the area just east of Deer Valley Road. A second proposed alignment would veer away from the roadway to maintain the preferred off-road nature of the facility, but should be considered a long-term option if land in that area becomes available for a trail easement by willing sellers. This section of trail also requires the least amount of physical disruption to the environment, as the terrain begins to flatten and fewer retaining walls will be required. Phase 3: Dark Canyon The third phase of the project will link both prior segments of the trail to create a continuous facility from Clayton to Round Valley Regional Preserve. Running approximately 4.7 miles through the “Dark Canyon” area of the corridor, this section of trail features the greatest number of physical constraints on the alignment due to steep terrain and will require the trail to run in close proximity to the creek on the south side of Marsh Creek Road, with a crossing back to the north side at either end of the section. Ownership is mixed within the section. Several small parcels are held by Save Mount Diablo, and as such the trail alignment seeks to connect those areas to minimize impacts on private land. A high number of retaining walls will likely be required to provide a usable trail at even a minimum trail width. Given the need to run the trail adjacent to or near to Marsh Creek, this can also provide an opportunity for trail implementation and creek rehabilitation efforts to occur simultaneously. 54 Figure 6-1: Proposed Implementation Phasing 55 Cost Estimates The cost estimate for Marsh Creek Trail was based on the Caltrans six-page cost estimate format for each of the three trail segments. The full estimates can be found in Appendix D. The first step was to identify all relevant bid items in the following five categories: earthwork, structural section, drainage, specialty items, and traffic items. Within each category, individual items were identified and unit costs were assigned to each item based on recent bid results as of 2020 and the online Caltrans unit cost database for those same items within the same district (District 4). Next, additional cost percentages were added to the previously determined items to account for varying market prices and additional construction costs. These additional cost percentages included a percentage for minor items, roadway mobilization, roadway additions, and contingencies. Several project assumptions were made regarding the item quantities included in the cost estimate. The trail length assumes the predetermined path alignment will be generally followed; however, unforeseen constructability constraints may cause the trail length to change and thus trail material quantities could fluctuate. Another major assumption made is in respect to trail segments that require a retaining wall to construct the path. While it is likely that the height of the wall will fluctuate along the trail, a conservative assumption was made that the average height of the retaining wall required along any part of the segment will be closer to the maximum height. Cost estimates do not include right of way acquisition or escalation over time. Given that there is no current timeframe for implementation, costs will need to be adjusted to current year values at the time of design and construction. Estimated Costs by Phase Trail Section Estimated Cost Phase 1: Clayton (west end) $19.1 million Phase 2: Round Valley (east end) $7.1 million Phase 3: Dark Canyon (middle) $16.5 million Note: Cost estimates are based on 2020 values. Environmental Assessment A Phase I Environmental Site Assessment was conducted to identify Recognized Environmental Conditions (RECs), Historical Recognized Environmental Conditions (HRECs), or Controlled Recognized Environmental Conditions (CRECs) on the parcels. The full Phase I document can be found in Appendix E. The following conditions were identified: • The Marsh Creek Corridor is occupied by rural residences, ranches and farms, open space and state and regional parks. Small, denser areas of suburban residences are present at the far western end of the corridor south of Marsh Road, and along the north side of Marsh Creek Road 56 about 3½ miles from the eastern end of the corridor. Two subsurface crude oil pipelines are present along the north side of Marsh Creek Road along the western half of the corridor, where the pipelines then cross under Marsh Creek Road and continue to the south. A Contra Costa Water District subsurface water pipeline is present in various locations along both sides of the road. If the trail alignment is proposed to cross the pipelines, the pipeline owners will need to be notified and consulted to acquire their authorization. One set of high-power transmission lines and towers cuts north-northwest to south-southeast across the western portion of the corridor. No industrial facilities or sites are present. There were no observations of discolored soil, water, or stressed vegetation due to chemical spills, above or underground storage tanks, pits, ponds, or lagoons. Minor debris and occasional trash were observed but are considered a de minimus condition because the materials can be recycled or disposed of at any Class III non-hazardous waste landfill as non-hazardous waste. • Some portions of the corridor are on public property (e.g., Mt. Diablo State Park) and were entered at various locations for direct inspection. Some portions of the corridor are on private properties, which were not entered. The private properties were observed from the property lines, which provided sufficient information to identify RECs, with one exception. The property at 8990 Marsh Creek Road across the road from the southeast corner of Rodie’s Feed & Pet Supply was observed to have landscaping equipment and supplies, assumed to include fertilizers, pesticides, herbicides, fuels, and lubricating oils. The property appeared to have poor housekeeping as materials were on the bare ground and not secured in sheds or within secondary containment. No spills, stained soil, or stressed vegetation were observed from the fence line, but it is unknown whether spills have occurred on this property. Although this property does not rise to the level of a REC (no spills or stressed vegetation were observed), it should be considered a business environmental risk if the proposed trail crosses this property. If the trail alignment is to cross this property, soil should be sampled and analyzed for fertilizers, pesticides, herbicides, fuels, and lubricating oils. • The regulatory records search identified several sites that use or previously used hazardous materials. None of the listed sites are active hazardous materials spill sites and therefore are not expected to affect the proposed project. In summary, no RECs, HRECs, or CRECs were observed relative to hazardous materials, hazardous waste, or chemical use, storage, or disposal. One business environmental concern was identified at the 8990 Marsh Creek Road property due to poor housekeeping of landscaping materials and supplies. While the trail is not anticipated to cross the property at this time, should the trail alignment change it is recommended that soil be sampled and analyzed for fertilizers, pesticides, herbicides fuels, and lubricating oils. Property Acquisition and Access Options Acquiring access for a trail across private property is a sensitive subject that must be approached carefully. There is no eminent domain or forced sale of property for trails; access depends on arrangements with willing sellers. This includes access across public properties. Typically, the objective is to avoid impact on residences, their access roads or agricultural facilities or operations. 57 Outright Acquisition – Fee Title This is purchase of the entire property from a willing seller. Often land trusts or agencies will buy the property and then lease it out for grazing or sell it at a discount with an easement for the trail and protection against development. The continuation of dwellings and agricultural use helps maintain a revenue stream to support the maintenance and operation of the property and provides some oversight. Easements An easement for trail access can potentially be purchased from a willing seller. This could be a specific corridor across the property, or a broader area that allows more flexible trail layout and relocation. Easements often have conditions that help preserve agricultural operations, including potential closure of the trail during key periods of activity if trail use might interfere or cause risk for the users. Licenses For access across public property, often the agency owner will grant the trail organization a license that specifies the location and conditions for the trail access. A license is typically for a period of time (e.g., 5 to 10 years). A permanent easement could also be granted by the agency owner. Funding The implementation of the Marsh Creek Trail system will likely take many years and will require the use of a variety of funding sources. Funding sources are available from local county, regional, state, and federal agencies, as well as local organizations and non-profits. The following list describes various grant programs and other funding sources that can be resources for developing the Marsh Creek Trail. Local Sources County Capital Improvement Plan (CIP). Contra Costa County could utilize funds allocated in their capital improvement plan to fund trail development. The capital improvement plan is a short-range plan which identifies capital projects and equipment purchases, provides a planning schedule, and identifies options for financing the plan. Developer Fees and/or Transportation Impact Fees. Local or area-wide transportation impact fees can be required. In this case, a developer would pay into a fund that would be used to plan and build transportation infrastructure, such as trail projects. The nexus is often made that vehicle trip reductions can be supported through multimodal projects. Local organizations, individuals, and non-profits. Occasionally local organizations and non-profits will help fund portions of trail projects. In this case the Save Mount Diablo organization and East Bay Regional Park District are potential project partners. There are other local organizations, private companies, or 58 individuals that may wish to provide funding for trail implementation or trail amenities such as benches, bike racks, wayfinding, and more. CCTA Measure J. Measure J was approved by Contra Costa County voters in 2004, which extended the half-percent cent local transportation sales tax first established by Measure C in 1988 for another 25 years. The sales tax has funded multiple major capital projects and provides funds to cities, towns, and the County to maintain local streets and roads, help fund transportation services for the elderly and persons with disabilities, and provide bus transit services. One and a half percent of revenues from Measure J are for construction of pedestrian and bicycle facilities, including regional trails throughout Contra Costa. Measure WW Local Grant Program. Measure WW was approved by voters in Alameda and Contra Costa Counties in November 2008. The measure extended Measure AA, approved in 1988, to enable the East Bay Regional Park District to meet the increasing demand of protecting open space for recreation and wildlife habitat. Measure WW provided $500 million in bonds to expand regional parks and trails, and to preserve and protect open space for recreation and wildlife habitat. It also made funding available directly to cities and special park districts for high priority community park projects. Of the $500 million from Measure WW, $125 million (25%) is allocated on a per-capita basis for grants to 46 cities, communities, local park and recreation districts, county service areas, and the Oakland Zoo to address local park and recreation needs. Regional Sources One Bay Area Grants (OBAG). The Metropolitan Transportation Commission’s (MTC) One Bay Area Grant program (OBAG) is a funding approach that aligns the Commission's investments with support for focused growth. Established in 2012, OBAG taps federal funds to maintain MTC's commitments to regional transportation priorities while also advancing the Bay Area's land-use and housing goals. OBAG includes both a regional program and a county program that both targets project investments in Priority Development Areas (PDAs) and rewards cities and counties that approve new housing construction and accept allocations through the Regional Housing Need Allocation (RHNA) process. Cities and counties can use these OBAG funds to invest in local street and road maintenance, streetscape enhancements, bicycle and pedestrian improvements, transportation planning, and Safe Routes to School projects. The most recent OBAG funding cycle (OBAG 2) funded approximately $800 million in projects from 2017/2018 through 2021/2022. Regional Active Transportation Program. While the California Department of Transportation (Caltrans) administers statewide Active Transportation Program grants, MTC is allocated a portion of the funds to administer a regional component. MTC provides a regional supplemental application in addition to the statewide application to apply for the competitive program funds. The program allows cities, counties, transit agencies and other public agencies to compete for grants to build bicycle/pedestrian paths, install bike racks, and other projects or programs that make walking or biking easier, safer, and more convenient. Transportation Development Act (TDA), Article 3. The Transportation Development Act, Article 3 (TDA 3) program provides funding annually for bicycle and pedestrian projects, which could include trails. Two 59 percent of TDA funds collected in the County are used for TDA 3. MTC allows each county to determine how to use funds in their county. Some counties competitively select projects while other counties distribute the funds to jurisdictions based on population. Each county coordinates a consolidated annual request for projects to be funded in their counties. State Funding Sources California State Parks. Given the Marsh Creek Trails’ proximity to Mount Diablo State Park it may be feasible to partner with State Parks to build and maintain a trail that would serve the State Park. Transportation Fund for Clean Air (TFCA). In 1991, the California State Legislature authorized the Air District to impose a $4 surcharge on cars and trucks registered within its jurisdiction to be used to provide grant funding to eligible projects that reduce on-road motor vehicle emissions. The Air District allocates these funds to its Transportation Fund for Clean Air Program, which in turn provides funding to qualifying trip-reduction and alternative-fuel vehicle-based projects, including plug-in electric vehicles. Sixty percent of TFCA funds are awarded by the Air District to eligible programs and projects through a grant program known as the Regional Fund, through various Air District sponsored programs and projects including Spare the Air, and through certain alternative-fuel vehicle-based and bicycle facility programs. The remaining 40 percent of TFCA funds are passed through to the County Program Manager Fund and are awarded by the Congestion Management Agencies of the nine counties to TFCA-eligible projects located within those counties. Qualifying projects include “bicycle and pedestrian facility improvements”, which could include the construction of trails and trail amenities. Active Transportation Program (ATP) Grants. The Active Transportation Program consolidates existing federal and state transportation programs, including the Transportation Alternatives Program (TAP), Bicycle Transportation Account (BTA), and State Safe Routes to School (SR2S), into a single program with a focus to make California a national leader in active transportation. The ATP is administered by the Division of Local Assistance, Office of State Programs. The purpose of the ATP is to encourage increased use of active modes of transportation by increasing the proportion of trips accomplished by biking and walking, increasing safety of non-motorized users, reduce greenhouse gases, enhance public health, and ensure that under-resourced communities full share in the benefits of the program. Recreational Trails Program (RTP). The Recreational Trails Program (RTP) provides funds annually for recreational trails and trails-related projects. The RTP is administered at the federal level by the Federal Highway Administration (FHWA). It is administered at the state level by the California Department of Parks and Recreation (DPR) and the Department of Transportation (Caltrans) Active Transportation Program (ATP). Eligible non-motorized projects include acquisition of easements and fee simple title to property for recreational trails and recreational trail corridors; and, development, or rehabilitation of trails, trailside, and trailhead facilities. The program requires a 12 percent match. FHWA must approve project recommendations before California State Parks can execute grant contracts. Prior to forwarding these projects to FHWA, each must comply with the National Historical Preservation Act of 1966 (Section 106), National Environmental Policy Act (NEPA), and be listed on the State Transportation Improvement Plan (STIP). 60 Environmental Enhancement and Mitigation (EEM) Grant Program. The Environmental Enhancement Mitigation program authorizes the California state legislature to allocate up to $7 million each fiscal year from the Highway Users Tax Account. EEM projects must contribute to mitigation of the environmental effects of transportation facilities. The EEM Program does not generally fund commute-related trails or similar bicycle/pedestrian infrastructure. However, it does fund recreational and nature trails as part of stormwater management or green infrastructure projects. Federal Sources Rebuilding American Infrastructure with Sustainability and Equity (RAISE) Grant Program. This discretionary grant program provides a unique opportunity for the Department of Transportation to invest in road, rail, transit and port projects that promise to achieve national objectives. Previously known as the Better Utilizing Investments to Leverage Development (BUILD) and Transportation Investment Generating Economic Recovery (TIGER) Discretionary Grants, Congress has dedicated nearly $8.9 billion for twelve rounds of National Infrastructure Investments to fund projects that have a significant local or regional impact. The eligibility requirements of RAISE grants allow project sponsors at the State and local levels to obtain funding for multi-modal, multi-jurisdictional projects that are more difficult to support through traditional DOT programs. FHWA Congestion Mitigation and Air Quality Improvement Program (CMAQ). FHWA’s CMAQ program provides a flexible funding source to State and local governments for transportation projects and programs to help meet the requirements of the Clean Air Act. Funding is available to reduce congestion and improve air quality for areas that do not meet the National Ambient Air Quality Standards. FHWA Surface Transportation Block Grant Program (STBG). The STBG, formerly known as the Transportation Alternatives Program, authorizes funding for programs and projects defined as transportation alternatives, including on- and off-road pedestrian and bicycle facilities. The Metropolitan Transportation Commission (MTC) helps coordinate the Transportation Alternatives (TA) program in the San Francisco bay area. Land and Water Conservation Fund (LWCF). The LWCF provides matching grants to States and local governments for the acquisition and development of public outdoor recreation areas and facilities. Over its first 49 years (1965 - 2014), LWCF has provided more than $16.7 billion to acquire new Federal recreation lands as grants to State and local governments. Projects can include acquisition of open space, development of small city and neighborhood parks, and construction of trails or greenways. FHWA Highway Safety Improvement Program (HSIP). The Highway Safety Improvement Program (HSIP) is a core Federal-aid program with the purpose to achieve a significant reduction in traffic fatalities and serious injuries on all public roads, including non-State-owned roads and roads on tribal land. Eligibility criteria for HSIP funds can be found here. Rivers, Trails, and Conservation Assistance Program. The National Park Service Rivers, Trails, and Conservation Assistance (RCTA) program supports community-led natural resource conservation and 61 outdoor recreation projects across the nation. The National Park Service helps community groups, nonprofits, tribes, and state and local governments to design trails and parks, conserve and improve access to rivers, protect special places, and create recreation opportunities. Liability, Maintenance and Management There are several important strategies and legal resources to address the concerns of underlying and adjacent property owners regarding trails. Typical concerns include liability, trespassing, privacy, vandalism, personal safety, and fire. Liability One concern for potential trail operators, trail landowners, and nearby landowners is whether they may be legally responsible (liable) for activities on or near the trail. State and case law both clearly indicate that landowners and trail operators are generally protected from liability for recreational trail use, with some specific exceptions, and that there are common-sense ways to reduce risks. There are three types of individuals or organizations that are typically concerned about such liability: the entity that operates the trail; the entity that owns the trail property; and the adjacent landowners. Different laws apply if the entity is a public agency, private individual, or business, but the resulting protection is generally the same. California State Law Liability for injury or other harm on any portion of the proposed Marsh Creek Trail is regulated by several existing California laws. California laws, also called statutes, are organized into 29 codes which cover specific subject areas. A digital copy of all 29 codes is available free to view online. Recreational trail use is addressed in several sections of codes, including (but not limited to): • California Government Code Sections 830.6, 831.2, 831.4, 831.7, 835, 846, 14662.5 and 51238.5 • California Civil Code Sections 813, 846, 846.1, 1006, 1007, 1008, and 1009 • California Public Resources Code Section 5075.4 • California Code of Civil Procedure Sections 128.7 and 1038 California’s Recreational Use Statute (RUS) and the Recreational Trails Act potentially offset some or all of a private landowner’s increased liability associated with a trail. The text of the RUS can be found in Civil Code Section 846. The Recreational Trails Act is codified in Public Resources Code Article 6, Section 5070– 5077.8. Notably, Section 5075.4 of the Recreational Trails Act states that “No adjoining property owner is liable for any actions of any type resulting from, or caused by, trail users trespassing on adjoining property, and no adjoining property owner is liable for any actions of any type started on, or taking place within, the boundaries of the trail arising out of the activities of other parties.” 62 Duty of Care Duty of care is a term used to describe how responsible one entity may be for injuries caused to another entity or individual. For trail purposes, this term refers to how much liability (responsibility) the trail operator or landowner has for injuries that occur on or near the trail. A higher duty of care indicates more potential responsibility for injuries incurred. In California, a trail operator or landowner has generally not been found liable except when they willfully or maliciously failed to guard against a dangerous condition, the injured person paid to use the trail, or there was a specific invitation for use. These exceptions are covered in detail in the Recreational Use Statute (RUS), and in California Government Code Section 835, which pertains to agency awareness of a hazardous condition and failure to act to protect against it. Indemnification Indemnification is a term for a guarantee against potential liability or monetary loss experienced by another individual or entity. In trail development, indemnification refers to the situation in which one entity (typically a government agency or non-profit) assumes the responsibility for injury or harm that occurs on a trail managed and/or owned by another individual or entity. In California an agency or non- profit organization may agree to take responsibility for injuries or loss occurring on trails on or near private property (see Government Code Section 14662.5 and 51238.5, and California Attorney General Opinion No. 95-305). The intention of these codes and the opinion is to encourage and support public trail development while reducing potential liability for private landowners. This is typically accomplished through a memorandum of understanding (MOU), easement agreement, or license agreement between the landowner and the agency. Risk Reduction Strategies There are some simple, common-sense strategies that can reduce risks to trail operators and landowners. These include proper planning, design, operation, and maintenance. Successful risk reduction also requires public awareness through published rules, guidelines, and signage. Personal Safety and Fire Property owners have expressed concerns about personal safety and fire due to the public having new access on or near their property. Compared to travelers on the road, who may throw trash or cigarettes from their windows, trail users are typically thoughtful and polite, but there may be exceptions. Clear rules, information, and enforcement, including monitoring and rapid response, are key to mitigating potential user impacts. This includes designation and adequate representation of those responsible for enforcement (such as Contra Costa County Sheriff Department or East Bay Regional Parks Police Department) and support by parks/preserve staff and a volunteer trail patrol, as detailed under Operations and Maintenance. Homeowners should be provided with clear information about who to contact for a given issue or concern. 63 Planning and Design Following design and planning best practices when planning and designing the trail will go a long way toward reducing the potential for injury to trail users and potential associated liability for those injuries. General design standards and/or guidelines related to on-road bikeways, sidewalks, or paved trails are developed by national organizations, such as the American Association of State Highway and Transportation Officials (AASHTO) and the National Association of City Transportation Officials (NACTO). State standards and/or guidelines include those issued by Caltrans, including the California version of the Manual on Uniform Traffic Control Devices (CAMUTCD). Local agencies, such as cities and counties, typically adopt the Caltrans guidelines and standards as-is, or with slight modifications. Recreational trails, especially unpaved trails, have fewer clear standards, but the U.S. Forest Service publishes planning and design standards and details for them, as does California State Parks, and many regional park and open space agencies. In all cases the Americans with Disabilities Act (ADA) requires certain levels of accessibility for trails, depending on the context. The Architectural and Transportation Barriers Compliance Board (Access Board) has developed detailed guidelines for pedestrian facilities, recreational areas, and more. State and local agencies may also have their own specific accessibility requirements. In addition to following all relevant laws, guidelines, and standards, it is usually worth studying one or more alternative alignments. Specific planning and design decisions may meet all relevant standards and guidelines, but leave room for varying degrees of privacy and security for neighboring properties. By reviewing several options, the community and decision makers can weigh the benefits and drawbacks of each to find the one that best meets the community’s needs. Operation and Maintenance Developing and following a written maintenance plan is another important strategy for reducing potential risks. The plan should include details for trail inspection, record keeping, inventory of potential hazards, and emergency response procedures as well as sources for funding and support. The trail operator would be responsible for developing and implementing the plan, but the property owner (if different than the trail operator) should review the plan and confirm that it is in place and being followed. Entities responsible for trail construction should fund or endow operations and maintenance activities in conjunction with implementation of any specific trail plan. Oversight and Coordination Overseeing trail maintenance and operations and coordinating with volunteers, neighbors, and partner agencies helps to create a fully operational trail system and a safe environment for trail users. Trail operations coordination involves many partners: local government, state or federal government departments, conservation and environmental groups, user groups or potential user groups, education institutions, including local schools or universities, volunteer groups, senior groups, and health agencies. Coordinating with these entities and agencies helps to divide roles and responsibilities between partners. 64 Sometimes stakeholders enter into management agreements that clearly define their roles and responsibilities. The operating agency also needs to coordinate with adjacent property owners if issues arise. Trail Operations Responsibilities • Coordination with partner agencies and adjacent property owners • Provide information and guidance for trail users • Community engagement and activities (trail outings and maintenance) • Volunteer trail docent program • Volunteer trail projects and ongoing assistance (see Trail Ambassador Programs) • Volunteer trail patrol (see Trail Ambassador Programs) Volunteer Roles in Trail Maintenance and Operations Volunteers make invaluable contributions to maintaining trail systems. Their time and dedication to trail maintenance are critical to the growth of outdoor recreation and active transportation. Trail Ambassador Programs Through a Trail Ambassador Program or volunteer trail patrol, local volunteers help to monitor trail systems, encourage proper use, and provide weekly reports on trail conditions and issues. The volunteers, or Trail Ambassadors, report to a coordinator or Trail Steward. The Trail Ambassadors’ presence on the trails provides additional security. Trail Ambassadors wear a uniform or emblem so the public can easily identify them. When on the trail they carry notebooks, pencils, trash bags, and cellphones/cameras. This helps them to document trail conditions and issues. Some routine maintenance activities Trail Ambassadors could perform are noting dangerous conditions, removing fallen branches, and monitoring culverts for washouts or blockages. Establishing a Trail Ambassador Program engages the community in trail maintenance and trail security to encourage trail use, keep trails safe, and strengthen community engagement in trail systems. The responsibilities of a Trail Ambassador include: • Walking or bicycling and monitoring the condition of a trail segment at least once a week • Observing trail conditions and potential hazards • Reporting trail conditions • Performing some routine, minor trail maintenance • Meeting and greeting people on the trail • Reminding users of trail rules and guidelines 65 Trail Docent Programs Many agencies with significant trail systems also have docents who interpret and educate the public about nature and local history – especially for school children. Trail docent programs typically include advertised special events, interpretive signs and installations, and outdoor classroom areas. Public Information Clear and consistent published rules, guidelines, and signage can also reduce potential risks. Using a combination of words and graphics to convey only the most important information is key — signage fatigue, visual clutter, and language barriers can reduce the effectiveness of the signs. Key information includes permitted and prohibited uses; trail use behavior guidelines; potential hazards; permanent and temporary closures; and emergency contact information. Signs should be posted at the trail entry and at the location of the hazard (along with physical barriers), where appropriate. Insurance and Waivers Insurance and waiver forms are also typical components of risk reduction strategies, although they do not reduce the future risk of injuries, only the risk of financial losses due to injuries. RECOMMENDATION(S): ACCEPT the Marsh Creek Corridor Trail Feasibility Study and DIRECT staff to coordinate with corridor stakeholders to pursue funding opportunities for implementation, as recommended by the Transportation, Water and Infrastructure Committee. FISCAL IMPACT: No impact to the County's General Fund. Staff time and proposed County funding is included in existing work plans and budgets. The project is funded by Livable Communities Trust (LCT) Fund ($250,000), East Contra Costa County Habitat Conservancy Restoration Planning Funds ($25,000), and Road Fund – Advance Planning (gas tax) ($25,000). BACKGROUND: The Marsh Creek Corridor Multi-Use Trail Feasibility Study was initiated to assess the opportunity to develop a new multi-purpose recreational and transportation facility along the Marsh Creek and Marsh Creek Road corridor. As ultimately envisioned, the trail would create a new major non-motorized thoroughfare for expanded recreational and commuting opportunities, ultimately connecting from Clayton to Brentwood. The purpose of the trail is to provide a safe, useful, and enjoyable transportation corridor that supports multiple forms of non-motorized travel, including pedestrians, bicyclists, and equestrians. The Marsh Creek region is a beautiful area of the County that people love to explore. The creek corridor is adjacent to numerous state and regional parks and additional parkland acquisitions are planned. The adopted East Contra Costa County Habitat Conservation Plan calls for acquisition of natural lands and restoration of creek and riparian habitat throughout the Marsh Creek corridor. The region is entirely rural and current land uses include: rural residences, ranches and farms, open space and parks, and a mobile home park. Recreational bicyclists travel the corridor despite the lack of bike lanes. The Study examines opportunities to realize the vision of a major new trail connection to complement already-planned land conservation and habitat restoration activities and provides helpful background information on opportunities and constraints that will inform future decisions about if and how to pursue development of the trail. Initial discussions on the concept of the trail began in 2015 with a series of inter-agency meetings hosted by the then Supervisors of Districts 3 and 4. This resulted in concurrence to conduct a feasibility study. Resolutions and letters of support for the feasibility work were received from APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS Contact: Jamar Stamps, (925) 655-2917 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: , Deputy cc: D.1 To:Board of Supervisors From:TRANSPORTATION, WATER & INFRASTRUCTURE COMMITTEE Date:May 16, 2023 Contra Costa County Subject:Marsh Creek Corridor Multi-Use Trail Feasibility Study BACKGROUND: (CONT'D) the Cities of Brentwood, Clayton, Antioch and Oakley, the East Bay Regional Park District, the East Contra Costa Habitat Conservancy, Save Mount Diablo and the County Board of Supervisors. In January 2019, County staff and Fehr & Peers (consultant) initiated the Marsh Creek Corridor Multi-Use Trail Feasibility Study. A summary of tasks staff and the consultant have been engaged in include: Receiving public input via web-based mapping tool Data collection and base mapping Public outreach events along the corridor and virtually Defining study goals and develop improvement concepts Convening Technical Advisory Committee* (“TAC”) meetings *TAC consists of staff representatives from Clayton, Concord, Brentwood, East Bay Regional Park District, Save Mt. Diablo, State Parks as well as various County staff. Public Outreach The study benefited from public input through a variety of public outreach strategies that included the formation of a technical advisory committee, pop-ups events at public locations for community members to provide feedback, direct outreach to property owners, field visits, public workshops, and online engagement tools. Generally, feedback provided through these channels was used to develop initial trail alignments, revise these alignments to reduce impacts to property owners, and ultimately arrive at a set of recommendations for trail design, phasing, and implementation considerations for the Marsh Creek Trail. In September, 2019, initial public outreach efforts included attendance at two Farmer’s Markets; one held in Brentwood and one in Clayton. At both events, consultants and County staff occupied an informational booth with handouts, flyers and other visuals to help promote the study. In December, 2019, County staff and the consultant team held a project update meeting at the Clayton Library where attendees were provided the project background, status update, and next steps followed by a questions and answer session. November 2020 and November 2021, County staff and the consultant team held well-attended (average 30+ participants) virtual public workshops. Most attendees were Marsh Creek Corridor property owners but representatives from other organizations were also in attendance (County staff, Save Mt. Diablo, State Parks, CalFire, bicycle advocacy groups). These meetings with property owners were critical as they provided firsthand insight into various concerns with the introduction of a potential public trail, a brief summary of which includes: increased risk of wildfire/arson, crime, property damage, negative impact to cattle ranching activities, and general concerns about lack of enforcement of hours of operation and trespassing. Property owners were also concerned about eminent domain. Staff does not recommend eminent domain be invoked for any potential phases of the Marsh Creek Corridor public-use trail. An online public engagement webmap tool was created to help inform the general public of the study’s purpose, progress and resources, and gave an opportunity to provide feedback. An online web-map was used to gather specific feedback from the public regarding potential trail alignments. The tool was useful in gathering information regarding any potential constraints or concerns seen by the corridor’s users and residents, and the information received helped inform the next iteration of trail alignment alternatives. The public draft of this plan was released for comment and review in October 2022. A virtual public workshop was held to review the plan and solicit comments and questions. Eighteen comment letters were also received via e-mail directed to County staff. Details on these comments are summarized in Appendix F. The full comments are attached to this report. The plan was then presented to the Transportation, Water, and Infrastructure Committee of the Board of Supervisors in December of 2022. In response to comments, adjustments were made to the conceptual trail alignment, and clarifications were provided to address concerns around fire risk, liability, and maintenance of the proposed trail. These items would be addressed in greater depth in a trail management plan, when an operator is selected if the project proceeds to construction. Draft Study The draft study was published for public review on October 24, 2022. The draft study summarizes the data collected in the technical memos and defines the study vision and goals based on feedback from the public engagement process and TAC. The goals of the study include: Evaluate the potential for a multi-modal trail providing connectivity from the trail system in the City of Clayton to the Round Valley Regional Preserve. Planning to connect Round Valley to Brentwood was conducted separately. In December 2020, East Bay Regional Park District (EBRPD) completed the Marsh Creek Trail Preliminary Engineering and Environmental Feasibility Study, a long range planning study to evaluate options to close an approximately 2.5-mile gap in the Marsh Creek Trail between Vineyards Parkway (Brentwood) and the EBRPD Round Valley Regional Preserve trailhead. Conduct extensive public engagement to understand the needs and concerns of groups including residents, advocacy groups, and rural and disadvantaged communities Develop a trail alignment that minimizes impacts to private property and retains privacy for residents Identify restoration opportunities along Marsh Creek to occur in conjunction with trail development opportunities Assess environmental constraints and impacts that may constrain trail development Identify a phased approach for implementation Conceptual Trail Alignments The development of potential trail alignments for the purposes of identifying opportunities and constraints was shaped by a multitude of factors, which included: A public lands first approach, beginning with identifying opportunities to link sections of land currently under public control, or in conservation through Save Mount Diablo A strong desire from the public to minimize encroachment upon private property, except where necessary to link parcels of publicly dedicated land An alignment that roughly follows the course of the creek and Marsh Creek Road Minimize the number of roadway crossings to reduce user exposure to vehicular traffic Consideration of an on-road option in some locations to accommodate road cyclists and to avoid areas where significant disruption to private lands or environmental settings would otherwise occur Use of existing fire roads, access roads, and trail segments where possible to minimize impacts to undisturbed land Implementation of a trail within the 13-mile study corridor would likely need to occur over a long period of time, as funding and land for the trail become available. However, it is also anticipated additional public outreach and subsequent refinements to the trail alignments will be necessary (based on nuanced topographical, environmental, and construction considerations) before any portion of the trail concept can be moved to an implementable project. Phasing & Cost Estimates The approximately 13-mile study corridor was divided into three sections with each section presenting various considerations for implementation. Further, a phased approach will make implementation more manageable if an implementable project were eventually developed. A map depicting this conceptual phasing is provided in Figure 6-1 of the draft study. Phases are ordered by which segment would be least challenging to implement to most challenging. Potential challenges include factors that could affect the overall feasibility and implementability of a future trail, such as availability of right-of-way, availability of public lands, topography, retaining walls, etc. As such, a phased approach is recommended that prioritizes the development of one trail section at a time, starting on either end of the trail and ultimately meeting in the middle in the Dark Canyon area. Cost estimates (based on 2020 values) were based on the Caltrans six-page cost estimate format for each of the three trail segments (see feasibility study Appendix D). These are high-level planning cost estimates where several assumptions were made, like the item quantities for construction materials which would fluctuate over time and as trail concepts are refined. These cost estimates merely serve as a beginning frame of reference for what a facility like this may cost, which is a necessary step in any feasibility study exercise. Cost estimates do not include right of way acquisition or escalation over time. Given that there is no current timeframe for implementation, costs will need to be adjusted to current year values at the time of design and construction. Phase 1: Clayton City Limits to Clayton Ranch (5.7-miles, estimated cost $19.1 million) The section of trail proposed for initial implementation would connect to existing bicycle and pedestrian facilities at the Clayton city limits and stretch approximately 5.7 miles to the east. The trail is recommended to connect to lands held by the East Bay Regional Parks District (EBRPD), which begin approximately 2.3 miles from the Clayton City limits. The property, known locally as Clayton Ranch, is planned for future recreational amenities including public access and hiking trails. Phase 1 would allow for a more immediately usable section of trail that links public lands to existing bike and pedestrian facilities. Connecting to planned projects at Clayton Ranch would reduce the overall cost and effort for implementation, while also creating new access to recreational amenities. This section of the overall project also has the highest amount of land held publicly or by Save Mount Diablo, reducing the need for right-of-way acquisition. It is anticipated that the portion of the trail within Clayton Ranch would be developed by EBRPD. Phase 2: Clayton Palms to Round Valley Regional Preserve (4.7-miles, estimated cost $7.1 million) Similar to Phase 1, the second phase of the project would leverage existing recreational amenities at Round Valley Regional Preserve. With a length of approximately 4.7 miles, this section of trail would extend from Round Valley on the southern side of the roadway, cross at Deer Valley Road, and end just west of the Clayton Palms community, increasing recreational opportunities for residents of that community. The trail would also provide better access to Round Valley by bicyclists using the existing bike lanes on Deer Valley Road, which is a popular cycling route that connects to Brentwood. Implementing this section of trail will require sensitivity to private land ownership given that most of the proposed alignment, while following Marsh Creek, crosses through multiple privately owned properties. As such, two alignments are proposed, with one focused on on-road improvements along Marsh Creek Road to use public right-of-way and minimize environmental impacts, particularly in the area just east of Deer Valley Road. A second proposed alignment would veer away from the roadway to maintain the preferred off-road nature of the facility, but should be considered a long-term option as land in that area becomes available for a trail easement by willing sellers. This section of trail also requires the least amount of physical disruption to the environment, as the terrain begins to flatten and fewer retaining walls will be required. Phase 3: Dark Canyon (4.7-miles, estimated cost $16.5 million) The third phase of the project will link both prior segments of trail to create a continuous facility from Clayton to Round Valley Regional Preserve and on to Brentwood, pursuant to planning by EBRPD. Running approximately 4.7 miles through the “Dark Canyon” area of the corridor, this section of trail features the greatest number of physical constraints on the alignment due to steep terrain and will require the trail to run in close proximity to the creek on the south side of Marsh Creek Road, with a crossing back to the north side at either end of the section. Ownership is mixed within the section. Several small parcels are held by Save Mount Diablo, and as such the trail alignment seeks to connect between those areas to minimize impacts on other private lands. A high number of retaining walls will likely be required to provide a usable trail at even a minimum trail width. Given the need to run the trail adjacent or near to Marsh Creek, this can also provide an opportunity for trail implementation and creek rehabilitation efforts to occur simultaneously. Operation and Maintenance If a project were to move forward an important point of discussion will be how to operate and maintain a new trail facility. Section 6 of the draft study discusses potential management and revenue options. Establishing this management and funding structure will require a coordinated effort among the Marsh Creek Corridor stakeholders and would be necessary before deciding to implement trail concept alternatives. This is discussed in Chapter 6 of the Study. Conclusion The recommendation is to accept the Study and direct staff to coordinate with corridor stakeholders to pursue funding opportunities for implementation, as directed by the Transportation, Water and Infrastructure Committee. If approved, staff would monitor opportunities to seek funding for additional planning and community outreach and report back to the Board. CLERK'S ADDENDUM Speakers: David Sondergeld; Elizabeth Reilly, Clayton Palms; Juan Pablo Gonsalves Martinez, Save Mt. Diablo; Liz Ritchie; Kit Sondergeld. ATTACHMENTS Marsh Creek Feasibility Study - Final Draft MTC PowerPoint Presentation MCT Strip Map - Phase 1 - Clayton City Limits to Clayton Ranch MCT Strip Map - Phase 2 - Clayton Palms to Round Valley_v6red MCT Strip Map - Phase 3 - Dark Canyon Resolutions and Letters of Support Public Comments Presentation to the Board of Supervisors, May 9, 2023 Tracy Murray Director, Aging & Adult Services Employment and Human Services Department tmurray@ehsd.cccounty.us Aging & Adult Services Report 1 Table of Contents •Aging & Adult Services Overview •Adult Protective Services •In-Home Supportive Services •General Assistance •Area Agency on Aging •Partnerships and Grants 2 Contra Costa Aging Population 3 251,516 Number of Age 60+ Individuals in Contra Costa County, per 2020 Census estimates Source: Census 5-Year Estimates Table S0101 CalWIN Table MR0007E 56,176 Number of unduplicated age 60+ Contra Costa individuals enrolled in Medi-Cal, CalFresh, General Assistance, and other benefits programs in FY 2021-22 and FY 2022- 23 year-to-date through December 2022 3 -1.3% -4.0% 2.9% 0.1% 11.8% 29.5% 22.4% 2.7% -20%-10%0%10%20%30%40% Preschool Age (0-4) School Age (5-17) College Age (18-24) Working Age (25-64) Young Retirees (65-74) Mature Retirees (75-84) Seniors (85+) All Ages California 2022-2027 Population Growth Rate by Age Group Aging & Adult Services Overview 4 Aging & Adult Services Overview 5 Aging & Adult Services span a continuum of care Area Agency on Aging Prevention, services, and community planning General Assistance/SSI Advocacy Financial support & linkages Community Connect Coordination with Health Services Agency Adult Protective Services Crisis intervention & community awareness In-Home Supportive Services & Public Authority Services to remain at home 5 Aging & Adult Services At A Glance 6 5,036 Unduplicated clients served by the Area Agency on Aging July –December 2022 481,321 Meals provided by the Area Agency on Aging July –December 2022 8,729 Information calls received by the Area Agency on Aging July –December 2022 453 Average monthly reports of Elder/Dependent Adult Abuse in FY 2021-22 864 active Adult Protective Services Cases in Dec. 2022 531 Average monthly applications for General Assistance in FY 2021-22 551 active General Assistance cases in Dec. 2022 311 Average monthly applications for In-Home Supportive Services in FY 2021-22 14,019 consumers and 12,777 providers in Dec. 2022 Sources: RTZ-GetCare, ServicePoint, LEAPS, CMIPS, CalWIN 6 Adult Protective Services (APS) 7 Adult Protective Services Reports & Caseload Trends 8 288 403 461 367 497 491 525 412 545 565 579 864 874 864 0 100 200 300 400 500 600 700 800 900 1000 June 2017 June 2018 June 2019 June 2020 June 2021 June 2022 December 2022 Monthly Reports Monthly Cases Source: LEAPS 8 Adult Protective Services Individuals 9 Sup District Sept 2020 Individuals Dec 2022 Individuals Change District 1: Sup. Gioia 137 215 +57% District 2: Sup. Anderson 91 131 +44% District 3: Sup. Burgis 134 149 +11% District 4: Sup. Mitchoff 159 163 +3% District 5: Sup. Glover 148 176 +19% Total 669 834 +25% Source: LEAPS 9 December 2022 APS Individuals In-Home Supportive Services (IHSS) 10 In-Home Supportive Services Providers & Caseload Trends 11 7,764 7,919 8,744 9,347 10,762 12,167 12,777 8,673 9,757 10,756 11,606 12,143 13,474 14,019 0 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 June 2017 June 2018 June 2019 June 2020 June 2021 June 2022 December 2022 Providers Consumers Source: CMIPS and Care Tracker 11 In-Home Supportive Services Compliance 12 56% 46% 14% 22% 95% 93%90% 56% 67% 80% 84% 73% 62% 57% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%Oct-19Nov-19Dec-19Jan-20Feb-20Mar-20Apr-20May-20Jun-20Jul-20Aug-20Sep-20Oct-20Nov-20Dec-20Jan-21Feb-21Mar-21Apr-21May-21Jun-21Jul-21Aug-21Sep-21Oct-21Nov-21Dec-21Jan-22Feb-22Mar-22Apr-22May-22Jun-22Jul-22Aug-22Sep-22Oct-22Nov-22Dec-22Intake Compliance %Reassessment Compliance % Approved 14 Additional FTE’s Intake Decentralized Source: CMIPS 12 Onset of COVID General Assistance (GA) 13 General Assistance Applications & Caseload Trends 14 758 614 797 619 430 595 551 652 528 555 170 434 587 589 - 100 200 300 400 500 600 700 800 900 June 2017 June 2018 June 2019 June 2020 June 2021 June 2022 December 2022 Cases Applications Source: CalWIN CIS Reports 14 General Assistance Client Profile 15 •Has the ability to have meaningful employmentLevel 1 •Has a verifiable physical or mental disability which prevents them from maintaining employment for more than 30 days but less than 12 months Level 2 •Has a verifiable physical or mental disability which prevents them from maintaining gainful employment for more than 12 months Level 3 General Assistance clients are characterized as one of the following: Homelessness rate of General Assistance Applicants in July –December 2022 Applications Granted # Homeless % Homeless Level 1 867 449 51% Level 2 374 177 47% Level 3 967 399 41% Total 2217 1025 46% General Assistance clients by Age Group July –December 2022 Source: CalWIN 15 Count % of Total 18 and under 5 <1% 19 -25 65 7% 26 -54 748 69% 55 and over 247 23% Total 1085 100% Area Agency on Aging (AAA) 16 Area Agency on Aging Overview 17 Direct Services •Information & Assistance: 11,315 calls •Health Insurance Counseling & Advocacy Program (HICAP): 3,644 Peopled served Services through Community-Based Organization (CBO) Contracts •Friendly Visiting: 178 seniors matched •Respite Hours: 3,063 hours provided •Adult Day Care: 1,664 hours provided •Assisted Transportation: 3,356 trips 17 Area Agency on Aging Initiatives 18 Measure X •Capacity-building support for CBO community •Funding for CBO’s •Campaign in support of older adults with disabilities Master Plan on Aging •Finalized contract with Collaborative Consulting, Inc. for $195,000 to provide data gathering, facilitation, and implementation plan development services •Community event in support of Master Plan held on Aging in November 17, 2022 18 Partnerships and Grants 19 Partnerships and Grants 20 Program Purpose Number Served July –Dec. 2022 Elder Abuse Prevention Project A partnership of organizations that serves elders who are experiencing physical, psychological, financial and emotional abuse. 222 HomeSafe Housing assistance for APS clients at risk of homelessness or homeless. 44 HDAP Provides SSI Advocacy and Housing assistance to GA clients 99 Community Connect EHSD provides eligibility and social work of high need members. 1,871 Our Partners 20 Service Delivery Contractors 21 21 Contra Costa Health Services $4,533,399 East By Men's Recovery Center $55,000 Empowered Aging $639,187 Diane Whaley $53,799 Meals on Wheels Diablo Region $487,302 Family Justice Alliance $52,756 Contra Costa Senior Legal Services $265,802 Center for Elder's Independence $49,389 Family Caregiver Alliance $194,146 Contra Costa Crisis Center $42,988 Choice in Aging $163,517 District Attorney's Office $27,727 Bi-Bett Corp. New Health Services $110,000 Dr. Lisa Kalich $27,000 Jewish Family & Community Services $91,763 Diablo Valley Foundation for the Aging $25,000 Alzheimer's Association $89,235 JBEO, Inc. $20,000 Dr. Robert Sargent $87,842 Stella Wu Chu $15,675 Uplift Families First $68,132 RTZ Associates $15,000 Mobility Matters $62,202 Legal Assistance for Seniors $8,000 Pamela Brown $56,522 Total $7,241,382 Motion 22 22 ACCEPT the report as recommended by the Family & Human Services Committee. RECOMMENDATION(S): ACCEPT the Aging & Adult Services Report as recommended by the Family & Human Services Committee. FISCAL IMPACT: There is no fiscal impact for this action. BACKGROUND: On May 23, 2000, the Board of Supervisors referred to the Family and Human Services Committee an annual report on the progress made on the issue of elder abuse in Contra Costa County. On November 28, 2022, the Employment & Human Services Department presented the most recent Aging & Adult Services Report to the Family & Human Services Committee. The Committee recommended presentation to the full Board of Supervisors. CONSEQUENCE OF NEGATIVE ACTION: This report provides comprehensive information about Aging & Adult Services, without which the Board will be less informed. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: 8-4805 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: D.2 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:Aging & Adult Services Report CHILDREN'S IMPACT STATEMENT: Older adults and people with disabilities are integral members of their families and communities. As such, they contribute to the wellbeing of all children and support all five community outcomes established in the Children's Report Card: 1) Children are ready for and succeeding in school. 2) Children and youth are healthy and preparing for productive adulthood. 3) Families are economically self sufficient. 4) Families are safe, stable and nurturing. 5) Communities are safe and provide a high quality of life for children and families. ATTACHMENTS Adult & Aging Services Report 1 CONTRA COSTA COUNTY MEASURE X COMMUNITY ADVISORY BOARD BYLAWS 1 DRAFT April 19, 2023 2 (adopted by the Board of Supervisors on April 27, 2021) 3 Article I – Purpose 4 A. The Measure X Community Advisory Board (the “Advisory Board” or “MXCAB”) was established by the 5 Board of Supervisors on February 2, 2021 to advise the Board of Supervisors on the use of Measure X 6 transactions and use tax funds. The main responsibilities of the Advisory Board are: 7 1. Overseeing regular written assessment of community needs, using as a starting point the 8 priority areas identified in the original (2019) Needs Assessment (emergency response 9 (fire/medical), health care, safety net services, preventative care, affordable housing, and 10 supports for early childhood, youth, families, and seniors), and updating every three years, or 11 as needed, with MXCAB being responsible for determining the scope and methodology of the 12 assessment to identify top community priorities and unmet needs; 13 2. Using the assessment findings to develop general funding priorities to be recommended to 14 the Board of Supervisors on any Measure X net revenues available for allocation. . 15 Revenue growth from Measure X shall first be allocated to the cost growth within existing 16 Measure X funded programs; 17 3. Receiving annual status reports on the implementation, milestones, impact, and outcomes of 18 Measure X funded programs in a joint presentation to the MXCAB and Board of Supervisors; 19 4. Providing an annual report to the Board of Supervisors on MXCAB’s self-assessment of their 20 effectiveness during the past year. 21 Article II – Membership 22 A. Composition: 23 1. The Advisory Board shall consist of 17 members, composed of 10 Supervisorial District 24 appointees (two (2) per Supervisorial District) and seven (7) At-Large appointees. 25 2. The Advisory Board shall include ten (10) alternates. Alternate members are expected 26 to attend all regular Advisory Board meetings and may participate fully, except that they 27 may not vote unless substituting for an absent member as described below. Alternate 28 members may not serve as elected officers but may serve on ad hoc or standing 29 committees of the Advisory Board. 30 a) One (1) alternate shall serve on the Advisory Board for each Supervisorial 31 District appointment for a total of five (5) District alternates. The role of District 32 alternate is fully interchangeable with that of regular District-appointed 33 Advisory Board members. A District alternate may not vote unless substituting 34 for the respective absent District-appointed member. 35 b) Five (5) alternates shall serve on the Advisory Board as At-Large 36 alternates. The role of At-Large alternate is fully interchangeable with that of 37 2 regular At-Large Advisory Board members. At-Large alternates may fully 1 participate and voice opinions but may not vote unless substituting for an 2 absent At-Large member. 3 B. Eligibility: 4 1. General: The Advisory Board shall be composed of members representing diverse 5 voices, perspectives, and expertise, including but not exclusive to: budget justice 6 advocacy, children’s services, community health, consumer advocacy, faith leadership, 7 senior services, fire and public safety protection, housing and homelessness, labor union 8 representation, legal advocacy, local businesses, mental health services, non-partisan 9 civic organizations, policy organizations, public health, racial justice and equity, safety 10 net services, senior services, substance use services, taxpayers, and youth services. 11 Priority will be given to residents who are most impacted by one or more of the 12 community needs identified by MXCAB , and/or who have direct lived experience of the 13 harms caused by racial and economic inequities. MXCAB will work with members of the 14 Board of Supervisors to develop and implement strategies to identify and support 15 MXCAB applicants and new members with lived experience. 16 2. Live/Work Requirement: Committee members shall either live or work in Contra 17 Costa County, with a majority being residents of the County. There is no requirement for 18 Supervisorial District seat appointees to live or work within a specific Supervisorial 19 District. 20 3. No Public Officials: Elected officials and County department heads are not eligible to 21 serve on the Advisory Board. 22 C. Terms of Office: 23 1. Appointments: The members of the Advisory Board and alternates shall serve 24 staggered terms of two or three years. 25 a) Supervisorial District Appointments: Each of the two (2) Supervisorial District 26 seats and alternates identified in Article II(A) for each Supervisorial District, shall 27 serve a term of two (2) years. 28 b) At-Large Appointments: Each of the seven (7) At-Large seats and alternates 29 identified in Article II(A), shall serve a term of three (3) years. 30 2. Term Limits: Each member is limited to serving, consecutively, for a maximum of six 31 years. 32 D. Appointment Process: 33 1. Initial Appointments: 34 a) The Clerk of the Board of Supervisors will solicit applications to fill the 17-35 member Advisory Board through a single recruitment process. 36 3 b) Applications shall be referred to each County Supervisor to select three 1 nominees to serve on the Advisory Board (two nominees plus one stand-by 2 nominee). 3 c) Supervisorial District nominees will be transmitted to the Finance Committee 4 of the Board of Supervisors (the “Finance Committee”) along with all remaining 5 applications for appointment. 6 d) The Finance Committee shall review the Supervisorial District nominations 7 and select nominees for the remaining seven (7) At-Large seats, taking into 8 account the goals identified in Article II(B)(1). 9 e) In the case where the same nominee is selected for a Supervisorial District 10 appointment by multiple Supervisors, the Finance Committee shall take into 11 consideration the stand-by nominees recommended by those Supervisors in 12 resolving the conflict and making a final recommendation to the Board of 13 Supervisors. 14 f) The Finance Committee shall ultimately make every effort to ensure that 15 there is representation from the broadest cross-section of stakeholders as 16 described in Article II(B)(1) as well as geographic, racial and ethnic 17 representation reflecting the County’s diversity. 18 2. Subsequent Appointments: 19 a) Supervisorial District Appointments: 20 1) The Clerk of the Board of Supervisors will solicit applications to fill the 21 Supervisorial District Appointments every two (2) years in a single 22 recruitment process. The respective Supervisor, and interested 23 members of MXCAB, shall assist in ensuring that the opportunity to 24 apply is distributed widely to a broad array of county residents and 25 stakeholders, in order to maintain and support diverse representation 26 on MXCAB. 27 2) Applications shall be referred to each County Supervisor to select 28 three nominees to serve on the Advisory Board (two nominees plus one 29 alternate nominee). 30 3) In the case where the same nominee is selected for a Supervisorial 31 District appointment by multiple Supervisors, Supervisors will be 32 notified to allow for modifications to their nominations. 33 4) Once conflicts are resolved, nominations will be submitted directly to 34 the Board of Supervisors. 35 b) At-Large Appointments: 36 4 1) The Clerk of the Board of Supervisors will solicit applications to fill the 1 At-Large Appointments every three (3) years in a single recruitment 2 process. 3 2) Applications shall be referred to the Finance Committee to select 4 seven (7) At-Large seats and five (5) At-Large alternates, taking into 5 account the goals identified in Article II(B)(1). 6 3) The Finance Committee shall ultimately make every effort to ensure 7 that there is representation from the broadest cross-section of 8 stakeholders as described in Article II(B)(1) as well as geographic, racial 9 and ethnic representation reflecting the County’s diversity. 10 4) Final nominations shall be submitted to the full Board of Supervisors 11 for consideration of appointment. 12 3. Unscheduled Vacancies: 13 a) General: Should an unscheduled vacancy occur during a MXCAB member’s 14 term of office, whether by death, resignation or otherwise, the Board of 15 Supervisors and MXCAB Chair shall be notified of the vacancy. The Board of 16 Supervisors shall direct the Clerk of the Board to announce the vacancy and 17 collect applications for appointment. 18 b) Supervisorial District Vacancy: If the unscheduled vacancy is in a Supervisorial 19 District seat, then the applications seeking appointment will be transmitted by 20 the Clerk of the Board to the Supervisorial District responsible for making 21 nominations for appointment to that seat. The MXCAB will also be notified of 22 the vacancy. The Supervisorial District will then transmit the nomination for 23 appointment to the Board of Supervisors for consideration. 24 c) At-Large Vacancy: If the unscheduled vacancy is in an At-Large seat, then the 25 applications seeking appointment will be transmitted by the Clerk of the Board 26 to the Finance Committee to consider making nominations for appointment to 27 the vacant seat. The Finance Committee will then transmit the nomination for 28 consideration and appointment to the Board of Supervisors for consideration. 29 d) If a member is absent three or more times in a 12-month period, staff will 30 notify the Finance Committee and MXCAB chair of these absences. 31 e) Timeline to Fill Vacancies: The Board of Supervisors will strive to fill vacancies 32 within 60 days of a seat being vacated. 33 e) Resignation: Any appointed member may resign by giving written notice to 34 the Clerk of the Board of Supervisors and the MXCAB Chair. 35 Article III. – Advisory Board Structure & Meetings 36 A. Officers: The Advisory Board shall select a Chair and Vice Chair for purposes of officiating 37 meetings, who shall each serve for a term of one (1) year. The Chair and Vice Chair, respectively, 38 5 may be elected to successive terms as Chair and Vice Chair by the Advisory Board, and may 1 serve in these capacities until such time as their overall term on the Advisory Board 2 ends. Alternate members may not serve as officers. Election of officers shall be held in April of 3 each year. 4 B. Regular Meetings: Regular meetings of the Advisory Board shall be held at least quarterly, 5 based on a schedule adopted by the Advisory Board. Regularly scheduled meetings may be 6 canceled by a majority vote of the Advisory Board or, for lack of business or a quorum, by the 7 Chair. 8 C. Special Meetings: Special meetings of the Advisory Board or any other committees may be 9 called by the Chair at any time, or by a majority of current Advisory Board members. Such 10 meetings shall be called in accordance with the provisions of the Ralph M. Brown Act and the 11 Contra Costa County Better Government Ordinance regarding member and public notice. 12 D. Quorum: A majority of the membership of the Advisory Board shall constitute a quorum for 13 the transaction of business. A “majority of the membership” is defined as a majority of filled 14 seats on the Advisory Board at any given time. For example, if only thirteen (13) seats are filled 15 and four (4) are vacant, then a quorum is established when seven (7) members are present at a 16 meeting. Similarly, if all 17 seats are filled, a quorum is established when nine (9) members are 17 present at a meeting. No action shall be taken by the Advisory Board unless a quorum is present 18 as defined above. Alternate Advisory Board members substituting for members may be counted 19 in determining whether a quorum is established at a meeting. 20 E. Voting: Each member of the Advisory Board, or the member’s alternate when the member is 21 absent, has one vote. A minimum of nine (9) votes of the members present, or alternates when 22 members are absent, are required to pass a motion. 23 F. Conflict of Interest: As a general rule, a member may not discuss or vote on an agenda item if 24 doing so would constitute a conflict of interest. In such a case, the member shall announce that 25 they have a conflict of interest, and recuse themselves before the item is presented and 26 considered. 27 G. Meeting Procedure: The Chair shall preside at all meetings, and shall proceed with the 28 business of the Advisory Board in a manner prescribed in these bylaws. The Chair shall also 29 decide questions of procedure as needed. If the Chair is not present at a meeting, the Vice Chair 30 shall preside. 31 H. MXCAB members and staff shall adhere to their respective roles (as described in these 32 bylaws) in good faith, and shall further amend the bylaws as needed, subject to Board of 33 Supervisors’ approval. 34 I. Order of Business: The regular order of business of the Advisory Board shall be at least the 35 following: 36 1. Call to order 37 6 2. Roll call to determine voting eligibility of At-Large alternates. At the start of each 1 meeting, the five (5) At- Large alternates shall be randomly ordered by staff to replace 2 absent At-Large members for purposes of voting. 3 a. Public comment on items not on the agenda 4 b. Approve Record of Action from prior meeting 5 c. Consideration and action on agenda items 6 d. Adjournment 7 J. Sub-Committees and Ad Hoc Committees: With approval from the MXCAB, the MXCAB Chair 8 may create MXCAB sub-committees and/or ad hoc committees as needed, composed of regular 9 or alternate members who have full voting rights. All such committees are open and accessible 10 to the general public in accordance with the Ralph M. Brown Act and the Contra Costa County 11 Better Government Ordinance. The MXCAB Chair shall consult with staff to ensure staff capacity 12 to support any such committee meetings. 13 14 K. Public Access: All meetings of the Advisory Board shall be open and accessible to the general 15 public in accordance with the Ralph M. Brown Act and the Contra Costa County Better 16 Government Ordinance. Opportunity for public comment will be included in each agenda 17 item. In the interest of facilitating the business of the Advisory Board, the Chair may set in 18 advance of public comment reasonable time limits for oral presentation. 19 Article IV. – Administration 20 The Advisory Board shall obtain staff support from the County Administrator’s Office or another county 21 office designated by the Board of Supervisors. The staff will be responsible for compiling and distributing 22 Advisory Board meeting notices, agenda packets and records of action; arranging for translation into 23 Spanish of MXCAB meeting agendas; arranging for simultaneous interpretation (at a minimum in 24 American Sign Language and Spanish) for all MXCAB meetings; posting MXCAB meeting videos on the 25 county website within seven (7) days of the most recent meeting; maintaining the MXCAB member 26 roster and contact list; maintaining and providing the Chair with a list of current MXCAB vacancies; 27 providing the Chair with an updated MXCAB attendance record for the prior quarter; advising the 28 MXCAB Chair and members on questions of procedure; and responding to questions and requests from 29 the MXCAB Chair between meetings. 30 Article V. – Compensation 31 Members of the Advisory Board shall serve without compensation and shall not receive reimbursement 32 for any expenses incurred while conducting official business. 33 Article VI. – Changes to Bylaws 34 The provisions of these Bylaws may be altered, amended or repealed within the limitations imposed by 35 the Brown Act, the Contra Costa County Better Government Ordinance and the policies of the Contra 36 Costa County Board of Supervisors. No such alteration, amendment or repeal shall be effective unless 37 7 and until the change has been approved by the Board of Supervisors, after consideration and 1 recommendation by the Finance Committee. 2 1 CONTRA COSTA COUNTY MEASURE X COMMUNITY ADVISORY BOARD BYLAWS 1 DRAFT April 19, 2023 2 (adopted by the Board of Supervisors on April 27, 2021) 3 Article I – Purpose 4 A. The Measure X Community Advisory Board (the “Advisory Board” or “MXCAB”) was established by the 5 Board of Supervisors on February 2, 2021 to advise the Board of Supervisors on the use of Measure X 6 transactions and use tax funds. The main responsibilities of the Advisory Board are: 7 1. Overseeing an annualregular written assessment of community needs, using as a starting 8 point focusing primarily on the priority areas identified in the original (2019) Needs 9 Assessment , including (emergency response (fire/medical), health care, safety net services, 10 preventative care, affordable housing, and supports for early childhood, youth, families, and 11 seniors), and updating every three years, or as needed, with MXCAB being responsible for 12 determining the scope and methodology of the assessment to identify top community 13 priorities and unmet needs; 14 2. Assessing and documenting top community priorities and unmet needs, Creating detailed 15 priority lists of the top ten service gaps (county‐ and community‐provided) based on the 16 results from the most current needs assessment;. 17 23. Using the assessment findings to develop make general funding priorities to be 18 recommended to the Board of Supervisors on any Measure X net revenues available for 19 allocation. y recommendations to the Board of Supervisors on 95% of the revenue generated 20 by Measure X. Revenue growth from Measure X shall first be allocated to the cost growth 21 within existing Measure X funded programs; 22 34. Receiving annual status reports on the implementation, milestones, impact, and outcomes 23 of Measure X funded programs in a joint presentation to the MXCAB and Board of 24 Supervisors; 25 45. Providing an annual report to the Board of Supervisors on the outcomes and impact of 26 allocated funds and on MXCAB’s self‐assessment of their effectiveness during the past year. 27 5. The Advisory Board committee shall initially meet as needed and thereafter shall meet 28 quarterly. 29 Article II – Membership 30 A. Composition: 31 1. The Advisory Board shall consist of 17 members, composed of 10 Supervisorial District 32 appointees (two (2) per Supervisorial District) and seven (7) At‐Large appointees. 33 2. The Advisory Board shall include ten (10) alternates. Alternate members have made a 34 commitment to attend the meetings and gain the understanding of the issues and each 35 other’s viewpoints needed to reach agreement on recommendations. Alternate 36 members are expected to attend all regular Advisory Board meetings and may 37 2 participate fully, except that they may not vote unless substituting for an absent 1 member as described below. Alternate members may not serve as elected officers but 2 may serve on ad hoc or standing committees of the Advisory Board. 3 a) One (1) alternate shall serve on the Advisory Board for each Supervisorial 4 District aAppointment for a total of five (5) District alternates. The role of 5 District alternate is fully interchangeable with that of regular District‐ appointed 6 Advisory Board members. A District alternate may not vote unless substituting 7 for the respective absent District‐ appointed members. 8 b) Five (5) alternates shall serve on the Advisory Board as At‐Large 9 alternates. The role of At‐Large alternate is fully interchangeable with that of 10 regular At‐Large Advisory Board members. At‐ Large alternates may fully 11 participate and voice opinions but may not vote unless substituting for an 12 absent At‐Large member. 13 B. Eligibility: 14 1. General: The Advisory Board shall be composed of members representing broad and 15 diverse voices, perspectives, and expertise, including but not exclusive to: budget justice 16 advocacy, children’s services, community health, consumer advocacy, faith leadership, 17 senior services, fire and public safety protection, housing and homelessness, labor union 18 representation, legal advocacy, local businesses, mental health services, non‐partisan 19 civic organizations, policy organizations, public health, racial justice and equity, safety 20 net services, senior services, substance use services, taxpayers, and youth services. 21 Priority will be given to residents who are most impacted by one or more of the 22 community needs identifiedy by MXCAB , and/or who have direct lived experience of 23 the harms caused by racial and economic inequities. MXCAB will work with members of 24 the Board of Supervisors to develop and implement strategies to identify and support 25 MXCAB applicants and new members with lived experience. 26 2. Live/Work Requirement: Committee members shall either live or work in Contra 27 Costa County, with a majority being residents of the County. There is no requirement for 28 Supervisorial District seat appointees to live or work within a specific Supervisorial 29 District. 30 3. No Public Officials: Public officials, including bothE elected officials and County 31 appointeddepartment heads, are not eligible to serve on the Advisory Board. 32 C. Terms of Office: 33 1. Appointments: The members of the Advisory Board and alternates shall serve 34 staggered terms of two or three years. 35 a) Supervisorial District Appointments: Each of the two (2) Supervisorial District 36 seats and alternates identified in Article II(A) for each Supervisorial District, shall 37 serve a term of two (2) years. 38 3 b) At‐Large Appointments: Each of the seven (7) At‐Large seats and alternates 1 identified in Article II(A), shall serve a term of three (3) years. 2 2. Term Limits: Each member is limited to serving, consecutively, for a maximum of six 3 years. 4 D. Appointment Process: 5 1. Initial Appointments: 6 a) The Clerk of the Board of Supervisors will solicit applications to fill the 17‐7 member Advisory Board through a single recruitment process. 8 b) Applications shall be referred to each County Supervisor to select three 9 nominees to serve on the Advisory Board (two nominees plus one stand‐by 10 nominee). 11 c) Supervisorial District nominees will be transmitted to the Finance Committee 12 of the Board of Supervisors (the “Finance Committee”) along with all remaining 13 applications for appointment. 14 d) The Finance Committee shall review the Supervisorial District nominations 15 and select nominees for the remaining seven (7) At‐Large seats, taking into 16 account the goals identified in Article II(B)(1). 17 e) In the case where the same nominee is selected for a Supervisorial District 18 appointment by multiple Supervisors, the Finance Committee shall take into 19 consideration the stand‐by nominees recommended by those Supervisors in 20 resolving the conflict and making a final recommendation to the Board of 21 Supervisors. 22 f) The Finance Committee shall ultimately make every effort to ensure that 23 there is representation from the broadest cross‐section of stakeholders as 24 described in Article II(B)(1) as well as geographic, racial and ethnic 25 representation reflecting the County’s diversity. 26 2. Subsequent Appointments: 27 a) Supervisorial District Appointments: 28 1) The Clerk of the Board of Supervisors will solicit applications to fill the 29 Supervisorial District Appointments every two (2) years in a single 30 recruitment process. The respective Supervisor, and interested 31 members of MXCAB, shall assist in ensuring that the opportunity to 32 apply is distributed widely to a broad array of county residents and 33 stakeholders, in order to maintain and support diverse representation 34 on MXCAB. 35 4 2) Applications shall be referred to each County Supervisor to select 1 three nominees to serve on the Advisory Board (two nominees plus one 2 alternate nominee). 3 3) In the case where the same nominee is selected for a Supervisorial 4 District appointment by multiple Supervisors, Supervisors will be 5 notified to allow for modifications to their nominations. 6 4) Once conflicts are resolved, nominations will be submitted directly to 7 the Board of Supervisors. 8 b) At‐Large Appointments: 9 1) The Clerk of the Board of Supervisors will solicit applications to fill the 10 At‐Large Appointments every three (3) years in a single recruitment 11 process. 12 2) Applications shall be referred to the Finance Committee to select 13 seven (7) At‐Large seats and five (5) At‐Large alternates, taking into 14 account the goals identified in Article II(B)(1). 15 3) The Finance Committee shall ultimately make every effort to ensure 16 that there is representation from the broadest cross‐section of 17 stakeholders as described in Article II(B)(1) as well as geographic, racial 18 and ethnic representation reflecting the County’s diversity. 19 4) Final nominations shall be submitted to the full Board of Supervisors 20 for consideration of appointment. 21 3. Unscheduled Vacancies: 22 a) Vacancies through September 30, 2021: Should an unscheduled vacancy 23 occur prior to October 1, 2021, the Supervisorial Districts and Finance 24 Committee may use the initial recruitment pool for nomination/appointment. 25 ab) General: Should an unscheduled vacancy occur during a MXCAB member’s 26 term of office, either whether by death, resignation or otherwise, the Board of 27 Supervisors and MXCAB Chair shall be notified of the vacancy. The Board of 28 Supervisors and shall direct the Clerk of the Board to announce the vacancy and 29 collect applications for appointment. 30 bc) Supervisorial District Vacancy: If the unscheduled vacancy is in a 31 Supervisorial District seat, then the applications seeking appointment will be 32 transmitted by the Clerk of the Board to the Supervisorial District responsible 33 for making nominations for appointment to that seat. The MXCAB will also be 34 notified of the vacancy. The Supervisorial District will then transmit the 35 nomination for appointment to the Board of Supervisors for consideration. 36 cd) At‐Large Vacancy: If the unscheduled vacancy is in an At‐Large seat, then the 37 applications seeking appointment will be transmitted by the Clerk of the Board 38 5 to the Finance Committee to consider making nominations for appointment to 1 the vacant seat. The Finance Committee will then transmit the nomination for 2 consideration and appointment to the Board of Supervisors for consideration. 3 d) If a member is absent three or more times in a 12‐month period, staff will 4 notify the Finance Committee and MXCAB chair of these absences. 5 e) Timeline to Fill Vacancies: The Board of Supervisors will strive to fill vacancies 6 within 60 days of a seat being vacated. 7 e) Resignation: Any appointed member may resign by giving written notice to 8 the Clerk of the Board of Supervisors and the MXCAB Chair. 9 Article III. – Advisory Board Structure & Meetings 10 A. Officers: The Advisory Board shall select a Chair and Vice Chair for purposes of officiating 11 meetings, who shall each serve for a term of one (1) year. The Chair and Vice Chair, respectively, 12 may be elected to successive terms as Chair and Vice Chair by the Advisory Board, and may 13 serve in these capacities until such time as their overall term on the Advisory Board 14 ends. Alternate members may not serve as officers. Election of officers shall be held in April of 15 each year. 16 B. Regular Meetings: Regular meetings of the Advisory Board shall be held at least quarterly , 17 based on a schedule adopted by the Advisory Board. Regularly scheduled meetings may be 18 canceled by a majority vote of the Advisory Board or, for lack of business or a quorum, by the 19 Chair. 20 C. Special Meetings: Special meetings of the Advisory Board or any other committees may be 21 called by the Chair at any time, or by a majority of current Advisory Board members. Such 22 meetings shall be called in accordance with the provisions of the Ralph M. Brown Act and the 23 Contra Costa County Better Government Ordinance regarding member and public notice. 24 D. Quorum: A quorum of the Advisory Board shall occur when a majority of the membership are 25 present.A majority of the membership of the Advisory Board shall constitute a quorum for the 26 transaction of business. A “majority of the membership” is defined as a majority of filled seats 27 on the Advisory Board at any given time. For example, if only thirteen (13) seats are filled and 28 four (4) are vacant, then a majority for purposes of establishing a quorum is established when 29 would require seven (7) members be are present at the a meeting. Similarly, if all 17 seats are 30 filled, a majority for purposes of establishing a quorum is established when would require nine 31 (9) members be are present at the a meeting. No action shall be taken by the Advisory Board 32 unless a majority of the members arequorum is present as defined above. An Alternate Advisory 33 Board members substituting for a members may be included counted in determining whether a 34 quorum is established at a meeting. 35 E. Voting: Each member of the Advisory Board, or the member’s alternate when the member is 36 absent, has one vote. A and a minimum of nine (9) votes of the members present, or alternates 37 when members are absent, are required to pass a motion. 38 6 F. Conflict of Interest: As a general rule, no a member may not discuss or vote on an agenda 1 item shall participate as a member in any discussion or voting if doing so would constitute a 2 conflict of interest. In such a case, the member shall announce that they have a conflict of 3 interest, and recuse themselves from discussing or voting on that itembefore the item is 4 presented and considered. 5 G. Meeting Procedure: The Chair will shall preside at all meetings, and shall proceed with the 6 business of the Advisory Board in a manner prescribed in these bylaws. The Chair will shall also 7 decide questions of procedure as needed. If the Chair is not present at a meeting, the Vice Chair 8 shall preside. 9 H. MXCAB members and staff shall adhere to their respective roles (as described in these 10 bylaws) in good faith, and shall further amend the bylaws as needed, subject to Board of 11 Supervisors’ approval. 12 I. Order of Business: The regular order of business of the Advisory Board shall be at least the 13 following: 14 1. Call to order 15 2. Roll call to determine voting eligibility of At‐Large alternates. At the start of each 16 meeting, the five (5) At‐ Large alternates shall be randomly ordered by staff to replace 17 absent At‐Large members for purposes of voting. 18 a. Public comment on items not on the agenda 19 b. Approve Record of Action from prior meeting 20 c. Consideration and action on agenda items 21 d. Adjournment 22 J. Sub‐Committees and Ad Hoc Committees: With approval from the MXCAB, the MXCAB Chair 23 may create MXCAB sub‐committees and/or ad hoc committees as needed, composed of regular 24 or alternate members who have full voting rights. All such committees are open and accessible 25 to the general public in accordance with the Ralph M. Brown Act and the Contra Costa County 26 Better Government Ordinance. The MXCAB Chair shall consult with MXCAB staff to ensure staff 27 capacity to support any such committee meetings. 28 29 K. Public Access: All meetings of the Advisory Board shall be open and accessible to the general 30 public in accordance with the Ralph M. Brown Act and the Contra Costa County Better 31 Government Ordinance. Opportunity for public comment will be included in each agenda 32 item. In the interest of facilitating the business of the Advisory Board, the Chair may set in 33 advance of public comment reasonable time limits for oral presentation. 34 Article IV. – Administration 35 The Advisory Board shall obtain staff support from the County Administrator’s Office or another county 36 office designated by the Board of Supervisors. The staff will be responsible for compiling and distributing 37 the compilation and distribution of Advisory Board meeting notices, agenda packets and records of 38 7 action; arranging for translation into Spanish of MXCAB meeting agendas; arranging for simultaneous 1 interpretation (at a minimum in American Sign Language and Spanish) for all MXCAB meetings; posting 2 MXCAB meeting videos on the county website within seven (7) days of the most recent meeting; 3 maintaining the MXCAB member roster and contact list; maintaining and providing the Chair with a list 4 of current MXCAB vacancies; providing the Chair with an updated MXCAB attendance record for the 5 prior quarter; advising the MXCAB Chair and members on questions of procedure; and responding to 6 questions and requests from the MXCAB Chair between meetings. 7 Article V. – Compensation 8 Members of the Advisory Board shall serve without compensation and shall not receive reimbursement 9 for any expenses incurred while conducting official business. 10 Article VI. – Changes to Bylaws 11 The provisions of these Bylaws may be altered, amended or repealed within the limitations imposed by 12 the Brown Act, the Contra Costa County Better Government Ordinance and the policies of the Contra 13 Costa County Board of Supervisors. No such alteration, amendment or repeal shall be effective unless 14 and until the change has been approved by the Board of Supervisors, after consideration and 15 recommendation by the Finance Committee. 16 1 CONTRA COSTA COUNTY MEASURE X COMMUNITY ADVISORY BOARD BYLAWS (adopted by the Board of Supervisors on April 27, 2021) Article I – Purpose A. The Measure X Community Advisory Board (the “Advisory Board”) was established by the Board of Supervisors on February 2, 2021 to advise the Board of Supervisors on the use of Measure X transactions and use tax funds. The main responsibilities of the Advisory Board are: 1. Overseeing an annual assessment of community needs, focusing primarily on the priority areas identified in the Needs Assessment, including emergency response (fire/medical), health care, safety net services, preventative care, affordable housing, and supports for early childhood, youth, families, and seniors. 2. Creating detailed priority lists of the top ten service gaps (county‐ and community‐provided) based on the results from the needs assessment. 3. Using the assessment to make general funding priority recommendations to the Board of Supervisors on 95% of the revenue generated by Measure X. 4. Providing an annual report on the outcomes and impact of allocated funds. 5. The Advisory Board committee shall initially meet as needed and thereafter shall meet quarterly. Article II – Membership A. Composition: 1. The Advisory Board shall consist of 17 members, composed of 10 Supervisorial District appointees (2 per Supervisorial District) and seven (7) At‐Large appointees. 2. The Advisory Board shall include ten (10) alternates. Alternate members have made a commitment to attend the meetings and gain the understanding of the issues and each other’s viewpoints needed to reach agreement on recommendations. Alternate members are expected to attend all regular Advisory Board meetings and may participate fully, except that they may not vote unless substituting for an absent member as described below. Alternate members may not serve as elected officers but may serve on ad hoc or standing committees of the Advisory Board. a) One (1) alternate shall serve on the Advisory Board for each Supervisorial District Appointment for a total of five (5) District alternates. The role of District alternate is fully interchangeable with that of regular District appointed Advisory Board members. A District alternate may not vote unless substituting for the respective absent District appointed members. b) Five (5) alternates shall serve on the Advisory Board as At‐Large alternates. The role of At‐Large alternate is fully interchangeable with that of regular At‐Large Advisory Board members. At‐ Large alternates may fully participate and voice opinions but may not vote unless substituting for an absent At‐Large member. 2 B. Eligibility: 1. General: The Advisory Board shall be composed of members representing broad and diverse voices, perspectives and expertise, including but not exclusive to: budget justice advocacy, children’s services, community health, consumer advocacy, faith leadership, senior services, fire and public safety protection, housing and homelessness, labor union representation, legal advocacy, local businesses, mental health services, non‐partisan civic organizations, policy organizations, public health, racial justice and equity, safety net services, senior services, substance use services, taxpayers, and youth services. 2. Live/Work Requirement: Committee members shall either live or work in Contra Costa County, with a majority being residents of the County. There is no requirement for Supervisorial District seat appointees to live or work within a specific Supervisorial District. 3. No Public Officials: Public officials, including both elected and appointed, are not eligible to serve on the Advisory Board. C. Terms of Office: 1. Appointments: The members of the Advisory Board and alternates shall serve staggered terms of two or three years. a) Supervisorial District Appointments: Each of the two (2) Supervisorial District seats and alternates identified in Article II(A) for each Supervisorial District, shall serve a term of two (2) years. b) At‐Large Appointments: Each of the seven (7) At‐Large seats and alternates identified in Article II(A), shall serve a term of three (3) years. 2. Term Limits: Each member is limited to serving, consecutively, for a maximum of six years. D. Appointment Process: 1. Initial Appointments: a) The Clerk of the Board of Supervisors will solicit applications to fill the 17‐member Advisory Board through a single recruitment process. b) Applications shall be referred to each County Supervisor to select three nominees to serve on the Advisory Board (two nominees plus one stand‐by nominee). c) Supervisorial District nominees will be transmitted to the Finance Committee of the Board of Supervisors (the “Finance Committee”) along with all remaining applications for appointment. d) The Finance Committee shall review the Supervisorial District nominations and select nominees for the remaining seven (7) At‐Large seats taking into account the goals identified in Article II(B)(1). e) In the case where the same nominee is selected for a Supervisorial District appointment by multiple Supervisors, the Finance Committee shall take into consideration the stand‐by nominees recommended by those Supervisors in resolving the conflict and making a final recommendation to the Board of Supervisors. f) The Finance Committee shall ultimately make every effort to ensure that there is representation from the broadest cross‐section of stakeholders as described in Article II(B)(1) as well as geographic, racial and ethnic representation reflecting the County’s diversity. 3 2. Subsequent Appointments: a) Supervisorial District Appointments: 1) The Clerk of the Board of Supervisors will solicit applications to fill the Supervisorial District Appointments every two (2) years in a single recruitment process. 2) Applications shall be referred to each County Supervisor to select three nominees to serve on the Advisory Board (two nominees plus one alternate nominee). 3) In the case where the same nominee is selected for a Supervisorial District appointment by multiple Supervisors, Supervisors will be notified to allow for modifications to their nominations. 4) Once conflicts are resolved, nominations will be submitted directly to the Board of Supervisors. b) At‐Large Appointments: 1) The Clerk of the Board of Supervisors will solicit applications to fill the At‐Large Appointments every three (3) years in a single recruitment process. 2) Applications shall be referred to the Finance Committee to select seven (7) At‐Large seats and five (5) At‐Large alternates, taking into account the goals identified in Article II(B)(1). 3) The Finance Committee shall ultimately make every effort to ensure that there is representation from the broadest cross‐section of stakeholders as described in Article II(B)(1) as well as geographic, racial and ethnic representation reflecting the County’s diversity. 4) Final nominations shall be submitted to the full Board of Supervisors for consideration of appointment. 3. Unscheduled Vacancies: a) Vacancies through September 30, 2021: Should an unscheduled vacancy occur prior to October 1, 2021, the Supervisorial Districts and Finance Committee may use the initial recruitment pool for nomination/appointment. b) General: Should an unscheduled vacancy occur during a member’s term of office, either by death, resignation or otherwise, the Board of Supervisors shall be notified of the vacancy and shall direct the Clerk of the Board to announce the vacancy and collect applications for appointment. c) Supervisorial District Vacancy: If the unscheduled vacancy is in a Supervisorial District seat, then the applications seeking appointment will be transmitted by the Clerk of the Board to the Supervisorial District responsible for making nominations for appointment to that seat. The Supervisorial District will then transmit the nomination for appointment to the Board of Supervisors for consideration. d) At‐Large Vacancy: If the unscheduled vacancy is in an At‐Large seat, then the applications seeking appointment will be transmitted by the Clerk of the Board to the Finance Committee to consider making nominations for appointment to the vacant seat. The Finance Committee will then transmit the nomination for consideration and appointment to the Board of Supervisors for consideration. e) Resignation: Any appointed member may resign by giving written notice to the Clerk of the Board of Supervisors. 4 Article III. – Advisory Board Structure & Meetings A. Officers: The Advisory Board shall select a Chair and Vice Chair for purposes of officiating meetings, who shall each serve for a term of one (1) year. Alternate members may not serve as officers. B. Regular Meetings: Regular meetings of the Advisory Board shall be held at least quarterly based on a schedule adopted by the Advisory Board and that schedule may be changed or augmented as needed. In addition, regularly scheduled meetings may be canceled by a majority vote of the Advisory Board or, for lack of business or a quorum, by the Chair. C. Special Meetings: Special meetings of the Advisory Board or any other committees may be called by the Chair at any time. Such meetings shall be called in accordance with the provisions of the Ralph M. Brown Act and the Contra Costa County Better Government Ordinance regarding member and public notice. D. Quorum: A quorum of the Advisory Board shall occur when a majority of the membership are present. A majority of the membership is defined as a majority of filled seats on the Advisory Board at any given time. For example, if only 13 seats are filled and four (4) are vacant, then a majority for purposes of establishing a quorum would require seven (7) members be present at the meeting. Similarly, if all 17 seats are filled, a majority for purposes of establishing a quorum would require nine (9) members be present at the meeting. No action shall be taken by the Advisory Board unless a majority of the members are present as defined above. An Alternate Advisory Board member substituting for a member may be included in determining a quorum. E. Voting: Each member of the Advisory Board or the member’s alternate has one vote and a minimum of nine (9) votes of the members present are required to pass a motion. F. Conflict of Interest: As a general rule, no member shall participate as a member in any discussion or voting if doing so would constitute a conflict of interest. G. Meeting Procedure: The Chair will preside at all meetings and proceed with the business of the Advisory Board in a manner prescribed in these bylaws. The Chair will also decide questions of procedure as needed. H. Order of Business: The regular order of business of the Advisory Board shall be at least the following: 1. Call to order 2. Roll call to determine voting eligibility of At‐Large alternates. At the start of each meeting, the five At‐ Large alternates shall be randomly ordered by staff to replace absent At‐Large members for purposes of voting. a. Public comment on items not on the agenda b. Approve Record of Action from prior meeting c. Consideration and action on agenda items d. Adjournment I. Public Access: All meetings of the Advisory Board shall be open and accessible to the general public in accordance with the Ralph M. Brown Act and the Contra Costa County Better Government Ordinance. Opportunity for public comment will be included in each agenda item. In the interest of facilitating the business of the Advisory Board, the Chair may set in advance of public comment reasonable time limits for oral presentation. 5 Article IV. – Administration The Advisory Board shall obtain staff support from the County Administrator’s Office. The staff will be responsible for the compilation and distribution of Advisory Board meeting notices, agenda packets and records of action. Article V. – Compensation Members of the Advisory Board shall serve without compensation and shall not receive reimbursement for any expenses incurred while conducting official business. Article VI. – Changes to Bylaws The provisions of these Bylaws may be altered, amended or repealed within the limitations imposed by the Brown Act, the Contra Costa County Better Government Ordinance and the policies of the Contra Costa County Board of Supervisors. No such alteration, amendment or repeal shall be effective unless and until the change has been approved by the Board of Supervisors, after consideration and recommendation by the Finance Committee. Attachment A - Comparison of Oversight Structures for County Sales Tax Revenues San Mateo Alameda Marin Sonoma Santa Clara Los Angeles San Francisco Bay Restoration Authority Measure Measure A (2012) and Measure K (2016) extended 20 years. Half-cent sales tax passed 2016 to support essential County services and to maintain or replace critical facilities. Also known as “San Mateo County Critical Services Measure." Measure A, the Essential Health Care Services Initiative, was adopted by Alameda County voters in March 2004. The Measure authorized the County of Alameda to raise its sales tax by one-half cent in order to provide for additional financial support for emergency medical, hospital inpatient, outpatient, public health, mental health and substance abuse services to indigent, low- income, and uninsured adults, children, families, seniors and other residents of Alameda County. Measure A to maintain open space, parks, and sustainable agriculture, without increasing tax rates, shall the Marin County measure be adopted to: manage vegetation to reduce wildfire risk and preserve biodiversity; protect streams, baylands, natural areas, wildlife habitat; maintain park facilities; and maintain/ enhance walking, hiking, biking, and equestrian trails; by re-implementing an existing one-quarter cent sales tax, providing $14,000,000 annually, for 9 years (renewed 2022; original 2012) On Nov. 6, 2018, approved Measure M, a one-eighth cent sales tax that supports Sonoma County’s regional and city parks. Approved by 72.6 percent of voters, the “Sonoma County Parks Improvement, Water Quality and Fire Safety Measure” went into effect in April 2019 and will provide funding for parks for 10 years. Extended indefinitely in November 2018, the 2012 Measure A is a 1/8 cent sales tax approved by the voters in November 2012. As a result of the extension, the County has updated the strategic plan for 2012 Measure A usage by aligning services and community needs within a long-term strategy. Specifically, the Recommended Budget contains an ongoing allocation of 2012 Measure A revenue to the Office of Supportive Housing (OSH) to ensure critical service needs are met and to continue the mission of ending and preventing homelessness. Measure H ¼-cent sales tax approved in March 2017, dedicated to preventing and addressing homelessness countywide. Measure AA, or the San Francisco Bay Clean Water, Pollution Prevention and Habitat Restoration Measure, was a revenue generating measure placed on the June 2016 ballots of the nine-county San Francisco Bay Area. The measure proposed a 20-year, $12 parcel tax to raise approximately $25 million annually to fund restoration projects in the Bay. It passed with 70% approval across the region and went into effect in 2017. Sales tax rate 9.375%10.250%8.250%8.500%9.125%9.500%N/A Funding decisions Board of Supervisors approves every Measure K project, program, or initiative at a public meeting. Seventy-five percent (75%) of the proceeds are transferred directly to the Alameda County Medical Center and 25% of the proceeds are allocated by the Alameda County Board of Supervisors (BOS) based on demonstrated need and the County's commitment to a geographically dispersed network of providers. PARKS AND OPEN SPACE 65%, SUSTAINABLE AGRICULTURE 20%, CITIES AND TOWNS 15%. Proposed project expenditures are also routinely brought before the Parks and Open Space Commission and the Open Space District Board. An annual budget is reviewed by the Parks and Open Space Commission and approved by the Marin County Board of Supervisors. Two-thirds of the funds collected will be spent on Sonoma County Regional Parks, enabling the department to: Maintain parks, trails & open spaces; Help protect water quality; Reduce risk of future wildfires; Protect wildlife habitats & fisheries; Improve access for the underserved; Support neighborhood parks & recreation. One-third of all the money will be shared by Sonoma County’s cities to maintain and improve local parks. Each city will determine how best to prioritize its funding projects. Allocated through annual budget process and approved by Board of Supervisors The Homeless Initiative conducts an inclusive and transparent annual funding recommendations process involving County departments and agencies, cities, nonprofit service providers, community partners, and people who have experienced homelessness. Members of the public have multiple opportunities to provide feedback before the Board of Supervisors approves the final budget. The Restoration Authority Board makes funding decisions at public meetings based on its enabling legislation and the requirements of Measure AA. The Board may fund projects to protect, restore and enhance the San Francisco Bay, including: habitat restoration projects; flood protection projects that are part of a habitat restoration project; and shoreline access and recreational amenity projects that are part of a habitat restoration project. Structure Oversight Committee Citizen Oversight Committee Oversight Committee Citizens Oversight Committee N/A Citizen's Oversight Advisory Board The San Francisco Bay Restoration Authority is a regional agency comprised of: A Governing Board of local elected officials (7); An Advisory Committee to represent the community and public agencies (27), and make recommendations on expenditure priorities within the requirements of Measure AA; An Oversight Committee (6); and Staff from state and regional agencies. Oversight Membership 10 seats - two appointed per district 17 seats - League of Women Voters, Taxpayers Association, County Mental Health Board, Public Health Commission, Labor Council, City Managers Association, City of Berkeley, District seats 7 seats - (2) Parks Commission, (1) Agricultural Community, (4) members with working knowledge in subject areas and disciplines beneficial to the work of the committee (e.g. financial management and reporting, public agency administration, and provision of park and open space services). 2 year terms. 7 seats - 5 members appointed by each supervisorial district. 2 members appointed from a list of names submitted by the Mayors of Sonoma County Cities. In the absence of nominations from the City Mayors, the Sonoma County Parks Advisory Commission Chair and Vice Chair will serve on the Oversight Committee. Committee members will serve a three year term and are eligible to be reappointed to one additional three year term. N/A 5 seats - Appointed by the Board of Supervisors The Oversight Committee consists of one representative from each of the four regions (North, South, East, and West Bay), and two members from counties not already represented, currently Alameda and San Mateo. Page 1 of 2 San Mateo Alameda Marin Sonoma Santa Clara Los Angeles San Francisco Bay Restoration Authority Responsibilities Annual audit, reviews and recommends metrics, prepares annual report. Committee does not make funding recommendations. The Measure A ordinance established a Citizen Oversight Committee, which consists of 17 members appointed by the Alameda County Board of Supervisors (Board), to annually review the expenditures for the prior year and report to the Board on the conformity of the expenditures to the ordinance. The Committee develops, publishes, and presents a final report, based on individual reports submitted by fund recipients, at the end of each year to the Board. The duties of the committee are to: (1) review annual expenditures to ensure they conform with the Expenditure Plan; (2) oversee an annual audit; and (3) prepare an annual report describing how funds were spent. These tasks are completed in partnership with staff and independent auditors. The committee shall review the receipt and expenditures of the revenue from the transactions and use tax, including the County’s annual independent audit. The committee’s review shall be completed in conjunction with the County’s budget process. The committee shall produce an annual oral or written report on its review which shall be considered by the Board at a public meeting. The committee may provide budget recommendations to the Board and City Councils regarding expenditures from the transactions and use tax. To preserve the integrity and independence of the oversight process, the committee’s responsibilities shall not include decision-making on spending priorities, financing plans or tax rate projections or assumptions and the committee shall have no authority to direct, nor shall it direct, County or City staff or officials. N/A The Homeless Initiative is the central coordinating body for Los Angeles County’s ongoing effort – unprecedented in scale – to expand and enhance services for people experiencing homelessness or at risk of losing their homes. The Citizens’ Oversight Advisory Board (COAB) meets quarterly to discuss a range of topics and conduct periodic audits. The Independent Citizens Oversight Committee is a group of six individuals, operating independently from the Advisory Committee, Governing Board and staff of the Authority to provide an unbiased annual analysis of the work of the Authority. The group is responsible for the following tasks: 1. Annually review the Authority's conformance with Measure AA; 2. Review the Authority's audits and expenditure and financial reports; and 3. Publish an annual report of its findings Meeting frequency Meets at least twice a year.Monthly Regular public meetings of this committee are held on the second Thursday in February and November.Quarterly N/A Quarterly At least twice each year: once to discuss and make initial comments on the Authority's annual reports and financial documents; and a second time to discuss, amend, and adopt its findings and recommendations to the Authority, in the form of a written report. Website https://www.smcgov.org/ceo/measure-k https://www.acgov.org/health/indigent/me asureA.htm https://www.parks.marincounty.org/about- us/measure- a#:~:text=Measure%20A%20Allocations,use d%20for%20any%20other%20purpose. https://parks.sonomacounty.ca.gov/learn/f unding#:~:text=Measure%20M%20Details,g oing%20to%20the%20nine%20cities. N/A https://homeless.lacounty.gov/measure-h/ https://www.sfbayrestore.org/independent- citizens-oversight-committee Page 2 of 2 Adam Nguyen, County Finance Director County Administrator’s Office May 16, 2023 Options for Measure X Oversight Measure X oversight options Agenda 1.Measure X background 2.Comparison of county sales tax oversight committees 3.Key considerations for a new oversight body 4.Finance Committee recommendations a.Measure X Fiscal Oversight b.Measure X Community Advisory Board Bylaws revisions 5.Board discussion and direction 2 Measure X oversight options Measure X background 1.On November 3, 2020, voters in Contra Costa County approved Measure X, a Countywide, 20-year, half-cent sales tax. 2.The intent of Measure X is “to keep Contra Costa’s regional hospital open and staffed; fund community health centers; provide timely fire and emergency response; support crucial safety-net services; invest in early childhood services; protect vulnerable populations; and for other essential county services” 3.Collection of the tax began on April 1, 2021 a.$217.6M has been collected through March 31, 2023 b.$347.4M has been allocated through FY23-24 for 34 projects and funding areas 3 Measure X oversight options Measure X Community Advisory Board On February 9, 2021, the Board of Supervisors created the MXCAB to: 1.Oversee an annual assessment of community needs, focusing on the priority areas identified in the Measure X ballot language 2.Create a detailed priority list of the top service gaps based on the results from the Needs Assessment; 3.Use the Needs Assessment to make general funding priority recommendations to the Board of Supervisors; and 4.Provide an Annual Report on the outcomes and impact of allocated funds. 4 Measure X oversight options Comparison of county sales tax oversight committees 1.On November 8, 2022 the Board requested that staff return with recommendations for the creation of an oversight body 2.CAO conducted a review of oversight structures for county sales tax measures, including Alameda, Marin, San Mateo, Santa Clara, Sonoma, Los Angeles, San Francisco Bay Restoration Authority [See Attachment A] 3.San Mateo’s Measure K most closely resembles Contra Costa’s Measure X. All but Santa Clara have an oversight committee. 4.Common responsibilities: financial audits, performance measurement, annual reports 5.Meeting frequency –Most meet 2 or 4 times annually 5 Measure X oversight options Potential benefits of an oversight body 1.Transparency –Independent auditing a.Confirms the accuracy of the County’s reported sales tax revenues b.Verifies that expenditures by County departments, external agencies, and subrecipients were spent appropriately and for their intended purposes as approved by the Board of Supervisors 2.Separation of duties –Eliminates conflicts of interest and incompatible activities 3.Objective analysis –Potentially provides expert, external review of departments’ performance and outcomes 4.Accountability –Increases public information about Measure X activities, progress, and impacts 6 Measure X oversight options Key considerations for Measure X oversight 1.Role and responsibilities –What does oversight entail? a.Annual financial audit b.Performance measurement & program evaluation c.Annual report 2.Membership –Who should provide oversight? a.How many seats and for what term? b.Who represents (e.g.experts such as Auditor-Controller, Public Works Capital Projects Manager, County Administrator, business and financial representatives from public)? c.How are members selected (e.g.application, appointed, by role)? d.Avoid conflicts of interest and incompatible activities (e.g.making funding recommendations and then applying for those funds) 3.Deliverables: Year-end report(s), public discussion 7 Measure X oversight options Key considerations for Measure X oversight (continued) 4.How often to meet? a.Quarterly at launch b.Semi-annual afterwards 5.What resources are needed? a.Contracted services for an external auditor b.Staffing to support reporting, public information, website development, program evaluation, and Measure X related meetings 6.How do the Measure X Community Advisory Board and their bylaws align? 8 Measure X oversight options Finance Committee Recommendations 1.Create a Measure X fiscal oversight body responsible for reviewing and confirming Measure X revenues and expenditures a.Oversee financial audits conducted by an external auditor b.Verify conformance with the Measure’s language and intent and with the Board’s direction for specific allocations c.Produce an associated annual report d.Would not do performance measurement or program evaluation; role is solely financial accountability 2.Membership a.2 seats for each county supervisor’s district (10 total), with recommendations by each district supervisor and appointment by the Board of Supervisors b.Serving 3-year terms, up to 2 terms (6 years) total 3.Meeting frequency: Quarterly to start, semi-annual afterwards 9 Measure X oversight options MXCAB & Finance Committee proposed changes to the MXCAB bylaws 1.Role a.Shifts annual needs assessments to every 3 years, or as needed b.Specifies that the MXCAB makes funding recommendations on any net revenues available for allocation (after cost-of-living adjustments are made for existing allocations) c.Creates a joint session between the Board of Supervisors and MXCAB to receive an annual report from county staff on implementation, milestones, impact, and outcomes of Measure X 2.Membership a.Prioritizes MXCAB eligibility based on lived experience of the harms caused by racial and economic inequities b.Allows public officials (with membership on other County bodies) to serve on the MXCAB, and clarifies restrictions apply to elected officials and County department heads 10 Measure X oversight options MXCAB & Finance Committee proposed changes to the MXCAB bylaws (continued) 3.Meetings and Administration a.Enables a majority of the members to call for a special meeting b.Clarifies definitions for quorum and voting c.Reiterates rules about participation, requiring members to recuse themselves from discussing or voting if doing so would constitute a conflict of interest d.Authorizes the MXCAB to create subcommittees, with assigned alternate members having voting rights e.Enumerates specific responsibilities to County staff to support MXCAB meetings and administration, including simultaneous interpretation at a minimum for American Sign Language and Spanish, maintaining member rosters and attendance, and responding to the MXCAB Chair’s questions and requests between meetings 11 Measure X oversight options CAO recommendations 1.RECEIVE the report 2.PROVIDE DIRECTION on Measure X oversight 3.PROVIDE DIRECTION on proposed changes to the Measure X Community Advisory Board bylaws 4.DIRECT staff on next steps 12 RECOMMENDATION(S): CONSIDER creating a fiscal oversight body for Measure X sales tax as recommended by the Finance Committee, DISCUSS the role of the Measure X Community Advisory Board (MXCAB), and PROVIDE DIRECTION on the proposed oversight body and revisions to the MXCAB Bylaws. FISCAL IMPACT: There are no immediate fiscal impacts associated with considering the creation of an oversight body for Measure X, or changes to the Measure X Community Advisory Board bylaws. If a new oversight body is approved, the County Administrator's Office recommends allocating approximately $25k from ongoing Measure X funds for contracted auditing services. BACKGROUND: On November 3, 2020, voters in Contra Costa County approved Measure X, a Countywide, 20-year, half-cent sales tax. The ballot measure’s stated intent for Measure X was “to keep Contra Costa’s regional hospital open and staffed; fund community health centers; provide timely fire and emergency response; support crucial safety-net services; invest in early childhood services; protect vulnerable populations; and for other essential county services.” Collection of the tax began on April 1, 2021. $217.6M in actual revenue has been collected through March 31, 2023, and $347.4M has been allocated through FY23-24, encompassing 34 projects and funding areas. On February 2, 2021, the Board of Supervisors approved the creation of a 17-member (+10 alternates) Measure X Community Advisory Board (MXCAB), with bylaws modeled after the County’s Community Corrections Partnership and Juvenile Justice Coordinating Council. The Board adopted revisions to the Measure X Community Advisory Board Bylaws currently in effect on April 27, 2021, which provided more detail regarding the process for subsequent appointments. Per the bylaws, the main responsibilities of the MXCAB include conducting an annual needs assessment to identify service gaps, creating priority lists of the top service gaps, using the needs assessment to make general funding recommendations to the Board of Supervisors, and providing an annual report on the outcomes and impacts of Measure X allocated funds. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS Contact: Adam Nguyen, (925) 655-2048 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: , Deputy cc: D.3 To:Finance Committee From:Monica Nino, County Administrator Date:May 16, 2023 Contra Costa County Subject:CONSIDER Creating an Oversight Body for Measure X BACKGROUND: (CONT'D) On November 8, 2022, during a discussion item providing updates on Measure X, the Board requested that staff return with recommendations for the creation of an oversight body. In response, the County Administrator’s Office conducted a review of oversight structures for county sales tax measures, including the counties of Alameda, Marin, San Mateo, Santa Clara, Sonoma, Los Angeles, and the San Francisco Bay Restoration Authority [See Attachment A]. The review found that San Mateo’s Measure K most closely resembles Contra Costa’s Measure X, and all but Santa Clara have an oversight committee. Across the counties reviewed, common responsibilities for their sales tax oversight bodies include annual audits, performance measurement, and annual reports. Most of the oversight committees meet two or four times annually. San Mateo and Los Angeles counties also have informative websites providing news highlights, reports, and updates on related activities. Based on the findings from the comparative analysis, the County Administrator’s Office identified the key considerations and questions listed below for discussion about Measure X oversight to potentially improve transparency, mitigate concerns about potential conflicts of interest and incompatible activities, and strengthen accountability and public information. Role and responsibilities – What does oversight entail? Annual financial audit1. Performance measurement and program evaluation2. Annual report3. 1. Membership – Who should provide oversight? How many seats, and for what term?1. Who represents (e.g. experts such as Auditor-Controller, Public Works Capital Projects Manager, County Administrator's Office, business and financial representatives from public)? 2. How are members selected (e.g. application, appointed, by role)?3. Avoid conflicts of interest and incompatible activities (e.g. making funding recommendations and then applying for those funds) 4. 2. Deliverables: Year-end report and public discussion3. How often should they meet? Quarterly at launch1. Semi-annual afterwards2. 4. What resources are needed? Contracted services for an external auditor1. Staffing to support reporting, public information, website development, program evaluation, and Measure X-related meetings 2. 5. How does the Measure X Community Advisory Board and jts bylaws align with the new oversight body?6. At its respective meetings over the past several months, the Finance Committee and Measure X Community Advisory Body (MXCAB) have iteratively discussed Measure X oversight and proposed bylaws revisions, and collectively proposed the following for consideration by the Board of Supervisors: Create a Measure X fiscal oversight body responsible for reviewing and confirming Measure X revenues and expenditures Oversee financial audits conducted by an external auditor1. Verify conformance with the Measure’s language and intent and with the Board’s direction for specific allocations2. Produce an associated annual report3. Would not do performance measurement or program evaluation; role is solely financial accountability4. 1. Membership Two seats for each county supervisor’s district (10 total), with recommendations by each district supervisor and appointment by the Board of Supervisors 1. Serving three-year terms, up to two terms (six years) total2. 2. Meeting frequency: Quarterly to start, semi-annually afterwards3. For the Measure X Community Advisory Body bylaws revisions, the Finance Committee recommends the following changes, summarized below. Specific, proposed language changes are provided in the redlined version of the Bylaws, attached. Role Shifts annual needs assessments to every three years, or as needed1. Specifies that the MXCAB makes funding recommendations on any net revenues available for allocation (after cost-of-living adjustments are made for existing allocations) 2. Creates a joint session between the Board of Supervisors and MXCAB to receive an annual report from county staff on implementation, milestones, impact, and outcomes of Measure X 3. 1. Membership Prioritizes MXCAB eligibility based on lived experience of the harms caused by racial and economic inequities1. Allows public officials (with membership on other County bodies) to serve on the MXCAB, and clarifies restrictions apply to elected officials and County department heads 2. 2. Meetings and Administration Enables a majority of the members to call for a special meeting1. Clarifies definitions for quorum and voting2. Reiterates rules about participation, requiring members to recuse themselves from discussing or voting if doing so would constitute a conflict of interest 3. Authorizes the MXCAB to create subcommittees, with assigned alternate members having voting rights4. Enumerates specific responsibilities to County staff to support MXCAB meetings and administration, including simultaneous interpretation at a minimum for American Sign Language and Spanish, maintaining member rosters and 5. 3. attendance records, and responding to the MXCAB Chair’s questions and requests between meetings The County Administrator's Office seeks direction from the Board of Supervisors on the creation of a Measure X oversight body, proposed revisions to the Measure X Community Advisory Board's bylaws, which in final form would ideally distinguish and align the respective roles of each body, and next steps for staff. CLERK'S ADDENDUM Speakers: Roxanne Carrillo-Garza, MXCAB; John Dante; Diana Honig, MXCAB; Caller 6770; Rachel Rosekind, MXCAB. RECEIVED the report; ESTABLISHED the Measure X Community Fiscal Oversight Committee: Responsible for reviewing and confirming Measure X revenues and expenditures, including overseeing annual financial audits conducted by an external auditor, verifying conformance with the Measure’s language and intent and with the Board’s direction for specific allocations, and producing an associated annual report. Would not do performance measurement or program evaluation; role is solely financial accountability 1. Shall be composed of five seats, one from each district; the appointment will run in alignment with the term of office from their appointing district (4 year term), and staffed by the County Administrator’s Office 2. No appointee may be a current member of the Measure X Community Advisory Board (MXCAB), a county employee, related to or associated with a grantee, or an elected official 3. County Administrator’s Office will provide staff services to support reporting, public information, website development, and meetings 4. The Committee will not make any funding recommendations5. The Committee will meet quarterly to start, transitioning to semi-annual6. Bylaws will be developed and submitted to the Board of Supervisors. 7. ADOPTED the proposed modifications to the MXCAB bylaws: 1. To shift annual needs assessment to every 3 years or as needed, as determined by the Board of Supervisors 2. Specify that the MXCAB makes general funding recommendations to the Board, with no specific dollar amounts, prior to budget adoption, on any net revenues available for allocation (after cost-of-living adjustments are made for existing allocations) 3. Create a joint session between the Board of Supervisors and MXCAB to receive an annual report from county staff on implementation, milestones, impact, and outcomes of Measure X 4. Prioritize MXCAB eligibility based on lived experience of the harms caused by racial and economic inequities 5. Allows public officials (with membership on other county bodies) to serve on the MXCAB, and clarifies restrictions apply to elected officials and county department heads ATTACHMENTS Presentation on Measure X oversight options Attachment A - Measure X Oversight County Comparison MXCAB Bylaws - Current MXCAB Bylaws - Redlined revisions MXCAB Bylaws - Revisions without markup THE BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY, CALIFORNIA and for Special Districts, Agencies and Authorities Governed by the Board Adopted this Resolution on 05/16/2023 by the following vote: AYE:5 John Gioia Candace Andersen Diane Burgis Ken Carlson Federal D. Glover NO: ABSENT: ABSTAIN: RECUSE: Resolution No. 2023/168 IN THE MATTER OF: Correcting the total maintained mileage for County Roads Report, (Countywide) WHEREAS, Section 2121 of the Streets and Highways Code provides that in May of each year, each County shall submit to the State Department of Transportation any additions or exclusions from its mileage of maintained county roads, specifying the terminuses and mileage of each route added or excluded; and WHEREAS, the State Department of Transportation certified to the State Controller on May, 1, 2022, that the total mileage of maintained county roads in Contra Costa County was 660.70, WHEREAS, the Public Works Department now reports that the total mileage of maintained county roads as of January 1, 2023, is 657.82. NOW, THEREFORE, BE IT RESOLVED, that the Board finds and determines that the mileage of maintained county roads in Contra Costa County is 657.82 and that the mileage of each route added to or excluded from the County's maintained roads is as shown in Exhibit "A", such exhibit being made a part of the resolution. Contact: Dana Baumann (925) 313-2112 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: Stacey M. Boyd, Deputy cc: Dana Baumann- Surveys, Jim Stein - Surveys, Michelle Gonsalves - Finance, Chris Lau - Maintenance, Jerry Fahy- Transportation, Renee Hutchins - Records, Karen Piona- Records RECOMMENDATION(S): ADOPT Resolution No. 2023/168 approving the annual county miles in the Total Maintenance Mileage for County Roads Report, as recommended by the Public Works Director, Countywide. FISCAL IMPACT: No fiscal impact. BACKGROUND: The California Department of Transportation (Caltrans) requires annual total mileage to determine the amount of money allocated to the County from the gasoline tax. CONSEQUENCE OF NEGATIVE ACTION: The report cannot be submitted to Caltrans without Board approval. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Dana Baumann (925) 313-2112 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: Stacey M. Boyd, Deputy cc: Dana Baumann- Surveys, Jim Stein - Surveys, Michelle Gonsalves - Finance, Chris Lau - Maintenance, Jerry Fahy- Transportation, Renee Hutchins - Records, Karen Piona- Records C. 1 To:Board of Supervisors From:Brian M. Balbas, Public Works Director/Chief Engineer Date:May 16, 2023 Contra Costa County Subject:Approve the Annual County Miles in the Total Maintained Mileage for County Roads Report, Countywide. AGENDA ATTACHMENTS Resolution No. 2023/168 Exhibit A - Contra Costa County Road Mileage MINUTES ATTACHMENTS Signed: Resolution No. 2023/168 RECOMMENDATION(S): RECEIVE public report of litigation settlement agreements that became final during the period January 5, 2023, through April 30, 2023, as recommended by County Counsel. FISCAL IMPACT: Settlement amounts are listed below. BACKGROUND: Four agreements to settle pending litigation, as defined in Government Code section 54956.9, became final during the period January 5, 2023, through April 30, 2023. In re Claim of Mark and Mary Shepherd: On December 13, 2022, the Board of Supervisors approved a settlement in this personal injury claim arising out of a pedestrian versus automobile accident involving a Sheriff’s Office vehicle. The Board authorized settlement in the amount of $125,000, in exchange for a release of all claims, in closed session by a 4-0 vote, Supervisor Gioia absent. The settlement agreement was fully executed on January 5, 2023. The funding source is the Risk Management Liability Internal Service Fund. Robert Insalaco and Leslie Lomax v. County of Contra Costa, et al. and cross-complaint Lucas T. Du and Mary Wong v. County of Contra Costa, et al.; Contra Costa Superior Court Case No. MSC17-00725. On November 29, 2022, the Board of Supervisors approved settlements in this inverse condemnation lawsuit and cross-complaint involving land subsidence and resulting damage to plaintiffs’ and cross complainants’ properties. The settlement agreement with the Insalaco/Lomax plaintiffs for $65,000 was fully executed on December 19, 2022. The settlement agreement with the Du/Wong cross-complainants for $65,000 was fully executed on January 11, 2023. The Court issued an Order of Good Faith Settlement on February 28, 2023. The funding source is the Risk Management Liability Internal Service Fund. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Monika L. Cooper, Assistant County Counsel, (925) 655-2200 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: Stacey M. Boyd, Deputy cc: Monika L. Cooper, Assistant County Counsel, Karen Caoile, Risk Manager C. 2 To:Board of Supervisors From:Thomas L. Geiger, County Counsel Date:May 16, 2023 Contra Costa County Subject:Public report of litigation settlement agreements that became final during the period January 5, 2023, through April 30, 2023. BACKGROUND: (CONT'D) Joseph Malott v. City of Walnut Creek, et al.; United States District Court, Northern District Case No. 3:21-cv-1674 SK. On February 7, 2023, the Board of Supervisors approved a settlement in this civil rights action. The Board authorized settlement in the amount of $60,000, inclusive of attorneys’ fees and costs, in closed session by a 4-1 vote, Supervisor Andersen opposed. The settlement agreement was fully executed on February 14, 2023. The funding source is the Risk Management Liability Internal Service Fund. This report includes final settlements of litigation matters handled by the Office of the County Counsel. This report does not include litigation settlements that were reported by the Risk Management Division of the County Administrator’s Office as a consent item on the Board’s open session agenda. CONSEQUENCE OF NEGATIVE ACTION: The report would not be accepted. RECOMMENDATION(S): DENY claims filed by Michelle Marie Araica, Kim Brown, Noureen D. Eric, Ricardo D. Hernandez-Pina, Alba Ruth Espinoza Ruiz & Jose Mata, John Muir M.C., Walnut Creek, Sushil Marwaha, James & Jennifer Spinello, and Monique Webb. FISCAL IMPACT: No fiscal impact. BACKGROUND: Michelle Marie Araica: Personal injury claim related to dog attack in an amount in excess of $1,000,000. Kim Brown: Personal injury claim for injuries sustained during bus ride in an amount in excess of $1,000,000. Noureen D. Eric: Property claim for damage to vehicle in an amount to be determined. Ricardo D. Hernandez-Pina: Personal injury claim related to dog attack in an amount in excess of $1,000,000. Alba Ruth Espinoza Ruiz & Jose Mata: Property claim for damage to vehicle in the amount of $1,340.36. John Muir M.C., Walnut Creek: Breach of contract claim for unreimbursed medical expenses in the amount of $13,845.80. Sushil APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Risk Management I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: Stacey M. Boyd, Deputy cc: C. 3 To:Board of Supervisors From:Monica Nino, County Administrator Date:May 16, 2023 Contra Costa County Subject:Claims BACKGROUND: (CONT'D) Marwaha: Property claim for damage to vehicle in the amount of $431.05. James & Jennifer Spinello: Property claim for damage caused by tree fall in the amount of $201.77. Monique Webb: Property claim for damage to vehicle in the amount of $534.79. CONSEQUENCE OF NEGATIVE ACTION: Not acting on the claims could extend the claimants' time limits to file actions against the County. Date Meeting Name Location 10-Apr Meeting with County Administrator, Monica Nino Martinez 10-Apr Legislation Committee Meeting Martinez 4/11-4/13 CSAC 2023 Legislative Conference Sacramento 18-Apr Board of Supervisors Meeting Martinez 21-Apr Delta Counties Coalition Sacramento 24-Apr Board of Supervisors Meeting Martinez 25-Apr Board of Supervisors Meeting Martinez 26-Apr Contra Costa Hazardous Materials Martinez Supervisor Ken Carlson - April 2023 AB1234 Report (Government Code Section 53232.3(d) requires that members legislative bodies report on meetings attended for which there has been expense reimbursement (mileage, meals, lodging, etc). * Reimbursement may come from an agency other than Contra Costa County Purpose Monthly Briefing Decision on Agenda Items Regional Governance Decision on Agenda Items Water Advocacy Decision on Agenda Items Decision on Agenda Items Facility Tour Supervisor Ken Carlson - April 2023 AB1234 Report (Government Code Section 53232.3(d) requires that members legislative bodies report on meetings attended for which there has been expense reimbursement (mileage, meals, lodging, etc). * Reimbursement may come from an agency other than Contra Costa County Date Meeting Name Location Purpose 3-Apr Meeting with Bruce Blodgett Call Meeting 3-Apr Meeting w/Mary Knox; Get Vocal w/Victims Web Meeting Meeting 4-Apr Board of Supervisors Meeting/Cesar Chavez Celebration In Person Meeting 5-Apr Head Start Tour - Los Arboles In Person Site Visit 5-Apr Meet & Greet w/ Antoinette Siguenza,CPUC Liaison Web Meeting Meeting 6-Apr Meeting w/County Administrator, Monica Nino Web Meeting Meeting 10-Apr Transportation, Water & Infastructure Committee Meeting Web Meeting Meeting 10-Apr Internal Operations Committee Meeting Web Meeting Meeting 10-Apr Legislation Committee Meeting Web Meeting Meeting April 11-13 CSAC Legislative Conference In Person Legislative Conference 11-Apr Meeting w/Brad Paul, ABAG & MTC Deputy Executive Director Web Meeting Meeting 11-Apr Meeting w/ Campbell Ingram, Delta Conservancy Web Meeting Meeting 11-Apr Meeting w/Chris Cabaldon In Person Meeting 11-Apr Meeting w/Senator Glazer Staff In Person Meeting 11-Apr Meeting w/Legislative Director Mark Rossow & Fellow Aldo Garcia (ASM Wilson)In Person Meeting 11-Apr Meeting w/ASM Wicks Staff In Person Meeting 11-Apr Meeting w/Senator Dodd In Person Meeting 12-Apr Meeting w/ Delta Stewardship Council*In Person Meeting 12-Apr Meeting w/Senator Skinner Staff In Person Meeting 12-Apr Meeting w/Senator Blakespear Staff In Person Meeting 13-Apr Accessible Transportation Strategic Plan Task Force Meeting Web Meeting Meeting 14-Apr Delta Leadership Program Concluding Seminar In Person Speaking Event 18-Apr Board of Supervisors Meeting In Person Meeting 19-Apr Meeting w/Delta Stewardship Staff Web Meeting Meeting 19-Apr East County Chambers Mega Mixer In Person Community Outreach 20-Apr Meeting w/Delta Stewardship Staff Web Meeting Meeting 20-Apr Meeting w/Ryan Hernandez, DCD Web Meeting Meeting 20-Apr Meeting w/County Administrator, Monica Nino Web Meeting Meeting 21-Apr Delta Counties Coalition Meeting In Person Meeting 24-Apr Board of Supervisors Meeting In Person Meeting 25-Apr Board of Supervisors Meeting In Person Meeting Supervisor Diane Burgis - April 2023 AB1234 Report (Government Code Section 53232.3(d) requires that members legislative bodies report on meetings attended for which there has been expense reimbursement (mileage, meals, lodging, etc). 27-Apr Delta Stewardship Council* In Person Meeting * Reimbursement may come from an agency other than Contra Costa County Supervisor Candace Andersen, District 2 – AB1234 Monthly Meeting Report April 2023 Date Meeting Name Location ______ 4 Board of Supervisors Martinez 6 MP&L Lafayette 6 EBEDA Zoom 10 TWIC Zoom 10 Internal Operations Zoom 12 CCCERA Zoom 13 TRANSPAC Zoom 13 CCCTA Zoom 17 RecycleSmart Zoom 17 TVTC Zoom 18 Board of Supervisors Zoom 19 Recycle Smart Zoom 20 CCCTA Zoom_______ 20 ABAG Zoom 24 Board of Sups-Budget Martinez 25 Board of Sups-Budget Martinez 26 CCCERA Concord 26 Juvenile Justice Comm Martinez 27 Moraga Kiwanis Moraga 27 Recycle Smart Walnut Creek 28 Family & Human Martinez 28 Moraga Citizen of the Year Moraga RECOMMENDATION(S): ACCEPT Board members meeting reports for April 2023. FISCAL IMPACT: No fiscal impact. BACKGROUND: Government Code section 53232.3(d) requires that members of legislative bodies report on meetings attended for which there has been expense reimbursement (mileage, meals, lodging ex cetera). The attached reports were submitted by the Board of Supervisors members in satisfaction of this requirement. District I and V have nothing to report. CONSEQUENCE OF NEGATIVE ACTION: The Board of Supervisors will not be in compliance with Government Code 53232.3(d). APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Joellen Bergamini 925.655.2000 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 , County Administrator and Clerk of the Board of Supervisors By: Stacey M. Boyd, Deputy cc: C. 4 To:Board of Supervisors From:Monica Nino, County Administrator Date:May 16, 2023 Contra Costa County Subject:ACCEPT Board members meeting reports for April 2023 ATTACHMENTS District II April 2023 Report District III April 2023 Report District IV April 2023 Report In the matter of:Resolution No. 2023/176 Proclaiming May 2023 as Community Action Month WHEREAS, Community Action Agencies were created when the Economic Opportunity Act of 1964 was signed into law, and have a 59-year history of promoting self-sufficiency for those with limited income; and WHEREAS, the Community Services Bureau of the Employment and Human Services Department is the Community Action Agency for Contra Costa County; and WHEREAS, the Employment and Human Services Community Services Bureau, with all its community partnerships, has made an essential contribution to individuals and families in Contra Costa County, by providing innovative and cost-effective programs; and WHEREAS, Community Action partners have assisted 12,181 unduplicated individuals in Contra Costa County using $396,393 in CARES Act funding during Fiscal Year 2022; and WHEREAS, the Community Service Bureau has contracted with 13 service providers for a total of $435,000 for the program year 2022-23; and WHEREAS, the Economic Opportunity Council has served as the Advisory Body to the Employment and Human Services Department Community Services Bureau, and to the Contra Costa County Board of Supervisors; and WHEREAS, Community Services Block Grant funding, administered by the Community Action Program in collaboration with the Economic Opportunity Council, continues to support safety net services that alleviate poverty in Contra Costa County. NOW, THEREFORE, BE IT RESOLVED that the Contra Costa County Board of Supervisors hereby recognizes May 2023 as National Community Action Month in Contra Costa County, as Community Action Agencies and Economic Opportunity Councils throughout the country also celebrate. ___________________ JOHN GIOIA Chair, District I Supervisor ______________________________________ CANDACE ANDERSEN DIANE BURGIS District II Supervisor District III Supervisor ______________________________________ KEN CARLSON FEDERAL D. GLOVER District IV Supervisor District V Supervisor I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator By: ____________________________________, Deputy APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Tish Gallegos, 925-608-4808 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: Antonia Welty, Deputy cc: C. 5 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:Proclaim May 2023 as Community Action Month CLERK'S ADDENDUM Renee Zeimer, Chair, Economic Opportunity Council. AGENDA ATTACHMENTS Resolution 2023/176 MINUTES ATTACHMENTS Signed Resolution No. 2023/176 In the matter of:Resolution No. 2023/143 recognizing Ethan Logue for being awarded the Congressional Award Gold Medal. Ethan Logue is a Senior at Monte Vista High School, and a resident of Contra Costa County, District 2; and Whereas, Ethan was recently awarded the Congressional Award Gold Medal, recognized by Congressman Mark DeSaulnier, the Congressional Award is the United States Congress’ highest honor for young Americans, and honors recipients for their commitment to voluntary public service and physical fitness, only about 500 Congressional Award Gold Medals are earned each year across the entire United States; and Whereas, Ethan has volunteered over 400 hours within our County, the majority of which dedicated to fighting the growing hunger crisis at the Food Bank of Contra Costa & Solano County, Ethan served hundreds of families, volunteering in almost every neighborhood in the County where the Food Bank trucks distribute food; and Whereas, Ethan is a competitive fencer with USA Fencing, currently ranked in the top 100 fencers in the nation and 13th in California in his age division; and Whereas, Ethan received an NCAA Division 1 athletic scholarship to fence at Sacred Heart University in Connecticut. that the Board of Supervisors of Contra Costa County does hereby congratulate Ethan Logue for being honored with the Congressional Award Gold Medal. ___________________ JOHN GIOIA Chair, District I Supervisor ______________________________________ CANDACE ANDERSEN DIANE BURGIS District II Supervisor District III Supervisor ______________________________________ KEN CARLSON FEDERAL D. GLOVER District IV Supervisor District V Supervisor I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator By: ____________________________________, Deputy APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: 9256552300 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: Antonia Welty, Deputy cc: C. 6 To:Board of Supervisors From:Candace Andersen, District II Supervisor Date:May 16, 2023 Contra Costa County Subject:Resolution Recognizing Ethan Logue for Being Awarded the Congressional Award Gold Medal AGENDA ATTACHMENTS Resolution 2023/143 MINUTES ATTACHMENTS Signed Resolution No. 2023/143 In the matter of:Resolution No. 2023/174 Recognizing Mary Ann Mason’s Retirement from Contra Costa County WHEREAS, Mary Ann McNett Mason graduated with distinction from the University of California, Berkeley, and received her law degree from the University of California College of the Law, San Francisco; and WHEREAS, Mary Ann began her career with Contra Costa County on May 4, 1987, in the County Counsel’s Office as a Deputy County Counsel, was appointed as an Assistant County Counsel in December 2010, was appointed as Chief Assistant County Counsel in July 2016, and was appointed by the Board of Supervisors as County Counsel on May 18, 2021; and WHEREAS, during her career, Mary Ann worked her way through the alphabet of client assignments, from Agriculture to Veterans Services, and as Assistant and Chief Assistant County Counsel, supervised the General Government Unit of the office’s General Law Division; and WHEREAS, for many years Mary Ann was the primary legal counsel to the Contra Costa County courts and the Grand Jury, chief counsel to the Contra Costa County Office of Education and Board of Education, and district counsel to Delta Diablo; and WHEREAS, Mary Ann was the resident expert on laws pertaining to retirement and employee benefits, conflict of interest laws for public officials, the Public Records Act, the Better Government Ordinance, the Brown Act, and the County’s Election Campaign Ordinance; and WHEREAS, as Chief Assistant and as County Counsel, Mary Ann skillfully and compassionately led the office through some of the most challenging times in the office’s history, including through the COVID-19 pandemic; and WHEREAS, Mary Ann is a long-time member of the 1st Northern California Credit Union, originally named the Contra Costa County Employees Federal Credit Union, and has served on its Board of Directors since 2007; and WHEREAS, Mary Ann was well-versed in the history and traditions of the County Counsel’s Office and the County in general, was sensitive to other perspectives and viewpoints, and was highly-regarded by colleagues and clients; and WHEREAS, Mary Ann’s presence in the County Counsel’s Office will be missed not only for her leadership and commitment to public service, to the office, and to Contra Costa County, but also as a role model, mentor, and friend to all who have worked with her; and WHEREAS, we are proud to celebrate this professional milestone in Mary Ann’s career, and to honor her and thank her for her leadership and dedicated service to Contra Costa County and the County Counsel’s Office. NOW, THEREFORE, BE IT RESOLVED that, the Contra Costa County Board of Supervisors congratulates Mary Ann McNett Mason on her retirement and extends its sincerest thanks to Mary Ann for her 35 years of distinguished service to Contra Costa County. ___________________ JOHN GIOIA Chair, District I Supervisor ______________________________________ CANDACE ANDERSEN DIANE BURGIS District II Supervisor District III Supervisor ______________________________________ KEN CARLSON FEDERAL D. GLOVER District IV Supervisor District V Supervisor I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator By: ____________________________________, Deputy APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Thomas L. Geiger, County Counsel, (925) 655-2200 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: Antonia Welty, Deputy cc: C. 7 To:Board of Supervisors From:Thomas L. Geiger, County Counsel Date:May 16, 2023 Contra Costa County Subject:Recognizing Mary Ann Mason’s 35 Years of Service and Retirement from Contra Costa County AGENDA ATTACHMENTS Resolution 2023/174 MINUTES ATTACHMENTS Signed Resolution No. 2023/174 In the matter of:Resolution No. 2023/179 A RESOLUTION CELEBRATING THE 100TH ANNIVERSARY OF THE EAST BAY MUNICIPAL UTILITY DISTRICT WHEREAS, the East Bay Municipal Utility District (EBMUD) was formed on May 23rd, 1923, and has been providing quality water and wastewater treatment services to the East Bay for 100 years; and WHEREAS, EBMUD has been a vital partner in the growth and development of Contra Costa and Alameda Counties, serving as the primary provider in Contra Costa of high-quality drinking water and wastewater treatment services to the following cities and communities in Contra Costa County: Alamo, Blackhawk, Crocket, Danville, Diablo, East Richmond Heights, El Cerrito, El Sobrante, Hercules, Kensington, Lafayette, Montalvin Manor, Moraga, North Richmond, Orinda, Pinole, Pleasant Hill, Richmond, Rodeo, Rollingwood, San Pablo, San Ramon, Selby, Tara Hills, and Walnut Creek; and WHEREAS, EBMUD has invested in critical infrastructure projects in Contra Costa County, such as the $450 million Freeport Regional Water Project, which increased the district's water supply reliability and helped meet the needs of a growing population, and many of EBMUD’s local water supply reservoirs and watershed lands (which are also available for hiking and public enjoyment) are located in Contra Costa County; and WHEREAS, EBMUD has been committed to protecting the environment and preserving natural resources in Contra Costa County, as evidenced by its partnership with the John Muir Land Trust to protect the Upper San Leandro Watershed, and its efforts to provide sustainable water management practices to its customers; and WHEREAS, EBMUD has been a leader in innovation, implementing cutting-edge technologies to improve water quality and conservation efforts, such as its advanced water treatment plant and recycled water programs, and is a responsible manager of watershed lands along the Mokelumne River and in the East Bay; and NOW, THEREFORE, BE IT RESOLVED that the Contra Costa County Board of Supervisors joins in celebrating the 100th anniversary of the East Bay Municipal Utility District and acknowledges its significant contributions to the growth and development of Contra Costa County. BE IT FURTHER RESOLVED that this resolution be signed by the Chair of the Board of Supervisors, John Gioia (a former EBMUD Board Member and President), and that a copy be presented to EBMUD as a symbol of our appreciation for their commitment to providing reliable and sustainable water and wastewater treatment services to Contra Costa County for 100 years. ___________________ JOHN GIOIA Chair, District I Supervisor ______________________________________ CANDACE ANDERSEN DIANE BURGIS District II Supervisor District III Supervisor ______________________________________ KEN CARLSON FEDERAL D. GLOVER District IV Supervisor District V Supervisor I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator By: ____________________________________, Deputy APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: 5109422222 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: Antonia Welty, Deputy cc: C. 8 To:Board of Supervisors From:John Gioia, District I Supervisor Date:May 16, 2023 Contra Costa County Subject:A RESOLUTION CELEBRATING THE 100TH ANNIVERSARY OF THE EAST BAY MUNICIPAL UTILITY DISTRICT AGENDA ATTACHMENTS Resolution 2023/179 MINUTES ATTACHMENTS Signed Resolution No. 2023/179 In the matter of:Resolution No. 2023/180 Recognizing May as Jewish American Heritage Month WHEREAS, Jewish Americans have been an important part of the American story and have greatly contributed to all areas of American life and culture since our nation’s earliest days; and WHEREAS, on April 20, 2006, the Federal Government proclaimed May as Jewish American Heritage Month, stating, “As a nation of immigrants, the United States is better and stronger because Jewish people from all over the world have chosen to become American citizens,” and, since then, proclamations in support of Jewish American Heritage Month have been made by Presidents of the United States annually; and WHEREAS, generations of Jews have fled to the United States in search of a better life for themselves and their families, and these immigrants made invaluable contributions in support of equality and civil rights through their leadership and achievements; and WHEREAS, Jewish Americans connect to their Jewish identity in a variety of ways, such as culturally, ethnically, religiously and by following Jewish ethics and values ; and WHEREAS Jewish Americans are racially, ethnically, socially, politically and economically diverse; and WHEREAS, in 2022 Jewish Americans faced a dramatic rise in antisemitic incidents—36% higher than in 2021—including but not limited to physical attacks, vandalism, verbal and physical harassment, and hateful comments posted on social media, and WHEREAS, Contra Costa shares an obligation to condemn and combat antisemitism wherever it exists, to include Jewish Americans in all facets of civic life, and to stand with the Jewish American community against hatred or bigotry in our community; and WHEREAS, there is a need for education and policies that are culturally competent when describing, discussing, or addressing the impacts of being Jewish in all aspects of American society, including discourse and policy; and WHEREAS we celebrate the rich and diverse heritage of the Jewish American community, including those who live, work and play in Contra Costa, and; WHEREAS, we recognize Jewish American commitment to civic engagement and how Contra Costa has been enriched by local Jewish institutions and synagogues. THEREFORE, BE IT RESOLVED that the Contra Costa hereby declares the month of May as Jewish American Heritage Month in appreciation of the achievements and contributions made by members of the Jewish community. Contra Costa calls upon all residents to celebrate Jewish Americans who have woven the fabric of our country and community, and supports opportunities to learn more about Jewish American history and culture. THEREFORE, BE IT FURTHER RESOLVED that Contra Costa will continue efforts to confront antisemitism and other forms of hate impacting the Jewish community, support local education about the diversity of our Jewish American community, and integrate Jewish American culture into future programs, activities, and ceremonies throughout the year. ___________________ JOHN GIOIA Chair, District I Supervisor ______________________________________ CANDACE ANDERSEN DIANE BURGIS District II Supervisor District III Supervisor ______________________________________ KEN CARLSON FEDERAL D. GLOVER District IV Supervisor District V Supervisor I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator By: ____________________________________, Deputy APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Gayle Israel - (925) 655-2300 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: Antonia Welty, Deputy cc: C. 9 To:Board of Supervisors From:Candace Andersen, District II Supervisor Date:May 16, 2023 Contra Costa County Subject:Recognizing May as Jewish American Heritage Month AGENDA ATTACHMENTS Resolution 2023/180 MINUTES ATTACHMENTS Signed Resolution No. 2023/180 In the matter of:Resolution No. 2023/181 recognizing the 60th Anniversary of the Contra Costa Crisis Center. The Contra Costa Crisis Center is a nonprofit organization, committed to provide free 24/7 services to everyone in need, confidentiality is highly respected, and any type of sensitive and personal information is never disclosed; and Whereas, The Contra Costa Crisis Center’s mission is to keep people alive and safe, help them through crises and provide or connect them with culturally relevant services in the community; and Whereas, The Crisis Center has an on-site Mobile Grief Response Team that provides a rapid, field-based response for grief and crisis counseling at schools and businesses following a death, disaster, or other critical incident; and Whereas, The Crisis Center team’s counseling helps friends, classmates, colleagues, and teachers better understand and deal with trauma response and the grief process, helping schools who have experienced a suicide, to train personnel on how to reduce the likelihood of “copycat” behavior, as well as appropriate ways to discuss suicide and memorialize the deceased; and Whereas, The Crisis Center Help Me Grow program works with parents focused on early detection, referral and treatment for children with developmental or behavioral concern, the free program can answer parents’ everyday questions about their children, from ages 0-5. that the Board of Supervisors of Contra Costa County does hereby honor and thank the Contra Costa Crisis Center at their 60th Anniversary for their dedication, compassion and support to those who need it most. ___________________ JOHN GIOIA Chair, District I Supervisor ______________________________________ CANDACE ANDERSEN DIANE BURGIS District II Supervisor District III Supervisor ______________________________________ KEN CARLSON FEDERAL D. GLOVER District IV Supervisor District V Supervisor I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator By: ____________________________________, Deputy APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: 925655-2300 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: Antonia Welty, Deputy cc: C. 10 To:Board of Supervisors From:Candace Andersen, District II Supervisor Date:May 16, 2023 Contra Costa County Subject:Resolution recognizing the 60th Anniversary of the Contra Costa Crisis Center AGENDA ATTACHMENTS Resolution 2023/181 MINUTES ATTACHMENTS Signed Resolution No. 2023/149 RECOMMENDATION(S): ACCEPT the resignation of David Leimsieder, DECLARE a vacancy in the District IV Seat on the Family And Children's Trust Committee and DIRECT the Clerk of the Board to post the vacancy, as recommended by Supervisor Carlson. FISCAL IMPACT: None BACKGROUND: In 1982 the Board of Supervisors established the Family and Children's Trust (FACT) Committee to make recommendations regarding the allocation of funds for the prevention and intervention services to reduce child abuse and neglect, provide support services for families with children, and promote a more coordinated seamless system of services. In addressing the needs of the community focusing on prevention and intervention services to reduce child abuse and neglect, FACT maintains a committee comprised of individuals with diverse knowledge, backgrounds, and community perspectives regarding community needs to serve families with children. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Manny Bowlby 655-2350 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: Stacey M. Boyd, Deputy cc: C. 11 To:Board of Supervisors From:Ken Carlson Date:May 16, 2023 Contra Costa County Subject:ACCEPT Resignation of David Leimsieder to the District IV Seat of the Family And Children's Trust Committee BACKGROUND: (CONT'D) Mr. David Leimsieder has submitted a letter of resignation effective on May 1, 2023. District IV Seat for FACT Committee expires September 30th 2023. CONSEQUENCE OF NEGATIVE ACTION: The seat will remain occupied and we will not be able to fill it. RECOMMENDATION(S): 1. ESTABLISH an ad hoc committee of the Board of Supervisors titled the "Contra Costa Resilient Shoreline Ad Hoc Committee" to address sea level adaptation and resilience composed of two County Supervisors with staff support by the Department of Conservation and Development; and 2. APPOINT Supervisor John Gioia as Chair, and Supervisor Diane Burgis as Vice-Chair of the committee. FISCAL IMPACT: The costs in staff time and materials for the Department of Conservation and Development’s work activities associated with the Contra Costa Resilient Shoreline Ad Hoc Committee will be funded by the Measure X - Climate Equity and Resilience Investment allocation administered by the department. Additional funding will be necessary to develop a robust sea level rise adaptation plan. The Department is pursuing opportunities for grants and other funding mechanisms to support this effort. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Tania Pulido, 925-839-0543 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: Stacey M. Boyd, Deputy cc: C. 12 To:Board of Supervisors From:John Gioia, District I Supervisor Date:May 16, 2023 Contra Costa County Subject:Contra Costa Resilient Shoreline Ad Hoc Committee to Address Sea Level Rise BACKGROUND: Sea Level Rise (SLR) is altering the physical environment and is a continual challenge to the 1.16 million people of Contra Costa County. With warmer temperatures and more extreme weather, SLR modeling indicates we can expect the County’s shoreline, comprised of built and natural infrastructure, to be subject to more severe and frequent flooding. The assets at risk include homes and businesses, shoreline disadvantaged/impacted communities adjacent to industrial sites, hazardous materials sites, brownfields, the US Navy’s Military Ocean Terminal at Concord, railroads, wastewater treatment facilities, electrical substations, natural gas and crude oil pipelines, prime agricultural resources, and in-Delta Legacy Communities. Contra Costa County is home to four refineries, two of which are in the process of converting their operations to process renewable fuel. The San Francisco Bay Conservation and Development Commission (BCDC) has been leading the Bay Area’s planning response to sea level rise and has conducted numerous studies and reports on the impacts of sea level rise in the region. According to the April 2023 joint presentation by the Metropolitan Transportation Commission (MTC)/Association of Bay Area Governments (ABAG) and the Bay Conservation and Development Commission to BCDC, the cost to adapt to sea level rise in the Bay Area is estimated to be approximately $110 billion. Of the $110 billion, it is estimated that $13 billion is needed to pay for adaptation in Contra Costa County alone. Contra Costa County was identified as one of three Bay Area counties with significant adaptation implementation gaps. The County has participated in several regional efforts - BCDC Contra Costa Adapting to Rising Tides study, BCDC East Contra Costa Adapting to Rising Tides study, and Delta Stewardship Council’s Delta Adapts Vulnerability Assessment - that broadly characterize sea level rise risks to subregions of Contra Costa County. Supervisors Gioia and Burgis have been involved in sea level rise issues impacting the Bay and Delta Estuary. Supervisor Gioia serves on BCDC as a commissioner and is Chair of BCDC’s Elected Official’s Sea Level Rise Working Group. Supervisor Burgis serves as Chair of the Delta Protection Commission and serves on the Delta Stewardship Council. Additionally, the Draft General Plan and Climate Action Plan will include recommendations to develop, fund, and implement relevant, regionally coordinated sea level rise adaptation measures and to prepare and adopt a countywide sea level rise adaptation plan. The ad hoc committee will develop recommendations to the Board on work the County can do to plan for sea level rise and improve shoreline resiliency. A potential centerpiece of action could be a sea level rise resiliency and adaptation plan (Plan) for the County shoreline that could build on updated technical information and identify specific and comprehensive actions to address threats within the County and its shoreline cities and communities. The Plan would assess the effectiveness of potential approaches and recommend adaptation strategies at a more granular level than what has been developed through regional planning. Staff have commenced work to seek outside funding for a Plan, and congressional appropriation requests have been submitted. The Plan could include the following: · Prescribed actions of natural and constructed infrastructure improvements such as wetland restoration, creek channel restoration, horizontal (living) levees, other types of levee improvements, or sea walls. Improvements that maintain and enhance natural resource values and incorporate natural adaptability, such as reliance on wetlands adaptable to rising sea levels, will likely be a high priority for reasons of cost efficiency and ecosystem resilience. · Recommendations on potential land use planning changes, including modifying considerations for siting decisions and long-term strategies for shifting development patterns if necessary. · Implementation strategies, including responsibility for implementing recommended actions, funding strategies, and needs for new or expanded partnerships of both public and private organizations. · Education resources for stakeholders (e.g., residents, special districts, property owners, and local leaders) to improve understanding of the anticipated threats and long-term commitments that will be necessary to meet the challenge of sea level rise. · An interactive map utilizing the most current data and assumptions on rising waters. This Geographic Information System (GIS) map would forecast the outcomes of action/inaction and inform the most effective and appropriate sea level rise adaptation strategies within specific communities. This GIS map would be made public, to increase community awareness and help educate those living in affected areas, including the many disadvantaged and vulnerable communities along the County’s shoreline. The recommendation is that the Board establish a new Contra Costa Resilient Shoreline Ad Hoc committee to address Sea Level Rise to be staffed by the Department of Conservation and Development. CONSEQUENCE OF NEGATIVE ACTION: The Contra Costa Resilient Shoreline Ad Hoc Committee would not be formed, and the County would be less prepared to adapt to impacts from rising sea levels. Submit Date: Apr 12, 2023 First Name Middle Initial Last Name Home Address Suite or Apt City State Postal Code Primary Phone Email Address Employer Job Title Contra Costa County Boards & Commissions Application Form Profile District Locator Tool Resident of Supervisorial District: District 2 Length of Employment N/A Do you work in Contra Costa County? Yes No If Yes, in which District do you work? District 2 How long have you lived or worked in Contra Costa County? Over 40 years Are you a veteran of the U.S. Armed Forces? Yes No Board and Interest Which Boards would you like to apply for? Contra Costa County Employees Retirement Association (CCCERA): Submitted John B Phillips Moraga CA 94556 Self N/A John B Phillips Seat Name Member # 9 Have you ever attended a meeting of the advisory board for which you are applying? Yes No If Yes, how many meetings have you attended? All by CCCERA since May, 2011 Education Select the option that applies to your high school education * High School Diploma College/ University A Name of College Attended University of California, Berkeley Degree Type / Course of Study / Major BS, Finance Degree Awarded? Yes No College/ University B Name of College Attended University of California, Berkeley Degree Type / Course of Study / Major MBA, Accounting (emphasis) Degree Awarded? Yes No College/ University C Name of College Attended Golden Gate University, SF John B Phillips Upload a Resume Degree Type / Course of Study / Major MBA, Taxation Degree Awarded? Yes No Other Trainings & Occupational Licenses Other Training A Numerous training courses Certificate Awarded for Training? Yes No Other Training B Certificate Awarded for Training? Yes No Occupational Licenses Completed: Certified Public Accountant and Enrolled Actuary Qualifications and Volunteer Experience Please explain why you would like to serve on this particular board, commitee, or commission. My interest is to continue to serve the community/county in which I live by using the actuarial, accounting and managerial skills and experience I have developed over a long professional career. Describe your qualifications for this appointment. (NOTE: you may also include a copy of your resume with this application) My first career, with PricewaterhouseCoopers, was primarily spent in the employee benefits field where I practiced as a pension actuary and consultant while taking the lead role in building and leading a large actuarial and consulting practice. Consequently, I have a long standing and active interest in the design and operation of retirement plans. I am a member of the American Academy of Actuaries and a retired CA CPA. In my second career, as the first CEO of a health insurance company now known as CalCPA Health, I established and managed its investment portfolio, and following my retirement, continued to sit on its board as the Chair of the finance and investment committee. Finally, my undergraduate degree from the University of California, Berkeley was in finance and, together with MBAs from Cal (emphasis accounting) and Golden Gate University (taxation), my educational background is very aligned with performing the duties of a CCCERA trustee. John B Phillips Would you like to be considered for appointment to other advisory bodies for which you may be qualified? Yes No Do you have any obligations that might affect your attendance at scheduled meetings? Yes No If Yes, please explain: Are you currently or have you ever been appointed to a Contra Costa County advisory board? Yes No If Yes, please list the Contra Costa County advisory board(s) on which you are currently serving: CCCERA and the Treasury Oversight Committee If Yes, please also list the Contra Costa County advisory board(s) on which you have previously served: List any volunteer or community experience, including any advisory boards on which you have served. >Contra Costa County Board of Retirement >Contra Costa County Treasury Oversight Committee >Town of Moraga, Moraga Center Specific Plan Implementation Project, Citizens Advisory Committee Conflict of Interest and Certification Do you have a familial or financial relationship with a member of the Board of Supervisors? (Please refer to the relationships listed under the "Important Information" section below or Resolution No. 2021/234) Yes No If Yes, please identify the nature of the relationship: Do you have any financial relationships with the County such as grants, contracts, or other economic relationships? Yes No If Yes, please identify the nature of the relationship: John B Phillips Please Agree with the Following Statement I CERTIFY that the statements made by me in this application are true, complete, and correct to the best of my knowledge and belief, and are made in good faith. I acknowledge and undersand that all information in this application is publicly accessible. I understand that misstatements and/or omissions of material fact may cause forfeiture of my rights to serve on a board, committee, or commission in Contra Costa County. I Agree Important Information 1. This application and any attachments you provide to it is a public document and is subject to the California Public Records Act (CA Government Code §6250-6270). 2. All members of appointed bodies are required to take the advisory body training provided by Contra Costa County. 3. Members of certain boards, commissions, and committees may be required to: (1) file a Statement of Economic Interest Form also known as a Form 700, and (2) complete the State Ethics Training Course as required by AB 1234. 4. Meetings may be held in various locations and some locations may not be accessible by public transportation. 5. Meeting dates and times are subject to change and may occur up to two (2) days per month. 6. Some boards, committees, or commissions may assign members to subcommittees or work groups which may require an additional commitment of time. 7. As indicated in Board Resolution 2021/234, a person will not be eligible for appointment if he/she is related to a Board of Supervisors' member in any of the following relationships: (1) Mother, father, son, and daughter; (2) Brother, sister, grandmother, grandfather, grandson, and granddaughter; (3) Husband, wife, father-in-law, mother-in-law, son-in-law, daughter-in-law, stepson, and stepdaughter; (4) Registered domestic partner, pursuant to California Family Code section 297; (5) The relatives, as defined in 1 and 2 above, for a registered domestic partner; (6) Any person with whom a Board Member shares a financial interest as defined in the Political Reform Act (Gov't Code §87103, Financial Interest), such as a business partner or business associate. John B Phillips John B. Phillips, a brief resume John B. Phillips has had two private sector careers, retiring as a regional managing partner with the firm now known as PricewaterhouseCoopers (PwC) in 1997 and as the CEO of a health insurance company, CalCPA Health, in 2006. He is both a retired pension actuary and CPA and now provides consulting services from his own practice. He earned both undergraduate and MBA degrees from the University of California, Berkeley and a second MBA degree in taxation from Golden Gate University. He also presently serves, or has previously served, on the boards of a variety of for-profit, not-for-profit and professional organizations, including serving as an appointed member of the Contra Costa County Employees’ Retirement Association Board since 2011, which included two terms as its chairman, and the Contra Costa County Treasury Oversight Committee, for which he now serves as Chair. Submit Date: Mar 28, 2023 First Name Middle Initial Last Name Home Address Suite or Apt City State Postal Code Primary Phone Email Address Employer Job Title Contra Costa County Boards & Commissions Application Form Profile District Locator Tool Resident of Supervisorial District: District 2 Length of Employment 8.5 years Do you work in Contra Costa County? Yes No If Yes, in which District do you work? How long have you lived or worked in Contra Costa County? 13 years Are you a veteran of the U.S. Armed Forces? Yes No Board and Interest Which Boards would you like to apply for? Contra Costa County Employees Retirement Association (CCCERA): Submitted Jay Kwon DANVILLE CA 94526 City of San Jose Investment Officer Jay Kwon Seat Name any Have you ever attended a meeting of the advisory board for which you are applying? Yes No If Yes, how many meetings have you attended? I am a 2-term incumbent board member Education Select the option that applies to your high school education * High School Diploma College/ University A Name of College Attended Stanford University Degree Type / Course of Study / Major BA Economics Degree Awarded? Yes No College/ University B Name of College Attended CSU Hayward Degree Type / Course of Study / Major MA Economics Degree Awarded? Yes No College/ University C Name of College Attended University of Oxford Jay Kwon Upload a Resume Degree Type / Course of Study / Major MBA Degree Awarded? Yes No Other Trainings & Occupational Licenses Other Training A CFA Certificate Awarded for Training? Yes No Other Training B CAIA Certificate Awarded for Training? Yes No Occupational Licenses Completed: Qualifications and Volunteer Experience Please explain why you would like to serve on this particular board, commitee, or commission. I have served on the CCCERA board for two terms (six years) and have found it to be a very fulfilling way to serve my community. CCCERA administered pensions are an essential component of retirement financial security for county employees as well as a significant component of Contra Costa County's budget, and I am grateful for the opportunity to help ensure the health of Contra Costa County's pension system. Describe your qualifications for this appointment. (NOTE: you may also include a copy of your resume with this application) I work as an investment officer for the retirement system of a neighboring municipality. My job provides me a uniquely relevant perspective to the operations of CCCERA. Also, as a two-term board incumbent, I have six-years of institutional knowledge. Jay Kwon Would you like to be considered for appointment to other advisory bodies for which you may be qualified? Yes No Do you have any obligations that might affect your attendance at scheduled meetings? Yes No If Yes, please explain: Are you currently or have you ever been appointed to a Contra Costa County advisory board? Yes No If Yes, please list the Contra Costa County advisory board(s) on which you are currently serving: CCCERA If Yes, please also list the Contra Costa County advisory board(s) on which you have previously served: List any volunteer or community experience, including any advisory boards on which you have served. 2 terms on CCCERA Board Conflict of Interest and Certification Do you have a familial or financial relationship with a member of the Board of Supervisors? (Please refer to the relationships listed under the "Important Information" section below or Resolution No. 2021/234) Yes No If Yes, please identify the nature of the relationship: Do you have any financial relationships with the County such as grants, contracts, or other economic relationships? Yes No If Yes, please identify the nature of the relationship: Jay Kwon Please Agree with the Following Statement I CERTIFY that the statements made by me in this application are true, complete, and correct to the best of my knowledge and belief, and are made in good faith. I acknowledge and undersand that all information in this application is publicly accessible. I understand that misstatements and/or omissions of material fact may cause forfeiture of my rights to serve on a board, committee, or commission in Contra Costa County. I Agree Important Information 1. This application and any attachments you provide to it is a public document and is subject to the California Public Records Act (CA Government Code §6250-6270). 2. All members of appointed bodies are required to take the advisory body training provided by Contra Costa County. 3. Members of certain boards, commissions, and committees may be required to: (1) file a Statement of Economic Interest Form also known as a Form 700, and (2) complete the State Ethics Training Course as required by AB 1234. 4. Meetings may be held in various locations and some locations may not be accessible by public transportation. 5. Meeting dates and times are subject to change and may occur up to two (2) days per month. 6. Some boards, committees, or commissions may assign members to subcommittees or work groups which may require an additional commitment of time. 7. As indicated in Board Resolution 2021/234, a person will not be eligible for appointment if he/she is related to a Board of Supervisors' member in any of the following relationships: (1) Mother, father, son, and daughter; (2) Brother, sister, grandmother, grandfather, grandson, and granddaughter; (3) Husband, wife, father-in-law, mother-in-law, son-in-law, daughter-in-law, stepson, and stepdaughter; (4) Registered domestic partner, pursuant to California Family Code section 297; (5) The relatives, as defined in 1 and 2 above, for a registered domestic partner; (6) Any person with whom a Board Member shares a financial interest as defined in the Political Reform Act (Gov't Code §87103, Financial Interest), such as a business partner or business associate. Jay Kwon JAY KWON, CFA CAIA Professional Experience Office of Retirement Services, City of San Jose San Jose, CA Head of Public Markets 2018 to Present Investment Officer, Public Equities 2014 to 2018 Senior Investment Officer overseeing all publicly traded asset classes for the City of San Jose, a n $8B public DB pension system. Responsible for asset allocation, asset class structuring, strategy due diligence, risk management, liquidity maintenance, and compliance with investment policy guidelines. - Oversight of 75%+ of plan assets, including Equities, Fixed Income, and Absolute Return - Responsible for initial and ongoing due diligence and structuring of external managers across Public Markets - Created a liquidity strategy combining short term LDI and synthetic overlay to meet cash needs - Regularly present to multiple levels of stakeholders, including Plan Sponsor, Boards, and Investment Committees - Direct oversight of a three-person investment team; senior member of seven-person staff reporting to the CIO - Experience working closely with multiple investment consultants (Meketa, Verus, NEPC, Albourne) BNY Mellon Beta and Transition Management San Francisco, CA Vice President, Senior Portfolio Manager 2003 to 2014 Lead PM for a product line of derivatives-based risk hedging and overlay solutions. Clients included public pensions, endowments and foundations, and corporate pension plans. Mandates included asset allocation rebalances, tail risk hedging, duration overlays, currency hedges, portable alpha, tactical exposures, and liquidity management. Mandates utilized exchange traded and OTC derivatives, global equities and fixed income. Senior member of a four-person team. Presented extensively to clients, boards, and consultants. Federal Home Loan Bank San Francisco, CA Financial Analyst, Financial Risk Management 1999 - 2003 Primary responsibility was risk management of the FHLBSF interest rate swap portfolio. Determined appropriateness of valuation models and inputs. Developed risk metrics to determine portfolio risk thresholds. Energy and Environmental Economics San Francisco, CA Research Analyst 1998 - 1999 Examined opportunities within deregulating power transmission market. Additional Experience Contra Costa County Employees’ Retirement Association (CCCERA) Concord, CA Trustee 2017 to Present Serving second term as a Trustee appointed by the County Supervisors. CCCERA is a $10B public DB pension plan with ~10k retirees. Responsible as a fiduciary for administering the policies of the association. As part of the Board, responsible for Strategic Asset Allocation, setting actuarial policies, evaluation of executive staff performance, and member disability claims. Education and Certifications MBA, University of Oxford, Said Business School 2008 MA, Economics, California State University, Hayward 2003 BA, Economics, minor in Mathematics, Stanford University 1998 CFA charter holder, CAIA charter holder Submit Date: Feb 01, 2023 First Name Middle Initial Last Name Home Address Suite or Apt City State Postal Code Primary Phone Email Address Employer Job Title Contra Costa County Boards & Commissions Application Form Profile District Locator Tool Resident of Supervisorial District: District 4 Length of Employment 32 Do you work in Contra Costa County? Yes No If Yes, in which District do you work? N/A How long have you lived or worked in Contra Costa County? 70 Years Are you a veteran of the U.S. Armed Forces? Yes No Board and Interest Which Boards would you like to apply for? Contra Costa County Employees Retirement Association (CCCERA): Submitted Jerry R Holcombe Walnut Creek CA 94596 Delta Dental of California Retired Senior Vice President Jerry R Holcombe Seat Name Seat #5 Have you ever attended a meeting of the advisory board for which you are applying? Yes No If Yes, how many meetings have you attended? Board Member since 2008 Education Select the option that applies to your high school education * High School Diploma College/ University A Name of College Attended California Polytechnic State University Degree Type / Course of Study / Major BS, Biological Sciences Degree Awarded? Yes No College/ University B Name of College Attended Degree Type / Course of Study / Major Degree Awarded? Yes No College/ University C Name of College Attended Degree Type / Course of Study / Major Jerry R Holcombe Upload a Resume Degree Awarded? Yes No Other Trainings & Occupational Licenses Other Training A Stanford Graduate School of Business Certificate Awarded for Training? Yes No Other Training B Certificate Awarded for Training? Yes No Occupational Licenses Completed: Qualifications and Volunteer Experience Please explain why you would like to serve on this particular board, commitee, or commission. I have served as a Board member since 2008. During that time, the Board and CCCERA staff have seen Plan assets grow from $5 Billion to $10 Billion. Together, the Board and the staff have also approved and initiated countless policy modifications that have further strengthened the organization. I'm proud of the role I've played in that effort and I look forward to continuing my contributions. Describe your qualifications for this appointment. (NOTE: you may also include a copy of your resume with this application) I retired as a Senior Vice President of $2.0 Billion-strong Delta Dental of California following a 32-year career. During that time, I had a variety of corporate administrative responsibilities, including Communications, Public & Professional Relations, Advertising, Legal, Information Technology, Commercial Operations, Corporate Services and Human Resources. In my HR role, I had executive oversight responsibilities for the employee benefits and the 401-K plan that covered nearly 2000 employees. Would you like to be considered for appointment to other advisory bodies for which you may be qualified? Yes No Jerry R Holcombe Do you have any obligations that might affect your attendance at scheduled meetings? Yes No If Yes, please explain: Are you currently or have you ever been appointed to a Contra Costa County advisory board? Yes No If Yes, please list the Contra Costa County advisory board(s) on which you are currently serving: If Yes, please also list the Contra Costa County advisory board(s) on which you have previously served: List any volunteer or community experience, including any advisory boards on which you have served. CCCERA Board of Trustees Conflict of Interest and Certification Do you have a familial or financial relationship with a member of the Board of Supervisors? (Please refer to the relationships listed under the "Important Information" section below or Resolution No. 2021/234) Yes No If Yes, please identify the nature of the relationship: Do you have any financial relationships with the County such as grants, contracts, or other economic relationships? Yes No If Yes, please identify the nature of the relationship: Jerry R Holcombe Please Agree with the Following Statement I CERTIFY that the statements made by me in this application are true, complete, and correct to the best of my knowledge and belief, and are made in good faith. I acknowledge and undersand that all information in this application is publicly accessible. I understand that misstatements and/or omissions of material fact may cause forfeiture of my rights to serve on a board, committee, or commission in Contra Costa County. I Agree Important Information 1. This application and any attachments you provide to it is a public document and is subject to the California Public Records Act (CA Government Code §6250-6270). 2. All members of appointed bodies are required to take the advisory body training provided by Contra Costa County. 3. Members of certain boards, commissions, and committees may be required to: (1) file a Statement of Economic Interest Form also known as a Form 700, and (2) complete the State Ethics Training Course as required by AB 1234. 4. Meetings may be held in various locations and some locations may not be accessible by public transportation. 5. Meeting dates and times are subject to change and may occur up to two (2) days per month. 6. Some boards, committees, or commissions may assign members to subcommittees or work groups which may require an additional commitment of time. 7. As indicated in Board Resolution 2021/234, a person will not be eligible for appointment if he/she is related to a Board of Supervisors' member in any of the following relationships: (1) Mother, father, son, and daughter; (2) Brother, sister, grandmother, grandfather, grandson, and granddaughter; (3) Husband, wife, father-in-law, mother-in-law, son-in-law, daughter-in-law, stepson, and stepdaughter; (4) Registered domestic partner, pursuant to California Family Code section 297; (5) The relatives, as defined in 1 and 2 above, for a registered domestic partner; (6) Any person with whom a Board Member shares a financial interest as defined in the Political Reform Act (Gov't Code §87103, Financial Interest), such as a business partner or business associate. Jerry R Holcombe Contra Costa County County Administrator’s Office • 1025 Escobar St., 4th Fl. • Martinez, CA 94553 • contracosta.ca.gov FOR IMMEDIATE RELEASE Contact: Julie DiMaggio Enea, 925-655-2056 Monday, April 3, 2023 julie.enea@cao.cccounty.us Would You Like to Serve on Contra Costa County’s Retirement Board? The Contra Costa County Board of Supervisors is seeking individuals with a sound business background, experience in pension fund investment or administration, or in equity investments or banking, to serve on the Contra Costa County Employees’ Retirement Association Board of Trustees. To be considered, candidates must be County residents, must not be Retirement System members or retirees, and may not market any investment, consulting, or related service to the Contra Costa County Retirement Board or any other 1937 Act Retirement Board. Regular meetings of the Retirement Board are held the second and fourth Wednesdays of each month beginning at 9:00 a.m. and sometimes extending into the afternoon. There may also be additional meetings on special topics that arise from time to time. Members of the Retirement Board receive $100 per meeting up to a monthly maximum of $500, plus reimbursement for actual and necessary expenses. The appointment will be for a full three-year term beginning July 1, 2023 and ending June 30, 2026. Application forms can be obtained from the Clerk of the Board of Supervisors by calling (925) 655-2000 or by visiting the County webpage. Applications should be returned to the Clerk of the Board of Supervisors, County Administration Building, 1025 Escobar St., Martinez, CA 94553 no later than 5 p.m. on Friday, April 21, 2023. Applicants should plan to be available for public interviews in Martinez on Monday, May 8, 2023. Further information about the Retirement Board can be obtained by calling CCCERA CEO Gail Strohl at (925) 521-3960 or by visiting the website www.cccera.org. #### RECOMMENDATION(S): REAPPOINT Jerry Holcombe to Seat 5, John Phillips to Seat 9, and Jay Kwon to the Alternate to 4, 5 ,6 & 9 Seat on the Contra Costa County Employees' Retirement Association Board of Trustees to new three year terms ending on June 30, 2026. FISCAL IMPACT: No fiscal impact to the County. Retirement Board members are paid meeting stipends by the Retirement Association. BACKGROUND: The Board of Supervisors has directed the Internal Operations Committee (IOC) to personally recruit and interview applicants for At Large seats on the Contra Costa County Fire Protection District's Fire Advisory Commission, the County Planning Commission, the Local Enforcement Agency Independent Hearing Panel (Solid Waste), and the Board appointees to the Contra Costa County Employees' Retirement Association (CCCERA) Board of Trustees. The terms of the following three Retirement Board seats will expire in 2023: Seats Term/yrs Expiration Date BOS Appointee 5 3 6/30/2023 BOS Appointee 9 3 6/30/2023 BOS Appointee Alternate 3 6/30/2023 APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Julie DiMaggio Enea (925) 655-2056 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: Stacey M. Boyd, Deputy cc: CCCERA, CAO (Enea) C. 13 To:Board of Supervisors From:INTERNAL OPERATIONS COMMITTEE Date:May 16, 2023 Contra Costa County Subject:RECOMMENDATION FOR APPOINTMENTS TO THE RETIREMENT BOARD BACKGROUND: (CONT'D) Below is the recruitment schedule for the Retirement Board seats: March 31 Issue press release advertising vacancies April 21 Application Deadline for vacancies (4 week application period) April 24 - 28 Staff to screen applications and schedule all interviews for May 8 May 8 IOC Committee Meeting: Interview candidates for the vacancies May 16 Board of Supervisors Meeting: Board consideration of IOC recommended appointments July 1 Appointments take effect Individuals seeking appointment should have a sound business background, experience in pension fund investment or administration, or in equity investments or banking. To be considered for the County-appointed seats, candidates must be County residents, must not be Retirement System members or retirees, and may not market any investment, consulting, or related service to the Contra Costa County Retirement Board or any other 1937 Act Retirement Board. Five applications were received in response to county outreach. However, one applicant withdrew her application after reviewing the time commitment estimate for serving on the board of trustees, and one applicant submitted an application one-week past the deadline and declined to attend the IOC meeting. The three remaining applicants are the incumbents shown below. Jerry Holcombe, Seat 5 incumbent (Walnut Creek) Jay Kwon, Alternate to 4, 5 ,6 & 9 Seat incumbent (Danville) John Phillips, Seat 9 incumbent (Moraga) The IOC considered the applications of the incumbents and staff's recommendation for reappointment, and today recommends reappointment of the incumbents. New appointments would be effective for the period July 1, 2023 through June 30, 2026. ATTACHMENTS Media Release-Contra Costa County Employees Retirement Board of Trustees Application_Jerry Holcombe_CCCERA Application_Jay Kwon_CCCERA Application_John Phillips_CCCERA POSITION ADJUSTMENT REQUEST NO. 26148 DATE 4/26/2023 Department No./ Department Clerk-Recorder Budget Unit No. 0043 Org No. 2353 Agenc y No. 24 Action Requested: CANCEL one (1) vacant limited-term Elections Services Supervisor Position (ALHB, represented), salary plan and grade ZA5-1406 ($5,724.31-$6,957.94); position #19835 Proposed Effective Date: 4/1/2023 Classification Questionnaire attached: Yes No / Cost is within Department’s budget: Yes No Total One-Time Costs (non-salary) associated with request: $0.00 Estimated total cost adjustment (salary / benefits / one time): Total annual cost $0.00 Net County Cost $0.00 Total this FY $0.00 N.C.C. this FY $0.00 SOURCE OF FUNDING TO OFFSET ADJUSTMENT Cost Savings Department must initiate necessary adjustment and submit to CAO. Use additional sheet for further explanations or comments. Kristin B. Connelly ______________________________________ (for) Department Head REVIEWED BY CAO AND RELEASED TO HUMAN RESOURCES DEPARTMENT /s/ Julie Enea 5/1/2023 ___________________________________ ________________ Deputy County Administrator Date HUMAN RESOURCES DEPARTMENT RECOMMENDATIONS DATE 5/2/2023 ADOPT Position Adjustment Resolution No. 26148 to cancel one (1) limited-term Elections Services Supervisor (ALHB) (represented) position (#19538) at Salary Plan and Grade ZA5-1406($5,724.31-$6,957.94); in the Clerk-Recorder Department. Amend Resolution 71/17 establishing positions and resolutions allocating classes to the Basic / Exempt salary schedule. Effective: Day following Board Action. (Date) Alex Johnson 5/2/2023 ___________________________________ ________________ (for) Director of Human Resources Date COUNTY ADMINISTRATOR RECOMMENDATION: DATE 5/3/23 Approve Recommendation of Director of Human Resources Disapprove Recommendation of Director of Human Resources /s/ Julie Enea Other: ____________________________________________ ___________________________________ (for) County Administrator BOARD OF SUPERVISORS ACTION: Monica Nino, Clerk of the Board of Supervisors Adjustment is APPROVED DISAPPROVED and County Administrator DATE BY APPROVAL OF THIS ADJUSTMENT CONSTITUTES A PERSONNEL / SALARY RESOLUTION AMENDMENT POSITION ADJUSTMENT ACTION TO BE COMPLETED BY HUMAN RESOURCES DEPARTMENT FOLLOWING BOARD ACTION Adjust class(es) / position(s) as follows: P300 (M347) Rev 3/15/01 REQUEST FOR PROJECT POSITIONS Department Date No. 1. Project Positions Requested: 2. Explain Specific Duties of Position(s) 3. Name / Purpose of Project and Funding Source (do not use acronyms i.e. SB40 Project or SDSS Funds) 4. Duration of the Project: Start Date End Date Is funding for a specified period of time (i.e. 2 years) or on a year-to-year basis? Please explain. 5. Project Annual Cost a. Salary & Benefits Costs: b. Support Costs: (services, supplies, equipment, etc.) c. Less revenue or expenditure: d. Net cost to General or other fund: 6. Briefly explain the consequences of not filling the project position(s) in terms of: a. potential future costs d. political implications b. legal implications e. organizational implications c. financial implications 7. Briefly describe the alternative approaches to delivering the services which you have considered. Indicate why these alternatives were not chosen. 8. Departments requesting new project positions must submit an updated cost benefit analysis of each project position at the halfway point of the project duration. This report is to be submitted to the Human Resources Department, which will forward the report to the Board of Supervisors. Indicate the date that your cost / benefit analysis will be submitted 9. How will the project position(s) be filled? a. Competitive examination(s) b. Existing employment list(s) Which one(s)? c. Direct appointment of: 1. Merit System employee who will be placed on leave from current job 2. Non-County employee Provide a justification if filling position(s) by C1 or C2 USE ADDITIONAL PAPER IF NECESSARY RECOMMENDATION(S): ADOPT Position Adjustment Resolution No. 26148 to cancel one (1) limited-term Elections Services Supervisor (ALHB) (represented) position (#19538) at Salary Plan and Grade ZA5 1406 ($5,724.31-$6,957.94); in the Clerk-Recorder Department. FISCAL IMPACT: Approval of this action will not affect the department's operating budget. This was a limited term (not budgeted) position offset with costs offset by department vacancies. BACKGROUND: This position was added for a limited term to ensure adequate training and a smooth transition of responsibilities pending the retirement of an incumbent Elections Services Supervisor. CONSEQUENCE OF NEGATIVE ACTION: If this position is not canceled, there will be an unneeded vacant position in the department budget. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Kristin Connelly (925) 335-7997 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: HRIS Support C. 14 To:Board of Supervisors From:Kristin Connelly, Clerk-Recorder Date:May 16, 2023 Contra Costa County Subject:Cancel one (1) Elections Services Supervisor Limited Term Position AGENDA ATTACHMENTS P300 #19538 MINUTES ATTACHMENTS Signed P300 26148 1 LEASE 25 Allen Street Martinez, California This lease is dated May 16, 2023, and is between the County of Contra Costa, a political subdivision of the State of California (“County”) and Pacific Clinics, a California non-profit corporation (“Lessee”). Recitals A. The County owns the property located at 25 Allen Street, California, which is improved with a building measuring approximately 9,990 square feet (the “Building”). The Building is used by the County to provide various behavioral health services to the community. B. The County desires to lease to Lessee and Lessee desires to lease from County a portion of the Building consisting of approximately 2,098 square feet of floor space, in that part of the Building shown on the floorplan attached as Exhibit A (the “Premises”), along with the non-exclusive use of three parking stalls, for the duration of the Service Contract, as defined below. The Premises is used for the operation of what is known as the “Crisis Stabilization Unit” (the “CSU”), which receives children and youth ages 4-17 who are experiencing severe psychiatric symptoms. C. The “Service Contract” is a separate agreement between the County and Lessee dated ________________________, under which Lessee will begin operating the CSU on the date in-progress tenant improvements are complete (the “Commencement Date”). The term of the Service Contract is through June 30, 2024. The parties therefore agree as follows: Agreement 1. Lease of Premises. In consideration of compliance with the terms and conditions of this lease, the County hereby leases to Lessee and Lessee hereby leases from the County, the Premises, under the terms and conditions described in this lease. 2. Term. The “Term” of this lease begins on the Commencement Date and ends on June 30, 2024. a. The Commencement Date will be set forth in a notice from the County to Lessee that is in substantial conformity with Exhibit B. 2 b. If the Service Contract is renewed or extended, at the option of the County, the term of this lease may be extended by written amendment to this lease. In no event may the term of this lease be extended beyond the expiration or termination of the Service Contract. If the lease is extended in accordance with the terms of this lease, all references to the Term of this lease will be deemed to mean the Term as extended pursuant to this Section. c. If the Service Contract is terminated for any reason or for no reason, the Term of this lease will end on the same day that the Service Contract ends. 3. Rent. In lieu of rent, Lessee will provide the services described in the Service Contract. 4. Use. The Premises may only be used for the purpose of providing the services described in the Service Contract. 5. Obligation to Pay Utilities/Services. a. County shall pay for all utilities including water, sewer, gas, and electricity, and refuse collection services provided to the Premises. b. Lessee shall pay for any services necessary to provide the services described in the Service Contract, including but not limited to telephone, custodial/janitorial services, hazardous materials disposal, and linen services provided to the Premises. 6. Condition of Premises. Lessee is leasing the Premises in an “as is” physical condition with no warranty, express or implied, on the part of the County as to the condition of the Premises. 7. Maintenance and Repairs. a. Roof and Exterior of Premises. County shall keep the roof and exterior of the Premises in good order, condition, and repair, and shall maintain the structural integrity of the Building, including the exterior doors and their fixtures, closers and hinges, exterior windows, glass and glazing, and all locks and key systems used in the Premises. b. Interior of Premises. Lessee shall keep and maintain the interior of the Premises in good order, condition and repair, but County shall repair damage to the interior caused by its failure to maintain the exterior in good repair, including damage to the interior caused by roof leaks and/or interior and exterior wall leaks. Lessee may install and maintain an alarm system, if deemed necessary by Lessee. c. Utility Systems. County shall repair and maintain the electrical, lighting, water and plumbing systems in good order, condition, and repair. d. HVAC. County shall maintain and repair the heating, ventilating, and air- conditioning (HVAC) systems. 3 e. Parking; Exterior Lighting; Landscaping. County shall maintain the parking lot, exterior lighting system, and landscaping in good order, condition, and repair. f. Life Safety. County shall maintain, in compliance with government codes and standards, the fire life safety system. When needed, County shall repair and/or replace such systems. g. Covenant against Liens. Lessee may not permit any mechanic’s, materialman’s, or other lien against the Premises, or the property of which the Premises forms a part, in connection with any labor, materials, or services furnished or claimed to have been furnished. If any such lien is filed against the Premises, or property of which the Premises forms a part, Lessee will cause the same to be discharged, provided however, Lessee may contest any such lien, so long as the enforcement thereof is stayed. 8. Taxes. Lessee agrees to pay before delinquency all taxes (including, but not limited to, possessory interest tax), assessments, license fees, and other charges that are levied and assessed upon Lessee’s interest in the Premises, or upon Lessee’s personal property installed or located in or on the Premises, by Contra Costa County or other legally authorized government authority. Lessee may pay any taxes and assessments under protest, without liability, cost, or expense to the County, to contest the amount in good faith. Payment of taxes, assessments, license fees, or other charges levied and assessed upon Lessee’s interest is the liability of Lessee. 9. Quiet Enjoyment. Provided Lessee complies with the terms of this lease, the County covenants that Lessee will peaceably and quietly have, hold, and enjoy the Premises during the Term. 10. Assignment and Sublease. Lessee may not assign this lease or sublease the Premises or any part thereof at any time during the Term. 11. Alterations and Additions. Lessee may not make any alterations, erect any additional structures, or make any improvements on the Premises without the prior written consent of the Director of Public Works or his or her designee. In the event Lessee makes alterations or constructs additions that violate the conditions contained in this lease (an “Unauthorized Addition”), at the County’s sole discretion, Lessee shall remove any Unauthorized Addition at Lessee’s sole cost and expense. If Lessee is required to remove any Unauthorized Addition, Lessee, at its sole cost and expense, shall restore the Premises to the conditions existing immediately prior to the existence of the Unauthorized Addition, or such other condition designated by the County in its election. If Lessee is not required to remove any Unauthorized Addition, such Unauthorized Additions shall remain on and be surrendered with the Premises on expiration or termination of this lease. 4 If Lessee wishes to make any alterations, erect any additional structures, or make any additional improvements to the Premises as provided in this Section, Lessee may not commence construction until Lessee has the prior written consent of the County. In addition, a Notice of Lessor Non-Responsibility must be posted and recorded by Lessee during construction in accordance with Civil Code Section 3094. Lessee shall mail a copy of such Notice of Lessor Non-Responsibility to Lessor upon filing it with the County Recorder. 12. Insurance. a. Liability Insurance. Throughout the Term, Lessee shall maintain in full force and effect, at its sole expense, a comprehensive general liability or commercial general liability insurance program covering bodily injury (including death), personal injury, and property damage. The limits must be not less than one million dollars per occurrence and two million dollars aggregate. The policy must name the County, its officers, agents and employees, individually and collectively, as additional insureds. The liability insurance maintained by Lessee must be primary. b. Property Insurance. The County will maintain property insurance coverage on its real property. Lessee has no interest in the proceeds of insurance on the County’s real property, improvements, equipment, or fixtures. Lessee shall sign all documents necessary or proper in connection with the settlement of any claim or loss by the County. Lessee shall maintain in full force and effect, at its sole expense, a standard All Risk policy, which may exclude earthquake and flood, to insure its own personal property, contents, improvements, and betterments within or on the Premises. The coverage must be for not less than 90% of the actual cash value of the personal property. Lessee shall name the County as an additional insured and loss payee with respect to the improvements and betterments. c. Worker’s Compensation and Employer’s Liability Insurance. Lessee shall maintain in full force and effect, at its sole expense, (i) statutory California Workers’ Compensation coverage including a broad form all-states endorsement, and (ii) employer’s liability coverage for not less than one million dollars per occurrence for all employees engaged in services or operations at the Premises. d. Evidence of Insurance. Within thirty days of execution of this lease, Lessee shall provide to the County, on a form approved by the County, an original copy of a Certificate of Insurance. The Certificate of Insurance must certify that the coverage required by this lease has been obtained and remains in force for the period required by this lease. e. Notice of Cancellation or Reduction of Coverage. Lessee shall cause all policies it is required to obtain under the terms of this lease to contain a provision that the County is to receive written notification of any cancellation or reduction in coverage at least thirty days prior to the effective date of such cancellation or reduction. Any such notification is to be sent to the County in accordance with Section 22 – Notices. 5 f. Waiver of Subrogation. Except as may be specifically provided elsewhere in this lease, the County and Lessee hereby each mutually waive any and all rights of recovery from the other in the event of damage to the Premises or any personal property that is caused by acts of God, perils of fire, lightning, and the extended coverage perils, as defined in insurance policies and forms approved for use in the State of California. Each party shall obtain any special endorsements, if required by their insurer, to evidence compliance with this waiver. 13. Surrender of Premises. On the last day of the Term, or sooner termination of this lease, Lessee shall peaceably and quietly leave and surrender to the County the Premises, along with their appurtenances and fixtures, all in good condition, ordinary wear and tear, damage by casualty, acts of God and circumstances over which Lessee has no control excepted. a. Personal Property. Title to personal property belonging to Lessee will remain in Lessee at all times during the Term of this lease, and Lessee has the right at any time to remove any or all of its personal property from the Premises, provided that upon any such removal, Lessee shall repair, at Lessee’s expense, any damage resulting therefrom and leave the Premises in a clean and neat condition. If Lessee fails to remove any personal property from the Premises within thirty days after the expiration, cancellation, or termination of this lease, such personal property may be removed by the County at Lessee’s expense, which will be paid immediately upon receipt of the County’s written demand therefor. b. Effectiveness. The provisions of this Section will survive the expiration, cancellation, or earlier termination of this lease. 14. Abandonment. Lessee may not vacate or abandon the Premises at any time during the Term. If Lessee abandons, vacates, or surrenders the Premises, or is dispossessed by process of law, or otherwise, the County may deem any personal property belonging to Lessee that remains on the Premises to be abandoned. 15. Waste, Nuisance. Lessee may not commit, or suffer to be committed, any waste upon the Premises, or any nuisance or other act or thing that may disturb the quiet enjoyment of any other occupant of the Building or the neighborhood in which the Premises is located. 16. Inspection. The County may enter the Premises at any time in an emergency and with 24- hours’ notice in a non-emergency to determine that (i) the Premises is being reasonably cared for, (ii) no waste is being made and that all actions affecting the Premises are done in the manner best calculated to preserve the Premises, and (iii) Lessee is in compliance with the terms and conditions of this lease. 17. Destruction. If damage occurs that causes a partial destruction of the Premises during the Term from any cause, the County may, at its option, make repairs within a reasonable time. Partial destruction does not void this lease. 6 If the County does not elect to make repairs, this lease may be terminated by either party, without cost, obligation or liability to the other party, except as described herein. This lease will terminate in the event of a total destruction of the Premises. 18. Indemnification. Lessee shall indemnify, defend and hold County, its officers, agents and employees harmless from any and all claims, costs and liability, for any damage, injury or death, including without limitation, all consequential damages from any cause whatsoever, to any person or the property of any person arising directly or indirectly from or connected with this lease, Lessee’s operations, or Lessee’s use or possession of the Premises, save and except claims or litigation arising through the sole negligence or sole willful misconduct of County, its officers or employees, and shall make good to and reimburse County for any expenditures, including reasonable attorneys’ fees, County may make by reason of such matters. 19. Default. The occurrence of any of the following events is a default under this lease: a. Lessee. Lessee’s failure to comply with any material term or provision of this lease if such failure is not remedied within thirty days after receipt of a written notice from the County to Lessee specifying the nature of the breach in reasonably sufficient detail (a “Notice of Default”). If the required cure of the noticed failure cannot be completed within thirty days, the failure to cure will not be deemed to be a default of this lease if Lessee has attempted to cure the failure within the thirty-day period and has diligently and continuously attempted to complete the cure as soon as reasonably possible. In no event will the cure period extend beyond the sixty-day period after Lessee’s receipt of the Notice of Default. b. County. The County’s failure to perform any obligation under this lease if the failure is not remedied within thirty days after receipt of a written notice from Lessee to the County specifying the nature of the breach in reasonably sufficient detail. If the required cure of the noticed failure cannot reasonably be completed within thirty days, a default will not be deemed to occur if the County has attempted to cure the failure within the thirty-day period and has diligently and continuously attempted to complete the cure as soon as reasonably possible. 20. Remedies. a. County. Upon the occurrence of a default by Lessee, the County may reenter and repossess the Premises and remove all persons and property from the Premises, after giving Lessee written Notice of Default and in accordance with due process of law. b. Lessee. Upon the occurrence of a default by the County, Lessee may terminate this lease by giving written notice to the County and quit the Premises without further cost or obligation to the County. 7 21. Notices. Any notice required or permitted under this lease shall be in writing and sent by overnight delivery service or registered or certified mail, postage prepaid and directed as follows: To Lessor: Pacific Clinics 251 Llewellyn Avenue Campbell, CA 95008-1940 To County: Contra Costa County Public Works Department Attn: Principal Real Property Agent 255 Glacier Drive Martinez, CA 94553 Either party may at any time designate in writing a substitute address for that set forth above and thereafter notices are to be directed to the substituted address. If sent in accordance with this Section, all notices will be deemed effective (i) the next business day, if sent by overnight courier, or (ii) three days after being deposited in the United States Postal system. 22. Successors and Assigns. This lease binds and inures to the benefit of the heirs, successors, and assigns of the County and Lessee. 23. Holding Over. In the event Lessee remains in possession of the Premises after the expiration of the Term, such holding over does not constitute a renewal or extension of this lease, but will be construed to be a tenancy from month to month on the same terms and conditions set forth in this lease. 24. Time is of the Essence. In fulfilling all the terms and conditions of this lease, time is of the essence. 25. Governing Law. The laws of the State of California govern all matters arising out of this lease. 26. Severability. In the event that any provision in this lease is held to be invalid or unenforceable in any respect, the validity and enforceability of the remaining provisions of this lease will not in any way be affected or impaired. [Remainder of Page Intentionally Left Blank] 8 27. Entire Agreement; Construction; Modification. Neither party has relied on any promise or representation not contained in this lease or the Service Contract. All previous conversations, negotiations, and understandings are of no further force or effect. This lease is not to be construed as if it had been prepared by one of the parties, but rather as if both parties prepared it. This lease may be modified only by a writing signed by both parties. The parties are executing this lease as of the date set forth in the introductory paragraph. COUNTY OF CONTRA COSTA, a Pacific Clinics, a California non-profit political subdivision of the State of corporation California By: _______________________ By: __________________________ Brian M. Balbas Kim M. Wells Public Works Director Chief Legal Officer RECOMMENDED FOR APPROVAL: By: _______________________ Jessica L. Dillingham Principal Real Property Agent By: _______________________ Margaret Eychner Senior Real Property Agent APPROVED AS TO FORM THOMAS L. GEIGER, COUNTY COUNSEL By: _______________________ Kathleen M. Andrus Deputy County Counsel ME:na WLP/WLG403 G:\realprop\LEASE MANAGEMENT\MARTINEZ\25 ALLEN ST - T00733\LEASES\25 Allen - Pacific Clinics Lease - Final.docx 9 Exhibit A 10 Exhibit B FORM OF DELIVERY NOTICE To: Pacific Clinics (“Lessee”) From: Contra Costa County (“County”) Date: Re: Commencement Date of Lease between County and Lessee dated as of May 16, 2023 for the Premises Located at 25 Allan Street, Martinez, California (the “Lease”) In accordance with Section 2 of the Lease, this notice is provided to inform you that the tenant improvements to the Premises are complete and that the Commencement Date of the Lease is __________________, 2023. All terms not otherwise defined herein have the meaning ascribed to them in the Lease. Contra Costa County ____________________________________ Julin Perez Supervising Real Property Agent RECOMMENDATION(S): APPROVE and AUTHORIZE the Public Works Director, or designee, to execute a lease with Pacific Clinics for approximately 2,098 square feet of space at the County-owned property located at 25 Allen Street in Martinez, under which, in lieu of paying rent, Pacific Clinics will provide services to children and adolescents 4-17 years old with behavioral health issues in the Crisis Stabilization Unit located at the site under a service contract with the County, for the term of the service contract. FISCAL IMPACT: There is no fiscal impact. If the County were to charge rent under this lease it would create duplicative efforts because the tenant will be operating the facility under a service contract with the County, which requires the County to reimburse the tenant for the cost of the rent payments. BACKGROUND: Under a service contract with the County’s Health Services Department (HSD), Pacific Clinics will operate the County’s Crisis Stabilization Unit (the “CSU”) at 25 Allen Street, Martinez, providing services to children and adolescents ages 4-17 who are experiencing severe psychiatric symptoms. Pacific Clinics will operate the CSU 24/7, providing APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Margaret Eychner 925-957-2463 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: , Deputy cc: C. 15 To:Board of Supervisors From:Brian M. Balbas, Public Works Director/Chief Engineer Date:May 16, 2023 Contra Costa County Subject:Lease with Pacific Clinics at 25 Allen Street, Martinez BACKGROUND: (CONT'D) care that will include intake assessment, ongoing supervision, resourcing and discharge planning, and psychiatric and medication evaluation. In lieu of rent, Pacific Clinics will provide these very needed services to the County in accordance with the service contract. The term of the lease will be co-terminus with the service contract. If the service contract is terminated, the lease will terminate. If the service contract is extended, the term of the lease will be extended. The term of the lease and the service contract is expected to begin June 1, 2023, upon the completion of in-progress tenant improvements. The initial term of the lease and the service contract runs through June 30, 2024. CONSEQUENCE OF NEGATIVE ACTION: If this lease is not approved, Pacific Clinics will not be able to carry out the service contract at this location. CLERK'S ADDENDUM RELISTED to a date uncertain. ATTACHMENTS Lease THE BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY, CALIFORNIA and for Special Districts, Agencies and Authorities Governed by the Board Adopted this Resolution on 07/26/2022 by the following vote: AYE:5 John Gioia Candace Andersen Diane Burgis Karen Mitchoff Federal D. Glover NO: ABSENT: ABSTAIN: RECUSE: Resolution No. 2022/262 IN THE MATTER OF: 2022-2023 State of California Department of Community Services and Development, Low Income Home Energy Assistance Program (LIHEAP) Amendment 1. WHEREAS, on June 6, 2022, the County received notification of amendment from the California Department of Community Services and Development (CSD) for the 2022 Low Income Home Energy Assistance Program (LIHEAP) agreement, and WHEREAS, the amendment is the remaining allocation of 2022 LIHEAP Agreement that CSD is releasing for the grant, and WHEREAS, the County routinely receives funding from CSD wherein Contra Costa County provides energy bill assistance payments and/or Weatherization services to residents who are income eligible through LIHEAP and the Energy Crisis Intervention Program (ECIP), and WHEREAS, first priority for services are to those households with the lowest income and highest energy burden, and WHEREAS, LIHEAP priority is to service those households with the following vulnerable populations: young children (ages five years or under), disabled, and elderly persons (ages 60 years or older), and WHEREAS, this Board is to accept additional funds for the Program year 2022-2023 in the amount of $1,057,688. NOW, THEREFORE, BE IT RESOLVED: the Contra Costa County Board of Supervisors ADOPT Resolution No. 2022/XXX to approve and authorize the Employment and Human Services Director, or designee, to execute an amendment to the Low Income Home Energy Assistance Program (LIHEAP) revenue agreement to accept additional funds in the amount of $1,057,688 and increase the total funding limit in an amount not to exceed $4,446,906 with the State of California Department of Community Services and Development (CSD) with no changes to term period of November 1, 2021 through June 30, 2023. Contact: V. Kaplan, (925) 608-5052 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: July 26, 2022 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: THE BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY, CALIFORNIA and for Special Districts, Agencies and Authorities Governed by the Board Adopted this Resolution on 05/16/2023 by the following vote: AYE:5 John Gioia Candace Andersen Diane Burgis Ken Carlson Federal D. Glover NO: ABSENT: ABSTAIN: RECUSE: Resolution No. 2023/146 IN THE MATTER OF: 2022-2023 State of California Department of Community Services and Development, Low Income Home Energy Assistance Program (LIHEAP) Amendment 2. WHEREAS, on February 28, 2023, the County received notification of amendment from the California Department of Community Services and Development (CSD) for the 2022 Low Income Home Energy Assistance Program (LIHEAP) agreement, and WHEREAS, the amendment is the remaining allocation of 2022 LIHEAP Agreement that CSD is releasing for the grant, and WHEREAS, the County routinely receives funding from CSD wherein Contra Costa County provides energy bill assistance payments and/or Weatherization services to residents who are income eligible through LIHEAP and the Energy Crisis Intervention Program (ECIP), and WHEREAS, first priority for services are to those households with the lowest income and highest energy burden, and WHEREAS, LIHEAP priority is to service those households with the following vulnerable populations: young children (ages five years or under), disabled, and elderly persons (ages 60 years or older), and WHEREAS, this Board is to accept additional funds for the Program year 2022-2023 in the amount of $39,848 for a new payment limit not to exceed $4,486,754. NOW, THEREFORE, BE IT RESOLVED: the Contra Costa County Board of Supervisors ADOPT Resolution No. 2023/146 to approve and authorize the Employment and Human Services Director, or designee, to execute an amendment to the Low Income Home Energy Assistance Program revenue agreement to accept additional funds in the amount of $39,848 and increase the total funding limit in an amount not to exceed $4,486,754 with the State of California Department of Community Services and Development with no changes to term period of November 1, 2021 through June 30, 2023. Contact: L. Pacheco (925) 608-4963 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: RECOMMENDATION(S): ADOPT Resolution No. 2023/146 to approve and authorize the Employment and Human Services Director, or designee, to execute a revenue agreement amendment with the California Department of Community Services and Development to accept additional funds in the amount of $39,848 with a new total payment limit $4,486,754 and no changes to contract term. FISCAL IMPACT: This revenue contract is funded with 100% federal funds, all of which has been budgeted in FY 2022-23. BACKGROUND: The Employment and Human Services Department (EHSD) received notification from the California Department of Community Services and Development (CSD) on February 28, 2023, to amend the 2022 Low Income Home Energy Assistance Program (LIHEAP) agreement. This amendment (Amendment 2) is the final allocation of 2022 LIHEAP Agreement. The funds provide energy bill assistance payments and/or weatherization services to County residents who are income eligible through the Low Income Home Energy Assistance Program (LIHEAP) and the Energy Crisis Intervention Program (ECIP). First priority for services are to those households with the lowest income and highest energy burden. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: L. Pacheco (925) 608-4963 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 16 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:2022-2023 State of California Department of Community Services and Development, Low Income Home Energy Assistance Program (LIHEAP) Amendment 2 BACKGROUND: (CONT'D) In addition, EHSD will factor into its first priority for services those households with the following vulnerable populations: young children (ages five years or under), disabled, and elderly persons (ages 60 years or older). Since the execution of the 2022 LIHEAP agreement, 2,619 residents have received energy bill assistance and 124 homes have received weatherization services. CONSEQUENCE OF NEGATIVE ACTION: If not approved, the County may not provide services to additional residents eligible for LIHEAP in Contra Costa County to meet their energy needs. CHILDREN'S IMPACT STATEMENT: LIHEAP funding supports one (1) of the community outcomes established in the Children's Report Card: #4 "Families that are Safe, Stable and Nurturing" by the provision of home energy assistance to keep households warm in winter and to increase household energy efficiency. AGENDA ATTACHMENTS Resolution 2023/146 Resolution 2022/262 MINUTES ATTACHMENTS Signed Resolution No. 2023/146 THE BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY, CALIFORNIA and for Special Districts, Agencies and Authorities Governed by the Board Adopted this Resolution on 05/16/2023 by the following vote: AYE:5 John Gioia Candace Andersen Diane Burgis Ken Carlson Federal D. Glover NO: ABSENT: ABSTAIN: RECUSE: Resolution No. 2023/175 IN THE MATTER OF: California Victim Compensation Board Grant Award for the period July 1, 2023 through June 30, 2026. WHEREAS, the Contra Costa County Board of Supervisors desires to enter into an agreement with the California Victim Compensation Board (CalVCB) to continue the program to ensure restitution fines and orders are properly administered in accordance with applicable statutes to provide restitution to victims of crimes. NOW, THEREFORE, BE IT RESOLVED that the District Attorney of the County of Contra Costa is authorized to submit an agreement to the California Victim Compensation Board (CalVCB) and is authorized to execute on behalf of the Board of Supervisors a Standard Agreement including any extensions or amendments thereof. BE IT FURTHER RESOLVED that the grant funds received hereunder shall not be used to supplant expenditures previously authorized or controlled by this body. Contact: Monica Carlisle, 925-957-2234 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: RECOMMENDATION(S): ADOPT Resolution No. 2023/175 approving and authorizing the District Attorney, or designee, to execute a contract, including any extensions or amendments thereof pursuant to state guidelines, with the California Victim Compensation Board in an amount not to exceed $460,977 to fund Victim Witness Assistance Program Specialist positions for the period July 1, 2023 through June 30, 2026. FISCAL IMPACT: The District Attorney will receive $460,977 in revenue. 100% State funded. BACKGROUND: The California Victim Compensation Board (CalVCB) administers the State's Victim Compensation Program (VCP), which reimburses victims of violent crimes for specific economic losses incurred as a result of crime. CalVCB, through Criminal Restitution Compacts, funds Victim/Witness Program Specialist positions that provide restitution specialists who works with the victim, the prosecutor, the Probation Department and the Court to ensure that offenders are ordered to pay restitution to the victim and the program when appropriate. Statute requires the Court to impose APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Monica Carlisle, 925-957-2234 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 17 To:Board of Supervisors From:Diana Becton, District Attorney Date:May 16, 2023 Contra Costa County Subject:California Victim Compensation Board Grant Funding for 7/1/23 - 6/30/26 BACKGROUND: (CONT'D) restitution on behalf of the CalVCB when an offender is convicted and the victim has received benefits from the VCP. If the victim's losses are unknown at the time of sentencing, statute requires that the restitution order include a provision that the amount will be determined at the direction of the court. CONSEQUENCE OF NEGATIVE ACTION: The District Attorney will be unable to apply for and accept the grant. AGENDA ATTACHMENTS Resolution 2023/175 MINUTES ATTACHMENTS Signed Resolution No. 2023/175 AUTHORIZING RESOLUTION Contra Costa County Board of Supervisors Contra Costa Health Services– Health, Housing & Homeless Services Division RESOLUTION NO. #2023/178 A RESOLUTION OF THE GOVERNING BODY OF CONTRA COSTA COUNTY AUTHORIZING APPLICATION TO AND PARTICIPATION IN THE HOMEKEY PROGRAM WHEREAS: A. The California Department of Housing and Community Development (“Department”) has issued a Notice of Funding Availability, dated March 29, 2023 (“NOFA”), for the Homekey Program (“Homekey” or “Program”). The Department has issued the NOFA for Homekey grant funds pursuant to Health and Safety Code section 50675.1.3 (Assem. Bill No. 140 (2021-2022 Reg. Sess.), § 20.). B. CONTRA COSTA HEALTH SERVICES on behalf of CONTRA COSTA COUNTY (“Applicant”) desires to apply for Homekey grant funds. Therefore, Applicant is submitting an application for Homekey funds (“Application”) to the Department for review and consideration. C. The Department is authorized to administer Homekey pursuant to the Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675) of Part 2 of Division 31 of the Health and Safety Code). Homekey funding allocations are subject to the terms and conditions of the NOFA, the Application, the Department-approved STD 213, Standard Agreement (“Standard Agreement”), and all other legal requirements of the Homekey Program. THEREFORE, IT IS RESOLVED THAT: 1. Applicant is hereby authorized and directed to submit an Application to the Department in response to the NOFA, and to apply for Homekey grant funds in a total amount not to exceed $16,000,000.00. 2. If the Application is approved, Applicant is hereby authorized and directed to enter into, execute, and deliver a Standard Agreement in a total amount not to exceed $16,000,000.00, any and all other documents required or deemed necessary or appropriate by the Department and County Counsel to secure the Homekey funds from the Department and to participate in the Homekey Program, and all amendments thereto (collectively, the “Homekey Documents”). 3. Applicant acknowledges and agrees that it shall be subject to the terms and conditions specified in the Standard Agreement, and that the NOFA and Application will be incorporated in the Standard Agreement by reference and made a part thereof. Any and all a ctivities, expenditures, information, and timelines represented in the Application are enforceable through the Standard Agreement. Funds are to be used for the allowable expenditures and activities identified in the Standard Agreement. 4. Christy Saxton, Health, Housing and Homeless Services Director, is authorized to execute the Application and the Homekey Documents on behalf of Applicant for participation in the Homekey Program , subject to County Counsel approval as to form. PASSED AND ADOPTED this _____ day of ______________, 202_, by the following vote: AYES: [ # _ ] NAYES: [ # _] ABSTAIN: [ # _] ABSENT: [ # _] The undersigned, John Gioia, Board Chair, of Applicant, does hereby attest and certify that the foregoing is a true and full copy of a resolution of the governing body adopted at a duly convened meeting on the date above -mentioned, and that the resolution has not been altered, amended, or repealed. SIGNATURE: ________________________ DATE: _____________________ NAME: _____________________________ TITLE: _____________________ [NOTICE AND INSTRUCTIONS APPEAR ON THE FOLLOWING PAGE] NOTICE AND INSTRUCTIONS 1. Notice. The Department is providing this template Authorizing Resolution as informational guidance only. The Department encourages each Applicant to consult with professional legal counsel during the development of its own formal, legally binding statement that it is authorized to apply to and participate in the Homekey Program. a. Please note, however, that any limitations or conditions on the authority of the signatory or signatories to execute the Application or the Homekey Documents may result in the Department rejecting the Authorizing Resolution. 2. Accuracy, Verification. The Department will verify that this Authorizing Resolution comports with the legal authority and composition of Applicant’s governing body. Applicant must timely notify the Department, in writing, of any factors that limit its ability to provide an Authorizing Resolution which is materially in line with this template. 3. Dollar Amounts of Grant Awards. The Department recommends identifying an authorized dollar amount that is at least double the anticipated award (based on current formula calculations). Award amounts are subject to change. If Applicant is ultimately awarded an amount in excess of the amount identified in the Authorizing Resolution, the Department will require a new Authorizing Resolution from Applicant before execution of a Standard Agreement. 4. Authorized Signatory or Signatories, Designee. Applicant, as a state, regional, or local public entity, may designate an authorized signatory by title only. In addition, Applicant may authorize multiple signatories, so long as there is clarifying language as to whether the signatories are authorized to execute the Homekey Documents individually or collectively. In addition, Applicant may authorize a designee of the authorized signatory to execute the Homekey Documents. In such case, Applicant must append a supporting document (e.g., memorandum, meeting notes of official action), which indicates the name and title of the designee who is authorized to legally bind the governing body. 5. Vote Count. Please fill out the field by every voting category (i.e., Ayes, Nayes, Abstain, Absent). If none, please indicate zero (0) for that field. The vote count must comport with the legal authority and membership of the Applicant’s governing body. 6. Certification of Authorizing Resolution. The individual who certifies the Authorizing Resolution cannot also be authorized to execute the Homekey Documents on behalf of Applicant. THE BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY, CALIFORNIA and for Special Districts, Agencies and Authorities Governed by the Board Adopted this Resolution on 05/16/2023 by the following vote: AYE:5 John Gioia Candace Andersen Diane Burgis Ken Carlson Federal D. Glover NO: ABSENT: ABSTAIN: RECUSE: Resolution No. 2023/178 IN THE MATTER OF: A RESOLUTION OF THE GOVERNING BODY OF CONTRA COSTA COUNTY AUTHORIZING APPLICATION TO AND PARTICIPATION IN THE HOMEKEY PROGRAM. WHEREAS: The California Department of Housing and Community Development (“Department”) has issued a Notice of Funding Availability, dated March 29, 2023 (“NOFA”), for the Homekey Program (“Homekey” or “Program”). The Department has issued the NOFA for Homekey grant funds pursuant to Health and Safety Code section 50675.1.3 (Assem. Bill No. 140 (2021-2022 Reg. Sess.), § 20.). A. CONTRA COSTA HEALTH SERVICES on behalf of CONTRA COSTA COUNTY (“Applicant”) desires to apply for Homekey grant funds. Therefore, Applicant is submitting an application for Homekey funds (“Application”) to the Department for review and consideration. B. The Department is authorized to administer Homekey pursuant to the Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675) of Part 2 of Division 31 of the Health and Safety Code). Homekey funding allocations are subject to the terms and conditions of the NOFA, the Application, the Department-approved STD 213, Standard Agreement (“Standard Agreement”), and all other legal requirements of the Homekey Program. C. THEREFORE, IT IS RESOLVED THAT: 1. Applicant is hereby authorized and directed to submit an Application to the Department in response to the NOFA, and to apply for Homekey grant funds in a total amount not to exceed $16,000,000.00. 2. If the Application is approved, Applicant is hereby authorized and directed to enter into, execute, and deliver a Standard Agreement in a total amount not to exceed $16,000,000.00, any and all other documents required or deemed necessary or appropriate by the Department and County Counsel to secure the Homekey funds from the Department and to participate in the Homekey Program, and all amendments thereto (collectively, the “Homekey Documents”). 3. Applicant acknowledges and agrees that it shall be subject to the terms and conditions specified in the Standard Agreement, and that the NOFA and Application will be incorporated in the Standard Agreement by reference and made a part thereof. Any and all activities, expenditures, information, and timelines represented in the Application are enforceable through the Standard Agreement. Funds are to be used for the allowable expenditures and activities identified in the Standard Agreement. 4. Christy Saxton, Health, Housing and Homeless Services Director, is authorized to execute the Application and the Homekey Documents on behalf of Applicant for participation in the Homekey Program, subject to County Counsel approval as to form. Contact: Christy Saxton, 925-608-6700 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: L Walker, M Wilhelm RECOMMENDATION(S): ADOPT Resolution No. 2023/178 authorizing the Health Services Director, or designee, to submit an application to the California Department of Housing and Community Development (HCD), accept Homekey program funding in an amount not to exceed $16,000,000, and enter into any amendments with HCD as required by the State for funding, subject to County Counsel approval, to provide supportive housing and support services to persons in Contra Costa County experiencing homelessness through June 30, 2026. FISCAL IMPACT: There is no matching contribution required by the State; however, bonus funding is available for applications that include matching funds. Any cost above the State contribution would be the obligation of the County, and the Department will ensure there is no impact to the County’s General Fund. BACKGROUND: The HCD announced the release of this Notice of Funding Availability (NOFA) for approximately $736 million in Homekey program funds. Building on the success of both Project Roomkey and the first two rounds of Homekey, this significant investment continues a statewide effort APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Christy Saxton, 925-608-6700 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: L Walker, M Wilhelm C. 18 To:Board of Supervisors From:Anna Roth, Health Services Director Date:May 16, 2023 Contra Costa County Subject:Adopt Resolution to apply for and participate in the Homekey Program with the California Department of Housing and Community Development BACKGROUND: (CONT'D) to sustain and rapidly expand housing for persons experiencing homelessness or At Risk of Homelessness, and who are, thereby, disproportionately impacted by and at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases. Of the $736 million in Homekey funding, $435 million is derived from the Coronavirus State Fiscal Recovery Fund (CSFRF) established by the federal American Rescue Plan Act of 2021 (ARPA) (Public Law 117-2) and $301 million is State General Fund. The $301 million in State General Fund money is intended to supplement the acquisition of, and to provide initial operating subsidies for, Homekey sites to promote Project feasibility. Homekey is an opportunity for state, regional, and Local Public Entities to develop a broad range of housing types, including but not limited to hotels, motels, hostels, single-family homes and multifamily apartments, adult residential facilities, manufactured housing, and to convert commercial properties and other existing buildings to Permanent or Interim Housing for the Target Population. The Health, Housing and Homeless Services division is currently in a lease/purchase agreement for property at 2555 El Portal Drive in San Pablo. The site is currently under construction to provide 54 micro housing units to persons experiencing, or at risk of experiencing, homelessness. Homekey funds would be used for the purchase of this property to provide much needed additional housing. Approval of Resolution No. 2023/178 will allow the County to submit an application and receive up to $16,000,000 for the Homekey program for the period through June 30, 2026. CONSEQUENCE OF NEGATIVE ACTION: If the County does not submit an application to HCD for funds under the Homekey program, the County will not receive an amount up to $16,000,000 to negotiate for the purchase of properties that could provide permanent resources to the County’s homeless population. AGENDA ATTACHMENTS Resolution 2023/178 Final Resolution No. 2023/178 MINUTES ATTACHMENTS Signed Resolution No. 2023/178 RECOMMENDATION(S): APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract renewal with Orantes, LLC dba Tiny Toes Preschool, in an amount not to exceed $384,064 to provide Childcare services, for the period July 1, 2023 through June 30, 2024. FISCAL IMPACT: This contract is funded with 36% federal and 64% state funding, all of which have been budgeted in FY 2023-24. (CFDA 93.600). BACKGROUND: Contra Costa County receives funds from the U.S. Department of Health and Human Services, Administration for Children and Families (ACF) to provide Head Start and Early Head Start Child Care Partnership services to program eligible County residents. The Employment and Human Services Department, in turn, contracts with a number of community-based organizations to provide a wider distribution of services. This contract will provide 24 Head Start and 8 Early Head Start Child Care Partnership services as well as 14 state slots for children age birth to 3 years. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: L. Pacheco (925) 608-4963 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 19 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:Contract with Orantes, LLC dba Tiny Toes Preschool for childcare services, 2023-2024 CONSEQUENCE OF NEGATIVE ACTION: If not approved, the County will not be able to fund additional childcare slots in east Contra Costa County via the department’s community based agency partner Orantes, LLC. CHILDREN'S IMPACT STATEMENT: The Employment and Human Services Department Community Services Bureau supports three of Contra Costa County’s community outcomes: (1) Children Ready for and Succeeding in School; (3) Families that are Economically Self Sufficient; (4) Families that are Safe, Stable and Nurturing. RECOMMENDATION(S): APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract amendment, with Contra Costa Family Justice Alliance, to increase the payment limit by $132,480 to a new payment limit of $1,015,473 to continue to provide services for victims of interpersonal violence and their families for the period July 1, 2021 through September 30, 2024. FISCAL IMPACT: This contract is funded with 90% Blue Shield Foundation and 10% County General Fund, all of which is budgeted in FY2023-24. BACKGROUND: On June 22, 2021, the Board of Supervisors approved contract 20-375-0 (C.98). Under this contract, the Contra Costa Family Justice Alliance has successfully met deliverables of the Call to Action prevention work, funded by Blue Shield Foundation Grant for the period April 1, 2021 through March 30, 2023. On April 1, 2023, the Blue Shield of Foundation will renew funding to the Call to Action project to continue prevention efforts. This amendment is to ensure seamless continuation of effective services for victims of interpersonal violence through a coordinated client-centered, multidisciplinary service model. Contra Costa Family Justice Alliance provides support and assistance to increase the safety and empowerment of families within the County experiencing interpersonal violence and to coordinate access to multiple service providers and achieve specific measures outcomes. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: V. Kaplan, (925) 608-5052 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 20 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:Contract with Contra Costa Family Justice Alliance for Services to Victims of Interpersonal Violence CONSEQUENCE OF NEGATIVE ACTION: Employment and Human Services Department will be unable to provide valuable services to victims of interpersonal violence. CHILDREN'S IMPACT STATEMENT: This contract supports three of the five of Contra Costa County’s community outcomes: (3) “Families that are Economically Self-Sufficient” (4) "Families that are Safe, Stable and Nurturing"; and (5) "Communities that are Safe and Provide a High Quality of Life for Children and Families” by providing a safe environment where families affected by with interpersonal violence can receive appropriate support and follow-up services. CLERK'S ADDENDUM Speaker: Caller 6770. RECOMMENDATION(S): APPROVE and AUTHORIZE the Employment and Human Services Department Director, or designee, to execute a contract with Richmond Elementary School, including modified indemnification language, in an amount not to exceed $408,672 to provide State Preschool services for the term July 1, 2023 through June 30, 2024. FISCAL IMPACT: $408,672: 100% funded by State of California Department of Education (CDE) funds, all of which is budgeted in FY 2023-24. No County match. BACKGROUND: Contra Costa County receives funds from CDE to provide State Preschool services to program eligible County residents. In order to provide a wider distribution of services to County residents, the Department contracts with a number of community-based organizations. The State requires an indemnification clause with County subcontractors wherein the subcontractor holds harmless the State and its officers for any losses. Approval of this contract will allow the provision of childcare services for forty-eight (48) children enrolled in Richmond College Preparatory preschool programs. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: V. Kaplan, (925) 608-5052 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 21 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:2023-24 Richmond Elementary School State Preschool Childcare Services Contract CONSEQUENCE OF NEGATIVE ACTION: If not approved, County will not be able to more widely distribute childcare availability through partnership with community based agencies. CHILDREN'S IMPACT STATEMENT: The Employment & Human Services Department Community Services Bureau supports three of Contra Costa County’s community outcomes - Outcome 1: “Children Ready for and Succeeding in School,” Outcome 3: “Families that are Economically Self-sufficient,” and, Outcome 4: “Families that are Safe, Stable, and Nurturing.” These outcomes are achieved by offering comprehensive services, including high quality early childhood education, nutrition, and health services to low-income children throughout Contra Costa County. RECOMMENDATION(S): APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract with Meals on Wheels Diablo Region in an amount not to exceed $250,629 for the Senior Nutrition Infrastructure Grant Program for the period May 17, 2023 through December 31, 2023. FISCAL IMPACT: This contract is funded with 100% State revenues. The period May 17, 2023 through June 30, 2023 is budgeted in FY 2022-23 and period July 1, 2023 through December 31, 2023 is budgeted in FY 2023-24. BACKGROUND: California Department of Aging released PM 22-04 that invited Area Agencies on Aging (AAA) to submit a consolidated Request for Applications (RFA) on March 15, 2022. The AAA surveyed all Congregate Senior Nutrition Programs for responses to the funding opportunity. The consolidated proposal included responses for 41 projects. All projects were approved by the state. The consolidated response also received BOS approval 9/22/22. The approved projects included service provider, Meals on Wheels Diablo Region. Meals on Wheels Diablo Region will utilize the funding to purchase transit cargo vans, refrigerators, a vehicle and chairs to improve the infrastructure of their Senior Nutrition Program. On September 20, 2022, the Board of Supervisors approved Resolution No. 2022/320 (C.36) for EHSD to apply for and accept funding for Senior Nutrition Infrastructure (SNI). APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: V. Kaplan, (925) 608-5052 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 22 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:Contract with Meals on Wheels Diablo region for Home and Community Based Services (HCBS) Senior Nutrition Infrastructure Grant Program CONSEQUENCE OF NEGATIVE ACTION: Meals on Wheels Diablo Region would be unable to effectively serve members of their Senior Nutrition program. RECOMMENDATION(S): APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract with Paradise Adolescent Homes, Inc., in an amount not to exceed $1,192,436 to provide residential placement and supportive services for Contra Costa County dependent foster youth for the period July 1, 2023 through June 30, 2024. FISCAL IMPACT: This contract is funded with 70% State and 30% County General Fund, all of which is budgeted in FY 2023-2024. BACKGROUND: In 2017, the Continuum of Care Reform (CCR) was implemented to reduce placing foster children and youth in congregate care and to increase home based placements. The unintended consequences of CCR have greatly impacted child welfare abilities to find suitable placements for youth with acute, complex needs. Many facilities have shifted program models to serve youth with less intensive needs, closed, or are now facing staffing shortages impacting their ability to meet California State Licensing regulations, as well as, experiencing financial crisis. This leaves the County with diminished options for placement of the most vulnerable youth with the most severe behavioral and emotional needs. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: L. Pacheco (925) 608-4963 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 23 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:Contract with Paradise Adolescent Homes, Inc. for Enhanced Short Term Residential Placement Services for Foster Youth BACKGROUND: (CONT'D) Paradise Adolescent Homes, Inc. (Paradise) provides Enhanced Short-Term Residential Therapeutic Program (ESTRTP) housing and supportive services for youth who cannot live safely in a family home, do not qualify to be placed in a Regional Center facility and/or are denied entry into lower level placements due to acute, complex, emotional and behavioral needs. Paradise offers alternatives to repeated placement disruptions and provides additional staffing, supports and services to house, stabilize, provide treatment, and to ultimately transition youth to less restrictive placements, including with family, resource family homes, or lower level care licensed facilities as part of each youth’s long-term permanency plan. If approved, Paradise will provide 24 hour per day, 7 days per week residential treatment and supportive services to CFS referred foster youth. This program will provide intensive supportive services utilizing trained, licensed, qualified professionals. Services include, mental health services, trauma-informed intervention, clinical crisis support, psychiatric services, medication assessment/management, therapeutic services, substance abuse education/counseling, anger management, educational support and other enrichment groups (i.e., art, music, dance, cooking classes,). Paradise will collaborate with Contra Costa County Health Services to deliver Behavioral Health services as medically necessary and designated per individual youth treatment plans. In August 2022, in alignment with County policy, EHSD Children and Family Services issued Request For Interest (RFI) #746 for High Acuity Needs Youth Residential Placement. Three providers responded to RFI #746, one of which has subsequently closed their facility and withdrew their proposal. EHSD sought and received CAO approval on November 10, 2022 to waive the competitive bidding process as identified in Administrative Bulletin 613.0 and pursue contract with the remaining two respondents. Paradise was one of the two remaining providers that responded to RFI #746 and selected for contract. The second of the remaining providers that responded to RFI #746 and selected for contract is still in negotiations. CONSEQUENCE OF NEGATIVE ACTION: Contra Costa County will not be able to meet the placement and treatment needs of our high acuity, complex care dependent foster youth, and reduce safety risk and additional trauma for this most vulnerable population with severe emotional and behavioral needs. CHILDREN'S IMPACT STATEMENT: The services provided under this contract support all five of Contra Costa County’s community outcomes: (1) “Children Ready for and Succeeding in School”; (2) “Children and Youth Healthy and Preparing for Productive Adulthood”; (3) “Families that are Economically Self-Sufficient”; (4) "Families that are Safe, Stable and Nurturing"; and (5)"Communities that are Safe and Provide a High Quality of Life for Children and Families" by providing residential placement services to youth who have been denied placement and/or cannot live safely in lower level care. CLERK'S ADDENDUM Speaker: Caller 6770 RECOMMENDATION(S): APPROVE and AUTHORIZE the Health Services Director, or designee, to execute on behalf of the County Contract #77-485-1 with Coffey Communications, Inc., a corporation, in an amount not to exceed $220,000, to provide professional design, publication, distribution and technical assistance for Contra Costa Health Plan (CCHP) Member Services Health Sense Newsletter for the period from July 1, 2023 through June 30, 2024. FISCAL IMPACT: Approval of this contract will result in an annual contractual services expenditure of up to $220,000 and will be funded 100% by CCHP Enterprise Fund II. This contract does not include a rate increase. BACKGROUND: This contractor provides consultation and technical assistance, and hosts an automated system for producing, printing, and mailing CCHP Member Services Health Sense Newsletter. This contractor produces three (3) issues per year and twelve (12) versions which includes current and critical health information pertaining to health education topics and services to comply with California State mandates. Coffey Communications, Inc. was selected in December 2021 upon completion of the Request For Proposal (RFP) process and has been providing professional design, publication, distribution of the Health Sense Newsletter services since July 1, 2022. In September 2022, the County Administrator approved and the Purchasing Services Manager executed Contract #77-485 with Coffey Communications, Inc., in the amount of $200,000 for the provision of professional design, publication, distribution and technical assistance for CCHP Member Services Health Sense Newsletter for the period July 1, 2022 through June 30, 2023. Approval of Contract #77-485-1 will allow the contractor to continue providing professional design, publication, distribution and technical assistance through June 30, 2024. CONSEQUENCE OF NEGATIVE ACTION: If this contract is not approved, CCHP members will not receive the Health Sense Newsletter and CCHP will be out of compliance with California State mandates. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Sharron Mackey, 925-313-6104 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: L Walker, M Wilhelm C. 24 To:Board of Supervisors From:Anna Roth, Health Services Director Date:May 16, 2023 Contra Costa County Subject:Contract #77-485-1 with Coffey Communications, Inc. RECOMMENDATION(S): APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract with West Contra Costa County Meals on Wheels in an amount not to exceed $357,934 for Older Americans Act Title IIIC-2 Senior Nutrition Home Delivered Meals Program for the period July 1, 2023 through June 30, 2024. FISCAL IMPACT: This contract is funded with 35% State and 65% Federal Revenues, all of which is budgeted in FY 2023-24. (CFDA #93.045) BACKGROUND: The Older Americans Act (OAA) Title III-C Senior Nutrition Program plays an important role in the health of older adults that participate in the program. Specifically, the purposes of the Senior Nutrition Program are to (1) reduce hunger and food insecurity; (2) promote socialization of older individuals; and (3) promote the health and well-being of older individuals by helping them access services that encourage proper nutrition, prevent disease, and promote health. The program provides meals, nutrition education, nutrition-risk screening, and nutrition counseling to older adults. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: V. Kaplan, (925) 608-5052 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 25 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:Contract with West Contra Costa County Meals on Wheels for Title IIIC Senior Nutrition Program Services BACKGROUND: (CONT'D) West Contra Costa County Meals on Wheels (MOWWCCC) supports homebound elders to maintain their health and dignity, and to live independently in the comfort and security of their own homes. They also serve homebound senior citizens who have one or more chronic health conditions that prevent their preparing nutritious daily meals for themselves. CONSEQUENCE OF NEGATIVE ACTION: West Contra Costa County Meals on Wheels would be unable to effectively serve members of their Senior Nutrition program. RECOMMENDATION(S): APPROVE and AUTHORIZE the Purchasing Agent, or designee, to execute on behalf of the Health Services Director, a blanket purchase order with Beckman Coulter, Inc. in an amount of $250,000 for the period from May 15, 2023, through May 14, 2028 and a five-year reagent rental agreement for the use of AUTION MAX AX-4030 analyzers and purchase of reagents and supplies for the clinical laboratory at the Contra Costa Regional Medical Center (CCRMC). FISCAL IMPACT: Approval of this action will result in expenditures of up to $250,000 for a five-year period and will be funded by Hospital Enterprise Fund I revenues. BACKGROUND: The CCRMC Clinical Laboratory uses Beckman Coulter, Inc. an awarded supplier of reagents and supplies in the Vizient Group Purchase Organization (GPO) contract portfolio. The test strips for routine patient testing on the current Velocity analyzer have become obsolete. The Velocity analyzer will be replaced by two AUTION MAX AX-4030 analyzers, which offer high throughput of up to 22 samples per hour with continued loading of up to 100 samples. The contract has an accompanying a five-year reagent rental agreement with Beckman Coulter, Inc., which includes a minimum annual purchase commitment of approximately $34,062 in reagents and supplies for the use of the analyzers. The agreement specifies that Beckman Coulter, Inc. will have no liability to the County, or any third party for any special, indirect, incidental, consequential, exemplary or penal loss or damage of any nature. the reagent rental agreement is effective the latest date below a party’s signature through the end of five years after the first shipment of product specified in the agreement. Approval of this request will allow the Clinical Laboratory at CCRMC to use AUTION MAX AX-4030 analyzers and purchase reagents and supplies through May 14, 2028. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Karin Stryker, (925) 370-5141 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 26 To:Board of Supervisors From:Anna Roth, Health Services Director Date:May 16, 2023 Contra Costa County Subject:Blanket Purchase Order with Beckman Coulter, Inc. CONSEQUENCE OF NEGATIVE ACTION: If this purchase order is not approved, the CCRMC Clinical Laboratory will not have access to this vendor’s analyzers, patient testing supplies, and reagents, thus impacting patient safety and health. RECOMMENDATION(S): APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to enter into a contract with employers participating in the Contra Costa Works (CCWORKs) Subsidized Employment Program not to exceed a cumulative payment limit of $857,533 to reimburse employers up $21 per hour for those CalWORKs clients placed with employers during the period July 1, 2023 through June 30, 2024. FISCAL IMPACT: CCWORKs is funded with $857,533 CalWORKs Single Allocation, all of which is budgeted in FY 2023-24. (100% Federal). (CFDA #93.558) BACKGROUND: CCWORKs participants are screened into the program and placed with local employers (for-profit, non- profit, and public agencies) who have the responsibility for payroll, associated taxes, and workers compensation for the participant. The employers will hire eligible CCWORKS participants upon referral from EHSD and will train participants to appropriate skills for the position in which they are placed. CCWORKS participants will receive a wage comparable to those workers performing the same or like APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: V. Kaplan, (925) 608-5052 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 27 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:Contra Costa Works (CCWORKS) Subsidized Employment Program BACKGROUND: (CONT'D) duties at the worksite, for no less than $16 per hour but not to exceed $21 per hour. A worksite agreement will be signed with the employer for each participant that is placed at the employer's worksite. The Board of Supervisors approved the prior board order on May 10, 2022 (C.23). CONSEQUENCE OF NEGATIVE ACTION: Without approval, the CCWORKS program participants will have fewer employment opportunities. CHILDREN'S IMPACT STATEMENT: The worksite agreements support three of the five community outcomes: (3) Families that are Economically Self Sufficient; (4) Families that are Safe, Stable and Nurturing; and (5) Communities that are Safe and Provide a High Quality of Life for Children and Families. 863\11\3432810.3 1 PROMISSORY NOTE (Aspen Court HOPWA Loan) $600,000 Martinez, California June 1, 2023 FOR VALUE RECEIVED, the undersigned, Aspen Drive Housing, Inc., a California nonprofit public benefit corporation ("Borrower") hereby promises to pay to the order of the County of Contra Costa, a political subdivision of the State of California ("Holder"), the principal amount of Six Hundred Thousand Dollars ($600,000) plus interest thereon pursuant to Section 2 below. All capitalized terms used but not defined in this promissory note (the "Note") have the meanings set forth in the HOPWA Loan Agreement between Borrower and Holder of even date herewith (the "Loan Agreement"). 1. Borrower's Obligation. This Note evidences Borrower's obligation to repay Holder the principal amount of Six Hundred Thousand Dollars ($600,000) with interest, for the funds loaned to Borrower by Holder to finance the Rehabilitation pursuant to the Loan Agreement. 2. Interest. (a) Subject to the provisions of Subsection (b) below, the Loan will not accrue interest. (b) If an Event of Default occurs, interest will accrue on all amounts due under this Note at the Default Rate until such Event of Default is cured by Borrower or waived by Holder. 3. Term and Repayment Requirements. Principal and interest under this Note is due and payable as set forth in Section 2.7 of the Loan Agreement. The unpaid principal balance hereunder, together with accrued interest thereon, is due and payable no later than the expiration of the Term. 4. No Assumption. This Note is not assumable by the successors and assigns of Borrower without the prior written consent of Holder, except as provided in the Loan Agreement. 5. Security. This Note, with interest, is secured by the Deed of Trust. Upon execution, the Deed of Trust will be recorded in the official records of Contra Costa County, California. Upon recordation of the Deed of Trust, this Note will become nonrecourse to Borrower, pursuant to and except as provided in Section 2.8 of the Loan Agreement which Section 2.8 is hereby incorporated into this Note. The terms of the Deed of Trust are hereby incorporated into this Note and made a part hereof. 863\11\3432810.3 2 6. Terms of Payment. (a) Borrower shall make all payments due under this Note in currency of the United States of America to Holder at Department of Conservation and Development, 30 Muir Road, Martinez, CA 94553, Attention: Assistant Deputy Director, or to such other place as Holder may from time to time designate. (b) All payments on this Note are without expense to Holder. Borrower shall pay all costs and expenses, including re-conveyance fees and reasonable attorney's fees of Holder, incurred in connection with the enforcement of this Note and the release of any security hereof. (c) Notwithstanding any other provision of this Note, or any instrument securing the obligations of Borrower under this Note, if, for any reason whatsoever, the payment of any sums by Borrower pursuant to the terms of this Note would result in the payment of interest that exceeds the amount that Holder may legally charge under the laws of the State of California, then the amount by which payments exceed the lawful interest rate will automatically be deducted from the principal balance owing on this Note, so that in no event is Borrower obligated under the terms of this Note to pay any interest that would exceed the lawful rate. (d) The obligations of Borrower under this Note are absolute and Borrower waives any and all rights to offset, deduct or withhold any payments or charges due under this Note for any reason whatsoever. 7. Event of Default; Acceleration. (a) Upon the occurrence of an Event of Default, the entire unpaid principal balance, together with all interest thereon, and together with all other sums then payable under this Note and the Deed of Trust will, at the option of Holder, become immediately due and payable without further demand. (b) Holder's failure to exercise the remedy set forth in Subsection 7(a) above or any other remedy provided by law upon the occurrence of an Event of Default does not constitute a waiver of the right to exercise any remedy at any subsequent time in respect to the same or any other Event of Default. The acceptance by Holder of any payment that is less than the total of all amounts due and payable at the time of such payment does not constitute a waiver of the right to exercise any of the foregoing remedies or options at that time or at any subsequent time, or nullify any prior exercise of any such remedy or option, without the express consent of Holder, except as and to the extent otherwise provided by law. 8. Waivers. (a) Borrower hereby waives diligence, presentment, protest and demand, and notice of protest, notice of demand, notice of dishonor and notice of non-payment of this Note. Borrower expressly agrees that this Note or any payment hereunder may be extended from time to time, and that Holder may accept further security or release any security 863\11\3432810.3 3 for this Note, all without in any way affecting the liability of Borrower. (b) Any extension of time for payment of this Note or any installment hereof made by agreement of Holder with any person now or hereafter liable for payment of this Note must not operate to release, discharge, modify, change or affect the original liability of Borrower under this Note, either in whole or in part. 9. Miscellaneous Provisions. (a) All notices to Holder or Borrower are to be given in the manner and at the addresses set forth in the Loan Agreement, or to such addresses as Holder and Borrower may therein designate. (b) Borrower promises to pay all costs and expenses, including reasonable attorney's fees, incurred by Holder in the enforcement of the provisions of this Note, regardless of whether suit is filed to seek enforcement. (c) This Note is governed by the laws of the State of California. (d) The times for the performance of any obligations hereunder are to be strictly construed, time being of the essence. (e) The Loan Documents, of which this Note is a part, contain the entire agreement between the parties as to the Loan. This Note may not be modified except upon the written consent of the parties. signature on following page Signature page HOPWA Note 863\11\3432810.3 4 IN WITNESS WHEREOF, Borrower is executing this promissory note as of the day and year first above written. ASPEN DRIVE HOUSING, INC., a California nonprofit public benefit corporation, By: ____________________________ Daniel Sawislak, Executive Director 1 863\11\3435917.3 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: Contra Costa County Department of Conservation and Development 30 Muir Road Martinez, CA 94553 Attn: Assistant Deputy Director No fee document pursuant to Government Code Section 278393 and 27388.1 (SPACE ABOVE THIS LINE FOR RECORDER'S USE) SECOND AMENDMENT OF REGULATORY AGREEMENT (Aspen Court) THIS SECOND AMENDMENT OF REGULATORY AGREEMENT (the "Second Amendment") is dated June 1, 2023, and is by and between the County of Contra Costa, a political subdivision of the State of California (the "County"), and Aspen Drive Housing, Inc., a California nonprofit public benefit corporation ("Borrower"): RECITALS A. Borrower is the owner of that certain real property located at 121 Aspen Drive in the unincorporated area of Pacheco, County of Contra Costa, State of California, as more particularly described in Exhibit A (the "Property"). Borrower has constructed twelve (12) housing units (the "Units") on the Property, for rental to extremely low and very low and low income households (the "Development"). B. Pursuant to a loan agreement dated March 29, 1996, the County loaned Borrower Seven Hundred Fourteen Thousand Five Hundred Dollars ($714,500) (the "Original County Loan"). The Original County Loan was comprised of HOME Investment Partnerships Act funds and Housing Opportunities for Persons with AIDS Program ("HOPWA") funds. The Original County Loan was used to construct the Development. C. The Original County Loan is evidenced by (i) a HOME/HOPWA Loan Agreement between the County and Resources for Community Development ("RCD") dated March 29, 1996, as modified by that certain Modification Agreement dated June 1, 1996 recorded October 1, 1996 as Instrument No. 96-183124 (the "Modification Agreement"), as amended by that certain First Amendment of HOME/HOPWA Loan Agreement dated January 14, 1998 (the "First Amendment"), as further modified by that certain Subordination and Modification Agreement dated September 1, 1998 and recorded on September 10, 1998 as 2 863\11\3435917.3 Instrument No. 98-0218947 (the "Subordination and Modification", as assigned to Borrower pursuant to an Assignment and Assumption Agreement dated September 8, 1998, and recorded against the Property September 10, 1998, as Instrument No. 98-0218946 (the "Assignment Agreement"), (ii) two promissory notes dated March 29, 1996, executed by RCD for the benefit of the County, as modified and amended by the Modification Agreement, First Amendment, and Subordination and Modification, and as assigned to Borrower pursuant to the Assignment Agreement, (iii) a Deed of Trust with Assignment of Rents, Security Agreement, and Fixture Filing dated March 29, 1996, executed by RCD for the benefit of the County and recorded against the Property on March 29, 1996, as Instrument No. 96-96-58012, as modified and amended by the Modification Agreement, that certain Modification of Deed of Trust dated January 14, 1998 and recorded against the Property July 8, 1998, as Instrument No. 98-0157029, and the Subordination and Modification, and as assigned to Borrower pursuant to the Assignment Agreement, and (iv) a Regulatory Agreement between RCD and the County dated March 29, 1996, and recorded against the Property on March 29, 1996, as Instrument No. 96- 58013, as modified and amended by the Modification Agreement, that certain the First Amendment to Regulatory Agreement dated January 14, 1998, and recorded against the Property July 8, 1998, as Instrument No. 98-157028, and the Subordination and Modification, and as assigned to Borrower pursuant to the Assignment Agreement (the "Original County Regulatory Agreement"). D. Defined terms used but not defined in this Second Amendment are as defined in the Original County Regulatory Agreement. E. Borrower intends to rehabilitate the Development. To assist with the rehabilitation of the Development, Borrower desires to borrow an additional Six Hundred Thousand Dollars ($600,000) of HOPWA funds (the "New County HOPWA Loan") from the County. F. As consideration for the New County HOPWA Loan and in accordance with 24 C.F.R. Part 574 (the HOPWA regulations), the County requires the term of the Original County Regulatory Agreement to be extended to correspond with the expiration date of the documents evidencing the New County HOPWA Loan. G. Concurrently with the execution of this Second Amendment: (i) the parties are executing a HOPWA Loan Agreement that sets forth the terms of the New County HOPWA Loan, (ii) Borrower is executing a Promissory Note, which evidences Borrower's obligation to repay the New County HOPWA Loan, and (iii) Borrower is executing a Deed of Trust with Assignment of Rents, Security Agreement, and Fixture Filing, which encumbers the Property to secure repayment of the New County HOPWA Loan. The parties therefore agree to amend the Original County Regulatory Agreement as follows: AGREEMENT 1. Term. Section 17 of the Regulatory Agreement is deleted in its entirety and replaced with the following: 3 863\11\3435917.3 17. TERM OF AGREEMENT. This Agreement commences upon execution and will remain in full force and effect until the later of (i) January 1, 2078, and (ii) the expiration of the HUD Assistance Documents." 2. Full Force and Effect. Except as set forth in this Second Amendment, the Original County Regulatory Agreement remains unmodified and in full force and effect. 3. Counterparts. This Second Amendment may be signed in counterpart and, if signed in counterpart, each counterpart signature is an original signature, and all the counterparts together constitute one and the same agreement. [signatures on following page] 4 863\11\3435917.3 The parties are signing this Second Amendment as of the day and year first above written. BORROWER: ASPEN DRIVE HOUSING, INC., a California nonprofit public benefit corporation, By: ____________________________ Daniel Sawislak, Executive Director APPROVED AS TO FORM: Thomas L. Geiger Chief Assistant County Counsel By: Kathleen Andrus Deputy County Counsel COUNTY: COUNTY OF CONTRA COSTA, a political subdivision of the State of California By: ____________________________ John Kopchik Director, Department of Conservation and Development 5 863\11\3435917.3 STATE OF CALIFORNIA ) ) COUNTY OF __________________ ) On ____________________, before me, ___________________________, Notary Public, personally appeared ______________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ______________________________________ Name: ______________________________ Notary Public A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 6 863\11\3435917.3 STATE OF CALIFORNIA ) ) COUNTY OF __________________ ) On ____________________, before me, ___________________________, Notary Public, personally appeared ______________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ______________________________________ Name: ______________________________ Notary Public A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. A-1 863\11\3435917.3 EXHIBIT A Legal Description of the Property Real Property in the unincorporated area of Pacheco, County of Contra Costa, State of California, described as follows: PORTION OF THE RANCHO LAS JUNTAS, DESCRIBED AS FOLLOWS: BEGINNING AT A POINT IN THE CENTER LINE OF THE OLD COUNTY ROAD FROM MARTINEZ TO PACHECO WHICH BEARS ALONG SAID CENTER LINE NORTH 23° 34' 30" WEST, 50.57 FEET, AND NORTH 30° 18' WEST, 71.5 FEET FROM THE NORTHEAST CORNER OF THE 9.13 ACRE PARCEL OF LAND DESCRIBED IN THE DEED FROM CAROLINE M. CAVANAGH, ET AL, TO MARY L. LAWRENCE, ET AL, DATED SEPTEMBER 23, 1930 AND RECORDED SEPTEMBER 30, 1930, IN VOLUME 258 OF OFFICIAL RECORDS, AT PAGE 41, SAID NORTHEAST CORNER BEING AT THE INTERSECTION OF THE CENTER LINE OF SAID COUNTY ROAD WITH THE SOUTH LINE OF DALTON LANE EXTENDED EASTERLY; THENCE FROM SAID POINT OF BEGINNING, NORTH 30° 18' WEST, ALONG THE CENTER LINE OF SAID COUNTY ROAD, 139.21 FEET; THENCE SOUTH 77° 21' WEST ALONG A FENCE LINE, 167.18 FEET TO AN IRON PIPE; THENCE SOUTH 12° 06' EAST ALONG A FENCE LINE, 112.69 FEET; THENCE NORTH 76° 15' 30" EAST, 50.96 FEET TO AN IRON PIPE; THENCE SOUTH 12° 58' EAST ALONG A FENCE LINE, 23.36 FEET TO AN IRON PIPE; THENCE NORTH 76° 29' EAST ALONG A FENCE LINE, 159.4 FEET TO THE POINT OF BEGINNING. APN: 125-140-006-3 863\11\3432811.3 1 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: Contra Costa County Department of Conservation and Development 30 Muir Road Martinez, CA 94553 Attn: Assistant Deputy Director No fee for recording pursuant to Government Code Sections 27383 and 27388.1 DEED OF TRUST WITH ASSIGNMENT OF RENTS, SECURITY AGREEMENT, AND FIXTURE FILING (Aspen Court) THIS DEED OF TRUST WITH ASSIGNMENT OF RENTS, SECURITY AGREEMENT, AND FIXTURE FILING ("Deed of Trust") is made as of June 1, 2023, by and among Aspen Drive Housing, Inc., a California nonprofit public benefit corporation ("Trustor"), Doma Title of California, Inc. ("Trustee"), and the County of Contra Costa, a political subdivision of the State of California ("Beneficiary"). FOR GOOD AND VALUABLE CONSIDERATION, including the indebtedness herein recited and the trust herein created, the receipt of which is hereby acknowledged, Trustor hereby irrevocably grants, transfers, conveys and assigns to Trustee, IN TRUST, WITH POWER OF SALE, for the benefit and security of Beneficiary, under and subject to the terms and conditions hereinafter set forth, Trustor's fee interest in the property located in the County of Contra Costa, State of California, that is described in the attached Exhibit A, incorporated herein by this reference (the "Property"). TOGETHER WITH all interest, estates or other claims, both in law and in equity which Trustor now has or may hereafter acquire in the Property and the rents; TOGETHER WITH all easements, rights-of-way and rights used in connection therewith or as a means of access thereto, including (without limiting the generality of the foregoing) all tenements, hereditaments and appurtenances thereof and thereto; TOGETHER WITH any and all buildings and improvements of every kind and description now or hereafter erected thereon, and all property of Trustor now or hereafter affixed to or placed upon the Property; TOGETHER WITH all building materials and equipment now or hereafter delivered to said property and intended to be installed therein; TOGETHER WITH all right, title and interest of Trustor, now owned or hereafter acquired, in and to any land lying within the right-of-way of any street, open or proposed, 863\11\3432811.3 2 adjoining the Property, and any and all sidewalks, alleys and strips and areas of land adjacent to or used in connection with the Property; TOGETHER WITH all estate, interest, right, title, other claim or demand, of every nature, in and to such property, including the Property, both in law and in equity, including, but not limited to, all deposits made with or other security given by Trustor to utility companies, the proceeds from any or all of such property, including the Property, claims or demands with respect to the proceeds of insurance in effect with respect thereto, which Trustor now has or may hereafter acquire, any and all awards made for the taking by eminent domain or by any proceeding or purchase in lieu thereof of the whole or any part of such property, including without limitation, any awards resulting from a change of grade of streets and awards for severance damages to the extent Beneficiary has an interest in such awards for taking as provided in Paragraph 4.1 herein; TOGETHER WITH all of Trustor's interest in all articles of personal property or fixtures now or hereafter attached to or used in and about the building or buildings now erected or hereafter to be erected on the Property which are necessary to the complete and comfortable use and occupancy of such building or buildings for the purposes for which they were or are to be erected, including all other goods and chattels and personal property as are ever used or furnished in operating a building, or the activities conducted therein, similar to the one herein described and referred to, and all renewals or replacements thereof or articles in substitution therefor, whether or not the same are, or will be, attached to said building or buildings in any manner; and TOGETHER WITH all of Trustor's interest in all building materials, fixtures, equipment, work in process and other personal property to be incorporated into the Property; all goods, materials, supplies, fixtures, equipment, machinery, furniture and furnishings, signs and other personal property now or hereafter appropriated for use on the Property, whether stored on the Property or elsewhere, and used or to be used in connection with the Property; all rents, issues and profits, and all inventory, accounts, accounts receivable, contract rights, general intangibles, chattel paper, instruments, documents, notes drafts, letters of credit, insurance policies, insurance and condemnation awards and proceeds, trade names, trademarks and service marks arising from or related to the Property and any business conducted thereon by Trustor; all replacements, additions, accessions and proceeds; and all books, records and files relating to any of the foregoing. All of the foregoing, together with the Property, is herein referred to as the "Security." To have and to hold the Security together with acquittances to the Trustee, its successors and assigns forever. FOR THE PURPOSE OF SECURING THE FOLLOWING OBLIGATIONS (together, the "Secured Obligations"): A. Payment to Beneficiary of all sums at any time owing under or in connection with (i) the Note (defined in Section 1.5 below) until paid in full or cancelled, and (ii) any other amounts owing under the Loan Documents (defined in Section 1.4 below). Principal and other payments are due and payable as provided in the Note or other Loan Documents, as applicable. 863\11\3432811.3 3 The Note and all its terms are incorporated herein by reference, and this conveyance secures any and all extensions thereof, however evidenced; B. Payment of any sums advanced by Beneficiary to protect the Security pursuant to the terms and provisions of this Deed of Trust following a breach of Trustor's obligation to advance said sums and the expiration of any applicable cure period, with interest thereon as provided herein; C. Performance of every obligation, covenant or agreement of Trustor contained herein and in the Loan Documents; and D. All modifications, extensions and renewals of any of the Secured Obligations (including without limitation, (i) modifications, extensions or renewals at a different rate of interest, or (ii) deferrals or accelerations of the required principal payment dates or interest payment dates or both, in whole or in part), however evidenced, whether or not any such modification, extension or renewal is evidenced by a new or additional promissory note or notes. AND TO PROTECT THE SECURITY OF THIS DEED OF TRUST, TRUSTOR COVENANTS AND AGREES: ARTICLE 1 DEFINITIONS In addition to the terms defined elsewhere in this Deed of Trust, the following terms have the following meanings in this Deed of Trust: Section 1.1 The term "Default Rate" means the lesser of the maximum rate permitted by law and ten percent (10%) per annum. Section 1.2 The term "Loan" means the loan made by Beneficiary to Trustor in the amount of Six Hundred Thousand Dollars ($600,000). Section 1.3 The term "Loan Agreement" means that certain HOPWA Loan Agreement between Trustor and Beneficiary, of even date herewith, as such may be amended from time to time, providing for the Beneficiary to loan to Trustor the Loan. Section 1.4 The term "Loan Documents" means this Deed of Trust, the Note, the Loan Agreement, the Regulatory Agreement, and any other agreements, debt, loan or security instruments between Trustor and Beneficiary relating to the Loan. Section 1.5 The term "Note" means the promissory note of even date herewith, evidencing Trustor's obligation to repay Beneficiary the Loan, executed by Trustor in favor of Beneficiary, as it may be amended or restated, the payment of which is secured by this Deed of Trust. Section 1.6 The term "Principal" means the amounts required to be paid under the Note. 863\11\3432811.3 4 Section 1.7 The term "Regulatory Agreement" means that certain Regulatory Agreement between Resources for Community Development ("RCD") and Beneficiary dated March 29, 1996, and recorded March 29, 1996, as Instrument No. 96-58013, as modified by that certain Modification Agreement dated June 1, 1996, and recorded October 1, 1996, as Instrument No. 96-183124, as amended by that certain First Amendment to Regulatory Agreement dated January 14, 1998, and recorded as Instrument No. 98-157028, as assigned to Trustor pursuant to that certain Assignment and Assumption Agreement among RCD, Trustor, and Beneficiary dated September 8, 1998, and recorded September 10, 1998, as Instrument No. 98-0218946, as modified by that certain Subordination and Modification Agreement dated September 1, 1998, and recorded on September 10, 1998, as Instrument No. 98-0218947, as further amended by a Second Amendment to Regulatory Agreement of even date herewith that is being recorded concurrently herewith. ARTICLE 2 MAINTENANCE AND MODIFICATION OF THE PROPERTY AND SECURITY Section 2.1 Maintenance and Modification of the Property by Trustor. The Trustor agrees that at all times prior to full payment and performance of the Secured Obligations, the Trustor will, at the Trustor's own expense, maintain, preserve and keep the Security or cause the Security to be maintained and preserved in good condition. The Trustor will from time to time make or cause to be made all repairs, replacements and renewals deemed proper and necessary by it. The Beneficiary has no responsibility in any of these matters or for the making of improvements or additions to the Security. Trustor agrees to pay fully and discharge (or cause to be paid fully and discharged) all claims for labor done and for material and services furnished in connection with the Security, diligently to file or procure the filing of a valid notice of cessation upon the event of a cessation of labor on the work or construction on the Security for a continuous period of thirty (30) days or more, and to take all other reasonable steps to forestall the assertion of claims of lien against the Security or any part thereof. Trustor irrevocably appoints, designates and authorizes Beneficiary as its agent (said agency being coupled with an interest) with the authority, but without any obligation, to file for record any notices of completion or cessation of labor or any other notice that Beneficiary deems necessary or desirable to protect its interest in and to the Security or the Loan Documents; provided, however, that Beneficiary exercises its rights as agent of Trustor only in the event that Trustor fails to take, or fails to diligently continue to take, those actions as hereinbefore provided. Upon demand by Beneficiary, Trustor shall make or cause to be made such demands or claims as Beneficiary specifies upon laborers, materialmen, subcontractors or other persons who have furnished or claim to have furnished labor, services or materials in connection with the Security. Nothing herein contained requires Trustor to pay any claims for labor, materials or services which Trustor in good faith disputes and is diligently contesting provided that Trustor shall, within thirty (30) days after the filing of any claim of lien, record in the Office of the 863\11\3432811.3 5 Recorder of Contra Costa County, a surety bond in an amount 1 and 1/2 times the amount of such claim item to protect against a claim of lien. Section 2.2 Granting of Easements. Trustor may not grant easements, licenses, rights-of-way or other rights or privileges in the nature of easements with respect to any property or rights included in the Security except those required or desirable for installation and maintenance of public utilities including, without limitation, water, gas, electricity, sewer, telephone and telegraph, or those required by law, and as approved, in writing, by Beneficiary. Section 2.3 Assignment of Rents. As part of the consideration for the indebtedness evidenced by the Note, Trustor hereby absolutely and unconditionally assigns and transfers to Beneficiary all the rents and revenues of the Property including those now due, past due, or to become due by virtue of any lease or other agreement for the occupancy or use of all or any part of the Property, regardless of to whom the rents and revenues of the Property are payable, subject to the rights of senior lenders that are approved by the Beneficiary pursuant to the Loan Agreement. Trustor hereby authorizes Beneficiary or Beneficiary's agents to collect the aforesaid rents and revenues and hereby directs each tenant of the Property to pay such rents to Beneficiary or Beneficiary's agents; provided, however, that prior to written notice given by Beneficiary to Trustor of the breach by Trustor of any covenant or agreement of Trustor in the Loan Documents, Trustor shall collect and receive all rents and revenues of the Property as trustee for the benefit of Beneficiary and Trustor to apply the rents and revenues so collected to the Secured Obligations with the balance, so long as no such breach has occurred and is continuing, to the account of Trustor, it being intended by Trustor and Beneficiary that this assignment of rents constitutes an absolute assignment and not an assignment for additional security only. Upon delivery of written notice by Beneficiary to Trustor of the breach by Trustor of any covenant or agreement of Trustor in the Loan Documents, and without the necessity of Beneficiary entering upon and taking and maintaining full control of the Property in person, by agent or by a court-appointed receiver, Beneficiary shall immediately be entitled to possession of all rents and revenues of the Property as specified in this Section 2.3 as the same becomes due and payable, including but not limited to, rents then due and unpaid, and all such rents will immediately upon delivery of such notice be held by Trustor as trustee for the benefit of Beneficiary only; provided, however, that the written notice by Beneficiary to Trustor of the breach by Trustor contains a statement that Beneficiary exercises its rights to such rents. Trustor agrees that commencing upon delivery of such written notice of Trustor's breach by Beneficiary to Trustor, each tenant of the Property shall make such rents payable to and pay such rents to Beneficiary or Beneficiary's agents on Beneficiary's written demand to each tenant therefor, delivered to each tenant personally, by mail or by delivering such demand to each rental unit, without any liability on the part of said tenant to inquire further as to the existence of a default by Trustor. Trustor hereby covenants that Trustor has not executed any prior assignment of said rents, other than as security to lenders approved by Beneficiary pursuant to the Loan Agreement, that Trustor has not performed, and will not perform, any acts or has not executed and will not execute, any instrument which would prevent Beneficiary from exercising its rights under this 863\11\3432811.3 6 Section 2.3, and that at the time of execution of this Deed of Trust, there has been no anticipation or prepayment of any of the rents of the Property for more than two (2) months prior to the due dates of such rents. Trustor covenants that Trustor will not hereafter collect or accept payment of any rents of the Property more than two (2) months prior to the due dates of such rents. Trustor further covenants that, so long as the Secured Obligations are outstanding, Trustor will execute and deliver to Beneficiary such further assignments of rents and revenues of the Property as Beneficiary may from time to time request. Upon Trustor's breach of any covenant or agreement of Trustor in the Loan Documents, Beneficiary may in person, by agent or by a court-appointed receiver, regardless of the adequacy of Beneficiary's security, enter upon and take and maintain full control of the Property in order to perform all acts necessary and appropriate for the operation and maintenance thereof including, but not limited to, the execution, cancellation or modification of leases, the collection of all rents and revenues of the Property, the making of repairs to the Property and the execution or termination of contracts providing for the management or maintenance of the Property, all on such terms as are deemed best to protect the security of this Deed of Trust. In the event Beneficiary elects to seek the appointment of a receiver for the Property upon Trustor's breach of any covenant or agreement of Trustor in this Deed of Trust, Trustor hereby expressly consents to the appointment of such receiver. Beneficiary or the receiver will be entitled to receive a reasonable fee for so managing the Property. All rents and revenues collected subsequent to delivery of written notice by Beneficiary to Trustor of the breach by Trustor of any covenant or agreement of Trustor in the Loan Documents are to be applied first to the costs, if any, of taking control of and managing the Property and collecting the rents, including, but not limited to, attorney's fees, receiver's fees, premiums on receiver's bonds, costs of repairs to the Property, premiums on insurance policies, taxes, assessments and other charges on the Property, and the costs of discharging any obligation or liability of Trustor as lessor or landlord of the Property and then to the sums secured by this deed of Trust. Beneficiary or the receiver is to have access to the books and records used in the operation and maintenance of the Property and will be liable to account only for those rents actually received. Beneficiary is not liable to Trustor, anyone claiming under or through Trustor or anyone having an interest in the Property by reason of anything done or left undone by Beneficiary under this Section 2.3. If the rents of the Property are not sufficient to meet the costs, if any, of taking control of and managing the Property and collecting the rents, any funds expended by Beneficiary for such purposes will become part of the Secured Obligations pursuant to Section 3.3 hereof. Unless Beneficiary and Trustor agree in writing to other terms of payment, such amounts are payable by Trustor to Beneficiary upon notice from Beneficiary to Trustor requesting payment thereof and will bear interest from the date of disbursement at the rate stated in Section 3.3. If the Beneficiary or the receiver enters upon and takes and maintains control of the Property, neither that act nor any application of rents as provided herein will cure or waive any default under this Deed of Trust or invalidate any other right or remedy available to Beneficiary under applicable law or under this Deed of Trust. This assignment of rents of the Property will terminate at such time as this Deed of Trust ceases to secure the Secured Obligations. 863\11\3432811.3 7 ARTICLE 3 TAXES AND INSURANCE; ADVANCES Section 3.1 Taxes, Other Governmental Charges and Utility Charges. Trustor shall pay, or cause to be paid, prior to the date of delinquency, all taxes, assessments, charges and levies imposed by any public authority or utility company that are or may become a lien affecting the Security or any part thereof; provided, however, that Trustor is not required to pay and discharge any such tax, assessment, charge or levy so long as (a) the legality thereof is promptly and actively contested in good faith and by appropriate proceedings, and (b) Trustor maintains reserves adequate to pay any liabilities contested pursuant to this Section 3.1. With respect to taxes, special assessments or other similar governmental charges, Trustor shall pay such amount in full prior to the attachment of any lien therefor on any part of the Security; provided, however, if such taxes, assessments or charges can be paid in installments, Trustor may pay in such installments. Except as provided in clause (b) of the first sentence of this paragraph, the provisions of this Section 3.1 may not be construed to require that Trustor maintain a reserve account, escrow account, impound account or other similar account for the payment of future taxes, assessments, charges and levies. In the event that Trustor fails to pay any of the items required by this Section to be paid by Trustor, Beneficiary may (but is under no obligation to) pay the same, after the Beneficiary has notified the Trustor of such failure to pay and the Trustor fails to fully pay such items within seven (7) business days after receipt of such notice. Any amount so advanced therefor by Beneficiary, together with interest thereon from the date of such advance at the maximum rate permitted by law, will become part of the Secured Obligations secured hereby, and Trustor agrees to pay all such amounts. Section 3.2 Provisions Respecting Insurance. Trustor agrees to provide insurance conforming in all respects to that required under the Loan Documents during the course of construction and following completion, and at all times until all amounts secured by this Deed of Trust have been paid, all Secured Obligations secured hereunder have been fulfilled, and this Deed of Trust has been reconveyed. All such insurance policies and coverages are to be maintained at Trustor's sole cost and expense. Certificates of insurance for all of the above insurance policies, showing the same to be in full force and effect, are to be delivered to the Beneficiary upon demand therefor at any time prior to Trustor's satisfaction of the Secured Obligations. Section 3.3 Advances. In the event the Trustor fails to maintain the full insurance coverage required by this Deed of Trust or fails to keep the Security in accordance with the Loan Documents, the Beneficiary, after at least seven (7) days prior notice to Trustor, may (but is under no obligation to) (i) take out the required policies of insurance and pay the premiums on the same, and (ii) make any repairs or replacements that are necessary and provide for payment thereof. All 863\11\3432811.3 8 amounts so advanced by the Beneficiary will become part of the Secured Obligations (together with interest as set forth below) and will be secured hereby, which amounts the Trustor agrees to pay on the demand of the Beneficiary, and if not so paid, will bear interest from the date of the advance at the Default Rate. ARTICLE 4 DAMAGE, DESTRUCTION OR CONDEMNATION Section 4.1 Awards and Damages. Subject to the rights of senior lenders, all judgments, awards of damages, settlements and compensation made in connection with or in lieu of (1) the taking of all or any part of or any interest in the Property by or under assertion of the power of eminent domain, (2) any damage to or destruction of the Property or any part thereof by insured casualty, and (3) any other injury or damage to all or any part of the Property (collectively, the "Funds") are hereby assigned to and are to be paid to the Beneficiary by a check made payable to the Beneficiary. The Beneficiary is authorized and empowered (but not required) to collect and receive any Funds and is authorized to apply them in whole or in part to any indebtedness or obligation secured hereby, in such order and manner as the Beneficiary determines at its sole option, subject to the provisions of Section 4.8 of the Loan Agreement regarding restoration of improvements following damage or destruction. The Beneficiary is entitled to settle and adjust all claims under insurance policies provided under this Deed of Trust and may deduct and retain from the proceeds of such insurance the amount of all expenses incurred by it in connection with any such settlement or adjustment. Application of all or any part of the Funds collected and received by the Beneficiary or the release thereof will not cure or waive any default under this Deed of Trust. ARTICLE 5 AGREEMENTS AFFECTING THE PROPERTY; FURTHER ASSURANCES; PAYMENT OF PRINCIPAL AND INTEREST Section 5.1 Other Agreements Affecting Property. Trustor shall duly and punctually perform all terms, covenants, conditions and agreements binding upon it under the Loan Documents and any other agreement of any nature whatsoever now or hereafter involving or affecting the Security or any part thereof. Section 5.2 Agreement to Pay Attorneys' Fees and Expenses. In the event of any Event of Default (as defined in Section 7.1) hereunder, and if the Beneficiary employs attorneys or incurs other expenses for the collection of amounts due hereunder or the enforcement of performance or observance of an obligation or agreement on the part of the Trustor in this Deed of Trust, the Trustor agrees that it will, on demand therefor, pay to the Beneficiary the reasonable fees of such attorneys and such other reasonable expenses so incurred by the Beneficiary. Any such amounts paid by the Beneficiary will be added to the Secured Obligations, and will bear interest from the date such expenses are incurred at the Default Rate. 863\11\3432811.3 9 Section 5.3 Payment of the Principal. The Trustor shall pay to the Beneficiary the Principal and any other payments as set forth in the Note in the amounts and by the times set out therein. Section 5.4 Personal Property. To the maximum extent permitted by law, the personal property subject to this Deed of Trust is deemed to be fixtures and part of the real property and this Deed of Trust constitutes a fixtures filing under the California Commercial Code. As to any personal property not deemed or permitted to be fixtures, this Deed of Trust constitutes a security agreement under the California Commercial Code. Section 5.5 Financing Statement. The Trustor shall execute and deliver to the Beneficiary such financing statements pursuant to the appropriate statutes, and any other documents or instruments as are required to convey to the Beneficiary a valid perfected security interest in the Security. The Trustor shall perform all acts that the Beneficiary reasonably requests so as to enable the Beneficiary to maintain a valid perfected security interest in the Security in order to secure the payment of the Note in accordance with its terms. The Beneficiary is authorized to file a copy of any such financing statement in any jurisdiction(s) as it deems appropriate from time to time in order to protect the security interest established pursuant to this instrument. Section 5.6 Operation of the Security. The Trustor shall operate the Security (and, in case of a transfer of a portion of the Security subject to this Deed of Trust, the transferee shall operate such portion of the Security) in full compliance with the Loan Documents. Section 5.7 Inspection of the Security. At any and all reasonable times upon seventy-two (72) hours' notice, the Beneficiary and its duly authorized agents, attorneys, experts, engineers, accountants and representatives, may inspect the Security, without payment of charges or fees. Section 5.8 Nondiscrimination. The Trustor herein covenants by and for itself, its heirs, executors, administrators, and assigns, and all persons claiming under or through them, that there will be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, age, sex, sexual orientation, marital status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Security, nor will the Trustor itself or any person claiming under or through it establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees in the Security. The foregoing covenants run with the land. 863\11\3432811.3 10 ARTICLE 6 HAZARDOUS WASTE Trustor shall keep and maintain the Property (including, but not limited to, soil and ground water conditions) in compliance with all Hazardous Materials Laws and shall not cause or permit the Property to be in violation of any Hazardous Materials Law (defined below). Trustor may not cause or permit the use, generation, manufacture, storage or disposal of on, under, or about the Property or transportation to or from the Property of (i) any substance, material, or waste that is petroleum, petroleum-related, or a petroleum by-product, asbestos or asbestos-containing material, polychlorinated biphenyls, flammable, explosive, radioactive, freon gas, radon, or a pesticide, herbicide, or any other agricultural chemical, and (ii) any waste, substance or material defined as or included in the definition of "hazardous substances," "hazardous wastes," "hazardous materials," "toxic materials", "toxic waste", "toxic substances," or words of similar import under any Hazardous Materials Law (collectively referred to hereinafter as "Hazardous Materials"), except such of the foregoing as may be customarily used in construction or operation of a multi-family residential development. Trustor shall immediately advise Beneficiary in writing if at any time it receives written notice of: (i) any and all enforcement, cleanup, removal or other governmental or regulatory actions instituted, completed or threatened against Trustor or the Property pursuant to any applicable federal, state or local laws, ordinances, or regulations relating to any Hazardous Materials, health, industrial hygiene, environmental conditions, or the regulation or protection of the environment, and all amendments thereto as of this date and to be added in the future and any successor statute or rule or regulation promulgated thereto ("Hazardous Materials Law"); (ii) all claims made or threatened by any third party against Trustor or the Property relating to damage, contribution, cost recovery compensation, loss or injury resulting from any Hazardous Materials (the matters set forth in clauses (i) and (ii) above are hereinafter referred to as "Hazardous Materials Claims"); and (iii) Trustor's discovery of any occurrence or condition on any real property adjoining or in the vicinity of the Property that could cause the Property or any part thereof to be subject to any restrictions on the ownership, occupancy, transferability or use of the Property under any Hazardous Materials Law including but not limited to the provisions of California Health and Safety Code, Section 25220 et seq., or any regulation adopted in accordance therewith. Beneficiary has the right to join and participate in, as a party if it so elects, and be represented by counsel acceptable to Beneficiary (or counsel of its own choice if a conflict exists with Trustor) in, any legal proceedings or actions initiated in connection with any Hazardous Materials Claims, and to have its reasonable attorneys' fees in connection therewith paid by Trustor. Trustor shall indemnify and hold harmless Beneficiary and its boardmembers, directors, officers, employees, agents, successors and assigns from and against any loss, damage, cost, fine, penalty, judgment, award, settlement, expense or liability, directly or indirectly arising out of or attributable to: (i) any actual or alleged past or present violation of any Hazardous Materials Law; (ii) any Hazardous Materials Claim; (iii) any actual or alleged past or present use, 863\11\3432811.3 11 generation, manufacture, storage, release, threatened release, discharge, disposal, transportation, or presence of Hazardous Materials on, under, or about the Property; (iv) any investigation, cleanup, remediation, removal, or restoration work of site conditions of the Property relating to Hazardous Materials (whether on the Property or any other property); and (v) the breach of any representation of warranty by or covenant of Trustor in this Article, and Section 5.1(l) of the Loan Agreement. Such indemnity must include, without limitation: (x) all consequential damages; (y) the costs of any required or necessary investigation, repair, cleanup or detoxification of the Property and the preparation and implementation of any closure, remedial or other required plans; and (z) all reasonable costs and expenses incurred by Beneficiary in connection with clauses (x) and (y), including but not limited to reasonable attorneys' fees and consultant fees. This indemnification applies whether or not any government agency has issued a cleanup order. Losses, claims, costs, suits, liability, and expenses covered by this indemnification provision include, but are not limited to: (1) losses attributable to diminution in the value of the Property; (2) loss or restriction of use of rentable space on the Property; (3) adverse effect on the marketing of any rental space on the Property; and (4) penalties and fines levied by, and remedial or enforcement actions of any kind issued by any regulatory agency (including but not limited to the costs of any required testing, remediation, repair, removal, cleanup or detoxification of the Property and surrounding properties). This obligation to indemnify will survive reconveyance of this Deed of Trust and will not be diminished or affected in any respect as a result of any notice, disclosure, knowledge, if any, to or by Beneficiary of Hazardous Materials. Without Beneficiary's prior written consent, which may not be unreasonably withheld, Trustor may not take any remedial action in response to the presence of any Hazardous Materials on, under or about the Property, nor enter into any settlement agreement, consent decree, or other compromise in respect to any Hazardous Material Claims, which remedial action, settlement, consent decree or compromise might, in Beneficiary's reasonable judgment, impairs the value of the Beneficiary's security hereunder; provided, however, that Beneficiary's prior consent is not necessary in the event that the presence of Hazardous Materials on, under, or about the Property either poses an immediate threat to the health, safety or welfare of any individual or is of such a nature that an immediate remedial response is necessary and it is not reasonably possible to obtain Beneficiary's consent before taking such action, provided that in such event Trustor notifies Beneficiary as soon as practicable of any action so taken. Beneficiary agrees not to withhold its consent, where such consent is required hereunder, if (i) a particular remedial action is ordered by a court of competent jurisdiction; (ii) Trustor will or may be subjected to civil or criminal sanctions or penalties if it fails to take a required action; (iii) Trustor establishes to the reasonable satisfaction of Beneficiary that there is no reasonable alternative to such remedial action which would result in less impairment of Beneficiary's security hereunder; or (iv) the action has been agreed to by Beneficiary. The Trustor hereby acknowledges and agrees that (i) this Article is intended as the Beneficiary's written request for information (and the Trustor's response) concerning the environmental condition of the Property as required by California Code of Civil Procedure Section 726.5, and (ii) each representation and warranty in this Deed of Trust or any of the other Loan Documents (together with any indemnity applicable to a breach of any such representation and warranty) with respect to the environmental condition of the property is intended by the 863\11\3432811.3 12 Beneficiary and the Trustor to be an "environmental provision" for purposes of California Code of Civil Procedure Section 736. In the event that any portion of the Property is determined to be "environmentally impaired" (as that term is defined in California Code of Civil Procedure Section 726.5(e)(3) or to be an "affected parcel" (as that term is defined in California Code of Civil Procedure Section 726.5(e)(1), then, without otherwise limiting or in any way affecting the Beneficiary's or the Trustee's rights and remedies under this Deed of Trust, the Beneficiary may elect to exercise its rights under California Code of Civil Procedure Section 726.5(a) to (1) waive its lien on such environmentally impaired or affected portion of the Property and (2) exercise (a) the rights and remedies of an unsecured creditor, including reduction of its claim against the Trustor to judgment, and (b) any other rights and remedies permitted by law. For purposes of determining the Beneficiary's right to proceed as an unsecured creditor under California Code of Civil Procedure Section 726.5(a), the Trustor will be deemed to have willfully permitted or acquiesced in a release or threatened release of hazardous materials, within the meaning of California Code of Civil Procedure Section 726.5(d)(1), if the release or threatened release of hazardous materials was knowingly or negligently caused or contributed to by any lessee, occupant, or user of any portion of the Property and the Trustor knew or should have known of the activity by such lessee, occupant, or user which caused or contributed to the release or threatened release. All costs and expenses, including (but not limited to) attorneys' fees, incurred by the Beneficiary in connection with any action commenced under this paragraph, including any action required by California Code of Civil Procedure Section 726.5(b) to determine the degree to which the Property is environmentally impaired, plus interest thereon at the Default Rate until paid, will be added to the indebtedness secured by this Deed of Trust and will be due and payable to the Beneficiary upon its demand made at any time following the conclusion of such action. ARTICLE 7 EVENTS OF DEFAULT AND REMEDIES Section 7.1 Events of Default. The following are events of default following the expiration of any applicable notice and cure periods (each an "Event of Default"): (i) failure to make any payment to be paid by Trustor under the Loan Documents; (ii) failure to observe or perform any of Trustor's other covenants, agreements or obligations under the Loan Documents, including, without limitation, the provisions concerning discrimination; (iii) failure to make any payment or observe or perform any of Trustor's other covenants, agreements, or obligations under any Secured Obligations, which default is not cured within the times and in the manner provided therein; and (iv) failure to make any payments or observe or perform any of Trustor's other covenants, agreements or obligations under any other debt instrument or regulatory agreement secured by the Property, which default is not cured within the time and in the manner provided therein. Section 7.2 Acceleration of Maturity. If an Event of Default has occurred and is continuing, then at the option of the Beneficiary, the amount of any payment related to the Event of Default and all unpaid Secured Obligations are immediately due and payable, and no omission on the part of the Beneficiary to 863\11\3432811.3 13 exercise such option when entitled to do so may be construed as a waiver of such right. Section 7.3 The Beneficiary's Right to Enter and Take Possession. If an Event of Default has occurred and is continuing, the Beneficiary may: (a) Either in person or by agent, with or without bringing any action or proceeding, or by a receiver appointed by a court, and without regard to the adequacy of its security, enter upon the Property and take possession thereof (or any part thereof) and of any of the Security, in its own name or in the name of Trustee, and do any acts that it deems necessary or desirable to preserve the value or marketability of the Property, or part thereof or interest therein, increase the income therefrom or protect the security thereof. The entering upon and taking possession of the Security will not cure or waive any Event of Default or Notice of Sale (as defined in Section 7.3(c), below) hereunder or invalidate any act done in response to such Event of Default or pursuant to such Notice of Sale, and, notwithstanding the continuance in possession of the Security, Beneficiary will be entitled to exercise every right provided for in this Deed of Trust, or by law upon occurrence of any Event of Default, including the right to exercise the power of sale; (b) Commence an action to foreclose this Deed of Trust as a mortgage, appoint a receiver, or specifically enforce any of the covenants hereof; (c) Deliver to Trustee a written declaration of an Event of Default and demand for sale, and a written notice of default and election to cause Trustor's interest in the Security to be sold ("Notice of Sale"), which notice Trustee or Beneficiary shall cause to be duly filed for record in the Official Records of Contra Costa County; or (d) Exercise all other rights and remedies provided herein, in the instruments by which the Trustor acquires title to any Security, or in any other document or agreement now or hereafter evidencing, creating or securing the Secured Obligations. Section 7.4 Foreclosure By Power of Sale. Should the Beneficiary elect to foreclose by exercise of the power of sale herein contained, the Beneficiary shall deliver to the Trustee the Notice of Sale and shall deposit with Trustee this Deed of Trust which is secured hereby (and the deposit of which will be deemed to constitute evidence that the Secured Obligations are immediately due and payable), and such receipts and evidence of any expenditures made that are additionally secured hereby as Trustee may require. (a) Upon receipt of the Notice of Sale from the Beneficiary, Trustee shall cause to be recorded, published and delivered to Trustor such Notice of Sale as is then required by law and by this Deed of Trust. Trustee shall, without demand on Trustor, after the lapse of that amount of time as is then required by law and after recordation of such Notice of Sale as required by law, sell the Security, at the time and place of sale set forth in the Notice of Sale, whether as a whole or in separate lots or parcels or items, as Trustee deems expedient and in 863\11\3432811.3 14 such order as it determines, unless specified otherwise by the Trustor according to California Civil Code Section 2924g(b), at public auction to the highest bidder, for cash in lawful money of the United States payable at the time of sale. Trustee shall deliver to such purchaser or purchasers thereof its good and sufficient deed or deeds conveying the property so sold, but without any covenant or warranty, express or implied. The recitals in such deed or any matters of facts will be conclusive proof of the truthfulness thereof. Any person, including, without limitation, Trustor, Trustee or Beneficiary, may purchase at such sale. (b) After deducting all reasonable costs, fees and expenses of Trustee, including costs of evidence of title in connection with such sale, Trustee shall apply the proceeds of sale to payment of: (i) the unpaid Principal amount of the Note; (ii) all other Secured Obligations owed to Beneficiary under the Loan Documents; (iii) all other sums then secured hereby; and (iv) the remainder, if any, to Trustor. (c) Trustee may postpone sale of all or any portion of the Property by public announcement at such time and place of sale, and from time to time thereafter, and without further notice make such sale at the time fixed by the last postponement, or may, in its discretion, give a new Notice of Sale. Section 7.5 Receiver. If an Event of Default occurs and is continuing, Beneficiary, as a matter of right and without further notice to Trustor or anyone claiming under the Security, and without regard to the then value of the Security or the interest of Trustor therein, may apply to any court having jurisdiction to appoint a receiver or receivers of the Security (or a part thereof), and Trustor hereby irrevocably consents to such appointment and waives further notice of any application therefor. Any such receiver or receivers will have all the usual powers and duties of receivers in like or similar cases, and all the powers and duties of Beneficiary in case of entry as provided herein, and will continue as such and exercise all such powers until the date of confirmation of sale of the Security, unless such receivership is sooner terminated. Section 7.6 Remedies Cumulative. No right, power or remedy conferred upon or reserved to the Beneficiary by this Deed of Trust is intended to be exclusive of any other right, power or remedy, but each and every such right, power and remedy will be cumulative and concurrent and will be in addition to any other right, power and remedy given hereunder or now or hereafter existing at law or in equity. Section 7.7 No Waiver. (a) No delay or omission of the Beneficiary to exercise any right, power or remedy accruing upon any Event of Default will exhaust or impair any such right, power or remedy, and may not be construed to be a waiver of any such Event of Default or acquiescence therein; and every right, power and remedy given by this Deed of Trust to the Beneficiary may be exercised from time to time and as often as may be deemed expeditious by the Beneficiary. Beneficiary's express or implied consent to breach, or waiver of, any obligation of the Trustor hereunder will not be deemed or construed to be a consent to any subsequent breach, or further waiver, of such obligation or of any other obligations of the Trustor hereunder. Failure on the 863\11\3432811.3 15 part of the Beneficiary to complain of any act or failure to act or to declare an Event of Default, irrespective of how long such failure continues, will not constitute a waiver by the Beneficiary of its right hereunder or impair any rights, power or remedies consequent on any Event of Default by the Trustor. (b) If the Beneficiary (i) grants forbearance or an extension of time for the payment or performance of any Secured Obligation, (ii) takes other or additional security or the payment of any sums secured hereby, (iii) waives or does not exercise any right granted in the Loan Documents, (iv) releases any part of the Security from the lien of this Deed of Trust, or otherwise changes any of the terms, covenants, conditions or agreements in the Loan Documents, (v) consents to the granting of any easement or other right affecting the Security, or (vi) makes or consents to any agreement subordinating the lien hereof, any such act or omission will not release, discharge, modify, change or affect the original liability under this Deed of Trust, or any other obligation of the Trustor or any subsequent purchaser of the Security or any part thereof, or any maker, co-signer, endorser, surety or guarantor (unless expressly released); nor will any such act or omission preclude the Beneficiary from exercising any right, power or privilege herein granted or intended to be granted in any Event of Default then made or of any subsequent Event of Default, nor, except as otherwise expressly provided in an instrument or instruments executed by the Beneficiary, will the lien of this Deed of Trust be altered thereby. Section 7.8 Suits to Protect the Security. The Beneficiary has the power to (a) institute and maintain such suits and proceedings as it may deem expedient to prevent any impairment of the Security and the rights of the Beneficiary as may be unlawful or any violation of this Deed of Trust, (b) preserve or protect its interest (as described in this Deed of Trust) in the Security, and (c) restrain the enforcement of or compliance with any legislation or other governmental enactment, rule or order that may be unconstitutional or otherwise invalid, if the enforcement for compliance with such enactment, rule or order would impair the Security thereunder or be prejudicial to the interest of the Beneficiary. Section 7.9 Trustee May File Proofs of Claim. In the case of any receivership, insolvency, bankruptcy, reorganization, arrangement, adjustment, composition or other proceedings affecting the Trustor, its creditors or its property, the Beneficiary, to the extent permitted by law, will be entitled to file such proofs of claim and other documents as may be necessary or advisable in order to have the claims of the Beneficiary allowed in such proceedings and for any additional amount that becomes due and payable by the Trustor hereunder after such date. Section 7.10 Waiver. The Trustor waives presentment, demand for payment, notice of dishonor, notice of protest and nonpayment, protest, notice of interest on interest and late charges, and diligence in taking any action to collect any Secured Obligations or in proceedings against the Security, in connection with the delivery, acceptance, performance, default, endorsement or guaranty of this Deed of Trust. 863\11\3432811.3 16 ARTICLE 8 MISCELLANEOUS Section 8.1 Amendments. This Deed of Trust cannot be waived, changed, discharged or terminated orally, but only by an instrument in writing signed by Beneficiary and Trustor. Section 8.2 Reconveyance by Trustee. Upon written request of Beneficiary stating that all Secured Obligations have been paid or forgiven, and all obligations under the Loan Documents have been performed in full, and upon surrender of this Deed of Trust to Trustee for cancellation and retention, and upon payment by Trustor of Trustee's reasonable fees, Trustee shall reconvey the Security to Trustor, or to the person or persons legally entitled thereto. Section 8.3 Notices. If at any time after the execution of this Deed of Trust it becomes necessary or convenient for one of the parties hereto to serve any notice, demand or communication upon the other party, such notice, demand or communication must be in writing and is to be served personally or by depositing the same in the registered United States mail, return receipt requested, postage prepaid and (1) if intended for Beneficiary is to be addressed to: County of Contra Costa Department of Conservation and Development 30 Muir Road Martinez, CA 94553 Attention: Assistant Deputy Director and (2) if intended for Trustor is to be addressed to: Aspen Drive Housing, Inc. 2220 Oxford Street Berkeley, CA 94704 Attention: Executive Director Any notice, demand or communication will be deemed given, received, made or communicated on the date personal delivery is effected or, if mailed in the manner herein specified, on the delivery date or date delivery is refused by the addressee, as shown on the return receipt. Either party may change its address at any time by giving written notice of such change to Beneficiary or Trustor as the case may be, in the manner provided herein, at least ten (10) days prior to the date such change is desired to be effective. Section 8.4 Successors and Joint Trustors. Where an obligation created herein is binding upon Trustor, the obligation also applies to and binds any transferee or successors in interest. Where the terms of the Deed of Trust have the 863\11\3432811.3 17 effect of creating an obligation of the Trustor and a transferee, such obligation will be deemed to be a joint and several obligation of the Trustor and such transferee. Where Trustor is more than one entity or person, all obligations of Trustor will be deemed to be a joint and several obligation of each and every entity and person comprising Trustor. Section 8.5 Captions. The captions or headings at the beginning of each Section hereof are for the convenience of the parties and are not a part of this Deed of Trust. Section 8.6 Invalidity of Certain Provisions. Every provision of this Deed of Trust is intended to be severable. In the event any term or provision hereof is declared to be illegal or invalid for any reason whatsoever by a court or other body of competent jurisdiction, such illegality or invalidity will not affect the balance of the terms and provisions hereof, which terms and provisions will remain binding and enforceable. If the lien of this Deed of Trust is invalid or unenforceable as to any part of the debt, or if the lien is invalid or unenforceable as to any part of the Security, the unsecured or partially secured portion of the debt, and all payments made on the debt, whether voluntary or under foreclosure or other enforcement action or procedure, will be considered to have been first paid or applied to the full payment of that portion of the debt that is not secured or partially secured by the lien of this Deed of Trust. Section 8.7 Governing Law. This Deed of Trust is governed by the laws of the State of California. Section 8.8 Gender and Number. In this Deed of Trust the singular includes the plural and the masculine includes the feminine and neuter and vice versa, if the context so requires. Section 8.9 Deed of Trust, Mortgage. Any reference in this Deed of Trust to a mortgage also refers to a deed of trust and any reference to a deed of trust also refers to a mortgage. Section 8.10 Actions. Trustor shall appear in and defend any action or proceeding purporting to affect the Security. Section 8.11 Substitution of Trustee. Beneficiary may from time to time substitute a successor or successors to any Trustee named herein or acting hereunder to execute this Trust. Upon such appointment, and without conveyance to the successor trustee, the latter will be vested with all title, powers, and duties conferred upon any Trustee herein named or acting hereunder. Each such appointment and substitution is to be made by written instrument executed by Beneficiary, containing reference to 863\11\3432811.3 18 this Deed of Trust and its place of record, which, when duly recorded in the proper office of the county or counties in which the Property is situated, will be conclusive proof of proper appointment of the successor trustee. Section 8.12 Statute of Limitations. The pleading of any statute of limitations as a defense to any and all obligations secured by this Deed of Trust is hereby waived to the full extent permissible by law. Section 8.13 Acceptance by Trustee. Trustee accepts this Trust when this Deed of Trust, duly executed and acknowledged, is made public record as provided by law. Except as otherwise provided by law, the Trustee is not obligated to notify any party hereto of a pending sale under this Deed of Trust or of any action or proceeding in which Trustor, Beneficiary, or Trustee is a party unless brought by Trustee. [signature on following page] Signature page County Deed of Trust 863\11\3432811.3 19 IN WITNESS WHEREOF, Trustor has executed this Deed of Trust as of the day and year first above written. ASPEN DRIVE HOUSING, INC., a California nonprofit public benefit corporation By: ____________________________ Daniel Sawislak, Executive Director 863\11\3432811.3 STATE OF CALIFORNIA ) ) COUNTY OF __________________ ) On ____________________, before me, ___________________________, Notary Public, personally appeared ______________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ______________________________________ Name: ______________________________ Notary Public A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. A-1 863\11\3432811.3 EXHIBIT A LEGAL DESCRIPTION Real Property in the unincorporated area of Pacheco, County of Contra Costa, State of California, described as follows: PORTION OF THE RANCHO LAS JUNTAS, DESCRIBED AS FOLLOWS: BEGINNING AT A POINT IN THE CENTER LINE OF THE OLD COUNTY ROAD FROM MARTINEZ TO PACHECO WHICH BEARS ALONG SAID CENTER LINE NORTH 23° 34' 30" WEST, 50.57 FEET, AND NORTH 30° 18' WEST, 71.5 FEET FROM THE NORTHEAST CORNER OF THE 9.13 ACRE PARCEL OF LAND DESCRIBED IN THE DEED FROM CAROLINE M. CAVANAGH, ET AL, TO MARY L. LAWRENCE, ET AL, DATED SEPTEMBER 23, 1930 AND RECORDED SEPTEMBER 30, 1930, IN VOLUME 258 OF OFFICIAL RECORDS, AT PAGE 41, SAID NORTHEAST CORNER BEING AT THE INTERSECTION OF THE CENTER LINE OF SAID COUNTY ROAD WITH THE SOUTH LINE OF DALTON LANE EXTENDED EASTERLY; THENCE FROM SAID POINT OF BEGINNING, NORTH 30° 18' WEST, ALONG THE CENTER LINE OF SAID COUNTY ROAD, 139.21 FEET; THENCE SOUTH 77° 21' WEST ALONG A FENCE LINE, 167.18 FEET TO AN IRON PIPE; THENCE SOUTH 12° 06' EAST ALONG A FENCE LINE, 112.69 FEET; THENCE NORTH 76° 15' 30" EAST, 50.96 FEET TO AN IRON PIPE; THENCE SOUTH 12° 58' EAST ALONG A FENCE LINE, 23.36 FEET TO AN IRON PIPE; THENCE NORTH 76° 29' EAST ALONG A FENCE LINE, 159.4 FEET TO THE POINT OF BEGINNING. APN: 125-140-006-3 1 863\11\3432812.5 HOPWA LOAN AGREEMENT (Aspen Court) This HOPWA Loan Agreement (the "Agreement") is dated June 1, 2023, and is between the County of Contra Costa, a political subdivision of the State of California (the "County"), and Aspen Drive Housing, Inc., a California nonprofit public benefit corporation ("Borrower"). RECITALS A. Defined terms used but not defined in these recitals are as defined in Article 1 of this Agreement. B. The County has received Housing Opportunities for Persons with AIDS Program funds from HUD pursuant to the HOPWA Program ("HOPWA Funds"). The HOPWA Funds are available to be administered by the County, as a subrecipient of the City of Oakland, which is the representative for the Alameda-Contra Costa County Eligible Metropolitan Area. The HOPWA Funds must be used by the County in accordance with 24 C.F.R. Section 574 et seq (the "HOPWA Regulations"). C. Borrower is the owner of that certain real property located at 121 Aspen Drive in the unincorporated area of Pacheco, County of Contra Costa, State of California, as more particularly described in Exhibit A (the "Property"). Borrower has constructed twelve (12) housing units on the Property for rental to extremely low and very low and low income households (the "Development"). The Development, as well as all landscaping, roads and parking spaces on the Property and any additional improvements on the Property, are the "Improvements". D. The County previously made a loan to Borrower in the amount of Seven Hundred Fourteen Thousand Five Hundred Dollars ($714,500) (the "Original County Loan") consisting of Three Hundred Eighty Thousand Dollars ($380,000) of HOME Investment Partnerships Act funds, and Three Hundred Thirty-Four Thousand Five Hundred Dollars ($334,500) in HOPWA Funds to facilitate the construction of the Development. E. In addition to the Original County Loan, Borrower was granted One Million One Hundred Twenty-Four Thousand Three Hundred Dollars ($1,124,300) from the U.S. Department of Housing and Urban Development ("HUD") pursuant to Section 811 of the National Affordable Housing Act (the "Section 811 Grant"). The Section 811 Grant is evidence by other documents including the following (collectively, the "HUD Assistance Documents"): (i) that certain Use Agreement dated September 1, 1998, and recorded on September 10, 1998, as Instrument No. 98-0218943, (ii) that certain Regulatory Agreement dated September 1, 1998, and recorded on September 10, 1998, as Instrument No. 98-0218945, (iii) that certain Promissory Note dated September 1, 1998, in the amount of the Section 811 Grant, and (iv) that certain Deed of Trust dated September 1, 1998, and recorded on September 10, 1998, as Instrument No. 98-0218944. F. Borrower desires to borrow from the County up to an additional Six Hundred Thousand Dollars ($600,000) of HOPWA Funds (the "Loan"), of which, One Hundred Sixty- Seven Thousand Dollars ($167,000) (the "Initial Funding Amount") is fiscal year 2018 HOPWA 2 863\11\3432812.5 Funds that must be expended by the County not later than June 30, 2023 (the "Initial Expenditure Date"), G. The Original County Loan is evidenced by that certain Regulatory Agreement between Resources for Community Development ("RCD") and the County dated March 29, 1996, and recorded March 29, 1996, as Instrument No. 96-58013, as modified by that certain Modification Agreement dated June 1, 1996, recorded October 1, 1996 as Instrument No. 96- 183124, as amended by that certain First Amendment to Regulatory Agreement dated January 14, 1998, and recorded as Instrument No. 98-157028, as assigned to Borrower pursuant to that certain Assignment and Assumption Agreement among RCD, Borrower, and the County dated September 8, 1998, recorded September 10, 1998, as Instrument No. 98-0218946, as modified by that certain Subordination and Modification Agreement dated September 1, 1998, and recorded on September 10, 1998, as Instrument No. 98-0218947 (collectively, the "Original Regulatory Agreement"). H. Concurrently with entering into this Agreement, (i) the County and Borrower are amending the Regulatory Agreement to make its term consistent with the term of this Agreement, and (ii) the Borrower is executing the Note and the Deed of Trust. I. The Loan is being made to finance the predevelopment and construction costs associated with the rehabilitation of the Improvements (the "Rehabilitation"). The Rehabilitation is intended to maintain the supply of affordable rental housing in Contra Costa County. Due to the assistance provided Borrower through the Loan, the County continues to designate eleven (11) units as HOPWA-assisted unit (the "HOPWA Assisted Units"), as set forth in the Regulatory Agreement. J. In accordance with the National Environmental Policy Act of 1969, as amended (42 U.S.C. 4321-4347) ("NEPA"), the County has completed and approved all applicable environmental review for the activities proposed to be undertaken under this Agreement. The parties therefore agree as follows: AGREEMENT ARTICLE 1 DEFINITIONS AND EXHIBITS Section 1.1 Definitions. The following terms have the following meanings: (a) "Accessibility Requirements" has the meaning set forth in Section 3.9 below. (b) "Agreement" has the meaning set forth in the first paragraph of this Agreement. (c) "Annual Operating Budget" has the meaning set forth in Section 4.3. 3 863\11\3432812.5 (d) "Approved Rehabilitation Budget" means the proforma budget for the Rehabilitation, including sources and uses of funds, as approved by the County, and attached hereto and incorporated herein as Exhibit B. (e) "Approved Rehabilitation Schedule" means the schedule for performing the Rehabilitation, as approved by the County, and attached hereto and incorporated herein as Exhibit C. (f) "Approved Financing" means all of the loans, grants, equity and operating subsidy obtained by Borrower and approved by the County for the purpose of financing the Rehabilitation. (g) "Bid Package" means the package of documents Borrower's general contractor is required to distribute to potential bidders as part of the process of selecting subcontractors for the Construction Activities. The Bid Package is to include the following: (i) an invitation to bid; (ii) copy of the proposed construction contract; (iii) a form of bid guarantee that is reasonably acceptable to the County that guarantees, at a minimum, an amount equal to five percent (5%) of the bid price; and (iv) all Construction Plans. (h) "Borrower" has the meaning set forth in the first paragraph of this Agreement. (i) "CEQA" has the meaning set forth in Section 2.6(c). (j) "City" means the City of Pacheco, California, a municipal corporation. (k) "Commencement of the Construction Activities " has the meaning set forth in Section 3.5. (l) "Construction Activities" means the activities described under the heading "Construction Portion" on the Approved Rehabilitation Budget and under the Heading "Project Milestones- Construction" on the Approved Rehabilitation Schedule. (m) "Construction Plans" means all construction documentation that Borrower and Borrower's general contractor use in the Construction Activities and include, but are not limited to, final architectural drawings, landscaping plans and specifications, final elevations, building plans and specifications (also known as "working drawings"). (n) "County" has the meaning set forth in the first paragraph of this Agreement. (o) "Deed of Trust" means the Deed of Trust with Assignment of Rents, Security Agreement, and Fixture Filing of even date herewith among Borrower, as trustor, Doma Title of California, Inc., as trustee, and the County, as beneficiary, that encumbers the Property to secure repayment of the Loan and performance of the covenants of the Loan Documents. (p) "Default Rate" means the lesser of the maximum rate permitted by law and ten percent (10%) per annum. 4 863\11\3432812.5 (q) "Development" has the meaning set forth in Paragraph C of the Recitals. (r) "Event of Default" has the meaning set forth in Section 6.1. (s) "Hazardous Materials" means: (i) any substance, material, or waste that is petroleum, petroleum-related, or a petroleum by-product, asbestos or asbestos-containing material, polychlorinated biphenyls, flammable, explosive, radioactive, freon gas, radon, or a pesticide, herbicide, or any other agricultural chemical, and (ii) any waste, substance or material defined as or included in the definition of "hazardous substances," "hazardous wastes," "hazardous materials," "toxic materials", "toxic waste", "toxic substances," or words of similar import under any Hazardous Materials Law. (t) "Hazardous Materials Claims" means with respect to the Property (i) any and all enforcement, cleanup, removal or other governmental or regulatory actions instituted, completed or threatened against Borrower or the Property pursuant to any Hazardous Materials Law; and (ii) all claims made or threatened by any third party against Borrower or the Property relating to damage, contribution, cost recovery compensation, loss or injury resulting from any Hazardous Materials. (u) "Hazardous Materials Law" means any federal, state or local laws, ordinances, or regulations relating to any Hazardous Materials, health, industrial hygiene, environmental conditions, or the regulation or protection of the environment, and all amendments thereto as of this date and to be added in the future and any successor statute or rule or regulation promulgated thereto. (v) "HOPWA" means the Housing Opportunities for Persons with AIDS Program Pursuant to the AIDS Housing Opportunity Act (42 USC 12901 et seq.), as amended by the Housing and Community Development Act of 1992 (42 USC 5301 et seq.). (w) "HOPWA-Assisted Unit" has the meaning set forth in Paragraph I of the Recitals. (x) "HOPWA Eligible Household" means a household that includes at least one Person with HIV/AIDS. (y) "HOPWA Funds" has the meaning set forth in Paragraph B of the Recitals. (z) "HOPWA Note" means the promissory note of even date herewith that evidences Borrower's obligation to repay the Loan. (aa) "HOPWA Regulations" has the meaning set forth in Paragraph B of the Recitals. (bb) "HUD" has the meaning set forth in Paragraph E of the Recitals. (cc) "HUD Assistance Documents" has the meaning set forth in Paragraph E of the Recitals. 5 863\11\3432812.5 (dd) "Initial Expenditure Date" has the meaning set forth in Paragraph F of the Recitals. (ee) "Initial Funding Amount" has the meaning set forth in Paragraph F of the Recitals. (ff) "Improvements" has the meaning set forth in Paragraph C of the Recitals. (gg) "Loan Documents" means this Agreement, the Note, the Regulatory Agreement, and the Deed of Trust. (hh) "Loan" has the meaning set forth in Paragraph F of the Recitals. (ii) "NEPA" has the meaning set forth in Paragraph J of the Recitals. (jj) "Note" means the promissory note of even date herewith that evidences Borrower's obligation to repay the Loan. (kk) "Operating Reserve Account" has the meaning set forth in Section 4.1(b). (ll) "Original County Loan" has the meaning set forth in Paragraph D of the Recitals. (mm) "Original Regulatory Agreement" has the meaning set forth in Paragraph G of the Recitals. (nn) "Persons with HIV/AIDS" has the meaning set forth in the Regulatory Agreement. (oo) "Predevelopment Activities" means the activities that do not require building permit applications and described under the heading "Predevelopment Portion" on the Approved Rehabilitation Budget and under the heading "Project Milestones- Predevelopment" on the Approved Rehabilitation Schedule. (pp) "Property" has the meaning set forth in Paragraph C of the Recitals. (qq) "Regulatory Agreement" means the Original Regulatory Agreement as amended by the Second Amendment to Regulatory Agreement. (rr) "Rehabilitation" has the meaning set forth in Paragraph I of the Recitals. (ss) "Remaining Balance" means Four Hundred Thirty-Three Thousand Dollars ($433,000), which is the result obtained by subtracting the Initial Funding Amount from Six Hundred Thousand Dollars ($600,000). (tt) "Replacement Reserve Account" has the meaning set forth in Section 4.1(a). (uu) "Retention Amount" means Fifty Thousand Dollars ($50,000) of the Loan, 6 863\11\3432812.5 the disbursement of which is described in Section 2.7. (vv) "Second Amendment to Regulatory Agreement " means the second amendment to the Regulatory Agreement entered into between the County and Borrower of even date herewith that is being recorded against the Property. (ww) "Section 811 Grant" has the meaning set forth in Paragraph E of the Recitals. (xx) "Tenant" means the tenant household that occupies a unit in the Development. (yy) "Term" means the period of time that commences on the date of this Agreement, and expires, unless sooner terminated in accordance with this Agreement, on January 1, 2078. (zz) "Transfer" has the meaning set forth in Section 4.14 below. Section 1.2 Exhibits The following exhibits are attached to this Agreement and incorporated into this Agreement by this reference: Exhibit A: Legal Description of the Property Exhibit B: Approved Rehabilitation Budget Exhibit C: Approved Rehabilitation Schedule ARTICLE 2 LOAN PROVISIONS Section 2.1 Loan. Upon satisfaction of the conditions set forth in Section 2.5, the County shall lend to Borrower that portion of the Loan equal to the Initial Funding Amount for the purposes set forth in Section 2.3(a) of this Agreement. Upon satisfaction of the conditions set forth in Sections 2.6 through Section 2.7, the County shall lend to Borrower that portion of the Loan equal to the Remaining Balance for the purposes set forth in Section 2.3(b) of this Agreement. Borrower's obligation to repay the Loan is evidenced by the Note. Section 2.2 Interest. (a) Loan. Subject to the provisions of subsection (b) below, no interest will accrue on the outstanding principal balance of the Loan. (b) Event of Default. Upon the occurrence of an Event of a Default, interest on the outstanding principal balance of the Loan will accrue at the Default Rate, beginning on the date of such occurrence and continuing until the date the Loan is repaid in full or the Event of Default is cured. 7 863\11\3432812.5 Section 2.3 Use of Loan Funds. (a) Initial Funding Amount. Borrower shall use the Initial Funding Amount exclusively to fund the cost of the Predevelopment Activities, in amounts consistent with the Approved Rehabilitation Budget and in accordance with Section 2.5 below. The scope of the Predevelopment Activities may be amended with the written approval of the County pursuant to the process set forth in Section 3.17 for amending the Approved Rehabilitation Budget. (i) Timing Limitations. The Initial Funding Amount must be expended by the County not later than the Initial Expenditure Date. To enable the County to expend the Initial Funding Amount by the Initial Expenditure Date, Borrower shall satisfy the conditions set forth in Section 2.5 not later than June 15, 2023. If Borrower does not satisfy the conditions to disbursement set forth in Section 2.5 by June 15, 2023, the unexpended portion of the Initial Funding Amount will be forfeited. (ii) Applicable Use. The Approved Rehabilitation Budget itemizes Predevelopment Activities that utilize the full amount of the Initial Funding Amount. (b) Remaining Balance. Borrower shall use the Remaining Balance exclusively to fund Construction Activities, in amounts consistent with the Approved Rehabilitation Budget and in accordance with Section 2.6 and Section 2.7 below, as applicable. (c) Other Uses. Borrower may not use the Loan proceeds for any other purposes without the prior written consent of the County. Section 2.4 Security. In consideration of the Loan, Borrower shall (i) secure its obligation to repay the Loan, as evidenced by the Note, by executing the Deed of Trust, and cause or permit it to be recorded as a lien against the Property, and (ii) execute the Second Amendment to the Regulatory Agreement, and cause or permit it to be recorded against the Property. Section 2.5 Conditions Precedent to Disbursement of Initial Funding Amount for Predevelopment Activities. The County is not obligated to disburse any portion of the Initial Funding Amount for Predevelopment Activities, or to take any other action under the Loan Documents unless all of the following conditions have been and continue to be satisfied: (a) There exists no Event of Default nor any act, failure, omission or condition that would constitute an Event of Default under this Agreement; (b) Borrower holds title to the Property; (c) Borrower has delivered to the County copies of all of Borrower's organizational documents, and a copy of a corporate resolution authorizing Borrower to obtain the Loan and all other Approved Financing, and execute the Loan Documents; (d) There exists no material adverse change in the financial condition of 8 863\11\3432812.5 Borrower from that shown by the financial statements and other data and information furnished by Borrower to the County prior to the date of this Agreement; (e) Borrower has furnished the County with evidence of the insurance coverage meeting the requirements of Section 4.12 below; (f) Borrower has executed and delivered to the County the Loan Documents and has caused all other documents, instruments, and policies required under the Loan Documents to be delivered to the County; (g) The Deed of Trust and the Second Amendment to the Regulatory Agreement have been recorded against the Property in the Office of the Recorder of the County of Contra Costa; (h) A title insurer reasonably acceptable to the County is unconditionally and irrevocably committed to issuing an LP-10 2006 ALTA Lender's Policy of title insurance insuring the priority of the Deed of Trust in the amount of the Loan, subject only to such exceptions and exclusions as may be reasonably acceptable to the County, and containing such endorsements as the County may reasonably require. Borrower shall provide whatever documentation (including an indemnification agreement), deposits or surety is reasonably required by the title company in order for the County's Deed of Trust to be senior in lien priority to any mechanics liens in connection with any start of construction that has occurred prior to the recordation of the Deed of Trust against the Property in the Office of the Recorder of the County of Contra Costa; (i) The County has determined the undisbursed proceeds of the Loan, together with other funds or firm commitments for funds that Borrower has obtained in connection with the Rehabilitation, are not less than the amount the County determines is necessary to pay for the Rehabilitation and to satisfy all of the covenants contained in this Agreement and the Regulatory Agreement; (j) Borrower has obtained all permits and approvals necessary for the Predevelopment Activities; (k) The County has received a written draw request from Borrower, including: (i) certification that the condition set forth in Section 2.5(a) continues to be satisfied; (ii) certification that the proposed uses of funds is consistent with the Approved Rehabilitation Budget; (iii) the amount of funds needed; and, (iv) where applicable, a copy of the bill or invoice from the third-party performing the work, covering a cost incurred. Borrower is not required to have paid such third-party prior to the County providing a disbursement. When a disbursement is requested to pay any contractor in connection with improvements on the Property, the written request must be accompanied by: (1) certification by Borrower's architect reasonably acceptable to the County that the work for which disbursement is requested has been completed (although the County reserves the right to inspect the Property and make an independent evaluation); and (2) lien releases and/or mechanics lien title insurance endorsements reasonably acceptable to the County. 9 863\11\3432812.5 Section 2.6 Conditions Precedent to Disbursement of Loan Funds for Construction Activities. The County is not obligated to disburse any portion of the Loan beyond the Initial Funding Amount for Construction Activities, or to take any other action under the Loan Documents unless all of the following conditions have been and continue to be satisfied: (a) All requirements set forth in Section 2.5 have been and continue to be satisfied; (b) If less than the full amount of the Initial Funding Amount was disbursed, the County has approved a revision to the Approved Development Budget in accordance with Section 3.17; (c) The County taken all required action in accordance with the California Environmental Quality Act (Public Resources Code Sections 21000 et seq.) ("CEQA") and Borrower has provided the County evidence of planned compliance with all CEQA requirements and mitigation measures applicable to construction, if any; (d) Borrower has obtained all permits and approvals necessary for the Construction Activities; (e) The County has received and approved the Bid Package for the subcontractors for the Rehabilitation pursuant to Section 3.2 below; (f) The County has received and approved the general contractor's construction contract that Borrower has entered or proposed to enter for the Rehabilitation pursuant to Section 3.3 below; (g) The County has received and approved labor and material (payment) bonds and performance bonds as required pursuant to Section 3.4 below; (h) Borrower has closed the loans that comprise Approved Financing and has already received, or is eligible to receive, the funds; (i) Borrower has provided the County a certification from an architect or Certified Access Specialist (as defined in 21 California Code of Regulations Section 121) that the Construction Plans are in conformance with the Accessibility Requirements; and (j) The County has received a written draw request from Borrower, including: (i) certification that the condition set forth in Section 2.5(a) continues to be satisfied; (ii) certification that the proposed uses of funds is consistent with the Approved Rehabilitation Budget; (iii) the amount of funds needed; and, (iv) where applicable, a copy of the bill or invoice from the third-party performing the work, covering a cost incurred. Borrower is not required to have paid such third-party prior to the County providing a disbursement. When a disbursement is requested to pay any contractor in connection with improvements on the Property, the written request must be accompanied by: (1) certification by Borrower's architect reasonably acceptable to the County that the work for which disbursement is requested has been completed (although 10 863\11\3432812.5 the County reserves the right to inspect the Property and make an independent evaluation); and (2) lien releases and/or mechanics lien title insurance endorsements reasonably acceptable to the County. Section 2.7 Conditions Precedent to Disbursement of Retention. The County is not obligated to disburse the Retention Amount unless the following conditions precedent are satisfied: (a) The County has received a completion report from Borrower setting forth: (i) the income, household size, race, and ethnicity of Tenants of the HOPWA-Assisted Units; (ii) and the unit address, unit size, rent amount and utility allowance for all HOPWA-Assisted Units; (b) The County has received from Borrower copies of the certificate of occupancy or equivalent final permit sign-offs for the Rehabilitation; (c) The County has received from Borrower current evidence of the insurance coverage meeting the requirements of Section 4.12 below; (d) The County has received from Borrower evidence of marketing for any vacant HOPWA-Assisted Unit in the Development such as copies of flyers, list of media ads, list of agencies and organizations receiving information on availability of such units, as applicable; (e) The County has received from Borrower all relevant contract activity information, including compliance with Section 3 requirements and minority-owned (MBE) and women-owned (WBE) business requirements; (f) If Borrower was required to comply with relocation requirements as set forth in Section 3.10 below, the County has received from Borrower evidence of compliance with all applicable relocation requirements; (g) If Borrower is required to pay prevailing wages under the Davis-Bacon Act (40 U.S.C. 3141-3148) by the HUD regulations governing the Loan, the County has received confirmation that Borrower has submitted all certified payrolls to the County, and any identified payment issues have been resolved, or Borrower is working diligently to resolve any such issues; and (h) The County has received a written draw request from Borrower, including certification that the condition set forth in Section 2.5(a) continues to be satisfied, and setting forth the proposed uses of funds consistent with the Approved Rehabilitation Budget, and, where applicable, a copy of the bill or invoice covering a cost incurred or to be incurred. Borrower shall apply the disbursement for the purpose(s) requested. Section 2.8 Repayment Schedule. (a) Deferred Loan. No annual payments are due on the Loan. Payment of the Loan is deferred for the Term. Payment of the Loan is due pursuant to subsection (b) below. (b) Payment in Full of Loan. Borrower shall pay all outstanding principal and 11 863\11\3432812.5 accrued interest on the Loan, in full, on the earliest to occur of: (i) an Event of Default; and (ii) the expiration of the Term. (c) Prepayment. Borrower may prepay the Loan at any time without premium or penalty. However, the Regulatory Agreement and the Deed of Trust (as security for the Regulatory Agreement) will remain in effect for the entire Term, regardless of any prepayment or Transfer. Section 2.9 Non-Recourse. Except as provided below, Borrower shall not have any direct or indirect personal liability for payment of the principal of, and interest on, the Loan. Following recordation of the Deed of Trust, the sole recourse of the County with respect to the principal of, or interest on, the Note will be to the property described in the Deed of Trust; provided, however, that nothing contained in the foregoing limitation of liability limits or impairs the enforcement of all the rights and remedies of the County against all such security for the Note, or impairs the right of County to assert the unpaid principal amount of the Note as demand for money within the meaning and intendment of Section 431.70 of the California Code of Civil Procedure or any successor provision thereto. The foregoing limitation of liability is intended to apply only to the obligation to repay the principal and interest on the Note. Nothing contained herein is intended to relieve Borrower of its obligation to indemnify the County under the Loan Documents and Borrower shall be fully and personally liable for: (i) loss or damage of any kind resulting from waste, fraud or willful misrepresentation; (ii) the failure to pay taxes, assessments or other charges which may create liens on the Property that are payable or applicable prior to any foreclosure under the Deed of Trust (to the full extent of such taxes, assessments or other charges); (iii) the fair market value of any personal property or fixtures removed or disposed of by Borrower other than in accordance with the Deed of Trust; (iv) willful or grossly negligent violation of applicable law; and (v) the misappropriation of any proceeds under any insurance policies or awards resulting from condemnation or the exercise of the power of eminent domain or by reason of damage, loss or destruction to any portion of the Property. ARTICLE 3 THE REHABILITATION Section 3.1 Permits and Approvals. Borrower shall obtain all permits or permit ready letter and approvals necessary for the commencement of the Construction Activities no later than September 30, 2023 or such later date that the County approves in writing. Section 3.2 Bid Package. Not later than thirty (30) days prior to Borrower's proposed date for advertising the Bid Package, Borrower shall submit to the County a copy of Borrower's general contractor's proposed Bid Package. The County's Director, Department of Conservation and Development, or his or her designee, shall approve or disapprove the Bid Package within fifteen (15) days after receipt of the Bid Package by the County. If the County rejects the proposed Bid Package the reasons therefore must be given to Borrower. Borrower will then have fifteen (15) days to revise 12 863\11\3432812.5 the proposed Bid Package and resubmit it to the County. The County will then have fifteen (15) days to review and approve Borrower's new or corrected Bid Package. The provisions of this Section will continue to apply until a proposed Bid Package has been approved by the County. Borrower may not publish a proposed Bid Package until it has been approved by the County. Section 3.3 Construction Contract. (a) Not later than fifteen (15) days prior to the proposed Commencement of the Construction Activities, Borrower shall submit to the County for its approval a draft of the proposed construction contract for the Rehabilitation. All construction work and professional services are to be performed by persons or entities licensed or otherwise authorized to perform the applicable construction work or service in the State of California. Each contract that Borrower enters for the Rehabilitation is to provide that at least ten percent (10%) of the costs incurred will be payable only upon completion of the Rehabilitation, subject to early release of retention for specified subcontractors upon approval by the County. The construction contract will include all applicable HOPWA requirements set forth in Section 4.15 below. The County's approval of the construction contract may not be deemed to constitute approval of or concurrence with any term or condition of the construction contract except as such term or condition may be required by this Agreement. (b) Upon receipt by the County of the proposed construction contract, the County shall promptly review same and approve or disapprove it within fifteen (15) days. If the construction contract is not approved by the County, the County shall set forth in writing and notify Borrower of the County's reasons for withholding such approval. Borrower shall thereafter submit a revised construction contract for County approval, which approval is to be granted or denied in fifteen (15) days in accordance with the procedures set forth above. Any construction contract executed by Borrower for the Rehabilitation is to be in the form approved by the County. Section 3.4 Construction Bonds. Not later than thirty (30) days prior to the proposed Commencement of the Construction Activities Borrower shall deliver to the County copies of labor and material bonds and performance bonds for the Rehabilitation in an amount equal to one hundred percent (100%) of the scheduled cost of the Rehabilitation. Such bonds must name the County as a co-obligee. Section 3.5 Commencement of the Rehabilitation. Borrower shall cause the Commencement of the Construction Activities to occur no later than November 1, 2023 or such later date that the County approves in writing, but in no event later than 1 year from date of this Agreement. For the purposes of this Agreement, "Commencement of the Rehabilitation" means the date set for the start of the Rehabilitation in the notice to proceed issued by Borrower to Borrower's general contractor. Section 3.6 Completion of the Rehabilitation. (a) Borrower shall diligently prosecute the Rehabilitation to completion, and shall cause the Rehabilitation to be completed no later than June 30, 2024 or such later date that 13 863\11\3432812.5 the County approves in writing. Section 3.7 Changes; Construction Pursuant to Plans and Laws. (a) Changes. Borrower shall perform the Rehabilitation in conformance with (i) the plans and specifications approved by the City's building department, and (ii) the Approved Rehabilitation Budget. Borrower shall notify the County in a timely manner of any changes in the work required to be performed under this Agreement, including any additions, changes, or deletions to the plans and specifications approved by the City. Written authorization from the County must be obtained before any of the following changes, additions, or deletions in work for the Rehabilitation may be performed: (i) any change in the work the cost of which exceeds One Hundred Thousand Dollars ($100,000); or (ii) any set of changes in the work the cost of which cumulatively Two Hundred Fifty Thousand Dollars ($250,000) or ten percent (10%) of the Loan amount, whichever is less; or (iii) any material change in building materials or equipment, specifications, or the structural or architectural design or appearance of the Development as provided for in the plans and specifications approved by the County. The County's consent to any additions, changes, or deletions to the work does not relieve or release Borrower from any other obligations under this Agreement, or relieve or release Borrower or its surety from any surety bond. (b) Compliance with Laws. Borrower shall cause all work performed in connection with the Rehabilitation to be performed in compliance with: (i) all applicable laws, codes (including building codes and codes applicable to mitigation of disasters such as earthquakes), ordinances, rules and regulations of federal, state, county or municipal governments or agencies now in force or that may be enacted hereafter; (ii) the HOPWA Regulations including the property standards set out in 24 C.F.R. Section 574.310; (iii) the requirement of the Lead-Based Paint Poisoning Prevention Act, as amended (42 U.S.C. 4821 et seq.), the Residential Lead-Based Paint Hazard Reduction Act (42 U.S.C. 4851 et seq.), and implementing regulations at 24 C.F.R. Part 35; and (iv) all directions, rules and regulations of any fire marshal, health officer, building inspector, or other officer of every governmental agency now having or hereafter acquiring jurisdiction. Borrower may permit the work to proceed only after procurement of each permit, license, or other authorization that may be required by any governmental agency having jurisdiction, and Borrower is responsible to the County for the procurement and maintenance thereof. Section 3.8 Prevailing Wages. (a) Davis Bacon. To the extent required by funding sources Borrower shall cause the Rehabilitation to be in compliance with the prevailing wage requirements of the federal Davis-Bacon Act (40 U.S.C. 3141-3148). Borrower shall indemnify, hold harmless and defend (with counsel reasonably acceptable to the County) the County against any claim for damages, 14 863\11\3432812.5 compensation, fines, penalties or other amounts arising out of the failure or alleged failure of any person or entity (including Borrower, its contractor and subcontractors) to pay prevailing wages as determined pursuant to the prevailing wage provisions of the federal Davis-Bacon Act and implementing rules and regulations in connection with the Rehabilitation or any other work undertaken or in connection with the Property. This obligation to indemnify survives termination of this Agreement, repayment of the Loan, and the reconveyance of the Deed of Trust. (b) State Prevailing Wages. (i) To the extent required by applicable law Borrower shall: (1) pay, and shall cause any consultants or contractors to pay, prevailing wages in the Rehabilitation as those wages are determined pursuant to California Labor Code Section 1720 et seq.; (2) cause any consultants or contractors to employ apprentices as required by California Labor Code Section 1777.5 et seq., and the implementing regulations of the Department of Industrial Relations (the "DIR"), and to comply with the other applicable provisions of California Labor Code Sections 1720 et seq., 1777.5 et seq., and implementing regulations of the DIR; (3) keep and retain, and shall cause any consultants and contractors to keep and retain, such records as are necessary to determine if such prevailing wages have been paid as required pursuant to California Labor Code Section 1720 et seq., and apprentices have been employed are required by California Labor Code Section 1777.5 et seq.; (4) post at the Property, or shall cause the contractor to post at the Property, the applicable prevailing rates of per diem wages. Copies of the currently applicable current per diem prevailing wages are available from DIR; (5) cause contractors and subcontractors working on the Rehabilitation to be registered as set forth in California Labor Code Section 1725.5; (6) cause its contractors and subcontractors, in all calls for bids, bidding materials and the construction contract documents for the Rehabilitation to specify that: (A) no contractor or subcontractor may be listed on a bid proposal nor be awarded a contract for the Rehabilitation unless registered with the DIR pursuant to California Labor Code Section 1725.5; and (B) the Rehabilitation is subject to compliance monitoring and enforcement by the DIR. (7) provide the County all information required by California Labor Code Section 1773.3 as set forth in the DIR's online form PWC-100 within 2 days of the award of any contract (https://www.dir.ca.gov/pwc100ext/); 15 863\11\3432812.5 (8) cause its contractors to post job site notices, as prescribed by regulation by the DIR; and (9) cause its contractors to furnish payroll records required by California Labor Code Section 1776 directly to the Labor Commissioner, at least monthly in the electronic format prescribed by the Labor Commissioner. (ii) Borrower shall indemnify, hold harmless and defend (with counsel reasonably acceptable to the County) the County against any claim for damages, compensation, fines, penalties or other amounts arising out of the failure or alleged failure of any person or entity (including Borrower, its contractor and subcontractors) to pay prevailing wages as determined pursuant to California Labor Code Section 1720 et seq., to employ apprentices pursuant to California Labor Code Section 1777.5 et seq., to meet the conditions of California Labor Code Section 1771.4, and implementing regulations of the DIR, or to comply with the other applicable provisions of California Labor Code Sections 1720 et seq., 1777.5 et seq., and 1771.4, and the implementing regulations of the DIR, in connection with the Rehabilitation or any other work undertaken or in connection with the Property. This obligation to indemnify survives termination of this Agreement, repayment of the Loan, and the reconveyance of the Deed of Trust. Section 3.9 Accessibility. (a) Borrower shall cause the Development to be constructed and operated, and the Rehabilitation to be performed, at all times in compliance with all applicable federal, state, and local disabled persons accessibility requirements including, but not limited to the applicable provisions of: (i) the Unruh Act, (ii) the California Fair Employment and Housing Act, (iii) Section 504 of the Rehabilitation Act of 1973, (iv) the United States Fair Housing Act, as amended, (v) the Americans with Disabilities Act of 1990, and (vi) Chapters 11A and 11B of Title 24 of the California Code of Regulations, which relate to disabled persons access (collectively, the "Accessibility Requirements"). (b) In compliance with the Accessibility Requirements, if the rehabilitation is substantial as defined in 24 C.F.R. 8.23(a): (i) a minimum of one (1) unit must be rehabilitated to be fully accessible to households with a mobility impaired member and, (ii) an additional one (1) unit must be rehabilitated to be fully accessible to hearing and/or visually impaired persons. Non-substantial alterations must comply with 24 C.F.R. 8.23(b). In compliance with the Accessibility Requirements Borrower shall provide the County with a certification from an architect or Certified Access Specialist (as defined in 21 California Code of Regulations Section 121), that to the best of the professional's knowledge, the Rehabilitation complies with all federal and state accessibility requirements applicable to the Rehabilitation. (c) Borrower shall indemnify, hold harmless and defend (with counsel reasonably acceptable to the County) the County against any claim for damages, compensation, fines, penalties or other amounts arising out of the failure or alleged failure of any person or entity (including Borrower, its architect, contractor and subcontractors) to perform the Rehabilitation in accordance with the Accessibility Requirements. This obligation to indemnify survives termination of this Agreement, repayment of the Loan and the reconveyance of the Deed of Trust. 16 863\11\3432812.5 Section 3.10 Relocation. (a) If and to the extent that development of the Property will result in the permanent or temporary displacement of residential tenants, homeowners, or businesses, then Borrower shall comply with all applicable local, state, and federal statutes and regulations, (including without limitation the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. 4601, et seq.), and implementing regulations at 49 C.F.R. Part 24; Section 104(d) of the Housing and Community Development Act of 1974 and implementing regulations at 24 C.F.R. 42 et seq.; 24 C.F.R. 92.353; and California Government Code Section 7260 et seq. and implementing regulations at 25 California Code of Regulations Sections 6000 et seq.) with respect to preparation of a relocation plan, relocation planning, advisory assistance, and payment of monetary benefits. Borrower shall be solely responsible for payment of any relocation benefits to any displaced persons and any other obligations associated with complying with such relocation laws. (b) Borrower shall indemnify, defend and hold harmless, (with counsel reasonably acceptable to the County), the County and its board members, supervisors, directors, officers, employees, agents, successors and assigns against any claim for damages, compensation, fines, penalties, relocation payments or other amounts and expenses (including reasonable attorneys' fees) arising out of the failure or alleged failure of any person or entity (including Borrower, or the County) to satisfy relocation obligations related to the acquisition and development of the Property. This obligation to indemnify survives termination of this Agreement, repayment of the Loan and the reconveyance of the Deed of Trust. Section 3.11 Equal Opportunity. During the Rehabilitation discrimination on the basis of race, color, creed, religion, age, sex, sexual orientation, marital status, national origin, ancestry, or disability in the hiring, firing, promoting, or demoting of any person engaged in the construction work is not allowed. Section 3.12 Minority and Women-Owned Contractors. Borrower shall use its best efforts to afford minority-owned and women-owned business enterprises the maximum practicable opportunity to participate in the Rehabilitation. Borrower shall, at a minimum, notify applicable minority-owned and women-owned business firms located in Contra Costa County of bid opportunities for the Rehabilitation. A listing of minority owned and women owned businesses located in the County and neighboring counties is available from the County. Documentation of such notifications must be maintained by Borrower and available to the County upon request. Section 3.13 Progress Reports. Until such time as Borrower has received a certificate of occupancy (or equivalent permit sign off) from the City for the Rehabilitation, Borrower shall provide the County with quarterly progress reports regarding the status of the Rehabilitation, including a certification that the actual construction costs to date conform to the Approved Rehabilitation Budget, as it may be amended from time to time pursuant to Section 3.17 below. 17 863\11\3432812.5 Section 3.14 Construction Responsibilities. (a) Borrower is responsible for the coordination and scheduling of the work to be performed so that commencement and completion of the Rehabilitation takes place in accordance with this Agreement. (b) Borrower is solely responsible for all aspects of Borrower's conduct in connection with the Rehabilitation, including (but not limited to) the quality and suitability of the plans and specifications, the supervision of construction work, and the qualifications, financial condition, and performance of all architects, engineers, contractors, subcontractors, suppliers, consultants, and property managers. Any review or inspection undertaken by the County with reference to the Rehabilitation is solely for the purpose of determining whether Borrower is properly discharging its obligations to the County, and may not be relied upon by Borrower or by any third parties as a warranty or representation by the County as to the quality of the design or construction work. Section 3.15 Mechanics Liens, Stop Notices, and Notices of Completion. (a) If any claim of lien is filed against the Property or a stop notice affecting the Loan is served on the County or any other lender or other third party in connection with the Rehabilitation, then Borrower shall, within twenty (20) days after such filing or service, either pay and fully discharge the lien or stop notice, effect the release of such lien or stop notice by delivering to the County a surety bond in sufficient form and amount, or provide the County with other assurance satisfactory to the County that the claim of lien or stop notice will be paid or discharged. (b) If Borrower fails to discharge any lien, encumbrance, charge, or claim in the manner required in this Section, then in addition to any other right or remedy, the County may (but is under no obligation to) discharge such lien, encumbrance, charge, or claim at Borrower's expense. Alternately, the County may require Borrower to immediately deposit with the County the amount necessary to satisfy such lien or claim and any costs, pending resolution thereof. The County may use such deposit to satisfy any claim or lien that is adversely determined against Borrower. (c) Borrower shall file a valid notice of cessation or notice of completion upon cessation of the Rehabilitation for a continuous period of thirty (30) days or more, and take all other steps necessary to forestall the assertion of claims of lien against the Property. Borrower authorizes the County, but the County has no obligation, to record any notices of completion or cessation of labor, or any other notice that the County deems necessary or desirable to protect its interest in the Development and Property. Section 3.16 Inspections. (a) Borrower shall permit and facilitate, and shall require its contractors to permit and facilitate, observation and inspection at the Development by the County and by public authorities during reasonable business hours during the Term, for the purposes of determining compliance with this Agreement. 18 863\11\3432812.5 (b) The County will perform inspections both during and upon completion of the Rehabilitation to determine if the Rehabilitation is being carried out in accordance with the HOPWA Regulations, including the property standards set forth 24 C.F.R. 574.310. Borrower shall give the County notice when the Rehabilitation is complete. If the County determines the Rehabilitation is not being carried out in accordance with the HOPWA Regulations, the County will provide Borrower with a written report of the deficiencies. Borrower shall correct such deficiencies within the timeframe set forth in the notice provided to Borrower by the County. Section 3.17 Approved Rehabilitation Budget; Revisions to Budget. As of the date of this Agreement, the County has approved the Approved Rehabilitation Budget set forth in Exhibit B. Borrower shall submit an amendment to the Approved Rehabilitation Budget to the County for approval: (i) within five (5) days after the date Borrower receives information indicating that actual costs of the Rehabilitation vary or will vary from the costs shown on the Approved Rehabilitation Budget, or if the scope of the Predevelopment Activities or Construction Activities may change, and (ii) if less than the full amount of the Initial Funding Amount was disbursed, the amendment must show the alternate funding sources for the Predevelopment Activities that were not funded with the Initial Funding Amount. Written consent of the County will be required to amend the Approved Rehabilitation Budget. ARTICLE 4 LOAN REQUIREMENTS Section 4.1 Reserve Accounts. (a) Replacement Reserve Account. Borrower shall establish and maintain an account that is available for capital expenditures for repairs and replacement necessary to maintain the Development in the condition required by the Loan Documents (the "Replacement Reserve Account"). Borrower shall make annual deposits to the Replacement Reserve Account and replenish the Replacement Reserve Account in the amounts required in the HUD Assistance Documents. In no event may the annual amount deposited in the Replacement Reserve Account exceed Six Hundred Dollars ($600) per unit, increasing by the applicable consumer price index every five (5) years, or such greater amount required in connection with the HUD Assistance Documents. (b) Operating Reserve Account. Borrower shall establish and maintain an account that is available to fund operating deficits (which is the amount by which Annual Operating Expenses exceed Gross Revenue for any period) (the "Operating Reserve Account"). Borrower shall capitalize and replenish the Operating Reserve Account in the amount required by HUD Assistance Documents. In no event may the amount held in the Operating Reserve Account exceed six (6) months gross rent from the Development (as such rent may vary from time to time). The County acknowledges that the Operating Reserve Account is the same as the HUD required Residual Receipts account. Section 4.2 Financial Accountings and Post-Completion Audits. (a) No later than one hundred twenty (120) days following completion of the Rehabilitation, Borrower shall provide to the County for its review and approval a financial 19 863\11\3432812.5 accounting of all sources and uses of funds for the Rehabilitation. (b) No later than one hundred eighty (180) days after completion of the Rehabilitation, Borrower shall submit an audited financial report showing the sources and uses of all funds utilized for the Rehabilitation. Section 4.3 Approval of Annual Operating Budget. Borrower shall provide the following to the County for its review and approval: (i) by not later than sixty (60) days prior to commencement of each Development Fiscal Year for the Term, the estimated annual budget for the upcoming Development Fiscal Year for the operations of the Development which shall include projected income from all sources, projected expenses, including operating expenses, debt service, and deposits to and withdrawals from Development reserves (the "Annual Operating Budget"); and (ii) within ninety (90) days following the end of each Development Fiscal Year, a report showing the actual income and expenditures with respect to the Development for the immediately preceding Development Fiscal Year and the status of Development reserves. The County's review shall be limited to whether the Development is being operated and managed in accordance with the requirements and standards of the Loan Documents. The County may request additional information to assist the County in evaluating the financial viability of the Development. Unless rejected by the County in writing within thirty (30) days after receipt of the budget, the budget will be deemed accepted. If rejected by the County in whole or in part, Borrower shall submit a new or corrected budget within thirty (30) calendar days after notification of the County's rejection and the reasons therefor. The provisions of this Section relating to time periods for resubmission of new or corrected budgets will continue to apply until such budget has been approved by the County. Section 4.4 Information. Borrower shall provide any information reasonably requested by the County in connection with the Development, including (but not limited to) any information required by HUD in connection with Borrower's use of the Loan funds. Section 4.5 County Audits. (a) Each year, Borrower shall provide the County with a copy of Borrower's annual audit, which is to include information on all of Borrower's activities and not just those pertaining to the Development. (b) In addition, the County may, at any time, audit all of Borrower's books, records, and accounts pertaining to the Development. Any such audit is to be conducted during normal business hours at the principal place of business of Borrower and wherever records are kept. Immediately after the completion of an audit, the County shall deliver a copy of the results of the audit to Borrower. Section 4.6 Hazardous Materials. (a) Borrower shall keep and maintain the Property (including but not limited to, soil and ground water conditions) in compliance with all Hazardous Materials Laws and may 20 863\11\3432812.5 not cause or permit the Property to be in violation of any Hazardous Materials Law. Borrower may not cause or permit the use, generation, manufacture, storage or disposal of on, under, or about the Property or transportation to or from the Property of any Hazardous Materials, except such of the foregoing as may be customarily used in construction of projects like the Development or kept and used in and about residential property of this type. (b) Borrower shall immediately advise the County in writing if at any time it receives written notice of any Hazardous Materials Claims, and Borrower's discovery of any occurrence or condition on any real property adjoining or in the vicinity of the Property that could cause the Property or any part thereof to be subject to any restrictions on the ownership, occupancy, transferability or use of the Property under any Hazardous Materials Law including but not limited to the provisions of California Health and Safety Code, Section 25220 et seq., or any regulation adopted in accordance therewith. (c) The County has the right to join and participate in, as a party if it so elects, and be represented by counsel acceptable to the County (or counsel of its own choice if a conflict exists with Borrower) in any legal proceedings or actions initiated in connection with any Hazardous Materials Claims and to have its reasonable attorneys' fees in connection therewith paid by Borrower. (d) Borrower shall indemnify and hold harmless the County and its board members, supervisors, directors, officers, employees, agents, successors and assigns from and against any loss, damage, cost, fine, penalty, judgment, award, settlement, expense or liability, directly or indirectly arising out of or attributable to: (i) any actual or alleged past or present violation of any Hazardous Materials Law; (ii) any Hazardous Materials Claim; (iii) any actual or alleged past or present use, generation, manufacture, storage, release, threatened release, discharge, disposal, transportation, or presence of Hazardous Materials on, under, or about the Property; (iv) any investigation, cleanup, remediation, removal, or restoration work of site conditions of the Property relating to Hazardous Materials (whether on the Property or any other property); and (v) the breach of any representation of warranty by or covenant of Borrower in this Section 4.7, and Section 5.1(l). Such indemnity shall include, without limitation: (x) all consequential damages; (y) the costs of any required or necessary investigation, repair, cleanup or detoxification of the Property and the preparation and implementation of any closure, remedial or other required plans; and (z) all reasonable costs and expenses incurred by the County in connection with clauses (x) and (y), including but not limited to reasonable attorneys' fees and consultant fees. This indemnification applies whether or not any government agency has issued a cleanup order. Losses, claims, costs, suits, liability, and expenses covered by this indemnification provision include, but are not limited to: (1) losses attributable to diminution in the value of the Property, (2) loss or restriction of use of rentable space on the Property, (3) adverse effect on the marketing of any rental space on the Property, and (4) penalties and fines levied by, and remedial or enforcement actions of any kind issued by any regulatory agency (including but not limited to the costs of any required testing, remediation, repair, removal, cleanup or detoxification of the Property and surrounding properties). This obligation to indemnify survives termination of this Agreement, repayment of the Loan and the reconveyance of the Deed of Trust, and will not be diminished or affected in any respect as a result of any notice, disclosure, knowledge, if any, to or by the County of Hazardous Materials. (e) Without the County's prior written consent, which will not be 21 863\11\3432812.5 unreasonably withheld, Borrower may not take any remedial action in response to the presence of any Hazardous Materials on, under or about the Property, nor enter into any settlement agreement, consent decree, or other compromise in respect to any Hazardous Material Claims, which remedial action, settlement, consent decree or compromise might, in the County's judgment, impair the value of the County's security hereunder; provided, however, that the County's prior consent is not necessary in the event that the presence of Hazardous Materials on, under, or about the Property either poses an immediate threat to the health, safety or welfare of any individual or is of such a nature that an immediate remedial response is necessary and it is not reasonably possible to obtain the County's consent before taking such action, provided that in such event Borrower shall notify the County as soon as practicable of any action so taken. The County agrees not to withhold its consent, where such consent is required hereunder, if: (i) a particular remedial action is ordered by a court of competent jurisdiction; (ii) Borrower will or may be subjected to civil or criminal sanctions or penalties if it fails to take a required action; (iii) Borrower establishes to the satisfaction of the County that there is no reasonable alternative to such remedial action which would result in less impairment of the County's security hereunder; or (iv) the action has been agreed to by the County. (f) Borrower hereby acknowledges and agrees that: (i) this Section is intended as the County's written request for information (and Borrower's response) concerning the environmental condition of the Property as required by California Code of Civil Procedure Section 726.5; and (ii) each representation and warranty in this Agreement (together with any indemnity obligation applicable to a breach of any such representation and warranty) with respect to the environmental condition of the Property is intended by the Parties to be an "environmental provision" for purposes of California Code of Civil Procedure Section 736. (g) In the event that any portion of the Property is determined to be "environmentally impaired" (as that term is defined in California Code of Civil Procedure Section 726.5(e)(3)) or to be an "affected parcel" (as that term is defined in California Code of Civil Procedure Section 726.5(e)(1)), then, without otherwise limiting or in any way affecting the County's or the trustee's rights and remedies under the Deed of Trust, the County may elect to exercise its rights under California Code of Civil Procedure Section 726.5(a) to: (i) waive its lien on such environmentally impaired or affected portion of the Property; and (ii) exercise, (1) the rights and remedies of an unsecured creditor, including reduction of its claim against Borrower to judgment, and (2) any other rights and remedies permitted by law. For purposes of determining the County's right to proceed as an unsecured creditor under California Code of Civil Procedure Section 726.5(a), Borrower will be deemed to have willfully permitted or acquiesced in a release or threatened release of Hazardous Materials, within the meaning of California Code of Civil Procedure Section 726.5(d)(1), if the release or threatened release of Hazardous Materials was knowingly or negligently caused or contributed to by any lessee, occupant, or user of any portion of the Property and Borrower knew or should have known of the activity by such lessee, occupant, or user which caused or contributed to the release or threatened release. All costs and expenses, including (but not limited to) attorneys' fees, incurred by the County in connection with any action commenced under this paragraph, including any action required by California Code of Civil Procedure Section 726.5(b) to determine the degree to which the Property is environmentally impaired, plus interest thereon at the Default Rate, until paid, will be added to the indebtedness secured by the Deed of Trust and is due and payable to the County upon its demand made at any time following the conclusion of such action. 22 863\11\3432812.5 Section 4.7 Maintenance; Damage and Destruction. (a) During the course of the operation of the Development and the performance of the Rehabilitation, Borrower shall maintain the Development and the Property in good repair and in a neat, clean and orderly condition, and in accordance with the Regulatory Agreement. (b) Subject to the requirements of senior lenders, and if economically feasible in the County's judgment after consultation with Borrower, if any improvement now or in the future on the Property is damaged or destroyed, then Borrower shall, at its cost and expense, diligently undertake to repair or restore such improvement consistent with the plans and specifications approved by the County with such changes as have been approved by the County. Such work or repair is to be commenced no later than the later of one hundred twenty (120) days, or such longer period approved by the County in writing, after the damage or loss occurs or thirty (30) days following receipt of the insurance or condemnation proceeds, and is to be complete within one (1) year thereafter. Any insurance or condemnation proceeds collected for such damage or destruction are to be applied to the cost of such repairs or restoration and, if such insurance or condemnation proceeds are insufficient for such purpose, then Borrower shall make up the deficiency. If Borrower does not promptly make such repairs then any insurance or condemnation proceeds collected for such damage or destruction are to be promptly delivered by Borrower to the County as a special repayment of the Loan, subject to the rights of the senior lenders, if any. Section 4.8 Fees and Taxes. Borrower is solely responsible for payment of all fees, assessments, taxes, charges, and levies imposed by any public authority or utility company with respect to the Property or the Development and shall pay such charges prior to delinquency and at such times and in such manner as to prevent any penalty from accruing, or any lien or charge from attaching to the Property. Borrower is also solely responsible for payment of all personal property taxes, and all franchise, income, employment, old age benefit, withholding, sales, and other taxes assessed against it, or payable by it, and shall pay such charges prior to delinquency and at such times and in such manner as to prevent any penalty from accruing, or any lien or charge from attaching to the Property. However, Borrower is not required to pay and discharge any such charge so long as: (i) the legality thereof is being contested diligently and in good faith and by appropriate proceedings; and (ii) if requested by the County, Borrower deposits with the County any funds or other forms of assurance that the County in good faith from time to time determines appropriate to protect the County from the consequences of the contest being unsuccessful. In the event Borrower exercises its right to contest any tax, assessment, or charge against it, Borrower, on final determination of the proceeding or contest, will immediately pay or discharge any decision or judgment rendered against it, together with all costs, charges and interest. 23 863\11\3432812.5 Borrower shall not apply for a property tax exemption for the Property under any provision of law except California Revenue and Taxation Section 214(g) without the prior written consent of the County. Section 4.9 Notices. Borrower shall promptly notify the County in writing of any and all of the following: (a) Any litigation known to Borrower materially affecting Borrower, or the Property and of any claims or disputes that involve a material risk of litigation; (b) Any written or oral communication Borrower receives from any governmental, judicial, or legal authority giving notice of any claim or assertion that the Property or Improvements fail in any respect to comply with any applicable governmental law; (c) Any material adverse change in the physical condition of the Property (including any damage suffered as a result of fire, earthquakes, or floods); (d) Any material adverse change in Borrower's financial condition, any material adverse change in Borrower's operations, or any change in the management of Borrower; (e) That any of the statements in Section 5.1(l) regarding Hazardous Materials are no longer accurate; (f) Any Default or event which, with the giving of notice or the passage of time or both, would constitute a Default; and (g) Any other circumstance, event, or occurrence that results in a material adverse change in Borrower's ability to timely perform any of its obligations under any of the Loan Documents. Section 4.10 Operation of Development as Affordable Housing. (a) Borrower shall operate the Development (i) in accordance with all applicable laws, codes, ordinances, rules and regulations of federal, state, county or municipal governments or agencies now in force or that may be enacted hereafter, and (ii) as an affordable housing development consistent with: (1) HUD's requirements for use of HOPWA Funds; (2) the Regulatory Agreement; (3) any other regulatory requirements imposed on Borrower; and (4) any regulatory requirements imposed on Borrower related to the rental subsidies provided to the Development. Section 4.11 Nondiscrimination. (a) Borrower covenants by and for itself and its successors and assigns that there will be no discrimination against or segregation of a person or of a group of persons on account of race, color, creed, religion, sex, sexual orientation, marital status, national origin, source of income (e.g., SSI), ancestry, age, familial status (except for lawful senior housing in accordance with state and federal law), or disability, in the sale, lease, sublease, transfer, use, 24 863\11\3432812.5 occupancy, tenure or enjoyment of the Property, nor may Borrower or any person claiming under or through Borrower establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees in the Property. The foregoing covenant will run with the land. (b) Nothing in this Section prohibits Borrower from requiring the HOPWA- Assisted Unit in the Development to be available to and occupied by a HOPWA Eligible Household in accordance with the Regulatory Agreement. Section 4.12 Insurance Requirements. (a) Borrower shall maintain the following insurance coverage throughout the Term of the Loan: (i) Workers' Compensation insurance to the extent required by law, including Employer's Liability coverage, with limits not less than One Million Dollars ($1,000,000) each accident. (ii) Commercial General Liability insurance with limits not less than Two Million Dollars ($2,000,000) each occurrence combined single limit for Bodily Injury and Property Damage, including coverages for Contractual Liability, Personal Injury, Broadform Property Damage, Products and Completed Operations (which limits may be met through excess/umbrella coverage). (iii) Automobile Liability insurance with limits not less than One Million Dollars ($1,000,000) each occurrence combined single limit for Bodily Injury and Property Damage, including coverages for owned, non-owned and hired vehicles, as applicable. (iv) Builders' Risk insurance during the course of construction, and upon completion of construction, property insurance covering the Development, in form appropriate for the nature of such property, covering all risks of loss, excluding earthquake, for one hundred percent (100%) of the replacement value, with deductible, if any, acceptable to the County, naming the County as a Loss Payee, as its interests may appear. Flood insurance must be obtained if required by applicable federal regulations. (v) Commercial crime insurance covering all officers and employees, for loss of Loan proceeds caused by dishonesty, in an amount approved by the County, naming the County a Loss Payee, as its interests may appear. (b) Borrower shall cause any general contractor, agent, or subcontractor working on the Development under direct contract with Borrower or subcontract to maintain insurance of the types and in at least the minimum amounts described in subsections (i), (ii), and (iii) above, except that the limit of liability for commercial general liability insurance for subcontractors must be One Million Dollars ($1,000,000), and must require that such insurance will meet all of the general requirements of subsections (d) and (e) below. (c) The required insurance must be provided under an occurrence form, and 25 863\11\3432812.5 Borrower shall maintain the coverage described in subsection (a) continuously throughout the Term. Should any of the required insurance be provided under a form of coverage that includes an annual aggregate limit or provides that claims investigation or legal defense costs be included in such annual aggregate limit, such annual aggregate limit must be three times the occurrence limits specified above. (d) Commercial General Liability, Automobile Liability and Property insurance policies must be endorsed to name as an additional insured the County and its officers, agents, employees and members of the County Board of Supervisors. (e) All policies and bonds are to contain: (i) the agreement of the insurer to give the County at least ten (10) days' notice prior to cancellation or material change for non- payment of premium, and thirty (30) days' notice prior to cancellation for any other change or cancellation in said policies; (ii) an agreement that such policies are primary and non-contributing with any insurance that may be carried by the County; (iii) a provision that no act or omission of Borrower shall affect or limit the obligation of the insurance carrier to pay the amount of any loss sustained; and (iv) a waiver by the insurer of all rights of subrogation against the County and its authorized parties in connection with any loss or damage thereby insured against. Section 4.13 Covenants Regarding Approved Financing. (a) Borrower shall promptly pay the principal and interest when due on any Approved Financing. (b) Borrower shall promptly notify the County in writing of the existence of any default under any documents evidencing Approved Financing whether or not a default has been declared by the lender, and provide the County copies of any notice of default. (c) Borrower may not amend, modify, supplement, cancel or terminate any documents related to any loan that is part of the Approved Financing without the prior written consent of the County. Borrower shall provide the County copies of all amendments, modifications, and supplements to any document related to any loan that is part of Approved Financing. (d) Borrower may not incur any indebtedness of any kind other than Approved Financing or encumber the Development with any liens (other than liens for Approved Financing approved by the County) without the prior written consent of the County. Section 4.14 Transfers. (a) For purposes of this Agreement, "Transfer" means any sale, assignment, or transfer, whether voluntary or involuntary, of: (i) any rights and/or duties under the Loan Documents; and/or (ii) any interest in the Development, including (but not limited to) a fee simple interest, a joint tenancy interest, a life estate, a partnership interest, a leasehold interest, a security interest, or an interest evidenced by a land contract by which possession of the Development is transferred and Borrower retains title. The term "Transfer" excludes the leasing of any single unit in the Development to an occupant in compliance with the Regulatory 26 863\11\3432812.5 Agreement. The County Director – Department of Conservation and Development is authorized to execute assignment and assumption agreements on behalf of the County to implement any approved Transfer. (b) Except as otherwise permitted in this Section 4.14, no Transfer is permitted without the prior written consent of the County, which the County may withhold in its sole discretion. The County Loan will automatically accelerate and be due in full upon any Transfer made without the prior written consent of the County. Section 4.15 HOPWA Requirements. (a) Borrower shall comply with all applicable laws and regulations governing the use of the HOPWA Funds, as set forth in 24 C.F.R. Part 574 et. seq. In the event of any conflict between this Agreement and applicable laws and regulations governing the use of the Loan funds, the applicable laws and regulations govern. (b) The laws and regulations governing the use of the Loan funds include (but are not limited to) the following: (i) Environmental and Historic Preservation. 24 C.F.R. Part 58, which prescribes procedures for compliance with the National Environmental Policy Act of 1969 (42 U.S.C. 4321-4361), and the additional laws and authorities listed at 24 C.F.R. 58.5; (ii) Applicability of Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. The applicable policies, guidelines, and requirements of 2 C.F.R. Part 200; (iii) Debarred, Suspended or Ineligible Contractors. The prohibition on the use of debarred, suspended, or ineligible contractors set forth in 24 C.F.R. Part 24; (iv) Civil Rights, Housing and Community Development, and Age Discrimination Acts. The Fair Housing Act (42 U.S.C. 3601 et seq.) and implementing regulations at 24 C.F.R. Part 100; Title VI of the Civil Rights Act of 1964 as amended; Title VIII of the Civil Rights Act of 1968 as amended; Section 104(b) and Section 109 of Title I of the Housing and Community Development Act of 1974 as amended; Section 504 of the Rehabilitation Act of 1973 (29 USC 794, et seq.); the Age Discrimination Act of 1975 (42 USC 6101, et seq.); Executive Order 11063 as amended by Executive Order 12259 and implementing regulations at 24 C.F.R. Part 107; Executive Order 11246 as amended by Executive Orders 11375, 12086, 11478, 12107; Executive Order 11625 as amended by Executive Order 12007; Executive Order 12432; Executive Order 12138 as amended by Executive Order 12608; (v) Lead-Based Paint. The requirement of the Lead-Based Paint Poisoning Prevention Act, as amended (42 U.S.C. 4821 et seq.), the Residential Lead-Based Paint Hazard Reduction Act (42 U.S.C. 4851 et seq.), and implementing regulations at 24 C.F.R. Part 35; (vi) Relocation. The requirements of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. 4601, et seq.), and 27 863\11\3432812.5 implementing regulations at 49 C.F.R. Part 24; Section 104(d) of the Housing and Community Development Act of 1974 and implementing regulations at 24 C.F.R. 42 et seq.; 24 C.F.R. 92.353; 24 C.F.R. 574.630; and California Government Code Section 7260 et seq. and implementing regulations at 25 California Code of Regulations Sections 6000 et seq.; (vii) Discrimination against the Disabled. The requirements of the Fair Housing Act (42 U.S.C. 3601 et seq.) and implementing regulations at 24 C.F.R. Part 100; Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794), and federal regulations issued pursuant thereto, which prohibit discrimination against the disabled in any federally assisted program, the requirements of the Architectural Barriers Act of 1968 (42 U.S.C. 4151-4157) and the applicable requirements of Title II and/or Title III of the Americans with Disabilities Act of 1990 (42 U.S.C. 12131 et seq.), and federal regulations issued pursuant thereto; (viii) Clean Air and Water Acts. The Clean Air Act, as amended, 42 U.S.C. 7401 et seq., the Federal Water Pollution Control Act, as amended, 33 U.S.C. 1251 et seq., and the regulations of the Environmental Protection Agency with respect thereto, at 40 C.F.R. Part 1500, as amended from time to time; (ix) Uniform Administrative Requirements. The provisions of 24 C.F.R. 574.650 regarding cost and auditing requirements; (x) Housing Quality Standards. The housing quality standards set forth in 24 C.F.R. Section 574.310(b); (xi) Supportive Services. The supportive service requirements of 24 C.F.R. Section 574.310(a)(1). Borrower shall procure services to satisfy such service requirements; (xii) Training Opportunities. The requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701u and implementing Regulations at 24 C.F.R. 75 ("Section 3"); (1) Pursuant to Section 3, to the greatest extent feasible, and consistent with existing Federal, state, and local laws and regulations Borrower shall ensure: (A) that employment and training opportunities arising in connection with the Development are provided to Section 3 workers within the metropolitan area (or nonmetropolitan county) in which the Development is located. Where feasible, priority for opportunities and training described above should be given to: (i) Section 3 workers residing within the service area or the neighborhood of the project, and (ii) participants in YouthBuild programs; and (B) that contracts for work awarded in connection with the Development are provided to business concerns that provide economic opportunities to Section 3 workers residing within the metropolitan area (or nonmetropolitan county) in which the Development is located. Where feasible, priority for opportunities and training described above should be given to: (i) Section 3 business concerns that provide economic opportunities to 28 863\11\3432812.5 Section 3 workers residing within the service area or the neighborhood of the Development, and (ii) participants in YouthBuild programs. (2) Borrower will be considered to have complied with the Section 3 requirements, in the absence of evidence to the contrary, if it certifies that it has followed the prioritization of effort set forth in subsection (i) above, and meets or exceeds the applicable Section 3 benchmark as described in 24 C.F.R. 75.23(b). (3) Borrower shall maintain records of its Section 3 activities and cause such records to be accurate and current and in a form that allows the County to comply with the reporting requirements of 24 C.F.R. 75.25. (4) Borrower shall require all contractors and subcontractors performing work on the Development to comply with the Section 3 requirements. (xiii) Labor Standards. The labor requirements set forth in 24 C.F.R. 92.354; the prevailing wage requirements of the Davis-Bacon Act and implementing rules and regulations (40 U.S.C. 3141-3148); the Copeland "Anti-Kickback" Act (40 U.S.C. 276(c)) which requires that workers be paid at least once a week without any deductions or rebates except permissible deductions; the Contract Work Hours and Safety Standards Act – CWHSSA (40 U.S.C. 3701-3708) which requires that workers receive "overtime" compensation at a rate of 1-1/2 times their regular hourly wage after they have worked forty (40) hours in one (1) week; and Title 29, Code of Federal Regulations, Subtitle A, Parts 1, 3 and 5 are the regulations and procedures issued by the Secretary of Labor for the administration and enforcement of the Davis- Bacon Act, as amended; (xiv) Drug Free Workplace. The requirements of the Drug Free Workplace Act of 1988 (P.L. 100-690) and implementing regulations at 24 C.F.R. Part 24; (xv) Anti-Lobbying; Disclosure Requirements. The disclosure requirements and prohibitions of 31 U.S.C. 1352 and implementing regulations at 24 C.F.R. Part 87; (xvi) Historic Preservation. The historic preservation requirements set forth in the National Historic Preservation Act of 1966, as amended (16 U.S.C. Section 470) and the procedures set forth in 36 C.F.R. Part 800. If archeological, cultural, or historic period resources are discovered during construction, all construction work must come to a halt and Borrower shall immediately notify the County. Borrower shall not shall alter or move the discovered material(s) until all appropriate procedures for "post-review discoveries" set forth in Section 106 of the National Historic Preservation Act have taken place, which include, but are not limited to, consultation with the California State Historic Preservation Officer and evaluation of the discovered material(s) by a qualified professional archeologist; (xvii) Religious Organizations. If the Borrower is a religious organization, as defined by the HOPWA requirements, the Borrower shall comply with all conditions prescribed by HUD for the use of HOPWA Funds by religious organizations, including the First Amendment of the United States Constitution regarding church/state principles and the applicable constitutional prohibitions set forth in 24 C.F.R. 574.300(c); 29 863\11\3432812.5 (xviii) Violence Against Women. The requirements of the Violence Against Women Reauthorization Act of 2013 (Pub. L. 113–4, 127 Stat. 54) applicable to HUD- funded programs; (xix) Conflict of Interest. The conflict of interest provisions set forth in 24 C.F.R. Section 574.625; (xx) Carbon Monoxide Alarms or Detectors. The requirements of 42 U.S.C. 12905(i) and Notice CPD-22-15 which require the installation of carbon monoxide alarms or detectors that meet or exceed the standards described in chapters 9 and 11 of the 2018 publication of the International Fire Code, as published by the International Code Council in the HOPWA-Assisted Units; and (xxi) HUD Regulations. Any other HUD regulations present or as may be amended, added, or waived in the future pertaining to the County Loan funds. Section 4.16 Anti-Lobbying Certification. (a) Borrower certifies, to the best of Borrower's knowledge or belief, that: (i) No Federal appropriated funds have been paid or will be paid, by or on behalf of it, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement; (ii) If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, grant, loan, or cooperative agreement, it will complete and submit Standard Form-LLL, Disclosure Form to Report Lobbying, in accordance with its instructions. (b) This certification is a material representation of fact upon which reliance was placed when the Loan Documents were made or entered into. Submission of this certification is a prerequisite for making or entering into the Loan Documents imposed by Section 1352, Title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than Ten Thousand Dollars ($10,000) and no more than One Hundred Thousand Dollars ($100,000) for such failure. ARTICLE 5 REPRESENTATIONS AND WARRANTIES OF BORROWER Section 5.1 Representations and Warranties. 30 863\11\3432812.5 Borrower hereby represents and warrants to the County as follows and acknowledges, understands, and agrees that the representations and warranties set forth in this Article 5 are deemed to be continuing during all times when any portion of the Loan remains outstanding: (a) Organization. Borrower is duly organized, validly existing and in good standing under the laws of the State of California and has the power and authority to own its property and carry on its business as now being conducted. (b) Authority of Borrower. Borrower has full power and authority to execute and deliver this Agreement and to make and accept the borrowings contemplated hereunder, to execute and deliver the Loan Documents and all other documents or instruments executed and delivered, or to be executed and delivered, pursuant to this Agreement, and to perform and observe the terms and provisions of all of the above. (c) Authority of Persons Executing Documents. This Agreement and the Loan Documents and all other documents or instruments executed and delivered, or to be executed and delivered, pursuant to this Agreement have been executed and delivered by persons who are duly authorized to execute and deliver the same for and on behalf of Borrower, and all actions required under Borrower's organizational documents and applicable governing law for the authorization, execution, delivery and performance of this Agreement and the Loan Documents and all other documents or instruments executed and delivered, or to be executed and delivered, pursuant to this Agreement, have been duly taken. (d) Valid Binding Agreements. The Loan Documents and all other documents or instruments executed and delivered pursuant to or in connection with this Agreement constitute or, if not yet executed or delivered, will when so executed and delivered constitute, legal, valid and binding obligations of Borrower enforceable against it in accordance with their respective terms. (e) No Breach of Law or Agreement. Neither the execution nor delivery of the Loan Documents or of any other documents or instruments executed and delivered, or to be executed or delivered, pursuant to this Agreement, nor the performance of any provision, condition, covenant or other term hereof or thereof, will: (i) conflict with or result in a breach of any statute, rule or regulation, or any judgment, decree or order of any court, board, commission or agency whatsoever that is binding on Borrower, or conflict with any provision of the organizational documents of Borrower, or conflict with any agreement to which Borrower is a party; or (ii) result in the creation or imposition of any lien upon any assets or property of Borrower, other than liens established pursuant hereto. (f) Compliance with Laws; Consents and Approvals. The Rehabilitation will comply with all applicable laws, ordinances, rules and regulations of federal, state and local governments and agencies and with all applicable directions, rules and regulations of the fire marshal, health officer, building inspector and other officers of any such government or agency. (g) Pending Proceedings. Borrower is not in default under any law or regulation or under any order of any court, board, commission or agency whatsoever, and there are no claims, actions, suits or proceedings pending or, to the knowledge of Borrower, threatened against or affecting Borrower or the Development, at law or in equity, before or by any court, 31 863\11\3432812.5 board, commission or agency whatsoever which might, if determined adversely to Borrower, materially affect Borrower's ability to repay the Loan or impair the security to be given to the County pursuant hereto. (h) Title to Land. At the time of recordation of the Deed of Trust, Borrower will have good and marketable fee title to the Development and there will exist thereon or with respect thereto no mortgage, lien, pledge or other encumbrance of any character whatsoever other than liens shown on the County's title policy, or approved in writing by the County. (i) Financial Statements. The financial statements of Borrower and other financial data and information furnished by Borrower to the County fairly and accurately present the information contained therein. As of the date of this Agreement, there has not been any material adverse change in the financial condition of Borrower from that shown by such financial statements and other data and information. (j) Sufficient Funds. Borrower holds sufficient funds and/or binding commitments for sufficient funds to complete the acquisition of the Property and the Rehabilitation in accordance with the terms of this Agreement. (k) Taxes. Borrower and its subsidiaries have filed all federal and other material tax returns and reports required to be filed, and have paid all federal and other material taxes, assessments, fees and other governmental charges levied or imposed upon them or their income or the Property otherwise due and payable, except those that are being contested in good faith by appropriate proceedings and for which adequate reserves have been provided in accordance with generally accepted accounting principles. There is no proposed tax assessment against Borrower or any of its subsidiaries that could, if made, be reasonably expected to have a material adverse effect on the property, liabilities (actual or contingent), operations, condition (financial or otherwise) or prospects of Borrower and its subsidiaries, taken as a whole, or which could result in (i) a material impairment of the ability of Borrower to perform under any loan document to which it is a party, or (ii) a material adverse effect upon the legality, validity, binding effect or enforceability against Borrower of any Loan Document. (l) Hazardous Materials. To the best of Borrower's knowledge, except as disclosed in writing by Borrower to the County prior to the date of this Agreement: (i) no Hazardous Material has been disposed of, stored on, discharged from, or released to or from, or otherwise now exists in, on, under, or around, the Property; (ii) neither the Property nor Borrower is in violation of any Hazardous Materials Law; and (iii) neither the Property nor Borrower is subject to any existing, pending or threatened Hazardous Materials Claims. ARTICLE 6 DEFAULT AND REMEDIES Section 6.1 Events of Default. Any one or more of the following constitutes an "Event of Default" by Borrower under this Agreement: (a) Failure to Construct. If Borrower fails to obtain permits, or to commence 32 863\11\3432812.5 and prosecute the Rehabilitation to completion, within the times set forth in Article 3 above. (b) Failure to Make Payment. If Borrower fails to make any payment when such payment is due pursuant to the Loan Documents. (c) Breach of Covenants. If Borrower fails to duly perform, comply with, or observe any other condition, term, or covenant contained in this Agreement (other than as set forth in Section 6.1(a) through Section 6.1(b), and Section 6.1(d) through Section 6.1(k)), or in any of the other Loan Documents, and Borrower fails to cure such default within thirty (30) days after receipt of written notice thereof from the County to Borrower. (d) Default Under Other Loans. If a default is declared under any other financing for the Development by the lender of such financing and such default remains uncured following any applicable notice and cure period. (e) Insolvency. If a court having jurisdiction makes or enters any decree or order: (i) adjudging Borrower to be bankrupt or insolvent; (ii) approving as properly filed a petition seeking reorganization of Borrower, or seeking any arrangement for Borrower under the bankruptcy law or any other applicable debtor's relief law or statute of the United States or any state or other jurisdiction; (iii) appointing a receiver, trustee, liquidator, or assignee of Borrower in bankruptcy or insolvency or for any of their properties; (iv) directing the winding up or liquidation of Borrower if any such decree or order described in clauses (i) to (iv), inclusive, is unstayed or undischarged for a period of ninety (90) calendar days; or (v) Borrower admits in writing its inability to pay its debts as they fall due or will have voluntarily submitted to or filed a petition seeking any decree or order of the nature described in clauses (i) to (iv), inclusive. The occurrence of any of the Events of Default in this paragraph will act to accelerate automatically, without the need for any action by the County, the indebtedness evidenced by the Note. (f) Assignment; Attachment. If Borrower assigns its assets for the benefit of its creditors or suffers a sequestration or attachment of or execution on any substantial part of its property, unless the property so assigned, sequestered, attached or executed upon is returned or released within ninety (90) calendar days after such event or, if sooner, prior to sale pursuant to such sequestration, attachment, or execution. The occurrence of any of the events of default in this paragraph shall act to accelerate automatically, without the need for any action by the County, the indebtedness evidenced by the Note. (g) Suspension; Termination. If Borrower voluntarily suspends its business or, the partnership is dissolved or terminated, other than a technical termination of the partnership for tax purposes. (h) Liens on Property and the Development. If any claim of lien (other than liens allowed pursuant to any Loan Document or approved in writing by the County) is filed against the Development or any part thereof, or any interest or right made appurtenant thereto, or the service of any notice to withhold proceeds of the Loan and the continued maintenance of said claim of lien or notice to withhold for a period of twenty (20) days, without discharge or satisfaction thereof or provision therefor (including, without limitation, the posting of bonds) satisfactory to the County. 33 863\11\3432812.5 (i) Condemnation. If there is a condemnation, seizure, or appropriation of all or the substantial part of the Property and the Development other than by the County. (j) Unauthorized Transfer. If any Transfer occurs other than as permitted pursuant to Section 4.14. (k) Representation or Warranty Incorrect. If any Borrower representation or warranty contained in this Agreement, or in any application, financial statement, certificate, or report submitted to the County in connection with any of the Loan Documents, proves to have been incorrect in any material respect when made. Section 6.2 Remedies. Upon the occurrence of an Event of Default and until such Event of Default is cured or waived, the County is relieved of any obligation to disburse any portion of the Loan. In addition, upon the occurrence of an Event of Default and following the expiration of all applicable notice and cure periods the County may proceed with any and all remedies available to it under law, this Agreement, and the other Loan Documents. Such remedies include but are not limited to the following: (a) Acceleration of Note. The County may cause all indebtedness of Borrower to the County under this Agreement and the Note, together with any accrued interest thereon, to become immediately due and payable. Borrower waives all right to presentment, demand, protest or notice of protest or dishonor. The County may proceed to enforce payment of the indebtedness and to exercise any or all rights afforded to the County as a creditor and secured party under the law including the Uniform Commercial Code, including foreclosure under the Deed of Trust. Borrower is liable to pay the County on demand all reasonable expenses, costs and fees (including, without limitation, reasonable attorney's fees and expenses) paid or incurred by the County in connection with the collection of the Loan and the preservation, maintenance, protection, sale, or other disposition of the security given for the Loan. (b) Specific Performance. The County has the right to mandamus or other suit, action or proceeding at law or in equity to require Borrower to perform its obligations and covenants under the Loan Documents or to enjoin acts on things that may be unlawful or in violation of the provisions of the Loan Documents. (c) Right to Cure at Borrower's Expense. The County has the right (but not the obligation) to cure any monetary default by Borrower under a loan other than the Loan. Upon demand therefor, Borrower shall reimburse the County for any funds advanced by the County to cure such monetary default by Borrower, together with interest thereon from the date of expenditure until the date of reimbursement at the Default Rate. Section 6.3 Right of Contest. Borrower may contest in good faith any claim, demand, levy, or assessment the assertion of which would constitute an Event of Default hereunder. Any such contest is to be prosecuted diligently and in a manner unprejudicial to the County or the rights of the County hereunder. 34 863\11\3432812.5 Section 6.4 Remedies Cumulative. No right, power, or remedy given to the County by the terms of this Agreement or the other Loan Documents is intended to be exclusive of any other right, power, or remedy; and each and every such right, power, or remedy is cumulative and in addition to every other right, power, or remedy given to the County by the terms of any such instrument, or by any statute or otherwise against Borrower and any other person. Neither the failure nor any delay on the part of the County to exercise any such rights and remedies will operate as a waiver thereof, nor does any single or partial exercise by the County of any such right or remedy preclude any other or further exercise of such right or remedy, or any other right or remedy. ARTICLE 7 GENERAL PROVISIONS Section 7.1 Relationship of Parties. Nothing contained in this Agreement is to be interpreted or understood by any of the Parties, or by any third persons, as creating the relationship of employer and employee, principal and agent, limited or general partnership, or joint venture between the County and Borrower or its agents, employees or contractors, and Borrower will at all times be deemed an independent contractor and to be wholly responsible for the manner in which it or its agents, or both, perform the services required of it by the terms of this Agreement. Borrower has and retains the right to exercise full control of employment, direction, compensation, and discharge of all persons assisting in the performance of services under the Agreement. In regards to the Rehabilitation and the operation of the Development, Borrower is solely responsible for all matters relating to payment of its employees, including compliance with Social Security, withholding, and all other laws and regulations governing such matters, and must include requirements in each contract that contractors are solely responsible for similar matters relating to their employees. Borrower is solely responsible for its own acts and those of its agents and employees. Section 7.2 No Claims. Nothing contained in this Agreement creates or justifies any claim against the County by any person that Borrower may have employed or with whom Borrower may have contracted relative to the purchase of materials, supplies or equipment, or the furnishing or the performance of any work or services with respect to the purchase of the Property, the Rehabilitation or the operation of the Development, and Borrower shall include similar requirements in any contracts entered into for the Rehabilitation or the operation of the Development. Section 7.3 Amendments. No alteration or variation of the terms of this Agreement is valid unless made in writing by the Parties. The County Director of the Department of Conservation and Development is authorized to execute on behalf of the County amendments to the Loan Documents or amended and restated Loan Documents as long as any discretionary change in the amount or terms of this Agreement is approved by the County's Board of Supervisors. Section 7.4 Indemnification. 35 863\11\3432812.5 Borrower shall indemnify, defend and hold the County and its board members, supervisors, directors, officers, employees, agents, successors and assigns harmless against any and all claims, suits, actions, losses and liability of every kind, nature and description made against it and expenses (including reasonable attorneys' fees) which arise out of or in connection with this Agreement, including but not limited to the purchase of the Property, the development, construction, marketing and operation of the Development, and the Rehabilitation, except to the extent such claim arises from the gross negligence or willful misconduct of the County, its agents, and its employees. This obligation to indemnify survives termination of this Agreement, repayment of the Loan, and the reconveyance of the Deed of Trust. Section 7.5 Non-Liability of County Officials, Employees and Agents. No member, official, employee or agent of the County is personally liable to Borrower in the event of any default or breach of this Agreement by the County or for any amount that may become due from the County pursuant to this Agreement. Section 7.6 No Third Party Beneficiaries. There are no third party beneficiaries to this Agreement. Section 7.7 Discretion Retained By County. The County's execution of this Agreement in no way limits any discretion the County may have in the permit and approval process related to the Rehabilitation. Section 7.8 Conflict of Interest. (a) Except for approved eligible administrative or personnel costs, no person described in Section 7.8(b) below who exercises or has exercised any functions or responsibilities with respect to the activities funded pursuant to this Agreement or who is in a position to participate in a decision-making process or gain inside information with regard to such activities, may obtain a financial interest or benefit from the activity, or have a financial interest in any contract, subcontract or agreement with respect thereto, or the proceeds thereunder, either for themselves or those with whom they have immediate family or business ties, during, or at any time after, such person's tenure. Borrower shall exercise due diligence to ensure that the prohibition in this Section 7.8(a) is followed. (b) The conflict of interest provisions of Section 7.8(a) above apply to any person who is an employee, agent, consultant, officer, or elected or appointed official of the County. (c) In accordance with California Government Code Section 1090 and the Political Reform Act, California Government Code section 87100 et seq., no person who is a director, officer, partner, trustee or employee or consultant of Borrower, or immediate family member of any of the preceding, may make or participate in a decision, made by the County or a County board, commission or committee, if it is reasonably foreseeable that the decision will have a material effect on any source of income, investment or interest in real property of that person or Borrower. Interpretation of this section is governed by the definitions and provisions 36 863\11\3432812.5 used in the Political Reform Act, California Government Code Section 87100 et seq., its implementing regulations manual and codes, and California Government Code Section 1090. Section 7.9 Notices, Demands and Communications. All notices required or permitted by any provision of this Agreement must be in writing and sent by registered or certified mail, postage prepaid, return receipt requested, or delivered by express delivery service, return receipt requested, or delivered personally, to the principal office of the Parties as follows: County: County of Contra Costa Department of Conservation and Development 30 Muir Road Martinez, CA 94553 Attention: Assistant Deputy Director Borrower: Aspen Drive Housing, Inc. 2220 Oxford Street Berkeley, CA 94704 Attention: Dan Sawislak Such written notices, demands and communications may be sent in the same manner to such other addresses as the affected party may from time to time designate by mail as provided in this Section. Receipt will be deemed to have occurred on the date shown on a written receipt as the date of delivery or refusal of delivery (or attempted delivery if undeliverable). Section 7.10 Applicable Law. This Agreement is governed by the laws of the State of California. Section 7.11 Parties Bound. Except as otherwise limited herein, this Agreement binds and inures to the benefit of the parties and their heirs, executors, administrators, legal representatives, successors, and assigns. This Agreement is intended to run with the land and to bind Borrower and its successors and assigns in the Property and the Development for the entire Term, and the benefit hereof is to inure to the benefit of the County and its successors and assigns. Section 7.12 Severability. If any term of this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remainder of the provisions will continue in full force and effect unless the rights and obligations of the parties have been materially altered or abridged by such invalidation, voiding or unenforceability. Section 7.13 Force Majeure. 37 863\11\3432812.5 In addition to specific provisions of this Agreement, performance by either party will not be deemed to be in default where delays or defaults are due to war, insurrection, strikes, lock- outs, riots, floods, earthquakes, fires, quarantine restrictions, freight embargoes, lack of transportation, or court order. An extension of time for any cause will be deemed granted if notice by the party claiming such extension is sent to the other within ten (10) days from the commencement of the cause and such extension of time is not rejected in writing by the other party within ten (10) days after receipt of the notice. In no event will the County be required to agree to cumulative delays in excess of one hundred eighty (180) days. Section 7.14 County Approval. The County has authorized the County Director, Department of Conservation and Development to execute the Loan Documents and deliver such approvals or consents as are required by this Agreement, and to execute estoppel certificates concerning the status of the Loan and the existence of Borrower defaults under the Loan Documents. Section 7.15 Waivers. Any waiver by the County of any obligation or condition in this Agreement must be in writing. No waiver will be implied from any delay or failure by the County to take action on any breach or default of Borrower or to pursue any remedy allowed under this Agreement or applicable law. Any extension of time granted to Borrower to perform any obligation under this Agreement does not operate as a waiver or release from any of its obligations under this Agreement. Consent by the County to any act or omission by Borrower may not be construed to be consent to any other or subsequent act or omission or to waive the requirement for the County's written consent to future waivers. Section 7.16 Title of Parts and Sections. Any titles of the sections or subsections of this Agreement are inserted for convenience of reference only and are to be disregarded in interpreting any part of the Agreement's provisions. Section 7.17 Entire Understanding of the Parties. The Loan Documents constitute the entire agreement of the parties with respect to the Loan. Section 7.18 Multiple Originals; Counterpart. This Agreement may be executed in multiple originals, each of which is deemed to be an original, and may be signed in counterparts. Remainder of Page Left Intentionally Blank Signature page County Loan Agreement 863\11\3432812.5 38 The parties are entering into this Agreement as of the date set forth above. COUNTY: COUNTY OF CONTRA COSTA, a political subdivision of the State of California By: ____________________________________ John Kopchik Director, Department of Conservation and Development APPROVED AS TO FORM: Thomas L. Geiger Chief Assistant County Counsel By: ______________________ Kathleen Andrus Deputy County Counsel BORROWER: ASPEN DRIVE HOUSING, INC., a California nonprofit public benefit corporation, By: ____________________________ Daniel Sawislak, Executive Director A-1 863\11\3432812.5 EXHIBIT A LEGAL DESCRIPTION Real Property in the unincorporated area of Pacheco, County of Contra Costa, State of California, described as follows: PORTION OF THE RANCHO LAS JUNTAS, DESCRIBED AS FOLLOWS: BEGINNING AT A POINT IN THE CENTER LINE OF THE OLD COUNTY ROAD FROM MARTINEZ TO PACHECO WHICH BEARS ALONG SAID CENTER LINE NORTH 23° 34' 30" WEST, 50.57 FEET, AND NORTH 30° 18' WEST, 71.5 FEET FROM THE NORTHEAST CORNER OF THE 9.13 ACRE PARCEL OF LAND DESCRIBED IN THE DEED FROM CAROLINE M. CAVANAGH, ET AL, TO MARY L. LAWRENCE, ET AL, DATED SEPTEMBER 23, 1930 AND RECORDED SEPTEMBER 30, 1930, IN VOLUME 258 OF OFFICIAL RECORDS, AT PAGE 41, SAID NORTHEAST CORNER BEING AT THE INTERSECTION OF THE CENTER LINE OF SAID COUNTY ROAD WITH THE SOUTH LINE OF DALTON LANE EXTENDED EASTERLY; THENCE FROM SAID POINT OF BEGINNING, NORTH 30° 18' WEST, ALONG THE CENTER LINE OF SAID COUNTY ROAD, 139.21 FEET; THENCE SOUTH 77° 21' WEST ALONG A FENCE LINE, 167.18 FEET TO AN IRON PIPE; THENCE SOUTH 12° 06' EAST ALONG A FENCE LINE, 112.69 FEET; THENCE NORTH 76° 15' 30" EAST, 50.96 FEET TO AN IRON PIPE; THENCE SOUTH 12° 58' EAST ALONG A FENCE LINE, 23.36 FEET TO AN IRON PIPE; THENCE NORTH 76° 29' EAST ALONG A FENCE LINE, 159.4 FEET TO THE POINT OF BEGINNING. APN: 125-140-006-3 B-1 863\11\3432812.5 EXHIBIT B APPROVED REHABILITATION BUDGET C-1 863\11\3432812.5 EXHIBIT C APPROVED REHABILITATION SCHEDULE TABLE OF CONTENTS Page i 863\11\3432812.5 ARTICLE 1 DEFINITIONS AND EXHIBITS ...............................................................................2 Section 1.1 Definitions................................................................................................... 2 Section 1.2 Exhibits ....................................................................................................... 6 ARTICLE 2 LOAN PROVISIONS .................................................................................................6 Section 2.1 Loan. ........................................................................................................... 6 Section 2.2 Interest......................................................................................................... 6 Section 2.3 Use of Loan Funds. ..................................................................................... 7 Section 2.4 Security. ...................................................................................................... 7 Section 2.5 Conditions Precedent to Disbursement of Initial Funding Amount for Predevelopment Activities. ..................................................... 7 Section 2.6 Conditions Precedent to Disbursement of Loan Funds for Construction Activities. .............................................................................. 9 Section 2.7 Conditions Precedent to Disbursement of Retention. ............................... 10 Section 2.8 Repayment Schedule. ................................................................................ 10 Section 2.9 Non-Recourse. .......................................................................................... 11 ARTICLE 3 THE REHABILITATION ........................................................................................11 Section 3.1 Permits and Approvals. ............................................................................. 11 Section 3.2 Bid Package. ............................................................................................. 11 Section 3.3 Construction Contract. .............................................................................. 12 Section 3.4 Construction Bonds. .................................................................................. 12 Section 3.5 Commencement of the Rehabilitation. ..................................................... 12 Section 3.6 Completion of the Rehabilitation. ............................................................. 12 Section 3.7 Changes; Construction Pursuant to Plans and Laws. ................................ 13 Section 3.8 Prevailing Wages. ..................................................................................... 13 Section 3.9 Accessibility. ............................................................................................. 15 Section 3.10 Relocation. ................................................................................................ 16 Section 3.11 Equal Opportunity. .................................................................................... 16 Section 3.12 Minority and Women-Owned Contractors. .............................................. 16 Section 3.13 Progress Reports. ...................................................................................... 16 Section 3.14 Construction Responsibilities. .................................................................. 17 Section 3.15 Mechanics Liens, Stop Notices, and Notices of Completion.................... 17 Section 3.16 Inspections. ............................................................................................... 17 Section 3.17 Approved Rehabilitation Budget; Revisions to Budget. ........................... 18 ARTICLE 4 LOAN REQUIREMENTS ........................................................................................18 Section 4.1 Reserve Accounts...................................................................................... 18 Section 4.2 Financial Accountings and Post-Completion Audits. ............................... 18 Section 4.3 Approval of Annual Operating Budget. .................................................... 19 Section 4.4 Information. .............................................................................................. 19 Section 4.5 County Audits. .......................................................................................... 19 Section 4.6 Hazardous Materials. ................................................................................ 19 Section 4.7 Maintenance; Damage and Destruction. ................................................... 22 Section 4.8 Fees and Taxes. ......................................................................................... 22 Section 4.9 Notices. ..................................................................................................... 23 TABLE OF CONTENTS (continued) Page ii 863\11\3432812.5 Section 4.10 Operation of Development as Affordable Housing. ................................. 23 Section 4.11 Nondiscrimination..................................................................................... 23 Section 4.12 Insurance Requirements. ........................................................................... 24 Section 4.13 Covenants Regarding Approved Financing. ............................................. 25 Section 4.14 Transfers. .................................................................................................. 25 Section 4.15 HOPWA Requirements. ............................................................................ 26 Section 4.16 Anti-Lobbying Certification. .................................................................... 29 ARTICLE 5 REPRESENTATIONS AND WARRANTIES OF BORROWER ..........................29 Section 5.1 Representations and Warranties. ............................................................... 29 ARTICLE 6 DEFAULT AND REMEDIES ..................................................................................31 Section 6.1 Events of Default. ..................................................................................... 31 Section 6.2 Remedies. .................................................................................................. 33 Section 6.3 Right of Contest. ....................................................................................... 33 Section 6.4 Remedies Cumulative. .............................................................................. 34 ARTICLE 7 GENERAL PROVISIONS .......................................................................................34 Section 7.1 Relationship of Parties. ............................................................................. 34 Section 7.2 No Claims. ................................................................................................ 34 Section 7.3 Amendments. ............................................................................................ 34 Section 7.4 Indemnification. ........................................................................................ 34 Section 7.5 Non-Liability of County Officials, Employees and Agents...................... 35 Section 7.6 No Third Party Beneficiaries. ................................................................... 35 Section 7.7 Discretion Retained By County. ............................................................... 35 Section 7.8 Conflict of Interest. ................................................................................... 35 Section 7.9 Notices, Demands and Communications. ................................................. 36 Section 7.10 Applicable Law. ........................................................................................ 36 Section 7.11 Parties Bound. ........................................................................................... 36 Section 7.12 Severability. .............................................................................................. 36 Section 7.13 Force Majeure. .......................................................................................... 36 Section 7.14 County Approval. ...................................................................................... 37 Section 7.15 Waivers. .................................................................................................... 37 Section 7.16 Title of Parts and Sections. ....................................................................... 37 Section 7.17 Entire Understanding of the Parties. ......................................................... 37 Section 7.18 Multiple Originals; Counterpart. ............................................................... 37 EXHIBIT A Legal Description of the Property EXHIBIT B Approved Rehabilitation Budget EXHIBIT C Approved Rehabilitation Schedule 863\11\3432812.5 HOPWA LOAN AGREEMENT Between COUNTY OF CONTRA COSTA And ASPEN DRIVE HOUSING, INC. Aspen Court dated June 1, 2023 RECOMMENDATION(S): APPROVE and AUTHORIZE the Conservation and Development Director, or designee, to execute legal documents, subject to approval by the County Administrator and approval as to form by County Counsel, to provide a Housing Opportunities for Persons with AIDS (HOPWA) loan of $600,000 to Aspen Drive Housing, Inc., a California nonprofit public benefit corporation, to rehabilitate the Aspen Court Apartments Project located at 121 Aspen Drive in the unincorporated community of Pacheco. FISCAL IMPACT: No General Fund impact. HOPWA funds are provided on a formula allocation basis through the City of Oakland, as HOPWA Grantee. HOPWA CFDA #14.241. BACKGROUND: On June 11, 2022, the Board of Supervisors approved an allocation of $600,000 in HOPWA funds to Resources for Community Development (RCD) for the rehabilitation of Aspen Court, a 12-unit affordable housing rental property located at 121 Aspen Drive in the unincorporated community of Pacheco. The project was originally financed as a small HUD Section 811 Supportive Housing for Persons with Disabilities project to subsidize rental housing with the availability of supportive services for very low- and extremely low-income adults with disabilities. The HOPWA loan is being made to finance the predevelopment and construction costs associated with the rehabilitation activities for Aspen Court and is intended to maintain the supply of affordable rental housing in the County. With this HOPWA loan, the County will continue to designate 11 units as HOPWA-assisted for an additional 55-year term. As proposed, the HOPWA funds will be loaned in two phases: 1) FY 2018 HOPWA funds of $167,000 for predevelopment costs associated with the proposed rehabilitation that must be expended by June 30, 2023, to meet HOPWA expenditure requirements; and 2) $433,000 for the primary rehabilitation construction costs. The HOPWA funds will be provided by the County in the form of a 55-year loan. The HOPWA loan will bear no interest with payments being deferred during the term of the loan. Affordability and use restrictions are incorporated into the HOPWA loan documents. The County will have a HOPWA Regulatory Agreement with a 55-year term of affordability for this project. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Kristin Sherk, (925) 655-2889 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 28 To:Board of Supervisors From:John Kopchik, Director, Conservation & Development Department Date:May 16, 2023 Contra Costa County Subject:Approval of $600,000 HOPWA Loan and Related Legal Documents for Aspen Court Apartments BACKGROUND: (CONT'D) The building was constructed 20 years ago and has capital needs that cannot be addressed with available resources. The scope of the approved rehabilitation includes exterior accessibility upgrades to the parking lot, exterior lighting and security camera system improvements, exterior painting, roof replacement, water/plumbing pipeline replacement, water pump upgrades, central water heater upgrades, replacement of heaters in all units, and unit upgrades to kitchens, bathrooms, and flooring as needed. The recommended action includes authorization for the Director of the Department of Conservation and Development, or designee, to execute any and all documents and to take any and all actions necessary to implement the activities authorized under the Loan Documents, including execution of loan amendments or modifications for the purposes of agreeing to reasonable extensions of time deadlines. Due to the high construction costs and limited revenue from the restricted rents, the total amount of the financing provided to the project will likely exceed the value of the completed project. Even though the proposed equity investment from low-income housing tax credits is substantial compared to the amount of long-term debt, the partnership agreement will have numerous safeguards of the investor's equity. These safeguards essentially subordinate the County’s debt to the investor’s equity. Therefore, the County HOPWA funds may not be fully secured through the value of the property. However, the HOPWA program funds are granted, not loaned, to the County, so the County general fund will not have any exposure as a result of this loan. The County structures its HOPWA investments as loans rather than grants in order to maintain involvement in the financial team in the event the project experiences any serious issues over the 55-year term. National Environmental Policy Act (NEPA): HOPWA projects are subject to NEPA and 24 CFR Part 58 review. The NEPA review for this project has been completed and the project is exempt. CONSEQUENCE OF NEGATIVE ACTION: Without the approval and execution of the legal documents, the rehabilitation of Aspen Court will not be completed, and the property will continue to suffer from deferred maintenance. The project must close the transaction and expend $167,000 of the HOPWA loan by June 30, 2023, or the County will forgo the HOPWA funds. ATTACHMENTS Aspen Court HOPWA Loan Agrreement Aspen Court HOPWA - Deed of Trust Aspen Court - HOPWA Regulatory Agreement Aspen Court HOPWA - Promissory Note RECOMMENDATION(S): APPROVE and AUTHORIZE the Health Services Director, or designee, to execute on behalf of the County Contract #77-575 with UniHealth, Licensed Clinical Social Worker, Professional Corporation (dba UniHealth, LCSW, PC), a professional corporation, in an amount not to exceed $400,000, to provide therapeutic behavioral health services for Contra Costa Health Plan (CCHP) members and County recipients, for the period June 1, 2023 through May 31, 2025. FISCAL IMPACT: This contract will result in contractual service expenditures of up to $400,000 over a 2-year period and will be funded 100% by CCHP Enterprise Fund II revenues. BACKGROUND: CCHP has an obligation to provide certain specialized behavioral health services - therapy health care services including but not limited to; licensed clinical social work and marriage and family therapy to CCHP members under the terms of their Individual and Group Health Plan membership contracts with the County. This is a new contractor that will be part of the CCHP Provider Network providing these services as of June 1, 2023. Under new Contract #77-575, this contractor will provide behavioral health services -therapy for CCHP members and County recipients for the period June 1, 2023 through May 31, 2025. CONSEQUENCE OF NEGATIVE ACTION: If this contract is not approved, certain specialized behavioral health services for CCHP members under the terms of their Individual and Group Health Plan membership contract with the County will not be provided. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Sharron A. Mackey, 925-313-6104 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: Noel Garcia, Marcy Wilhelm C. 29 To:Board of Supervisors From:Anna Roth, Health Services Director Date:May 16, 2023 Contra Costa County Subject:Contract #77-575 with UniHealth, Licensed Clinical Social Worker, Professional Corporation (dba UniHealth, LCSW, PC) CLERK'S ADDENDUM Speaker: Caller 6770 RECOMMENDATION(S): APPROVE and AUTHORIZE the Clerk of the Board, or designee, to execute a contract amendment with Granicus, Inc., extending the contract term through May 16, 2026, with no change to the payment limit of $825,816 for continued meeting and agenda management. FISCAL IMPACT: This contract has no additional fiscal impact. BACKGROUND: Contracting with Granicus, Inc. for Meeting and Agenda Management has supported the County meeting the goals of the Better Government Ordinance (BGO), complying with website posting provision of the Brown Act, and using modern technology to deliver information to the citizens of Contra Costa County. The Granicus “Open Platform” and “Government Transparency” suites are used for recording, projecting, live streaming, and archiving meetings conducted in the Board Chamber. The Boards and Commissions module was added in 2016 and has centralized the data for all of the County’s 70+ Boards and Commissions. The Boards and Commissions module allows Clerk of the Board staff to easily manage all of the appointments and resignations and enables the citizens of Contra Costa the ability to apply for service on boards and commissions via the internet. Granicus hardware has allowed us to replace the Contra Costa Television (CCTV) technology used to record, broadcast, and archive public meetings. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Jami Morritt, 655-2005 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 30 To:Board of Supervisors From:Monica Nino, County Administrator Date:May 16, 2023 Contra Costa County Subject:Contract Amendment with Granicus, Inc. for Meeting and Agenda Management BACKGROUND: (CONT'D) In the fourth quarter of 2023, the Legistar agenda management module implementation will further streamline the agenda process thereby having a fully integrated meeting and agenda management system. The fully integrated Granicus system with its Insite internet interface will streamline the process for citizens to find meeting information, view agendas, search current and past agenda items and view meeting videos. Extending the contract will also allow the County to continue meeting the goals of the BGO and Brown Act. On October 9, 2018, the Board of Supervisors approved the execution of a contract amendment with Granicus to increase the payment limit by $175,000 to a new payment limit of $825,816 for meeting and agenda management and to extend the contract term through October 8, 2021. Due to an administrative oversight and new staff transitioning over the management of this contract, it was recently discovered that the October 9, 2018 board order extending the contract term through October 8, 2021, should have indicated that the contract included automatic annual renewals, unless terminated by either party. Since, Granicus, Inc. has maintained that there were automatic renewals in the agreement, they have continued to provide uninterrupted services. Now that staff has discovered that the Board authorization for the contract has expired, the request to the Board is to approve this retroactive amendment to ensure no disruption in service and extend the term through May 16, 2026. Approval of this request is critical due to the County relying on this contractor for continued management of meetings and agendas, especially with the upcoming Legistar agenda management module implementation. Now that the term of the agreement has been clarified, staff are aware of the need to seek Board authorization that aligns with the contract’s term and document contract termination dates for better contract monitoring and compliance practices. CONSEQUENCE OF NEGATIVE ACTION: If this action is not approved, staff will not have the authority to further extend the contract term, which will negatively impact the Clerk of the Board’s ability to comply with BGO and Brown Act requirements for Boards and Commissions meeting agendas. RECOMMENDATION(S): APPROVE and AUTHORIZE the Purchasing Agent to execute, on behalf of the Public Defender, a purchase order amendment with Thomson Reuters West, to increase the payment limit of PO #01792 by $90,000 to a new payment limit of $335,196 for the purchase of a subscription to a online law library, including access to legal publications, updates, and materials. FISCAL IMPACT: 100% County General Fund BACKGROUND: On January 22, 2019, the Board of Supervisors approved a Purchase Order with West Publishing Corporation (now Thomson Reuters West) in the amount of $245,196 for the period December 1, 2018 through January 31, 2024, to provide online subscriptions services to the Thomson West Proflex Online Law Library and various legal publications (printed volumes). These resources are used for reference and research in the legal representation of clients and is an essential support tool for the Office of the Public Defender (the "Department"). The five-year service period minimized the cost of procuring APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Susan Woodhouse, 925-335-8031 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 31 To:Board of Supervisors From:Ellen McDonnell, Public Defender Date:May 16, 2023 Contra Costa County Subject:APPROVE and AUTHORIZE the Purchasing Agent to execute, on behalf of the Public Defender, or designee, a PO amendment with Thomson Reuters West BACKGROUND: (CONT'D) these services which are offered to governmental agencies at a 57% discount to the vendor's standard pricing for these products, and limits the annual increase in cost to 1% instead of the standard annual increase of 5%. The Department is respectfully requesting an additional $90,000 to pay for an expected increase in reference book orders this fiscal year. CONSEQUENCE OF NEGATIVE ACTION: If this amendment is not approved, the Department will not have access to essential legal reference resources online and in print to conduct research in the legal representation of clients, and the Department would need to procure these resources at a much higher cost. RECOMMENDATION(S): APPROVE and AUTHORIZE the Health Services Director, or designee, to execute on behalf of the County Contract #74-355-17 with Lisa Wang, M.D, an individual, in an amount not to exceed $254,655, to provide outpatient psychiatric services to county patients in West County for the period from July 1, 2023 through June 30, 2024. FISCAL IMPACT: Approval of this contract will result in annual expenditures of up to $254,655 and will be funded as budgeted by the department in FY 2023-24, by 100% Mental Health Realignment. (No rate increase) BACKGROUND: This contract meets the social needs of the County’s population by providing psychiatric services for mentally ill adults in West County. Dr. Wang has been providing psychiatric services for mentally ill patients in West County since July 1, 2009. On May 17, 2022, the Board of Supervisors approved Contract #74-355-14 with Lisa Wang, M.D., in an amount not to exceed $230,631, to provide outpatient psychiatric services, including diagnosing, counseling, and evaluating, and providing medical and therapeutic treatment for County patients in West County, for the period July 1, 2022 through June 30, 2023. On June 21, 2022, the Board of Supervisors approved Contract Amendment Agreement #74-355-16 with Lisa Wang, M.D., effective September 1, 2022, to increase the payment limit by $18,850 to a new payment limit of $249,480 to provide additional mental health services in West County through June 30, 2023. Approval of Contract #74-355-17 will allow this contractor to continue providing outpatient psychiatric services through June 30, 2024. CONSEQUENCE OF NEGATIVE ACTION: If this contract is not approved, patients in West County requiring outpatient psychiatric services will not have access to contractor’s services, which may result in a reduction in levels of service to the community. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Suzanne Tavano, Ph.D., 925-957-5212 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: L Walker, M Wilhelm C. 32 To:Board of Supervisors From:Anna Roth, Health Services Director Date:May 16, 2023 Contra Costa County Subject:Contract #74-355-17 with Lisa Wang, M.D. Project Number:Location:Designer:Date:Account Rep:Account Rep Email:Brandy WilsonCCC‐DCSS‐Phase 123_002.b50 Douglas Road, Suite 100, Martinez, CA05‐02‐2023Dan Petersdan@samclar.com Client Initial _________ Date_______________PROJECT NUMBER:OVERALL PLAN2Phase 1 is Workstations, Files and Private Office 01 Client Initial _________ Date_______________PROJECT NUMBER:31. 57.5”H Fabric Panels with 7.5”H Frame‐less Glass (frosted)‐Total Height = 65”H2. 24”D x 72”W Laminate Height‐Adjustable Table with Metal Base; Memory Control Pad 3. 24”D x 48”W Laminate Stationary Return Surface 4. Supporting File/ File Pedestal5. Mobile Box/Box/ File PedestalWorkstation Typical Client Initial _________ Date_______________PROJECT NUMBER:OVERALL PLAN4STATIONS 01‐35 Client Initial _________ Date_______________PROJECT NUMBER:3D5STATIONS 01‐35All Accent Tiles for WS 01‐35 are Binary/ Lagoon Client Initial _________ Date_______________PROJECT NUMBER:OVERALL PLAN6STATIONS 36‐43 & 60‐67 Client Initial _________ Date_______________PROJECT NUMBER:3D7STATIONS 36‐43 & 60‐67All Accent Tiles for WS 36‐43 & 60‐67 are Binary/ Juniper Client Initial _________ Date_______________PROJECT NUMBER:OVERALL PLAN8STATIONS 44‐59 Client Initial _________ Date_______________PROJECT NUMBER:3D9STATIONS 44‐59All Accent Tiles for WS 44‐59 are Binary/ Lagoon Client Initial _________ Date_______________PROJECT NUMBER:OVERALL PLAN10STATIONS 68‐74 Client Initial _________ Date_______________PROJECT NUMBER:3D11STATIONS 68‐74All Accent Tiles for WS 68‐74 are Binary/ Juniper Client Initial _________ Date_______________PROJECT NUMBER:OVERALL PLAN12STATIONS 75‐92 Client Initial _________ Date_______________PROJECT NUMBER:3D13STATIONS 75‐92All Accent Tiles for WS 75‐92 are Binary/ Lagoon Client Initial _________ Date_______________PROJECT NUMBER:OVERALL PLAN14STATIONS 93‐100 Client Initial _________ Date_______________PROJECT NUMBER:3D15STATIONS 93‐100All Accent Tiles for WS 93‐100 are Binary/ Lagoon Client Initial _________ Date_______________PROJECT NUMBER:OVERALL PLAN16STATIONS 101‐121 Client Initial _________ Date_______________PROJECT NUMBER:3D17STATIONS 101‐121All Accent Tiles for WS 101‐121 are Binary/ Juniper Client Initial _________ Date_______________PROJECT NUMBER:OVERALL PLAN18STATION 122 Client Initial _________ Date_______________PROJECT NUMBER:3D19STATION 122All Accent Tiles for WS 122 are Binary/ Lagoon Client Initial _________ Date_______________PROJECT NUMBER:OVERALL PLAN20CHAIR STORAGE Client Initial _________ Date_______________PROJECT NUMBER:3D21CHAIR STORAGEAll Accent Tiles for Chair Storage are Binary/ Lagoon Client Initial _________ Date_______________PROJECT NUMBER:FINISHES22WorkstationsWorksurface Laminate/ EdgeKingswoodWalnutPanel Trim, Supports, Storage PaintPebbleMain Panel FabricCenturion/ FogAccent Panel Fabric (where shown)Binary/ JuniperAccent Panel (where shownBinary/ LagoonFrameless GlassFrostedDuplex PaintFlint Client Initial _________ Date_______________PROJECT NUMBER:23Allsteel Terrace Freestanding1. 48”D x 72”W x 24”D x 30”D Height‐Adjustable Jetty Surface with connecting 24”D x 24”W bridge surface; 8.5”H Metal Modesty Panel (1 qty)2. Workrite Height‐Adjustable Base (1 qty)3. 24”D x 72”W Stationary Credenza surface (1 qty)4. Mobile Box/ File Pedestal Silver Arch Pulls (1 qty)5. Box/Box/File Pedestal; Silver Arch Pulls (1 qty)6. 18”D x 36”W 2‐Drawer Lateral File with Laminate top; Silver Arch Pulls (1 qty)7. 72”W surface‐mounted Hutch with flipper doors, fabric tack board & task light; Arch Pulls (1 qty)8. 18”D x 30”W x 64”H Combo Unit with Open Shelving; Arch Pulls9. Relate Guest Chair with Mesh Back, Arms and Casters (1 qty)PO‐0122_011.DProduct Description:Sample Images Client Initial _________ Date_______________PROJECT NUMBER:FINISHES24PO‐01Desktop/ Table top & Base/ Maverick CabinetsKingswoodWalnut LTK1Metal Supports & StoragePebble P8RChair MeshCarbon LMK01Relate Guest Chair Seat FabricEnsemble/ StoneENSB4022_011.DTackboard FabricReflections/ PewterREF922 By signing this document, you agree to give Sam ClarOffice Furniture permission to proceed with the order process. While doing so, please keep in mind that the images are for illustrative purposes and are not meant to definitively portray how the furniture will be configured or appear once installed. Fabrics and finishes will vary by monitor and printer from actual color and are for reference only. Your signature below indicates approval of this document in it’s entirety.Thank you.Signature of Approval: ______________________________Date: ______________________________ RECOMMENDATION(S): APPROVE and AUTHORIZE the Purchasing Agent, or designee to execute, on behalf of the Department of Child Support Services (DCSS), a purchase order with Allsteel, in care of Sam Clar Office Furniture Inc. in an amount not to exceed $825,514 for the purchase, delivery, and installation of Sit-Stand stations as well as work surfaces, pedestals, office landscape partitioning and other office furniture for the department's office refresh project. FISCAL IMPACT: This project will be fully funded by allocations from the Federal Government at 66% and State of California at 34%. BACKGROUND: The purchase of 123 Sit-Stand workstations is a preventive measure to offset the possibility of injuries due to prolonged sitting and repetitive movements. DCSS staff spend most of their workday at a desk. Sit-Stand workstations will allow staff to change from a sitting position to a standing position. The Sit-Stand stations will be introduced to employee's workstations as work is being performed in updating space per the department's long-term facility plan. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Jessica Shepard, 925-313-4454 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 33 To:Board of Supervisors From:Lori Cruz, Child Support Services Director Date:May 16, 2023 Contra Costa County Subject:Purchase Order with Allsteel c/o Sam Clar Office Furniture, Inc CONSEQUENCE OF NEGATIVE ACTION: Without approval for the Purchase Order, the Department of Child Support Services (DCSS) could not provide Sit-Stand workstations and office landscape partitioning as required per the department's long-term facility space plan. ATTACHMENTS DCSS Overall Plan RECOMMENDATION(S): APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to enter into a contract with employers participating in the Expanded Contra Costa WORKs Subsidized Employment Program not to exceed a cumulative payment limit of $960,666 to reimburse employers up to to up to $21 per hour for those CalWORKs clients placed with employers during the period July 1, 2023 through June 30, 2024 FISCAL IMPACT: Funded with $960,666 Expanded Subsidized Employment Allocation for the Expanded Employment Program wages for CalWORKs participants. (83% Federal, 17% State) (CFDA #93.558) BACKGROUND: Based upon the success of the subsidized employment programs operated in response to Senate Bill 72 which extended the State reimbursement to counties for subsidized employment programs as authorized by Assembly Bill (AB) 98 (now Assembly Bill 74), the Employment and Human Services Department developed and implemented the subsidized employment program known as Contra Costa WORKs (CCWORKs). Following the guidelines and funding options of AB 98 and building upon the success of previous Subsidized Employment APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: L. Pacheco (925) 608-4963 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 34 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:Expanded Contra Costa WORKs (CCWORKs) Subsidized Employment Program BACKGROUND: (CONT'D) and Training (SET) programs operated under the American Recovery and Reimbursement Act (ARRA), the CCWORKs program has been designed very similarly to other programs operated in the Bay Area. CalWORKs participants will be screened into the program and placed with local employers (for-profit, non- profit, and public agencies) who will have the responsibility for (under contractual/financial worksite agreements) the payroll, associated taxes, and workers compensation for each Expanded CCWORKs program participant approved and placed within their organization. The employers will hire the eligible CalWORKs Expanded CCWORKs participants upfront and will train the participants to appropriate skills for the position in which they are placed and Expanded CCWORKs participants will receive a wage comparable to those workers performing the same or like duties at the worksite. The worksite agreement will be signed with the employer for each participant that is placed at the employer's worksite. Under the Expanded CCWORKs program, EHSD will reimburse $16 per hour and not to exceed $21 per hour (due to the anticipated increase in minimum wage) for a minimum of 20 hours per week to a maximum of 40 hours per week (no overtime will be subsidized). The individual contracts with each employer will state the reimbursement process and those reimbursements will be paid on the contractual timeline of six (6) months. Monthly reimbursement invoices will be submitted by participating employers for each client employed through the Expanded CCWORKs program. The invoices will be reviewed by EHSD CCWORKs staff and submitted to the EHSD Fiscal Unit for payment. CONSEQUENCE OF NEGATIVE ACTION: Without approval, the Expanded CCWORKs program participants will have fewer employment opportunities and will continue reliance on public benefits. RECOMMENDATION(S): APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract with Star View Behavioral Health, Inc., in an amount not to exceed $476,453 to provide residential placement services for the period July 1, 2023 through June 30, 2024. FISCAL IMPACT: This contract is funded with 30% County General Fund and 70% State Realignment funds, all of which is already budgeted in FY 2023-24. BACKGROUND: Star View Behavioral Health, Inc. (Star View) provides residential placement services for youth who cannot live safely in family homes or lower level group care because of the nature and severity of their emotional and behavioral needs. Star View’s locked Psychiatric Health Facility (PHF) and Community Treatment Facility (CTF) offer alternatives to repeated psychiatric hospitalization and placement failures. Star View stabilizes, provides treatment, and then transitions youth to less restrictive placements, including with family, foster families, or lower level group homes as part of each youth’s long-term permanency plan. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: L. Pacheco (925) 608-4963 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 35 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:Contract with Star View Behavioral Health, Inc., dba Star View Adolescent Center for Residential Placement Services BACKGROUND: (CONT'D) The sixteen (16) bed locked PHF will provide 24 hour intensive services to adolescents with severe emotional needs. This program provides intensive evaluation and treatment services, including the preparation of comprehensive multidisciplinary assessments by a psychiatrist, psychologist, social worker, rehabilitation therapist, and licensed nurse, the development of a coordinated treatment plan, and the provision of quality acute rehabilitative treatment services by a well qualified staff in a therapeutic milieu. The CTF program will provide residential treatment services for clients under the age of 18 on a 24-hour/7-day/week basis to youth requiring a secured treatment facility due to their severe emotional needs. CTF residential services will include 24-hour supervision and nursing care, activity program, social services supports, room and board. Mental health services will be provided as medically necessary and designated per treatment plan. Previous agreements for these services with the Agency were authorized by the Board of Supervisors on May 24, 2022 (C.39) for FY22/23 on June 8, 2021 (C.78) for FY21/22 and on Oct 13, 2020 (C. 11) for FY 20/21. CONSEQUENCE OF NEGATIVE ACTION: Dependent youth in need of integrated treatment services will not receive the skills to effectively manage the behavior(s) and symptoms that are a barrier to achieving and/or maintaining a residence in less restrictive environments, such as with a resource family. CHILDREN'S IMPACT STATEMENT: The services provided under this contract support all five of Contra Costa County’s community outcomes: (1) “Children Ready for and Succeeding in School”; (2) “Children and Youth Healthy and Preparing for Productive Adulthood”; (3) “Families that are Economically Self-Sufficient”; (4) "Families that are Safe, Stable and Nurturing"; and (5) "Communities that are Safe and Provide a High Quality of Life for Children and Families" by providing residential placement services to youth who cannot live safely in family homes. RECOMMENDATION(S): APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract renewal with KinderCare Learning Centers LLC in an amount not to exceed $893,989 to provide Head Start and Early Head Start services as well as State General Childcare program services for the period July 1, 2023 through June 30, 2024. FISCAL IMPACT: This contract is funded with 39% federal and 61% state funds, all of which is budgeted in the FY 2023-24 recommended budget. (CFDA/AL No. 93.600) BACKGROUND: Contra Costa County receives funds from the U.S. Department of Health and Human Services, Administration for Children and Families (ACF) to provide Head Start and Early Head Start Child Care Partnership services to program eligible County residents. The Employment and Human Services Department, in turn, contracts with a number of community-based organizations to provide a wider distribution of services. This contract provides funding for 48 childcare program slot for children ages 0 to 3 years in the Early Head Start program and 16 childcare program slots for children ages 0 to 3 years in the State General Childcare and Development program. This contract also provides funding for 8 childcare program slot for children ages 3 to 5 years in the Head Start enhancement services program. Previous contracts with this contractor for these services include: FY 2022-23, authorized by the Board of Supervisors on June 21, 2022 (C.130); FY 2021-22, authorized by the Board of Supervisors on May 18, 2021 ( APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: K. Agboma (925) 608-4915 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 36 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:2023-24 KinderCare Learning Centers LLC Childcare Services Contract BACKGROUND: (CONT'D) C. 53 ); FY 2020-21, authorized by the Board of Supervisors on October 20, 2020 (C. 46 ); FY 2019-20, authorized by the Board of Supervisors on July 30, 2019 (C. 46 ); FY 2018-19, authorized by the Board on Sept. 11, 2018 (C. 115); FY 2017-18, authorized by the Board on March 20, 2018 (C. 32 ). CONSEQUENCE OF NEGATIVE ACTION: If not approved, the County will not be able to fund childcare slots for it's community-based agency partner, KinderCare Learning Centers LLC. CHILDREN'S IMPACT STATEMENT: The Employment and Human Services Department Community Services Bureau supports three (3) of Contra Costa County’s community outcomes - Outcome 1: Children Ready for and Succeeding in School, Outcome 3: Families that are Economically Self-sufficient, and Outcome 4: Families that are Safe, Stable, and Nurturing. These outcomes are achieved by offering comprehensive services, including high quality early childhood education, nutrition, and health services to low-income children throughout Contra Costa County. RECOMMENDATION(S): APPROVE and AUTHORIZE the Health Services Director, or designee, to execute on behalf of the County Contract #74-624-2 with The Alliance for Community Wellness (dba La Familia), a non-profit corporation, in an amount not to exceed $304,209, to provide substance use disorder treatment services for adolescents for the period July 1, 2023 through June 30, 2024. FISCAL IMPACT: Approval of this contract will result in budgeted expenditures of up to $304,209 and will be funded 100% by Contra Costa Probation revenues. (No rate increase) BACKGROUND: The County has been contracting with with The Alliance for Community Alliance (dba La Familia) since January 2021 to provide substance use disorder treatment services for adolescents. This contract meets the social needs of the County’s population by providing mental health services to adolescents with emotional and behavioral problems to improve school performance, reduce unsafe behavioral practices, and reduce the need for out-of-home placements. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Suzanne Tavano, Ph.D, 925-957-5169 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: Edney Suisala, M Wilhelm C. 37 To:Board of Supervisors From:Anna Roth, Health Services Director Date:May 16, 2023 Contra Costa County Subject:Contract #74-624-2 with The Alliance for Community Wellness (dba La Familia) BACKGROUND: (CONT'D) On May 24, 2022, the Board of Supervisors approved Contract #74-624-1 with The Alliance for Community Alliance (dba La Familia), in an amount not to exceed $687,778, to provide substance use disorder treatment services for adolescents needing outpatient services, for the period January 1, 2022 through June 30, 2023. Approval of Contract #74-624-2 will allow the contractor to continue providing substance use disorder treatment services for adolescents, through June 30, 2024. CONSEQUENCE OF NEGATIVE ACTION: If this contract is not approved, Contra Costa County adolescents will not receive substance use disorder treatment services from this contractor, which are needed to improve school performance, reduce unsafe behavioral practices, and reduce the need for out-of-home placements. CHILDREN'S IMPACT STATEMENT: This program supports the following Board of Supervisors’ community outcomes: “Children Ready For and Succeeding in School”; “Families that are Safe, Stable, and Nurturing”; and “Communities that are Safe and Provide a High Quality of Life for Children and Families”. Expected program outcomes include an increase in positive social and emotional development as measured by the Child and Adolescent Functional Assessment Scale (CAFAS). RECOMMENDATION(S): APPROVE and AUTHORIZE the Purchasing Agent to execute, on behalf of the Sheriff-Coroner, a purchase order with Bay Cities Produce, in an amount not to exceed $500,000, to provide fresh produce and related items for the 3 detention facilities for the period May 1, 2023 through April 30, 2024. FISCAL IMPACT: $500,000 maximum. 100% County General Fund; Budgeted. BACKGROUND: Bay Cities Produce is a local company that purchased Spike's Produce, a locally owned and operated small business. The Office of the Sheriff has worked with Spike's Produce for a number of years because they were able to provide the 3 adult detention facilities with daily deliveries of low-cost but high-quality produce. With this merger, Bay Cities Produce is able to provide uninterrupted services while keeping prices low. This blanket purchase order will ensure timely delivery of essential food products for meals served at adult detention facilities. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Heike Anderson 925-655-0023 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 , County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: Heike Anderson, Alycia Rubio, Paul Reyes C. 38 To:Board of Supervisors From:David O. Livingston, Sheriff-Coroner Date:May 16, 2023 Contra Costa County Subject:Purchase Order - Bay City Produce CONSEQUENCE OF NEGATIVE ACTION: If this action is not approved, the Sheriff's Office will not have an active purchase order to acquire food products necessary for meals at the County's adult detention facilities. RECOMMENDATION(S): APPROVE and AUTHORIZE the County Administrator, or designee, to enter into a contract amendment with Ernst and Young, LLP, increasing the payment limit by $500,000, from $1,500,000 to an amount not to exceed $2,000,000, for COVID-19 cost recovery consulting services for the period June 2, 2020 through June 30, 2024. FISCAL IMPACT: Up to an additional $500,000 for a total payment limit of $2,000,000. All fees are 100% eligible for FEMA Category Z reimbursement; however, initial payments to the vendor come from the General Fund. The County has been invoiced $1,444,378.50 by Ernst & Young LLP for services rendered through March 31, 2023; however, the County continues to develop FEMA reimbursement claims and respond to constant Requests for Information (RFIs) for COVID-19 related expenditures. Average monthly invoices from Ernst & Young LLP will soon exhaust the current contract payment limit. BACKGROUND: Federal Disaster Relief Actions On Friday, March 13, 2020, President Trump declared a nationwide emergency in response to the growing COVID-19 pandemic pursuant to Sec. 501(b) of the Robert T. Stafford Disaster Relief and Emergency Assistance Act, 42 U.S.C. 5121-5207 (the “Stafford Act”). That action provides access to the Federal Emergency Management Agency (FEMA) Public Assistance program, which allows for a 75% federal cost share on certain emergency protective measures taken at the direction or guidance of public health officials in response to the COVID-19 pandemic. Qualifying expenditures are those that are not supported by the authorities of another federal agency (i.e. reimbursement for response activities funded by another federal agency grant program). Examples of reimbursable activities include the activation of Emergency Operations Centers, National Guard costs, law enforcement and other measures necessary to protect public health and safety. The Governor's Office of Emergency Services (CalOES) is facilitating the collection of FEMA Requests for Public Assistance (RPA) from agencies (public and private) impacted by the COVID-19 pandemic. CalOES advised that RPA documents, which do not include a specific dollar amount of public assistance being requested, be filed no later than April 17, 2020. Filing of this document allows agencies, including the County, to be on record stating that costs have been incurred as part of the response effort and allows for a request to FEMA that a portion of those costs be reimbursed in the future. In addition, CalOES requested that impacted agencies adopt required Project Assurances for federal Assistance and a resolution designating agents that can act on behalf of the impacted agency. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Timothy Ewell, (925) 655-2043 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: Hon. Robert R. Campbell, Auditor-Controller, Pat Godley, Health Services Department COO/CFO C. 39 To:Board of Supervisors From:Monica Nino, County Administrator Date:May 16, 2023 Contra Costa County Subject:CONTRACT AMENDMENT WITH ERNST & YOUNG LLP BACKGROUND: (CONT'D) On March 31, 2020, the Board of Supervisors took action to adopt Resolution No. 2020/112 authorizing the County Administrator to submit the RPA documents discussed above to CalOES to ensure the opportunity for Federal cost reimbursement. The County subsequently filed its RPA with FEMA, which was approved on April 17, 2020. State Disaster Request and Presidential Authorization Following the President's action, Governor Newsom requested that the federal government declare a major disaster in California due to COVID-19. The President approved the State's request on Sunday, March 22, 2020, which activated additional federal resources directed to assist California, including deployment of mobile hospital units and a U.S. Navy hospital ship, among other things. Contra Costa County was a recipient of mobile field hospital equipment and took delivery of those resources at the Craneway Pavilion in Richmond, which served as a 250-bed alternate care site supporting the capacity of the County's hospital and clinic system. Contract with Ernst & Young, LLP On June 2, 2020, the Board of Supervisors authorized the County Administrator to execute an agreement with Ernst & Young, LLP, a well-known and respected accounting and financial services firm, for assistance with cost recovery operations related to the COVID-19 pandemic. At that time, there was significant financial relief legislation being passed, such as the CARES Act, and varying guidance coming from FEMA as to what local costs may be eligible for the FEMA Public Assistance program reimbursement under the Stafford Act (discussed above). It was imperative for the County to secure financial advisory services before there was a rush by other jurisdictions to secure the same services and to begin strategizing how the County would weather the financial impacts of the pandemic, while attempting to align all of the varying revenue sources properly to maximize cost recovery. The California Association of Public Hospitals and Health Systems Association (CAPH) was conducting a process to identify a vendor to provide similar advice for the benefit of statewide public hospital systems generally - Ernst & Young LLC was chosen to provide those services to CAPH. Since Contra Costa County is one of a small amount of counties in the State to operate a public hospital and clinic system, it was determined that relying on the CAPH process and contracting with Ernst & Young LLP would create potential synergies and maximize cost recovery coordination efforts. On October 19, 2021, the Board authorized an increase to the contract payment limit with Ernst & Young, LLP by $700,000 from $300,000 to $1,000,000 and an extension of the contract period through December 31, 2022 (Agenda Item No. C.34). This provided for continuity of consultancy services related to FEMA-claiming activity through calendar year 2022. Since that time, the federal government had directed all entities seeking FEMA Public Assistance program funds to file claims for COVID-19 related response costs through July 1, 2022 by December 31, 2022. In addition, CalOES requested that those claims be submitted no later than September 30, 2022, in advance of the FEMA date above. Stafford Act reimbursement claims must first flow through and be approved by States prior to release to the federal government for review and processing. On September 13, 2022, the Board authorized an increase to the contract payment limit with Ernst & Young, LLP by $500,000, from $1,000,000 to $1,500,000 and an extension of the contract period through June 30, 2023 (Agenda Item No. C.69). This allowed the County to continue processing FEMA claims for expenditures through July 1, 2022, which were due for submission by December 31, 2022. COVID-19 related expenditures incurred from July 1, 2022 forward are still eligible for FEMA reimbursement, but at a 90% Federal / 10% Local cost share (down from 100% Federal). The County continues to finalize three, post-July 1, 2022 claims primarily related to reimbursement for employee testing programs, the costs for which have been incurred by the General Fund through the Risk Management department. In addition, the County is seeing a significant increase in the amount of Requests for Information (RFIs) related to already submitted reimbursement claims, which require a significant amount of coordination and accounting work. To date, the County estimates $78.4 million of FEMA eligible expenditures related to COVID-19 response efforts and has submitted $76.5 million of those costs to FEMA for reimbursement. FEMA has obligated $7.7 million of the reimbursement amount submitted and paid the entire $7.7 million of the obligated amount. Today's action would increase the payment limit of the County's existing contract with Ernst & Young, LLP by $500,000, from $1,500,000 to $2,000,000 and extends the termination date of the contract through June 30, 2024. All costs paid to Ernst & Young, LLP for these services are eligible for reimbursement from FEMA as Category Z management fee claims; however, the County General Fund incurs those costs prior to reimbursement similar to other COVID-19, FEMA eligible expenditures. Category Z management fees are typically claimed at the end of the incident claiming period and, in the case of the COVID-19 disaster, FEMA has advised that management expenditures can be incurred through May 11, 2025. CONSEQUENCE OF NEGATIVE ACTION: The payment limit on the existing contract with Ernst & Young, LLP is projected to be exhausted prior to development and completion of post-July 1, 2022 FEMA cost reimbursement claims and while the County is actively responding to follow up FEMA RFIs related to submitted already claims. Should the contract not be amended, the firm will not be able to assist the County to develop its final claims for reimbursement and in responding to FEMA Public Assistance program claims already submitted. CLERK'S ADDENDUM Speaker: Caller 6770 RECOMMENDATION(S): APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to execute a contract with Aspiranet, a non-profit corporation, in an amount not to exceed $2,330,000, to provide emergency shelter receiving center services for children taken into protective custody or transitioning through foster placements for the period July 1, 2023 through June 30, 2024. FISCAL IMPACT: This contract is funded by 70% by 2011 State Realignment and 30% by County General Fund, all of which is budgeted in FY 2023-2024. BACKGROUND: The Receiving Centers serve as the hub of the Employment and Human Services Department (EHSD) Children and Family Services (CFS) emergency shelter system. Aspiranet provides temporary care at the Receiving Centers to children who have been taken into protective custody and children and youth who are transitioning into resource family (foster) placements. The Receiving Centers offer a homelike setting and are designed to promote stability in placement, focus on the needs of the individual child, minimize move, and support permanence at the early stages of EHSD intervention. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: L. Pacheco (925) 608-4963 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 40 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:Contract with Aspiranet for Services at Receiving Centers 23-24 BACKGROUND: (CONT'D) This is a renewal contract; the previous contract with this Contractor for these services was authorized by the Board of Supervisors on June 21, 2022 (C.89). CONSEQUENCE OF NEGATIVE ACTION: Emergency shelter will not be available to temporarily care for children taken into protective custody. CHILDREN'S IMPACT STATEMENT: This contract supports all five community outcomes established in the Children’s Report Card: 1) “Children Ready for and Succeeding in School”; 2) “Children and Youth Healthy and Preparing for Productive Adulthood”; 3) “Families that are Economically Self Sufficient”; 4) “Families that are Safe, Stable and Nurturing”; and 5) “Communities that are Safe and Provide a High Quality of Life for Children and Families,” by providing a homelike environment for children entering the Child Welfare System. CLERK'S ADDENDUM Speaker: Caller 6770 RECOMMENDATION(S): APPROVE and AUTHORIZE the Auditor-Controller, or designee, to pay stipends in an amount not to exceed $150 per Resource Family or birth parent for the successful completion of Heritage training as approved by the Employment and Human Services Department for a total payment amount not to exceed $25,000 for the period July 1, 2023 through June 30, 2025. FISCAL IMPACT: The stipends are funded with 38% federal, 44% state, and 18% County funds, $12,500 which is budgeted in FY 23/24 and $12,500 will be included in the 24/25 budget. (CFDA No. 93.658) BACKGROUND: The Employment and Human Services Department (EHSD) supports and convenes trainings, meetings, workshops, and focus groups to meet mandated and discretionary training requirements for foster parents (now referred to as "Resource Families") and birth parents. EHSD often includes provisions for reasonable stipends to be paid to program participants in their funding application, in order to encourage participation. The involvement of program participants is critical in designing and modifying effective programs. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: L. Pacheco (925) 608-4963 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 41 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:Stipends to Foster and Birth Parents for Trainings, Workshops, and Focus Groups CONSEQUENCE OF NEGATIVE ACTION: Without approval of stipends for attendance to workshops, trainings, and focus groups, Resource Families and birth parents may be precluded from attendance and interaction in the ongoing system of change and development of services. CHILDREN'S IMPACT STATEMENT: These stipends support three of Contra Costa County's community outcomes: (2) Children and Youth Healthy and Preparing for Productive Adulthood; (4) Families that are Safe, Stable and Nurturing; and (5) Communities that are Safe and Provide a High Quality of Life for Children and Families. INFRASTRUCTURE, INVESTMENTS AND JOBS ACT (IIJA)DEPARTMENT:Countywide REPORTING PERIOD: CCC Department CFDA Federal Grantor Agency State Passthrough Agency Name (if any)Program Title Program Description Federal Share County Match Federal Share County Match Federal Share County Match PW Federal Highway Administration (FHWA) California Department of Transportation Highway Safety Improvement Program Countywide Guardrail Upgrades – Phase 2: This project proposes to upgrade existing guardrails along arterials, collectors, and local roads at various locations countywide. This project is a continuation of systemically upgrading all guardrails in the unincorporated County. Areas under consideration for this project are: West County, Saranap, Alamo, and South Walnut Creek. These guardrails have been selected to assure cost effectiveness. $ 999,990 $ 493,710 $ 999,990 $ 493,710 $ - $ - PW Federal Highway Administration (FHWA) California Department of Transportation Highway Safety Improvement Program Appian Way at Fran Way Pedestrian Crosswalk Enhancements: This project proposes to upgrade the existing crosswalk at the intersection of Appian Way and Fran Way in unincorporated El Sobrante. $ 249,840 $ 260,960 $ 249,840 $ 260,960 $ - $ - PW Federal Highway Administration (FHWA) California Department of Transportation Highway Safety Improvement Program Walnut Boulevard Bike Safety Improvements: This project will improve bicyclist safety by widening the roadway shoulder for the southbound direction along approximately 850 feet of Walnut Boulevard between the intersections of Marsh Creek Road and Vasco Road in unincorporated Brentwood. $ 249,415 $ 900,585 $ 249,415 $ 900,585 $ - $ - PW Federal Highway Administration (FHWA) California Department of Transportation Highway Safety Improvement Program Byron Highway Safety Improvements: This project proposes to construct safety improvements along Byron Highway between Clifton Court Road and Bruns Road. Improvements such as street lighting, edgeline rumble strips and curve advance warning flashing beacons are being considered. $ 1,316,520 $ 146,280 $ 1,316,520 $ 146,280 $ - $ - PW Federal Highway Administration (FHWA) California Department of Transportation Highway Safety Improvement Program Vasco Road Safety Improvements: This project proposes to install safety improvements along Vasco Road between Walnut Boulevard and Camino Diablo in unincorporated Brentwood. These improvements include constructing a 0.75-mile-long no-passing zone with median striping, centerline rumble strip, and delineators along the Vasco Road median. $ 715,050 $ 79,450 $ 715,050 $ 79,450 $ - $ - PW Federal Highway Administration (FHWA) California Department of Transportation Highway Safety Improvement Program Deer Valley Road Traffic Safety Improvements: This project proposes to install safety improvements along several of the horizontal roadway curves of Deer Valley Road where severe collisions have occurred. Improvements such as curve advance warning signs and widening shoulders will be used. $ 1,125,810 $ 125,090 $ 1,125,810 $ 125,090 $ - $ - PW Federal Highway Administration (FHWA) California Department of Transportation Transportation Alternatives/Active Transportation Program San Pablo Avenue Complete Street/Bay Point Trail Gap Closure: This project proposes to implement a road diet and construct a Class I shared-use path along the San Francisco Bay Trail. $ 10,517,000 $ 1,200,000 $ 10,517,000 $ 1,200,000 $ - $ - PW Federal Highway Administration (FHWA) California Department of Transportation Transportation Alternatives/Active Transportation Program Pacifica Avenue Safe Routes to School: Reconfigure Pacifica Avenue to install a two-way cycle track, new and widened sidewalks, bulb-outs, and raised crosswalks from Intel Drive to Port Chicago Highway. $ 3,902,000 $ 440,000 $ 3,902,000 $ 440,000 $ - $ - PW Federal Highway Administration (FHWA) California Department of Transportation Bridge Investment Program/Highway Bridge Program Marsh Creek Road Bridge Replacement (Bridge No. 28C143 & 28C145) $ 14,268,379 $ 3,671,629 $ 14,268,379 $ 3,671,629 PW Federal Highway Administration (FHWA) California Department of Transportation Bridge Investment Program/Highway Bridge Program Byron Highway Bridge Replacement over California Aqueduct (Bridge No. 28C0121) $ 19,870,559 $ 1,791,030 $ 19,870,559 $ 1,791,030 PW Federal Highway Administration (FHWA) California Department of Transportation Bridge Investment Program/Highway Bridge Program Del Monte Drive Bridge Painting and Poly Overlay (Bridge No. 28C0207) $ 793,000 $ 374,000 $ 793,000 $ 374,000 PW Federal Highway Administration (FHWA) California Department of Transportation Bridge Investment Program/Highway Bridge Program Freeman Road and Briones Valley Road Bridge Maintenance $ 723,000 $ 217,000 $ 723,000 $ 217,000 PW Federal Highway Administration (FHWA) California Department of Transportation Bridge Investment Program/Highway Bridge Program Second Avenue Bridge Replacement (Bridge No. 28C0383) $ 7,108,000 $ 1,262,000 $ 7,108,000 $ 1,262,000 PW Federal Emergency Management Agency (FEMA) California Office of Emergency Services (CalOES) Building Resilient Infrastructure and Communities 2020 Grayson/Walnut Creek Levee Improvement at CCCSD Treatment Plant: (FC is co-applicant with CCCSD). Application in review. $ 2,465,235 $ 405,674 Award pending Award pending $ - $ - PW US Army Corps of Engineers (USACE)-Section 1135 – Project Modifications for Improvement of the Environment Wildcat / San Pablo Creeks Ecosystem Restoration: Application being prepared. Needs local match source. $ 15,363,000 $ 1,500,000 Award pending Award pending $ - $ - PW US Army Corps of Engineers (USACE)-Section 1135 – Project Modifications for Improvement of the Environment Pinole Creek Habitat Restoration: Application being prepared. Needs local match source. $ 8,000,000 $ 750,000 Award pending Award pending $ - $ - PW US Army Corps of Engineers (USACE)-Section 1135 – Project Modifications for Improvement of the Environment Rodeo Creek Habitat Restoration: Application being prepared. Needs local match source. $ 13,949,000 $ 450,000 Award pending Award pending $ - $ - PW US Army Corps of Engineers (USACE)-Section 1135 – Project Modifications for Improvement of the Environment Rheem Creek Habitat Restoration: Application being prepared. Needs local match source. $ 6,990,000 $ 400,000 Award pending Award pending $ - $ - PW US Environmental Protection Agency (EPA)State Water Board State Water Quality Improvment Fund Clean Watersheds for All County-wide underserved communities GSI and water quality improvements. Applied 9/19/22. Awarded 4/3/23. $ 1,000,000 $ - $ 1,000,000 $ - DEPARTMENT IMPACT WORKSHEET FY 2022/23 - Q3 (period ending March 31, 2023) Application Amount Grant Award Amount Amount Expended FINANCIAL INFORMATION PROGRAM INFORMATION 1/2 5/11/20239:44 AM CCC Department CFDA Federal Grantor Agency State Passthrough Agency Name (if any)Program Title Program Description Federal Share County Match Federal Share County Match Federal Share County Match PW Federal Highway Administration (FHWA) California Department of Transportation Transportation Alternatives/Active Transportation Program Appian Way Pedestrian Crossing Enhancements: The project will construct pedestrian crossing safety enhancements and sidewalk improvements at five uncontrolled crosswalks to improve pedestrian safety and multi-modal access along Appian Way. Project not awarded. A portion of the project was awarded Highway Safety Improvement Program funding. $ 3,265,000 $ 51,000 $ - $ - N/A N/A PW Federal Highway Administration (FHWA) California Department of Transportation Transportation Alternatives/Active Transportation Program Carquinez Middle School Trail Connection: The project will construct multi- modal, ADA-compliant path along Crockett Boulevard to access two schools and close a gap in a regional trail. Install pedestrian crossing improvements. Project not awarded. $ 4,459,000 $ 409,000 $ - $ - N/A N/A PW Federal Highway Administration (FHWA) California Department of Transportation Transportation Alternatives/Active Transportation Program 4th Street Crosswalk Enhancements: The project will construct bulb-outs, close a sidewalk gap, upgrade sub-standard sidewalks, install RRFBs and new high-visibility crosswalks at three intersections on Fourth Street Project not awarded. $ 1,576,000 $ - $ - $ - N/A N/A PW Federal Highway Administration (FHWA) California Department of Transportation Transportation Alternatives/Active Transportation Program Market Avenue Complete Street: The project will construct widened and ADA-accessible sidewalks, ADA-compliant curb ramps, curb extensions, shared-lane bicycle markings, and narrow travel lanes along 0.3 miles of Market Avenue. Project not awarded. $ 3,437,000 $ 60,000 $ - $ - N/A N/A PW Federal Highway Administration (FHWA) California Department of Transportation Highway Safety Improvement Program Camino Diablo Safety Improvements: This project proposes to install street lighting and rumble stripes along Camino Diablo Road between Vasco Road and McCabe Drive. Project not awarded. $ 890,460 $ 98,940 $ - $ - N/A N/A PW Federal Highway Administration (FHWA) California Department of Transportation Highway Safety Improvement Program Camino Tassajara Street Lighting Improvements: This project proposes to install street lighting at various locations along Camino Tassajara between Finley Road and Windemere Parkway. Project not awarded. $ 1,221,840 $ 135,760 $ - $ - N/A N/A PW Federal Highway Administration (FHWA) California Department of Transportation Safe Streets and Roads for All San Pablo Avenue Complete Street/Bay Point Trail Gap Closure: Project not awarded. This project was awarded Active Transportation Program funding. $ 9,484,184 $ 2,371,046 $ - $ - N/A N/A PW Federal Highway Administration (FHWA) California Department of Transportation Rebuilding American Infrastructure with Sustainability and Equity San Pablo Avenue Complete Street/Bay Point Trail Gap Closure: Project not awarded. This project was awarded Active Transportation Program funding. $ 8,122,790 $ - $ - $ - N/A N/A PW Federal Highway Administration (FHWA) California Department of Transportation Rebuilding American Infrastructure with Sustainability and Equity San Pablo Dam Road Rehabilitation: Roadway embankment stabilization and pavement rehabilitation along several segments of San Pablo Dam Road. Application in review. $ 16,825,000 $ - Award pending Award pending $ - $ - $ 158,887,072 $ 17,593,154 $ 62,838,563 $ 10,961,734 $ - $ - 2/2 5/11/20239:44 AM DEPARTMENT:Countywide REPORTING PERIOD: CCC Department CFDA Federal Grantor Agency State Passthrough Agency Name (if any)Program Title Program Description Est. Federal Grant Allocation to County Federal Grant Allocation Received Federal Grant Allocation Expended CAO 21.027 U.S. Treasury N/A Coronavirus State and Local Fiscal Relief Fund (CSLFRF) $350 billion to state, local, territorial, and Tribal governments to bolster their response to the COVID-19 emergency and its economic impacts. Eligible expenses include • Support public health expenditures, by funding COVID-19 mitigation efforts, medical expenses, behavioral healthcare, and certain public health and safety staff; • Address negative economic impacts caused by the public health emergency, including economic harms to workers, households, small businesses, impacted industries, and the public sector; • Replace lost public sector revenue, using this funding to provide government services to the extent of the reduction in revenue experienced due to the pandemic; • Provide premium pay for essential workers, offering additional support to those who have borne and will bear the greatest health risks because of their service in critical infrastructure sectors; and, • Invest in water, sewer, and broadband infrastructure, making necessary investments to improve access to clean drinking water, support vital wastewater and stormwater infrastructure, and to expand access to broadband internet. $ 224,058,903 $ 224,058,903 $ 154,643,039 CAO 21.023 U.S. Treasury N/A Emergency Rental Assistance Program (ERAP) 2 - Federal Direct Allocation ERA2 payments are made directly to states, U.S. territories and local governments with more than 200,000 residents. ERA2 sets aside $2.5 billion for eligible grantees with a high need for ERA2 assistance, based on the number of very low-income renter households paying more than 50 percent of income on rent or living in substandard or overcrowded conditions, rental market costs, and change in employment since February 2020. At least 90 percent of awarded funds must be used for direct financial assistance, including rent, rental arrears, utilities and home energy costs, utilities and home energy costs arrears, and other expenses related to housing. Remaining funds are available for housing stability services, including case management and other services intended to keep households stably housed. ERA2 funds generally expire on September 30, 2025. $ 38,941,950 $ 38,941,950 $ 38,941,950 CAO 21.023 U.S. Treasury California Housing and Community Development Department Emergency Rental Assistance Program (ERAP) 2 - State Subrecipient Allocation ERA2 payments are made directly to states, U.S. territories and local governments with more than 200,000 residents. ERA2 sets aside $2.5 billion for eligible grantees with a high need for ERA2 assistance, based on the number of very low-income renter households paying more than 50 percent of income on rent or living in substandard or overcrowded conditions, rental market costs, and change in employment since February 2020. At least 90 percent of awarded funds must be used for direct financial assistance, including rent, rental arrears, utilities and home energy costs, utilities and home energy costs arrears, and other expenses related to housing. Remaining funds are available for housing stability services, including case management and other services intended to keep households stably housed. ERA2 funds generally expire on September 30, 2026 $ 32,663,062 $ 32,663,062 $ 32,663,062 FINANCIAL INFORMATION PROGRAM INFORMATION AMERICAN RESCUE PLAN ATTACHMENT BDEPARTMENT IMPACT WORKSHEET FY 2022/23 - Q3 (period ending March 31, 2023) 1/4 5/11/20239:38 AM CCC Department CFDA Federal Grantor Agency State Passthrough Agency Name (if any)Program Title Program Description Est. Federal Grant Allocation to County Federal Grant Allocation Received Federal Grant Allocation Expended CAO 21.032 U.S. Treasury N/A Local Assistance and Tribal Consistency Fund The Local Assistance and Tribal Consistency Fund provides flexible support for eligible revenue sharing counties and eligible Tribal governments to meet their jurisdiction’s needs. Specifically, the statute directs that recipients may use funds for any governmental purpose other than a lobbying activity. As a general matter, recipients may treat these funds in a similar manner to how they treat funds generated from their own revenue. Programs, services, and capital expenditures that are traditionally undertaken by a government are considered to fulfill a “governmental purpose.” For Tribal governments, investing in activities undertaken by Tribal enterprises, such as operating or capital expenditures for businesses that are owned or controlled by a Tribal government, are considered a governmental purpose. $ 100,000 $ 50,000 $ - ConFire 97.083 Federal Emergency Management Agency (FEMA)N/A FY 2021 SAFER (Staffing for Adequate Fire and Emergency Response) Grant Funding for local fire and emergency response teams to help them increase or maintain the number of trained, "front line" firefighters available in their communities. $ 7,548,363 $ - $ 103,299 EHSD 93.600 Administration for Children & Families-Office of Head Start N/A Head Start American Rescue Plan (ARP): Fiscal Year 2021 funding increase for Head Start grantees to support program work toward full re-opening of in-person comprehensive services as local health guidance allows. Federal allocation is $1 billion. $ 2,302,066 $ 2,302,066 $ 630,771 EHSD 93.568 Administration for Children & Families-Office of Community Services California Department of Community Services & Development Low Income Home Energy Assistance Program (LIHEAP) Provides $4.5 billion in emergency LIHEAP funds to remain available until September 30, 2022. $ 4,692,311 $ 4,692,311 $ 4,458,681 EHSD 95.053 Health and Human Services - Administration for Community Living (ACL) California Department of Aging Emergency Older Americans Act (OAA) Program Funding Provides $1.43 billion in emergency OAA funding, including $750 million for senior nutrition programs, $460 million for home-and-community-based support services, $45 million for disease prevention, $10 million for the long-term care ombudsman program and $145 million in assistance for grandparents caring for grandchildren. $ 3,810,565 $ 3,810,565 $ 66,428 EHSD 93.747 Health and Human Services - Administration for Community Living (ACL) California Department of Social Services Elder Justice Act Programs Provides at least $188 million for the Elder Justice Act in both FY 2021 and FY 2022, and $88 million for grants to public transit systems to improve transportation access for older adults and people with disabilities. $ 15,381 $ 15,381 $ 7,500 EHSD 93.591 Health and Human Services - Administration for Children & Families-Family and Youth Services Bureau CalOES Family Violence Prevention and Services Act (FVPSA) Program Supplemental Grants $450 million Federal funds allocated. Will provide 296 supplement grant awards to states, territories, tribes and local domestic violence organizations to respond to domestic violence. While counties are ineligible to receive direct allocations through the FVPSA program, they may receive funding through their state. TBD $ - $ - EHSD 93.590 Health and Human Services - Administration for Children & Families-Children's Bureau California Department of Social Services Community Based Child Abuse Prevention (CBCAP) and Child Abuse Prevention Treatment Act (CAPTA) Supplemental Funding $25 Million Federal Funds allocated. Counties and tribes with Title IV-E agreement with state opt-in to the ARPA-CBCAP suplemental funding, a one-time allocation that can be spent through September 30, 2025 without a requirement for non-federal matching fund for child abuse prevention direct services and planing activites. $ 522,976 $ 522,976 $ - EHSD 93.575 Administration for Children & Families -Office of Childcare California Department of Social Services Child Care Development Block Grant (CCDBG) ARPA provides a total of nearly $39 billion in emergency funds for the Child Care Community Block Grant (CCDBG), of which nearly $15 billion is for child care subsidies through FY 2024. The remaining $24 billion will be available to states to make stabilization subgrants directly to child care providers to assist in maintaining operations. TBD $ - $ - 2/4 5/11/20239:38 AM CCC Department CFDA Federal Grantor Agency State Passthrough Agency Name (if any)Program Title Program Description Est. Federal Grant Allocation to County Federal Grant Allocation Received Federal Grant Allocation Expended EHSD 93.596 Administration for Children & Families -Office of Childcare California Department of Social Services Child Care Slots / Child Care Stabilization Funds Increases child care access by 206,500 slots in Alternative Payment, General Child Care, Migrant Child Care, bridge program for foster children, and prioritizes ongoing vouchers for essential workers currently receiving short-term child care. Potential increase in the standard reimbursement rate and regional market rate ceilings. Two one time stipends will be issued out to providers: the first will be $600 per child using March 2021 enrollment and the second will be based on facility type and licensing capacity. Stipends are to be used to support with COVID-19 pandemic relief, and, in the case of decreased enrollment or closures, to support child care providers and state preschool programs in remaining open or reopening. Budget to also include a hold harmless clause for all State Programs. Federal allocation is $24 billion. TBD $ - $ - EHSD 93.568 Administration for Children & Families-Office of Community Services California Department of Community Services & Development Low-Income Household Drinking Water and Wastewater Emergency Assistance Program (LIHWAP) Created under the FY 2021 Omnibus to assist with payments for drinking water and wastewater expenses. Federal allocation is $500 million. $ 1,989,789 $ 1,989,789 $ 1,127,553 EHSD 93.558 Administration for Children & Families-Office of Family Assistance California Department of Social Services Temporary Assistance for Needy Families (TANF) Pandemic Emergency Assistance Fund Provides $1 billion in short-term targeted aid (cash assistance or otherwise) to families in crisis. States will receive funds based on their population's share of children and portion of prior TANF expenditures dedicated to cash assistance. $ 3,721,600 $ 3,721,600 $ 3,721,600 EHSD 93.747 Health and Human Services - Administration for Community Living (ACL) California Department of Social Services Elder Abuse Prevention Interventions Program Funds are available for county expenditure between August 1, 2021 and September 30, 2023. While maximum flexibility is afforded to the counties in determining how they will spend the funds, counties are advised to exercise judgement consistent with the Elder Justice Act Section 2042(b); Section 9301 of the ARPA of 2021; and guidance provided by the federal Administration for Community Living. Based on ACL No. 22-07, examples of how to spend the allocation noted in the Federal Register Notice include:•Establishing or enhancing the availability for elder shelters and other emergency,short-term housing and accompanying “wrap-around” services; •Establishing, expanding, or enhancing state-wide and local-level elder justicenetworks; •Working with tribal APS efforts; •Improving or enhancing existing APS processes; •Improving and supporting remote work; •Improving data collection and reporting at the case worker, local, and state levelsin a manner that is consistent with the National Adult Maltreatment ReportingSystem; •Establishing new, or improving existing processes for responding to allegedscams and frauds; •Community outreach; •Providing goods and services to APS clients; •Acquiring personal protection equipment and supplies; •Paying for extended hours/over-time for staff, hiring temporary staff, andassociated personnel costs; •Training; $ 89,750 $ 89,750 $ - HSD 93.224 Health Resources and Services Administration (HRSA), U.S. Department of Health and Human Services (HHS) N/A American Rescue Plan Act Funding for Health Centers Appropriates funds to the Department of Health and Human Services (HHS) to be distributed to community health centers for: • Vaccine planning, preparation, distribution, and tracking • COVID-19 testing, monitoring, and contract tracing, including mobile testing and vaccinations • Health care workforce expansion • Health care services and infrastructure modification • Community outreach related to COVID-19 $ 3,355,250 $ 2,071,199 $ 2,499,168 3/4 5/11/20239:38 AM CCC Department CFDA Federal Grantor Agency State Passthrough Agency Name (if any)Program Title Program Description Est. Federal Grant Allocation to County Federal Grant Allocation Received Federal Grant Allocation Expended HSD 93.958 Substance Abuse and Mental Health Services Administration (SAMHSA), U.S. Department of Health and Human Services (HHS) CA Department of Health Care Services (DHCS) Community Mental Health Services Block Grant (MHBG) Appropriates funds to HHS for Substance Abuse and Mental Health Services Administration (SAMHSA) block grants to states for community mental health services. Period covered is September 1, 2021 through June 30, 2025. $ 2,597,143 $ 77,860 $ 221,465 HSD 93.959 Substance Abuse and Mental Health Services Administration (SAMHSA), U.S. Department of Health and Human Services (HHS) CA Department of Health Care Services (DHCS) Substance Abuse Prevention and Treatment Block Grant (SABG) Appropriates funds to HHS for Substance Abuse and Mental Health Services Administration (SAMHSA) block grants to states for SUD programs. States will have some discretion in how funds are expended consistent with federal block grant requirements, and may choose to utilize some dollars consistent with existing block grant programs/services while allocating other dollars to new or one-time activities and priorities. All expenditures are subject to approval by SAMHSA. $ 2,508,139 $ - $ 250,000 HSD 93.354 Centers for Disease Control and Prevention (CDC), U.S. Department of Health and Human Services (HHS) CA Department of Public Health (CDPH)Public Health Workforce Appropriates funds to CDC to support 21st century outbreak response needs by: 1. Expanding and enhancing frontline public health staff 2. Conducting DIS workforce training and skills building 3. Building organizational capacity for outbreak response 4. Evaluating and improving recruitment, training, and outbreak response efforts Funds will be made available during the two-year budget period and period of performance (July 1, 2021 to June 30, 2023). $ 1,910,858 $ 477,715 $ 933,537 HSD 93.498 Health Resources and Services Administration (HRSA), U.S. Department of Health and Human Services (HHS) N/A Provider Relief Fund - American Rescue Plan (ARP) Rural Distribution Appropriates funds to the Department of Health and Human Services (HHS) to be distributed to providers and suppliers who have served rural Medicaid, Children's Health Insurance Program (CHIP), and Medicare beneficiaries from January 1, 2019 through September 30, 2020. ARP Rural is intended to help address the disproportionate impact that COVID- 19 has had on rural communities and rural health care providers. $ 133,362 $ 133,362 $ 133,362 DCD 14.239 U.S Department of Housing and Urban Development N/A HOME-ARP: HOME Investment Partnerships American Rescue Plan Program Assist individuals or households who are homeless, at risk of homelessness, and other vulnerable populations, by providing housing, rental assistance, supportive services, and non-congregate shelter, to reduce homelessness and increase housing stability. HOME-ARP funds can be used for four eligible activities: production or preservation of affordable housing; tenant-based rental assistance; supportive services, homeless prevention services, and housing counseling; purchase and development of non-congregate shelter. $ 12,090,215 $ 12,090,215 $ 10,486 $ 343,051,683 $ 327,708,704 $ 240,411,901 as % 95.5%70.1% 4/4 5/11/20239:38 AM ATTACHMENT AProgram Area Program TitleFederal Budget AugmentationSummary DescriptionFiscal Recovery Funds State & Local Fiscal Recovery Funds$130.2BContra Costa will receive $224M Fiscal Recovery Funds $2BThis only applies if a jurisdiction gets Payment in Lieu of taxes (PILT): Provides an additional $1.5 billion, split evenly over FY 2022 and 2023, for eligible revenue share counties (i.e., public land counties)Assistance to Individuals and FamiliesSupplemental Nutrition Assistance Program (SNAP) Administration$1.1B Pass through from the state for local SNAP administration and supplemental costs of running the programAssistance to Individuals and FamiliesSNAP 15% Benefit Extension $3.5B Extends the benefit increase through 9/30/2021Assistance to Individuals and FamiliesWomen, Infant, Child (WIC) Program $0.9BEmergency funds which will enhance benefits for four months plus $390 million of which will support outreach innovation and program modernization funding.Assistance to Individuals and FamiliesPandemic Electronic Benefits Transfer (EBT) $5.6BProvides +15% monthly SNAP benefits to low‐income children (including under 6 years old) who have lost access to free/reduced price meals at school or child care due to the pandemic; May not apply in CAAssistance to Individuals and FamiliesCommodity Supplemental Food Program $37M Funds supplementing low‐income, 60+ individuals with healthy food commoditiesAssistance to Individuals and FamiliesFamily Violence Prevention and Services $0.5B Formula grants may be available to counties for Domestic Violence hotlines and survivor support programsAssistance to Individuals and FamiliesCommunity‐based Child Abuse Prevention $0.3BThrough 9/30/2023; Going to state lead entities but may be available to counties through competitive sub‐awardsAssistance to Individuals and FamiliesPandemic Emergency Assistance $1.0B Targeted cash assistance supplementAssistance to Individuals and FamiliesOlder Americans Act (OAA) Programs $1.4BAdditional funds for nutrition, community support and ombudsperson services provided directly to local Area Agencies on Aging (Triple A)AMERICAN RESCUE PLAN ‐ FUNDING SUMMARY1/47/28/202112:03 PM ATTACHMENT AProgram Area Program TitleFederal Budget AugmentationSummary DescriptionAMERICAN RESCUE PLAN ‐ FUNDING SUMMARYAssistance to Individuals and FamiliesElder Justice Act Programs $276M Funding through Federal FY 2022 to prevent elder fraud and abuseAssistance to Individuals and FamiliesEarly Childhood Home Visiting $150M States receive these funds and may subaward to county entities providing servicesAssistance to Individuals and FamiliesFamily Planning $50MFederal grant program providing low‐income and adolescent patients with essential family planning and preventative health services. County health departments are eligible applicants of these grants.Assistance to Individuals and FamiliesTenant‐Based Rental Assistance $5B Provides housing choice vouchers, with funds available through September 30, 2030.Assistance to Individuals and FamiliesHomelessness Assistance $5BProvides rental assistance, provides supportive services and development of affordable housing through acquisition or creation of non‐congregate shelter units. Funding will be allocated using the HOME Investment Partnerships Program.Assistance to Individuals and FamiliesEmergency Rental Assistance $21.6BProvides an additional round of funding for the Emergency Rental Assistance Program. Funding is distributed to counties with 200,000 residents or more, to help keep residents stably housed during the COVID‐19 pandemic.Education and ChildcareChild Care and Development Block Grants (CCDBG)$15B Administered by state in CA, but may be available as a subaward to countiesEducation and Childcare Child Care Entitlements to States $633MPermanent increase in funding to states and State match waiver through end of FFY 2022. These changes should make more money available to countiesEducation and ChildcareLow Income Household Drinking Water and Wastewater Assistance Program (LIHWAP)$4.5BCounty administered program has a flexible structure and can support household heating and cooling expenses, weatherization assistance, crisis assistance, and services such as counseling. Education and ChildcareLow Income Home Energy Assistance Program (LIHEAP)$0.5BFederal government is directing states to model LIHWAP after LIHEAP, it is possible that county governments functioning as a local LIHEAP agency will be responsible for administering this new program as well and may receive funds.Education and Childcare Head Start $1.0BEmergency funding to be distributed across existing Head Start agencies according to their share of total enrolled children.HealthCertified Community Behavioral Health Clinic Expansion Grant Program$420MGrants aimed to increase access to, and improve the quality of community mental and substance use disorder treatment through the expansion of CCBHCs2/47/28/202112:03 PM ATTACHMENT AProgram Area Program TitleFederal Budget AugmentationSummary DescriptionAMERICAN RESCUE PLAN ‐ FUNDING SUMMARYHealth Youth Suicide Prevention Programs $20MCounties that are public organizations designated by a state to develop or direct the youth suicide early intervention and prevention strategy are eligible to receive funds.HealthCommunity Mental Health Services Block Grant$1.5BCounties may use block grant dollars to provide a range of services for adults and children with serious mental illnesses.HealthSubstance Abuse Prevention and Treatment Block Grant$1.5BFunding for county behavioral health authorities to serve vulnerable, low‐income populations, such as those with HIV/AIDS, pregnant and parenting women, youth and others by ensuring access to substance abuse services.HealthCommunity‐based Funding for Local Substance Use Disorder Services$30MProvides grants to local governments for community‐based overdose prevention programs, syringe services programs and other harm reduction services in light of increased pandemic related drug‐misuseHealthCommunity‐based Funding for Local Behavioral Health Needs$50MProvides grants to local governments to address increased community behavioral health needs worsened by the COVID‐19 pandemic.Health Project Aware $30MProvides grants, contracts and cooperative agreements to entities to advance wellness and resiliency in education.Health Community Health Centers$7.6BProvides grants to Federally Qualified Health Centers (FQHCs) to respond to the COVID‐19 pandemicHealth Public Health Workforce $7.66BProvides funding to establish, expand and sustain a public health workforce including grants to local public health departmentsHealth National Health Services Corps $800MProvides funding for the scholarship as well as federal and state loan repayment programs for the healthcare workforceHealth Nurse Corp$200MProvides funding for the federal loan repayment programs for nursesHealthMental and Behavioral Health Professionals Training$80MProvides funding for grants or contracts to local governments and other entities, to run training programs in strategies for reducing and addressing suicide, burnout, mental health conditions and substance use disorders among health care professionals.HealthGrants for Health Care Providers to Promote Mental and Behavioral Health$80MProvides funding to award grants or contracts to entities providing health care, including federal qualified health centers, to establish or expand programs to promote mental health among their providers and othersHealth Pediatric Mental Health Care Access $40MProvides funding to award grants to counties to promote behavioral health integration in pediatric primary care through the development and support pediatric mental health care telehealth access programsHealth Grants for Testing $47.8BProvides funding for COVID‐19 testing, contact tracing and mitigation activities. Note that this funding will be distributed to local jurisdictions through existing cooperative agreements3/47/28/202112:03 PM ATTACHMENT AProgram Area Program TitleFederal Budget AugmentationSummary DescriptionAMERICAN RESCUE PLAN ‐ FUNDING SUMMARYHealth Grants for Vaccines $7.5BProvides funding for COVID‐19 vaccine activities. Note that this funding will be distributed to local jurisdictions through existing cooperative agreementsOther FEMA Disaster Relief Funds$50BProvides additional funds to meet the immediate needs of local governmentsOther Emergency Food and Shelter Program $400MLocal governmental entities that provided food, shelter and supportive services to people with economic emergencies services in their communities are eligible to apply for this supplemental fundingOtherEmergency Food and Shelter Program ‐ Humanitarian Relief$110MLocal governmental entities that provided food, shelter and supportive services to people with economic emergencies services in their communities are eligible to apply for this supplemental funding through the National Board for the Emergency Food and Shelter ProgramOther Assistance to Firefighter Grants (AFG)$100MFire agencies can apply for supplemental funds to purchase PPE for first respondersOtherStaffing for Adequate Fire and Emergency Response (SAFER) Grants$200MFunding for local fire and emergency response teams to help them increase or maintain the number of trained, "front line" firefighters available in their communitiesOther Emergency Management Performance Grants $100MGrant funding for local emergency management agencies for implementation of the National Preparedness System and works toward the National Preparedness Goal of a secure and resilient nation.OtherEconomic Development Assistance (EDA) Programs$3.0BLocal government is eligible to apply for the EDA program and can use the funding for economic recovery projects. 25% of the funds are reserved for communities that have suffered economic injury due to job losses in the travel, tourism or outdoor recreation sectors.Other Categorical Grants ‐ Air Pollution $50MLocal government can apply for grants and activities related to air quality monitoring and the prevention and control of air pollutionOtherEmergency Connectivity Fund for Libraries (and schools)$7.2BThis competitive grant funding provides a 100% reimbursement to schools and libraries for internet access and connected devices for students and teachers for remote learning and library services. 4/47/28/202112:03 PM RECOMMENDATION(S): ACCEPT the fiscal year 2022/23 3rd Quarter report on American Rescue Plan Act (ARPA) and Infrastructure, Investment and Jobs Act (IIJA) funding to Contra Costa County FISCAL IMPACT: No fiscal impact, this item is informational only. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Timothy Ewell, (925) 655-2043 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 42 To:Board of Supervisors From:Monica Nino, County Administrator Date:May 16, 2023 Contra Costa County Subject:FY 2022/23 3rd QUARTER UPDATE - AMERICAN RESCUE PLAN ACT (ARPA) & INFRASTRUCTURE INVESTMENT AND JOBS ACT (IIJA) FISCAL IMPACT: (CONT'D) American Rescue Plan Act: As of March 31, 2023, the County has identified $343.1 million of known ARPA revenue allocations across 22 unique grant programs. Of that amount, the County has received $327.7 million or 95.5%, and has spent $240.4 million, or 70.1%. A full accounting of the above figures, by unique grant program, is included in the "American Rescue Plan - Quarterly Report Worksheet," included as Attachment B to this staff report. Infrastructure Investment and Jobs Act: As of March 31, 2023, the County has applied for $158.9 million in federal IIJA funded grants with a required County match of $17.6 million across 28 unique grant programs. Of that amount, the County has been awarded $62.8 million of federal IIJA funded grants with a required County match of $11 million. A full accounting of the above figures, by unique grant program, is included in the "Infrastructure Investment and Jobs Act - Quarterly Report Worksheet," included as Attachment C to this staff report. BACKGROUND: American Rescue Plan Act (ARPA) The American Rescue Plan Act (ARPA) was signed into law on March 11, 2021 by President Biden. The ARPA is a broad and far-reaching funding package totaling $1.9 trillion, which provided direct stimulus to taxpayers, advances on child tax credit payments, direct allocations to State and Local governments as well as a myriad of competitive grant programs administered by federal agencies. A summary of the ARPA, including national funding figures, is included as Attachment A for reference. County History of American Rescue Plan Act Actions During the fiscal year 2021/22 budget development process, the County Administrator's Office requested information from departments about known impacts from the ARPA for context in assembling the fiscal year 2021/22 Recommended Budget. Because the passage of the ARPA occurred late in the County’s budget process, there was very little information to share in subsequent budget presentations, with the exception of the Coronavirus State and Local Fiscal Recovery Fund (CSLFRF), which was widely being tracked throughout the legislative process by state and local government professional organizations such as the National Association of Counties (NACo). At that time, the County was estimated to receive slightly more than $220 million over a two-year period. On June 28, 2021, the County Administrator sent correspondence to department heads establishing guidance for reporting impacts of the ARPA on their respective departments. This included an initial assessment of ARPA impacts by program area, a request for information about unreimbursed COVID-19 costs incurred, a survey of one-time needs and templates of required quarterly reporting documents. The results were reported on during a public ARPA workshop hosted by the Board of Supervisors on August 3, 2021 (D.4). In summary, departments reported the following information at that time: Known ARPA Revenue: $317,327,304, of which $127,606,232 has been received by the County Unreimbursed COVID-19 Costs: $16,882,139, including $7,368,000 of unrealized gas tax revenue due to Shelter in Place orders One-Time Needs: $71,655,531, including $4,120,000 that could be leveraged from non-ARPA funding sources It is important to note that the One-Time Needs figure above reflected projects that could be obligated prior to December 21, 2024, consistent with CSLFRF guidelines discussed further below. At the conclusion of the August 2021 public workshop, the Board directed the full $112 million allocation of Year 1 CSLFRF funding to the Health Services Department to defray the cost impacts of COVID-19 response activities. Subsequently, on January 25, 2022, the Board acknowledged that the fiscal year 2022/23 Recommended Budget would include $53 million of Year 2 CSLFRF funding in the Health Services Department budget. On April 12, 2022, the Board approved the fiscal year 2022/23 Recommended Budget as presented, including the additional $53 million of Year 2 CSLFRF funding. At the conclusion of fiscal year 2021/22, the Health Services Department had not spent the entire $112 million allocation. $30 million of that amount was re-budgeted in fiscal year 2022/23, making the total amount budgeted $83 million ($53 million of Year 2 funds + $30 million of unspent Year 1 funds). Review of Primary ARPA Revenue Drivers There are two ARPA grant programs that provide the majority of funding to the County; specifically, the CSLFRF and a second allocation of Emergency Rental Assistance Program (ERAP) funds. Below are additional details about both revenue streams. Coronavirus State and Local Fiscal Recovery Fund - $224,058,903 Contra Costa County was allocated $224,058,903 of CSLFRF funds directly from the U.S. Treasury. The funding was allocated in two 50% tranches, the first of which was received by the County on May 18, 2021 in the amount of $112,029,451. The second tranche was distributed to the County in an equal amount on June 8, 2022. The ARPA outlines four specific eligible uses for CSLFRF funding: • COVID-19 response activities or its negative economic impacts; • Premium pay to eligible workers performing essential work during COVID-19; • Government services to the extent of the reduction in revenue due to COVID-19; and • Infrastructure investments specifically for water, sewer and broadband. Each category above has several nuances associated with it, which staff has presented on several times beginning in August 2021 and at subsequent Board meetings. The ARPA requires CSLFRF recipients with populations of over 250,000 residents to submit an annual Recovery Plan Performance Report, including descriptions of projects and information on performance indicators and objectives of each award. CSLFRF expenditures must be incurred by December 31, 2024 and ultimately spent by December 31, 2026. Emergency Rental Assistance Program 2 - $71,605,012 ($38,941,950 Federal + $32,663,062 State) Contra Costa County was allocated an additional $71,605,012 in ERAP 2 funds directly from the U.S. Treasury and via the State of California through the State’s ARPA funding allocation. This funding complements ERAP 1 funding previously received both from the U.S. Treasury and from the State in the amount of $75,822,311, making a total of $147,427,324 rental and utility assistance funding available to Contra Costa residents, landlords and utility providers. The State of California requested letters of intent from counties and cities slated to receive State allocations of ERAP 2 funds, subject to final approval by governing boards, to secure funding allocations. The County Administrator's Office filed the letter of intent with the State on July 27, 2021 and subsequently received Board approval to continue participating in the State’s Housing is Key program, providing coordinated rental and utility assistance throughout the state, including to Contra Costans. ERAP 2 funds were to be used largely in a similar fashion to ERAP 1, but also allowed for relocation cost and security deposit assistance to eligible residents. ERAP 1 funds were to be expended by September 30, 2022 and ERAP 2 funds must be expended by September 30, 2025. The State program has concluded and all funds were distributed prior to the deadlines outlined above. For reference, as of May 11, 2023, the total amount of ERAP assistance provided in Contra Costa County, among all funding programs, was $228.9 million, serving 16,986 households - $82 million above the County's initial allocation amounts, which was funded by State General Fund. Fiscal Year 2022/23 3rd Quarter (January-March 2023) ARPA Status Report As of March 31, 2023, the County has identified $343.1 million of known ARPA revenue allocations across 22 unique grant programs. Of that amount, the County has received $327.7 million, or 95.5%, and has spent $240.4 million, or 70.1%. A full accounting of the above figures, by unique grant program, is included in the "American Rescue Plan - Quarterly Report Worksheet," included as Attachment B to this staff report. Specific reporting on the CSLFRF program is presented below: Status of ARPA CSLFRF Funding As of March 31, 2023, the County had received the entire CSLFRF allocation of $224.1 million and expended $154.6 million. As previously mentioned, the Board of Supervisors has taken action to allocate $83 million to the Health Services Department in fiscal year 2022/23. The County Administrator's Office worked with the Health Services Department during the fiscal year 2023/24 budget development process to determine how much of the $83 million allocation would be spent in fiscal year 2022/23 and how much would be reallocated to fiscal year 2023/24. Current estimates are that $68 million would be spent in fiscal year 2022/23, resulting in $15 million being budgeted for use in fiscal year 2023/24. Based on actual expenditures in fiscal year 2021/22, anticipated expenditures in fiscal year 2022/23 and the anticipated re-budget of unused funds in fiscal year 2023/24, the current amount of CSLFRF funds unallocated is approximately $37.5 million as illustrated below. Infrastructure Investment and Jobs Act (IIJA) According to the Government Finance Officer's Association (GFOA), the Infrastructure Investment and Jobs Act (IIJA), also referred to as the Bipartisan Infrastructure Law (BIL), was signed into law by President Biden on November 15, 2021. The law authorizes $1.2 trillion for transportation and infrastructure spending with $550 billion of that figure going toward “new” investments and programs. Funding from the IIJA is expansive in its reach, addressing energy and power infrastructure, access to broadband internet, water infrastructure, and more. Some of the new programs funded by the bill could provide the resources needed to address a variety of infrastructure needs at the local level. Specific highlights of the IIJA funding program include: Public Transportation: The IIJA invests $91.2 billion to repair and modernize transit. The legislation supports expanded public transportation choices nationwide, replacing thousands of deficient transit vehicles, including buses, with clean, zero emission vehicles, and improving accessibility for the elderly and people with disabilities. Airports and Federal Aviation Administration Facilities : The IIJA invests $25 billion to address repair and maintenance needs, reduce congestion and emissions, and modernize our National Aerospace System. Ports and Waterways: The IIJA invests over $16.7 billion to improve infrastructure at coastal ports, inland ports and waterways, and land ports of entry along our border. Electric Vehicles, Buses, and Ferries: The IIJA includes a $7.5 billion investment in electric vehicle charging to help build out a national network of 500,000 electric vehicle chargers. In addition, there are investments from the IIJA for specific vehicles to transition to electric school buses, transit buses, and even passenger ferries to reduce emissions for their riders, including children and low-income families that bear the greatest burdens of pollution while trying to meet their mobility needs. Broadband Deployment and Access: The IIJA included a $65 billion investment to help close the digital divide and ensure access for all Americans to reliable, high speed, and affordable broadband. The additional funding builds off of investments in previous laws, including the American Rescue Plan (ARPA) and the Consolidated Appropriations Act of 2021. As a result of the additional funding, the National Telecommunications and Information Administration (NTIA) plans to implement several new programs with these aggregate investments. Water Infrastructure: The IIJA invests more than $50 billion through the Environmental Protection Agency's (EPA) drinking water, wastewater, and storm water infrastructure programs. Resiliency: The IIJA makes our communities safer and our infrastructure more resilient to the impacts of climate change and cyber-attacks, with an investment of more than $50 billion to protect against draughts, heat, floods and wildfires, in addition to major investments in weatherization. The legislation is the largest investment in the resilience of physical and natural systems in American history. Fiscal Year 2022/23 3rd Quarter (January-March 2023) IIJA Status Report Contra Costa County has been aggressively pursuing IIJA dollars for local infrastructure projects. As of March 31, 2023, the County has applied for $158.9 million in federal IIJA funded grants with a required County match of $17.6 million across 28 unique grant programs. Of that amount, the County has been awarded $62.8 million of federal IIJA funded grants with a required County match of $11 million across 14 unique programs. A full accounting of the above figures, by unique grant program, is included in the "Infrastructure Investment and Jobs Act - Quarterly Report Worksheet," included as Attachment C to this staff report. The vast majority of IIJA funds flow from the federal government to the states for allocation. In Contra Costa, the 28 unique grant applications referenced above are centered among four agencies; 3 state and 1 federal as summarized below: CONSEQUENCE OF NEGATIVE ACTION: The fiscal year 2022/23 3rd Quarter report on the American Rescue Plan Act (ARPA) and the Infrastructure Investment and Jobs Act (IIJA) will not be formally accepted by the Board of Supervisors. ATTACHMENTS Attachment A - American Rescue Plan Act Summary Attachment B - American Rescue Plan Act, FY 2022/23 3rd Quarter Report (January-March 2023) Attachment C - Infrastructure Investment and Jobs Act, FY 2022/23 3rd Quarter Report (January-March 2023) RECOMMENDATION(S): APPROVE amendments to the Contra Costa Children and Families Commission (First 5) Conflict of Interest Code. FISCAL IMPACT: None. BACKGROUND: First 5 has amended its Conflict of Interest Code and submitted the revised Code, attached as Exhibit A, to the Board of Supervisors for approval pursuant to Government Code sections 87306 and 87306.5. The recommended changes include the addition and deletion of positions designated to file conflict of interest statements. These changes will ensure that the Conflict of Interest Code accurately reflects the current positions and organizational structure in use by First 5. A red-lined version of the Conflict of Interest Code is included as Exhibit B. CONSEQUENCE OF NEGATIVE ACTION: None. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Kurtis C. Keller, Deputy County Counsel, (925) 655-2200 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: Monica Nino, Clerk of the Board of Supervisors, Kurtis C. Keller, Deputy County Counsel, Ruth Fernandez, Executive Director, First Five C. 43 To:Board of Supervisors From:Thomas L. Geiger, County Counsel Date:May 16, 2023 Contra Costa County Subject:Conflict of Interest Code for First 5 Contra Costa Children and Families Commission ATTACHMENTS Exhibit A - Conflict of Interest Code for First 5 Exhibit B - Conflict of Interest Code for First 5 - REDLINE THE BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY, CALIFORNIA and for Special Districts, Agencies and Authorities Governed by the Board Adopted this Resolution on 05/16/2023 by the following vote: AYE:5 John Gioia Candace Andersen Diane Burgis Ken Carlson Federal D. Glover NO: ABSENT: ABSTAIN: RECUSE: Resolution No. 2023/169 A RESOLUTION OF THE BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY AUTHORIZING PREPARATION AND SUBMITTAL OF A SUSTAINABLE GROUNDWATER MANAGEMENT ACT (SGMA) IMPLEMENTATION ROUND 2 FUNDING APPLICATION TO THE CALIFORNIA DEPARTMENT OF WATER RESOURCES FOR THE EAST CONTRA COSTA GROUNDWATER SUBBASIN IN CONTRA COSTA COUNTY, CA WHEREAS, in August 2014, the California Legislature passed, and in September 2014 the Governor signed, legislation creating the Sustainable Groundwater Management Act (“SGMA”) “to provide local groundwater sustainability agencies with the authority and technical and financial assistance necessary to sustainably manage groundwater” (Wat. Code, § 10720, (d)); and WHEREAS, SGMA requires sustainable management through the development of groundwater sustainability plans (“GSPs”), which can be a single plan developed by one or more groundwater sustainability agencies (“GSAs”) or multiple coordinated plans within a basin or subbasin (Wat. Code, § 10727); and WHEREAS, SGMA requires a GSA be formed to manage groundwater in all basins designated by the California Department of Water Resources (“DWR") as a medium or high priority, including the East Contra Costa Subbasin; and WHEREAS, City of Antioch (“Antioch”), City of Brentwood (“Brentwood”), Byron-Bethany Irrigation District (“BBID”), Contra Costa Water District (“CCWD”), Contra Costa County (“County”), Diablo Water District (“DWD”), East Contra Costa Irrigation District (“ECCID”), and Discovery Bay Community Services District (“Discovery Bay”) were formed as GSAs [except CCWD] for the purposes of sustainably managing groundwater in the East Contra Costa Subbasin within their jurisdictional boundaries, pursuant to the requirements of SGMA; and WHEREAS, the GSAs have the authority to draft, adopt, and implement a GSP (Wat. Code, § 10725 et seq.); and WHEREAS, on May 9, 2017, the GSAs entered into a Memorandum of Understanding (“Agreement”) with all other GSAs within the East Contra Costa Subbasin along with CCWD for the purpose of jointly developing a single GSP for the East Contra Costa Subbasin and coordinating sustainable groundwater management in the Subbasin (Wat. Code, §10727(a)(2)); and WHEREAS, the Brentwood GSA submitted an Initial Notification to DWR on behalf of all the GSAs to jointly develop a GSP for the Subbasin on February 12, 2018; and WHEREAS, a group (“Working Group”) consisting of the GSAs and CCWD has coordinated in the Subbasin to draft a single GSP; and WHEREAS, on behalf of the GSAs, the Working Group developed the draft GSP (“GSP”) and released portions of the draft GSP for public and local agency review during GSP development and released the entire draft on September 7, 2021; WHEREAS, the ECC Subbasin submitted its adopted GSP to DWR by the January 31, 2022 submittal deadline; and, WHEREAS, the ECC Subbasin is now pursuing GSP implementation funding from the SGMA Implementation Round 2 funding cycle through DWR with applications due by November 30, 2022; and, WHEREAS, the ECC Subbasin is authorized to prepare a complete SGMA Implementation Round 2 Application, with review by the ECC Working Group, for submittal to DWR that is consistent with DWR Guidelines and Proposal Solicitation Package (“PSP”) documentation, as well as its adopted GSP goals, objectives and priority actions. WHEREAS, the City of Brentwood is acting as the lead agency for the ECC Working Group per the GSP Implementation MOU executed by the ECC GSAs on date May 11, 2022 to complete the SGMA grant program application for GSP implementation for the ECC Subbasin and to enter into an agreement with the State of California to receive grant funding. NOW, THEREFORE, BE IT RESOLVED that the Board of Supervisors of Contra Costa County does hereby: Find that the recited facts are true and that it has the jurisdiction to consider, approve, and adopt this Resolution.1. Resolve that an application be made to the Department of Water Resources to obtain a grant under the 2021 Sustainable Groundwater Management (SGM) Grant Program SGMA Implementation Grant pursuant to the California Drought, Water, Parks, Climate, Coastal Protection, and Outdoor Access For All Act of 2018 (Pub. Resources Code, § 80000, et seq.) and the California Budget Acts of 2021 and 2022. 2. BE IT FURTHER RESOLVED that: The City of Brentwood has the authority on behalf of the ECC Working Group and shall enter into a funding agreement with the Department of Water Resources to receive a grant for the ECC Subbasin GSP Implementation; and 3. The City Manager of the City of Brentwood, or designee, is hereby authorized and directed to prepare the necessary data, conduct investigations, prepare and file such application, execute a grant funding agreement and any future amendments thereto, submit invoices, and submit any reporting requirements with the Department of Water Resources. 4. Contact: Ryan Hernandez, 925-655-2919 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: RECOMMENDATION(S): ADOPT Resolution No. 2023/169 to authorize the City of Brentwood’s Proposition 68 (Round 2) grant application to the California Department of Water Resources for funding to implement the East Contra Costa Groundwater Sustainability Plan (GSP) to manage the East Contra Costa groundwater subbasin. 1. AUTHORIZE the Auditor-Controller, or designee, to issue payment in the amount of $7,330.39, to Ludorff & Scalmanini Consulting Engineers, to assist with preparing the County’s and Water Agency’s comments related to groundwater issues addressed in the State of California, Department of Water Resources’ Delta Conveyance Project environmental impact report. 2. FISCAL IMPACT: The cost to submit the grant application is shared equally among the eight parties per the executed Second Amended and Restated Memorandum of Understanding (MOU), approved by the Board on March 22, 2022, for the implementation of the East Contra Costa Groundwater Sustainability Plan. Pursuant to the MOU, the Contra Costa County Water Agency is responsible for 1/8 of the cost of actions to implement the GSP up to an annual cap of $40,000. The estimated cost to the County for the preparation of the grant application to DWR is $5,699 (this is 1/8th of the total cost). The County's costs would be funded 100% by the Water Agency. Additional costs to prepare groundwater specific written technical comments on the draft Environmental Impact Report for the Delta Conveyance Project is outside the scope of the executed MOU. Thus, one-time funding of $7,330.39, paid to the consultant named in the MOU, Ludorff & Scalmanini Consulting Engineers, is proposed, covered 100% by Water Agency funds. BACKGROUND: Contra Costa County is the Groundwater Sustainability Agency for portions of the East Contra Costa (ECC) Subbasin and is responsible for implementation of the ECC Groundwater Sustainability Plan (GSP) to ensure that groundwater resources in East County are sustainably managed and in compliance with the State’s Sustainable Groundwater Management Act (SGMA). APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Ryan Hernandez, 925-655-2919 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 44 To:Board of Supervisors From:John Kopchik, Director, Conservation & Development Department Date:May 16, 2023 Contra Costa County Subject:Support City of Brentwood’s Grant Application to CA Dept. of Water Resources for Implementation of East Contra Costa Groundwater Sustainability Plan BACKGROUND: (CONT'D) The MOU includes the following participating agencies, Byron-Bethany Irrigation District, City of Antioch, City of Brentwood, Contra Costa County, Contra Costa Water District, Diablo Water District, East Contra Costa Irrigation District, and Town of Discovery Bay (“the Parties”), and formed the ECC Working Group to facilitate the implementation of the GSP for the East Contra Costa Subbasin so as to share in the costs of administering and implementing the GSP within their jurisdictions, including work done by consultants, Ludorff and Scalmanini. The Parties are now pursuing GSP implementation funding from the SGMA Proposition 68 (Round 2) Implementation funding cycle through DWR. The City of Brentwood is the lead applicant on behalf of the Parties. Resolution No. 2023/169 is a grant requirement. If successful, the grant may help offset some of the costs to implement the GSP. The City of Brentwood is the ECC Subbasin’s lead agency for grant applications/accounting, per the MOU. Ludorff & Scalmanini Consulting Engineers, which consults on GSP implementation, also assisted the County and Water Agency with comments on the groundwater sections of the State of California’s Delta Conveyance Project environmental impact report. It was later determined that this work was beyond the scope of the service plan of the firm’s contract. The work has been completed to the satisfaction of the Water Agency’s Manager. The work will not be ongoing or repeated and an amendment to the contract is not needed. Therefore, to ensure the consultant is paid for work it performed that benefited the County, staff recommends the Board approve one-time funding for preparation of technical comments in response to the draft EIR for the conveyance project. CONSEQUENCE OF NEGATIVE ACTION: A decision not to adopt this resolution may result in a delay in executing a grant agreement and beginning projects, should a grant be awarded to the East Contra Costa Subbasin. AGENDA ATTACHMENTS Resolution 2023/169 MINUTES ATTACHMENTS Signed Resolution No. 2023/169 863\112\3502011.5 1 RECORDING REQUESTED PURSUANT AND WHEN RECORDED MAIL TO: Contra Costa County Department of Conservation and Development 30 Muir Road Martinez, CA 94553 Attn: Assistant Deputy Director No fee for recording pursuant to Government Code Section 27383 and 27388.1 __________________________________________________________________________ INTERCREDITOR AGREEMENT (Pinole Housing) This Intercreditor Agreement (the "Agreement") is dated May 1, 2023, and is among the City of Pinole, a municipal corporation (the "City"), the County of Contra Costa, a political subdivision of the State of California (the "County"), and Pinole Housing, L.P., a California limited partnership ("Borrower"), with reference to the following facts: RECITALS A. Defined terms used but not defined in these recitals are as defined in Section 1 of this Agreement. B. Borrower is the owner of that certain real property located at 811 San Pablo Avenue in the City of Pinole, County of Contra Costa, State of California, as more particularly described in Exhibit A (the "Property"). Borrower intends to construct thirty-three (33) housing units on the Property, thirty-two (32) of which are for rental to extremely low, very low and low income households, and one (1) manager's unit (the "Development"). The Development, as well as all landscaping, roads, and parking spaces on the Property and any additional improvements on the Property, are the "Improvements". C. Concurrently herewith the County is lending Borrower Two Million Six Hundred Thirty-Six Thousand Two Hundred Eighty Dollars ($2,636,280) funded using Home Investment Partnerships Act funds received from HUD pursuant to the Cranston-Gonzales National Housing Act of 1990 (the "County Loan"). D. The County Loan is evidenced by the following documents dated of even date herewith (among others): (i) a Development Loan Agreement between the County and Borrower (the "County Loan Agreement"); (ii) a promissory note executed by Borrower for the benefit of the County in the amount of the County Loan ( the "County Note"); and (iii) a Deed of Trust with Assignment of Rents, Security Agreement, and Fixture Filing among Borrower, as trustor, 863\112\3502011.5 2 Old Republic Title Company, as trustee, and the County, as beneficiary, recorded against the Property concurrently herewith (the "County Deed of Trust"). E. Concurrently herewith the City is lending to Borrower Four Million Three Hundred Eighty Thousand Dollars ($4,380,000) (the "City Loan"). F. The City Loan is evidenced by the following documents dated of even date herewith (among others): (i) a loan agreement between the City and Borrower (the "City Loan Agreement"); (ii) a deed of trust (the "City Deed of Trust"); and (iii) a promissory note executed by Borrower for the benefit of the City in the amount of the City Loan (the "City Note"). G. The City and the County desire to cause the City Deed of Trust and the County Deed of Trust (together, the "Deeds of Trust") to be equal in lien priority. The City and the County also desire to divide (i) the proceeds of any foreclosure, condemnation or insurance claim, and (ii) the Lenders' Share of Residual Receipts and the Local Lenders' Share of Residual Receipts, as described herein. NOW, THEREFORE, the parties agree as follows: AGREEMENT 1. Definitions. The following terms have the following meanings: (a) "Annual City Loan Payment" has the meaning in Section 2(b). (b) "Annual County Loan Payment" has the meaning in Section 2(a). (c) "Annual Operating Expenses" means for each calendar year, the following costs reasonably and actually incurred for operation and maintenance of the Development: i. property taxes and assessments imposed on the Development; ii. debt service currently due on a non-optional basis (excluding debt service due from residual receipts or surplus cash of the Development) on Approved Financing; iii. on-site service provider fees for tenant social services, provided the County and City have approved, in writing, the plan and budget for such services before such services begin; iv. fees paid to the Issuer; v. payment to HCD of a portion of the accrued interest on the VHHP HCD Loan pursuant to California Code of Regulations, Title 25, Section 7308; vi. property management fees and reimbursements, on–site property management office expenses, and salaries of property management and maintenance personnel, not to exceed amounts that are standard in the industry and which are pursuant to a management contract approved by the County and the City; 863\112\3502011.5 3 vii. the Partnership/Asset Fee; viii. fees for accounting, audit, and legal services incurred by Borrower's general partner in the asset management of the Development, not to exceed amounts that are standard in the industry, to the extent such fees are not included in the Partnership/Asset Fee; ix. premiums for insurance required for the Improvements to satisfy the requirements of any lender of Approved Financing; x. utility services not paid for directly by tenants, including water, sewer, and trash collection; xi. maintenance and repair expenses and services; xii. any annual license or certificate of occupancy fees required for operation of the Development; xiii. security services; xiv. advertising and marketing; xv. cash deposited into the Replacement Reserve Account in the amount set forth in Section 4.2(a) of the County Loan Agreement; xvi. cash deposited into the Operating Reserve Account to maintain the amount set forth in Section 4.2(b) of the County Loan Agreement (excluding amounts deposited to initially capitalize the account); xvii. payment of any previously unpaid portion of Priority Portion of Developer Fee (without interest), not to exceed the amount set forth in Section 3.18 of the County Loan Agreement; xviii. extraordinary operating costs specifically approved in writing by the County and the City; xix. the HOME Monitoring Fee; and xx. payments of deductibles in connection with casualty insurance claims not normally paid from reserves, the amount of uninsured losses actually replaced, repaired or restored, and not normally paid from reserves, and other ordinary and reasonable operating expenses approved in writing by the County and the City and not listed above. Annual Operating Expenses do not include the following: depreciation, amortization, depletion or other non-cash expenses, initial deposits to capitalize a reserve account, any amount expended from a reserve account, and any capital cost associated with the Development. 863\112\3502011.5 4 (d) "Approved Financing" means all of the following loans, grants, equity, and operating subsidy obtained by Borrower and approved by the County and the City for the purpose of financing the acquisition of the Property and the construction of the Development in addition to the County Loan and the City Loan: i. multi-family housing revenue tax-exempt bonds in the approximate amount of Fifteen Million Two Hundred Ninety-Five Thousand Seven Hundred Twenty-Three Dollars ($15,295,723) issued by California Municipal Finance Authority (the "Issuer") that are purchased by the Bank and the sale proceeds of which are loaned to Borrower (the "Bank Tax-Exempt Construction Loan"); ii. multi-family housing revenue taxable bonds in the approximate amount of Two Million One Hundred Fifty Thousand Four Hundred Thirty-Eight Dollars ($2,150,438) issued by the Issuer that are purchased by the Bank and the sale proceeds of which are loaned to Borrower (the "Bank Taxable Construction Loan"); iii. permanent loan of Veterans Housing and Homelessness Prevention program ("VHHP") funds from the California Department of Housing and Community Development ("HCD") in the approximate amount of Seven Million Eight Hundred Forty-Eight Thousand One Hundred Twenty Dollars ($7,848,120) (the "VHHP HCD Loan"); iv. Infill Infrastructure Grant funds from HCD in the amount of One Million Six Hundred Seventy-Two Thousand Four Hundred Eighty-Eight Dollars ($1,672,488) ("IIG Funds"), to be loaned by SAHA to the Partnership (the "IIG Sponsor Loan"); v. Loan of Home Depot Veterans Grant Program funds to be granted by the Home Depot Foundation to SAHA and loaned by SAHA to the Partnership in the amount of Four Hundred Thousand Dollars ($400,000) (the "Home Depot Sponsor Loan"); vi. Low Income Housing Tax Credit investor equity funds in the approximate amount of Fourteen Million Seven Hundred Forty-Six Thousand Eight Hundred Ninety-Five Dollars ($14,746,895) (the "Tax Credit Investor Equity") provided by the Investor Limited Partner; and vii. capital contribution from Borrower's general partner in the approximate amount of One Million Three Hundred Four Thousand Eighty-Nine Dollars ($1,304,089) (the "GP Capital Contribution"). (e) "Available Net Proceeds" means the result obtained by multiplying the Net Proceeds of Permanent Financing by 0.75. (f) "Bank" means JPMorgan Chase Bank, N.A., and its successors and assigns. (g) "Bank Taxable Construction Loan" has the meaning set forth in Section 1.1(d)(ii). (h) "Bank Tax-Exempt Construction Loan" has the meaning set forth in Section 1.1(d)(i). 863\112\3502011.5 5 (i) "Borrower" has the meaning set forth in the first paragraph of this Agreement. (j) "City" has the meaning set forth in the first paragraph of this Agreement. (k) "City Additional Prorata Share" means the result obtained by dividing the City Loan by the sum of the County Loan and the City Loan, to the extent all such funds are disbursed. (l) "City Deed of Trust" has the meaning set forth in Paragraph F of the Recitals. (m) "City Loan" has the meaning set forth in Paragraph E of the Recitals. (n) "City Loan Prorata Percentage" means the result, expressed as a percentage, obtained by dividing the City Loan minus any Special City Loan Repayment by the sum of (i) the County Loan minus any Special County Loan Repayment, (ii) the City Loan minus any Special City Loan Repayment, (iii) the VHHP HCD Loan, and (iv) the IIG Funds, to the extent all such loan funds are disbursed. (o) "City Note" has the meaning set forth in Paragraph F of the Recitals. (p) "Completion Date" means the date a final certificate of occupancy, or equivalent document is issued by the City to certify that the Development may be legally occupied. (q) "County" has the meaning set forth in the first paragraph of this Agreement. (r) "County Additional Prorata Share" means the result obtained by dividing the County Loan by the sum of the County Loan and the City Loan, to the extent all such funds are disbursed. (s) "County Deed of Trust" has the meaning set forth in Paragraph D of the Recitals. (t) "County Loan" has the meaning set forth in Paragraph C of the Recitals. (u) "County Loan Agreement" has the meaning set forth in Paragraph D of the Recitals. (v) "County Loan Prorata Percentage" means the result, expressed as a percentage, obtained by dividing the County Loan minus any Special County Loan Repayment by the sum of (i) the County Loan minus any Special County Loan Repayment, (ii) the City Loan minus any Special City Loan Repayment, (iii) the VHHP HCD Loan, and (iv) the IIG Funds, to the extent all such loan funds are disbursed. (w) "County Note" has the meaning set forth in Paragraph D of the Recitals. 863\112\3502011.5 6 (x) "Deeds of Trust" has the meaning set forth in Paragraph G of the Recitals. (y) "Default Rate" means a rate of interest equal to the lesser of the maximum rate permitted by law and ten percent (10%) per annum. (z) "Development" has the meaning set forth in Paragraph B of the Recitals. (aa) "Enforcing Party" has the meaning set forth in Section 6(b). (bb) "Fifteen Year Compliance Period" means the fifteen (15) year compliance period as described in Section 42(i)(1) of the Internal Revenue Code of 1986, as amended. (cc) "Final Cost Certification" means the Final Cost Certification Sources and Uses of Funds prepared by Borrower for the Development that (1) Borrower submits to the California Tax Credit Allocation Committee, and (2) has been prepared using generally accepted accounting standards in effect in the United States of America from time to time, consistently applied. (dd) "Final Development Cost" means the total of the cost of construction of the Development as shown on the Final Cost Certification. (ee) "Foreclosure Net Proceeds" means the proceeds that result from a foreclosure, or any other action, whether judicial or non-judicial, less (i) all amounts paid to any senior lien holder, and (ii) expenses incurred by a lender that is a party to this Agreement in connection with such foreclosure or other action. (ff) "GP Capital Contribution" has the meaning set forth in Section 1(d)(vii). (gg) "Gross Revenue" means for each calendar year, all revenue, income, receipts, and other consideration actually received from the operation and leasing of the Development. Gross Revenue includes, but is not limited to: i. all rents, fees and charges paid by tenants; ii. Section 8 payments and other rental or operating subsidy payments received for the dwelling units; iii. deposits forfeited by tenants; iv. all cancellation fees; v. price index adjustments and any other rental adjustments to leases or rental agreements; vi. net proceeds from vending and laundry room machines; vii. the proceeds of business interruption or similar insurance not paid to senior lenders; viii. the proceeds of casualty insurance not used to rebuild the 863\112\3502011.5 7 Development and not paid to senior lenders; and ix. condemnation awards for a taking of part or all of the Development for a temporary period. Gross Revenue does not include tenants' security deposits, loan proceeds, unexpended amounts (including interest) in any reserve account, required deposits to reserve accounts, capital contributions or similar advances. (hh) "HCD" has the meaning set forth in Section 1(d)(iii). (ii) "Home Depot Sponsor Loan" has the meaning set forth in Section 1.1(d)(v). (jj) "HOME Monitoring Fee" has the meaning set forth in Section 3.20 of the County Loan Agreement. (kk) "HUD" means the United States Department of Housing and Urban Development. (ll) "IIG Funds" has the meaning set forth in Section 1(d)(iv). (mm) "IIG Sponsor Loan" has the meaning set forth in Section 1(d)(iv). (nn) "Improvements" has the meaning set forth in Paragraph B of the Recitals. (oo) "Investor Limited Partner" means RJ MT Pinole Housing L.L.C., a Florida limited liability company, and its permitted successors and assigns. (pp) "Issuer" has the meaning set forth in Section 1.1(d)(i). (qq) "Lenders' Share of Residual Receipts" means fifty percent (50%) of Residual Receipts. (rr) "Local Lenders'" means the County and the City. (ss) "Local Lenders' Share of Residual Receipts" means twenty-five percent (25%) of Residual Receipts. (tt) "Net Proceeds of Permanent Financing" means the amount by which Permanent Financing exceeds the Final Development Costs. (uu) "Partnership Agreement" means the agreement between Borrower's general partner and the Investor Limited Partner that governs the operation and organization of Borrower as a California limited partnership. (vv) "Partnership/Asset Fee" means: (i) partnership management fees (including any asset management fees) payable pursuant to the Partnership Agreement to any partner or affiliate of Borrower or any affiliate of a partner of Borrower, if any, during the Fifteen Year Compliance Period; and (ii) after the expiration of the Fifteen Year Compliance 863\112\3502011.5 8 Period, asset management fees payable to the partners of Borrower, in the amounts approved by the County as set forth in Section 3.19 of the County Loan Agreement. (ww) "Permanent Closing" means the date the Bank Tax-Exempt Construction Loan and Bank Taxable Construction Loan are paid off in full. (xx) "Permanent Financing" means the sum of the following amounts: (i) the County Loan; (ii) the City Loan; (iii) the VHHP HCD Loan; (iv) the IIG Sponsor Loan; (v) the Home Depot Sponsor Loan; (vi) the Tax Credit Investor Equity; and (vii) the GP Capital Contribution. (yy) "Priority Portion of Developer Fee" has the meaning set forth in Section 3.18 of the County Loan Agreement. (zz) "Property" has the meaning set forth in Paragraph B of the Recitals. (aaa) "Residual Receipts" means for each calendar year, the amount by which Gross Revenue exceeds Annual Operating Expenses. (bbb) "SAHA" means Satellite Affordable Housing Associates, a California nonprofit public benefit corporation. (ccc) "Special City Loan Payment" has the meaning set forth in Section 3(b). (ddd) "Special County Loan Payment" has the meaning set forth in Section 3(a). (eee) "Statement of Residual Receipts" means an itemized statement of Residual Receipts. (fff) "Tax Credit Investor Equity" has the meaning set forth in Section 1.1(d)(vi). (ggg)"Term" means the period of time that commences on the date of this Agreement, and expires, unless sooner terminated in accordance with this Agreement, on the fifty-fifth (55th) anniversary of the Completion Date; provided, however, if a record of the Completion Date cannot be located or established, the Term will expire on the fifty-seventh (57th) anniversary of this Agreement. (hhh) "VHHP" has the meaning set forth in Section 1.1(d)(iii). (iii) "VHHP HCD Loan" has the meaning set forth in Section 1.1(d)(iii). 2. Annual Payments to County and City. (a) County Loan. i. Commencing on May 15, 2025, and on May 15 of each year thereafter during the Term, Borrower shall make a loan payment to the County of the County Loan in an amount equal to the sum of (1) the County Loan Prorata Percentage of the Lenders' Share of Residual Receipts and (2) the result obtained by multiplying the County Additional 863\112\3502011.5 9 Prorata Share by the Local Lenders' Share of Residual Receipts (each such payment, an "Annual County Loan Payment"). The County shall apply all Annual County Loan Payments to the County Loan as follows: (1) first, to accrued interest, and (2) second, to principal. ii. Borrower shall repay the County Loan pursuant to the terms of the County Loan Agreement and the County Note. In the event of any conflict between the repayment terms and provisions of the County Loan Agreement and this Agreement, the provisions of this Agreement apply. The County may not consent to any amendment or waiver of the terms of the County Loan Agreement or the County Note if such amendment or waiver could reasonably be deemed to materially adversely affect the City, without the City's prior written approval, which the City may withhold in its sole discretion. (b) City Loan. i. Commencing on May 15, 2025, and on May 15 of each year thereafter during the Term, Borrower shall make a loan payment to the City in an amount equal to the sum of (1) the City Loan Prorata Percentage of the Lenders' Share of Residual Receipts and (2) the result obtained by multiplying the City Additional Prorata Share by the Local Lenders' Share of Residual Receipts (each such payment, an "Annual City Loan Payment"). The City shall apply all Annual City Loan Payments to the City Loan as follows: (1) first, to accrued interest, if any, and (2) second, to principal for the City Loan. ii. Borrower shall repay the City Loan pursuant to the terms of the City Loan Agreement and the City Note. In the event of any conflict between the repayment terms of the City Loan Agreement, City Note and this Agreement, the provisions of this Agreement apply. The City may not consent to any amendment or waiver of the terms of the City Loan Agreement or the City Note, if such amendment or waiver could reasonably be deemed to materially adversely affect the County, without the County's prior written approval, which the County may withhold in its sole discretion. 3. Special Repayment from Net Proceeds of Permanent Financing. (a) To the extent consistent with the regulations applicable to the VHHP HCD Loan, no later than ten (10) days after the date Borrower receives its final capital contribution from the Investor Limited Partner, Borrower shall pay to the County as a special repayment of the County Loan, an amount equal to the result obtained by multiplying the County Additional Prorata Share by the Available Net Proceeds (the "Special County Loan Payment"). (b) To the extent consistent with the regulations applicable to the VHHP HCD Loan, no later than ten (10) days after the date Borrower receives its final capital contribution from the Investor Limited Partner, Borrower shall pay to the City as a special repayment of the City Loan, an amount equal to the result obtained by multiplying the City Additional Prorata Share by the Available Net Proceeds (the "Special City Loan Payment"). (c) No later than one hundred eighty (180) days following completion of construction of the Development, Borrower shall submit to the County and the City a preliminary calculation of the Net Proceeds of Permanent Financing and a draft of the Final Cost Certification. The County and the City shall approve or disapprove Borrower's determination of 863\112\3502011.5 10 the amount of the Net Proceeds of Permanent Financing in writing within thirty (30) days of receipt. If Borrower's determination is disapproved by the County or the City, Borrower shall re- submit documentation to the County until approval of the County and the City is obtained. 4. Reports and Accounting of Residual Receipts. (a) Annual Reports. In connection with the Annual County Loan Payment and the Annual City Loan Payment, Borrower shall furnish to the City and the County: i. The Statement of Residual Receipts for the relevant period. The first Statement of Residual Receipts will cover the period that begins on January 1 2024, and ends on December 31 of that same year. Subsequent statements of Residual Receipts will cover the twelve-month period that ends on December 31 of each year; ii. A statement from the independent public accountant that audited Borrower's financial records for the relevant period, which statement must confirm that Borrower's calculation of the Lenders' Share of Residual Receipts and Local Lenders' Share of Residual Receipts is accurate based on Operating Income and Annual Operating Expenses; and iii. Any additional documentation reasonably required by the County or the City to substantiate Borrower's calculation of Lenders' Share of Residual Receipts and Local Lenders' Share of Residual Receipts. (b) Books and Records. Borrower shall keep and maintain at the principal place of business of Borrower set forth in Section 11 below, or elsewhere with the written consent of the County and the City, full, complete and appropriate books, record and accounts relating to the Development, including all books, records and accounts necessary or prudent to evidence and substantiate in full detail Borrower's calculation of Residual Receipts and disbursements of Residual Receipts. Borrower shall cause all books, records and accounts relating to its compliance with the terms, provisions, covenants and conditions of this Agreement to be kept and maintained in accordance with generally accepted accounting principles consistently applied, and to be consistent with requirements of this Agreement, which provide for the calculation of Residual Receipts on a cash basis. Borrower shall cause all books, records, and accounts to be open to and available for inspection by the County and the City, their auditors or other authorized representatives at reasonable intervals during normal business hours. Borrower shall cause copies of all tax returns and other reports that Borrower may be required to furnish to any government agency to be open for inspection by the County and the City at all reasonable times at the place that the books, records and accounts of Borrower are kept. Borrower shall preserve records on which any statement of Residual Receipts is based for a period of not less than five (5) years after such statement is rendered, and for any period during which there is an audit undertaken pursuant to subsection (c) below then pending. (c) County and City Audits. i. The receipt by the County or the City of any statement pursuant to subsection (a) above or any payment by Borrower or acceptance by the County or the City of any loan repayment for any period does not bind the County or the City as to the correctness of such statement or such payment. The County or the City or any designated agent or employee of the County or the City is entitled at any time to audit the Residual Receipts and all books, records, 863\112\3502011.5 11 and accounts pertaining thereto. The County and/or the City may conduct such audit during normal business hours at the principal place of business of Borrower and other places where records are kept. Immediately after the completion of an audit, the County or the City, as the case may be, shall deliver a copy of the results of the audit to Borrower. ii. If it is determined as a result of an audit that there has been a deficiency in a loan repayment to the County and/or the City, then such deficiency will become immediately due and payable, with interest at the Default Rate from the date the deficient amount should have been paid. In addition, if the audit determines that Residual Receipts have been understated for any year by the greater of (i) $2,500, and (ii) an amount that exceeds five percent (5%) of the Residual Receipts, then, in addition to paying the deficiency with interest, Borrower shall pay all of the costs and expenses connected with the audit and review of Borrower's accounts and records incurred by the County and/or the City. 5. Deeds of Trust. Notwithstanding the fact that the City Deed of Trust recorded prior to the County Deed of Trust, the Deeds of Trust are equal in lien priority. 6. Notice of Default. (a) The County and the City shall each notify the other promptly upon declaring a default or learning of the occurrence of any material event of default, or any event which with the lapse of time would become a material event of default, under its respective loan documents for the City Loan and the County Loan. (b) Neither the City nor the may make a demand for payment from Borrower or accelerate the City Note or the County Note, as the case may be, or commence enforcement of any of the rights and remedies under the City Deed of Trust or the County Deed of Trust, as the case may be, until the date that is five (5) business days following delivery of written notice by the party enforcing its rights (the "Enforcing Party") to the other party stating that a "default" (as defined in the relevant Deed of Trust) has occurred and is continuing and that the Enforcing party is requesting the other party's assistance in foreclosure pursuant to Section 7. 7. Cooperation in Foreclosure. (a) If there is a default under City Loan and/or County Loan, after expiration of any applicable cure periods, the party who is the lender on the defaulted loan shall cooperate with the other lender that is a party to this Agreement to coordinate any foreclosure proceedings or other appropriate remedies. (b) Neither the County nor the City may contest the validity, perfection, priority, or enforceability of the lien granted to the other party by a deed of trust secured by the Property. Notwithstanding any failure of a party to perfect its lien on the Property or any other defect in the security interests or obligations owing to such party, the priority and rights as between the lenders that are parties to this Agreement are as set forth in this Agreement. 8. Foreclosure Proceeds. If there is a foreclosure, or any other action, whether judicial or nonjudicial, under one or both of the Deeds of Trust (including the giving of a deed in lieu of foreclosure), the proceeds resulting from such foreclosure or action will be first used to pay (i) all amounts paid to any senior lien holder, and (ii) expenses incurred by the County, the 863\112\3502011.5 12 City, or both, in connection with such foreclosure or other action. After such payments (i) the City is entitled to the result obtained by multiplying the City Loan Prorata Percentage by the Foreclosure Net Proceeds, and (ii) the County is entitled to the result obtained by multiplying the County Loan Prorata Percentage by the Foreclosure Net Proceeds. 9. Insurance and Condemnation Proceeds. If, as a result of having made the City Loan and the County Loan, the City and County are entitled to insurance or condemnation proceeds, they will share such proceeds as follows: (i) the City is entitled to the result obtained by multiplying the City Loan Prorata Percentage by the available proceeds, and (ii) the County is entitled to the result obtained by multiplying the County Loan Prorata Percentage by the available proceeds. 10. Title to Property. If, as a result of having made the City Loan and the County Loan, either the City or the County is entitled to title to the Property as a consequence of Borrower's default, then title is to be held in tenancy in common by the City and the County in accordance with their respective prorata share of the Foreclosure Net Proceeds. Subsequent decisions to hold or sell the Property will be made by joint decision of the City and the County. 11. Notices. All notices required or permitted by any provision of this Agreement must be in writing and sent by registered or certified mail, postage prepaid, return receipt requested, or delivered by express delivery service, return receipt requested, or delivered personally, to the principal office of the parties as follows: City: City of Pinole 2131 Pear Street Pinole, CA 94564 Attention: City Manager County: County of Contra Costa Department of Conservation and Development 30 Muir Road Martinez, California 94553 Attention: Assistant Deputy Director Borrower: Pinole Housing, L.P. c/o Satellite Affordable Housing Associates 1835 Alcatraz Avenue Berkeley, CA 94703 Attention: Chief Executive Officer With a copy to: Gubb & Barshay LLP 235 Montgomery Street, Suite 1110 San Francisco, CA 94104 Attention: Erica Williams Orcharton Investor Limited Partner: RJ MT Pinole Housing L.L.C. 863\112\3502011.5 13 c/o Raymond James Affordable Housing Investments, Inc. 880 Carillon Parkway St. Petersburg, Florida 33716 Facsimile No.: 727-567-8455 Attention: Steven J. Kropf, President Email Address: Steve.Kropf@RaymondJames.com with a copy to: Nixon Peabody LLP Exchange Place 53 State Street Boston, MA 02109 Attn: Nathan A. Bernard Email Address: nbernard@nixonpeabody.com Such written notices, demands, and communications may be sent in the same manner to such other addresses as the affected party may from time to time designate as provided in this Section. Receipt will be deemed to have occurred on the date marked on a written receipt as the date of delivery or refusal of delivery (or attempted delivery if undeliverable). 12. Titles. Any titles of the sections or subsections of this Agreement are inserted for convenience of reference only and are to be disregarded in interpreting any part of the Agreement's provisions. 13. California Law. This Agreement is governed by the laws of the State of California. 14. Severability. If any term of this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remainder of the provisions will continue in full force and effect unless the rights and obligations of the parties have been materially altered or abridged by such invalidation, voiding or unenforceability. 15. Entire Agreement. This Agreement constitutes the entire understanding and agreement of the parties with respect to the subject matter hereof. 16. Counterparts. This Agreement may be executed in multiple originals, each of which is deemed to be an original, and may be signed in counterparts. 17. Amendments. This Agreement may not be modified except by written instrument executed by and amongst the parties. [signatures on following page] Signature Page Intercreditor Agreement 863\112\3502011.5 14 IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above. BORROWER: PINOLE HOUSING, L.P., a California limited partnership By: Pinole Housing LLC, a California limited liability company, its general partner By: Satellite Affordable Housing Associates, a California nonprofit public benefit corporation, its sole member and manager By: ____________________________ Susan Friedland, Chief Executive Officer APPROVED AS TO FORM: THOMAS L. GEIGER County Counsel By: Kathleen Andrus Deputy County Counsel COUNTY: COUNTY OF CONTRA COSTA, a political subdivision of the State of California By: ____________________________ John Kopchik Director, Department of Conservation and Development Signatures continue on following page Signature Page Intercreditor Agreement 863\112\3502011.5 15 ATTEST: By:___________________ ______________, City Clerk APPROVED AS TO FORM: By: _______________________________ _____________________, City Attorney CITY: CITY OF PINOLE, a municipal corporation By: ____________________________ ___________________, City Manager 863\112\3502011.5 16 STATE OF CALIFORNIA ) ) COUNTY OF __________________ ) On ____________________, before me, ___________________________, Notary Public, personally appeared ______________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ______________________________________ Name: ______________________________ Notary Public A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 863\112\3502011.5 17 STATE OF CALIFORNIA ) ) COUNTY OF __________________ ) On ____________________, before me, ___________________________, Notary Public, personally appeared ______________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ______________________________________ Name: ______________________________ Notary Public A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 863\112\3502011.5 18 STATE OF CALIFORNIA ) ) COUNTY OF __________________ ) On ____________________, before me, ___________________________, Notary Public, personally appeared ______________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ______________________________________ Name: ______________________________ Notary Public A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. A-1 863\112\3502011.5 EXHIBIT A LEGAL DESCRIPTION The land referred to is situated in the County of Contra Costa, City of Pinole, State of California, and is described as follows: PARCEL ONE: Portion Lot "C", Map of Dohrmann Ranch, filed December 21, 1895, Map Book "E", Page 115, Contra Costa County Records, described as follows: Beginning on the South line of San Pablo Avenue, at the West line of the parcel of land described in the Deed to Claude C. Orr, recorded November 29, 1946, Book 964 Official Records, Page 391; thence from said point of beginning along the West and South lines of said Orr Parcel, South 9° 37' West, 129.31 feet and South 80° 23' East, 4 feet; thence South 9° 37' West, 35.90 feet to the Northwest corner of Lot 35, as shown on the Map of Meadow Parcel, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records; thence along the exterior lines of said Meadow Park Unit No. 1, North 80° 23' West, 110 feet and South 50° 27' West, 110.53 feet to an angle point therein, being on the West line of said Lot C; thence North 19° 08' East, along said West line, 224.37 feet to the South line of said San Pablo Avenue; thence Easterly along said South line, along the arc of a curve to the right with a radius of 2,950 feet, the center of which bears South 2° 51' 06" East, an arc distance of 143.72 feet to the point of beginning. Excepting from Parcel One: All that portion thereof conveyed in the Deed to Frank A. Archambault, et ux, recorded July 21, 1957, Book 3002 Official Records, Page 174. PARCEL TWO: Portion of Lot 33, Map of Meadow Park, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records, described as follows: Beginning at the Northeast corner of said Lot 33; thence from said point of beginning along the North line of said Lot 33, North 79° 19' 10" West, 50 feet (the bearing of North 79° 19' 10" West being taken for the purpose of this description) and South 51° 30' 50" West, 62.97 feet; thence North 76° 09' 30" East, 100.25 feet to the East line of said Lot 33, distant thereon South 10° 26' 36" West, 6.04 feet from the Northeast corner thereof; thence North 10° 26' 36" East, along said East line, 6.04 feet to the point of beginning. PARCEL THREE: A right of way (not to be exclusive) as an appurtenance to Parcels One and Two above, for use as a roadway for vehicles of all kinds, pedestrians and animals, for water, gas, oil and sewer pipe lines, and for telephone, television service, electric light and power lines, together with the necessary poles or conduits, over a portion of Lot C, Map of Dohrmann Ranch, filed December A-2 863\112\3502011.5 21, 1895, Map Book "E", Page 115, Contra Costa County Records, being a strip of land 15 feet in width, the North line of which is described as follows: Beginning on the West line of Meadow Avenue, as shown on the Map of Meadow Park, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records, at the South line of the parcel of land described in the Deed to Claude C. Orr, recorded November 29, 1946, in Book 964 Official Records, Page 391; thence from said point of beginning, North 80° 23' West, along said South line, 60 feet to an East line of Parcel One above. APN: 402-166-030 863\112\3501138.4 1 PROMISSORY NOTE (HOME Loan) $2,636,280 Martinez, California May 1, 2023 FOR VALUE RECEIVED, the undersigned Pinole Housing, L.P., a California limited partnership ("Borrower") hereby promises to pay to the order of the County of Contra Costa, a political subdivision of the State of California ("Holder"), the principal amount of Two Million Six Hundred Thirty-Six Thousand Two Hundred Eighty Dollars ($2,636,280) plus interest thereon pursuant to Section 2 below. All capitalized terms used but not defined in this Note have the meanings set forth in the Development Loan Agreement between Borrower and Holder of even date herewith (the "Loan Agreement"). 1. Borrower's Obligation. This promissory note (the "Note") evidences Borrower's obligation to repay Holder the principal amount of Two Million Six Hundred Thirty-Six Thousand Two Hundred Eighty Dollars ($2,636,280) with interest for the funds loaned to Borrower by Holder to finance the rehabilitation of the Development pursuant to the Development Loan Agreement. 2. Interest. (a) Subject to the provisions of Subsection (b) below, the Loan bears simple interest at a rate of three percent (3%) per annum from the date of disbursement until full repayment of the principal balance of the Loan. (b) If an Event of Default occurs, interest will accrue on all amounts due under this Note at the Default Rate until such Event of Default is cured by Borrower or waived by Holder. 3. Term and Repayment Requirements. Principal and interest under this Note is due and payable as set forth in Section 2.8 of the Loan Agreement. The unpaid principal balance hereunder, together with accrued interest thereon, is due and payable no later than the date that is the fifty-fifth (55th) anniversary of the Completion Date; provided, however, if a record of the Completion Date cannot be located or established, the Loan is due and payable on the fifty- seventh (57th) anniversary of the date of this Note. 4. No Assumption. This Note is not assumable by the successors and assigns of Borrower without the prior written consent of Holder, except as provided in the Loan Agreement. 5. Security. This Note, with interest, is secured by the Deed of Trust. Upon execution, the Deed of Trust will be recorded in the official records of Contra Costa County, California. Upon recordation of the Deed of Trust, this Note will become nonrecourse to 863\112\3501138.4 2 Borrower, pursuant to and except as provided in Section 2.10 of the Loan Agreement which Section 2.10 is hereby incorporated into this Note. The terms of the Deed of Trust are hereby incorporated into this Note and made a part hereof. 6. Terms of Payment. (a) Borrower shall make all payments due under this Note in currency of the United States of America to Holder at Department of Conservation and Development, 30 Muir Road, Martinez, CA 94553, Attention: Assistant Deputy Director, or to such other place as Holder may from time to time designate. (b) All payments on this Note are without expense to Holder. Borrower shall pay all costs and expenses, including re-conveyance fees and reasonable attorney's fees of Holder, incurred in connection with the enforcement of this Note and the release of any security hereof. (c) Notwithstanding any other provision of this Note, or any instrument securing the obligations of Borrower under this Note, if, for any reason whatsoever, the payment of any sums by Borrower pursuant to the terms of this Note would result in the payment of interest that exceeds the amount that Holder may legally charge under the laws of the State of California, then the amount by which payments exceed the lawful interest rate will automatically be deducted from the principal balance owing on this Note, so that in no event is Borrower obligated under the terms of this Note to pay any interest that would exceed the lawful rate. (d) The obligations of Borrower under this Note are absolute and Borrower waives any and all rights to offset, deduct or withhold any payments or charges due under this Note for any reason whatsoever. 7. Event of Default; Acceleration. (a) Upon the occurrence of an Event of Default, the entire unpaid principal balance, together with all interest thereon, and together with all other sums then payable under this Note and the Deed of Trust will, at the option of Holder, become immediately due and payable without further demand. (b) Holder's failure to exercise the remedy set forth in Subsection 7(a) above or any other remedy provided by law upon the occurrence of an Event of Default does not constitute a waiver of the right to exercise any remedy at any subsequent time in respect to the same or any other Event of Default. The acceptance by Holder of any payment that is less than the total of all amounts due and payable at the time of such payment does not constitute a waiver of the right to exercise any of the foregoing remedies or options at that time or at any subsequent time, or nullify any prior exercise of any such remedy or option, without the express consent of Holder, except as and to the extent otherwise provided by law. (c) The notice and cure rights of Borrower's limited partner are set forth in Section 6.5 of the Loan Agreement. 863\112\3501138.4 3 8. Waivers. (a) Borrower hereby waives diligence, presentment, protest and demand, and notice of protest, notice of demand, notice of dishonor and notice of non-payment of this Note. Borrower expressly agrees that this Note or any payment hereunder may be extended from time to time, and that Holder may accept further security or release any security for this Note, all without in any way affecting the liability of Borrower. (b) Any extension of time for payment of this Note or any installment hereof made by agreement of Holder with any person now or hereafter liable for payment of this Note must not operate to release, discharge, modify, change or affect the original liability of Borrower under this Note, either in whole or in part. 9. Miscellaneous Provisions. (a) All notices to Holder or Borrower are to be given in the manner and at the addresses set forth in the Loan Agreement, or to such addresses as Holder and Borrower may therein designate. (b) Borrower promises to pay all costs and expenses, including reasonable attorney's fees, incurred by Holder in the enforcement of the provisions of this Note, regardless of whether suit is filed to seek enforcement. (c) This Note is governed by the laws of the State of California. (d) The times for the performance of any obligations hereunder are to be strictly construed, time being of the essence. (e) The Loan Documents, of which this Note is a part, contain the entire agreement between the parties as to the Loan. This Note may not be modified except upon the written consent of the parties. signature on following page Signature page County Note 863\112\3501138.4 4 IN WITNESS WHEREOF, Borrower is executing this Promissory Note as of the day and year first above written. PINOLE HOUSING, L.P., a California limited partnership By: Pinole Housing LLC, a California limited liability company, its general partner By: Satellite Affordable Housing Associates, a California nonprofit public benefit corporation, its manager By: ____________________________ Susan Friedland, Chief Executive Officer 1 863\112\3501994.4 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: Contra Costa County Department of Conservation and Development 30 Muir Road Martinez, CA 94553 Attn: Assistant Deputy Director No fee for recording pursuant to Government Code Section 27383 and 27388.1 __________________________________________________________________________ COUNTY REGULATORY AGREEMENT AND DECLARATION OF RESTRICTIVE COVENANTS (Pinole Housing) This County Regulatory Agreement and Declaration of Restrictive Covenants (the "County Regulatory Agreement") is dated May 1, 2023 and is between the County of Contra Costa, a political subdivision of the State of California (the "County"), and Pinole Housing, L.P., a California limited partnership ("Borrower"). RECITALS A. Defined terms used but not defined in these recitals are as defined in Article 1 of this County Regulatory Agreement. B. The County has received Home Investment Partnerships Act ("HOME") funds from the United States Department of Housing and Urban Development ("HUD") pursuant to the Cranston-Gonzales National Housing Act of 1990 ("HOME Funds"). The HOME Funds must be used by the County in accordance with 24 C.F.R. Part 92. C. Pursuant to a Disposition and Development Agreement dated July 6, 2021, between Satellite Affordable Housing Associates, a California nonprofit public benefit corporation ("SAHA") and the City of Pinole, a municipal corporation (the "City"), as amended by a First Amendment dated February 21, 2023, and as assigned to Borrower pursuant to that certain Assignment and Assumption of Disposition and Development Agreement, Borrower intends to acquire from the City, that certain real property located at 811 San Pablo Avenue, in the City of Pinole, County of Contra Costa, State of California, as more particularly described in Exhibit A (the "Property"). Borrower intends to construct thirty-three (33) housing units on the Property, thirty-two (32) of which are for rental to extremely low, very low, and low income households, and one (1) manager's unit (the "Development"). The Development, as well as all landscaping, roads and parking spaces on the Property and any additional improvements on the Property, are the "Improvements". 2 863\112\3501994.4 D. Pursuant to a Development Loan Agreement of even date herewith between the County and Borrower (the "Loan Agreement"), the County is lending Borrower Two Million Six Hundred Thirty-Six Thousand Two Hundred Eighty Dollars ($2,636,280) of HOME Funds (the "County Loan") to assist in the construction of the Development. E. In addition to this County Regulatory Agreement and the Loan Agreement, the County Loan is evidenced and secured by the following documents: (i) a deed of trust with assignment of rents, security agreement, and fixture filing of even date herewith, among Borrower, as trustor, Old Republic Title Company, as trustee, and the County, as beneficiary; (ii) an intercreditor agreement of even date herewith among the City, the County, and Borrower; (iii) a promissory note executed by Borrower of even date herewith in the amount of the County Loan; and (iv) the HOME Regulatory Agreement, executed by Borrower of even date herewith, (collectively, the "Loan Documents"). The Loan Documents are described in more detail in the Loan Agreement. F. The County has the authority to lend the County Loan to Borrower pursuant to Government Code Section 26227, which authorizes counties to spend county funds for programs that will further a county's public purposes. In addition, the County has the authority to loan the HOME Funds pursuant to 24 C.F.R. 92.205. G. The County has agreed to make the County Loan on the condition that Borrower maintain and operate the Development in accordance with restrictions set forth in this County Regulatory Agreement and the HOME Regulatory Agreement, and in the related documents evidencing the County Loan. Fifteen (15) of the Units are restricted by the County pursuant to this County Regulatory Agreement, which are the same fifteen (15) Units restricted by the County pursuant to the HOME Regulatory Agreement. H. As it applies to the County-Assisted Units this County Regulatory Agreement will be in effect for the Term. The HOME Regulatory Agreement as it applies to the HOME-Assisted Units will be in effect for the HOME Term. Pursuant to Section 6.16 below, compliance with the terms of the HOME Regulatory Agreement will be deemed compliance with this County Regulatory Agreement during the HOME Term. I. In consideration of receipt of the County Loan at an interest rate substantially below the market rate, Borrower agrees to observe all the terms and conditions set forth below. The parties therefore agree as follows: AGREEMENT ARTICLE 1 DEFINITIONS 1.1 Definitions. The following terms have the following meanings: (a) "Accessibility Requirements" has the meaning set forth in Section 2.1(e). 3 863\112\3501994.4 (b) "Actual Household Size" means the actual number of persons in the applicable household. (c) "Adjusted Income" means with respect to the Tenant of each Unit, the Tenant’s total anticipated annual income as defined in 24 CFR 5.609 and as calculated pursuant to 24 CFR 5.611. (d) "Assumed Household Size" means the household size "adjusted for family size appropriate to the unit" as such term is defined in Health & Safety Code Section 50052.5(h), used to calculate Rent. (e) "City" has the meaning set forth in Paragraph C of the Recitals. (f) "Completion Date" means the date a final certificate of occupancy, or equivalent document is issued by the City to certify that the Development may be legally occupied. (g) "County-Assisted Units" means the fifteen (15) Units to be constructed on the Property that are restricted to occupancy by Extremely Low Income Households and Sixty Percent Households in compliance with Section 2.1 below. (h) "County Loan" has the meaning set forth in Paragraph D of the Recitals. (i) "County Regulatory Agreement" has the meaning set forth in the first paragraph of this County Regulatory Agreement. (j) "Deed of Trust" means the Deed of Trust with Assignment of Rents, Security Agreement and Fixture Filing of even date herewith by and among Borrower, as trustor, Old Republic Title Company, as trustee, and the County, as beneficiary, that encumbers the Property to secure repayment of the County Loan and Borrower's performance of the Loan Documents. (k) "Development" has the meaning set forth in Paragraph C of the Recitals. (l) "Development Regulatory Documents" has the meaning set forth in Section 4.2(a). (m) "Extremely Low Income Household" means a household with an Adjusted Income that does not exceed thirty percent (30%) of Median Income, adjusted for Actual Household Size. (n) "Extremely Low Income Rent" means one-twelfth (1/12) of thirty percent (30%) of thirty percent (30%) of Median Income, adjusted for Assumed Household Size. (o) "Extremely Low Income Units" means the Units which, pursuant to Section 2.1(a) below, are required to be occupied by Extremely Low Income Households. 4 863\112\3501994.4 (p) "Fifteen Year Compliance Period" means the fifteen (15) year compliance period as described in Section 42(i)(1) of the Internal Revenue Code of 1986, as amended. (q) "HOME" has the meaning set forth in Paragraph B of the Recitals. (r) "HOME Funds" has the meaning set forth in Paragraph B of the Recitals. (s) "HOME Regulatory Agreement" means the Regulatory Agreement and Declaration of Restrictive Covenants of even date herewith, between the County and Borrower evidencing County requirements applicable to the County Loan, to be recorded against the Property concurrently herewith. (t) "HOME Term" means the term of the HOME Regulatory Agreement which commences as of the date of the HOME Regulatory Agreement, and unless sooner terminated pursuant to the terms of the HOME Regulatory Agreement, expires on the twenty- first (21st) anniversary of the Completion Date; provided, however, if a record of the Completion Date cannot be located or established, the HOME Term will expire on the twenty-third (23rd) anniversary of the HOME Regulatory Agreement. (u) "HUD" has the meaning set forth in Paragraph B of the Recitals. (v) "Investor Limited Partner" means, RJ MT Pinole Housing, L.L.C., a Florida limited liability company, its successors and assigns. (w) "Loan Agreement" has the meaning set forth in Paragraph D of the Recitals. (x) "Loan Documents" has the meaning set forth in Paragraph E of the Recitals. (y) "Low Income Household" means a Tenant with an Adjusted Income that does not exceed eighty percent (80%) of Median Income, adjusted for Actual Household Size. (z) "Low Income Rent" means one-twelfth (1/12) of thirty percent (30%) of sixty-five percent (65%) of Median Income, adjusted for Assumed Household Size. (aa) "Maintenance Standards" has the meaning set forth in Section 5.6(a). (bb) "Marketing Plan" has the meaning set forth in Section 4.3(a). (cc) "Median Income" means the median gross yearly income, adjusted for Actual Household Size as specified herein, in the County of Contra Costa, California, as published from time to time by HUD. In the event that such income determinations are no longer published, or are not updated for a period of at least eighteen (18) months, the County shall provide Borrower with other income determinations that are reasonably similar with respect to methods of calculation to those previously published by HUD. (dd) "Operating Budget" has the meaning set forth in Section 2.6(a). 5 863\112\3501994.4 (ee) "Partnership Agreement" means the agreement between Borrower's general partner and the Investor Limited Partner that governs the operation and organization of Borrower as a California limited partnership. (ff) "Property" has the meaning set forth in Paragraph C of the Recitals. (gg) "Rent" means the total monthly payments by the Tenant of a Unit for the following: use and occupancy of the Unit and land and associated facilities; any separately charged fees or service charges assessed by Borrower which are customarily charged in rental housing and required of all Tenants, other than security deposits; an allowance for the cost of an adequate level of service for utilities paid by the Tenant, including garbage collection, sewer, water, electricity, gas and other heating, cooking and refrigeration fuel, but not telephone service or cable TV; and any other interest, taxes, fees or charges for use of the land or associated facilities and assessed by a public or private entity other than Borrower, and paid by the Tenant. (hh) "Rental Subsidy" has the meaning set forth in Section 2.6(a). (ii) " SAHA" has the meaning set forth in Paragraph C of the Recitals. (jj) "Sixty Percent Income Household" means a household with an Adjusted Income that does not exceed sixty percent (60%) of Median Income, adjusted for Actual Household Size. (kk) "Sixty-Percent Income Rent" means one-twelfth (1/12) of thirty percent (30%) of sixty percent (60%) of Median Income, adjusted for Assumed Household Size. (ll) "Sixty Percent Income Units" means the Units which, pursuant to Section 2.1(b) below, are required to be occupied by Sixty Percent Income Households. (mm) "Subsidy Units" has the meaning set forth in Section 2.6(a). (nn) "Tenant" means the tenant household that occupies a Unit in the Development. (oo) "Tenant Selection Plan" has the meaning set forth in Section 4.3(b). (pp) "Term" means the term of this County Regulatory Agreement which commences as of the date of this County Regulatory Agreement, and unless sooner terminated pursuant to the terms of this County Regulatory Agreement, expires on the fifty-fifth (55th) anniversary of the Completion Date; provided, however, if a record of the Completion Date cannot be located or established, the Term will expire on the fifty-seventh (57th) anniversary of this County Regulatory Agreement. (qq) "Transfer" has the meaning set forth in Section 6.1. (rr) "Unit(s)" means one (1) or more of the units in the Development. 6 863\112\3501994.4 ARTICLE 2 AFFORDABILITY AND OCCUPANCY COVENANTS 2.1 Occupancy Requirements. (a) Extremely Low Income Units. During the Term Borrower shall cause thirteen (13) Units to be rented to and occupied by or, if vacant, available for occupancy by, Extremely Low Income Households. (b) Sixty Percent Income Units. During the Term Borrower shall cause two (2) Units to be rented to and occupied by or, if vacant, available for occupancy by, Sixty Percent Income Households. (c) Intermingling of Units. Borrower shall cause the County-Assisted Units to be intermingled throughout the Development and of comparable quality to all other Units. All Tenants must have equal access to and enjoyment of all common facilities in the Development. The County-Assisted Units must be of the bedroom sizes set forth in the following chart: Extremely Low Income Units Sixty Percent Income Units One Bedroom 13 0 Two-Bedroom 0 2 Total 13 2 (d) Disabled Persons Occupancy. (1) Borrower shall cause the Development to be operated at all times in compliance with all applicable federal, state, and local disabled persons accessibility requirements including, but not limited to the applicable provisions of: (i) the Unruh Act, (ii) the California Fair Employment and Housing Act, (iii) Section 504 of the Rehabilitation Act of 1973, (iv) the United States Fair Housing Act, as amended, (v) the Americans With Disabilities Act of 1990, and (vi) Chapters 11A and 11B of Title 24 of the California Code of Regulations, which relate to disabled persons access (collectively, the "Accessibility Requirements"). (2) Borrower shall indemnify, protect, hold harmless and defend (with counsel reasonably satisfactory to the County) the County, and its board members, officers and employees, from all suits, actions, claims, causes of action, costs, demands, judgments and liens arising out of Borrower's failure to comply with the Accessibility Requirements. This obligation to indemnify survives termination of this HOME Regulatory Agreement, repayment of the County Loan and the reconveyance of the Deed of Trust. 2.2 Allowable Rent. (a) Extremely Low Income Rent. Subject to the provisions of Section 2.5 7 863\112\3501994.4 below, the Rent paid by Tenants of Extremely Low Income Units may not exceed the Extremely Low Income Rent. (b) Sixty Percent Income Rent. Subject to the provisions of Section 2.5 below, the Rent paid by Tenants of Sixty Percent Income Units may not exceed the Sixty Percent Income Rent. (c) No Additional Fees. Borrower may not charge any fee, other than Rent, to any Tenant of the County-Assisted Units for any housing or other services provided by Borrower. 2.3 Compliance with TCAC Requirements. During the term of any regulatory agreement associated with the provision of low income housing tax credits by the California Tax Credit Allocation Committee ("TCAC") and recorded against the Property (the "TCAC Regulatory Agreement"), Borrower may use the occupancy standards, occupancy assumptions, income limits, and rent levels that are permitted by TCAC in the TCAC Regulatory Agreement, in place of such requirements imposed by this County Regulatory Agreement. 2.4 Rent Increases. (a) Rent Amount. The initial Rent for all County-Assisted Units must be approved by the County prior to occupancy. The County will provide Borrower with a schedule of maximum permissible Rents for the County-Assisted Units and the maximum monthly allowances for utilities and services (excluding telephone) annually. (b) Rent Increases. All Rent increases for all County-Assisted Units are subject to County approval. No later than sixty (60) days prior to the proposed implementation of any Rent increase affecting a County Assisted Unit, Borrower shall submit to the County a schedule of any proposed increase in the Rent charged for County-Assisted Units. The Rent for such Units may be increased no more than once annually based upon the annual income certification described in Article 3. The County will disapprove a Rent increase if it violates the schedule of maximum permissible Rents for the County-Assisted Units provided to Borrower by the County, or is greater than a 5% increase over the previous year's Rent, provided that the County may approve a request from Borrower for a rent increase greater than 5%, with a written explanation for the request from Borrower. Borrower shall give Tenants written notice at least thirty (30) days prior to any Rent increase, following completion of the County approval process set forth above. 2.5 Increased Income of Tenants. (a) Increased Income above Extremely Low Income but below Sixty Percent Income. If, upon the annual certification of the income of a Tenant of an Extremely Low Income Unit, Borrower determines that the income of the Tenant has increased above the qualifying limit for an Extremely Low Income Household, but not above the qualifying income for a Sixty Percent Income Household, the Tenant may continue to occupy the Unit and the Tenant's Rent will remain at the Extremely Low Income Rent. Borrower shall then rent the next available Unit to an Extremely Low Income Household to comply with the requirements of Section 2.1(a) above, at a Rent not exceeding the maximum Rent specified in Section 2.2(a), or re-designate 8 863\112\3501994.4 another comparable Unit in the Development with an Extremely Low Income Household an Extremely Low Income Unit, to comply with the requirements of Section 2.1(a) above. Upon renting the next available Unit in accordance with Section 2.1(a) or re-designating another Unit in the Development as an Extremely Low Income Unit, the Unit with the over-income Tenant will no longer be considered a County-Assisted Unit. (b) Increased Income above Sixty Percent Income but below Low Income. If, upon the annual certification of the income of a Tenant of a Sixty Percent Income Unit, Borrower determines that the income of the Tenant has increased above the qualifying limit for a Sixty Percent Income Household, but not above the qualifying income for a Low Income Household, the Tenant may continue to occupy the Unit and the Tenant's Rent will remain at the Sixty Percent Income Rent. Borrower shall then rent the next available Unit to a Sixty Percent Income Household to comply with the requirements of Section 2.1(b) above, at a Rent not exceeding the maximum Rent specified in Section 2.2(b), or re-designate another comparable Unit in the Development with a Sixty Percent Income Household a Sixty Percent Income Unit, to comply with the requirements of Section 2.1(b) above. Upon renting the next available Unit in accordance with Section 2.1(b) or re-designating another Unit in the Development as an Sixty Percent Income Unit, the Unit with the over-income Tenant will no longer be considered a County-Assisted Unit. (c) Non-Qualifying Household. If, upon the annual certification of the income a Tenant of a County Assisted Unit, Borrower determines that the Tenant’s income has increased above the qualifying limit for a Low Income Household, the Tenant may continue to occupy the Unit. Upon the expiration of such Tenant's lease, Borrower may: (1) With 60 days’ advance written notice, increase such Tenant’s Rent to the lesser of (i) one-twelfth (1/12) of thirty percent (30%) of the actual Adjusted Income of the Tenant, and (ii) the fair market rent, and (2) Rent the next available Unit to an Extremely Low Income Household or Sixty Percent Income Household as applicable, to comply with the requirements of Section 2.1 above, at a Rent not exceeding the maximum Rent specified in Section 2.2, or designate another comparable Unit that is occupied by an Extremely Low Income Household or Sixty Percent Income Household as applicable, as a County Assisted Unit, to meet the requirements of Section 2.1 above. On the day that Borrower complies with Section 2.1 in accordance with this Section 2.4(e), the Unit with the over-income Tenant will no longer be considered a County Assisted Unit. (d) Termination of Occupancy. Upon termination of occupancy of a County Assisted Unit by a Tenant, such Unit will be deemed to be continuously occupied by a household of the same income level as the initial income level of the vacating Tenant, until such unit is reoccupied, at which time categorization of the Unit will be established based on the occupancy requirements of Section 2.1. 9 863\112\3501994.4 2.6 Loss of Subsidy. (a) It is anticipated that certain Units in the Development (the "Subsidy Units") will receive Project-Based Section 8 or other rental subsidy payments (the "Rental Subsidy") throughout the Term, as reflected in the Approved Development Budget. Notwithstanding Section 2.4(b), if any change in federal law occurs, or any action (or inaction) by Congress or any federal or State agency occurs, which results in a reduction, termination or nonrenewal of the Rental Subsidy through no fault of the Borrower, such that the Rental Subsidy shown on the Approved Development Budget is no longer available, Borrower may increase the Rent on one or more of the County-Assisted Units that overlap with a Subsidy Unit, to the Low Income Rent, subject to the following requirements: (1) At the time Borrower requests an increase in the Rent, Borrower shall provide the County with an operating budget for the Development for the County's approval pursuant to Section 4.4 of the Loan Agreement, showing the impact of the loss or reduction of the Rental Subsidy (the "Operating Budget"); (2) The number of County-Assisted Units subject to the Rent increase and the level of rent increase may not be greater than the amount required to ensure that the Development generates sufficient income to cover its operating costs and debt service as shown on the Operating Budget, and as is necessary to maintain the financial stability of the Development; and (3) Any such Rent increase must be pursuant to a transition plan approved by the County, consistent with remedial measures set forth in California Code of Regulations Title 4, Division 17, Chapter 1, Section 10337(a)(3) or successor regulation applicable to California's Federal and State Low Income Housing Tax Credit Program. (b) Borrower shall use good faith efforts to obtain alternative sources of rental subsidies and shall provide the County with annual progress reports on efforts to obtain alternative sources of rental subsidies that would allow the rents on the County-Assisted Units to be reduced back to the Rents set out in Section 2.2. Upon receipt of any alternative rental subsidies, Borrower shall reduce the rents on the County-Assisted Units back to the Rents set out in Section 2.2, to the extent that the alternative rental subsidies provide sufficient income to cover the operating costs and debt service of the Development as shown on the Operating Budget. ARTICLE 3 INCOME CERTIFICATION; REPORTING; RECORDS 3.1 Income Certification. Borrower shall obtain, complete, and maintain on file, within sixty (60) days before expected occupancy and annually thereafter, income certifications from each Tenant renting any of the County-Assisted Units. Borrower shall make a good faith effort to verify the accuracy of the income provided by the applicant or occupying household, as the case may be, in an income certification. To verify the information, Borrower shall take two or more of the following steps: (i) obtain a pay stub for the most recent pay period; (ii) obtain an 10 863\112\3501994.4 income tax return for the most recent tax year; (iii) conduct a credit agency or similar search; (iv) obtain an income verification form from the applicant's current employer; (v) obtain an income verification form from the Social Security Administration and/or the California Department of Social Services if the applicant receives assistance from either of such agencies; or (vi) if the applicant is unemployed and does not have a tax return, obtain another form of independent verification. Where applicable, Borrower shall examine at least two (2) months of relevant source documentation. Copies of Tenant income certifications are to be available to the County upon request. 3.2 Reporting Requirements. (a) Borrower shall submit to the County within one hundred eighty (180) days after the Completion Date, and not later than forty-five (45) days after the close of each calendar year, or such other date as may be requested by the County, a report that includes the following data for each Unit and specifically identifies which Units are County-Assisted Units: (i) Tenant income, (ii) the number of occupants, (iii) the Rent, (iv) the number of bedrooms, and (v) the initial address of each Tenant. To demonstrate continued compliance with Section 2.1 Borrower shall cause each annual report after the initial report to include a record of any subsequent Tenant substitutions and any vacancies in County-Assisted Units that have been filled. (b) Borrower shall submit to the County within forty-five (45) days after receipt of a written request, or such other time agreed to by the County, any other information or completed forms requested by the County in order to comply with reporting requirements of HUD, the State of California, and the County. 3.3 Tenant Records. Borrower shall maintain complete, accurate and current records pertaining to income and household size of Tenants. All Tenant lists, applications and waiting lists relating to the Development are to be at all times: (i) separate and identifiable from any other business of Borrower, (ii) maintained as required by the County, in a reasonable condition for proper audit, and (iii) subject to examination during business hours by representatives of the County. Borrower shall retain copies of all materials obtained or produced with respect to occupancy of the Units for a period of at least five (5) years. The County may examine and make copies of all books, records or other documents of Borrower that pertain to the Development. 3.4 Development Records. (a) Borrower shall keep and maintain at the principal place of business of the Borrower set forth in Section 6.11 below, or elsewhere with the County's written consent, full, complete and appropriate books, records and accounts relating to the Development. Borrower shall cause all books, records and accounts relating to its compliance with the terms, provisions, covenants and conditions of the Loan Documents to be kept and maintained in accordance with generally accepted accounting principles consistently applied, and to be consistent with requirements of this County Regulatory Agreement. Borrower shall cause all books, records, and accounts to be open to and available for inspection and copying by HUD, the County, its auditors or other authorized representatives at reasonable intervals during normal business hours. Borrower shall cause copies of all tax returns and other reports that Borrower may be required to furnish to any government agency to be open for inspection by the County at all reasonable times 11 863\112\3501994.4 at the place that the books, records and accounts of Borrower are kept. Borrower shall preserve such records (including the records required under the HOME Regulatory Agreement) for a period of not less than five (5) years after their creation in compliance with all HUD records and accounting requirements. If any litigation, claim, negotiation, audit exception, monitoring, inspection or other action relating to the use of the County Loan is pending at the end of the record retention period stated herein, then Borrower shall retain the records until such action and all related issues are resolved. Borrower shall cause the records to include all invoices, receipts, and other documents related to expenditures from the County Loan funds. Borrower shall cause records to be accurate and current and in a form that allows the County to comply with the record keeping requirements contained in 24 C.F.R. 92.508. Such records are to include but are not limited to: (i) Records providing a full description of the activities undertaken with the use of the County Loan funds; (ii) Records demonstrating compliance with the maintenance requirements set forth in Section 5.6; (iii) Records documenting compliance with the fair housing, equal opportunity, and affirmative fair marketing requirements; (iv) Financial records; and (v) Records demonstrating compliance with the marketing, tenant selection, affordability, and income requirements. (b) The County shall notify Borrower of any records it deems insufficient. Borrower has fifteen (15) calendar days after the receipt of such a notice to correct any deficiency in the records specified by the County in such notice, or if a period longer than fifteen (15) days is reasonably necessary to correct the deficiency, then Borrower must begin to correct the deficiency within fifteen (15) days and correct the deficiency as soon as reasonably possible. ARTICLE 4 OPERATION OF THE DEVELOPMENT 4.1 Residential Use. Borrower shall operate the Development for residential use only. No part of the Development may be operated as transient housing. 4.2 Compliance with Loan Documents and Regulatory Requirements. (a) Borrower's actions with respect to the Property shall at all times be in full conformity with: (i) all requirements of the Loan Documents; (ii) all requirements imposed on projects assisted with HOME Funds as contained in 42 U.S.C. Section 12701, et seq., 24 C.F.R. Part 92, and other implementing rules and regulations; and (iii) any other regulatory requirements imposed on the Development including but not limited to regulatory agreements associated with the Low Income Housing Tax Credits provided by the California Tax Credit Allocation Committee, regulatory agreements associated with financing and subsidies provided 12 863\112\3501994.4 by the California Department of Housing and Community Development, and rental subsidies provided to the Development (the "Development Regulatory Documents"). (b) Borrower shall promptly notify the County in writing of the existence of any default under any Development Regulatory Documents, and provide the County copies of any such notice of default. 4.3 Marketing Plan; Tenant Selection Plan. (a) Marketing Plan. (1) No later than six (6) months prior to the date construction of the Development is projected to be complete, Borrower shall submit to the County for approval its plan for marketing the Development to income-eligible households as required by this County Regulatory Agreement (the "Marketing Plan"). The Marketing Plan must include information on affirmative marketing efforts and compliance with fair housing laws and 24 C.F.R. 92.351(a). (2) Upon receipt of the Marketing Plan, the County will promptly review the Marketing Plan and will approve or disapprove it within fifteen (15) days after receipt. If the Marketing Plan is not approved, the County will give Borrower specific reasons for such disapproval and Borrower shall submit a revised Marketing Plan within fifteen (15) days of notification of the County's disapproval. Borrower shall follow this procedure for resubmission of a revised Marketing Plan until the Marketing Plan is approved by the County. If the Borrower does not submit a revised Marketing Plan that is approved by the County at least three (3) months prior to the date construction of the Development is projected to be complete, Borrower will be in default of this County Regulatory Agreement. (b) Tenant Selection Plan. (1) No later than six (6) months prior to the date construction of the Development is projected to be complete, Borrower shall submit to the County, for its review and approval, Borrower's written tenant selection plan (the "Tenant Selection Plan"). Borrower's Tenant Selection Plan must, at a minimum, meet the requirements for tenant selection set out in 24 C.F.R. 92.253(d), and any modifications thereto. (2) Upon receipt of the Tenant Selection Plan, the County will promptly review the Tenant Selection Plan and will approve or disapprove it within fifteen (15) days after receipt. If the Tenant Selection Plan is not approved, the County will give Borrower specific reasons for such disapproval and Borrower shall submit a revised Tenant Selection Plan within fifteen (15) days of notification of the County's disapproval. Borrower shall follow this procedure for resubmission of a revised Tenant Selection Plan until the Tenant Selection Plan is approved by the County. If the Borrower does not submit a revised Tenant Selection Plan that is approved by the County at least three (3) months prior to the date construction of the Development is projected to be complete, Borrower will be in default of this County Regulatory Agreement. 13 863\112\3501994.4 4.4 Lease Provisions. (a) No later than four (4) months prior to the date construction of the Development is projected to be complete, Borrower shall submit to the County for approval Borrower’s proposed form of lease agreement for the County's review and approval. When leasing Units within the Development, Borrower shall use the form of lease approved by the County. The form of lease must comply with all requirements of this County Regulatory Agreement, the other Loan Documents and must, among other matters: (1) provide for termination of the lease for failure to: (i) provide any information required under this County Regulatory Agreement or reasonably requested by Borrower to establish or recertify the Tenant's qualification, or the qualification of the Tenant's household, for occupancy in the Development in accordance with the standards set forth in this County Regulatory Agreement, or (ii) qualify as an Extremely Low Income Household or a Sixty Percent Income Household as appliable, as a result of any material misrepresentation made by such Tenant with respect to the income computation; (2) be for an initial term of not less than one (1) year, unless by mutual agreement between the Tenant and Borrower, and provide for no increase in Rent during such year. After the initial year of tenancy, the lease may be month-to-month by mutual agreement of Borrower and the Tenant. Notwithstanding the above, any rent increases are subject to the requirements of Section 2.3 above; and (3) include a provision that requires a Tenant who is residing in a Unit required to be accessible pursuant to Section 3.9(b) of the Loan Agreement, and who is not in need of an accessible Unit to move to a non-accessible Unit when a non-accessible Unit becomes available and another Tenant or prospective Tenant is in need of an accessible Unit. (b) During the Term, Borrower shall comply with the Marketing Plan and Tenant Selection Plan approved by the County. (c) Any termination of a lease or refusal to renew a lease for a County Assisted Unit within the Development must be preceded by not less than thirty (30) days written notice to the Tenant by Borrower specifying the grounds for the action. ARTICLE 5 PROPERTY MANAGEMENT AND MAINTENANCE 5.1 Management Responsibilities. Borrower is responsible for all management functions with respect to the Development, including without limitation the selection of Tenants, certification and recertification of household size and income, evictions, collection of rents and deposits, maintenance, landscaping, routine and extraordinary repairs, replacement of capital items, and security. The County has no responsibility for management of the Development. Borrower shall retain a professional property management company approved by the County in its reasonable discretion to perform Borrower's management duties hereunder. An on-site property management representative shall reside at the Property. 14 863\112\3501994.4 5.2 Management Agent. Borrower shall cause the Development to be managed by an experienced management agent reasonably acceptable to the County, with a demonstrated ability to operate residential facilities like the Development in a manner that will provide decent, safe, and sanitary housing (the "Management Agent"). The County has approved Satellite Affordable Housing Associates Property Management as the Management Agent. Borrower shall submit for the County's approval the identity of any proposed subsequent management agent. Borrower shall also submit such additional information about the background, experience and financial condition of any proposed management agent as is reasonably necessary for the County to determine whether the proposed management agent meets the standard for a qualified management agent set forth above. If the proposed management agent meets the standard for a qualified management agent set forth above, the County shall approve the proposed management agent by notifying Borrower in writing. Unless the proposed management agent is disapproved by the County within thirty (30) days, which disapproval is to state with reasonable specificity the basis for disapproval, it shall be deemed approved. 5.3 Periodic Performance Review. The County reserves the right to conduct an annual (or more frequently, if deemed necessary by the County) review of the management practices and financial status of the Development. The purpose of each periodic review will be to enable the County to determine if the Development is being operated and managed in accordance with the requirements and standards of this County Regulatory Agreement. Borrower shall cooperate with the County in such reviews. 5.4 Replacement of Management Agent. If, as a result of a periodic review, the County determines in its reasonable judgment that the Development is not being operated and managed in accordance with any of the material requirements and standards of this County Regulatory Agreement, the County shall deliver notice to Borrower of its intention to cause replacement of the Management Agent, including the reasons therefor. Within fifteen (15) days after receipt by Borrower of such written notice, the County staff and Borrower shall meet in good faith to consider methods for improving the financial and operating status of the Development, including, without limitation, replacement of the Management Agent. If, after such meeting, County staff recommends in writing the replacement of the Management Agent, Borrower shall promptly dismiss the then-current Management Agent, and shall appoint as the Management Agent a person or entity meeting the standards for a management agent set forth in Section 5.2 above and approved by the County pursuant to Section 5.2 above. Any contract for the operation or management of the Development entered into by Borrower shall provide that the Management Agent may be dismissed and the contract terminated as set forth above. Failure to remove the Management Agent in accordance with the provisions of this Section constitutes a default under this County Regulatory Agreement, and the County may enforce this provision through legal proceedings as specified in Section 6.6 below. 5.5 Approval of Management Policies. Borrower shall submit its written management policies with respect to the Development to the County for its review, and shall amend such policies in any way necessary to ensure that such policies comply with the provisions of this County Regulatory Agreement. 15 863\112\3501994.4 5.6 Property Maintenance. (a) Borrower shall maintain, for the entire Term of this County Regulatory Agreement, all interior and exterior improvements, including landscaping: (i) in decent, safe and sanitary condition, (ii) in good condition and repair, and (iii) free of all health and safety defects. Such maintenance must be in accordance with (i) all applicable laws, rules, ordinances, orders and regulations of all federal, state, county, municipal, and other governmental agencies and bodies having or claiming jurisdiction and all their respective departments, bureaus, and officials; and (ii) any other standards provided by the County (collectively, the "Maintenance Standards"). Borrower shall correct any life-threatening maintenance deficiencies immediately upon notification. (b) At the beginning of each year of the Term, Borrower shall certify to the County that the Development is in compliance with the Maintenance Standards. 5.7 Property Inspections. (a) On-Site Physical Inspections. The County will perform on-site inspections of the Development during the Term to ensure compliance with the Maintenance Standards. The County will perform an on-site inspection within twelve months after completion of construction of the Development and at least once every three (3) years during the Term. If the Development is found to have health and safety violations, the County may perform more frequent inspections. Borrower shall cooperate in such inspections. (b) Violation of Maintenance Standards. If after an inspection, the County determines that Borrower is in violation of the Maintenance Standards, the County will provide Borrower a written report of the violations. Borrower shall correct the violations set forth in the report provided to Borrower by County. The County will perform a follow-up inspection to verify that the violations have been corrected. If such violations continue for a period of ten (10) days after delivery of the report to Borrower by the County with respect to graffiti, debris, waste material, and general maintenance, or thirty (30) days after delivery of the report to Borrower by the County with respect to landscaping and building improvements, then the County, in addition to whatever other remedy it may have at law or in equity, has the right to enter upon the Property and perform or cause to be performed all such acts and work necessary to cure the violation. Pursuant to such right of entry, the County is permitted (but is not required) to enter upon the Property and to perform all acts and work necessary to protect, maintain, and preserve the improvements and landscaped areas on the Property, and to attach a lien on the Property, or to assess the Property, in the amount of the expenditures arising from such acts and work of protection, maintenance, and preservation by the County and/or costs of such cure, which amount Borrower shall promptly pay to the County upon demand. 16 863\112\3501994.4 ARTICLE 6 MISCELLANEOUS 6.1 Transfers. (a) For purposes of this Agreement, "Transfer" means any sale, assignment, or transfer, whether voluntary or involuntary, of: (i) any rights and/or duties under the Loan Documents; and/or (ii) any interest in the Development, including (but not limited to) a fee simple interest, a joint tenancy interest, a life estate, a partnership interest, a leasehold interest, a security interest, or an interest evidenced by a land contract by which possession of the Development is transferred and Borrower retains title. The term "Transfer" excludes the leasing of any single unit in the Development to an occupant in compliance with this County Regulatory Agreement. The County Director – Department of Conservation and Development is authorized to execute assignment and assumption agreements on behalf of the County to implement any approved Transfer. (b) Except as otherwise permitted in this Section 6.1, no Transfer is permitted without the prior written consent of the County, which the County may withhold in its sole discretion. The County Loan will automatically accelerate and be due in full upon any Transfer made without the prior written consent of the County. (c) The County hereby approves the admission of the Investor Limited Partner to Borrower as a limited partner. The County hereby approves future Transfers of the limited partner interest of Borrower provided that: (i) such Transfers do not affect the timing and amount of the Investor Limited Partner capital contributions provided for in the Partnership Agreement; and (ii) in subsequent Transfers, the Investor Limited Partner or an affiliate thereof, retains a membership or partnership interest and serves as a managing member or managing general partner of the successor limited partner. (d) The County hereby approves a Transfer of the Property from Borrower to SAHA, or an affiliate of SAHA, and an assumption of the County Loan by such transferee at or prior to the end of the Fifteen Year Compliance Period, provided that: (i) such Transfer is pursuant to an option or right of first refusal agreement referenced in the Partnership Agreement, (ii) the assignment and assumption agreement evidencing such Transfer requires the transferee to expressly assume the obligations of Borrower under the Loan Documents, and (iii) the County is provided executed copies of all documents evidencing the Transfer. (e) The County hereby approves the purchase of the Investor Limited Partner interest by SAHA, or an affiliate of SAHA at or prior to the end of the Fifteen Year Compliance Period, provided that (i) such Transfer is pursuant to an option or right of first refusal agreement referenced in the Partnership Agreement, and (ii) the County is provided executed copies of all documents evidencing the Transfer. (f) In the event the general partner of Borrower is removed by the limited partner of Borrower for cause following default under the Partnership Agreement, the County hereby approves the Transfer of the general partner interest to (i) a 501(c)(3) tax exempt nonprofit corporation or other entity with a 501(c)(3) tax exempt nonprofit corporation member 17 863\112\3501994.4 or partner, which entity is also a qualified CHDO entity, that is selected by the Investor Limited Partner and approved by the County, and (ii) the Investor Limited Partner or an affiliate thereof, but only for a period not to exceed ninety (90) days from the date of removal of the general partner, during which time such entity shall diligently seek a replacement general partner meeting the requirements of subsection (i) above. If any Transfer results in the removal or withdrawal of Borrower's general partner (except for a Transfer to the Investor Limited Partner for a period not to exceed ninety (90) days as set forth in Subsection (ii) above), Borrower agrees to repay all principal and accrued interest on the County Loan in full if the general partner is not replaced with a qualified CHDO entity in accordance with this Subsection. (g) The County hereby approves the grant of the security interests in the Development for Approved Financing as such term is defined in Section 1.1(g) of the Loan Agreement. 6.2 Nondiscrimination. (a) All of the Units must be available for occupancy on a continuous basis to members of the general public who are income eligible. Borrower may not give preference to any particular class or group of persons in renting or selling the Units, except to the extent that the Units are required to be leased to income eligible households or veterans pursuant to this County Regulatory Agreement, the HOME Regulatory Agreement, or any Development Regulatory Document. Borrower herein covenants by and for Borrower, assigns, and all persons claiming under or through Borrower, that there exist no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, sexual orientation, marital status, national origin, source of income (e.g., SSI), ancestry, age, familial status (except for lawful senior housing in accordance with state and federal law), or disability, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of any unit nor will Borrower or any person claiming under or through Borrower, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees of any unit or in connection with the employment of persons for the construction, operation and management of any unit. (b) Borrower shall accept as Tenants, on the same basis as all other prospective Tenants, persons who are recipients of federal certificates for rent subsidies pursuant to the existing housing program under Section 8 of the United States Housing Act, or its successor. Borrower may not apply selection criteria to Section 8 certificate or voucher holders that is more burdensome than criteria applied to all other prospective Tenants, nor will Borrower apply or permit the application of management policies or lease provisions with respect to the Development which have the effect of precluding occupancy of units by such prospective Tenants. 6.3 Application of Provisions. The provisions of this County Regulatory Agreement apply to the Property for the entire Term even if the County Loan is paid in full prior to the end of the Term. This County Regulatory Agreement binds any successor, heir or assign of Borrower, whether a change in interest occurs voluntarily or involuntarily, by operation of law or otherwise, except as expressly released by the County. The County is making the County Loan on the condition, and in consideration of, this provision, and would not do so otherwise. 18 863\112\3501994.4 6.4 Notice of Expiration of Term. (a) At least six (6) months prior to the expiration of the Term, Borrower shall provide by first-class mail, postage prepaid, a notice to all Tenants containing (i) the anticipated date of the expiration of the Term, (ii) any anticipated increase in Rent upon the expiration of the Term, (iii) a statement that a copy of such notice will be sent to the County, and (iv) a statement that a public hearing may be held by the County on the issue and that the Tenant will receive notice of the hearing at least fifteen (15) days in advance of any such hearing. Borrower shall also file a copy of the above-described notice with the County Assistant Deputy Director, Department of Conservation and Development. (b) In addition to the notice required above, Borrower shall comply with the requirements set forth in California Government Code Sections 65863.10 and 65863.11. Such notice requirements include: (i) a twelve (12) month notice to existing tenants, prospective tenants and Affected Public Agencies (as defined in California Government Code Section 65863.10(a)) prior to the expiration of the Term, (ii) a six (6) month notice requirement to existing tenants, prospective tenants and Affected Public Agencies prior to the expiration of the Term; (iii) a notice of an offer to purchase the Development to "qualified entities" (as defined in California Government Code Section 65863.11(d)), if the Development is to be sold within five (5) years of the end of the Term; (iv) a notice of right of first refusal within the one hundred eighty (180) day period that qualified entities may purchase the Development. 6.5 Covenants to Run With the Land. The County and Borrower hereby declare their express intent that the covenants and restrictions set forth in this County Regulatory Agreement run with the land, and bind all successors in title to the Property, provided, however, that on the expiration of the Term said covenants and restrictions expire. Each and every contract, deed or other instrument hereafter executed covering or conveying the Property or any portion thereof, is to be held conclusively to have been executed, delivered and accepted subject to the covenants and restrictions, regardless of whether such covenants or restrictions are set forth in such contract, deed or other instrument, unless the County expressly releases such conveyed portion of the Property from the requirements of this County Regulatory Agreement. 6.6 Enforcement by the County. (a) If Borrower fails to perform any obligation under this County Regulatory Agreement, and fails to cure the default within thirty (30) days after the County has notified Borrower in writing of the default, the County may enforce this County Regulatory Agreement by any or all of the following actions, or any other remedy provided by law: (1) Calling the County Loan. The County may declare a default under the Loan Documents, accelerate the indebtedness evidenced by the Loan Documents, and proceed with foreclosure under the Deed of Trust. (2) Action to Compel Performance or for Damages. The County may bring an action at law or in equity to compel Borrower's performance of its obligations under this County Regulatory Agreement, and may seek damages. 19 863\112\3501994.4 (3) Remedies Provided Under Loan Documents. The County may exercise any other remedy provided under the Loan Documents. (b) The County shall provide notice of a default to the Investor Limited Partner and any limited partner of Borrower who has requested written notice from the County in the manner set forth in Section 6.5 of the Loan Agreement, and the Investor Limited Partner shall have the right, but not the obligation, to cure any default under this County Regulatory Agreement and the County shall accept such cure on behalf of the Borrower. 6.7 Recording and Filing. The County and Borrower shall cause this County Regulatory Agreement, and all amendments and supplements to it, to be recorded in the Official Records of the County of Contra Costa. 6.8 Governing Law. This County Regulatory Agreement is governed by the laws of the State of California. 6.9 Waiver of Requirements. Any of the requirements of this County Regulatory Agreement may be expressly waived by the County in writing, but no waiver by the County of any requirement of this County Regulatory Agreement extends to or affects any other provision of this County Regulatory Agreement, and may not be deemed to do so. 6.10 Amendments. This County Regulatory Agreement may be amended only by a written instrument executed by all the parties hereto or their successors in title that is duly recorded in the official records of the County of Contra Costa. 6.11 Notices. Any notice requirement set forth herein will be deemed to be satisfied three (3) days after mailing of the notice first-class United States certified mail, postage prepaid, addressed to the appropriate party as follows: County: County of Contra Costa Department of Conservation and Development 30 Muir Road Martinez, CA 94553 Attn: Assistant Deputy Director Borrower: Pinole Housing, L.P. c/o Satellite Affordable Housing Associates 1835 Alcatraz Avenue Berkeley, CA 94703 Attention: Chief Executive Officer With a copy to: Gubb & Barshay LLP 235 Montgomery Street, Suite 1110 San Francisco, CA 94104 Attention: Erica Williams Orcharton Investor Limited 20 863\112\3501994.4 Partner: RJ MT Pinole Housing L.L.C. c/o Raymond James Affordable Housing Investments, Inc. 880 Carillon Parkway St. Petersburg, Florida 33716 Facsimile No.: 727-567-8455 Attention: Steven J. Kropf, President Email Address: Steve.Kropf@RaymondJames.com with a copy to: Nixon Peabody LLP Exchange Place 53 State Street Boston, MA 02109 Attn: Nathan A. Bernard Email Address: nbernard@nixonpeabody.com Such addresses may be changed by notice to the other party given in the same manner as provided above. 6.12 Severability. If any provision of this County Regulatory Agreement is determined by a court of competent jurisdiction to be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining portions of this County Regulatory Agreement will not in any way be affected or impaired thereby. 6.13 Multiple Originals; Counterparts. This County Regulatory Agreement may be executed in multiple originals, each of which is deemed to be an original, and may be signed in counterparts. 6.14 Revival of Agreement after Foreclosure. In the event there is a foreclosure of the Property, this County Regulatory Agreement will revive according to its original terms if, during the Term, the owner of record before the foreclosure, or deed in lieu of foreclosure, or any entity that includes the former owner or those with whom the former owner has or had family or business ties, obtains an ownership interest in the Development or Property. 6.15 County Regulatory Agreement. The County and Borrower are entering into this County Regulatory Agreement concurrently with the HOME Regulatory Agreement. This County Regulatory Agreement applies to all the County-Assisted Units including the HOME- Assisted Units. The HOME Regulatory Agreement includes HOME requirements applicable to the use of HOME Funds and will be in effect for the HOME Term. Compliance with the terms of the HOME Regulatory Agreement will be deemed compliance with this County Regulatory Agreement during the HOME Term. In the event of a conflict between the HOME Regulatory Agreement and this County Regulatory Agreement during the HOME Term, the terms of the HOME Regulatory Agreement will prevail. [remainder of page intentionally left blank] 21 Signature page County Regulatory Agreement 863\112\3501994.4 WHEREAS, this County Regulatory Agreement has been entered into by the undersigned as of the date first written above. COUNTY: COUNTY OF CONTRA COSTA, a political subdivision of the State of California By: __________________ John Kopchik Director, Department of Conservation and Development Approved as to form: THOMAS L. GEIGER County Counsel By: Kathleen Andrus Deputy County Counsel BORROWER: PINOLE HOUSING, L.P., a California limited partnership By: Pinole Housing LLC, a California limited liability company, its general partner By: Satellite Affordable Housing Associates, a California nonprofit public benefit corporation, its sole member and manager By: ____________________________ Susan Friedland, Chief Executive Officer 863\112\3501994.4 STATE OF CALIFORNIA ) ) COUNTY OF __________________ ) On ____________________, before me, ___________________________, Notary Public, personally appeared ______________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ______________________________________ Name: ______________________________ Notary Public A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 863\112\3501994.4 STATE OF CALIFORNIA ) ) COUNTY OF __________________ ) On ____________________, before me, ___________________________, Notary Public, personally appeared ______________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ______________________________________ Name: ______________________________ Notary Public A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. A-1 863\112\3501994.4 EXHIBIT A Legal Description The land referred to is situated in the County of Contra Costa, City of Pinole, State of California, and is described as follows: PARCEL ONE: Portion Lot "C", Map of Dohrmann Ranch, filed December 21, 1895, Map Book "E", Page 115, Contra Costa County Records, described as follows: Beginning on the South line of San Pablo Avenue, at the West line of the parcel of land described in the Deed to Claude C. Orr, recorded November 29, 1946, Book 964 Official Records, Page 391; thence from said point of beginning along the West and South lines of said Orr Parcel, South 9° 37' West, 129.31 feet and South 80° 23' East, 4 feet; thence South 9° 37' West, 35.90 feet to the Northwest corner of Lot 35, as shown on the Map of Meadow Parcel, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records; thence along the exterior lines of said Meadow Park Unit No. 1, North 80° 23' West, 110 feet and South 50° 27' West, 110.53 feet to an angle point therein, being on the West line of said Lot C; thence North 19° 08' East, along said West line, 224.37 feet to the South line of said San Pablo Avenue; thence Easterly along said South line, along the arc of a curve to the right with a radius of 2,950 feet, the center of which bears South 2° 51' 06" East, an arc distance of 143.72 feet to the point of beginning. Excepting from Parcel One: All that portion thereof conveyed in the Deed to Frank A. Archambault, et ux, recorded July 21, 1957, Book 3002 Official Records, Page 174. PARCEL TWO: Portion of Lot 33, Map of Meadow Park, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records, described as follows: Beginning at the Northeast corner of said Lot 33; thence from said point of beginning along the North line of said Lot 33, North 79° 19' 10" West, 50 feet (the bearing of North 79° 19' 10" West being taken for the purpose of this description) and South 51° 30' 50" West, 62.97 feet; thence North 76° 09' 30" East, 100.25 feet to the East line of said Lot 33, distant thereon South 10° 26' 36" West, 6.04 feet from the Northeast corner thereof; thence North 10° 26' 36" East, along said East line, 6.04 feet to the point of beginning. PARCEL THREE: A right of way (not to be exclusive) as an appurtenance to Parcels One and Two above, for use as a roadway for vehicles of all kinds, pedestrians and animals, for water, gas, oil and sewer pipe A-2 863\112\3501994.4 lines, and for telephone, television service, electric light and power lines, together with the necessary poles or conduits, over a portion of Lot C, Map of Dohrmann Ranch, filed December 21, 1895, Map Book "E", Page 115, Contra Costa County Records, being a strip of land 15 feet in width, the North line of which is described as follows: Beginning on the West line of Meadow Avenue, as shown on the Map of Meadow Park, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records, at the South line of the parcel of land described in the Deed to Claude C. Orr, recorded November 29, 1946, in Book 964 Official Records, Page 391; thence from said point of beginning, North 80° 23' West, along said South line, 60 feet to an East line of Parcel One above. APN: 402-166-030 1 863\112\3501931.4 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: Contra Costa County Department of Conservation and Development 30 Muir Road Martinez, CA 94553 Attn: Assistant Deputy Director No fee for recording pursuant to Government Code Section 27383 and 27388.1 __________________________________________________________________________ HOME REGULATORY AGREEMENT AND DECLARATION OF RESTRICTIVE COVENANTS (Pinole Housing - HOME) This HOME Regulatory Agreement and Declaration of Restrictive Covenants (the "HOME Regulatory Agreement") is dated May 1, 2023 and is between the County of Contra Costa, a political subdivision of the State of California (the "County"), and Pinole Housing, L.P., a California limited partnership ("Borrower"). RECITALS A. Defined terms used but not defined in these recitals are as defined in Article 1 of this HOME Regulatory Agreement. B. The County has received Home Investment Partnerships Act ("HOME") funds from the United States Department of Housing and Urban Development ("HUD") pursuant to the Cranston-Gonzales National Housing Act of 1990 ("HOME Funds"). The HOME Funds must be used by the County in accordance with 24 C.F.R. Part 92. C. Pursuant to a Disposition and Development Agreement dated July 6, 2021, between Satellite Affordable Housing Associates, a California nonprofit public benefit corporation ("SAHA") and the City of Pinole, a municipal corporation (the "City"), as amended by a First Amendment dated February 21, 2023, and as assigned to Borrower pursuant to that certain Assignment and Assumption of Disposition and Development Agreement, Borrower intends to acquire from the City, that certain real property located at 811 San Pablo Avenue, in the City of Pinole, County of Contra Costa, State of California, as more particularly described in Exhibit A (the "Property"). Borrower intends to construct thirty-three (33) housing units on the Property, thirty-two (32) of which are for rental to extremely low, very low, and low income households, and one (1) manager's unit (the "Development"). The Development, as well as all landscaping, roads and parking spaces on the Property and any additional improvements on the Property, are the "Improvements". 2 863\112\3501931.4 D. Pursuant to a Development Loan Agreement of even date herewith between the County and Borrower (the "Loan Agreement"), the County is lending Borrower Two Million Six Hundred Thirty-Six Thousand Two Hundred Eighty Dollars ($2,636,280) of HOME Funds (the "County Loan") to assist in the construction of the Development. E. In addition to the Loan Agreement and this HOME Regulatory Agreement, the County Loan is evidenced and secured by the following documents: (i) a deed of trust with assignment of rents, security agreement, and fixture filing of even date herewith, among Borrower, as trustor, Old Republic Title Company, as trustee, and the County, as beneficiary; (ii) an intercreditor agreement of even date herewith among the City, the County, and Borrower; (iii) a promissory note executed by Borrower of even date herewith in the amount of the County Loan; and (iv) the County Regulatory Agreement, executed by Borrower of even date herewith, (collectively, the "Loan Documents"). The Loan Documents are described in more detail in the Loan Agreement. F. The County has the authority to lend the County Loan to Borrower pursuant to Government Code Section 26227, which authorizes counties to spend county funds for programs that will further a county's public purposes. In addition, the County has the authority to loan the HOME Funds pursuant to 24 C.F.R. 92.205. G. The County has agreed to make the County Loan on the condition that Borrower maintain and operate the Development in accordance with restrictions set forth in this HOME Regulatory Agreement and the County Regulatory Agreement, and in the related documents evidencing the County Loan. Fifteen (15) of the Units are restricted by the County pursuant to this HOME Regulatory Agreement. H. As it applies to the HOME-Assisted Units this HOME Regulatory Agreement will be in effect for the HOME Term. The County Regulatory Agreement as it applies to the HOME- Assisted Units will be in effect for fifty-five (55) years from the Completion Date which term overlaps with but is longer than the HOME Term. Pursuant to Section 6.16 below, compliance with the terms of this HOME Regulatory Agreement will be deemed compliance with the County Regulatory Agreement during the HOME Term with respect to the HOME-Assisted Units. I. In consideration of receipt of the County Loan at an interest rate substantially below the market rate, Borrower agrees to observe all the terms and conditions set forth below. The parties therefore agree as follows: AGREEMENT ARTICLE 1 DEFINITIONS 1.1 Definitions. The following terms have the following meanings: (a) "Accessibility Requirements" has the meaning set forth in Section 2.1(c). 3 863\112\3501931.4 (b) "Actual Household Size" means the actual number of persons in the applicable household. (c) "Adjusted Income" means with respect to the Tenant of each HOME- Assisted Unit, the Tenant’s total anticipated annual income as defined in 24 CFR 5.609 and calculated pursuant to 24 CFR 5.611, and as further referenced in 24 CFR 92.203(b)(1). (d) "Assumed Household Size" means the household size "adjusted for family size appropriate to the unit" as such term is defined in Health & Safety Code Section 50052.5(h), used to calculate Rent, provided that if a different calculation is required by the HOME regulations, such calculation must be used for the HOME-Assisted Units. (e) "City" has the meaning set forth in Paragraph C of the Recitals. (f) "Completion Date" means the date a final certificate of occupancy, or equivalent document is issued by the City to certify that the Development may be legally occupied. (g) "County Loan" has the meaning set forth in Paragraph D of the Recitals. (h) "County Regulatory Agreement" means the Regulatory Agreement and Declaration of Restrictive Covenants of even date herewith, between the County and Borrower evidencing County requirements applicable to the County Loan, to be recorded against the Property concurrently herewith. (i) "Deed of Trust" means the Deed of Trust with Assignment of Rents, Security Agreement and Fixture Filing of even date herewith by and among Borrower, as trustor, Old Republic Title Company, as trustee, and the County, as beneficiary, that encumbers the Property to secure repayment of the County Loan and Borrower's performance of the Loan Documents. (j) "Development" has the meaning set forth in Paragraph C of the Recitals. (k) "Development Regulatory Documents" has the meaning set forth in Section 4.2(a). (l) "Extremely Low Income Household" means a household with an Adjusted Income that does not exceed thirty percent (30%) of Median Income, adjusted for Actual Household Size. (m) "Extremely Low Income Rent" means one-twelfth (1/12) of thirty percent (30%) of thirty percent (30%) of Median Income, adjusted for Assumed Household Size. (n) "Extremely Low Income Units" means the Units which, pursuant to Section 2.1(a) below, are required to be occupied by Extremely Low Income Households. (o) "Fifteen Year Compliance Period" means the fifteen (15) year compliance period as described in Section 42(i)(1) of the Internal Revenue Code of 1986, as amended. 4 863\112\3501931.4 (p) "High HOME Rent" means a monthly Rent that does not exceed the maximum rent published by HUD for a Low Income Household for the applicable bedroom size as set forth in 24 C.F.R. 92.252(a). (q) "HOME" has the meaning set forth in Paragraph B of the Recitals. (r) "HOME-Assisted Units" means the fifteen (15) Units to be constructed on the Property that are (i) restricted to occupancy by Extremely Low Income Households and Sixty Percent Income Households in compliance with Section 2.1 below, and (ii) are "floating" Units as defined in 24 C.F.R. 92.252(j). (s) "HOME Funds" has the meaning set forth in Paragraph B of the Recitals. (t) "HOME Term" means the term of this HOME Regulatory Agreement which commences as of the date of this HOME Regulatory Agreement, and unless sooner terminated pursuant to the terms of this HOME Regulatory Agreement, expires on the twenty- first (21st) anniversary of the Completion Date; provided, however, if a record of the Completion Date cannot be located or established, the HOME Term will expire on the twenty-third (23rd) anniversary of this HOME Regulatory Agreement. (u) "HOME Regulatory Agreement" has the meaning set forth in the first paragraph of this HOME Regulatory Agreement. (v) "HUD" has the meaning set forth in Paragraph B of the Recitals. (w) "Improvements" has the meaning set forth in Paragraph C of the Recitals. (x) "Investor Limited Partner" means, RJ MT Pinole Housing L.L.C., a Florida limited liability company, its successors and assigns. (y) "Loan Agreement" has the meaning set forth in Paragraph D of the Recitals. (z) "Loan Documents" has the meaning set forth in Paragraph E of the Recitals. (aa) "Low HOME Rent" means a monthly Rent that does not exceed the maximum rent published by HUD for a Very Low Income Household for the applicable bedroom size as set forth in 24 C.F.R. 92.252(b). (bb) "Low Income Household" means a Tenant (i) with an Adjusted Income that does not exceed eighty percent (80%) of Median Income, with adjustments for smaller and larger families, except that HUD may establish income ceilings higher or lower than eighty percent (80%) of Median Income on the basis of HUD findings that such variations are necessary because of prevailing levels of construction costs or fair market rents, or unusually high or low family incomes, as such definition may be amended pursuant to 24 C.F.R. Section 92.2, and (ii) that is not an individual student not eligible to receive Section 8 assistance under 24 C.F.R. 5.612. 5 863\112\3501931.4 (cc) "Maintenance Standards" has the meaning set forth in Section 5.6 (a). (dd) "Marketing Plan" has the meaning set forth in Section 4.3(a). (ee) "Median Income" means the median gross yearly income, adjusted for Actual Household Size as specified herein, in the County of Contra Costa, California, as published from time to time by HUD. In the event that such income determinations are no longer published, or are not updated for a period of at least eighteen (18) months, the County shall provide Borrower with other income determinations that are reasonably similar with respect to methods of calculation to those previously published by HUD. (ff) "Operating Budget" has the meaning set forth in Section 2.5(a). (gg) "Partnership Agreement" means the agreement between Borrower's general partner and the Investor Limited Partner that governs the operation and organization of Borrower as a California limited partnership. (hh) "Property" has the meaning set forth in Paragraph C of the Recitals. (ii) "Rent" means the total monthly payments by the Tenant of a Unit for the following: use and occupancy of the Unit and land and associated facilities; any separately charged fees or service charges assessed by Borrower which are customarily charged in rental housing and required of all Tenants (subject to the limitations set forth in 24 C.F.R. 92.214(b)(3)), other than security deposits; an allowance for the cost of an adequate level of service for utilities paid by the Tenant, including garbage collection, sewer, water, electricity, gas and other heating, cooking and refrigeration fuel, but not telephone service or cable TV; and any other interest, taxes, fees or charges for use of the land or associated facilities and assessed by a public or private entity other than Borrower, and paid by the Tenant. (jj) "Rental Subsidy" has the meaning set forth in Section 2.5(a). (kk) "SAHA" has the meaning set forth in Paragraph C of the Recitals. (ll) "Sixty Percent Income Household" means a household with an Adjusted Income that does not exceed sixty percent (60%) of Median Income, adjusted for Actual Household Size. (mm) "Sixty-Percent Income Rent" means one-twelfth (1/12) of thirty percent (30%) of sixty percent (60%) of Median Income, adjusted for Assumed Household Size. (nn) "Sixty Percent Income Units" means the Units which, pursuant to Section 2.1(b) below, are required to be occupied by Sixty Percent Income Households. (oo) "Subsidy Units" has the meaning set forth in Section 2.5(a). (pp) "Tenant" means the tenant household that occupies a Unit in the Development. 6 863\112\3501931.4 (qq) "Tenant Selection Plan" has the meaning set forth in Section 4.3(b). (rr) "Transfer" has the meaning set forth in Section 6.1. (ss) "Unit(s)" means one (1) or more of the units in the Development. (tt) "Very Low Income Household" means a household (i) with an Adjusted Income that does not exceed fifty percent (50%) of Median Income, with adjustments for smaller and larger families, except that HUD may establish income ceilings higher or lower than fifty percent (50%) of Median Income on the basis of HUD findings that such variations are necessary because of prevailing levels of construction costs or fair market rents, or unusually high or low family incomes as set forth in 24 C.F.R. Section 92.2, and (ii) that is not an individual student not eligible to receive Section 8 assistance under 24 C.F.R. 5.612. ARTICLE 2 AFFORDABILITY AND OCCUPANCY COVENANTS 2.1 Occupancy Requirements. (a) Extremely Low Income Units. During the HOME Term Borrower shall cause thirteen (13) Units to be rented to and occupied by or, if vacant, available for occupancy by, Extremely Low Income Households. (b) Sixty Percent Income Units. During the HOME Term Borrower shall cause two (2) Units to be rented to and occupied by or, if vacant, available for occupancy by, Sixty Percent Income Households. (c) Intermingling of Units. Borrower shall cause the HOME-Assisted Units to be intermingled throughout the Development and of comparable quality to all other Units. All Tenants must have equal access to and enjoyment of all common facilities in the Development. The HOME-Assisted Units must be of the bedroom sizes set forth in the following chart: Extremely Low Income Units Sixty Percent Income Units One Bedroom 13 0 Two-Bedroom 0 2 Total 13 2 (d) Disabled Persons Occupancy. (1) Borrower shall cause the Development to be operated at all times in compliance with all applicable federal, state, and local disabled persons accessibility requirements including, but not limited to the applicable provisions of: (i) the Unruh Act, (ii) the California Fair Employment and Housing Act, (iii) Section 504 of the Rehabilitation Act of 1973, (iv) the United States Fair Housing Act, as amended, (v) the Americans With Disabilities 7 863\112\3501931.4 Act of 1990, and (vi) Chapters 11A and 11B of Title 24 of the California Code of Regulations, which relate to disabled persons access (collectively, the "Accessibility Requirements"). (2) Borrower shall indemnify, protect, hold harmless and defend (with counsel reasonably satisfactory to the County) the County, and its board members, officers and employees, from all suits, actions, claims, causes of action, costs, demands, judgments and liens arising out of Borrower's failure to comply with the Accessibility Requirements. This obligation to indemnify survives termination of this HOME Regulatory Agreement, repayment of the County Loan and the reconveyance of the Deed of Trust. (e) HOME-Assisted Unit Compliance Deadline. Each HOME-Assisted Unit must be rented to and occupied by an Extremely Low Income Household pursuant to Section 2.1(a) on or before the date that occurs eighteen (18) months after the Completion Date. If Borrower fails to comply with this requirement, Borrower shall repay a portion of the Loan, with interest, in accordance with Section 2.8(c) of the Loan Agreement. 2.2 Allowable Rent. (a) Extremely Low Income Rent. Subject to the provisions of Section 2.4 below, the Rent paid by Tenants of Extremely Low Income Units may not exceed the Extremely Low Income Rent. (b) Sixty Percent Income Rent. Subject to the provisions of Section 2.4 below, the Rent paid by Tenants of Sixty Percent Income Units may not exceed the Sixty Percent Income Rent. (c) No Additional Fees. Borrower may not charge any fee, other than Rent, to any Tenant of the HOME-Assisted Units for any housing or other services provided by Borrower. 2.3 Rent Increases. (a) Rent Amount. The initial Rent for all HOME-Assisted Units must be approved by the County prior to occupancy. The County will provide Borrower with a schedule of maximum permissible Rents for the HOME-Assisted Units and the maximum monthly allowances for utilities and services (excluding telephone) annually. The method of calculation of utility allowances will be determined by mutual agreement of the County and Borrower, using one of the methodologies permitted by the HOME Regulations. (b) Rent Increases. All Rent increases for all HOME-Assisted Units are subject to County approval. No later than sixty (60) days prior to the proposed implementation of any Rent increase affecting a HOME-Assisted Unit, Borrower shall submit to the County a schedule of any proposed increase in the Rent charged for HOME-Assisted Units. The Rent for such Units may be increased no more than once annually based upon the annual income certification described in Article 3. The County will disapprove a Rent increase if it violates the schedule of maximum permissible Rents for the HOME-Assisted Units provided to Borrower by the County, or is greater than a 5% increase over the previous year's Rent, provided that the County may approve a request from Borrower for a rent increase greater than 5%, with a written 8 863\112\3501931.4 explanation for the request from Borrower. Borrower shall give Tenants written notice at least thirty (30) days prior to any Rent increase, following completion of the County approval process set forth above. 2.4 Increased Income of Tenants. (a) Increased Income above Extremely Low Income but below Sixty Percent Income. If, upon the annual certification of the income of a Tenant of an Extremely Low Income Unit, Borrower determines that the income of the Tenant has increased above the qualifying limit for an Extremely Low Income Household, but not above the qualifying income for a Sixty Percent Income Household, the Tenant may continue to occupy the Unit and the Tenant's Rent will remain at the Extremely Low Income Rent. Borrower shall then rent the next available Unit to an Extremely Low Income Household to comply with the requirements of Section 2.1(a) above, at a Rent not exceeding the maximum Rent specified in Section 2.2(a), or re-designate another comparable Unit in the Development with an Extremely Low Income Household an Extremely Low Income Unit, to comply with the requirements of Section 2.1(a) above. Upon renting the next available Unit in accordance with Section 2.1(a) or re-designating another Unit in the Development as an Extremely Low Income Unit, the Unit with the over-income Tenant will no longer be considered a HOME-Assisted Unit. (b) Increased Income above Sixty Percent Income but below Low Income. If, upon the annual certification of the income of a Tenant of a Sixty Percent Income Unit, Borrower determines that the income of the Tenant has increased above the qualifying limit for a Sixty Percent Income Household, but not above the qualifying income for a Low Income Household, the Tenant may continue to occupy the Unit and the Tenant's Rent will remain at the Sixty Percent Income Rent. Borrower shall then rent the next available Unit to a Sixty Percent Income Household to comply with the requirements of Section 2.1(b) above, at a Rent not exceeding the maximum Rent specified in Section 2.2(b), or re-designate another comparable Unit in the Development with a Sixty Percent Income Household a Sixty Percent Income Unit, to comply with the requirements of Section 2.1(b) above. Upon renting the next available Unit in accordance with Section 2.1(b) or re-designating another Unit in the Development as an Sixty Percent Income Unit, the Unit with the over-income Tenant will no longer be considered a HOME-Assisted Unit. (c) Non-Qualifying Household. If, upon the annual certification of the income a Tenant of a HOME-Assisted Unit, Borrower determines that the Tenant’s income has increased above the qualifying limit for a Low Income Household, the Tenant may continue to occupy the Unit. Upon the expiration of such Tenant's lease, Borrower shall: (1) With 60 days’ advance written notice, increase such Tenant’s Rent to the lesser of (i) one-twelfth (1/12) of thirty percent (30%) of the actual Adjusted Income of the Tenant, and (ii) the fair market rent (subject to 24 C.F.R. 92.252(i)(2) regarding low income housing tax credit requirements), and (2) Rent the next available Unit to an Extremely Low Income Household or Sixty Percent Income Household, as applicable, to comply with the requirements of Section 2.1 above, at a Rent not exceeding the maximum Rent specified in Section 2.2, or 9 863\112\3501931.4 designate another comparable Unit that is occupied by an Extremely Low Income Household or Sixty Percent Income Household, as applicable, as a HOME-Assisted Unit, to meet the requirements of Section 2.1 above. On the day that Borrower complies with Section 2.1 in accordance with this Section 2.4(c), the Unit with the over-income Tenant will no longer be considered a HOME-Assisted Unit. (d) Termination of Occupancy. Upon termination of occupancy of a HOME- Assisted Unit by a Tenant, such Unit will be deemed to be continuously occupied by a household of the same income level as the initial income level of the vacating Tenant, until such unit is reoccupied, at which time categorization of the Unit will be established based on the occupancy requirements of Section 2.1. 2.5 Loss of Subsidy. (a) It is anticipated that certain Units in the Development (the "Subsidy Units") will receive Project-Based Section 8 or other rental subsidy payments (the "Rental Subsidy") throughout the Term, as reflected in the Approved Development Budget. Notwithstanding Section 2.3(b), if any change in federal law occurs, or any action (or inaction) by Congress or any federal or State agency occurs, which results in a reduction, termination or nonrenewal of the Rental Subsidy through no fault of the Borrower, such that the Rental Subsidy shown on the Approved Development Budget is no longer available, Borrower may increase the Rent on one or more of the HOME-Assisted Units that overlap with a Subsidy Unit, to the Low HOME Rent and/or High HOME Rent as applicable, subject to the following requirements: (1) At the time Borrower requests an increase in the Rent, Borrower shall provide the County with an operating budget for the Development for the County's approval pursuant to Section 4.4 of the Loan Agreement, showing the impact of the loss or reduction of the Rental Subsidy (the "Operating Budget"); (2) The number of HOME-Assisted Units subject to the Rent increase and the level of rent increase (i.e., Low HOME Rent or High HOME Rent) may not be greater than the amount required to ensure that the Development generates sufficient income to cover its operating costs and debt service as shown on the Operating Budget, and as is necessary to maintain the financial stability of the Development; (3) The Rent of at least one (1) of the HOME-Assisted Units may not exceed the Low HOME Rent; (4) Borrower shall use good faith efforts to ensure that the Tenants whose Rents are increased to the High HOME Rent have the highest incomes of the Tenants occupying the HOME-Assisted Units; and (5) Any such Rent increase must be pursuant to a transition plan approved by the County, consistent with remedial measures set forth in California Code of Regulations Title 4, Division 17, Chapter 1, Section 10337(a)(3) or successor regulation applicable to California's Federal and State Low Income Housing Tax Credit Program. 10 863\112\3501931.4 (b) Borrower shall use good faith efforts to obtain alternative sources of rental subsidies and shall provide the County with annual progress reports on efforts to obtain alternative sources of rental subsidies that would allow the rents on the HOME-Assisted Units to be reduced back to the Extremely Low Income Rent or Sixty Percent Income Rent as applicable. Upon receipt of any alternative rental subsidies, Borrower shall reduce the rents on the HOME- Assisted Units back to the Extremely Low Income Rent or Sixty Percent Income Rent as applicable, to the extent that the alternative rental subsidies provide sufficient income to cover the operating costs and debt service of the Development as shown on the Operating Budget. ARTICLE 3 INCOME CERTIFICATION; REPORTING; RECORDS 3.1 Income Certification. Borrower shall obtain, complete, and maintain on file, within sixty (60) days before expected occupancy and annually thereafter, income certifications from each Tenant renting any of the HOME-Assisted Units. Borrower shall make a good faith effort to verify the accuracy of the income provided by the applicant or occupying household, as the case may be, in an income certification. To verify the information, Borrower shall take two or more of the following steps: (i) obtain a pay stub for the most recent pay period; (ii) obtain an income tax return for the most recent tax year; (iii) conduct a credit agency or similar search; (iv) obtain an income verification form from the applicant's current employer; (v) obtain an income verification form from the Social Security Administration and/or the California Department of Social Services if the applicant receives assistance from either of such agencies; or (vi) if the applicant is unemployed and does not have a tax return, obtain another form of independent verification. Where applicable, Borrower shall examine at least two (2) months of relevant source documentation. Copies of Tenant income certifications are to be available to the County upon request. 3.2 Reporting Requirements. (a) Borrower shall submit to the County within one hundred eighty (180) days after the Completion Date, and not later than forty-five (45) days after the close of each calendar year, or such other date as may be requested by the County, a report that includes the following data for each Unit and specifically identifies which Units are HOME-Assisted Units: (i) Tenant income, (ii) the number of occupants, (iii) the Rent, (iv) the number of bedrooms, and (v) the initial address of each Tenant. To demonstrate continued compliance with Section 2.1 Borrower shall cause each annual report after the initial report to include a record of any subsequent Tenant substitutions and any vacancies in HOME-Assisted Units that have been filled. (b) Borrower shall submit to the County within forty-five (45) days after receipt of a written request, or such other time agreed to by the County, any other information or completed forms requested by the County in order to comply with reporting requirements of HUD, the State of California, and the County. 3.3 Tenant Records. Borrower shall maintain complete, accurate and current records pertaining to income and household size of Tenants. All Tenant lists, applications and waiting lists relating to the Development are to be at all times: (i) separate and identifiable from any 11 863\112\3501931.4 other business of Borrower, (ii) maintained as required by the County, in a reasonable condition for proper audit, and (iii) subject to examination during business hours by representatives of the County. Borrower shall retain copies of all materials obtained or produced with respect to occupancy of the Units for a period of at least five (5) years. The County may examine and make copies of all books, records or other documents of Borrower that pertain to the Development. 3.4 Development Records. (a) Borrower shall keep and maintain at the principal place of business of the Borrower set forth in Section 6.11 below, or elsewhere with the County's written consent, full, complete and appropriate books, records and accounts relating to the Development. Borrower shall cause all books, records and accounts relating to its compliance with the terms, provisions, covenants and conditions of the Loan Documents to be kept and maintained in accordance with generally accepted accounting principles consistently applied, and to be consistent with requirements of this HOME Regulatory Agreement. Borrower shall cause all books, records, and accounts to be open to and available for inspection and copying by HUD, the County, its auditors or other authorized representatives at reasonable intervals during normal business hours. Borrower shall cause copies of all tax returns and other reports that Borrower may be required to furnish to any government agency to be open for inspection by the County at all reasonable times at the place that the books, records and accounts of Borrower are kept. Borrower shall preserve such records for a period of not less than five (5) years after their creation in compliance with all HUD records and accounting requirements. If any litigation, claim, negotiation, audit exception, monitoring, inspection or other action relating to the use of the County Loan is pending at the end of the record retention period stated herein, then Borrower shall retain the records until such action and all related issues are resolved. Borrower shall cause the records to include all invoices, receipts, and other documents related to expenditures from the County Loan funds. Borrower shall cause records to be accurate and current and in a form that allows the County to comply with the record keeping requirements contained in 24 C.F.R. 92.508. Such records are to include but are not limited to: (1) Records providing a full description of the activities undertaken with the use of the County Loan funds; (2) Records demonstrating compliance with the HUD property standards and lead-based paint requirements and the maintenance requirements set forth in Section 5.6 (which implements 24 C.F.R. 92.251); (3) Records documenting compliance with the fair housing, equal opportunity, and affirmative fair marketing requirements; (4) Financial records as required by 24 C.F.R. 92.505, and 2 C.F.R. Part 200; (5) Records demonstrating compliance with the HOME marketing, tenant selection, affordability, and income requirements; (6) Records demonstrating compliance with MBE/WBE requirements; 12 863\112\3501931.4 (7) Records demonstrating compliance with 24 C.F.R. Part 135 which implements Section 3 of the Housing Development Act of 1968; (8) Records demonstrating compliance with applicable relocation requirements, which must be retained for at least five (5) years after the date by which persons displaced from the property have received final payments; and (9) Records demonstrating compliance with labor requirements including certified payrolls from Borrower's general contractor evidencing that applicable prevailing wages have been paid. (b) The County shall notify Borrower of any records it deems insufficient. Borrower has fifteen (15) calendar days after the receipt of such a notice to correct any deficiency in the records specified by the County in such notice, or if a period longer than fifteen (15) days is reasonably necessary to correct the deficiency, then Borrower must begin to correct the deficiency within fifteen (15) days and correct the deficiency as soon as reasonably possible. ARTICLE 4 OPERATION OF THE DEVELOPMENT 4.1 Residential Use. Borrower shall operate the Development for residential use only. No part of the Development may be operated as transient housing. 4.2 Compliance with Loan Documents and Regulatory Requirements. (a) Borrower's actions with respect to the Property shall at all times be in full conformity with: (i) all requirements of the Loan Documents; (ii) all requirements imposed on projects assisted with HOME Funds as contained in 42 U.S.C. Section 12701, et seq., 24 C.F.R. Part 92, and other implementing rules and regulations; and (iii) any other regulatory requirements imposed on the Development including but not limited to regulatory agreements associated with the Low Income Housing Tax Credits provided by the California Tax Credit Allocation Committee, regulatory agreements associated with financing and subsidies provided by the California Department of Housing and Community Development, and rental subsidies provided to the Development (the "Development Regulatory Documents"). (b) Borrower shall promptly notify the County in writing of the existence of any default under any Development Regulatory Documents, and provide the County copies of any such notice of default. 4.3 Marketing Plan; Tenant Selection Plan. (a) Marketing Plan. (1) No later than six (6) months prior to the date construction of the Development is projected to be complete, Borrower shall submit to the County for approval its plan for marketing the Development to income-eligible households as required by this HOME 13 863\112\3501931.4 Regulatory Agreement (the "Marketing Plan"). The Marketing Plan must include information on affirmative marketing efforts and compliance with fair housing laws and 24 C.F.R. 92.351(a). (2) Upon receipt of the Marketing Plan, the County will promptly review the Marketing Plan and will approve or disapprove it within fifteen (15) days after receipt. If the Marketing Plan is not approved, the County will give Borrower specific reasons for such disapproval and Borrower shall submit a revised Marketing Plan within fifteen (15) days of notification of the County's disapproval. Borrower shall follow this procedure for resubmission of a revised Marketing Plan until the Marketing Plan is approved by the County. If the Borrower does not submit a revised Marketing Plan that is approved by the County at least three (3) months prior to the date construction of the Development is projected to be complete, Borrower will be in default of this HOME Regulatory Agreement. (3) If any HOME-Assisted Units have not been rented in accordance with Section 2.1 above on or before the date that is five (5) months after the Completion Date Borrower shall submit to the County a detailed report of ongoing marketing efforts, and if deemed appropriate by the County, any necessary amendments or updates to the Marketing Plan to cause the vacant HOME-Assisted Units to be rented in compliance with Section 2.1. (4) If any HOME-Assisted Units have not been rented to in accordance with Section 2.1 above on or before the date that is twelve (12) months after the Completion Date Borrower shall submit to the County a detailed report of ongoing marketing efforts, and if deemed appropriate by the County, any necessary amendments or updates to the Marketing Plan to cause the vacant HOME-Assisted Units to be rented in compliance with Section 2.1. (b) Tenant Selection Plan. (1) No later than six (6) months prior to the date construction of the Development is projected to be complete, Borrower shall submit to the County, for its review and approval, Borrower's written tenant selection plan (the "Tenant Selection Plan"). Borrower's Tenant Selection Plan must, at a minimum, meet the requirements for tenant selection set out in 24 C.F.R. 92.253(d), and any modifications thereto. (2) Upon receipt of the Tenant Selection Plan, the County will promptly review the Tenant Selection Plan and will approve or disapprove it within fifteen (15) days after receipt. If the Tenant Selection Plan is not approved, the County will give Borrower specific reasons for such disapproval and Borrower shall submit a revised Tenant Selection Plan within fifteen (15) days of notification of the County's disapproval. Borrower shall follow this procedure for resubmission of a revised Tenant Selection Plan until the Tenant Selection Plan is approved by the County. If the Borrower does not submit a revised Tenant Selection Plan that is approved by the County at least three (3) months prior to the date construction of the Development is projected to be complete, Borrower will be in default of this HOME Regulatory Agreement. 4.4 Lease Provisions. (a) No later than four (4) months prior to the date construction of the 14 863\112\3501931.4 Development is projected to be complete, Borrower shall submit to the County for approval Borrower’s proposed form of lease agreement for the County's review and approval. When leasing Units within the Development, Borrower shall use the form of lease approved by the County. Borrower may not permit the lease to contain any provision that is prohibited by 24 C.F.R. Section 92.253(b) and any amendments thereto. Borrower’s form of lease must include any provisions necessary to comply with the requirements of the Violence Against Women Reauthorization Act of 2013 (Pub. L. 113–4, 127 Stat. 54) applicable to HUD-funded programs. The form of lease must comply with all requirements of this HOME Regulatory Agreement, the other Loan Documents and must, among other matters: (1) provide for termination of the lease for failure to: (i) provide any information required under this HOME Regulatory Agreement or reasonably requested by Borrower to establish or recertify the Tenant's qualification, or the qualification of the Tenant's household, for occupancy in the Development in accordance with the standards set forth in this HOME Regulatory Agreement, or (ii) qualify as an Extremely Low Income Household or a Sixty Percent Income Household, as applicable, as a result of any material misrepresentation made by such Tenant with respect to the income computation; (2) be for an initial term of not less than one (1) year, unless by mutual agreement between the Tenant and Borrower, and provide for no increase in Rent during such year. After the initial year of tenancy, the lease may be month-to-month by mutual agreement of Borrower and the Tenant. Notwithstanding the above, any rent increases are subject to the requirements of Section 2.3 above; and (3) include a provision that requires a Tenant who is residing in a Unit required to be accessible pursuant to Section 3.9(b) of the Loan Agreement, and who is not in need of an accessible Unit to move to a non-accessible Unit when a non-accessible Unit becomes available and another Tenant or prospective Tenant is in need of an accessible Unit. (b) During the HOME Term, Borrower shall comply with the Marketing Plan and Tenant Selection Plan approved by the County. 4.5 Lease Termination. Any termination of a lease or refusal to renew a lease for a HOME-Assisted Unit within the Development must be in conformance with 24 C.F.R. 92.253(c) and the requirements of the Violence Against Women Reauthorization Act of 2013 ((Pub. L. 113–4, 127 Stat. 54) applicable to HUD-funded programs, and must be preceded by not less than thirty (30) days written notice to the Tenant by Borrower specifying the grounds for the action. 4.6 HOME Requirements. (a) Borrower shall comply with all applicable laws and regulations governing the use of the HOME Funds as set forth in 24 C.F.R. Part 92. In the event of any conflict between this HOME Regulatory Agreement and applicable laws and regulations governing the use of the County Loan funds, the applicable laws and regulations govern. (b) The laws and regulations governing the use of the County Loan funds include (but are not limited to) the following: 15 863\112\3501931.4 (1) Environmental and Historic Preservation. 24 C.F.R. Part 58, which prescribes procedures for compliance with the National Environmental Policy Act of 1969 (42 U.S.C. 4321-4361), and the additional laws and authorities listed at 24 C.F.R. 58.5; (2) Applicability of Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. The applicable policies, guidelines, and requirements of 2 C.F.R. Part 200 and 24 C.F.R. 92.505; (3) Debarred, Suspended or Ineligible Contractors. The prohibition on the use of debarred, suspended, or ineligible contractors set forth in 24 C.F.R. Part 24; (4) Civil Rights, Housing and Community Development, and Age Discrimination Acts. The Fair Housing Act (42 U.S.C. 3601 et seq.) and implementing regulations at 24 C.F.R. Part 100; Title VI of the Civil Rights Act of 1964 as amended; Title VIII of the Civil Rights Act of 1968 as amended; Section 104(b) and Section 109 of Title I of the Housing and Community Development Act of 1974 as amended; Section 504 of the Rehabilitation Act of 1973 (29 USC 794, et seq.); the Age Discrimination Act of 1975 (42 USC 6101, et seq.); Executive Order 11063 as amended by Executive Order 12259 and implementing regulations at 24 C.F.R. Part 107; Executive Order 11246 as amended by Executive Orders 11375, 12086, 11478, 12107; Executive Order 11625 as amended by Executive Order 12007; Executive Order 12432; Executive Order 12138 as amended by Executive Order 12608; (5) Lead-Based Paint. The requirement of the Lead-Based Paint Poisoning Prevention Act, as amended (42 U.S.C. 4821 et seq.), the Residential Lead-Based Paint Hazard Reduction Act (42 U.S.C. 4851 et seq.), and implementing regulations at 24 C.F.R. Part 35; (6) Relocation. The requirements of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. 4601, et seq.), and implementing regulations at 49 C.F.R. Part 24; Section 104(d) of the Housing and Community Development Act of 1974 and implementing regulations at 24 C.F.R. 42 et seq. (if applicable); and 24 C.F.R. 92.353; (7) Discrimination against the Disabled. The requirements of the Fair Housing Act (42 U.S.C. 3601 et seq.) and implementing regulations at 24 C.F.R. Part 100; Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794), and federal regulations issued pursuant thereto, which prohibit discrimination against the disabled in any federally assisted program, the requirements of the Architectural Barriers Act of 1968 (42 U.S.C. 4151-4157) and the applicable requirements of Title II and/or Title III of the Americans with Disabilities Act of 1990 (42 U.S.C. 12131 et seq.), and federal regulations issued pursuant thereto; (8) Clean Air and Water Acts. The Clean Air Act, as amended, 42 U.S.C. 7401 et seq., the Federal Water Pollution Control Act, as amended, 33 U.S.C. 1251 et seq., and the regulations of the Environmental Protection Agency with respect thereto, at 40 C.F.R. Part 1500, as amended from time to time; 16 863\112\3501931.4 (9) Training Opportunities. The requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701u and implementing Regulations at 24 C.F.R. 75 ("Section 3"); (i) Pursuant to Section 3, to the greatest extent feasible, and consistent with existing Federal, state, and local laws and regulations Borrower shall ensure: (A) that employment and training opportunities arising in connection with the Development are provided to Section 3 workers within the metropolitan area (or nonmetropolitan county) in which the Development is located. Where feasible, priority for opportunities and training described above should be given to: (i) Section 3 workers residing within the service area or the neighborhood of the project, and (ii) participants in YouthBuild programs; and (B) that contracts for work awarded in connection with the Development are provided to business concerns that provide economic opportunities to Section 3 workers residing within the metropolitan area (or nonmetropolitan county) in which the Development is located. Where feasible, priority for opportunities and training described above should be given to: (i) Section 3 business concerns that provide economic opportunities to Section 3 workers residing within the service area or the neighborhood of the Development, and (ii) participants in YouthBuild programs. (ii) Borrower will be considered to have complied with the Section 3 requirements, in the absence of evidence to the contrary, if it certifies that it has followed the prioritization of effort set forth in subsection (i) above, and meets or exceeds the applicable Section 3 benchmark as described in 24 C.F.R. 75.23(b). (iii) Borrower shall maintain records of its Section 3 activities and cause such records to be accurate and current and in a form that allows the County to comply with the reporting requirements of 24 C.F.R. 75.25. (iv) Borrower shall require all contractors and subcontractors performing work on the Development to comply with the Section 3 requirements. (10) Labor Standards. The labor requirements set forth in 24 C.F.R. 92.354; the prevailing wage requirements of the Davis-Bacon Act and implementing rules and regulations (40 U.S.C. 3141-3148); the Copeland "Anti-Kickback" Act (40 U.S.C. 276(c)) which requires that workers be paid at least once a week without any deductions or rebates except permissible deductions; the Contract Work Hours and Safety Standards Act – CWHSSA (40 U.S.C. 3701-3708) which requires that workers receive "overtime" compensation at a rate of 1-1/2 times their regular hourly wage after they have worked forty (40) hours in one (1) week; and Title 29, Code of Federal Regulations, Subtitle A, Parts 1, 3 and 5 are the regulations and procedures issued by the Secretary of Labor for the administration and enforcement of the Davis- Bacon Act, as amended; (11) Drug Free Workplace. The requirements of the Drug Free Workplace Act of 1988 (P.L. 100-690) and implementing regulations at 24 C.F.R. Part 24; 17 863\112\3501931.4 (12) Anti-Lobbying; Disclosure Requirements. The disclosure requirements and prohibitions of 31 U.S.C. 1352 and implementing regulations at 24 C.F.R. Part 87; (13) Historic Preservation. The historic preservation requirements set forth in the National Historic Preservation Act of 1966, as amended (16 U.S.C. Section 470) and the procedures set forth in 36 C.F.R. Part 800. If archeological, cultural, or historic period resources are discovered during construction, all construction work must come to a halt and Borrower shall immediately notify the County. Borrower shall not shall alter or move the discovered material(s) until all appropriate procedures for "post-review discoveries" set forth in Section 106 of the National Historic Preservation Act have taken place, which include, but are not limited to, consultation with the California State Historic Preservation Officer and evaluation of the discovered material(s) by a qualified professional archeologist; (14) Religious Organizations. If the Borrower is a religious organization, as defined by the HOME requirements, the Borrower shall comply with all conditions prescribed by HUD for the use of HOME Funds by religious organizations, including the First Amendment of the United States Constitution regarding church/state principles and the applicable constitutional prohibitions set forth in 24 C.F.R. 92.257; (15) Violence Against Women. The requirements of the Violence Against Women Reauthorization Act of 2013 (Pub. L. 113–4, 127 Stat. 54) applicable to HUD- funded programs; (16) Conflict of Interest. The conflict of interest provisions set forth in 24 C.F.R. 92.356; and (17) HUD Regulations. Any other HUD regulations present or as may be amended, added, or waived in the future pertaining to the County Loan funds. ARTICLE 5 PROPERTY MANAGEMENT AND MAINTENANCE 5.1 Management Responsibilities. Borrower is responsible for all management functions with respect to the Development, including without limitation the selection of Tenants, certification and recertification of household size and income, evictions, collection of rents and deposits, maintenance, landscaping, routine and extraordinary repairs, replacement of capital items, and security. The County has no responsibility for management of the Development. Borrower shall retain a professional property management company approved by the County in its reasonable discretion to perform Borrower's management duties hereunder. An on-site property management representative is required to reside at the Property. 5.2 Management Agent. Borrower shall cause the Development to be managed by an experienced management agent reasonably acceptable to the County, with a demonstrated ability to operate residential facilities like the Development in a manner that will provide decent, safe, and sanitary housing (the "Management Agent"). The County has approved Satellite Affordable Housing Associates Property Management as the Management Agent. Borrower shall submit for 18 863\112\3501931.4 the County's approval the identity of any proposed subsequent management agent. Borrower shall also submit such additional information about the background, experience and financial condition of any proposed management agent as is reasonably necessary for the County to determine whether the proposed management agent meets the standard for a qualified management agent set forth above. If the proposed management agent meets the standard for a qualified management agent set forth above, the County shall approve the proposed management agent by notifying Borrower in writing. Unless the proposed management agent is disapproved by the County within thirty (30) days, which disapproval is to state with reasonable specificity the basis for disapproval, it shall be deemed approved. 5.3 Periodic Performance Review. The County reserves the right to conduct an annual (or more frequently, if deemed necessary by the County) review of the management practices and financial status of the Development. The purpose of each periodic review will be to enable the County to determine if the Development is being operated and managed in accordance with the requirements and standards of this HOME Regulatory Agreement. Borrower shall cooperate with the County in such reviews. 5.4 Replacement of Management Agent. If, as a result of a periodic review, the County determines in its reasonable judgment that the Development is not being operated and managed in accordance with any of the material requirements and standards of this HOME Regulatory Agreement, the County shall deliver notice to Borrower of its intention to cause replacement of the Management Agent, including the reasons therefor. Within fifteen (15) days after receipt by Borrower of such written notice, the County staff and Borrower shall meet in good faith to consider methods for improving the financial and operating status of the Development, including, without limitation, replacement of the Management Agent. If, after such meeting, County staff recommends in writing the replacement of the Management Agent, Borrower shall promptly dismiss the then-current Management Agent, and shall appoint as the Management Agent a person or entity meeting the standards for a management agent set forth in Section 5.2 above and approved by the County pursuant to Section 5.2 above. Any contract for the operation or management of the Development entered into by Borrower shall provide that the Management Agent may be dismissed and the contract terminated as set forth above. Failure to remove the Management Agent in accordance with the provisions of this Section constitutes a default under this HOME Regulatory Agreement, and the County may enforce this provision through legal proceedings as specified in Section 6.5 below. 5.5 Approval of Management Policies. Borrower shall submit its written management policies with respect to the Development to the County for its review, and shall amend such policies in any way necessary to ensure that such policies comply with the provisions of this HOME Regulatory Agreement. 5.6 Property Maintenance. (a) Borrower shall maintain, for the entire HOME Term of this HOME Regulatory Agreement, all interior and exterior improvements, including landscaping: (i) in 19 863\112\3501931.4 decent, safe and sanitary condition, (ii) in good condition and repair, and (iii) free of all health and safety defects. Such maintenance must be in accordance with: (i) 24 C.F.R. Section 92.251, (ii) the lead-based paint requirements in 24 C.F.R. part 35, and (iii) all applicable laws, rules, ordinances, orders and regulations of all federal, state, county, municipal, and other governmental agencies and bodies having or claiming jurisdiction and all their respective departments, bureaus, and officials, (collectively, the "Maintenance Standards"). Borrower shall correct any life-threatening maintenance deficiencies, including those set forth in the Maintenance Standards immediately upon notification. (b) At the beginning of each year of the HOME Term, Borrower shall certify to the County that the Development is in compliance with the Maintenance Standards. 5.7 Property Inspections. (a) On-Site Physical Inspections. The County will perform on-site inspections of the Development during the HOME Term to ensure compliance with the Maintenance Standards. The County will perform an on-site inspection within twelve months after completion of construction of the Development and at least once every three (3) years during the HOME Term. If the Development is found to have health and safety violations, the County may perform more frequent inspections. Borrower shall cooperate in such inspections. (b) Violation of Maintenance Standards. If after an inspection, the County determines that Borrower is in violation of the Maintenance Standards, the County will provide Borrower a written report of the violations. Borrower shall correct the violations set forth in the report provided to Borrower by County. The County will perform a follow-up inspection to verify that the violations have been corrected. If such violations continue for a period of ten (10) days after delivery of the report to Borrower by the County with respect to graffiti, debris, waste material, and general maintenance, or thirty (30) days after delivery of the report to Borrower by the County with respect to landscaping and building improvements, then the County, in addition to whatever other remedy it may have at law or in equity, has the right to enter upon the Property and perform or cause to be performed all such acts and work necessary to cure the violation. Pursuant to such right of entry, the County is permitted (but is not required) to enter upon the Property and to perform all acts and work necessary to protect, maintain, and preserve the improvements and landscaped areas on the Property, and to attach a lien on the Property, or to assess the Property, in the amount of the expenditures arising from such acts and work of protection, maintenance, and preservation by the County and/or costs of such cure, which amount Borrower shall promptly pay to the County upon demand. ARTICLE 6 MISCELLANEOUS 6.1 Transfers. (a) For purposes of this Agreement, "Transfer" means any sale, assignment, or transfer, whether voluntary or involuntary, of: (i) any rights and/or duties under the Loan Documents; and/or (ii) any interest in the Development, including (but not limited to) a fee 20 863\112\3501931.4 simple interest, a joint tenancy interest, a life estate, a partnership interest, a leasehold interest, a security interest, or an interest evidenced by a land contract by which possession of the Development is transferred and Borrower retains title. The term "Transfer" excludes the leasing of any single unit in the Development to an occupant in compliance with this HOME Regulatory Agreement. The County Director – Department of Conservation and Development is authorized to execute assignment and assumption agreements on behalf of the County to implement any approved Transfer. (b) Except as otherwise permitted in this Section 6.1, no Transfer is permitted without the prior written consent of the County, which the County may withhold in its sole discretion. The County Loan will automatically accelerate and be due in full upon any Transfer made without the prior written consent of the County. (c) The County hereby approves the admission of the Investor Limited Partner to Borrower as a limited partner. The County hereby approves future Transfers of the limited partner interest of Borrower provided that: (i) such Transfers do not affect the timing and amount of the Investor Limited Partner capital contributions provided for in the Partnership Agreement; and (ii) in subsequent Transfers, the Investor Limited Partner or an affiliate thereof, retains a membership or partnership interest and serves as a managing member or managing general partner of the successor limited partner. (d) The County hereby approves a Transfer of the Property from Borrower to SAHA, or an affiliate of SAHA, and an assumption of the County Loan by such transferee at or prior to the end of the Fifteen Year Compliance Period, provided that: (i) such Transfer is pursuant to an option or right of first refusal agreement referenced in the Partnership Agreement, (ii) the assignment and assumption agreement evidencing such Transfer requires the transferee to expressly assume the obligations of Borrower under the Loan Documents, and (iii) the County is provided executed copies of all documents evidencing the Transfer. (e) The County hereby approves the purchase of the Investor Limited Partner interest by SAHA, or an affiliate of SAHA at or prior to the end of the Fifteen Year Compliance Period, provided that (i) such Transfer is pursuant to an option or right of first refusal agreement referenced in the Partnership Agreement, and (ii) the County is provided executed copies of all documents evidencing the Transfer. (f) In the event the general partner of Borrower is removed by the limited partner of Borrower for cause following default under the Partnership Agreement, the County hereby approves the Transfer of the general partner interest to (i) a 501(c)(3) tax exempt nonprofit corporation or other entity with a 501(c)(3) tax exempt nonprofit corporation member or partner, that is selected by the Investor Limited Partner and approved by the County, and (ii) the Investor Limited Partner or an affiliate thereof, but only for a period not to exceed ninety (90) days from the date of removal of the general partner, during which time such entity shall diligently seek a replacement general partner meeting the requirements of subsection (i) above. (g) The County hereby approves the grant of the security interests in the Development for Approved Financing as such term is defined in Section 1.1(g) of the Loan Agreement. 21 863\112\3501931.4 6.2 Nondiscrimination. (a) All of the Units must be available for occupancy on a continuous basis to members of the general public who are income eligible. Borrower may not give preference to any particular class or group of persons in renting or selling the Units, except to the extent that the Units are required to be leased to income eligible households or veterans pursuant to this HOME Regulatory Agreement or any Development Regulatory Document. Borrower herein covenants by and for Borrower, assigns, and all persons claiming under or through Borrower, that there exist no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, sexual orientation, marital status, national origin, source of income (e.g., SSI), ancestry, age, familial status (except for lawful senior housing in accordance with state and federal law), or disability, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of any unit nor will Borrower or any person claiming under or through Borrower, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees of any unit or in connection with the employment of persons for the construction, operation and management of any unit. (b) Borrower shall accept as Tenants, on the same basis as all other prospective Tenants, persons who are recipients of federal certificates for rent subsidies pursuant to the existing housing program under Section 8 of the United States Housing Act, or its successor. Borrower may not apply selection criteria to Section 8 certificate or voucher holders that is more burdensome than criteria applied to all other prospective Tenants, nor will Borrower apply or permit the application of management policies or lease provisions with respect to the Development which have the effect of precluding occupancy of units by such prospective Tenants. 6.3 Application of Provisions. The provisions of this HOME Regulatory Agreement apply to the Property for the entire HOME Term even if the County Loan is paid in full prior to the end of the HOME Term. This HOME Regulatory Agreement binds any successor, heir or assign of Borrower, whether a change in interest occurs voluntarily or involuntarily, by operation of law or otherwise, except as expressly released by the County. The County is making the County Loan on the condition, and in consideration of, this provision, and would not do so otherwise. 6.4 Covenants to Run With the Land. The County and Borrower hereby declare their express intent that the covenants and restrictions set forth in this HOME Regulatory Agreement run with the land, and bind all successors in title to the Property, provided, however, that on the expiration of the HOME Term said covenants and restrictions expire. Each and every contract, deed or other instrument hereafter executed covering or conveying the Property or any portion thereof, is to be held conclusively to have been executed, delivered and accepted subject to the covenants and restrictions, regardless of whether such covenants or restrictions are set forth in such contract, deed or other instrument, unless the County expressly releases such conveyed portion of the Property from the requirements of this HOME Regulatory Agreement. 22 863\112\3501931.4 6.5 Enforcement by the County. (a) If Borrower fails to perform any obligation under this HOME Regulatory Agreement, and fails to cure the default within thirty (30) days after the County has notified Borrower in writing of the default, the County may enforce this HOME Regulatory Agreement by any or all of the following actions, or any other remedy provided by law: (1) Calling the County Loan. The County may declare a default under the Loan Documents, accelerate the indebtedness evidenced by the Loan Documents, and proceed with foreclosure under the Deed of Trust. (2) Action to Compel Performance or for Damages. The County may bring an action at law or in equity to compel Borrower's performance of its obligations under this HOME Regulatory Agreement, and may seek damages. (3) Remedies Provided Under Loan Documents. The County may exercise any other remedy provided under the Loan Documents. (b) The County shall provide notice of a default to the Investor Limited Partner and any limited partner of Borrower who has requested written notice from the County in the manner set forth in Section 6.5 of the Loan Agreement, and the Investor Limited Partner shall have the right, but not the obligation, to cure any default under this HOME Regulatory Agreement and the County shall accept such cure on behalf of the Borrower. 6.6 Anti-Lobbying Certification. (a) Borrower certifies, to the best of Borrower's knowledge or belief, that: (1) No Federal appropriated funds have been paid or will be paid, by or on behalf of it, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement; (2) If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, grant, loan, or cooperative agreement, it will complete and submit Standard Form-LLL, Disclosure Form to Report Lobbying, in accordance with its instructions. (b) This certification is a material representation of fact upon which reliance was placed when the Loan Documents were made or entered into. Submission of this certification is a prerequisite for making or entering into the Loan Documents imposed by Section 1352, Title 31, U.S. Code. Any person who fails to file the required certification shall be 23 863\112\3501931.4 subject to a civil penalty of not less than Ten Thousand Dollars ($10,000) and no more than One Hundred Thousand Dollars ($100,000) for such failure. 6.7 Recording and Filing. The County and Borrower shall cause this HOME Regulatory Agreement, and all amendments and supplements to it, to be recorded in the Official Records of the County of Contra Costa. 6.8 Governing Law. This HOME Regulatory Agreement is governed by the laws of the State of California. 6.9 Waiver of Requirements. Any of the requirements of this HOME Regulatory Agreement may be expressly waived by the County in writing, but no waiver by the County of any requirement of this HOME Regulatory Agreement extends to or affects any other provision of this HOME Regulatory Agreement, and may not be deemed to do so. 6.10 Amendments. This HOME Regulatory Agreement may be amended only by a written instrument executed by all the parties hereto or their successors in title that is duly recorded in the official records of the County of Contra Costa. 6.11 Notices. Any notice requirement set forth herein will be deemed to be satisfied three (3) days after mailing of the notice first-class United States certified mail, postage prepaid, addressed to the appropriate party as follows: County: County of Contra Costa Department of Conservation and Development 30 Muir Road Martinez, CA 94553 Attn: Assistant Deputy Director Borrower: Pinole Housing, L.P. c/o Satellite Affordable Housing Associates 1835 Alcatraz Avenue Berkeley, CA 94703 Attention: Chief Executive Officer With a copy to: Gubb & Barshay LLP 235 Montgomery Street, Suite 1110 San Francisco, CA 94104 Attention: Erica Williams Orcharton Investor Limited Partner: RJ MT Pinole Housing L.L.C. c/o Raymond James Affordable Housing Investments, Inc. 880 Carillon Parkway St. Petersburg, Florida 33716 Facsimile No.: 727-567-8455 Attention: Steven J. Kropf, President Email Address: Steve.Kropf@RaymondJames.com 24 863\112\3501931.4 with a copy to: Nixon Peabody LLP Exchange Place 53 State Street Boston, MA 02109 Attn: Nathan A. Bernard Email Address: nbernard@nixonpeabody.com Such addresses may be changed by notice to the other party given in the same manner as provided above. 6.12 Severability. If any provision of this HOME Regulatory Agreement is determined by a court of competent jurisdiction to be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining portions of this HOME Regulatory Agreement will not in any way be affected or impaired thereby. 6.13 Multiple Originals; Counterparts. This HOME Regulatory Agreement may be executed in multiple originals, each of which is deemed to be an original, and may be signed in counterparts. 6.14 Revival of Agreement after Foreclosure. In the event there is a foreclosure of the Property, this HOME Regulatory Agreement will revive according to its original terms if, during the HOME Term, the owner of record before the foreclosure, or deed in lieu of foreclosure, or any entity that includes the former owner or those with whom the former owner has or had family or business ties, obtains an ownership interest in the Development or Property. 6.15 County Regulatory Agreement. The County and Borrower are entering into this HOME Regulatory Agreement concurrently with the County Regulatory Agreement. The County Regulatory Agreement as it applies to the HOME-Assisted Units will be in effect for fifty-five (55) years from the Completion Date which term overlaps with but is longer than the HOME Term. Compliance with the terms of this HOME Regulatory Agreement will be deemed compliance with the County Regulatory Agreement during the HOME Term as it applies to the HOME-Assisted Units. In the event of a conflict between this HOME Regulatory Agreement and the County Regulatory Agreement during the HOME Term as it applies to the HOME- Assisted Units, the terms of this HOME Regulatory Agreement will prevail. [remainder of page intentionally left blank] [signatures on following pages] 25 Signature page HOME Regulatory Agreement 863\112\3501931.4 WHEREAS, this HOME Regulatory Agreement has been entered into by the undersigned as of the date first written above. COUNTY: COUNTY OF CONTRA COSTA, a political subdivision of the State of California By: __________________ John Kopchik Director, Department of Conservation and Development Approved as to form: THOMAS L. GEIGER County Counsel By: Kathleen Andrus Deputy County Counsel BORROWER: PINOLE HOUSING, L.P., a California limited partnership By: Pinole Housing LLC, a California limited liability company, its general partner By: Satellite Affordable Housing Associates, a California nonprofit public benefit corporation, its sole member and manager By: ____________________________ Susan Friedland, Chief Executive Officer 863\112\3501931.4 STATE OF CALIFORNIA ) ) COUNTY OF __________________ ) On ____________________, before me, ___________________________, Notary Public, personally appeared ______________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ______________________________________ Name: ______________________________ Notary Public A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 863\112\3501931.4 STATE OF CALIFORNIA ) ) COUNTY OF __________________ ) On ____________________, before me, ___________________________, Notary Public, personally appeared ______________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ______________________________________ Name: ______________________________ Notary Public A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. A-1 863\112\3501931.4 EXHIBIT A Legal Description The land referred to is situated in the County of Contra Costa, City of Pinole, State of California, and is described as follows: PARCEL ONE: Portion Lot "C", Map of Dohrmann Ranch, filed December 21, 1895, Map Book "E", Page 115, Contra Costa County Records, described as follows: Beginning on the South line of San Pablo Avenue, at the West line of the parcel of land described in the Deed to Claude C. Orr, recorded November 29, 1946, Book 964 Official Records, Page 391; thence from said point of beginning along the West and South lines of said Orr Parcel, South 9° 37' West, 129.31 feet and South 80° 23' East, 4 feet; thence South 9° 37' West, 35.90 feet to the Northwest corner of Lot 35, as shown on the Map of Meadow Parcel, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records; thence along the exterior lines of said Meadow Park Unit No. 1, North 80° 23' West, 110 feet and South 50° 27' West, 110.53 feet to an angle point therein, being on the West line of said Lot C; thence North 19° 08' East, along said West line, 224.37 feet to the South line of said San Pablo Avenue; thence Easterly along said South line, along the arc of a curve to the right with a radius of 2,950 feet, the center of which bears South 2° 51' 06" East, an arc distance of 143.72 feet to the point of beginning. Excepting from Parcel One: All that portion thereof conveyed in the Deed to Frank A. Archambault, et ux, recorded July 21, 1957, Book 3002 Official Records, Page 174. PARCEL TWO: Portion of Lot 33, Map of Meadow Park, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records, described as follows: Beginning at the Northeast corner of said Lot 33; thence from said point of beginning along the North line of said Lot 33, North 79° 19' 10" West, 50 feet (the bearing of North 79° 19' 10" West being taken for the purpose of this description) and South 51° 30' 50" West, 62.97 feet; thence North 76° 09' 30" East, 100.25 feet to the East line of said Lot 33, distant thereon South 10° 26' 36" West, 6.04 feet from the Northeast corner thereof; thence North 10° 26' 36" East, along said East line, 6.04 feet to the point of beginning. PARCEL THREE: A right of way (not to be exclusive) as an appurtenance to Parcels One and Two above, for use as a roadway for vehicles of all kinds, pedestrians and animals, for water, gas, oil and sewer pipe A-2 863\112\3501931.4 lines, and for telephone, television service, electric light and power lines, together with the necessary poles or conduits, over a portion of Lot C, Map of Dohrmann Ranch, filed December 21, 1895, Map Book "E", Page 115, Contra Costa County Records, being a strip of land 15 feet in width, the North line of which is described as follows: Beginning on the West line of Meadow Avenue, as shown on the Map of Meadow Park, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records, at the South line of the parcel of land described in the Deed to Claude C. Orr, recorded November 29, 1946, in Book 964 Official Records, Page 391; thence from said point of beginning, North 80° 23' West, along said South line, 60 feet to an East line of Parcel One above. APN: 402-166-030 863\112\3501147.4 1 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: Contra Costa County Department of Conservation and Development 30 Muir Road Martinez, CA 94553 Attn: Assistant Deputy Director No fee for recording pursuant to Government Code Sections 27383 and 27388.1 DEED OF TRUST WITH ASSIGNMENT OF RENTS, SECURITY AGREEMENT, AND FIXTURE FILING (Pinole Housing) THIS DEED OF TRUST WITH ASSIGNMENT OF RENTS, SECURITY AGREEMENT, AND FIXTURE FILING ("Deed of Trust") is made as of May 1, 2023, by and among Pinole Housing, L.P., a California limited partnership ("Trustor"), Old Republic Title Company, a California corporation ("Trustee"), and the County of Contra Costa, a political subdivision of the State of California ("Beneficiary"). FOR GOOD AND VALUABLE CONSIDERATION, including the indebtedness herein recited and the trust herein created, the receipt of which is hereby acknowledged, Trustor hereby irrevocably grants, transfers, conveys and assigns to Trustee, IN TRUST, WITH POWER OF SALE, for the benefit and security of Beneficiary, under and subject to the terms and conditions hereinafter set forth, Trustor's fee interest in the property located in the County of Contra Costa, State of California, that is described in the attached Exhibit A, incorporated herein by this reference (the "Property"). TOGETHER WITH all interest, estates or other claims, both in law and in equity which Trustor now has or may hereafter acquire in the Property and the rents; TOGETHER WITH all easements, rights-of-way and rights used in connection therewith or as a means of access thereto, including (without limiting the generality of the foregoing) all tenements, hereditaments and appurtenances thereof and thereto; TOGETHER WITH any and all buildings and improvements of every kind and description now or hereafter erected thereon, and all property of Trustor now or hereafter affixed to or placed upon the Property; TOGETHER WITH all building materials and equipment now or hereafter delivered to said property and intended to be installed therein; TOGETHER WITH all right, title and interest of Trustor, now owned or hereafter acquired, in and to any land lying within the right-of-way of any street, open or proposed, 863\112\3501147.4 2 adjoining the Property, and any and all sidewalks, alleys and strips and areas of land adjacent to or used in connection with the Property; TOGETHER WITH all estate, interest, right, title, other claim or demand, of every nature, in and to such property, including the Property, both in law and in equity, including, but not limited to, all deposits made with or other security given by Trustor to utility companies, the proceeds from any or all of such property, including the Property, claims or demands with respect to the proceeds of insurance in effect with respect thereto, which Trustor now has or may hereafter acquire, any and all awards made for the taking by eminent domain or by any proceeding or purchase in lieu thereof of the whole or any part of such property, including without limitation, any awards resulting from a change of grade of streets and awards for severance damages to the extent Beneficiary has an interest in such awards for taking as provided in Paragraph 4.1 herein; TOGETHER WITH all of Trustor's interest in all articles of personal property or fixtures now or hereafter attached to or used in and about the building or buildings now erected or hereafter to be erected on the Property which are necessary to the complete and comfortable use and occupancy of such building or buildings for the purposes for which they were or are to be erected, including all other goods and chattels and personal property as are ever used or furnished in operating a building, or the activities conducted therein, similar to the one herein described and referred to, and all renewals or replacements thereof or articles in substitution therefor, whether or not the same are, or will be, attached to said building or buildings in any manner; and TOGETHER WITH all of Trustor's interest in all building materials, fixtures, equipment, work in process and other personal property to be incorporated into the Property; all goods, materials, supplies, fixtures, equipment, machinery, furniture and furnishings, signs and other personal property now or hereafter appropriated for use on the Property, whether stored on the Property or elsewhere, and used or to be used in connection with the Property; all rents, issues and profits, and all inventory, accounts, accounts receivable, contract rights, general intangibles, chattel paper, instruments, documents, notes drafts, letters of credit, insurance policies, insurance and condemnation awards and proceeds, trade names, trademarks and service marks arising from or related to the Property and any business conducted thereon by Trustor; all replacements, additions, accessions and proceeds; and all books, records and files relating to any of the foregoing. All of the foregoing, together with the Property, is herein referred to as the "Security." To have and to hold the Security together with acquittances to the Trustee, its successors and assigns forever. FOR THE PURPOSE OF SECURING THE FOLLOWING OBLIGATIONS (together, the "Secured Obligations"): A. Payment to Beneficiary of all sums at any time owing under or in connection with (i) the Note (defined in Section 1.6 below) until paid in full or cancelled, and (ii) any other amounts owing under the Loan Documents (defined in Section 1.5 below). Principal and other payments are due and payable as provided in the Note or other Loan Documents, as applicable. 863\112\3501147.4 3 The Note and all its terms are incorporated herein by reference, and this conveyance secures any and all extensions thereof, however evidenced; B. Payment of any sums advanced by Beneficiary to protect the Security pursuant to the terms and provisions of this Deed of Trust following a breach of Trustor's obligation to advance said sums and the expiration of any applicable cure period, with interest thereon as provided herein; C. Performance of every obligation, covenant or agreement of Trustor contained herein and in the Loan Documents; and D. All modifications, extensions and renewals of any of the Secured Obligations (including without limitation, (i) modifications, extensions or renewals at a different rate of interest, or (ii) deferrals or accelerations of the required principal payment dates or interest payment dates or both, in whole or in part), however evidenced, whether or not any such modification, extension or renewal is evidenced by a new or additional promissory note or notes. AND TO PROTECT THE SECURITY OF THIS DEED OF TRUST, TRUSTOR COVENANTS AND AGREES: ARTICLE 1 DEFINITIONS In addition to the terms defined elsewhere in this Deed of Trust, the following terms have the following meanings in this Deed of Trust: Section 1.1 The term "Default Rate" means the lesser of the maximum rate permitted by law and ten percent (10%) per annum. Section 1.2 The term "Intercreditor Agreement" means that certain Subordination and Intercreditor Agreement of even date herewith, among Trustor, Beneficiary, and the City of Pinole, recorded concurrently herewith. Section 1.3 The term "Loan" means the loan made by Beneficiary to Trustor in the amount of Two Million Six Hundred Thirty-Six Thousand Two Hundred Eighty Dollars ($2,636,280). Section 1.4 The term "Loan Agreement" means that certain Development Loan Agreement between Trustor and Beneficiary, of even date herewith, as such may be amended from time to time, providing for the Beneficiary to loan to Trustor the Loan. Section 1.5 The term "Loan Documents" means this Deed of Trust, the Note, the Loan Agreement, the Intercreditor Agreement, the Regulatory Agreement, and any other agreements, debt, loan or security instruments between Trustor and Beneficiary relating to the Loan. Section 1.6 The term "Note" means the promissory note of even date herewith, executed by Trustor in favor of Beneficiary, as it may be amended or restated in the amount of 863\112\3501147.4 4 the Loan, the payment of which is secured by this Deed of Trust. The terms and provisions of the Note are incorporated herein by reference. Section 1.7 The term "Principal" means the amounts required to be paid under the Note. Section 1.8 The term "Regulatory Agreement" means collectively, the following documents of even date herewith by and between Beneficiary and Trustor and recorded concurrently herewith: (i) the County Regulatory Agreement and Declaration of Restrictive Covenants; and (ii) the HOME Regulatory Agreement and Declaration of Restrictive Covenants. ARTICLE 2 MAINTENANCE AND MODIFICATION OF THE PROPERTY AND SECURITY Section 2.1 Maintenance and Modification of the Property by Trustor. The Trustor agrees that at all times prior to full payment and performance of the Secured Obligations, the Trustor will, at the Trustor's own expense, maintain, preserve and keep the Security or cause the Security to be maintained and preserved in good condition. The Trustor will from time to time make or cause to be made all repairs, replacements and renewals deemed proper and necessary by it. The Beneficiary has no responsibility in any of these matters or for the making of improvements or additions to the Security. Trustor agrees to pay fully and discharge (or cause to be paid fully and discharged) all claims for labor done and for material and services furnished in connection with the Security, diligently to file or procure the filing of a valid notice of cessation upon the event of a cessation of labor on the work or construction on the Security for a continuous period of thirty (30) days or more, and to take all other reasonable steps to forestall the assertion of claims of lien against the Security or any part thereof. Trustor irrevocably appoints, designates and authorizes Beneficiary as its agent (said agency being coupled with an interest) with the authority, but without any obligation, to file for record any notices of completion or cessation of labor or any other notice that Beneficiary deems necessary or desirable to protect its interest in and to the Security or the Loan Documents; provided, however, that Beneficiary exercises its rights as agent of Trustor only in the event that Trustor fails to take, or fails to diligently continue to take, those actions as hereinbefore provided. Upon demand by Beneficiary, Trustor shall make or cause to be made such demands or claims as Beneficiary specifies upon laborers, materialmen, subcontractors or other persons who have furnished or claim to have furnished labor, services or materials in connection with the Security. Nothing herein contained requires Trustor to pay any claims for labor, materials or services which Trustor in good faith disputes and is diligently contesting provided that Trustor shall, within thirty (30) days after the filing of any claim of lien, record in the Office of the Recorder of Contra Costa County, a surety bond in an amount 1 and 1/2 times the amount of such claim item to protect against a claim of lien. 863\112\3501147.4 5 Section 2.2 Granting of Easements. Trustor may not grant easements, licenses, rights-of-way or other rights or privileges in the nature of easements with respect to any property or rights included in the Security except those required or desirable for installation and maintenance of public utilities including, without limitation, water, gas, electricity, sewer, telephone and telegraph, or those required by law, and as approved, in writing, by Beneficiary. Section 2.3 Assignment of Rents. As part of the consideration for the indebtedness evidenced by the Note, Trustor hereby absolutely and unconditionally assigns and transfers to Beneficiary all the rents and revenues of the Property including those now due, past due, or to become due by virtue of any lease or other agreement for the occupancy or use of all or any part of the Property, regardless of to whom the rents and revenues of the Property are payable, subject to the rights of senior lenders that are approved by the Beneficiary pursuant to the Loan Agreement. Trustor hereby authorizes Beneficiary or Beneficiary's agents to collect the aforesaid rents and revenues and hereby directs each tenant of the Property to pay such rents to Beneficiary or Beneficiary's agents; provided, however, that prior to written notice given by Beneficiary to Trustor of the breach by Trustor of any covenant or agreement of Trustor in the Loan Documents, Trustor shall collect and receive all rents and revenues of the Property as trustee for the benefit of Beneficiary and Trustor to apply the rents and revenues so collected to the Secured Obligations with the balance, so long as no such breach has occurred and is continuing, to the account of Trustor, it being intended by Trustor and Beneficiary that this assignment of rents constitutes an absolute assignment and not an assignment for additional security only. Upon delivery of written notice by Beneficiary to Trustor of the breach by Trustor of any covenant or agreement of Trustor in the Loan Documents, and without the necessity of Beneficiary entering upon and taking and maintaining full control of the Property in person, by agent or by a court-appointed receiver, Beneficiary shall immediately be entitled to possession of all rents and revenues of the Property as specified in this Section 2.3 as the same becomes due and payable, including but not limited to, rents then due and unpaid, and all such rents will immediately upon delivery of such notice be held by Trustor as trustee for the benefit of Beneficiary only; provided, however, that the written notice by Beneficiary to Trustor of the breach by Trustor contains a statement that Beneficiary exercises its rights to such rents. Trustor agrees that commencing upon delivery of such written notice of Trustor's breach by Beneficiary to Trustor, each tenant of the Property shall make such rents payable to and pay such rents to Beneficiary or Beneficiary's agents on Beneficiary's written demand to each tenant therefor, delivered to each tenant personally, by mail or by delivering such demand to each rental unit, without any liability on the part of said tenant to inquire further as to the existence of a default by Trustor. Trustor hereby covenants that Trustor has not executed any prior assignment of said rents, other than as security to lenders approved by Beneficiary pursuant to the Loan Agreement, that Trustor has not performed, and will not perform, any acts or has not executed and will not execute, any instrument which would prevent Beneficiary from exercising its rights under this Section 2.3, and that at the time of execution of this Deed of Trust, there has been no anticipation or prepayment of any of the rents of the Property for more than two (2) months prior to the due dates of such rents. Trustor covenants that Trustor will not hereafter collect or accept payment 863\112\3501147.4 6 of any rents of the Property more than two (2) months prior to the due dates of such rents. Trustor further covenants that, so long as the Secured Obligations are outstanding, Trustor will execute and deliver to Beneficiary such further assignments of rents and revenues of the Property as Beneficiary may from time to time request. Upon Trustor's breach of any covenant or agreement of Trustor in the Loan Documents, Beneficiary may in person, by agent or by a court-appointed receiver, regardless of the adequacy of Beneficiary's security, enter upon and take and maintain full control of the Property in order to perform all acts necessary and appropriate for the operation and maintenance thereof including, but not limited to, the execution, cancellation or modification of leases, the collection of all rents and revenues of the Property, the making of repairs to the Property and the execution or termination of contracts providing for the management or maintenance of the Property, all on such terms as are deemed best to protect the security of this Deed of Trust. In the event Beneficiary elects to seek the appointment of a receiver for the Property upon Trustor's breach of any covenant or agreement of Trustor in this Deed of Trust, Trustor hereby expressly consents to the appointment of such receiver. Beneficiary or the receiver will be entitled to receive a reasonable fee for so managing the Property. All rents and revenues collected subsequent to delivery of written notice by Beneficiary to Trustor of the breach by Trustor of any covenant or agreement of Trustor in the Loan Documents are to be applied first to the costs, if any, of taking control of and managing the Property and collecting the rents, including, but not limited to, attorney's fees, receiver's fees, premiums on receiver's bonds, costs of repairs to the Property, premiums on insurance policies, taxes, assessments and other charges on the Property, and the costs of discharging any obligation or liability of Trustor as lessor or landlord of the Property and then to the sums secured by this deed of Trust. Beneficiary or the receiver is to have access to the books and records used in the operation and maintenance of the Property and will be liable to account only for those rents actually received. Beneficiary is not liable to Trustor, anyone claiming under or through Trustor or anyone having an interest in the Property by reason of anything done or left undone by Beneficiary under this Section 2.3. If the rents of the Property are not sufficient to meet the costs, if any, of taking control of and managing the Property and collecting the rents, any funds expended by Beneficiary for such purposes will become part of the Secured Obligations pursuant to Section 3.3 hereof. Unless Beneficiary and Trustor agree in writing to other terms of payment, such amounts are payable by Trustor to Beneficiary upon notice from Beneficiary to Trustor requesting payment thereof and will bear interest from the date of disbursement at the rate stated in Section 3.3. If the Beneficiary or the receiver enters upon and takes and maintains control of the Property, neither that act nor any application of rents as provided herein will cure or waive any default under this Deed of Trust or invalidate any other right or remedy available to Beneficiary under applicable law or under this Deed of Trust. This assignment of rents of the Property will terminate at such time as this Deed of Trust ceases to secure the Secured Obligations. 863\112\3501147.4 7 ARTICLE 3 TAXES AND INSURANCE; ADVANCES Section 3.1 Taxes, Other Governmental Charges and Utility Charges. Trustor shall pay, or cause to be paid, prior to the date of delinquency, all taxes, assessments, charges and levies imposed by any public authority or utility company that are or may become a lien affecting the Security or any part thereof; provided, however, that Trustor is not required to pay and discharge any such tax, assessment, charge or levy so long as (a) the legality thereof is promptly and actively contested in good faith and by appropriate proceedings, and (b) Trustor maintains reserves adequate to pay any liabilities contested pursuant to this Section 3.1. With respect to taxes, special assessments or other similar governmental charges, Trustor shall pay such amount in full prior to the attachment of any lien therefor on any part of the Security; provided, however, if such taxes, assessments or charges can be paid in installments, Trustor may pay in such installments. Except as provided in clause (b) of the first sentence of this paragraph, the provisions of this Section 3.1 may not be construed to require that Trustor maintain a reserve account, escrow account, impound account or other similar account for the payment of future taxes, assessments, charges and levies. In the event that Trustor fails to pay any of the items required by this Section to be paid by Trustor, Beneficiary may (but is under no obligation to) pay the same, after the Beneficiary has notified the Trustor of such failure to pay and the Trustor fails to fully pay such items within seven (7) business days after receipt of such notice. Any amount so advanced therefor by Beneficiary, together with interest thereon from the date of such advance at the maximum rate permitted by law, will become part of the Secured Obligations secured hereby, and Trustor agrees to pay all such amounts. Section 3.2 Provisions Respecting Insurance. Trustor agrees to provide insurance conforming in all respects to that required under the Loan Documents during the course of construction and following completion, and at all times until all amounts secured by this Deed of Trust have been paid, all Secured Obligations secured hereunder have been fulfilled, and this Deed of Trust has been reconveyed. All such insurance policies and coverages are to be maintained at Trustor's sole cost and expense. Certificates of insurance for all of the above insurance policies, showing the same to be in full force and effect, are to be delivered to the Beneficiary upon demand therefor at any time prior to Trustor's satisfaction of the Secured Obligations. Section 3.3 Advances. In the event the Trustor fails to maintain the full insurance coverage required by this Deed of Trust or fails to keep the Security in accordance with the Loan Documents, the Beneficiary, after at least seven (7) days prior notice to Trustor, may (but is under no obligation to) (i) take out the required policies of insurance and pay the premiums on the same, and (ii) make any repairs or replacements that are necessary and provide for payment thereof. All 863\112\3501147.4 8 amounts so advanced by the Beneficiary will become part of the Secured Obligations (together with interest as set forth below) and will be secured hereby, which amounts the Trustor agrees to pay on the demand of the Beneficiary, and if not so paid, will bear interest from the date of the advance at the Default Rate. ARTICLE 4 DAMAGE, DESTRUCTION OR CONDEMNATION Section 4.1 Awards and Damages. Subject to the rights of senior lenders, all judgments, awards of damages, settlements and compensation made in connection with or in lieu of (1) the taking of all or any part of or any interest in the Property by or under assertion of the power of eminent domain, (2) any damage to or destruction of the Property or any part thereof by insured casualty, and (3) any other injury or damage to all or any part of the Property (collectively, the "Funds") are hereby assigned to and are to be paid to the Beneficiary by a check made payable to the Beneficiary. The Beneficiary is authorized and empowered (but not required) to collect and receive any Funds and is authorized to apply them in whole or in part to any indebtedness or obligation secured hereby, in such order and manner as the Beneficiary determines at its sole option, subject to the provisions of Section 4.8 of the Loan Agreement regarding restoration of improvements following damage or destruction. The Beneficiary is entitled to settle and adjust all claims under insurance policies provided under this Deed of Trust and may deduct and retain from the proceeds of such insurance the amount of all expenses incurred by it in connection with any such settlement or adjustment. Application of all or any part of the Funds collected and received by the Beneficiary or the release thereof will not cure or waive any default under this Deed of Trust. ARTICLE 5 AGREEMENTS AFFECTING THE PROPERTY; FURTHER ASSURANCES; PAYMENT OF PRINCIPAL AND INTEREST Section 5.1 Other Agreements Affecting Property. Trustor shall duly and punctually perform all terms, covenants, conditions and agreements binding upon it under the Loan Documents and any other agreement of any nature whatsoever now or hereafter involving or affecting the Security or any part thereof. Section 5.2 Agreement to Pay Attorneys' Fees and Expenses. In the event of any Event of Default (as defined in Section 7.1) hereunder, and if the Beneficiary employs attorneys or incurs other expenses for the collection of amounts due hereunder or the enforcement of performance or observance of an obligation or agreement on the part of the Trustor in this Deed of Trust, the Trustor agrees that it will, on demand therefor, pay to the Beneficiary the reasonable fees of such attorneys and such other reasonable expenses so incurred by the Beneficiary. Any such amounts paid by the Beneficiary will be added to the Secured Obligations, and will bear interest from the date such expenses are incurred at the Default Rate. 863\112\3501147.4 9 Section 5.3 Payment of the Principal. The Trustor shall pay to the Beneficiary the Principal and any other payments as set forth in the Note in the amounts and by the times set out therein. Section 5.4 Personal Property. To the maximum extent permitted by law, the personal property subject to this Deed of Trust is deemed to be fixtures and part of the real property and this Deed of Trust constitutes a fixtures filing under the California Commercial Code. As to any personal property not deemed or permitted to be fixtures, this Deed of Trust constitutes a security agreement under the California Commercial Code. Section 5.5 Financing Statement. The Trustor shall execute and deliver to the Beneficiary such financing statements pursuant to the appropriate statutes, and any other documents or instruments as are required to convey to the Beneficiary a valid perfected security interest in the Security. The Trustor shall perform all acts that the Beneficiary reasonably requests so as to enable the Beneficiary to maintain a valid perfected security interest in the Security in order to secure the payment of the Note in accordance with its terms. The Beneficiary is authorized to file a copy of any such financing statement in any jurisdiction(s) as it deems appropriate from time to time in order to protect the security interest established pursuant to this instrument. Section 5.6 Operation of the Security. The Trustor shall operate the Security (and, in case of a transfer of a portion of the Security subject to this Deed of Trust, the transferee shall operate such portion of the Security) in full compliance with the Loan Documents. Section 5.7 Inspection of the Security. At any and all reasonable times upon seventy-two (72) hours' notice, the Beneficiary and its duly authorized agents, attorneys, experts, engineers, accountants and representatives, may inspect the Security, without payment of charges or fees. Section 5.8 Nondiscrimination. The Trustor herein covenants by and for itself, its heirs, executors, administrators, and assigns, and all persons claiming under or through them, that there will be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, age, sex, sexual orientation, marital status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Security, nor will the Trustor itself or any person claiming under or through it establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees in the Security. The foregoing covenants run with the land. 863\112\3501147.4 10 ARTICLE 6 HAZARDOUS WASTE Trustor shall keep and maintain the Property (including, but not limited to, soil and ground water conditions) in compliance with all Hazardous Materials Laws and shall not cause or permit the Property to be in violation of any Hazardous Materials Law (defined below). Trustor may not cause or permit the use, generation, manufacture, storage or disposal of on, under, or about the Property or transportation to or from the Property of (i) any substance, material, or waste that is petroleum, petroleum-related, or a petroleum by-product, asbestos or asbestos-containing material, polychlorinated biphenyls, flammable, explosive, radioactive, freon gas, radon, or a pesticide, herbicide, or any other agricultural chemical, and (ii) any waste, substance or material defined as or included in the definition of "hazardous substances," "hazardous wastes," "hazardous materials," "toxic materials", "toxic waste", "toxic substances," or words of similar import under any Hazardous Materials Law (collectively referred to hereinafter as "Hazardous Materials"), except such of the foregoing as may be customarily used in construction or operation of a multi-family residential development. Trustor shall immediately advise Beneficiary in writing if at any time it receives written notice of: (i) any and all enforcement, cleanup, removal or other governmental or regulatory actions instituted, completed or threatened against Trustor or the Property pursuant to any applicable federal, state or local laws, ordinances, or regulations relating to any Hazardous Materials, health, industrial hygiene, environmental conditions, or the regulation or protection of the environment, and all amendments thereto as of this date and to be added in the future and any successor statute or rule or regulation promulgated thereto ("Hazardous Materials Law"); (ii) all claims made or threatened by any third party against Trustor or the Property relating to damage, contribution, cost recovery compensation, loss or injury resulting from any Hazardous Materials (the matters set forth in clauses (i) and (ii) above are hereinafter referred to as "Hazardous Materials Claims"); and (iii) Trustor's discovery of any occurrence or condition on any real property adjoining or in the vicinity of the Property that could cause the Property or any part thereof to be subject to any restrictions on the ownership, occupancy, transferability or use of the Property under any Hazardous Materials Law including but not limited to the provisions of California Health and Safety Code, Section 25220 et seq., or any regulation adopted in accordance therewith. Beneficiary has the right to join and participate in, as a party if it so elects, and be represented by counsel acceptable to Beneficiary (or counsel of its own choice if a conflict exists with Trustor) in, any legal proceedings or actions initiated in connection with any Hazardous Materials Claims, and to have its reasonable attorneys' fees in connection therewith paid by Trustor. Trustor shall indemnify and hold harmless Beneficiary and its boardmembers, directors, officers, employees, agents, successors and assigns from and against any loss, damage, cost, fine, penalty, judgment, award, settlement, expense or liability, directly or indirectly arising out of or attributable to: (i) any actual or alleged past or present violation of any Hazardous Materials Law; (ii) any Hazardous Materials Claim; (iii) any actual or alleged past or present use, generation, manufacture, storage, release, threatened release, discharge, disposal, transportation, 863\112\3501147.4 11 or presence of Hazardous Materials on, under, or about the Property; (iv) any investigation, cleanup, remediation, removal, or restoration work of site conditions of the Property relating to Hazardous Materials (whether on the Property or any other property); and (v) the breach of any representation of warranty by or covenant of Trustor in this Article, and Section 5.1(l) of the Loan Agreement. Such indemnity must include, without limitation: (x) all consequential damages; (y) the costs of any required or necessary investigation, repair, cleanup or detoxification of the Property and the preparation and implementation of any closure, remedial or other required plans; and (z) all reasonable costs and expenses incurred by Beneficiary in connection with clauses (x) and (y), including but not limited to reasonable attorneys' fees and consultant fees. This indemnification applies whether or not any government agency has issued a cleanup order. Losses, claims, costs, suits, liability, and expenses covered by this indemnification provision include, but are not limited to: (1) losses attributable to diminution in the value of the Property; (2) loss or restriction of use of rentable space on the Property; (3) adverse effect on the marketing of any rental space on the Property; and (4) penalties and fines levied by, and remedial or enforcement actions of any kind issued by any regulatory agency (including but not limited to the costs of any required testing, remediation, repair, removal, cleanup or detoxification of the Property and surrounding properties). This obligation to indemnify will survive reconveyance of this Deed of Trust and will not be diminished or affected in any respect as a result of any notice, disclosure, knowledge, if any, to or by Beneficiary of Hazardous Materials. Without Beneficiary's prior written consent, which may not be unreasonably withheld, Trustor may not take any remedial action in response to the presence of any Hazardous Materials on, under or about the Property, nor enter into any settlement agreement, consent decree, or other compromise in respect to any Hazardous Material Claims, which remedial action, settlement, consent decree or compromise might, in Beneficiary's reasonable judgment, impairs the value of the Beneficiary's security hereunder; provided, however, that Beneficiary's prior consent is not necessary in the event that the presence of Hazardous Materials on, under, or about the Property either poses an immediate threat to the health, safety or welfare of any individual or is of such a nature that an immediate remedial response is necessary and it is not reasonably possible to obtain Beneficiary's consent before taking such action, provided that in such event Trustor notifies Beneficiary as soon as practicable of any action so taken. Beneficiary agrees not to withhold its consent, where such consent is required hereunder, if (i) a particular remedial action is ordered by a court of competent jurisdiction; (ii) Trustor will or may be subjected to civil or criminal sanctions or penalties if it fails to take a required action; (iii) Trustor establishes to the reasonable satisfaction of Beneficiary that there is no reasonable alternative to such remedial action which would result in less impairment of Beneficiary's security hereunder; or (iv) the action has been agreed to by Beneficiary. The Trustor hereby acknowledges and agrees that (i) this Article is intended as the Beneficiary's written request for information (and the Trustor's response) concerning the environmental condition of the Property as required by California Code of Civil Procedure Section 726.5, and (ii) each representation and warranty in this Deed of Trust or any of the other Loan Documents (together with any indemnity applicable to a breach of any such representation and warranty) with respect to the environmental condition of the property is intended by the Beneficiary and the Trustor to be an "environmental provision" for purposes of California Code of Civil Procedure Section 736. 863\112\3501147.4 12 In the event that any portion of the Property is determined to be "environmentally impaired" (as that term is defined in California Code of Civil Procedure Section 726.5(e)(3) or to be an "affected parcel" (as that term is defined in California Code of Civil Procedure Section 726.5(e)(1), then, without otherwise limiting or in any way affecting the Beneficiary's or the Trustee's rights and remedies under this Deed of Trust, the Beneficiary may elect to exercise its rights under California Code of Civil Procedure Section 726.5(a) to (1) waive its lien on such environmentally impaired or affected portion of the Property and (2) exercise (a) the rights and remedies of an unsecured creditor, including reduction of its claim against the Trustor to judgment, and (b) any other rights and remedies permitted by law. For purposes of determining the Beneficiary's right to proceed as an unsecured creditor under California Code of Civil Procedure Section 726.5(a), the Trustor will be deemed to have willfully permitted or acquiesced in a release or threatened release of hazardous materials, within the meaning of California Code of Civil Procedure Section 726.5(d)(1), if the release or threatened release of hazardous materials was knowingly or negligently caused or contributed to by any lessee, occupant, or user of any portion of the Property and the Trustor knew or should have known of the activity by such lessee, occupant, or user which caused or contributed to the release or threatened release. All costs and expenses, including (but not limited to) attorneys' fees, incurred by the Beneficiary in connection with any action commenced under this paragraph, including any action required by California Code of Civil Procedure Section 726.5(b) to determine the degree to which the Property is environmentally impaired, plus interest thereon at the Default Rate until paid, will be added to the indebtedness secured by this Deed of Trust and will be due and payable to the Beneficiary upon its demand made at any time following the conclusion of such action. ARTICLE 7 EVENTS OF DEFAULT AND REMEDIES Section 7.1 Events of Default. The following are events of default following the expiration of any applicable notice and cure periods (each an "Event of Default"): (i) failure to make any payment to be paid by Trustor under the Loan Documents; (ii) failure to observe or perform any of Trustor's other covenants, agreements or obligations under the Loan Documents, including, without limitation, the provisions concerning discrimination; (iii) failure to make any payment or observe or perform any of Trustor's other covenants, agreements, or obligations under any Secured Obligations, which default is not cured within the times and in the manner provided therein; and (iv) failure to make any payments or observe or perform any of Trustor's other covenants, agreements or obligations under any other debt instrument or regulatory agreement secured by the Property, which default is not cured within the time and in the manner provided therein. The notice and cure rights of Trustor's limited partner are set forth in Section 6.5 of the Loan Agreement. Section 7.2 Acceleration of Maturity. If an Event of Default has occurred and is continuing, then at the option of the Beneficiary, the amount of any payment related to the Event of Default and all unpaid Secured 863\112\3501147.4 13 Obligations are immediately due and payable, and no omission on the part of the Beneficiary to exercise such option when entitled to do so may be construed as a waiver of such right. Section 7.3 The Beneficiary's Right to Enter and Take Possession. If an Event of Default has occurred and is continuing, the Beneficiary may: (a) Either in person or by agent, with or without bringing any action or proceeding, or by a receiver appointed by a court, and without regard to the adequacy of its security, enter upon the Property and take possession thereof (or any part thereof) and of any of the Security, in its own name or in the name of Trustee, and do any acts that it deems necessary or desirable to preserve the value or marketability of the Property, or part thereof or interest therein, increase the income therefrom or protect the security thereof. The entering upon and taking possession of the Security will not cure or waive any Event of Default or Notice of Sale (as defined in Section 7.3(c), below) hereunder or invalidate any act done in response to such Event of Default or pursuant to such Notice of Sale, and, notwithstanding the continuance in possession of the Security, Beneficiary will be entitled to exercise every right provided for in this Deed of Trust, or by law upon occurrence of any Event of Default, including the right to exercise the power of sale; (b) Commence an action to foreclose this Deed of Trust as a mortgage, appoint a receiver, or specifically enforce any of the covenants hereof; (c) Deliver to Trustee a written declaration of an Event of Default and demand for sale, and a written notice of default and election to cause Trustor's interest in the Security to be sold ("Notice of Sale"), which notice Trustee or Beneficiary shall cause to be duly filed for record in the Official Records of Contra Costa County; or (d) Exercise all other rights and remedies provided herein, in the instruments by which the Trustor acquires title to any Security, or in any other document or agreement now or hereafter evidencing, creating or securing the Secured Obligations. Section 7.4 Foreclosure By Power of Sale. Should the Beneficiary elect to foreclose by exercise of the power of sale herein contained, the Beneficiary shall deliver to the Trustee the Notice of Sale and shall deposit with Trustee this Deed of Trust which is secured hereby (and the deposit of which will be deemed to constitute evidence that the Secured Obligations are immediately due and payable), and such receipts and evidence of any expenditures made that are additionally secured hereby as Trustee may require. (a) Upon receipt of the Notice of Sale from the Beneficiary, Trustee shall cause to be recorded, published and delivered to Trustor such Notice of Sale as is then required by law and by this Deed of Trust. Trustee shall, without demand on Trustor, after the lapse of that amount of time as is then required by law and after recordation of such Notice of Sale as required by law, sell the Security, at the time and place of sale set forth in the Notice of Sale, whether as a whole or in separate lots or parcels or items, as Trustee deems expedient and in such order as it determines, unless specified otherwise by the Trustor according to California 863\112\3501147.4 14 Civil Code Section 2924g(b), at public auction to the highest bidder, for cash in lawful money of the United States payable at the time of sale. Trustee shall deliver to such purchaser or purchasers thereof its good and sufficient deed or deeds conveying the property so sold, but without any covenant or warranty, express or implied. The recitals in such deed or any matters of facts will be conclusive proof of the truthfulness thereof. Any person, including, without limitation, Trustor, Trustee or Beneficiary, may purchase at such sale. (b) After deducting all reasonable costs, fees and expenses of Trustee, including costs of evidence of title in connection with such sale, Trustee shall apply the proceeds of sale to payment of: (i) the unpaid Principal amount of the Note; (ii) all other Secured Obligations owed to Beneficiary under the Loan Documents; (iii) all other sums then secured hereby; and (iv) the remainder, if any, to Trustor. (c) Trustee may postpone sale of all or any portion of the Property by public announcement at such time and place of sale, and from time to time thereafter, and without further notice make such sale at the time fixed by the last postponement, or may, in its discretion, give a new Notice of Sale. Section 7.5 Receiver. If an Event of Default occurs and is continuing, Beneficiary, as a matter of right and without further notice to Trustor or anyone claiming under the Security, and without regard to the then value of the Security or the interest of Trustor therein, may apply to any court having jurisdiction to appoint a receiver or receivers of the Security (or a part thereof), and Trustor hereby irrevocably consents to such appointment and waives further notice of any application therefor. Any such receiver or receivers will have all the usual powers and duties of receivers in like or similar cases, and all the powers and duties of Beneficiary in case of entry as provided herein, and will continue as such and exercise all such powers until the date of confirmation of sale of the Security, unless such receivership is sooner terminated. Section 7.6 Remedies Cumulative. No right, power or remedy conferred upon or reserved to the Beneficiary by this Deed of Trust is intended to be exclusive of any other right, power or remedy, but each and every such right, power and remedy will be cumulative and concurrent and will be in addition to any other right, power and remedy given hereunder or now or hereafter existing at law or in equity. Section 7.7 No Waiver. (a) No delay or omission of the Beneficiary to exercise any right, power or remedy accruing upon any Event of Default will exhaust or impair any such right, power or remedy, and may not be construed to be a waiver of any such Event of Default or acquiescence therein; and every right, power and remedy given by this Deed of Trust to the Beneficiary may be exercised from time to time and as often as may be deemed expeditious by the Beneficiary. Beneficiary's express or implied consent to breach, or waiver of, any obligation of the Trustor hereunder will not be deemed or construed to be a consent to any subsequent breach, or further waiver, of such obligation or of any other obligations of the Trustor hereunder. Failure on the part of the Beneficiary to complain of any act or failure to act or to declare an Event of Default, 863\112\3501147.4 15 irrespective of how long such failure continues, will not constitute a waiver by the Beneficiary of its right hereunder or impair any rights, power or remedies consequent on any Event of Default by the Trustor. (b) If the Beneficiary (i) grants forbearance or an extension of time for the payment or performance of any Secured Obligation, (ii) takes other or additional security or the payment of any sums secured hereby, (iii) waives or does not exercise any right granted in the Loan Documents, (iv) releases any part of the Security from the lien of this Deed of Trust, or otherwise changes any of the terms, covenants, conditions or agreements in the Loan Documents, (v) consents to the granting of any easement or other right affecting the Security, or (vi) makes or consents to any agreement subordinating the lien hereof, any such act or omission will not release, discharge, modify, change or affect the original liability under this Deed of Trust, or any other obligation of the Trustor or any subsequent purchaser of the Security or any part thereof, or any maker, co-signer, endorser, surety or guarantor (unless expressly released); nor will any such act or omission preclude the Beneficiary from exercising any right, power or privilege herein granted or intended to be granted in any Event of Default then made or of any subsequent Event of Default, nor, except as otherwise expressly provided in an instrument or instruments executed by the Beneficiary, will the lien of this Deed of Trust be altered thereby. Section 7.8 Suits to Protect the Security. The Beneficiary has the power to (a) institute and maintain such suits and proceedings as it may deem expedient to prevent any impairment of the Security and the rights of the Beneficiary as may be unlawful or any violation of this Deed of Trust, (b) preserve or protect its interest (as described in this Deed of Trust) in the Security, and (c) restrain the enforcement of or compliance with any legislation or other governmental enactment, rule or order that may be unconstitutional or otherwise invalid, if the enforcement for compliance with such enactment, rule or order would impair the Security thereunder or be prejudicial to the interest of the Beneficiary. Section 7.9 Trustee May File Proofs of Claim. In the case of any receivership, insolvency, bankruptcy, reorganization, arrangement, adjustment, composition or other proceedings affecting the Trustor, its creditors or its property, the Beneficiary, to the extent permitted by law, will be entitled to file such proofs of claim and other documents as may be necessary or advisable in order to have the claims of the Beneficiary allowed in such proceedings and for any additional amount that becomes due and payable by the Trustor hereunder after such date. Section 7.10 Waiver. The Trustor waives presentment, demand for payment, notice of dishonor, notice of protest and nonpayment, protest, notice of interest on interest and late charges, and diligence in taking any action to collect any Secured Obligations or in proceedings against the Security, in connection with the delivery, acceptance, performance, default, endorsement or guaranty of this Deed of Trust. 863\112\3501147.4 16 ARTICLE 8 MISCELLANEOUS Section 8.1 Amendments. This Deed of Trust cannot be waived, changed, discharged or terminated orally, but only by an instrument in writing signed by Beneficiary and Trustor. Section 8.2 Reconveyance by Trustee. Upon written request of Beneficiary stating that all Secured Obligations have been paid or forgiven, and all obligations under the Loan Documents have been performed in full, and upon surrender of this Deed of Trust to Trustee for cancellation and retention, and upon payment by Trustor of Trustee's reasonable fees, Trustee shall reconvey the Security to Trustor, or to the person or persons legally entitled thereto. Section 8.3 Notices. If at any time after the execution of this Deed of Trust it becomes necessary or convenient for one of the parties hereto to serve any notice, demand or communication upon the other party, such notice, demand or communication must be in writing and is to be served personally or by depositing the same in the registered United States mail, return receipt requested, postage prepaid and (1) if intended for Beneficiary is to be addressed to: County of Contra Costa Department of Conservation and Development 30 Muir Road Martinez, CA 94553 Attention: Assistant Deputy Director and (2) if intended for Trustor is to be addressed to: Pinole Housing, L.P. c/o Satellite Affordable Housing Associates 1835 Alcatraz Avenue Berkeley, CA 94703 Attention: Chief Executive Officer with a copy to: RJ MT Pinole Housing L.L.C. c/o Raymond James Affordable Housing Investments, Inc. 880 Carillon Parkway St. Petersburg, Florida 33716 Facsimile No.: 727-567-8455 Attention: Steven J. Kropf, President Email Address: Steve.Kropf@RaymondJames.com Nixon Peabody LLP Exchange Place 863\112\3501147.4 17 53 State Street Boston, MA 02109 Attention: Nathan A. Bernard Email Address: nbernard@nixonpeabody.com Any notice, demand or communication will be deemed given, received, made or communicated on the date personal delivery is effected or, if mailed in the manner herein specified, on the delivery date or date delivery is refused by the addressee, as shown on the return receipt. Either party may change its address at any time by giving written notice of such change to Beneficiary or Trustor as the case may be, in the manner provided herein, at least ten (10) days prior to the date such change is desired to be effective. Section 8.4 Successors and Joint Trustors. Where an obligation created herein is binding upon Trustor, the obligation also applies to and binds any transferee or successors in interest. Where the terms of the Deed of Trust have the effect of creating an obligation of the Trustor and a transferee, such obligation will be deemed to be a joint and several obligation of the Trustor and such transferee. Where Trustor is more than one entity or person, all obligations of Trustor will be deemed to be a joint and several obligation of each and every entity and person comprising Trustor. Section 8.5 Captions. The captions or headings at the beginning of each Section hereof are for the convenience of the parties and are not a part of this Deed of Trust. Section 8.6 Invalidity of Certain Provisions. Every provision of this Deed of Trust is intended to be severable. In the event any term or provision hereof is declared to be illegal or invalid for any reason whatsoever by a court or other body of competent jurisdiction, such illegality or invalidity will not affect the balance of the terms and provisions hereof, which terms and provisions will remain binding and enforceable. If the lien of this Deed of Trust is invalid or unenforceable as to any part of the debt, or if the lien is invalid or unenforceable as to any part of the Security, the unsecured or partially secured portion of the debt, and all payments made on the debt, whether voluntary or under foreclosure or other enforcement action or procedure, will be considered to have been first paid or applied to the full payment of that portion of the debt that is not secured or partially secured by the lien of this Deed of Trust. Section 8.7 Governing Law. This Deed of Trust is governed by the laws of the State of California. Section 8.8 Gender and Number. In this Deed of Trust the singular includes the plural and the masculine includes the feminine and neuter and vice versa, if the context so requires. 863\112\3501147.4 18 Section 8.9 Deed of Trust, Mortgage. Any reference in this Deed of Trust to a mortgage also refers to a deed of trust and any reference to a deed of trust also refers to a mortgage. Section 8.10 Actions. Trustor shall appear in and defend any action or proceeding purporting to affect the Security. Section 8.11 Substitution of Trustee. Beneficiary may from time to time substitute a successor or successors to any Trustee named herein or acting hereunder to execute this Trust. Upon such appointment, and without conveyance to the successor trustee, the latter will be vested with all title, powers, and duties conferred upon any Trustee herein named or acting hereunder. Each such appointment and substitution is to be made by written instrument executed by Beneficiary, containing reference to this Deed of Trust and its place of record, which, when duly recorded in the proper office of the county or counties in which the Property is situated, will be conclusive proof of proper appointment of the successor trustee. Section 8.12 Statute of Limitations. The pleading of any statute of limitations as a defense to any and all obligations secured by this Deed of Trust is hereby waived to the full extent permissible by law. Section 8.13 Acceptance by Trustee. Trustee accepts this Trust when this Deed of Trust, duly executed and acknowledged, is made public record as provided by law. Except as otherwise provided by law, the Trustee is not obligated to notify any party hereto of a pending sale under this Deed of Trust or of any action or proceeding in which Trustor, Beneficiary, or Trustee is a party unless brought by Trustee. Section 8.14 Tax Credit Provisions. Notwithstanding anything to the contrary contained herein or in any documents secured by this Deed of Trust or contained in any subordination agreement, and to the extent applicable, the Beneficiary acknowledges and agrees that in the event of a foreclosure or deed-in-lieu of foreclosure (collectively, "Foreclosure") with respect to the Security encumbered by this Deed of Trust, the following rule contained in 26 U.S.C. Section 42(h)(6)(E)(ii), as amended, applies: For a period of three (3) years from the date of Foreclosure, with respect to an existing tenant of any low-income unit, (i) such tenant may not be subject to eviction or termination of their tenancy (other than for good cause), (ii) nor may such tenant's gross rent with respect to such unit be increased, except as otherwise permitted under Section 42 of the Internal Revenue Code. Signature page County Deed of Trust 863\112\3501147.4 19 IN WITNESS WHEREOF, Trustor has executed this Deed of Trust as of the day and year first above written. PINOLE HOUSING, L.P., a California limited partnership By: Pinole Housing LLC, a California limited liability company, its general partner By: Satellite Affordable Housing Associates, a California nonprofit public benefit corporation, its manager By: ____________________________ Susan Friedland, Chief Executive Officer 863\112\3501147.4 STATE OF CALIFORNIA ) ) COUNTY OF __________________ ) On ____________________, before me, ___________________________, Notary Public, personally appeared ______________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ______________________________________ Name: ______________________________ Notary Public A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. A-1 863\112\3501147.4 EXHIBIT A LEGAL DESCRIPTION The land referred to is situated in the County of Contra Costa, City of Pinole, State of California, and is described as follows: PARCEL ONE: Portion Lot "C", Map of Dohrmann Ranch, filed December 21, 1895, Map Book "E", Page 115, Contra Costa County Records, described as follows: Beginning on the South line of San Pablo Avenue, at the West line of the parcel of land described in the Deed to Claude C. Orr, recorded November 29, 1946, Book 964 Official Records, Page 391; thence from said point of beginning along the West and South lines of said Orr Parcel, South 9° 37' West, 129.31 feet and South 80° 23' East, 4 feet; thence South 9° 37' West, 35.90 feet to the Northwest corner of Lot 35, as shown on the Map of Meadow Parcel, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records; thence along the exterior lines of said Meadow Park Unit No. 1, North 80° 23' West, 110 feet and South 50° 27' West, 110.53 feet to an angle point therein, being on the West line of said Lot C; thence North 19° 08' East, along said West line, 224.37 feet to the South line of said San Pablo Avenue; thence Easterly along said South line, along the arc of a curve to the right with a radius of 2,950 feet, the center of which bears South 2° 51' 06" East, an arc distance of 143.72 feet to the point of beginning. Excepting from Parcel One: All that portion thereof conveyed in the Deed to Frank A. Archambault, et ux, recorded July 21, 1957, Book 3002 Official Records, Page 174. PARCEL TWO: Portion of Lot 33, Map of Meadow Park, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records, described as follows: Beginning at the Northeast corner of said Lot 33; thence from said point of beginning along the North line of said Lot 33, North 79° 19' 10" West, 50 feet (the bearing of North 79° 19' 10" West being taken for the purpose of this description) and South 51° 30' 50" West, 62.97 feet; thence North 76° 09' 30" East, 100.25 feet to the East line of said Lot 33, distant thereon South 10° 26' 36" West, 6.04 feet from the Northeast corner thereof; thence North 10° 26' 36" East, along said East line, 6.04 feet to the point of beginning. PARCEL THREE: A right of way (not to be exclusive) as an appurtenance to Parcels One and Two above, for use as a roadway for vehicles of all kinds, pedestrians and animals, for water, gas, oil and sewer pipe A-2 863\112\3501147.4 lines, and for telephone, television service, electric light and power lines, together with the necessary poles or conduits, over a portion of Lot C, Map of Dohrmann Ranch, filed December 21, 1895, Map Book "E", Page 115, Contra Costa County Records, being a strip of land 15 feet in width, the North line of which is described as follows: Beginning on the West line of Meadow Avenue, as shown on the Map of Meadow Park, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records, at the South line of the parcel of land described in the Deed to Claude C. Orr, recorded November 29, 1946, in Book 964 Official Records, Page 391; thence from said point of beginning, North 80° 23' West, along said South line, 60 feet to an East line of Parcel One above. APN: 402-166-030 1 863\112\3501954.5 DEVELOPMENT LOAN AGREEMENT Pinole Housing (HOME Funds) This Development Loan Agreement (the "Agreement") is dated May 1, 2023, and is between the County of Contra Costa, a political subdivision of the State of California (the "County"), and Pinole Housing, L.P., a California limited partnership ("Borrower"). RECITALS A. Defined terms used but not defined in these recitals are as defined in Article 1 of this Agreement. B. The County has received Home Investment Partnerships Act funds from the United States Department of Housing and Urban Development ("HUD") pursuant to the Cranston-Gonzales National Housing Act of 1990 ("HOME Funds"). The HOME Funds must be used by the County in accordance with 24 C.F.R. Part 92 (the "HOME Regulations"). C. Pursuant to a Disposition and Development Agreement dated July 6, 2021, between Satellite Affordable Housing Associates, a California nonprofit public benefit corporation ("SAHA") and the City of Pinole, a municipal corporation (the "City"), as amended by a First Amendment dated February 21, 2023, and as assigned to Borrower pursuant to that certain Assignment and Assumption of Disposition and Development Agreement, Borrower intends to acquire from the City, that certain real property located at 811 San Pablo Avenue, in the City of Pinole, County of Contra Costa, State of California, as more particularly described in Exhibit A (the "Property"). Borrower intends to construct thirty-three (33) housing units on the Property, thirty-two (32) of which are for rental to extremely low, very low, and low income households, and one (1) manager's unit (the "Development"). The Development, as well as all landscaping, roads and parking spaces on the Property and any additional improvements on the Property, are the "Improvements". D. Borrower desires to borrow from the County Two Million Six Hundred Thirty-Six Thousand Two Hundred Eighty Dollars ($2,636,280) of HOME Funds (the "Loan"). E. The Loan is evidenced by this Agreement, the Note, the Regulatory Agreements, and the Intercreditor Agreement, and is secured by the Deed of Trust. F. The Loan is being made to finance acquisition and construction costs of the Development. Construction of the Development is intended to maintain the supply of affordable rental housing in Contra Costa County. Due to the assistance provided Borrower through the Loan, the County is designating fifteen (15) units as HOME-assisted units (the "HOME-Assisted Units"). G. In accordance with the California Environmental Quality Act (Public Resources Code Sections 21000 et seq.) ("CEQA") the City determined the Development to be categorically exempt under CEQA Guidelines Section 15332. 2 863\112\3501954.5 H. In accordance with the National Environmental Policy Act of 1969, as amended (42 U.S.C. 4321-4347) ("NEPA"), the County has completed and approved all applicable environmental review for the activities proposed to be undertaken under this Agreement. The parties therefore agree as follows: AGREEMENT ARTICLE 1 DEFINITIONS AND EXHIBITS Section 1.1 Definitions. The following terms have the following meanings: (a) "Accessibility Requirements" has the meaning set forth in Section 3.9 below. (b) "Agreement" means this Development Loan Agreement. (c) "Annual Operating Budget" has the meaning set forth in Section 4.4. (d) "Annual Operating Expenses" means for each calendar year, the following costs reasonably and actually incurred for operation and maintenance of the Development: (i) property taxes and assessments imposed on the Development; (ii) debt service currently due on a non-optional basis (excluding debt service due from residual receipts or surplus cash of the Development) on Approved Financing; (iii) on-site service provider fees for tenant social services, provided the County has approved, in writing, the plan and budget for such services before such services begin; (iv) fees paid to the Issuer; (v) payment to HCD of a portion of the accrued interest on the VHHP HCD Loan pursuant to California Code of Regulations, Title 25, Section 7308; (vi) property management fees and reimbursements, on–site property management office expenses, and salaries of property management and maintenance personnel, not to exceed amounts that are standard in the industry and which are pursuant to a management contract approved by the County; (vii) the Partnership Management/Asset Fee; 3 863\112\3501954.5 (viii) fees for accounting, audit, and legal services incurred by Borrower's general partner in the asset management of the Development, not to exceed amounts that are standard in the industry, to the extent such fees are not included in the Partnership Management/Asset Fee; (ix) premiums for insurance required for the Improvements to satisfy the requirements of any lender of Approved Financing; (x) utility services not paid for directly by tenants, including water, sewer, and trash collection; (xi) maintenance and repair expenses and services; (xii) any annual license or certificate of occupancy fees required for operation of the Development; (xiii) security services; (xiv) advertising and marketing; (xv) cash deposited into the Replacement Reserve Account in the amount set forth in Section 4.2(a); (xvi) cash deposited into the Operating Reserve Account to maintain the amount set forth in Section 4.2(b) (excluding amounts deposited to initially capitalize the account); (xvii) payment of any previously unpaid portion of Priority Portion of Developer Fee (without interest), not to exceed the amount set forth in Section 3.18; (xviii) extraordinary operating costs specifically approved in writing by the County; (xix) the HOME Monitoring Fee; and (xx) payments of deductibles in connection with casualty insurance claims not normally paid from reserves, the amount of uninsured losses actually replaced, repaired or restored, and not normally paid from reserves, and other ordinary and reasonable operating expenses approved in writing by the County and not listed above. Annual Operating Expenses do not include the following: depreciation, amortization, depletion or other non-cash expenses, initial deposits to capitalize a reserve account, any amount expended from a reserve account, and any capital cost associated with the Development. (e) "Annual Payment" has the meaning in Section 2.8(a). 4 863\112\3501954.5 (f) "Approved Development Budget" means the proforma development budget, including sources and uses of funds, as approved by the County, and attached hereto and incorporated herein as Exhibit B. (g) "Approved Financing" means all of the following loans, grants, equity and subsidy obtained by Borrower and approved by the County for the purpose of financing the acquisition of the Property and construction of the Development: (i) construction/permanent loan from the City in the approximate amount of Four Million Three Hundred Eighty Thousand Dollars ($4,380,000) (the "City Loan"); (ii) multi-family housing revenue tax-exempt bonds in the approximate amount of Fifteen Million Two Hundred Ninety-Five Thousand Seven Hundred Twenty-Three Dollars ($15,295,723) issued by California Municipal Finance Authority (the "Issuer") that are purchased by the Bank and the sale proceeds of which are loaned to Borrower (the "Bank Tax-Exempt Construction Loan"); (iii) multi-family housing revenue taxable bonds in the approximate amount of Two Million One Hundred Fifty Thousand Four Hundred Thirty-Eight Dollars ($2,150,438) issued by the Issuer that are purchased by the Bank and the sale proceeds of which are loaned to Borrower (the "Bank Taxable Construction Loan"); (iv) permanent loan of Veterans Housing and Homelessness Prevention program ("VHHP") funds from the California Department of Housing and Community Development ("HCD") in the approximate amount of Seven Million Eight Hundred Forty-Eight Thousand One Hundred Twenty Dollars ($7,848,120) (the "VHHP HCD Loan"); (v) Infill Infrastructure Grant funds from HCD in the amount of One Million Six Hundred Seventy-Two Thousand Four Hundred Eighty-Eight Dollars ($1,672,488) ("IIG Funds"), to be loaned by SAHA to the Partnership (the "IIG Sponsor Loan"); (vi) Loan of Home Depot Veterans Grant Program funds to be granted by the Home Depot Foundation to SAHA and loaned by SAHA to the Partnership in the amount of Four Hundred Thousand Dollars ($400,000) (the "Home Depot Sponsor Loan"); (vii) Low Income Housing Tax Credit investor equity funds in the approximate amount of Fourteen Million Seven Hundred Forty-Six Thousand Eight Hundred Ninety-Five Dollars ($14,746,895) (the "Tax Credit Investor Equity") provided by the Investor Limited Partner; and (viii) capital contribution from Borrower's general partner in the approximate amount of One Million Three Hundred Four Thousand Eighty-Nine Dollars ($1,304,089) (the "GP Capital Contribution"). (h) "Available Net Proceeds" means the result obtained by multiplying the Net Proceeds of Permanent Financing by 0.75. 5 863\112\3501954.5 (i) "Bank" means JPMorgan Chase Bank, N.A., and its successors and assigns. (j) "Bank Taxable Construction Loan" has the meaning set forth in Section 1.1(g)(iii). (k) "Bank Tax-Exempt Construction Loan" has the meaning set forth in Section 1.1(g)(ii). (l) "Bid Package" means the package of documents Borrower's general contractor is required to distribute to potential bidders as part of the process of selecting subcontractors for the Development. The Bid Package is to include the following: (i) an invitation to bid; (ii) copy of the proposed construction contract; and (iii) all Construction Plans. (m) "Borrower" has the meaning set forth in the first paragraph of this Agreement. (n) "Borrower's Share of Residual Receipts" means twenty-five percent (25%) of Residual Receipts. (o) "CEQA" has the meaning set forth in Paragraph G of the Recitals. (p) "City" has the meaning set forth in Paragraph C of the Recitals. (q) "City Loan" has the meaning set forth in Section 1.1(g)(i). (r) "Commencement of Construction" has the meaning set forth in Section 3.5. (s) "Completion Date" means the date a final certificate of occupancy, or equivalent document is issued by the City to certify that the Development may be legally occupied. (t) "Construction Plans" means all construction documentation upon which Borrower and Borrower's general contractor rely in constructing all the Improvements on the Property (including the units in the Development, landscaping, parking, and common areas) and includes, but is not limited to, final architectural drawings, landscaping plans and specifications, final elevations, building plans and specifications (also known as "working drawings"). (u) "County" has the meaning set forth in the first paragraph of this Agreement. (v) "County Additional Prorata Share" means the result obtained by dividing the Loan by the sum of the Loan and the City Loan, to the extent all such funds are disbursed. (w) "County Loan Prorata Percentage" means the result, expressed as a percentage, obtained by dividing the Loan minus any Special County Loan Repayment by the 6 863\112\3501954.5 sum of (i) the Loan minus any Special County Loan Repayment, (ii) the City Loan minus any Special City Loan Repayment, (iii) the VHHP HCD Loan, and (iv) the IIG Funds, to the extent all such funds are disbursed. (x) "County Regulatory Agreement" means the Regulatory Agreement and Declaration of Restrictive Covenants of even date herewith, between the County and Borrower evidencing County requirements applicable to the Loan, to be recorded against the Property. (y) "Deed of Trust" means the Deed of Trust with Assignment of Rents, Security Agreement, and Fixture Filing of even date herewith among Borrower, as trustor, Old Republic Title Company, as trustee, and the County, as beneficiary, that will encumber the Property to secure repayment of the Loan and performance of the covenants of the Loan Documents. (z) "Default Rate" means the lesser of the maximum rate permitted by law and ten percent (10%) per annum. (aa) "Developer Fee" has the meaning set forth in Section 3.18. (bb) "Development" has the meaning set forth in Paragraph C of the Recitals. (cc) "Development Fiscal Year" shall mean for the Development, the annual period commencing on January 1 and concluding on December 31 each year. (dd) "Eligible Household" means a household qualified to occupy a HOME-Assisted Unit pursuant to Section 2.1(a) of the HOME Regulatory Agreement. (ee) "Event of Default" has the meaning set forth in Section 6.1. (ff) "Fifteen Year Compliance Period" means the fifteen (15) year compliance period as described in Section 42(i)(1) of the Internal Revenue Code of 1986, as amended. (gg) "Final Cost Certification" has the meaning set forth in Section 4.3. (hh) "Final Development Cost" means the total of the cost of acquisition and construction of the Development as shown on the Final Cost Certification. (ii) "GP Capital Contribution" has the meaning set forth in Section 1.1(g)(viii). (jj) "Gross Revenue" means for each calendar year, all revenue, income, receipts, and other consideration actually received from the operation and leasing of the Development. Gross Revenue includes, but is not limited to: (i) all rents, fees and charges paid by tenants; 7 863\112\3501954.5 (ii) Section 8 payments and other rental or operating subsidy payments received for the dwelling units; (iii) deposits forfeited by tenants; (iv) all cancellation fees; (v) price index adjustments and any other rental adjustments to leases or rental agreements; (vi) net proceeds from vending and laundry room machines; (vii) the proceeds of business interruption or similar insurance not paid to senior lenders; (viii) the proceeds of casualty insurance not used to rebuild the Development and not paid to senior lenders; and (ix) condemnation awards for a taking of part or all of the Development for a temporary period. Gross Revenue does not include tenants' security deposits, loan proceeds, unexpended amounts (including interest) in any reserve account, required deposits to reserve accounts, capital contributions or similar advances. (kk) "Hazardous Materials" means: (i) any substance, material, or waste that is petroleum, petroleum-related, or a petroleum by-product, asbestos or asbestos-containing material, polychlorinated biphenyls, flammable, explosive, radioactive, freon gas, radon, or a pesticide, herbicide, or any other agricultural chemical, and (ii) any waste, substance or material defined as or included in the definition of "hazardous substances," "hazardous wastes," "hazardous materials," "toxic materials", "toxic waste", "toxic substances," or words of similar import under any Hazardous Materials Law. (ll) "Hazardous Materials Claims" means with respect to the Property (i) any and all enforcement, cleanup, removal or other governmental or regulatory actions instituted, completed or threatened against Borrower or the Property pursuant to any Hazardous Materials Law; and (ii) all claims made or threatened by any third party against Borrower or the Property relating to damage, contribution, cost recovery compensation, loss or injury resulting from any Hazardous Materials. (mm) "Hazardous Materials Law" means any federal, state or local laws, ordinances, or regulations relating to any Hazardous Materials, health, industrial hygiene, environmental conditions, or the regulation or protection of the environment, and all amendments thereto as of this date and to be added in the future and any successor statute or rule or regulation promulgated thereto. (nn) "HCD" has the meaning set forth in Section 1.1(g)(iv). 8 863\112\3501954.5 (oo) "HOME" means the HOME Investment Partnerships Act pursuant to the Cranston-Gonzales National Affordable Housing Act of 1990 (42 U.S.C. 12705 et seq.), as amended. (pp) "HOME-Assisted Units" has the meaning set forth in Paragraph F of the Recitals. (qq) "Home Depot Sponsor Loan" has the meaning set forth in Section 1.1(g)(vi). (rr) "HOME Monitoring Fee" has the meaning set forth in Section 3.20. (ss) "HOME Regulatory Agreement" means the Regulatory Agreement and Declaration of Restrictive Covenants of even date herewith, between the County and Borrower evidencing HUD requirements applicable to the Loan, to be recorded against the Property. (tt) "HOME Funds" has the meaning set forth in Paragraph B of the Recitals. (uu) "HOME Regulations" has the meaning set forth in Paragraph B of the Recitals. (vv) "Housing Authority" means the Housing Authority of the County of Contra Costa. (ww) "HUD" has the meaning set forth in Paragraph B of the Recitals. (xx) "IIG Funds" has the meaning set forth in Section 1(g)(v). (yy) "IIG Sponsor Loan" has the meaning set forth in Section 1(g)(v). (zz) "Improvements" has the meaning set forth in Paragraph C of the Recitals. (aaa) "Intercreditor Agreement" means that certain Subordination and Intercreditor Agreement of even date herewith entered into by and among the City, the County, and Borrower related to the Loan and the City Loan, to be recorded against the Property. (bbb) "Investor Limited Partner" means RJ MT Pinole Housing L.L.C., a Florida limited liability company, and its permitted successors and assigns. (ccc) "Issuer" has the meaning set forth in Section 1.1(g)(ii). (ddd) "Lenders' Share of Residual Receipts" means fifty percent (50%) of Residual Receipts. (eee) "Loan Documents" means this Agreement, the Note, the 9 863\112\3501954.5 Regulatory Agreements, the Intercreditor Agreement, and the Deed of Trust. (fff) "Loan" has the meaning set forth in Paragraph D of the Recitals. (ggg) "Local Lenders'" means the City and the County. (hhh) "Local Lenders' Share of Residual Receipts" means twenty-five percent (25%) of Residual Receipts. (iii) "NEPA" has the meaning set forth in Paragraph I of the Recitals. (jjj) "Net Proceeds of Permanent Financing" means the amount by which Permanent Financing exceeds the Final Development Costs. (kkk) "Note" means the promissory note of even date herewith that evidences Borrower's obligation to repay the Loan. (lll) "Operating Reserve Account" has the meaning set forth in Section 4.2(b). (mmm)"Partnership Agreement" means the agreement between Borrower's general partner and the Investor Limited Partner that governs the operation and organization of Borrower as a California limited partnership. (nnn) "Partnership Management/Asset Fee" means: (i) partnership management fees (including any asset management fees) payable pursuant to the Partnership Agreement to any partner or affiliate of Borrower or any affiliate of a partner of Borrower, if any, during the Fifteen Year Compliance Period; and (ii) after the expiration of the Fifteen Year Compliance Period, asset management fees payable to the partners of Borrower, in the amounts approved by the County as set forth in Section 3.19. (ooo) "Permanent Closing" means the date the Bank Tax-Exempt Construction Loan and Bank Taxable Construction Loan are paid off in full. (ppp) "Permanent Financing" means the sum of the following amounts: (i) the Loan; (ii) the City Loan; (iii) the VHHP HCD Loan; (iv) the IIG Sponsor Loan; (v) the Home Depot Sponsor Loan; (vi) the Tax Credit Investor Equity; and (vii) the GP Capital Contribution. (qqq) "Priority Portion of Developer Fee" has the meaning set forth in Section 3.18. (rrr) "Property" has the meaning set forth in Paragraph C of the Recitals. (sss) "Regulatory Agreements" means, collectively, the County Regulatory Agreement and the HOME Regulatory Agreement. (ttt) "Rental Shortfall Due Date" has the meaning set forth in Section 10 863\112\3501954.5 2.8(c). (uuu) "Rental Shortfall Payment" has the meaning set forth in Section 2.8(c). (vvv) "Replacement Reserve Account" has the meaning set forth in Section 4.2(a). (www) "Residual Receipts" means for each calendar year, the amount by which Gross Revenue exceeds Annual Operating Expenses. (xxx) "Retention Amount" means Fifty Thousand Dollars ($50,000) of the Loan, the disbursement of which is described in Section 2.7. (yyy) "SAHA" has the meaning set forth in Paragraph C of the Recitals. (zzz) "Senior Loan" has the meaning set forth in Section 2.5. (aaaa) "Special City Loan Payment" has the meaning in Section 3(b) of the Intercreditor Agreement. (bbbb) "Special County Loan Payment" has the meaning in Section 2.8(b). (cccc) "Statement of Residual Receipts" means an itemized statement of Residual Receipts. (dddd) "Tax Credit Investor Equity" has the meaning set forth in Section 1.1(g)(vii). (eeee) "TCAC" means the California Tax Credit Allocation Committee. (ffff) "Tenant" means the tenant household that occupies a unit in the Development. (gggg) "Term" means the period of time that commences on the date of this Agreement, and expires, unless sooner terminated in accordance with this Agreement, on the fifty-fifth (55th) anniversary of the Completion Date; provided, however, if a record of the Completion Date cannot be located or established, the Term will expire on the fifty-seventh (57th) anniversary of this Agreement. (hhhh) "Transfer" has the meaning set forth in Section 6.1 of the Regulatory Agreements. (iiii) "VHHP" has the meaning set forth in Section 1.1(g)(v). (jjjj) "VHHP HCD Loan" has the meaning set forth in Section 1.1(g)(v). 11 863\112\3501954.5 Section 1.2 Exhibits The following exhibits are attached to this Agreement and incorporated into this Agreement by this reference: Exhibit A: Legal Description of the Property Exhibit B: Approved Development Budget Exhibit C: NEPA Mitigation Requirements ARTICLE 2 LOAN PROVISIONS Section 2.1 Loan. Upon satisfaction of the conditions set forth in Section 2.6 and Section 2.7 of this Agreement, the County shall lend to Borrower the Loan for the purposes set forth in Section 2.3 of this Agreement. Borrower's obligation to repay the Loan is evidenced by the Note. Section 2.2 Interest. (a) Subject to the provisions of subsection (b) below, simple interest will accrue on the outstanding principal balance of the loan at a per annum fixed rate of interest equal to three percent (3%), commencing on the date of disbursement. (b) Upon the occurrence of an Event of a Default, interest on the outstanding principal balance of the Loan will accrue at the Default Rate, beginning on the date of such occurrence and continuing until the date the Loan is repaid in full or the Event of Default is cured. Section 2.3 Use of Loan Funds. (a) Borrower shall use the Loan for construction costs, consistent with the Approved Development Budget. Use of the Loan for reimbursement of costs incurred prior to the date of this Agreement is subject to Section 92.206(d)(1) of the HOME Regulations. (b) Borrower may not use the Loan proceeds for any other purposes without the prior written consent of the County. Section 2.4 Security. In consideration of the Loan, Borrower shall (i) secure its obligation to repay the Loan, as evidenced by the Note, by executing the Deed of Trust, and cause or permit it to be recorded as a lien against the Property, junior to the Bank Tax Exempt Construction Loan and Bank Taxable Construction Loan (and upon Permanent Closing, to the VHHP HCD Loan) pursuant to Section 2.5 below, senior to the IIG Sponsor Loan and the Home Depot Sponsor Loan, and co-equal lien position with the City Loan pursuant to the Intercreditor Agreement, and (ii) execute the Regulatory Agreements, and the Intercreditor Agreement, and cause or permit them to be recorded against the Property. 12 863\112\3501954.5 Section 2.5 Subordination. (a) Any agreement by the County to subordinate the Deed of Trust and/or Regulatory Agreements to an encumbrance securing and/or evidencing the VHHP HCD Loan, the Bank Tax-Exempt Construction Loan, the Bank Taxable Construction Loan, or any loan obtained by Borrower to refinance the Bank Tax-Exempt Construction Loan or the Bank Taxable Construction Loan (collectively, the "Senior Loan") will be subject to the satisfaction of each of the following conditions: (i) All of the proceeds of the Senior Loan, less any transaction costs, are used to provide acquisition, construction and/or permanent financing for the Development. (ii) The lender of the Senior Loan is a state or federally chartered financial institution, a nonprofit corporation or a public entity that is not affiliated with Borrower or any of Borrower's affiliates, other than as a depositor or a lender. (iii) Borrower demonstrates to the County's satisfaction that subordination of the Deed of Trust and the Regulatory Agreements is necessary to secure adequate acquisition, construction, and/or permanent financing to ensure the viability of the Development, including the operation of the Development as affordable housing, as required by the Loan Documents. To satisfy this requirement, Borrower must provide to the County, in addition to any other information reasonably required by the County, evidence demonstrating that the proposed amount of the Senior Loan is necessary to provide adequate acquisition, construction, and/or permanent financing to ensure the viability of the Development, and adequate financing for the Development would not be available without the proposed subordination. (iv) The subordination agreement(s) is structured to minimize the risk that the Deed of Trust and the Regulatory Agreements will be extinguished as a result of a foreclosure by the Bank or other holder of the Senior Loan. To satisfy this requirement, the subordination agreement must provide the County with adequate rights to cure any defaults by Borrower, including: (1) providing the County or its successor with copies of any notices of default at the same time and in the same manner as provided to Borrower; and (2) providing the County with a cure period of at least sixty (60) days to cure any default. (v) The subordination(s) of the Loan is effective only during the original term of the Senior Loan and any extension of its term that is approved in writing by the County. (vi) The subordination does not limit the effect of the Deed of Trust and the Regulatory Agreements before a foreclosure, nor require the consent of the holder(s) of the Senior Loan prior to the County exercising any remedies available to the County under the Loan Documents. (b) Upon a determination by the County's Director – Department of Conservation and Development that the conditions in Subsection (a) have been satisfied, the Director – Department of Conservation and Development or his/her designee will be authorized 13 863\112\3501954.5 to execute the approved subordination agreement without the necessity of any further action or approval. Section 2.6 Conditions Precedent to Disbursement of Loan Funds for Construction. Until the conditions set forth in Section 2.7 have been met, the disbursements made pursuant to this Agreement may not exceed Two Million Six Hundred Thirty-Six Thousand Two Hundred Thirty Dollars ($2,636,230). The County is not obligated to disburse any portion of the Loan, or to take any other action under the Loan Documents unless all of the following conditions have been and continue to be satisfied: (a) There exists no Event of Default nor any act, failure, omission or condition that would constitute an Event of Default under this Agreement; (b) Borrower holds title to the Property or is acquiring title to the Property simultaneously with the disbursement of the Loan proceeds; (c) Borrower has delivered to the County copies of all of Borrower's organizational documents, and a copy of a corporate resolution authorizing Borrower to obtain the Loan and all other Approved Financing, and execute the Loan Documents; (d) There exists no material adverse change in the financial condition of Borrower from that shown by the financial statements and other data and information furnished by Borrower to the County prior to the date of this Agreement; (e) Borrower has furnished the County with evidence of the insurance coverage meeting the requirements of Section 4.13 below; (f) Borrower has executed and delivered to the County the Loan Documents and has caused all other documents, instruments, and policies required under the Loan Documents to be delivered to the County; (g) The Deed of Trust, the Regulatory Agreements, and the Intercreditor Agreement, have been recorded against the Property in the Office of the Recorder of the County of Contra Costa; (h) A title insurer reasonably acceptable to the County is unconditionally and irrevocably committed to issuing an LP-10 2021 ALTA Lender's Policy of title insurance insuring the priority of the Deed of Trust in the amount of the Loan, subject only to such exceptions and exclusions as may be reasonably acceptable to the County, and containing such endorsements as the County may reasonably require. Borrower shall provide whatever documentation (including an indemnification agreement), deposits or surety is reasonably required by the title company in order for the County's Deed of Trust to be senior in lien priority to any mechanics liens in connection with any start of construction that has occurred prior to the recordation of the Deed of Trust against the Property in the Office of the Recorder of the County of Contra Costa; 14 863\112\3501954.5 (i) All environmental review necessary for the construction of the Development has been completed, and Borrower has provided the County evidence of planned compliance with all NEPA and CEQA requirements and mitigation measures applicable to construction, and evidence of compliance with all NEPA and CEQA requirements and mitigation measures applicable to preconstruction; (j) The County has determined the undisbursed proceeds of the Loan, together with other funds or firm commitments for funds that Borrower has obtained in connection with the construction of the Development, are not less than the amount the County determines is necessary to pay for the construction of the Development and to satisfy all of the covenants contained in this Agreement and the Regulatory Agreements; (k) Borrower has obtained all permits and approvals necessary for the construction of the Development; (l) The County has received and approved the Bid Package for the subcontractors for the construction of the Development pursuant to Section 3.2 below; (m) The County has received and approved the general contractor's construction contract that Borrower has entered or proposed to enter for the construction of the Development pursuant to Section 3.3 below; (n) The County has received and approved labor and material (payment) bonds and performance bonds as required pursuant to Section 3.4 below; (o) Borrower has closed the loans and obtained the equity financings that comprise the Approved Financing described in Section 1.1(g), subsections (i)-(iii), and (v)- (viii) and has already received, or is eligible to receive, the funds; (p) The County has received a fully executed copy of the Partnership Agreement, in which the Investor Limited Partner is obligated to provide Borrower the Tax Credit Investor Equity; (q) The County has received fully executed Standard Agreements between the Borrower and HCD governing the commitment of the VHHP HCD Loan; (r) Borrower has provided the County a certification from the Development architect or qualified accessibility specialist that the construction plans are in conformance with the Accessibility Requirements; (s) The County has received a fully executed copy of the Agreement to Enter Housing Assistance Payment Contract between Borrower and the Housing Authority governing the commitment by the Housing Authority of project-based section 8 rental assistance for eight (8) units in the Development; (t) Borrower has provided the County an assessment of market demand for the Development, dated no earlier than twelve (12) months prior to the date of this Agreement; 15 863\112\3501954.5 (u) Borrower has submitted to the County a construction schedule reflecting a completion date no later than December 31, 2024; (v) The County has received reasonable evidence that the local match requirements set forth in 24 C.F.R. Section 92.218 et seq., have been satisfied pursuant to Section 4.1 of this Agreement; and (w) The County has received a written draw request from Borrower, including: (i) certification that the condition set forth in Section 2.6(a) continues to be satisfied; (ii) certification that the proposed uses of funds is consistent with the Approved Development Budget; (iii) the amount of funds needed; and, (iv) where applicable, a copy of the bill or invoice covering a cost incurred or to be incurred. When a disbursement is requested to pay any contractor in connection with improvements on the Property, the written request must be accompanied by: (1) certification by Borrower's architect reasonably acceptable to the County that the work for which disbursement is requested has been completed (although the County reserves the right to inspect the Property and make an independent evaluation); and (2) lien releases and/or mechanics lien title insurance endorsements reasonably acceptable to the County. Section 2.7 Conditions Precedent to Disbursement of Retention. The County is not obligated to disburse the Retention Amount unless the following conditions precedent are satisfied: (a) The County has received a completion report from Borrower setting forth: (i) the income, household size, race, and ethnicity of Tenants of the HOME- Assisted Units; (ii) and the unit address, unit size, rent amount and utility allowance for all HOME-Assisted Units; (b) The County has received a draft of the Final Cost Certification for the Development from Borrower showing all uses and sources; (c) The County has received from Borrower copies of the certificate of occupancy or equivalent final permit sign-offs for the Development; (d) The County has received from Borrower current evidence of the insurance coverage meeting the requirements of Section 4.13 below; (e) The County has received from Borrower a form of Tenant lease; (f) The County has received from Borrower a Marketing Plan and Tenant Selection Plan as defined in the HOME Regulatory Agreement; (g) The County has received a copy of a social services plan and social services budget for the provision of social services to Tenants; (h) The County has received from Borrower evidence of marketing for any vacant HOME-Assisted Unit in the Development such as copies of flyers, list of media ads, list of agencies and organizations receiving information on availability of such units, as 16 863\112\3501954.5 applicable; (i) The County has received from Borrower all relevant contract activity information, including compliance with Section 3 requirements as set forth in Section 4.6(b)(9) of the HOME Regulatory Agreement, and minority-owned (MBE) and women-owned (WBE) business requirements; (j) If Borrower was required to comply with relocation requirements as set forth in Section 3.10 below, the County has received from Borrower evidence of compliance with all applicable relocation requirements; (k) The County has received from Borrower a copy of the management agreement and contact information for the property manager of the Development and the name and phone number of the on-site property manager; (l) If Borrower is required to pay prevailing wages under the Davis- Bacon Act (40 U.S.C. 3141-3148) by the HUD regulations governing the Loan, the County has received confirmation that Borrower has submitted all certified payrolls to the County, and any identified payment issues have been resolved, or Borrower is working diligently to resolve any such issues; (m) The County has received from Borrower evidence of compliance with all NEPA mitigation requirements as set forth in Exhibit C; (n) The County has received fully executed copy of the Housing Assistance Payment Contract between Borrower and the Housing Authority governing the provision by the Housing Authority of project-based section 8 rental assistance for eight (8) units in the Development; and (o) The County has received a written draw request from Borrower, including certification that the condition set forth in Section 2.6(a) continues to be satisfied, and setting forth the proposed uses of funds consistent with the Approved Development Budget, and, where applicable, a copy of the bill or invoice covering a cost incurred or to be incurred. Borrower shall apply the disbursement for the purpose(s) requested. Section 2.8 Repayment Schedule. (a) Annual Payments of Loan. Commencing on May 15, 2025 and on May 15 of each year thereafter during the Term, Borrower shall make a Loan payment in an amount equal to the sum of (1) the County Loan Prorata Percentage of the Lenders' Share of Residual Receipts and (2) the County Additional Prorata Share multiplied by Local Lenders' Share of Residual Receipts (each such payment, an "Annual Payment"). The County shall apply all Annual Payments first, to accrued interest; and second, to principal. (b) Special Repayments of Loan from Net Proceeds of Permanent Financing. To the extent consistent with the regulations applicable to the VHHP HCD Loan, no later than ten (10) days after the date Borrower receives its final capital contribution from the Investor Limited Partner, Borrower shall pay to the County as a special repayment of the Loan, 17 863\112\3501954.5 an amount equal to the result obtained by multiplying the County Additional Prorata Share by the Available Net Proceeds (the "Special County Loan Payment"). No later than one hundred eighty (180) days following completion of construction of the Development, Borrower shall submit to the County for its review a preliminary calculation of the Net Proceeds of Permanent Financing and a draft of the Final Cost Certification as defined Section 4.3 below. The County shall approve or disapprove Borrower's determination of the amount of the Net Proceeds of Permanent Financing in writing within thirty (30) days after receipt. If Borrower's determination is disapproved by the County, Borrower shall re-submit documentation to the County until the County approval is obtained. (c) Special Repayment of the Loan for Failure to Lease. If on or before the Rental Shortfall Due Date, Borrower fails to cause each of the HOME-Assisted Units to be rented to and occupied by an Eligible Household in accordance with the HOME Regulatory Agreement, Borrower shall pay the County the Rental Shortfall Payment, plus accrued interest, on the Rental Shortfall Due Date. (i) The "Rental Shortfall Due Date" is the date that occurs eighteen (18) months after the Completion Date. (ii) The "Rental Shortfall Payment" is an amount equal to the result obtained by multiplying (1) the number of HOME-Assisted Units that have not been rented to and occupied by an Eligible Household on or before the Rental Shortfall Due Date, by (2) a fraction, the numerator of which is the then-outstanding principal balance of the Loan and the denominator of which is the number of HOME-Assisted Units. (iii) Interest on the Rental Shortfall Payment will accrue in accordance with Section 2.2(a) through the Rental Shortfall Due Date. If the Rental Shortfall Payment is not paid on or before the Rental Shortfall Due Date, interest on the Rental Shortfall Payment will accrue at the Default Rate beginning on the day after the Rental Shortfall Due Date and continuing until the Rental Shortfall Payment is paid in full with interest. (d) Payment in Full of Loan. Borrower shall pay all outstanding principal and accrued interest on the Loan, in full, on the earliest to occur of: (i) any Transfer other than as permitted pursuant to Section 6.1 of the Regulatory Agreements; (ii) an Event of Default; and (iii) the expiration of the Term. (e) Prepayment. Borrower may prepay the Loan at any time without premium or penalty. However, the Regulatory Agreements and the Deed of Trust (as security for the Regulatory Agreements) will remain in effect for the entire Term, regardless of any prepayment or Transfer. Section 2.9 Reports and Accounting of Residual Receipts. (a) Borrower shall keep and maintain at the principal place of business of Borrower set forth in Section 7.9 below, or elsewhere with the County's written consent, full, complete and appropriate books, records and accounts necessary or prudent to evidence and substantiate in full detail Borrower's calculation of Residual Receipts and disbursements of Residual Receipts. 18 863\112\3501954.5 (b) In connection with the Annual Payment, Borrower shall furnish to the County: (i)The Statement of Residual Receipts for the relevant period. The first Statement of Residual Receipts will cover the period that begins on January 1, 2024 and ends on December 31st of that same year. Subsequent statements of Residual Receipts will cover the twelve-month period that ends on December 31 of each year; (ii)A statement from the independent public accountant that audited Borrower's financial records for the relevant period, which statement must confirm that Borrower's calculation of the Lenders' Share of Residual Receipts and Local Lenders' Share of Residual Receipts is accurate based on Gross Revenue and Annual Operating Expenses; and (iii)Any additional documentation reasonably required by the County to substantiate Borrower's calculation of Lenders' Share of Residual Receipts and Local Lenders' Share of Residual Receipts. (c) The receipt by the County of any statement pursuant to subsection (b) above or any payment by Borrower or acceptance by the County of any Loan repayment for any period does not bind the County as to the correctness of such statement or payment. The County may audit the Residual Receipts and all books, records, and accounts pertaining thereto pursuant to Section 4.6 below. Section 2.10 Non-Recourse. Except as provided below, neither Borrower, nor any partner of Borrower, has any direct or indirect personal liability for payment of the principal of, and interest on, the Loan. Following recordation of the Deed of Trust, the sole recourse of the County with respect to the principal of, or interest on, the Note will be to the property described in the Deed of Trust; provided, however, that nothing contained in the foregoing limitation of liability limits or impairs the enforcement of all the rights and remedies of the County against all such security for the Note, or impairs the right of County to assert the unpaid principal amount of the Note as demand for money within the meaning and intendment of Section 431.70 of the California Code of Civil Procedure or any successor provision thereto. The foregoing limitation of liability is intended to apply only to the obligation to repay the principal and interest on the Note. Nothing contained herein is intended to relieve Borrower of its obligation to indemnify the County under the Loan Documents and Borrower shall be fully and personally liable for: (i) loss or damage of any kind resulting from waste, fraud or willful misrepresentation; (ii) the failure to pay taxes, assessments or other charges which may create liens on the Property that are payable or applicable prior to any foreclosure under the Deed of Trust (to the full extent of such taxes, assessments or other charges); (iii) the fair market value of any personal property or fixtures removed or disposed of by Borrower other than in accordance with the Deed of Trust; (iv) willful or grossly negligent violation of applicable law; and (v) the misappropriation of any proceeds under any insurance policies or awards resulting from condemnation or the exercise of the power of eminent domain or by reason of damage, loss or destruction to any portion of the Property. 19 863\112\3501954.5 ARTICLE 3 CONSTRUCTION OF THE DEVELOPMENT Section 3.1 Permits and Approvals. Borrower shall obtain all permits or permit ready letter and approvals necessary for the commencement of construction of the Development no later than June 12, 2023, or such later date that the County approves in writing. Section 3.2 Bid Package. Not later than thirty (30) days prior to Borrower's proposed date for advertising the Bid Package, Borrower shall submit to the County a copy of Borrower's general contractor's proposed Bid Package. The County's Director, Department of Conservation and Development, or his or her designee, shall approve or disapprove the Bid Package within fifteen (15) days after receipt of the Bid Package by the County. If the County rejects the proposed Bid Package the reasons therefore must be given to Borrower. Borrower will then have fifteen (15) days to revise the proposed Bid Package and resubmit it to the County. The County will then have fifteen (15) days to review and approve Borrower's new or corrected Bid Package. The provisions of this Section will continue to apply until a proposed Bid Package has been approved by the County. Borrower may not publish a proposed Bid Package until it has been approved by the County. Section 3.3 Construction Contract. (a) Not later than fifteen (15) days prior to the proposed Commencement of Construction, Borrower shall submit to the County for its approval a draft of the proposed construction contract for the Development. All construction work and professional services are to be performed by persons or entities licensed or otherwise authorized to perform the applicable construction work or service in the State of California. Each contract that Borrower enters for construction of the Development is to provide that at least ten percent (10%) of the costs incurred will be payable only upon completion of the construction, subject to early release of retention for specified subcontractors upon approval by the County. The construction contract will include all applicable HOME requirements set forth in Section 4.6 of the HOME Regulatory Agreement. The County's approval of the construction contract may not be deemed to constitute approval of or concurrence with any term or condition of the construction contract except as such term or condition may be required by this Agreement. (b) Upon receipt by the County of the proposed construction contract, the County shall promptly review same and approve or disapprove it within fifteen (15) days. If the construction contract is not approved by the County, the County shall set forth in writing and notify Borrower of the County's reasons for withholding such approval. Borrower shall thereafter submit a revised construction contract for County approval, which approval is to be granted or denied in fifteen (15) days in accordance with the procedures set forth above. Any construction contract executed by Borrower for the Development is to be in the form approved by the County. Section 3.4 Construction Bonds. Not later than thirty (30) days prior to the proposed Commencement of Construction 20 863\112\3501954.5 Borrower shall deliver to the County copies of labor and material bonds and performance bonds for the construction of the Development in an amount equal to one hundred percent (100%) of the scheduled cost of the construction of the Development. Such bonds must name the County as a co-obligee. Section 3.5 Commencement of Construction. Borrower shall cause the Commencement of Construction of the Development to occur no later than June 30, 2023, or such later date that the County approves in writing, but in no event later than 1 year from date of this Agreement. For the purposes of this Agreement, "Commencement of Construction" means the date set for the start of construction of the Development in the notice to proceed issued by Borrower to Borrower's general contractor. Section 3.6 Completion of Construction. (a) Borrower shall diligently prosecute construction of the Development to completion, and shall cause the construction of the Development to be completed no later than December 31, 2024, or such later date that the County approves in writing. Section 3.7 Changes; Construction Pursuant to Plans and Laws. (a) Changes. Borrower shall construct the Development in conformance with (i) the plans and specifications approved by the City's building department, and (ii) the Approved Development Budget. Borrower shall notify the County in a timely manner of any changes in the work required to be performed under this Agreement, including any additions, changes, or deletions to the plans and specifications approved by the City. Written authorization from the County must be obtained before any of the following changes, additions, or deletions in work for the Development may be performed: (i) any change in the work the cost of which exceeds One Hundred Thousand Dollars ($100,000); or (ii) any set of changes in the work the cost of which cumulatively Two Hundred Fifty Thousand Dollars ($250,000) or ten percent (10%) of the Loan amount, whichever is less; or (iii) any material change in building materials or equipment, specifications, or the structural or architectural design or appearance of the Development as provided for in the plans and specifications approved by the County. The County's consent to any additions, changes, or deletions to the work does not relieve or release Borrower from any other obligations under this Agreement, or relieve or release Borrower or its surety from any surety bond. (b) Compliance with Laws. Borrower shall cause all work performed in connection with the Development to be performed in compliance with: (i) all applicable laws, codes (including building codes and codes applicable to mitigation of disasters such as earthquakes), ordinances, rules and regulations of federal, state, county or municipal governments or agencies now in force or that may be enacted hereafter; 21 863\112\3501954.5 (ii) the HOME Regulations including the property standards set out in 24 C.F.R. 92.251 as implemented by Section 5.6 of the HOME Regulatory Agreement; (iii) the requirement of the Lead-Based Paint Poisoning Prevention Act, as amended (42 U.S.C. 4821 et seq.), the Residential Lead-Based Paint Hazard Reduction Act (42 U.S.C. 4851 et seq.), and implementing regulations at 24 C.F.R. Part 35; and (iv) all directions, rules and regulations of any fire marshal, health officer, building inspector, or other officer of every governmental agency now having or hereafter acquiring jurisdiction. Borrower may permit the work to proceed only after procurement of each permit, license, or other authorization that may be required by any governmental agency having jurisdiction, and Borrower is responsible to the County for the procurement and maintenance thereof. Section 3.8 Prevailing Wages. (a) Davis Bacon. Borrower shall cause construction of the Development to be in compliance with the prevailing wage requirements of the federal Davis- Bacon Act (40 U.S.C. 3141-3148). Borrower shall indemnify, hold harmless and defend (with counsel reasonably acceptable to the County) the County against any claim for damages, compensation, fines, penalties or other amounts arising out of the failure or alleged failure of any person or entity (including Borrower, its contractor and subcontractors) to pay prevailing wages as determined pursuant to the prevailing wage provisions of the federal Davis-Bacon Act and implementing rules and regulations in connection with the construction of the Development or any other work undertaken or in connection with the Property. This obligation to indemnify survives termination of this Agreement, repayment of the Loan, and the reconveyance of the Deed of Trust. (b) State Prevailing Wages. (i) To the extent required by applicable law Borrower shall: (1) pay, and shall cause any consultants or contractors to pay, prevailing wages in the construction of the Development as those wages are determined pursuant to California Labor Code Section 1720 et seq.; (2) cause any consultants or contractors to employ apprentices as required by California Labor Code Section 1777.5 et seq., and the implementing regulations of the Department of Industrial Relations (the "DIR"), and to comply with the other applicable provisions of California Labor Code Sections 1720 et seq., 1777.5 et seq., and implementing regulations of the DIR; (3) keep and retain, and shall cause any consultants and contractors to keep and retain, such records as are necessary to determine if such prevailing wages have been paid as required pursuant to California Labor Code Section 1720 et seq., and apprentices have been employed are required by California Labor Code Section 1777.5 et seq.; 22 863\112\3501954.5 (4) post at the Property, or shall cause the contractor to post at the Property, the applicable prevailing rates of per diem wages. Copies of the currently applicable current per diem prevailing wages are available from DIR; (5) cause contractors and subcontractors constructing the Development to be registered as set forth in California Labor Code Section 1725.5; (6) cause its contractors and subcontractors, in all calls for bids, bidding materials and the construction contract documents for the construction of the Development to specify that: (A) no contractor or subcontractor may be listed on a bid proposal nor be awarded a contract for the construction of the Development unless registered with the DIR pursuant to California Labor Code Section 1725.5; and (B) the construction of the Development is subject to compliance monitoring and enforcement by the DIR. (7) provide the County all information required by California Labor Code Section 1773.3 as set forth in the DIR's online form PWC-100 within 2 days of the award of any contract (https://www.dir.ca.gov/pwc100ext/); (8) cause its contractors to post job site notices, as prescribed by regulation by the DIR; and (9) cause its contractors to furnish payroll records required by California Labor Code Section 1776 directly to the Labor Commissioner, at least monthly in the electronic format prescribed by the Labor Commissioner. (ii) Borrower shall indemnify, hold harmless and defend (with counsel reasonably acceptable to the County) the County against any claim for damages, compensation, fines, penalties or other amounts arising out of the failure or alleged failure of any person or entity (including Borrower, its contractor and subcontractors) to pay prevailing wages as determined pursuant to California Labor Code Section 1720 et seq., to employ apprentices pursuant to California Labor Code Section 1777.5 et seq., to meet the conditions of California Labor Code Section 1771.4, and implementing regulations of the DIR, or to comply with the other applicable provisions of California Labor Code Sections 1720 et seq., 1777.5 et seq., and 1771.4, and the implementing regulations of the DIR, in connection with the construction of the Development or any other work undertaken or in connection with the Property. This obligation to indemnify survives termination of this Agreement, repayment of the Loan, and the reconveyance of the Deed of Trust. Section 3.9 Accessibility. (a) Borrower shall cause the Development to be constructed and operated at all times in compliance with all applicable federal, state, and local disabled persons accessibility requirements including, but not limited to the applicable provisions of: (i) the 23 863\112\3501954.5 Unruh Act, (ii) the California Fair Employment and Housing Act, (iii) Section 504 of the Rehabilitation Act of 1973, (iv) the United States Fair Housing Act, as amended, (v) the Americans with Disabilities Act of 1990, and (vi) Chapters 11A and 11B of Title 24 of the California Code of Regulations, which relate to disabled persons access (collectively, the "Accessibility Requirements"). (b) In compliance with the Accessibility Requirements, a minimum of two (2) units in the Development must be constructed to be fully accessible to households with a mobility impaired member and an additional one (1) unit in the Development must be constructed to be fully accessible to hearing and/or visually impaired persons. In compliance with the Accessibility Requirements Borrower shall provide the County with a certification from the Development architect that to the best of the architect's knowledge, the Development complies with all federal and state accessibility requirements applicable to the Development. Borrower shall indemnify, hold harmless and defend (with counsel reasonably acceptable to the County) the County against any claim for damages, compensation, fines, penalties or other amounts arising out of the failure or alleged failure of any person or entity (including Borrower, its architect, contractor and subcontractors) to construct the Development in accordance with the Accessibility Requirements. This obligation to indemnify survives termination of this Agreement, repayment of the Loan and the reconveyance of the Deed of Trust. Section 3.10 Relocation. (a) If and to the extent that acquisition and development of the Property will result in the permanent or temporary displacement of residential tenants, homeowners, or businesses, then Borrower shall comply with all applicable local, state, and federal statutes and regulations, (including without limitation the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. 4601, et seq.), and implementing regulations at 49 C.F.R. Part 24; Section 104(d) of the Housing and Community Development Act of 1974 and implementing regulations at 24 C.F.R. 42 et seq.; 24 C.F.R. 92.353; and California Government Code Section 7260 et seq. and implementing regulations at 25 California Code of Regulations Sections 6000 et seq.) with respect to preparation of a relocation plan, relocation planning, advisory assistance, and payment of monetary benefits. Borrower shall be solely responsible for payment of any relocation benefits to any displaced persons and any other obligations associated with complying with such relocation laws. (b) Borrower shall indemnify, defend and hold harmless, (with counsel reasonably acceptable to the County), the County and its board members, supervisors, directors, officers, employees, agents, successors and assigns against any claim for damages, compensation, fines, penalties, relocation payments or other amounts and expenses (including reasonable attorneys' fees) arising out of the failure or alleged failure of any person or entity (including Borrower, or the County) to satisfy relocation obligations related to the acquisition and development of the Property. This obligation to indemnify survives termination of this Agreement, repayment of the Loan and the reconveyance of the Deed of Trust. Section 3.11 Equal Opportunity. During the construction of the Development discrimination on the basis of race, color, creed, religion, age, sex, sexual orientation, marital status, national origin, ancestry, or disability 24 863\112\3501954.5 in the hiring, firing, promoting, or demoting of any person engaged in the construction work is not allowed. Section 3.12 Minority and Women-Owned Contractors. Borrower shall use its best efforts to afford minority-owned and women-owned business enterprises the maximum practicable opportunity to participate in the construction of the Development. Borrower shall, at a minimum, notify applicable minority-owned and women- owned business firms located in Contra Costa County of bid opportunities for the construction of the Development. A listing of minority owned and women owned businesses located in the County and neighboring counties is available from the County. Documentation of such notifications must be maintained by Borrower and available to the County upon request. Section 3.13 Progress Reports. Until such time as Borrower has received a certificate of occupancy from the City for the Development, Borrower shall provide the County with quarterly progress reports regarding the status of the construction of the Development, including a certification that the actual construction costs to date conform to the Approved Development Budget, as it may be amended from time to time pursuant to Section 3.17 below. Section 3.14 Construction Responsibilities. (a) Borrower is responsible for the coordination and scheduling of the work to be performed so that commencement and completion of the construction of the Development takes place in accordance with this Agreement. (b) Borrower is solely responsible for all aspects of Borrower's conduct in connection with the Development, including (but not limited to) the quality and suitability of the plans and specifications, the supervision of construction work, and the qualifications, financial condition, and performance of all architects, engineers, contractors, subcontractors, suppliers, consultants, and property managers. Any review or inspection undertaken by the County with reference to the Development is solely for the purpose of determining whether Borrower is properly discharging its obligations to the County, and may not be relied upon by Borrower or by any third parties as a warranty or representation by the County as to the quality of the design or construction of the Development. Section 3.15 Mechanics Liens, Stop Notices, and Notices of Completion. (a) If any claim of lien is filed against the Property or a stop notice affecting the Loan is served on the County or any other lender or other third party in connection with the Development, then Borrower shall, within twenty (20) days after such filing or service, either pay and fully discharge the lien or stop notice, effect the release of such lien or stop notice by delivering to the County a surety bond in sufficient form and amount, or provide the County with other assurance satisfactory to the County that the claim of lien or stop notice will be paid or discharged. (b) If Borrower fails to discharge any lien, encumbrance, charge, or 25 863\112\3501954.5 claim in the manner required in this Section, then in addition to any other right or remedy, the County may (but is under no obligation to) discharge such lien, encumbrance, charge, or claim at Borrower's expense. Alternately, the County may require Borrower to immediately deposit with the County the amount necessary to satisfy such lien or claim and any costs, pending resolution thereof. The County may use such deposit to satisfy any claim or lien that is adversely determined against Borrower. (c) Borrower shall file a valid notice of cessation or notice of completion upon cessation of construction work on the Development for a continuous period of thirty (30) days or more, and take all other steps necessary to forestall the assertion of claims of lien against the Property. Borrower authorizes the County, but the County has no obligation, to record any notices of completion or cessation of labor, or any other notice that the County deems necessary or desirable to protect its interest in the Development and Property. Section 3.16 Inspections. (a) Borrower shall permit and facilitate, and shall require its contractors to permit and facilitate, observation and inspection at the Development by the County and by public authorities during reasonable business hours during the Term, for the purposes of determining compliance with this Agreement. (b) The County will perform inspections both during and upon completion of construction of the Development to determine if the Development is being constructed in accordance with the HOME Regulations, including the property standards set forth in 24 C.F.R. 92.251. Borrower shall give the County notice when the construction of the Development is complete. If the County determines the Development is not being constructed in accordance with the HOME Regulations, the County will provide Borrower with a written report of the deficiencies. Borrower shall correct such deficiencies within the timeframe set forth in the notice provided to Borrower by the County. The Development may not be occupied until such deficiencies have been corrected to the satisfaction of the County. Section 3.17 Approved Development Budget; Revisions to Budget. As of the date of this Agreement, the County has approved the Approved Development Budget set forth in Exhibit B. Borrower shall submit any required amendments to the Approved Development Budget to the County for approval within five (5) days after the date Borrower receives information indicating that actual costs of the Development vary or will vary from the costs shown on the Approved Development Budget. Written consent of the County will be required to amend the Approved Development Budget. Section 3.18 Developer Fee. The maximum cumulative Developer Fee that may be paid to any entity or entities providing development services to the Development, whether paid up front or on a deferred basis, is not to exceed the amount allowed by TCAC and as approved by the County. For the purposes of this Agreement "Developer Fee" has the meaning set forth in California Code of Regulations, Title 4, Section 10302(l). In no event may the amount of the Developer Fee to be paid up front out of development sources exceed Two Million Five Hundred Thousand Dollars 26 863\112\3501954.5 ($2,500,000) (the "Priority Portion of Developer Fee"). If there are insufficient development sources to pay the full amount of the Priority Portion of Developer Fee upfront, then, an amount equal to the difference between the full amount of the Priority Portion of Developer Fee and the amount actually paid up front, may be paid as an Operating Expense. Any amount by which Developer Fee exceeds the Priority Portion of Developer Fee, must either be deferred and paid out of Borrower's Share of Residual Receipts or contributed to the Development. Section 3.19 Partnership Management/Asset Fee. Prior to the expiration of the Fifteen Year Compliance Period, the Partnership Management/Asset Fee is not to exceed Thirty-Nine Thousand Five Hundred Four Dollars ($39,504) per year in the aggregate, increasing by 3% annually. Such amount is intended to represent the amount of Partnership Management/Asset Fee allowed by HCD at Permanent Closing. Unpaid Partnership Management Fees may accrue for a period not to exceed three (3) fiscal years following the year during which they are earned. After the expiration of the Fifteen Year Compliance Period, the Partnership/Asset Management Fee may continue but will convert to a Partnership/Asset Management Fee payable to the partners of Borrower in an amount to be approved by the County. Section 3.20 HOME Monitoring Fee. In connection with the restrictions imposed on the Development pursuant to the HOME Regulatory Agreement, Borrower shall pay to the County a compliance monitoring fee in the amount of Two Hundred Fifty Dollars ($250) per HOME-Assisted Unit per year (the "HOME Monitoring Fee"). The HOME Monitoring Fee is payable annually throughout the Term on the same date that the Annual Payment is due, regardless of whether there are sufficient Residual Receipts to make an Annual Payment. Section 3.21 NEPA Mitigation Requirements. Borrower shall comply with the NEPA mitigation requirements set forth in the attached Exhibit C in the construction of the Development. Section 3.22 Repayment of IIG Sponsor Loan and Home Depot Sponsor Loan. The IIG Sponsor Loan and the Home Depot Sponsor Loan may only be repaid from Borrower's Share of Residual Receipts. ARTICLE 4 LOAN REQUIREMENTS Section 4.1 Match Requirement. The Borrower shall ensure that the Loan is matched with a minimum of Six Hundred Fifty-Nine Thousand Seventy Dollars ($659,070) in other, non-federal sources, pursuant to and eligible under applicable HOME Regulations. 27 863\112\3501954.5 Section 4.2 Reserve Accounts. (a) Replacement Reserve Account. Borrower shall establish and maintain an account that is available for capital expenditures for repairs and replacement necessary to maintain the Development in the condition required by the Loan Documents (the "Replacement Reserve Account"). Borrower shall make annual deposits to the Replacement Reserve Account in an amount equal to at least the lesser of 0.6% of estimated construction costs associated with structures in the Development, excluding construction contingency and general requirements, or Five Hundred Dollars ($500) per unit. Borrower shall replenish the Replacement Reserve Account as needed to maintain this amount for the period during which the Development is regulated by the County Regulatory Agreement. (b) Operating Reserve Account. Borrower shall establish and maintain an account that is available to fund operating deficits (which is the amount by which Annual Operating Expenses exceed Gross Revenue for any period) (the "Operating Reserve Account"). Borrower shall capitalize the Operating Reserve Account on a monthly basis in the amount of two percent (2%) of the gross rental income from the Development until the Operating Reserve Account reaches an amount equal to six (6) months of Operating Expenses. The Operating Reserve Account must be maintained at the level of six (6) months of Operating Expenses for the period during which the Development is regulated by the County Regulatory Agreement. Section 4.3 Financial Accountings and Post-Completion Audits. (a) No later than ninety (90) days following completion of construction of the Development, Borrower shall provide to the County for its review and approval a financial accounting of all sources and uses of funds for the Development. (b) No later than one hundred twenty (120) days after Permanent Closing, Borrower shall submit an audited financial report showing the sources and uses of all funds utilized for the Development. This requirement may be satisfied by providing the Final Cost Certification to the County. "Final Cost Certification" means the Final Cost Certification Sources and Uses of Funds prepared by Borrower for the Development that: (i) Borrower submits to TCAC; and (ii) has been prepared using generally accepted accounting standards in effect in the United States of America from time to time, consistently applied. Section 4.4 Approval of Annual Operating Budget. Borrower shall provide the following to the County for its review and approval: (i) by not later than sixty (60) days prior to commencement of each Development Fiscal Year for the Term, the estimated annual budget for the upcoming Development Fiscal Year for the operations of the Development which shall include projected income from all sources, projected expenses, including operating expenses, debt service, and deposits to and withdrawals from Development reserves (the "Annual Operating Budget"); and (ii) within ninety (90) days following the end of each Development Fiscal Year, a report showing the actual income and expenditures with respect to the Development for the immediately preceding Development Fiscal Year and the status of Development reserves. The County's review shall be limited to whether the Development is being operated and managed in accordance with the requirements and standards of the Loan 28 863\112\3501954.5 Documents. The County may request additional information to assist the County in evaluating the financial viability of the Development. Unless rejected by the County in writing within thirty (30) days after receipt of the budget, the budget will be deemed accepted. If rejected by the County in whole or in part, Borrower shall submit a new or corrected budget within thirty (30) calendar days after notification of the County's rejection and the reasons therefor. The provisions of this Section relating to time periods for resubmission of new or corrected budgets will continue to apply until such budget has been approved by the County. Section 4.5 Information. Borrower shall provide any information reasonably requested by the County in connection with the Development, including (but not limited to) any information required by HUD in connection with Borrower's use of the Loan funds. Section 4.6 County Audits. (a) Each year, Borrower shall provide the County with a copy of Borrower's annual audit, which is to include information on all of Borrower's activities and not just those pertaining to the Development. (b) In addition, the County may, at any time, audit all of Borrower's books, records, and accounts pertaining to the Development including but not limited to the Residual Receipts of the Development. Any such audit is to be conducted during normal business hours upon reasonable notice of not less than 48 hours at the principal place of business of Borrower and wherever records are kept. Immediately after the completion of an audit, the County shall deliver a copy of the results of the audit to Borrower. (c) If it is determined as a result of an audit that there has been a deficiency in a loan repayment to the County then such deficiency will become immediately due and payable, with interest at the Default Rate from the date the deficient amount should have been paid. In addition, if the audit determines that Residual Receipts have been understated for any year by the greater of: (i) Two Thousand Five Hundred Dollars ($2,500); and (ii) an amount that exceeds five percent (5%) of the Residual Receipts, then, in addition to paying the deficiency with interest, Borrower shall pay all of the County's costs and expenses connected with the audit and review of Borrower's accounts and records. Section 4.7 Hazardous Materials. (a) Borrower shall keep and maintain the Property (including but not limited to, soil and ground water conditions) in compliance with all Hazardous Materials Laws and may not cause or permit the Property to be in violation of any Hazardous Materials Law. Borrower may not cause or permit the use, generation, manufacture, storage or disposal of on, under, or about the Property or transportation to or from the Property of any Hazardous Materials, except such of the foregoing as may be customarily used in construction of projects like the Development or kept and used in and about residential property of this type. (b) Borrower shall immediately advise the County in writing if at any time it receives written notice of any Hazardous Materials Claims, and Borrower's discovery of 29 863\112\3501954.5 any occurrence or condition on any real property adjoining or in the vicinity of the Property that could cause the Property or any part thereof to be subject to any restrictions on the ownership, occupancy, transferability or use of the Property under any Hazardous Materials Law including but not limited to the provisions of California Health and Safety Code, Section 25220 et seq., or any regulation adopted in accordance therewith. (c) The County has the right to join and participate in, as a party if it so elects, and be represented by counsel acceptable to the County (or counsel of its own choice if a conflict exists with Borrower) in any legal proceedings or actions initiated in connection with any Hazardous Materials Claims and to have its reasonable attorneys' fees in connection therewith paid by Borrower. (d) Borrower shall indemnify and hold harmless the County and its board members, supervisors, directors, officers, employees, agents, successors and assigns from and against any loss, damage, cost, fine, penalty, judgment, award, settlement, expense or liability, directly or indirectly arising out of or attributable to: (i) any actual or alleged past or present violation of any Hazardous Materials Law; (ii) any Hazardous Materials Claim; (iii) any actual or alleged past or present use, generation, manufacture, storage, release, threatened release, discharge, disposal, transportation, or presence of Hazardous Materials on, under, or about the Property; (iv) any investigation, cleanup, remediation, removal, or restoration work of site conditions of the Property relating to Hazardous Materials (whether on the Property or any other property); and (v) the breach of any representation of warranty by or covenant of Borrower in this Section 4.7, and Section 5.1(l). Such indemnity shall include, without limitation: (x) all consequential damages; (y) the costs of any required or necessary investigation, repair, cleanup or detoxification of the Property and the preparation and implementation of any closure, remedial or other required plans; and (z) all reasonable costs and expenses incurred by the County in connection with clauses (x) and (y), including but not limited to reasonable attorneys' fees and consultant fees. This indemnification applies whether or not any government agency has issued a cleanup order. Losses, claims, costs, suits, liability, and expenses covered by this indemnification provision include, but are not limited to: (1) losses attributable to diminution in the value of the Property, (2) loss or restriction of use of rentable space on the Property, (3) adverse effect on the marketing of any rental space on the Property, and (4) penalties and fines levied by, and remedial or enforcement actions of any kind issued by any regulatory agency (including but not limited to the costs of any required testing, remediation, repair, removal, cleanup or detoxification of the Property and surrounding properties). This obligation to indemnify survives termination of this Agreement, repayment of the Loan and the reconveyance of the Deed of Trust, and will not be diminished or affected in any respect as a result of any notice, disclosure, knowledge, if any, to or by the County of Hazardous Materials. (e) Without the County's prior written consent, which will not be unreasonably withheld or delayed, Borrower may not take any remedial action in response to the presence of any Hazardous Materials on, under or about the Property, nor enter into any settlement agreement, consent decree, or other compromise in respect to any Hazardous Material Claims, which remedial action, settlement, consent decree or compromise might, in the County's judgment, impair the value of the County's security hereunder; provided, however, that the County's prior consent is not necessary in the event that the presence of Hazardous Materials on, under, or about the Property either poses an immediate threat to the health, safety or welfare of 30 863\112\3501954.5 any individual or is of such a nature that an immediate remedial response is necessary and it is not reasonably possible to obtain the County's consent before taking such action, provided that in such event Borrower shall notify the County as soon as practicable of any action so taken. The County agrees not to withhold its consent, where such consent is required hereunder, if: (i) a particular remedial action is ordered by a court of competent jurisdiction; (ii) Borrower will or may be subjected to civil or criminal sanctions or penalties if it fails to take a required action; (iii) Borrower establishes to the satisfaction of the County that there is no reasonable alternative to such remedial action which would result in less impairment of the County's security hereunder; or (iv) the action has been agreed to by the County. (f) Borrower hereby acknowledges and agrees that: (i) this Section is intended as the County's written request for information (and Borrower's response) concerning the environmental condition of the Property as required by California Code of Civil Procedure Section 726.5; and (ii) each representation and warranty in this Agreement (together with any indemnity obligation applicable to a breach of any such representation and warranty) with respect to the environmental condition of the Property is intended by the Parties to be an "environmental provision" for purposes of California Code of Civil Procedure Section 736. (g) In the event that any portion of the Property is determined to be "environmentally impaired" (as that term is defined in California Code of Civil Procedure Section 726.5(e)(3)) or to be an "affected parcel" (as that term is defined in California Code of Civil Procedure Section 726.5(e)(1)), then, without otherwise limiting or in any way affecting the County's or the trustee's rights and remedies under the Deed of Trust, the County may elect to exercise its rights under California Code of Civil Procedure Section 726.5(a) to: (i) waive its lien on such environmentally impaired or affected portion of the Property; and (ii) exercise, (1) the rights and remedies of an unsecured creditor, including reduction of its claim against Borrower to judgment, and (2) any other rights and remedies permitted by law. For purposes of determining the County's right to proceed as an unsecured creditor under California Code of Civil Procedure Section 726.5(a), Borrower will be deemed to have willfully permitted or acquiesced in a release or threatened release of Hazardous Materials, within the meaning of California Code of Civil Procedure Section 726.5(d)(1), if the release or threatened release of Hazardous Materials was knowingly or negligently caused or contributed to by any lessee, occupant, or user of any portion of the Property and Borrower knew or should have known of the activity by such lessee, occupant, or user which caused or contributed to the release or threatened release. All costs and expenses, including (but not limited to) attorneys' fees, incurred by the County in connection with any action commenced under this paragraph, including any action required by California Code of Civil Procedure Section 726.5(b) to determine the degree to which the Property is environmentally impaired, plus interest thereon at the Default Rate, until paid, will be added to the indebtedness secured by the Deed of Trust and is due and payable to the County upon its demand made at any time following the conclusion of such action. Section 4.8 Maintenance; Damage and Destruction. (a) During the course of both construction and operation of the Development, Borrower shall maintain the Development and the Property in good repair and in a neat, clean and orderly condition, reasonable wear and tear accepted and in accordance with the Regulatory Agreements. 31 863\112\3501954.5 (b) Subject to the requirements of senior lenders, and if economically feasible in the County's judgment after consultation with Borrower, if any improvement now or in the future on the Property is damaged or destroyed, then Borrower shall, at its cost and expense, diligently undertake to repair or restore such improvement consistent with the plans and specifications approved by the County with such changes as have been approved by the County. Such work or repair is to be commenced no later than the later of one hundred twenty (120) days, or such longer period approved by the County in writing, after the damage or loss occurs or thirty (30) days following receipt of the insurance or condemnation proceeds, and is to be complete within one (1) year thereafter. Any insurance or condemnation proceeds collected for such damage or destruction are to be applied to the cost of such repairs or restoration and, if such insurance or condemnation proceeds are insufficient for such purpose, then Borrower shall make up the deficiency. If Borrower does not promptly make such repairs then any insurance or condemnation proceeds collected for such damage or destruction are to be promptly delivered by Borrower to the County as a special repayment of the Loan, subject to the rights of the senior lenders, if any. Section 4.9 Fees and Taxes. Borrower is solely responsible for payment of all fees, assessments, taxes, charges, and levies imposed by any public authority or utility company with respect to the Property or the Development, and shall pay such charges prior to delinquency and at such times and in such manner as to prevent any penalty from accruing, or any lien or charge from attaching to the Property. Borrower is also solely responsible for payment of all personal property taxes, and all franchise, income, employment, old age benefit, withholding, sales, and other taxes assessed against it, or payable by it, and shall pay such charges prior to delinquency and at such times and in such manner as to prevent any penalty from accruing, or any lien or charge from attaching to the Property. However, Borrower is not required to pay and discharge any such charge so long as: (i) the legality thereof is being contested diligently and in good faith and by appropriate proceedings; and (ii) if requested by the County, Borrower deposits with the County any funds or other forms of assurance that the County in good faith from time to time determines appropriate to protect the County from the consequences of the contest being unsuccessful. In the event Borrower exercises its right to contest any tax, assessment, or charge against it, Borrower, on final determination of the proceeding or contest, will immediately pay or discharge any decision or judgment rendered against it, together with all costs, charges and interest. Borrower shall not apply for a property tax exemption for the Property under any provision of law except California Revenue and Taxation Section 214(g) without the prior written consent of the County. Section 4.10 Notices. Borrower shall promptly notify the County in writing of any and all of the following: 32 863\112\3501954.5 (a) Any litigation known to Borrower materially affecting Borrower, or the Property and of any claims or disputes that involve a material risk of litigation; (b) Any written or oral communication Borrower receives from any governmental, judicial, or legal authority giving notice of any claim or assertion that the Property or Improvements fail in any respect to comply with any applicable governmental law; (c) Any material adverse change in the physical condition of the Property (including any damage suffered as a result of fire, earthquakes, or floods); (d) Any material adverse change in Borrower's financial condition, any material adverse change in Borrower's operations, or any change in the management of Borrower; (e) That any of the statements in Section 5.1(m) regarding Hazardous Materials are no longer accurate; (f) Any Default or event which, with the giving of notice or the passage of time or both, would constitute a Default; and (g) Any other circumstance, event, or occurrence that results in a material adverse change in Borrower's ability to timely perform any of its obligations under any of the Loan Documents. Section 4.11 Operation of Development as Affordable Housing. Borrower shall operate the Development (i) in accordance with all applicable laws, codes, ordinances, rules and regulations of federal, state, county or municipal governments or agencies now in force or that may be enacted hereafter, and (ii) as an affordable housing development consistent with: (1) HUD's requirements for use of HOME Funds; (2) the Regulatory Agreements; (3) any other regulatory requirements imposed on Borrower including but not limited to regulatory agreements associated with the City Loan, IIG Funds, VHHP HCD Loan, and Low Income Housing Tax Credits provided by TCAC; and (4) any regulatory requirements imposed on Borrower related to the rental subsidies provided to the Development. Section 4.12 Nondiscrimination. (a) Borrower covenants by and for itself and its successors and assigns that there will be no discrimination against or segregation of a person or of a group of persons on account of race, color, creed, religion, sex, sexual orientation, marital status, national origin, source of income (e.g., SSI), ancestry, age, familial status (except for lawful senior housing in accordance with state and federal law), or disability, in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Property, nor may Borrower or any person claiming under or through Borrower establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees in the Property. The foregoing covenant will run with the land. 33 863\112\3501954.5 (b) Nothing in this Section prohibits Borrower from requiring the HOME-Assisted Units in the Development to be available to and occupied by income eligible households in accordance with the Regulatory Agreements. Section 4.13 Insurance Requirements. (a) Borrower shall maintain the following insurance coverage throughout the Term of the Loan: (i) Workers' Compensation insurance to the extent required by law, including Employer's Liability coverage, with limits not less than One Million Dollars ($1,000,000) each accident. (ii) Commercial General Liability insurance with limits not less than Two Million Dollars ($2,000,000) each occurrence combined single limit for Bodily Injury and Property Damage, including coverages for Contractual Liability, Personal Injury, Broadform Property Damage, Products and Completed Operations (which limits may be met through excess/umbrella coverage in the amount of $15,000,000). (iii) Automobile Liability insurance with limits not less than One Million Dollars ($1,000,000) each occurrence combined single limit for Bodily Injury and Property Damage, including coverages for owned, non-owned and hired vehicles, as applicable. (iv) Builders' Risk insurance during the course of construction, and upon completion of construction, property insurance covering the Development, in form appropriate for the nature of such property, covering all risks of loss, excluding earthquake, for one hundred percent (100%) of the replacement value, with deductible, if any, acceptable to the County, naming the County as a Loss Payee, as its interests may appear. Flood insurance must be obtained if required by applicable federal regulations. (v) Commercial crime insurance covering all officers and employees, for loss of Loan proceeds caused by dishonesty, in an amount approved by the County, naming the County a Loss Payee, as its interests may appear. (b) Borrower shall cause any general contractor, agent, or subcontractor working on the Development under direct contract with Borrower or subcontract to maintain insurance of the types and in at least the minimum amounts described in subsections (i), (ii), and (iii) above, except that the limit of liability for commercial general liability insurance for subcontractors must be One Million Dollars ($1,000,000), and must require that such insurance will meet all of the general requirements of subsections (d) and (e) below. (c) The required insurance must be provided under an occurrence form, and Borrower shall maintain the coverage described in subsection (a) continuously throughout the Term. Should any of the required insurance be provided under a form of coverage that includes an annual aggregate limit or provides that claims investigation or legal defense costs be included in such annual aggregate limit, such annual aggregate limit must be three times the occurrence limits specified above. 34 863\112\3501954.5 (d) Commercial General Liability, Automobile Liability and Property insurance policies must be endorsed to name as an additional insured the County and its officers, agents, employees and members of the County Board of Supervisors. (e) All policies and bonds are to contain: (i) the agreement of the insurer to give the County at least ten (10) days' notice prior to cancellation or material change for non-payment of premium, and thirty (30) days' notice prior to cancellation for any other change or cancellation in said policies; (ii) an agreement that such policies are primary and non-contributing with any insurance that may be carried by the County; (iii) a provision that no act or omission of Borrower shall affect or limit the obligation of the insurance carrier to pay the amount of any loss sustained; and (iv) a waiver by the insurer of all rights of subrogation against the County and its authorized parties in connection with any loss or damage thereby insured against. Section 4.14 Covenants Regarding Approved Financing and Partnership Agreement. (a) Borrower shall promptly pay the principal and interest when due on any Approved Financing. (b) Borrower shall promptly notify the County in writing of the existence of any default under any documents evidencing Approved Financing whether or not a default has been declared by the lender, and any defaults under the Partnership Agreement, and provide the County copies of any notice of default. (c) Borrower may not amend, modify, supplement, cancel or terminate the Partnership Agreement or any documents related to any loan that is part of the Approved Financing without the prior written consent of the County except for amendments solely to effectuate Transfers permitted under Section 6.1 of the Regulatory Agreements. Borrower shall provide the County copies of all amendments, modifications, and supplements to the Partnership Agreement and any document related to any loan that is part of Approved Financing. (d) Borrower may not incur any indebtedness of any kind other than Approved Financing or encumber the Development with any liens (other than liens for Approved Financing approved by the County) without the prior written consent of the County. (e) To the extent the Partnership Agreement is inconsistent with this Agreement with respect to the repayment of the Loan including, without limitation, the Residual Receipts definition and the payment provisions of Section 2.8 above, this Agreement will control. Any payments made in conflict with the Residual Receipts definition and payment requirements of this Agreement will be considered an Event of Default. 35 863\112\3501954.5 ARTICLE 5 REPRESENTATIONS AND WARRANTIES OF BORROWER Section 5.1 Representations and Warranties. Borrower hereby represents and warrants to the County as follows and acknowledges, understands, and agrees that the representations and warranties set forth in this Article 5 are deemed to be continuing during all times when any portion of the Loan remains outstanding: (a) Organization. Borrower is duly organized, validly existing and in good standing under the laws of the State of California and has the power and authority to own its property and carry on its business as now being conducted. (b) Authority of Borrower. Borrower has full power and authority to execute and deliver this Agreement and to make and accept the borrowings contemplated hereunder, to execute and deliver the Loan Documents and all other documents or instruments executed and delivered, or to be executed and delivered, pursuant to this Agreement, and to perform and observe the terms and provisions of all of the above. (c) Authority of Persons Executing Documents. This Agreement and the Loan Documents and all other documents or instruments executed and delivered, or to be executed and delivered, pursuant to this Agreement have been executed and delivered by persons who are duly authorized to execute and deliver the same for and on behalf of Borrower, and all actions required under Borrower's organizational documents and applicable governing law for the authorization, execution, delivery and performance of this Agreement and the Loan Documents and all other documents or instruments executed and delivered, or to be executed and delivered, pursuant to this Agreement, have been duly taken. (d) Valid Binding Agreements. The Loan Documents and all other documents or instruments executed and delivered pursuant to or in connection with this Agreement constitute or, if not yet executed or delivered, will when so executed and delivered constitute, legal, valid and binding obligations of Borrower enforceable against it in accordance with their respective terms. (e) No Breach of Law or Agreement. Neither the execution nor delivery of the Loan Documents or of any other documents or instruments executed and delivered, or to be executed or delivered, pursuant to this Agreement, nor the performance of any provision, condition, covenant or other term hereof or thereof, will: (i) conflict with or result in a breach of any statute, rule or regulation, or any judgment, decree or order of any court, board, commission or agency whatsoever that is binding on Borrower, or conflict with any provision of the organizational documents of Borrower, or conflict with any agreement to which Borrower is a party; or (ii) result in the creation or imposition of any lien upon any assets or property of Borrower, other than liens established pursuant hereto. (f) Compliance with Laws; Consents and Approvals. The construction of the Development will comply with all applicable laws, ordinances, rules and 36 863\112\3501954.5 regulations of federal, state and local governments and agencies and with all applicable directions, rules and regulations of the fire marshal, health officer, building inspector and other officers of any such government or agency. (g) Pending Proceedings. Borrower is not in default under any law or regulation or under any order of any court, board, commission or agency whatsoever, and there are no claims, actions, suits or proceedings pending or, to the knowledge of Borrower, threatened against or affecting Borrower or the Development, at law or in equity, before or by any court, board, commission or agency whatsoever which might, if determined adversely to Borrower, materially affect Borrower's ability to repay the Loan or impair the security to be given to the County pursuant hereto. (h) Title to Land. At the time of recordation of the Deed of Trust, Borrower will have good and marketable fee title to the Development and there will exist thereon or with respect thereto no mortgage, lien, pledge or other encumbrance of any character whatsoever other than liens shown on the County's title policy provided pursuant to Section 2.6(h) above, or approved in writing by the County. (i) Financial Statements. The financial statements of Borrower and other financial data and information furnished by Borrower to the County fairly and accurately present the information contained therein. As of the date of this Agreement, there has not been any material adverse change in the financial condition of Borrower from that shown by such financial statements and other data and information. (j) Sufficient Funds. Borrower holds sufficient funds and/or binding commitments for sufficient funds to complete the acquisition of the Property and the construction of the Development in accordance with the terms of this Agreement. (k) Taxes. Borrower and its subsidiaries have filed all federal and other material tax returns and reports required to be filed, and have paid all federal and other material taxes, assessments, fees and other governmental charges levied or imposed upon them or their income or the Property otherwise due and payable, except those that are being contested in good faith by appropriate proceedings and for which adequate reserves have been provided in accordance with generally accepted accounting principles. There is no proposed tax assessment against Borrower or any of its subsidiaries that could, if made, be reasonably expected to have a material adverse effect on the property, liabilities (actual or contingent), operations, condition (financial or otherwise) or prospects of Borrower and its subsidiaries, taken as a whole, or which could result in (i) a material impairment of the ability of Borrower to perform under any loan document to which it is a party, or (ii) a material adverse effect upon the legality, validity, binding effect or enforceability against Borrower of any Loan Document. (l) Hazardous Materials. To the best of Borrower's knowledge, except as disclosed in writing by Borrower to the County prior to the date of this Agreement: (i) no Hazardous Material has been disposed of, stored on, discharged from, or released to or from, or otherwise now exists in, on, under, or around, the Property; (ii) neither the Property nor Borrower is in violation of any Hazardous Materials Law; and (iii) neither the Property nor Borrower is subject to any existing, pending or threatened Hazardous Materials Claims. 37 863\112\3501954.5 ARTICLE 6 DEFAULT AND REMEDIES Section 6.1 Events of Default. Any one or more of the following constitutes an "Event of Default" by Borrower under this Agreement: (a) Failure to Construct. If Borrower fails to obtain permits, or to commence and prosecute construction of the Development to completion, within the times set forth in Article 3 above, subject to force majeure. (b) Failure to Make Payment. If Borrower fails to make any payment when such payment is due pursuant to the Loan Documents. (c) Failure to Submit Plans. If Borrower fails to submit a Marketing Plan or Tenant Selection Plan that is approved by the County in accordance with the Regulatory Agreements. (d) Breach of Covenants. If Borrower fails to duly perform, comply with, or observe any other condition, term, or covenant contained in this Agreement (other than as set forth in Section 6.1(a) through Section 6.1(c), and Section 6.1(e) through Section 6.1(m)), or in any of the other Loan Documents, and Borrower fails to cure such default within thirty (30) days after receipt of written notice thereof from the County to Borrower. (e) Default Under Other Loans. If a default is declared under any other financing for the Development by the lender of such financing and such default remains uncured following any applicable notice and cure period. (f) Insolvency. If a court having jurisdiction makes or enters any decree or order: (i) adjudging Borrower to be bankrupt or insolvent; (ii) approving as properly filed a petition seeking reorganization of Borrower, or seeking any arrangement for Borrower under the bankruptcy law or any other applicable debtor's relief law or statute of the United States or any state or other jurisdiction; (iii) appointing a receiver, trustee, liquidator, or assignee of Borrower in bankruptcy or insolvency or for any of their properties; (iv) directing the winding up or liquidation of Borrower if any such decree or order described in clauses (i) to (iv), inclusive, is unstayed or undischarged for a period of ninety (90) calendar days; or (v) Borrower admits in writing its inability to pay its debts as they fall due or will have voluntarily submitted to or filed a petition seeking any decree or order of the nature described in clauses (i) to (iv), inclusive. The occurrence of any of the Events of Default in this paragraph will act to accelerate automatically, without the need for any action by the County, the indebtedness evidenced by the Note. (g) Assignment; Attachment. If Borrower assigns its assets for the benefit of its creditors or suffers a sequestration or attachment of or execution on any substantial part of its property, unless the property so assigned, sequestered, attached or executed upon is returned or released within ninety (90) calendar days after such event or, if sooner, prior to sale pursuant to such sequestration, attachment, or execution. The occurrence of any of the events of 38 863\112\3501954.5 default in this paragraph shall act to accelerate automatically, without the need for any action by the County, the indebtedness evidenced by the Note. (h) Suspension; Termination. If Borrower voluntarily suspends its business or, the partnership is dissolved or terminated, other than a technical termination of the partnership for tax purposes. (i) Liens on Property and the Development. If any claim of lien (other than liens allowed pursuant to any Loan Document or approved in writing by the County) is filed against the Development or any part thereof, or any interest or right made appurtenant thereto, or the service of any notice to withhold proceeds of the Loan and the continued maintenance of said claim of lien or notice to withhold for a period of twenty (20) days, without discharge or satisfaction thereof or provision therefor (including, without limitation, the posting of bonds) satisfactory to the County. (j) Condemnation. If there is a condemnation, seizure, or appropriation of all or the substantial part of the Property and the Development other than by the County. (k) Unauthorized Transfer. If any Transfer occurs other than as permitted pursuant to Section 6.1 of the Regulatory Agreements. (l) Representation or Warranty Incorrect. If any Borrower representation or warranty contained in this Agreement, or in any application, financial statement, certificate, or report submitted to the County in connection with any of the Loan Documents, proves to have been incorrect in any material respect when made. (m) Applicability to General Partner. The occurrence of any of the events set forth in Section 6.1(f), through Section 6.1(h) in relation to Borrower's managing general partner, unless the removal and replacement of Borrower's managing general partner in accordance with Section 6.1(f) of the Regulatory Agreements within the time frame set forth in Section 6.5 cures such a default. Section 6.2 Remedies. Upon the occurrence of an Event of Default and until such Event of Default is cured or waived, the County is relieved of any obligation to disburse any portion of the Loan. In addition, upon the occurrence of an Event of Default and following the expiration of all applicable notice and cure periods the County may proceed with any and all remedies available to it under law, this Agreement, and the other Loan Documents. Such remedies include but are not limited to the following: (a) Acceleration of Note. The County may cause all indebtedness of Borrower to the County under this Agreement and the Note, together with any accrued interest thereon, to become immediately due and payable. Borrower waives all right to presentment, demand, protest or notice of protest or dishonor. The County may proceed to enforce payment of the indebtedness and to exercise any or all rights afforded to the County as a creditor and secured party under the law including the Uniform Commercial Code, including foreclosure under the 39 863\112\3501954.5 Deed of Trust. Borrower is liable to pay the County on demand all reasonable expenses, costs and fees (including, without limitation, reasonable attorney's fees and expenses) paid or incurred by the County in connection with the collection of the Loan and the preservation, maintenance, protection, sale, or other disposition of the security given for the Loan. (b) Specific Performance. The County has the right to mandamus or other suit, action or proceeding at law or in equity to require Borrower to perform its obligations and covenants under the Loan Documents or to enjoin acts on things that may be unlawful or in violation of the provisions of the Loan Documents. (c) Right to Cure at Borrower's Expense. The County has the right (but not the obligation) to cure any monetary default by Borrower under a loan other than the Loan. Upon demand therefor, Borrower shall reimburse the County for any funds advanced by the County to cure such monetary default by Borrower, together with interest thereon from the date of expenditure until the date of reimbursement at the Default Rate. Section 6.3 Right of Contest. Borrower may contest in good faith any claim, demand, levy, or assessment the assertion of which would constitute an Event of Default hereunder. Any such contest is to be prosecuted diligently and in a manner unprejudicial to the County or the rights of the County hereunder. Section 6.4 Remedies Cumulative. No right, power, or remedy given to the County by the terms of this Agreement or the other Loan Documents is intended to be exclusive of any other right, power, or remedy; and each and every such right, power, or remedy is cumulative and in addition to every other right, power, or remedy given to the County by the terms of any such instrument, or by any statute or otherwise against Borrower and any other person. Neither the failure nor any delay on the part of the County to exercise any such rights and remedies will operate as a waiver thereof, nor does any single or partial exercise by the County of any such right or remedy preclude any other or further exercise of such right or remedy, or any other right or remedy. Section 6.5 Notice and Cure Rights of Limited Partner. The County shall provide the Investor Limited Partner and any limited partner of Borrower who has requested written notice from the County ("Permitted Limited Partner") a duplicate copy of all notices of default that the County may give to or serve in writing upon Borrower pursuant to the terms of the Loan Documents, at the address set forth in Section 7.9, provided, the County shall have no liability to the Permitted Limited Partner for its failure to do so. The Permitted Limited Partner has the right, but not the obligation, to cure any default of Borrower set forth in such notice, during the applicable cure period described in the Loan Documents, and the County will accept tender of such cure as if delivered by Borrower. If the Permitted Limited Partner is unable to cure a default because Borrower's general partner is in bankruptcy and/or because the cure requires removal of the general partner of Borrower and the Permitted Limited Partner is proceeding diligently to remove the general partner of Borrower in order to effect a cure of the Default, the cure period will be extended for such reasonable time as is necessary for 40 863\112\3501954.5 the Permitted Limited Partner to effect a cure of the Default, but in no event longer than sixty (60) days after the date of receipt by the Permitted Limited Partner of written notice of the default. ARTICLE 7 GENERAL PROVISIONS Section 7.1 Relationship of Parties. Nothing contained in this Agreement is to be interpreted or understood by any of the Parties, or by any third persons, as creating the relationship of employer and employee, principal and agent, limited or general partnership, or joint venture between the County and Borrower or its agents, employees or contractors, and Borrower will at all times be deemed an independent contractor and to be wholly responsible for the manner in which it or its agents, or both, perform the services required of it by the terms of this Agreement. Borrower has and retains the right to exercise full control of employment, direction, compensation, and discharge of all persons assisting in the performance of services under the Agreement. In regards to the construction and operation of the Development, Borrower is solely responsible for all matters relating to payment of its employees, including compliance with Social Security, withholding, and all other laws and regulations governing such matters, and must include requirements in each contract that contractors are solely responsible for similar matters relating to their employees. Borrower is solely responsible for its own acts and those of its agents and employees. Section 7.2 No Claims. Nothing contained in this Agreement creates or justifies any claim against the County by any person that Borrower may have employed or with whom Borrower may have contracted relative to the purchase of materials, supplies or equipment, or the furnishing or the performance of any work or services with respect to the purchase of the Property, the construction or operation of the Development, and Borrower shall include similar requirements in any contracts entered into for the construction or operation of the Development. Section 7.3 Amendments. No alteration or variation of the terms of this Agreement is valid unless made in writing by the Parties. The County Director of the Department of Conservation and Development is authorized to execute on behalf of the County amendments to the Loan Documents or amended and restated Loan Documents as long as any discretionary change in the amount or terms of this Agreement is approved by the County's Board of Supervisors. Section 7.4 Indemnification. Borrower shall indemnify, defend and hold the County and its board members, supervisors, directors, officers, employees, agents, successors and assigns harmless against any and all claims, suits, actions, losses and liability of every kind, nature and description made against it and expenses (including reasonable attorneys' fees) which arise out of or in connection with this Agreement, including but not limited to the purchase of the Property and the development, construction, marketing and operation of the Development, except to the extent such claim arises from the gross negligence or willful misconduct of the County, its agents, and 41 863\112\3501954.5 its employees. This obligation to indemnify survives termination of this Agreement, repayment of the Loan, and the reconveyance of the Deed of Trust. Section 7.5 Non-Liability of County Officials, Employees and Agents. No member, official, employee or agent of the County is personally liable to Borrower in the event of any default or breach of this Agreement by the County or for any amount that may become due from the County pursuant to this Agreement. Section 7.6 No Third Party Beneficiaries. There are no third party beneficiaries to this Agreement. Section 7.7 Discretion Retained By County. The County's execution of this Agreement in no way limits any discretion the County may have in the permit and approval process related to the construction of the Development. Section 7.8 Conflict of Interest. (a) Except for approved eligible administrative or personnel costs, no person described in Section 7.8(b) below who exercises or has exercised any functions or responsibilities with respect to the activities funded pursuant to this Agreement or who is in a position to participate in a decision-making process or gain inside information with regard to such activities, may obtain a financial interest or benefit from the activity, or have a financial interest in any contract, subcontract or agreement with respect thereto, or the proceeds thereunder, either for themselves or those with whom they have immediate family or business ties, during, or at any time after, such person's tenure. Borrower shall exercise due diligence to ensure that the prohibition in this Section 7.8(a) is followed. (b) The conflict of interest provisions of Section 7.8(a) above apply to any person who is an employee, agent, consultant, officer, or elected or appointed official of the County. (c) In accordance with California Government Code Section 1090 and the Political Reform Act, California Government Code section 87100 et seq., no person who is a director, officer, partner, trustee or employee or consultant of Borrower, or immediate family member of any of the preceding, may make or participate in a decision, made by the County or a County board, commission or committee, if it is reasonably foreseeable that the decision will have a material effect on any source of income, investment or interest in real property of that person or Borrower. Interpretation of this section is governed by the definitions and provisions used in the Political Reform Act, California Government Code Section 87100 et seq., its implementing regulations manual and codes, and California Government Code Section 1090. Section 7.9 Notices, Demands and Communications. All notices required or permitted by any provision of this Agreement must be in writing and sent by registered or certified mail, postage prepaid, return receipt requested, or delivered by 42 863\112\3501954.5 express delivery service, return receipt requested, or delivered personally, to the principal office of the Parties as follows: County: County of Contra Costa Department of Conservation and Development 30 Muir Road Martinez, CA 94553 Attention: Assistant Deputy Director Borrower: Pinole Housing, L.P. c/o Satellite Affordable Housing Associates 1835 Alcatraz Avenue Berkeley, CA 94703 Attention: Chief Executive Officer With a copy to: Gubb & Barshay LLP 235 Montgomery Street, Suite 1110 San Francisco, CA 94104 Attention: Erica Williams Orcharton Investor Limited Partner: RJ MT Pinole Housing L.L.C. c/o Raymond James Affordable Housing Investments, Inc. 880 Carillon Parkway St. Petersburg, Florida 33716 Facsimile No.: 727-567-8455 Attention: Steven J. Kropf, President Email Address: Steve.Kropf@RaymondJames.com with a copy to: Nixon Peabody LLP Exchange Place 53 State Street Boston, MA 02109 Attn: Nathan A. Bernard Email Address: nbernard@nixonpeabody.com Such written notices, demands and communications may be sent in the same manner to such other addresses as the affected party may from time to time designate by mail as provided in this Section. Receipt will be deemed to have occurred on the date shown on a written receipt as the date of delivery or refusal of delivery (or attempted delivery if undeliverable). Section 7.10 Applicable Law. This Agreement is governed by the laws of the State of California. 43 863\112\3501954.5 Section 7.11 Parties Bound. Except as otherwise limited herein, this Agreement binds and inures to the benefit of the parties and their heirs, executors, administrators, legal representatives, successors, and assigns. This Agreement is intended to run with the land and to bind Borrower and its successors and assigns in the Property and the Development for the entire Term, and the benefit hereof is to inure to the benefit of the County and its successors and assigns. Section 7.12 Severability. If any term of this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remainder of the provisions will continue in full force and effect unless the rights and obligations of the parties have been materially altered or abridged by such invalidation, voiding or unenforceability. Section 7.13 Force Majeure. In addition to specific provisions of this Agreement, performance by either party will not be deemed to be in default where delays or defaults are due to war, insurrection, strikes, lock- outs, riots, floods, earthquakes, fires, quarantine restrictions, freight embargoes, lack of transportation, or court order. An extension of time for any cause will be deemed granted if notice by the party claiming such extension is sent to the other within ten (10) days from the commencement of the cause and such extension of time is not rejected in writing by the other party within ten (10) days after receipt of the notice. In no event will the County be required to agree to cumulative delays in excess of one hundred eighty (180) days. Section 7.14 County Approval. The County has authorized the County Director, Department of Conservation and Development to execute the Loan Documents and deliver such approvals or consents as are required by this Agreement, and to execute estoppel certificates concerning the status of the Loan and the existence of Borrower defaults under the Loan Documents. Section 7.15 Waivers. Any waiver by the County of any obligation or condition in this Agreement must be in writing. No waiver will be implied from any delay or failure by the County to take action on any breach or default of Borrower or to pursue any remedy allowed under this Agreement or applicable law. Any extension of time granted to Borrower to perform any obligation under this Agreement does not operate as a waiver or release from any of its obligations under this Agreement. Consent by the County to any act or omission by Borrower may not be construed to be consent to any other or subsequent act or omission or to waive the requirement for the County's written consent to future waivers. Section 7.16 Title of Parts and Sections. Any titles of the sections or subsections of this Agreement are inserted for convenience of reference only and are to be disregarded in interpreting any part of the Agreement's provisions. 44 863\112\3501954.5 Section 7.17 Entire Understanding of the Parties. The Loan Documents constitute the entire agreement of the parties with respect to the Loan. Section 7.18 Multiple Originals; Counterpart. This Agreement may be executed in multiple originals, each of which is deemed to be an original, and may be signed in counterparts. Remainder of Page Left Intentionally Blank Signature page County Loan Agreement 863\112\3501954.5 45 The parties are entering into this Agreement as of the last date set forth below. COUNTY: COUNTY OF CONTRA COSTA, a political subdivision of the State of California By: ____________________________________ John Kopchik Director, Department of Conservation and Development Date: May 1, 2023 APPROVED AS TO FORM: THOMAS L. GEIGER County Counsel By: ______________________ Kathleen Andrus Deputy County Counsel BORROWER: PINOLE HOUSING, L.P., a California limited partnership By: PINOLE HOUSING LLC, a California limited liability company, its general partner By: Satellite Affordable Housing Associates, a California nonprofit public benefit corporation, its sole member and manager By: ____________________________ Susan Friedland, Chief Executive Officer Date: May 1, 2023 A-1 863\112\3501954.5 EXHIBIT A LEGAL DESCRIPTION OF THE PROPERTY The land referred to is situated in the County of Contra Costa, City of Pinole, State of California, and is described as follows: PARCEL ONE: Portion Lot "C", Map of Dohrmann Ranch, filed December 21, 1895, Map Book "E", Page 115, Contra Costa County Records, described as follows: Beginning on the South line of San Pablo Avenue, at the West line of the parcel of land described in the Deed to Claude C. Orr, recorded November 29, 1946, Book 964 Official Records, Page 391; thence from said point of beginning along the West and South lines of said Orr Parcel, South 9° 37' West, 129.31 feet and South 80° 23' East, 4 feet; thence South 9° 37' West, 35.90 feet to the Northwest corner of Lot 35, as shown on the Map of Meadow Parcel, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records; thence along the exterior lines of said Meadow Park Unit No. 1, North 80° 23' West, 110 feet and South 50° 27' West, 110.53 feet to an angle point therein, being on the West line of said Lot C; thence North 19° 08' East, along said West line, 224.37 feet to the South line of said San Pablo Avenue; thence Easterly along said South line, along the arc of a curve to the right with a radius of 2,950 feet, the center of which bears South 2° 51' 06" East, an arc distance of 143.72 feet to the point of beginning. Excepting from Parcel One: All that portion thereof conveyed in the Deed to Frank A. Archambault, et ux, recorded July 21, 1957, Book 3002 Official Records, Page 174. PARCEL TWO: Portion of Lot 33, Map of Meadow Park, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records, described as follows: Beginning at the Northeast corner of said Lot 33; thence from said point of beginning along the North line of said Lot 33, North 79° 19' 10" West, 50 feet (the bearing of North 79° 19' 10" West being taken for the purpose of this description) and South 51° 30' 50" West, 62.97 feet; thence North 76° 09' 30" East, 100.25 feet to the East line of said Lot 33, distant thereon South 10° 26' 36" West, 6.04 feet from the Northeast corner thereof; thence North 10° 26' 36" East, along said East line, 6.04 feet to the point of beginning. PARCEL THREE: A right of way (not to be exclusive) as an appurtenance to Parcels One and Two above, for use as a roadway for vehicles of all kinds, pedestrians and animals, for water, gas, oil and sewer pipe A-2 863\112\3501954.5 lines, and for telephone, television service, electric light and power lines, together with the necessary poles or conduits, over a portion of Lot C, Map of Dohrmann Ranch, filed December 21, 1895, Map Book "E", Page 115, Contra Costa County Records, being a strip of land 15 feet in width, the North line of which is described as follows: Beginning on the West line of Meadow Avenue, as shown on the Map of Meadow Park, Unit No. 1, filed July 6, 1951, Map Book 44, Page 29, Contra Costa County Records, at the South line of the parcel of land described in the Deed to Claude C. Orr, recorded November 29, 1946, in Book 964 Official Records, Page 391; thence from said point of beginning, North 80° 23' West, along said South line, 60 feet to an East line of Parcel One above. APN: 402-166-030 B-1 863\112\3501954.5 EXHIBIT B APPROVED DEVELOPMENT BUDGET C-1 863\112\3501954.5 EXHIBIT C NEPA MITIGATION REQUIREMENTS NEPA Mitigation and Monitoring Plan – _Pinole Housing – 811 San Pablo Avenue, Pinole___ All mitigations / conditions of approval must be included in the project agreement and/or legal documents. Compliance with mitigations / conditions of approval must be documented prior to final payment of County funds. Mitigation Measure(s) Source Method and date County staff informed Project Sponsor Included in County loan document and /or project agreement Verification of Mitigation Measure(s) Responsible for implementation Mitigation Timing Responsible for monitoring and reporting on implementation Monitoring and reporting frequency Verification of compliance Date completed Comments Air Quality AQ1 BAAQMD Screening Thresholds, California Emissions Estimator Model City of Pinole Approved Construction Plans Project Sponsor, architect, contractor Pre, during, and post construction Project Sponsor, architect, contractor Ongoing Letter from Architect Copy of final building permit Endangered Species Act ES1 ES2 List of Threatened and Endangered Species Letter (U.S. Department of the Interior, Fish and Wildlife Service, September 13, 2022) City of Pinole Approved Construction Plans Project Sponsor, architect, contractor Pre and during construction Project Sponsor, architect, contractor Ongoing Letter from Architect Copy of final building permit Archaeological Monitoring Plan CR1 Archaeological Monitoring Plan (Evans & De Shazo, Inc., February 9, City of Pinole Approved Construction Plans Project Sponsor, architect, contractor Pre and during construction Project Sponsor, architect, contractor Ongoing Letter from Architect Copy of C-2 863\112\3501954.5 2022) final building permit Noise Abatement and Control N1 N2 N3 811 San Pablo Affordable Housing CCR Title 24 and CalGreen Noise Study Report (Wilson Ihrig, April 22, 2022) City of Pinole Approved Construction Plans Project Sponsor, architect, contractor Pre, during, and post construction Project Sponsor, architect, contractor Ongoing Letter from Architect Copy of final Building Permit Geotechnical Investigation Report G1 Geotechnical Investigation Report (Rockridge Geotechnical, September 8, 2021 or later) City of Pinole Approved Construction Plans Project Sponsor, architect, contractor Pre and during construction Project Sponsor, architect, contractor Ongoing Letter from Architect Copy of final building permit Conditions for Approval: (List all mitigation measures adopted by the responsible entity to eliminate or minimize adverse environmental impacts. These conditions must be included in project contracts and other relevant documents as requirements). [24 CFR 58.40(d), 40 CFR 1505.2(c)] Air Quality AQ1. The following measures shall be required to reduce toxic air contaminants (TACs) and particulate matter indoors to a level sufficient to achieve compliance with BAAQMD health risk thresholds: a. The project applicant shall provide an HVAC system with a control efficiency sufficient to result in a reduction of a minimum 35 percent of particulates of 10 microns or less, such as Minimum Efficiency Reporting Value (MERV)-6 filters or greater, for indoor air filtration systems. The ventilation system shall be certified to achieve the stated performance effectiveness from indoor areas. b. The project applicant shall locate all air intakes as far away from San Pablo Avenue as feasible. Endangered Species Act ES1. Adequate measures should be taken to avoid any inadvertent taking of raptor nests and other nesting birds protected under the Migratory Bird Treaty Act when in active use. These should be accomplished by taking the following steps: a. If vegetation removal and initial construction is proposed during the nesting season (March to August), a focused survey for nesting raptors and other migratory birds should be conducted by a qualified biologist within 14 days prior to the onset of vegetation removal or construction, in order to identify any active nests on the proposed project site and in the vicinity of proposed construction. C-3 863\112\3501954.5 b. If no active nests are identified during the construction survey period, or if development is initiated during the non-breeding season (September to February), vegetation removal and construction may proceed with no restrictions. c. If protected bird nests are found, an adequate setback should be established around the nest location and vegetation removal and construction activities restricted within this no-disturbance zone until the qualified biologist has confirmed that any young birds have fledged and are able to function outside the nest location. Required setback distances for the no-disturbance zone should be based on input received from the California Department of Department of Fish and Wildlife (CDFW), and may vary depending on species and sensitivity to disturbance. As necessary, the no-disturbance zone should be fenced with temporary orange construction fencing if construction is to be initiated on the remainder of the development site. d. A report of findings should be prepared by a qualified biologist and submitted to the City of Pinole for review and approval prior to initiation of construction within the no-disturbance zone during the nesting season (March to August). The report should either confirm absence of any active nests or should confirm that any young are located within a designated no-disturbance zone and construction can proceed. ES2. Obtain a Tree Removal Permit from the City of Pinole, Public Works Department prior to removal of any trees. Archaeological Monitoring Plan CR1. The developer and developer’s contractor(s) shall adhere to the Archaeological Monitoring Plan (AMP) prepared by Evans & De Shazo, Inc. and dated February 9, 2022 at all times during project activities. Noise Abatement and Control N1. The applicant shall provide window/wall sound-rated assemblies for all units as shown on the attached figures to provide interior noise of 45 dBA CNEL or less. N2. All units shall be provided with mechanical ventilation so that windows may remain closed to control interior noise. N3. Apply outlet box pads and caulk to all electrical boxes in exterior walls, as one would in all corridor, party, and other sound rated interior partitions (including floor-ceiling assemblies). Thoroughly caulk around all edges of electrical outlet boxes and other penetrations with non-hardening acoustical sealant. See schematic detail in Figure. Geotechnical Investigation Report G1. The applicant shall follow all recommendations in the Geotechnical Investigation Report prepared by Rockridge Geotechnical and dated September 8, 2021 or later. TABLE OF CONTENTS Page i 863\112\3501954.5 ARTICLE 1 DEFINITIONS AND EXHIBITS ............................................................................2 Section 1.1 Definitions................................................................................................... 2 Section 1.2 Exhibits ..................................................................................................... 11 ARTICLE 2 LOAN PROVISIONS ............................................................................................11 Section 2.1 Loan. ......................................................................................................... 11 Section 2.2 Interest....................................................................................................... 11 Section 2.3 Use of Loan Funds. ................................................................................... 11 Section 2.4 Security. .................................................................................................... 11 Section 2.5 Subordination. ........................................................................................... 12 Section 2.6 Conditions Precedent to Disbursement of Loan Funds for Construction. ............................................................................................. 13 Section 2.7 Conditions Precedent to Disbursement of Retention. ............................... 15 Section 2.8 Repayment Schedule. ................................................................................ 16 Section 2.9 Reports and Accounting of Residual Receipts.......................................... 17 Section 2.10 Non-Recourse. .......................................................................................... 18 ARTICLE 3 CONSTRUCTION OF THE DEVELOPMENT ...................................................19 Section 3.1 Permits and Approvals. ............................................................................. 19 Section 3.2 Bid Package. ............................................................................................. 19 Section 3.3 Construction Contract. .............................................................................. 19 Section 3.4 Construction Bonds. .................................................................................. 19 Section 3.5 Commencement of Construction. ............................................................. 20 Section 3.6 Completion of Construction. ..................................................................... 20 Section 3.7 Changes; Construction Pursuant to Plans and Laws. ................................ 20 Section 3.8 Prevailing Wages. ..................................................................................... 21 Section 3.9 Accessibility. ............................................................................................. 22 Section 3.10 Relocation. ................................................................................................ 23 Section 3.11 Equal Opportunity. .................................................................................... 23 Section 3.12 Minority and Women-Owned Contractors. .............................................. 24 Section 3.13 Progress Reports. ...................................................................................... 24 Section 3.14 Construction Responsibilities. .................................................................. 24 Section 3.15 Mechanics Liens, Stop Notices, and Notices of Completion.................... 24 Section 3.16 Inspections. ............................................................................................... 25 Section 3.17 Approved Development Budget; Revisions to Budget. ............................ 25 Section 3.18 Developer Fee. .......................................................................................... 25 Section 3.19 Partnership Management/Asset Fee. ......................................................... 26 Section 3.20 HOME Monitoring Fee. ............................................................................ 26 Section 3.21 NEPA Mitigation Requirements. .............................................................. 26 Section 3.22 Repayment of IIG Sponsor Loan and Home Depot Sponsor Loan. ......................................................................................................... 26 ARTICLE 4 LOAN REQUIREMENTS.....................................................................................26 Section 4.1 Match Requirement. .................................................................................. 26 Section 4.2 Reserve Accounts...................................................................................... 27 Section 4.3 Financial Accountings and Post-Completion Audits. ............................... 27 TABLE OF CONTENTS (continued) Page ii 863\112\3501954.5 Section 4.4 Approval of Annual Operating Budget. .................................................... 27 Section 4.5 Information. .............................................................................................. 28 Section 4.6 County Audits. .......................................................................................... 28 Section 4.7 Hazardous Materials. ................................................................................ 28 Section 4.8 Maintenance; Damage and Destruction. ................................................... 30 Section 4.9 Fees and Taxes. ......................................................................................... 31 Section 4.10 Notices. ..................................................................................................... 31 Section 4.11 Operation of Development as Affordable Housing. ................................. 32 Section 4.12 Nondiscrimination..................................................................................... 32 Section 4.13 Insurance Requirements. ........................................................................... 33 Section 4.14 Covenants Regarding Approved Financing and Partnership Agreement. ................................................................................................ 34 ARTICLE 5 REPRESENTATIONS AND WARRANTIES OF BORROWER .......................35 Section 5.1 Representations and Warranties. ............................................................... 35 ARTICLE 6 DEFAULT AND REMEDIES ...............................................................................37 Section 6.1 Events of Default. ..................................................................................... 37 Section 6.2 Remedies. .................................................................................................. 38 Section 6.3 Right of Contest. ....................................................................................... 39 Section 6.4 Remedies Cumulative. .............................................................................. 39 Section 6.5 Notice and Cure Rights of Limited Partner. ............................................. 39 ARTICLE 7 GENERAL PROVISIONS ....................................................................................40 Section 7.1 Relationship of Parties. ............................................................................. 40 Section 7.2 No Claims. ................................................................................................ 40 Section 7.3 Amendments. ............................................................................................ 40 Section 7.4 Indemnification. ........................................................................................ 40 Section 7.5 Non-Liability of County Officials, Employees and Agents...................... 41 Section 7.6 No Third Party Beneficiaries. ................................................................... 41 Section 7.7 Discretion Retained By County. ............................................................... 41 Section 7.8 Conflict of Interest. ................................................................................... 41 Section 7.9 Notices, Demands and Communications. ................................................. 41 Section 7.10 Applicable Law. ........................................................................................ 42 Section 7.11 Parties Bound. ........................................................................................... 43 Section 7.12 Severability. .............................................................................................. 43 Section 7.13 Force Majeure. .......................................................................................... 43 Section 7.14 County Approval. ...................................................................................... 43 Section 7.15 Waivers. .................................................................................................... 43 Section 7.16 Title of Parts and Sections. ....................................................................... 43 Section 7.17 Entire Understanding of the Parties. ......................................................... 44 Section 7.18 Multiple Originals; Counterpart. ............................................................... 44 EXHIBIT A Legal Description of the Property EXHIBIT B Approved Development Budget TABLE OF CONTENTS (continued) Page iii 863\112\3501954.5 EXHIBIT C NEPA Mitigation Requirements 863\112\3501954.5 DEVELOPMENT LOAN AGREEMENT Between COUNTY OF CONTRA COSTA And PINOLE HOUSING, L.P. Pinole Housing dated May 1, 2023 RECOMMENDATION(S): AUTHORIZE a loan of HOME Investment Partnerships Program (HOME) funds in the amount of $2,636,280 to Pinole Housing, L.P., a California limited partnership, for the construction of an affordable housing development known as Pinole Housing (formerly known as 811 San Pablo), located at 811 San Pablo Avenue in Pinole. 1. APPROVE and AUTHORIZE the Director of Conservation and Development, or designee, to execute (i) a Loan Agreement evidencing the County’s loan of $2,363,280 of HOME Investments Partnership Act (HOME) funds to Pinole Housing, (ii) a HOME Regulatory Agreement and County Regulatory Agreement to be recorded against the property, (iii) a Deed of Trust to be recorded against the property, (iv) an Intercreditor Agreement, and (v) a HOME Promissory Note to reflect the $2,636,280 HOME loan. 2. FIND, as the responsible agency, that on the basis of the whole record before the County including the California Environmental Quality Act (CEQA) review prepared by the City of Pinole, as the lead agency, that the development is exempt under CEQA Guidelines Section 15332, Class 32; and DIRECT the Conservation and Development Director, or designee, to file a Notice of Exemption for Pinole Housing with the County Clerk, and pay any required fee for the filing. 3. FISCAL IMPACT: No General Fund impacts. HOME funds are provided to the County on a formula allocation basis through the U.S. Department of Housing and Urban Development (HUD). HOME CFDA #14.256. BACKGROUND: Pinole Housing Development The Pinole Housing affordable housing development (formerly known as 811 San Pablo) will include the new construction of a four-story building with 32 affordable rental units (a mix of one- and two-bedroom units) that will be affordable to households between 30 and 60 percent area median income, and one manager’s unit, on a vacant parcel located at 811 San Pablo Avenue in the City of Pinole. The development will APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Susan Johnson, (925) 655-2870 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 45 To:Board of Supervisors From:John Kopchik, Director, Conservation & Development Department Date:May 16, 2023 Contra Costa County Subject:$2,636,280 HOME Loan for Pinole Housing (formerly known as 811 San Pablo) BACKGROUND: (CONT'D) provide 32 units to veteran households in total, of which eight units will be for chronically homeless veterans and seven units for disabled veterans. Fifteen of the units of the development will be designated as County-assisted HOME units, five of which will be reserved and accessible for persons who are physically disabled, and four of which will be reserved and accessible for persons who are hearing and vision impaired. The development's amenities will include a first-floor community room with computer stations, resident services office, manager’s office, a case manager’s office, and a community garden. Funding Sources On June 21, 2022, the Board of Supervisors (Board) approved the allocation of $2,636,280 of FY 2022/23 HOME Funds as part of the FY 2022/23 HOME Program Annual Action Plan, to Satellite Affordable Housing Associates (SAHA) for the Pinole Housing development (formerly known as 811 San Pablo). SAHA has formed a limited partnership, Pinole Housing, L.P, to develop and own this development. The HOME funds will be provided by the County in the form of a 55-year residual receipts loan. The HOME loan will bear a three percent simple interest rate. There may be some loan repayments payments if the project has a surplus cash flow (surplus cash is also known as "residual receipts") during the operation of the development. Affordability and use restrictions are incorporated into the HOME loan documents. The County will have a HOME Regulatory Agreement with a 20-year HOME term of affordability, as well as a County Regulatory Agreement that will maintain affordability of the units following the expiration of the HOME term for a total term of 55 years. Additional non-County financing for the development includes a City of Pinole loan, State Infill Infrastructure Grant, State Veterans Housing and Homelessness Prevention Program loan, a private construction loan, and 4% tax credits. Through this action, the Director of Conservation and Development, or designee, is authorized to execute subordination agreements and estoppels that are consistent with the subordination terms in the Loan Agreement. Due to the high construction costs and limited revenue from the restricted rents, the total amount of the financing provided to the project will likely exceed the value of the completed project. Even though the proposed equity investment from low-income housing tax credits is substantial compared to the amount of long-term debt, the partnership agreement will have numerous safeguards of the investor's equity. These safeguards essentially subordinate the County’s debt to the investor’s equity. Therefore, the County HOME funds may not be fully secured through the value of the property. However, the HOME program funds are granted, not loaned, to the County, so the County general fund will not have any exposure as a result of this loan. The County structures its HOME investments as loans rather than grants in order to maintain involvement in the financial team in the event the project experiences any serious issues over the 55-year term. Environmental Review National Environmental Policy Act (NEPA): HOME projects are subject to NEPA and 24 CFR Part 58 environmental regulations. The NEPA review for this project is complete and the required mitigation actions are included in the loan agreement. The County, as a responsible agency under CEQA, concurs with the City of Pinole’s CEQA determination and will file the appropriate notice with the Recorder's Office. CONSEQUENCE OF NEGATIVE ACTION: If the HOME loan is not approved and legal documents not executed, the developer will not be able to construct the project in a timely manner. CHILDREN'S IMPACT STATEMENT: The long-term housing available at the development is consistent with Children’s Report Card outcome #3: Families are Economically Self-Sufficient. ATTACHMENTS Pinole Housing HOME Loan Agreement Pinole Housing HOME Loan Deed of Trust Pinole Housing - HOME Regulatory Agreement Pinole Housing - County Regulatory Agreement Pinole Housing - HOME Promissory Note Pinole Housing - Intercreditor Agreement RECOMMENDATION(S): APPROVE and AUTHORIZE the Employment and Human Services Director, or designee, to enter into a software license agreement with Citrix Systems, Inc. for a remote desktop application, for the period April 16, 2023 through April 15, 2026. FISCAL IMPACT: There is no fiscal impact for this action. BACKGROUND: The board action of April 18, 2023 (C.82) authorized and approved the purchasing agent to execute a purchase order in the amount of $278,625 with CDW Government LLC to procure 500 Citrix licenses for the period April 16, 2023, through April 15, 2026. The board order did not reflect that the related Citrix software license agreement Citrix Systems, Inc. needed board of supervisor approval. This board action seeks approval and authorization for the EHSD Director, or designee, to enter into the Citrix software license agreement for the license of a remote desktop application. The end user agreement with Citrix obligates the County to indemnify Citrix for third party claims arising out of County’s breach of the confidentiality provisions of the agreement. The agreement includes a limitation of liability limiting Citrix’s liability for claims arising out of the agreement to the amount paid by County in the 12 months preceding the claim. The End User Agreement is governed by Florida law. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Tracy Story (925) 608-4960 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 46 To:Board of Supervisors From:Marla Stuart, Employment and Human Services Director Date:May 16, 2023 Contra Costa County Subject:Software License Agreement with Citrix Systems, Inc. BACKGROUND: (CONT'D) The department solicited three bids from different vendors; this proposed Vendor was the lowest bid. Citrix is the key system used by the department for remote access to the department's network, which is critical for a mobile workforce implementation in the department. CONSEQUENCE OF NEGATIVE ACTION: If this action is not approved, the department will be unable to move forward with a technology upgrade to maintain Citrix access. SUMMARY OF CHANGES TO THE 2023 MEDICAL STAFF BYLAWS AND RULES AND REGULATIONS. Summary of 2023 Medical Staff Bylaws Proposed Changes The following sections were revised: 1. We added electronic voting means to voting methods and clarified the nomination and ballot dates for the following sections: i. Election of President-Elect (7.3.4 through 7.3.6) ii. Election of Department Heads (8.5.3- 8.5.4) iii. Election of Division Heads (8.8.3-8.8.4) iv. Requirements for Elections of Medical Staff President, Department Heads, Division Heads, Bylaws Amendments (14.7.3, 14.7.5, 15.3.2) Why this change? To increase the accessibility and ease of voting (i.e. medical staff who did not have an updated address may not receive a ballot, paper ballots’ return time can be slow and delayed, etc.) as well as vote tally. 2. Rules and Regulations section 1, subsection 1 (#1-2): Recommend changing the application fee and medical staff dues OLD: L. Collection and Expenditures of Medical Staff Funds 1. Application Fees a. Each application may be assessed an application non-refundable processing fee. This fee shall be Three Hundred Dollars ($300) and shall also be considered as payment of any dues, for which the applicant shall be liable during the period of the initial appointment, should the applicant be appointed to the staff. The fee for applications for Courtesy, Honorary, Temporary, Administrative, Allied Health Professional, and Telemedicine Staff shall be One Hundred and Fifty Dollars ($150) 2. Medical Staff Dues a. The Medical Executive Committee shall have the power to determine the amount of biennial reappointment dues. The following dues are currently in effect: i. Active Staff: Two Hundred Dollars ($200) for each two-year reappointment ii. Courtesy, Honorary, Temporary, Administrative, Allied Health Professional, and Telemedicine Staff: One Hundred Dollars ($100) for each two-year reappointment NEW (changes bolded): L. Collection and Expenditures of Medical Staff Funds 1. Application Fees a. Each application may be assessed an application non-refundable processing fee. This fee shall be Two Hundred Dollars ($200) and shall also be considered as payment of any dues, for which the applicant shall be liable during the period of the initial appointment, should the applicant be appointed to the staff. The fee for applications for Courtesy, Honorary, Temporary, Administrative, Allied Health Professional, and Telemedicine Staff shall be One Hundred and Twenty-Five Dollars ($125). 1. New graduates, defined as within 12 months of residency or fellowship graduation, shall pay an initial application fee of $100. 2. New graduates of the CCRMC Family Medicine Residency Program, defined as within 12 months of residency graduation, shall pay no application fee. 2. Medical Staff Dues a. The Medical Executive Committee shall have the power to determine the amount of biennial reappointment dues. The following dues are currently in effect: i. Active Staff: One Hundred Twenty-five Dollars ($125) for each two-year reappointment ii. Courtesy, Honorary, Temporary, Administrative, Allied Health Professional, and Telemedicine Staff: One Hundred Dollars ($100) for each two-year reappointment Why this change? To reduce the financial strain of application fees as well as recurring dues for our medical staff. We will also suggest, per recommendation to increase transparency to the medical staff, to include a list in the reappointment packet of the distribution and use of these funds 3. 9.3.14 Patient Safety and Performance Improvement Committee: We changed the wording of the Composition (section B, #14) of the PSPIC committee in from 2 Medical Staff Physician representatives to Medical Staff Provider representatives Why this change? For inclusivity and diversity of committee members. Contra Costa Regional Medical Center & Health Centers Medical Staff Bylaws Rules & Regulations 2023 i Contents DEFINITIONS 1 ARTICLE 1 3 NAME AND PURPOSES ............................................3 ARTICLE 2 3 MEMBERSHIP .........................................................3 2.1 Nature of Membership............................. 3 2.2 Eligibility and Qualifications for Membership ............................................ 3 2.3 Waiver of Qualifications ........................... 5 2.4 Membership Requirements ..................... 5 2.5 Effect of Other Affiliations ....................... 5 2.6 Nondiscrimination .................................... 5 2.7 General Responsibilities of Medical Staff Membership ............................................ 6 2.8 Professional Conduct ............................... 7 ARTICLE 3 8 CATEGORIES OF THE MEDICAL STAFF ......................8 3.1 Categories ................................................ 8 ARTICLE 4 15 ALLIED HEALTH PRACTITIONERS ........................... 15 4.1 Definitions .............................................. 15 4.2 Categories of AHPs Eligible to Apply for AHP Clinical Privileges or Services ......... 15 Authorizations and Rules .................................... 15 4.3 Eligibility and General Qualifications ..... 15 4.4 Specific Qualifications ............................ 16 4.5 Waiver of Qualifications. ........................ 17 4.6 Prerogatives ........................................... 17 4.7 Responsibilities ...................................... 17 4.8 Procedure for Granting Initial and Renewal Services Authorizations ........... 17 4.9 Termination, Suspension, or Restriction of Service Authorizations ........................... 18 ARTICLE 5 18 PROCEDURES FOR APPOINTMENT AND REAPPOINTMENT ................................................. 18 5.1 General ................................................... 18 5.2 Applicant’s Burden ................................. 18 5.3 Applicant for Initial Appointment and Reappointment for Medical Staff Membership .......................................... 19 5.4 Basis for Appointment and Reappointment to the Medical Staff ..... 19 5.5 Application Procedure. ........................... 19 5.6 Reappointment and Requests for Modifications of Staff Status or Privileges ............................................................... 27 5.7 Leave of Absence from the Medical Staff ............................................................... 28 5.8 Waiting Period after Adverse Action ...... 28 5.9 Confidentiality and Impartiality ............. 29 ARTICLE 6 29 PRIVILEGES ........................................................... 29 6.1 Exercise of Privileges .............................. 29 6.2 Delineation of Privileges in General ....... 30 6.3 Resident Physicians ................................ 31 6.4 Temporary Privileges.............................. 31 6.5 Emergency Privileges ............................. 33 6.6 Focused Professional Practice Evaluation (FPPE) ..................................................... 33 6.7 Disaster Privileges .................................. 34 ARTICLE 7 36 GENERAL MEDICAL STAFF OFFICERS ..................... 36 7.1 Identification .......................................... 36 7.2 Qualifications ......................................... 36 7.3 Attainment of Office .............................. 36 ii 7.4 Vacancies................................................ 37 7.5 Resignation and Removal from Office ... 38 7.6 Duties of General Staff Officers.............. 38 ARTICLE 8 39 DEPARTMENT AND DIVISIONS .............................. 39 8.1 Organization of Departments ................ 39 8.2 Assignment to Departments .................. 40 8.3 Functions of Departments...................... 40 8.4 Department Heads ................................. 41 8.5 Election of Department Heads ............... 42 8.6 Functions of Divisions ............................ 44 8.7 Division Heads ........................................ 44 8.8 Election of Division Heads ...................... 45 ARTICLE 9 47 COMMITTEES ........................................................ 47 9.1 General Provisions ................................. 47 9.2 Medical Executive Committee ............... 48 9.3 Committees ............................................ 49 ARTICLE 10 60 MEETINGS ............................................................. 60 10.1 Medical Staff Meetings .......................... 60 10.2 Clinical Department and Committee Meetings ................................................ 60 10.3 Quorum .................................................. 61 10.4 Manner of Action ................................... 61 10.5 Notice of Meetings ................................. 61 10.6 Minutes .................................................. 61 10.7 Agenda ................................................... 62 10.8 Attendance Requirements ..................... 62 10.9 Conduct of Meetings .............................. 62 ARTICLE 11 62 CORRECTIVE ACTION ............................................ 62 11.1 Corrective Action .................................... 62 11.2 Summary Restriction of Suspension....... 64 11.3 Grounds for Automatic Suspensions and/or Restrictions ................................ 66 ARTICLE 12 68 HEARING AND APPELLATE REVIEWS ..................... 68 12.1 Grounds for Hearing ............................... 68 12.2 Exhaustion of Remedies ......................... 68 12.3 Requests for Hearing .............................. 68 12.4 Hearing Procedure ................................. 70 12.5 Appeals ................................................... 73 12.6 Exceptions to Hearing Rights.................. 75 ARTICLE 13 76 CONFIDENTIALITY ................................................. 76 13.1 General ................................................... 76 13.2 Breach of Confidentiality ........................ 76 13.3 Protection ............................................... 76 13.4 Access by persons or Agencies Outside the Jurisdiction of the Hospital .............. 77 13.5 Access by Persons within the Jurisdiction of the Hospital ....................................... 78 ARTICLE 14 80 GENERAL PROVISIONS .......................................... 80 14.1 Rules and Regulations ............................ 80 14.2 Dues or Assessments .............................. 80 14.3 Construction of Terms and Headings ..... 80 14.4 Authority to Act ...................................... 80 14.5 Division of Fees ...................................... 80 14.6 Special Notices ....................................... 80 14.7 Requirements for Elections of Medical Staff President, Department Heads, Division heads and for Bylaws Amendments ......................................... 81 14.8 Disclosure of Interest. ............................ 81 14.9 Authorization, Immunity, and Releases. 83 14.10 Standards for History and Physical Examination. .......................................... 83 ARTICLE 15 84 ADOPTION AND AMENDMENT OF BYLAWS AND RULES ................................................................... 84 15.1 Annual Review. ....................................... 84 15.2 Procedure. .............................................. 84 iii 15.3 Medical Staff Action. .............................. 84 15.4 Approval. ................................................ 84 15.5 Exclusivity. .............................................. 85 RULES AND REGULATIONS 86 1. General Rules ...................................... 86 A. Admissions ............................................. 86 B. Continuous Responsibility for Patients .. 86 1. Inpatient ................................................. 86 2. Outpatient .............................................. 86 C. Medical Records ..................................... 86 1. General Provisions ................................. 86 2. Completion of Records ........................... 87 a. Inpatient Records ............................... 87 3. Delinquency ........................................... 88 ii. Outpatient Records ................................ 89 4. Disciplinary Proceedings ........................ 90 D. Medical Orders ....................................... 90 1. Inpatient ................................................. 90 2. Outpatient .............................................. 91 E. CPR ......................................................... 91 F. Disaster Assignments: Refer to Hospital Disaster Plan .......................................... 91 G. Consultation Policy ................................. 91 H. Operating Room Policies ........................ 92 1. Consents: ................................................ 92 2. Prompt attendance of surgeon and attendants: ............................................ 92 I. Supervision of Resident Physicians ........ 92 J. On-Call Response Time .......................... 93 K. Processing and Delivery of Ordered Blood Products ................................................. 93 L. Collection and Expenditures of Medical Staff Funds ............................................. 94 1. Application Fees ..................................... 94 2. Medical Staff Dues ................................. 94 3. Reappointment Late Processing Fees .... 94 4. Expenditure of Funds ............................. 95 M. Medical Staff Evaluation and Development ......................................... 95 N. Other Policy Manuals ............................. 96 1 Definitions The following definitions apply to these Medical Staff Bylaws: 1. Administrator means the Chief Executive Officer of Contra Costa Regional Medical Center and Health Centers and her/his designee. 2. Chief Resident(s) means the fourth (4th) year resident(s) that is/are chosen by “Core Faculty” (as identified by the Residency Program Director). 3. Allied Health Practitioners (AHP) are those non-Medical Staff member practitioners described in Article 4 below. 4. Clinical Privileges or Privileges means permission, granted by this Medical Staff to members of the Medical Staff, to provide specific diagnostic, therapeutic, medical, dental, podiatric, surgical, psychiatric or psychology services. 5. AHP Clinical Privileges or Service Authorizations means permission granted by the Governing Body, upon the recommendation of the Interdisciplinary Practice Committee and the Medical Staff, to provide diagnostic and therapeutic services within the scope of the AHP’s training and expertise. 6. County means County of Contra Costa, California. 7. Department or Clinical Department means a clinical structure of the Medical Staff as further identified in these Bylaws. 8. Department Head means the practitioner elected or appointed, pursuant to these Bylaws to be responsible for the function of a Clinical Department. 9. Medical Director of Contra Costa Regional Medical Center, also referred to simply as the Medical Director, means the physician appointed by the Administrator to oversee clinical activities of the hospital. 10. Chief Medical Officer of the Health Services Department means the physician appointed by the Director of the Health Services Department to oversee the clinical activities of the Health Services Department. 11. Ex-officio means service as a member of a body by virtue of an office or positions held and, unless expressly provided, without voting rights. 12. Governing Body means the County Board of Supervisors. 13. Hospital or Medical Center means the Contra Costa Regional Medical Center and Health Centers. 14. Health Centers means the outpatient clinical facilities operated by the County where the Members of this Medical Staff provide patient care. 15. Medical Staff Year means the twelve (12)-month period commencing on the first of July of each year and ending on the thirtieth (30th) of June of the following year. 16. Member or Medical Staff Member means any Practitioner or Resident who has been appointed to the Medical Staff pursuant to these Bylaws. 17. Member in Good Standing means a Member of the Medical Staff who is not under a suspension. 2 18. Physician means an individual with a M.D. or D.O. degree who is currently licensed to practice medicine in the State of California. 19. Practitioner means a physician, dentist, clinical psychologist, or podiatrist who is currently licensed by the State of California to provide patient care services. 20. Residency Director means the physician who directs the postgraduate Family Medicine training program sponsored by Contra Costa Health Services. 21. Resident means a physician in training who is participating in a residency program approved by the Accreditation Council for Graduate Medical Education (ACGME) or American Osteopathic Association (AOA). 22. Rules or Rules and Regulations mean the Medical Staff Rules and Regulations that are contained under separate cover and are adopted pursuant to the Bylaws. 3 ARTICLE 1 NAME AND PURPOSES 1.1 The name of this organization is the Medical Staff of the Contra Costa Regional Medical Center and Health Centers. 1.2 The Medical Staff purposes are: 1) To assure that all patients treated by any of its members receive the best possible care. 2) To provide for professional performance that is consistent with the mission and goals of Contra Costa Health Services. 3) To maintain Rules for the Medical Staff to carry out its responsibilities for the professional work performed in the Hospital and Health Centers. 4) To provide a means for the Medical Staff, Governing Body and Hospital Administration to discuss issues of mutual concern. 5) To provide for accountability of the Medical Staff to the Governing Body. ARTICLE 2 MEMBERSHIP 2.1 Nature of Membership Appointment to the Medical Staff shall confer only such privileges and prerogatives as have been granted by the governing body in accordance with these bylaws. Only Members of the Medical Staff or Allied Health Professionals as defined in article 4 may care for patients in our Hospital and Health Centers. 2.2 Eligibility and Qualifications for Membership 2.2.1 General Qualifications Privileges and membership on the Medical Staff shall be extended only to practitioners who are professionally and ethically competent and continuously meet the qualifications, standards, and requirements set forth in these Medical Staff Bylaws, Rules and Regulations and the Medical Staff policies. Except for Honorary, Resident and Administrative membership, only physicians, dentists, podiatrists and clinical psychologists who: A. Document current, valid, unrestricted licensure; adequate experience, education and training; professional and ethical competence; good judgment; adequate physical and mental health status; and current eligibility to participate in Medicare, Medicaid or other federally-sponsored health care programs B. Abide by the ethics of their profession; work cooperatively with others; maintain confidentiality as required by law; and will participate in and discharge their 4 responsibilities as required by the Medical Staff shall be deemed to possess the basic qualifications and eligibility for membership on the Medical Staff. 2.2.2 Specific Qualifications: To be eligible and qualified for Medical Staff Membership and Privileges, the practitioner must meet the basic standards outlined above in Section 2.2.1, ‘Eligibility and Qualifications for Membership,’ and in these Specific Qualifications: A. No record of criminal conviction of Medicare, Medicaid, or insurance fraud and abuse, payment of civil money penalties for same, or exclusion from such programs. No record of denial, revocation, relinquishment or termination of appointment or clinical privileges at any hospital for reasons related to professional competence or conduct. B. Physicians seeking membership privileges or reappointment must meet the following criteria: 1) Successful completion of a postgraduate residency training program accredited by either the Accreditation Council for Graduate Medical Education (ACGME) or the American Osteopathic Association (AOA). and 2) Current board certification or board eligibility leading to certification (with achievement of certification within the required time frame set forth by the respective boards). Board Certification shall be from an American Board of Medical Specialties (ABMS) or the American Osteopathic Association (AOA). C. Resident Physicians seeking membership to the Medical Staff must meet all of the following criteria: 1) Have a valid M.D., D.O. or equivalent degree. 2) Be accepted for training by a residency program affiliated with Contra Costa Regional Medical Center and be a member in good standing in their program. 3) Obtain a Postgraduate Training License (PTL) from the Medical Board of California within 180 days of the commencement of residency training, which must be maintained throughout the resident physician’s residency training. 4) Agree to be supervised by a licensed attending physician member of the Medical Staff for any patient care in which the resident physician is involved. D. Controlled Substance Prescriber. Practitioner members on the Medical Staff must have a current, valid, unrestricted Federal DEA number/registration if prescribing controlled substances. 5 E. Dentists. An applicant for dental membership on the Medical Staff must have a DDS or equivalent degree. The Practitioner must have a current, valid, unrestricted license to practice dentistry issued by California Board of Dental Examiners. F. Podiatrists. An application for Podiatric Membership in the Medical Staff must have a D.P.M. or equivalent degree. The Practitioner must have a current, valid, unrestricted license to practice podiatry issued by the California Board of Podiatric Medicine. G. Clinical Psychologists. An applicant for Clinical Psychologist Membership on the Medical Staff must have a doctorate degree in psychology. The Practitioner must have a current, valid, unrestricted license to practice clinical psychology issued by the California Board of Psychology. 2.3 Waiver of Qualifications The Credentials Committee may recommend that certain eligibility criteria be waived by the Medical Executive Committee (MEC.) The Practitioner must demonstrate that he or she has the equivalent qualifications or that exceptional circumstances exist which warrant granting the waiver. The Practitioner has no right to have his or her waiver request considered or granted and denial of a waiver confers no right to a hearing or appellate review. 2.4 Membership Requirements An applicant for Membership appointment or reappointment on the Medical Staff must document his or her adequate experience, education, and training in the requested Privileges. The applicant must demonstrate current professional competence and good judgment in the use of such Privileges. The applicant must demonstrate his or her ability to exercise such Privileges for quality patient care at a level recognized as appropriate to a similar professional within the community. The MEC must determine that the applicant adheres to the lawful ethics of his or her profession; is able to work cooperatively with others in the Hospital so as not to adversely affect patient care or Hospital operations; and is willing and able to participate in and properly discharge Medical Staff responsibilities as describes in these Bylaws, the Rule and Regulations and applicable Medical Staff Policy. 2.5 Effect of Other Affiliations No Practitioner is entitled to Medical Staff Membership merely because he or she holds a certain degree, is licensed to practice medicine in this or in any other state, is a member of any professional organization, is certified by any clinical board, or because he or she had, or presently has, Medical Staff Membership or Privileges at another health care facility. 2.6 Nondiscrimination No person in the Medical Staff or seeking admission thereto shall be appointed, promoted, disciplined, reduced, removed or in any way favored, disfavored, or discriminated on the basis of political, religious or union activities, age, sex, gender, gender identity, gender expression, sexual orientation, race, religion, color, national origin, physical or mental impairment, marital status or disability that does not pose a threat to the quality of patient care or substantially impair the ability to fulfill required staff obligations. 6 2.7 General Responsibilities of Medical Staff Membership Each Medical Staff Member or Allied Health Professional exercising Privileges in the Hospital and Health Centers shall continuously meet all of the following responsibilities: 2.7.1 Provide his or her patients with care meeting the professional standards of the Medical Staff of this Hospital. 2.7.2 Abide by the Medical Staff Bylaws and the Rules and all other lawful standards, policies, and rules of the Medical Staff and the Hospital. 2.7.3 Abide by all applicable laws and regulations of governmental agencies and comply with applicable standards of The Joint Commission (TJC). 2.7.4 Discharge such Medical Staff, department, division, committee, and service functions for which he or she is responsible by appointment, election, or otherwise. 2.7.5 Prepare and complete in a timely manner the Medical and the required records for all patients to whom the Practitioner in any way provides services to the Hospital. 2.7.6 Abide by the ethical principles of his or her profession. 2.7.7 Work cooperatively with other Medical Staff Members, nurses, administrators, and other members of the health care team so as not to adversely affect patient care. 2.7.8 Participate in educational programs approved by the Medical Staff and designed to improve the quality of patient care. 2.7.9 Refuse to engage in any improper inducements for patient care referrals. 2.7.10 Make appropriate arrangements for coverage for his or her patients when an absence is anticipated. 2.7.11 Complete continuing education programs that are required by the Medical Staff. 2.7.12 Participate in emergency service coverage and consultation (on-call) panels as may be required by the Medical Staff. 2.7.13 Accept responsibility for participating in Medical Staff Focused Professional Practice Evaluation (FPPE) in accordance with the Bylaws. 2.7.14 Pay Medical Staff dues and assessments within sixty (60) days of invoice receipt. 2.7.15 Participate in the resident training program as requested by the Residency Director. 2.7.16 Promptly notify the Medical Staff Office of any professional liability action the member is involved in as soon as the member becomes aware of his or her involvement. 2.7.17 Participate in quality assurance programs as determined by the Medical Staff. 7 2.7.18 Discharge such other duties and obligations as may be lawfully established from time to time by the Medical Staff, the Medical Executive Committee, the Member’s Department, or the Administrator. 2.8 Professional Conduct 2.8.1 Statement of Policy The Medical Staff is committed to providing a workplace free of sexual harassment or discrimination as well as unlawful harassment or discrimination based upon age, ancestry, color, marital status, medical condition, mental disability, physical disability, national origin, race, religion, gender, or sexual orientation. The Medical Staff does not tolerate harassment or discrimination by Medical Staff Members of resident physicians, support staff, County employees, patients, or other Medical Staff Members. 2.8.2 Harassment Defined A. Harassment is unwelcome verbal, visual, or physical conduct that creates an intimidating, offensive or hostile working environment or that interferes with work performance. Such conduct constitutes harassment when: 1) Submission to the conduct is made either an implicit or explicit condition of employment; 2) Submission to or rejection of the conduct is used as the basis for an employment decision; or 3) The harassment unreasonably interferes with work performance or creates an intimidating, hostile or offensive work environment. 2.8.3 Harassing conduct can take many forms and includes, but is not limited to, slurs, jokes, statements, gestures, pictures, or cartoons regarding a person’s age, ancestry, color, marital status, medical condition, mental disability, physical disability, national origin, race religion, gender or sexual orientation. Sexually harassing conduct in particular includes all of these prohibited actions as well as requests for sexual favors, conversations containing sexual comments, and unwelcome sexual advances. 2.8.4 Investigation and Corrective Action A. Every complaint of harassment, unlawful discrimination or retaliation made to the Medical Staff will be investigated thoroughly and promptly. The Medical Staff will attempt to protect the privacy of individuals involved in the investigation when appropriate. The Medical Staff will not tolerate retaliation against anyone who reports harassing conduct. Other entities, such as the County and legal authorities, may also separately investigate such complaints. When appropriate, the Medical Staff shall share investigatory information with such authorities. B. If the Medical Staff determines that harassment occurred, the Medical Staff will take corrective action up to and including termination of Medical Staff Privileges or 8 Membership. Corrective actions taken by the Medical Staff related to such harassing conduct are not grounds for a hearing unless those actions affect a Member’s Privileges or Membership status on the Medical Staff. When appropriate, corrective action may include reporting the harassment to appropriate legal, administrative, and governing authorities. ARTICLE 3 CATEGORIES OF THE MEDICAL STAFF 3.1 Categories The Medical Staff Members are divided into the following categories of membership: honorary, administrative, active, courtesy, provisional, resident, and temporary. Each Medical Staff Member shall be assigned to a Medical Staff category based upon the respective qualifications set forth in theses Bylaws. Members of each Medical Staff category shall have the respective prerogatives and responsibilities as set forth in these Bylaws. Action may be initiated to change the Medical Staff category to terminate the membership of any Member who fails to meet the qualifications or fulfill the responsibilities as described in the Bylaws. Changes in Medical Staff category shall not be grounds for hearing unless it affects the Member’s Clinical Privileges. 3.1.1 The Honorary Medical Staff The honorary Medical Staff consists of practitioners who are not active in the Hospital or who are honored by emeritus positions. These may be practitioners who have retired from active hospital practice or who are of outstanding reputation, not necessarily residing in the community. Honorary staff members are not eligible to admit, care for or consult on patients, to vote, to hold office, or to serve on standing Medical Staff. 3.1.2 The Administrative Medical Staff A. Qualifications 1) Administrative category membership shall be held by any physician, who is not otherwise eligible for another staff category and who solely performs ongoing medical administrative activities. 2) Document their (1) current licensure, (2) adequate experience, education and training, (3) good judgment, and (4) current physical and mental health status, so as to demonstrate to the satisfaction of the Medical Staff they are professionally and ethically competent to exercise their duties; B. Prerogatives The Administration Staff shall be entitled to attend meetings of the Medical Staff and various departments and education programs but shall have no right to vote at such 9 meetings. Administrative Staff members shall not be eligible to hold office in the Medical Staff Organization, admit patients, or exercise clinical privileges. 3.1.3 The Active Medical Staff A. Qualifications The active staff consists of physicians, dentists, podiatrists, and licensed clinical psychologists, each of whom; 1) Meets the qualifications for Medical Staff membership set forth in the Bylaws; 2) Has an office and residence that, in the opinion of the Medical Executive Committee, is located closely enough to the Hospital to provide appropriate continuity of quality care; 3) Regularly admits patients to the Hospital, is regularly involved in the care of patients at the Hospital, or regularly uses the Hospital and/or Health Centers in the care of patients; 4) Has satisfactorily completed his/her term in the provisional staff category. B. Prerogatives Each member of the active staff is entitled to: 1) Admit patients and/or exercise Clinical Privileges as are granted to him/her; 2) Attend and vote on all matters presented at general and special meetings of the Medical Staff, his/her department, and or committees to which he/she is a member; 3) Attend any staff or Hospital education programs; 4) Hold staff and/or departmental offices and service on committees to which he/she has been appointed. C. Responsibilities Each member of the active Medical Staff is responsible for the following: 1) Carrying out the basic responsibilities of Medical Staff membership set forth in the Bylaws; 2) Providing for the continuous care and supervision of each patient in the Hospital and Health Centers for whom he/she is providing services, including arranging for care and supervision in his/her absence and outside of his/her area of professional competence; 3) Providing consultation, supervision, and monitoring of patients, when requested; and 4) Attending meetings of the Medical Staff, his/her department, and committees of which he/she is a member in accordance with the Bylaws. 10 D. Demotion of Active Staff Member. After one year in which a Member of the active staff fails to regularly care for patients in the Hospital or Health Centers or be regularly involved in Medical Staff functions as determined by the Medical Staff, that Member may be demoted to a lower staff category. 3.1.4 Courtesy Staff A. Qualifications The courtesy staff consists of practitioners, each of whom: 1) Meets the qualifications for Medical Staff membership set forth in the Bylaws; 2) Has an office and residence that, in the opinion of the Medical Executive Committee, is located closely enough to the Hospital to provide appropriate continuity of quality care; 3) Admits patients to the Hospital on an irregular basis, is occasionally involved in the care of Hospital patients, or occasionally uses the Hospital and/or Health Centers in the care of patients; 4) Is a member of the active staff of another licensed hospital unless the Medical Executive Committee, in writing, for good cause shown, waives this requirement. Dentists holding only General Dentistry, Endodontia, Periodontia, or Orthodontia privileges are exempt from this requirement. 5) Has satisfactorily completed his/her term in the provisional staff category. B. Responsibilities Each member of the courtesy staff is responsible for the following: 1) Carrying out the basic responsibilities of Medical Staff membership set forth in the Bylaws; 2) Providing for the continuous care and supervision of each patient in the Hospital for whom he/she is providing services, including arranging for care and supervision in his/her absence and outside of his/her area of professional competence; 3) Providing consultation, supervision, and monitoring of patients, when requested; and 4) Attending meetings of the Medical Staff, his/her department, and committees of which he/she is a member in accordance with the Bylaws. C. Limitation Courtesy staff members shall not be eligible to hold office in this Medical Staff organization nor shall they be eligible to vote on matters presented at general and 11 special meetings of the Medical Staff, departmental meetings, division meetings, or committee meetings except as specifically provided in the Bylaws. 3.1.5 Provisional Staff A. Qualifications. The provisional staff consists of practitioners, each of whom: 1) Meets the qualifications for Medical Staff membership set forth in the Bylaws; 2) Immediately prior to his/her application and appointment was not a member (or was no longer a member) in good standing of this Medical Staff; 3) Has an office and residence that, in the opinion of the Medical Executive Committee, is located closely enough to the Hospital to provide appropriate continuity of quality care. B. Prerogatives. Each member of the provisional staff is entitled to; 1) Admit patients and exercise such Clinical Privileges as are granted pursuant to the Bylaws; 2) Attend meetings of the staff and the department of which he/she is a member and any staff or hospital education programs; 3) Be appointed to any committee except the Medical Executive Committee. The provisional staff members shall not have the right to vote unless the Medical Staff President confers that right at the time of the committee appointment. C. Responsibilities Each member of the provisional Medical Staff is responsible for the following: 1) Carrying out the basic responsibilities of Medical Staff membership set forth in the Bylaws; 2) Providing for the continuous care and supervision of each patient in the hospital for whom he/she is providing services, including arranging for care and supervision in his/her absence and outside of his/her area of professional competence; 3) Providing consultation, supervision, and monitoring of patients, when requested; 4) Attending meetings of the Medical Staff, his/her department, and committees of which he/she is a member in accordance with the Bylaws. D. Limitation 12 Provisional staff members are not eligible to vote on matters presented at general and special meetings of the Medical Staff, department meetings, division meetings, or committee meetings except as specifically provided in the Bylaws. E. Monitoring of Provisional Staff Member Each provisional staff member shall undergo a period of monitoring. The monitoring shall be to evaluate the member’s (1) proficiency in the exercise of Clinical Privileges initially granted and (2) overall eligibility for continued staff membership and advancement within staff categories. Monitoring of provisional staff members shall follow whatever frequency and format each department deems appropriate in order to adequately evaluate the provisional staff member including, but not limited to, concurrent or retrospective chart review, mandatory consultation, and/or direct observation. Results of the monitoring shall be communicated by the department chairperson to the Credentials Committee. F. Term of Provisional Staff Status A Member shall remain on the provisional staff for a period of six months unless the Medical Executive Committee or the Credentials Committee extends that status for an additional period of up to six months upon a determination of good cause, which determination shall not be subject to review. In special circumstances wherein the Member has had minimal activity at the Hospital and Health Centers, and current information is inadequate to allow a determination to conclude the provisional staff status, the Medical Executive Committee may extend the provisional staff status for an additional period of up to twelve (12) months, which determination shall not be subject to review. In no event shall the total provisional staff status of a member exceed twenty-four (24) months. At the conclusion of provisional staff status, further staff status is determined as stated below. G. Action at Conclusion of Provisional Staff Status 1) If the Provisional Staff Member has satisfactorily demonstrated his or her ability to exercise the Clinical Privileges initially granted and otherwise appears qualified for continued Medical Staff membership, the Member shall be eligible for placement in the Active or Courtesy Staff, as appropriate, upon recommendation of the Medical Executive Committee (MEC.) The Administrator and the Governing Body shall act upon this MEC recommendation. Should any disagreement occur between the MEC, the Administrator, and the Governing Body, resolution shall occur in compliance with the Bylaws. 2) In all cases, the appropriate department shall advise the Credentials Committee, which shall make its report to the Medical Executive Committee, which, in turn, shall make its recommendation to the Professional Affairs Committee regarding a 13 modification or termination of Clinical Privileges, or termination of Medical Staff membership. 3.1.6 Resident/Fellow Physician Staff A. Qualifications The resident staff consists of Members, each of whom; 1) Meets the qualifications for Medical Staff membership set forth in these Bylaws; 2) Exercises clinical privileges under appropriate supervision and direction of the Program Director, and the head of the department in which he/she is exercising privileges as described in section 6.3 and under Rules & Regulations section 1.I. of these Bylaws; 3) Attends meetings of the Medical Staff and, if invited, the departments to which he/she is currently assigned; and 4) May be appointed to any committee except the Medical Executive Committee. The resident/fellow physician staff member shall not have the right to vote as a committee member unless that right is conferred by the Medical Staff President. B. Responsibilities Each member of the resident/fellow staff is responsible for the following: 1) Carrying out the basic responsibilities of Medical Staff membership set forth in the Bylaws and Rules; 2) Contributing to the organization and administrative affairs of the Medical Staff by participating on staff, in the departments, and on committees as reasonably requested, and by participating in fulfilling such other staff functions as are reasonably requested. C. Limitation Resident/fellow physician staff members shall not be eligible to hold office in this Medical Staff organization nor shall they be eligible to vote on matters presented at general and special meetings of the Medical Staff, departmental meetings, division meetings, or committee meetings except as specifically provided in these Bylaws. 3.1.7 Temporary Staff A. Qualifications Temporary staff consists of Members, each of whom: 1) Meets the qualifications for Medical Staff membership set forth in the Bylaws; 14 2) Has been granted temporary privileges and is not currently on the active, courtesy, provisional, or resident staff. B. Prerogatives Each Member of the temporary staff in entitled to: 1) Admit patients and exercise Clinical Privileges as are granted to him/her; 2) Attend meetings of the staff in the department of which he/she is a Member and any staff and hospital educational programs. C. Responsibilities Each Member of the temporary staff is responsible for the following: 1) Carrying out the basic responsibilities of Medical Staff membership set for in the Bylaws; 2) Providing for the continuous care and supervision of each patient in the Hospital for whom he/she is providing services, including arranging for care and supervision in his/her absence and outside of his/her area of professional competence; 3) Providing consultation, supervision, and monitoring of patients, when requested; and 4) Attending meetings of the Medical Staff, his/her department, and committees of which he/she is a member. D. Limitations Temporary staff members are not eligible to hold office in this Medical Staff organization nor are they eligible to vote on matters presented at general and special meetings of the Medical Staff, departments, divisions, or committees. In the event that a practitioner’s temporary clinical privileges are terminated, said practitioner’s temporary staff status is also deemed terminated and the practitioner is thereafter entitled to the procedural rights afforded by the Bylaws. 3.1.8 Limitation of Prerogatives The prerogatives set forth under each membership category are general in nature and may be subject to limitation by special conditions attached to a particular membership by other sections of these Bylaws and by the Rules. 3.1.9 Modification of Membership On its own, upon recommendation of the Credentials Committee, or pursuant to a request by a member, the Medical Executive Committee may recommend a change in the Medical Staff category of a member consistent with the requirements of the Bylaws. 15 ARTICLE 4 ALLIED HEALTH PRACTITIONERS 4.1 Definitions 4.1.1 Allied Health Practitioner (AHP) means a health care professional, other than a physician, dentist, podiatrist or clinical psychologist, who holds a license, as required by California law, to provide certain professional services. 4.1.2 AHP Clinical Privileges or Service Authorization means the permission granted by the Governing Body, upon the recommendation of the Interdisciplinary Practice Committee and the Medical Staff, to provide diagnostic and therapeutic services with the scope of the AHP’s training and expertise. 4.2 Categories of AHPs Eligible to Apply for AHP Clinical Privileges or Services Authorizations and Rules 4.2.1 The categories of AHPs, based upon occupation or profession that shall be eligible to apply for AHP Clinical Privileges shall be designated by the Governing Board, upon recommendation of the MEC. Currently, AHP includes the following categories; A. Nurse Practitioners who are registered nurses with additional training, expertise, certification and licensing that is recognized and authorized by the State of California to provide specific diagnostic and therapeutic services. B. Optometrists who are licensed by the State of California to provide specific optometric services. C. Midwives (Certified Nurse Midwives, Licensed Midwives, Certified Professional Midwives) who are health care providers with additional training, expertise, and certification that is recognized and authorized by the State of California, under the supervision of a licensed physician or surgeon, to attend cases of normal childbirth and to provide prenatal, intrapartum and postpartum care. D. Physician Assistants who are healthcare professionals with specialized medical training from a program associated with a medical school and who are licensed by the California Physician Assistant Board to provide patient education, evaluation, and health care services under the supervision of a licensed physician. E. Acupuncturists who are health care providers with training, expertise and knowledge in the practice of acupuncture who are licensed and regulated by the State of California under the Acupuncture Board. 4.3 Eligibility and General Qualifications An AHP is eligible for a Service Authorization in this Hospital/Health Centers if he or she: 16 1) Holds a current, valid, unrestricted license, certificate, or other legal credential in a category of AHP which the Governing Body has identified as eligible to apply for Service Authorization pursuant to the Bylaws; and 2) Documents his or her experience, background, training, current competence, judgment, and ability with sufficient adequacy to demonstrate that any patient treated by the practitioner will receive care at the generally recognized professional level of quality established by the Medical Staff; and 3) Is determined, on the basis of documented references to: A. Adhere strictly to the lawful ethics of his or her profession; B. Work cooperatively with others in the hospital setting so as not to adversely affect patient care; C. Be willing to commit to and regularly assist the Medical Staff in fulfilling its obligations related to patient care; and 1) Agrees to comply with all Medical Staff and Department and Division Bylaws, Rules and Regulations and protocols to the extent applicable to the AHP; 2) Documents his or her current eligibility to participate in Medicare, Medicaid or other federally-sponsored health care program. 4.4 Specific Qualifications In addition to meeting the basic standards as outlined in “Eligibility and General Qualifications,” an AHP shall have the following specific qualifications to be eligible and qualified for AHP Clinical Privileges or Service Authorization in this hospital: No record of conviction of Medicare, Medicaid, or insurance fraud and abuse, payment of civil money penalties for same, or exclusion from such programs. No record of denial, revocation, relinquishment or termination of appointment or clinical privileges at any hospital for reasons related to professional competence or conduct. 1) Nurse Practitioners: A Nurse Practitioner shall have a current, valid, unrestricted license and furnishing number which authorizes ordering of drugs or devices if applicable to the Nurse Practitioner’s practice 2) Midwives: A Midwife shall have a current, valid, unrestricted license and furnishing number which authorizes ordering of drugs or devices if applicable to the Midwife’s practice. 3) Physician Assistants: A Physician’s Assistant shall have a current, valid, unrestricted license and furnishing number which authorizes the Physician’s Assistant to provide drug and medication orders, if applicable to the Physician’s Assistant’s practice. 4) Optometrists: An optometrist shall have a current, valid, unrestricted license and furnishing number which authorizes ordering of drugs or devices if applicable to the Optometrist’s practice. 17 5) Acupuncturists: An Acupuncturist shall have a current, valid, unrestricted license authorizing the practitioner to provide acupuncture treatment and care within the State of California. 4.5 Waiver of Qualifications. When exceptional circumstances exist certain eligibility criteria may be waived by the MEC upon recommendation by the Interdisciplinary Practice Committee or its designee the Credentials Committee. The AHP requesting the waiver bears the burden of demonstrating exceptional circumstances and/or that his or her qualifications are equivalent to or exceed the criterion/criteria in question. 4.6 Prerogatives The prerogatives, which may be extended to an AHP, include: 1) Provision of specified patient care services consistent with the Service Authorization granted to the AHP and within the scope and licensure or certification of that AHP; 2) Vote on matters presented at his/her department and/or committees to which he/she is a member. Serve on Medical Staff and Hospital committees except as otherwise provided in the Bylaws; 3) Attend any staff or hospital education programs; 4) Vote for department chair for the department to which he/she is a member. 4.7 Responsibilities Each AHP shall: 1) Meet those responsibilities required by the Medical Staff Rules and Regulations. 2) Retain appropriate responsibility within his or her area of professional competence for the care of each patient in the hospital for whom he or she is providing services. 3) Participate, when requested, in patient care and audit and other quality review evaluation and monitoring activities required of AHPs and other functions as may be required by the Medical Staff from time to time. 4.8 Procedure for Granting Initial and Renewal Services Authorizations 1) An AHP who practices under Standardized Procedures must apply and qualify for a Service Authorization. An AHP must reapply for a renewed Service Authorization every two years. 2) AHP application for initial granting and renewal of service authorization shall be submitted to the Interdisciplinary Practice Committee (IPC), which may delegate the processing of such applications to the Credentials Committee. Credentialing and Privileging is processed in a parallel manner to that provided for the Medical Staff by the Bylaws. At the discretion of the Credential Committee an initial application of reappointment may be sent to the IPC for review. 3) The Credential Committee shall, as delegated by the IPC, make recommendations to the MEC and the Governing Body regarding the granting of individual Service Authorizations to AHP applicants. 18 4) Upon approval by the MEC and the Governing Body, an applicant AHP shall be granted Service Authorization and assigned to the clinical department appropriate to his or her occupation and training. The AHP is subject to the relevant rules and regulations of that department. 4.9 Termination, Suspension, or Restriction of Service Authorizations 1) The termination, suspension or restriction of Service Authorization shall be done as if the Service Authorization was a clinical privilege rendered to a Member of the Medical Staff. The AHP shall have the same procedural rights as a Medical Staff Member would have with the termination, suspension or restriction of privileges. ARTICLE 5 PROCEDURES FOR APPOINTMENT AND REAP POINTMENT 5.1 General The Medical Staff shall consider each application for appointment, reappointment, and privileges, and each request for modification of Medical Staff category using the procedures and the standards set forth in the Bylaws. The Medical Staff shall evaluate each applicant before recommending action by the Governing Body. The Governing Body is ultimately responsible for granting Medical Staff membership and Clinical Privileges. Temporary Privileges may be granted to a practitioner, pursuant to these Bylaws and the Rules, prior to final action by the Governing Body. By applying to the Medical Staff for appointment or reappointment, the applicant agrees that, whether or not he or she is appointed or granted Privileges, he or she will comply with the responsibilities of Medical Staff Membership and with the Medical Staff Bylaws and Rules as they exist and as they may be modified from time to time. 5.2 Applicant’s Burden An applicant for appointment, reappointment, advancement, transfer, and/or Privileges shall have the burden of producing accurate and adequate information for a thorough evaluation of the applicant’s qualifications and suitability for the requested status and Privileges, resolving any reasonable doubts about these matters and satisfying requests for information. To the extent consistent with law, this burden may include submission to a medical or psychological examination, at the applicant’s expense, if deemed appropriate by the Medical Executive Committee (MEC.) The applicant may select the examining physician from an outside panel of three physicians chosen by the MEC. Misstatements and Omissions: Any misstatement in, or omission from, the application is grounds to suspend the application process. The applicant will be informed in writing of the nature of the misstatement or omission and permitted to provide a written response. The Chair of the Credentials Committee and/or the Medical Staff President will review the response and determine whether the application should be processed further. The decision to suspend or cease processing an application due to a misstatement or omission does not entitle the applicant to a procedural hearing or appellate review rights. 19 5.3 Applicant for Initial Appointment and Reappointment for Medical Staff Membership Applicants for appointment or reappointment must complete, sign and date the prescribed application form provided by the Medical Staff. The application shall request detailed information about the applicant and shall document the applicant’s agreement to abide by the Medical Staff Bylaws, Rules, and other terms. The applicant must provide all of the requested information, the agreements, and all supporting documentation to the Medical Staff office. An application which is incomplete will not be accepted for review. The applicant must pay the required fee, if any, at the time the application is submitted or it will not be accepted for review. 5.4 Basis for Appointment and Reappointment to the Medical Staff Recommendations for appointment and reappointment to the Medical Staff and for granting and renewal of Privileges shall be based upon: 1) The applicant’s or Member’s professional performance at this Hospital and in other settings; 2) Whether the applicant or Member meets the qualifications and is able to carry out all of the responsibilities specified in these Bylaws and the Rules; and 3) The Hospital’s patient care needs and ability to provide adequate support services and facilities for the applicant or Member. A) Term of Appointment, Extensions, and Failure to File Reappointment Application Except as otherwise provided in these Bylaws, initial appointments to the Medical Staff shall be until the applicants’ second birthday after the initial provisional appointment. Reappointments shall be for a maximum period of two years. The Credentials Committee may recommend the granting of reappointments for less than two years. Failure to file a complete and timely application for reappointment shall result in the automatic termination of the Members’ membership Privileges and prerogatives at the end of that term. 5.5 Application Procedure. 5.5.1 Application for Medical Staff membership must be submitted directly to the Credentials Committee by the applicant in writing and on such form as approved by the MEC. Prior to the application being submitted, the applicant will be provided access to a copy of the Medical Staff Bylaws, the Rules and Regulations of the Staff and its Departments and Divisions, and summaries of the policies and resolutions relating to clinical practice in the Hospital and Health Centers. An applicant who does not meet the basic qualifications or requirements as outlined in these Bylaws, related rules or policies, is not eligible or qualified to apply for Medical Staff membership and the application shall not be accepted for review. If, during any stage of the application process, it is discovered that the applicant does not meet the basic qualifications or requirements as outlined in these Bylaws, related rules or policies, review of the application shall be discontinued. 20 An applicant who does not meet the basic qualifications or requirements is not entitled to procedural hearing and appellate review rights. 5.5.2 Application Content Every applicant, except Resident staff applicants, must furnish a complete application providing all supporting documentation and an accurate and complete response to each query including but not limited to the following: 1) The applicant’s undergraduate, medical school, and postgraduate training, including the name of each institution, degrees granted program completed, and dates attended; 2) All currently valid medical, dental, podiatric and other professional licensures or certifications, and Drug Enforcement Administration registration (with exceptions determined by Credentials Committee action when the applicant will not be prescribing medication) and any other controlled substances registration, with the date and number of each; 3) Specialty or sub-specialty board certifications and/or recertification; 4) Health impairments (including alcohol and drug dependencies), hospitalizations, and institutionalizations, if any, which may affect the applicant’s ability in terms of skill, attitude and judgment to perform professional and Medical Staff duties; 5) Applicant’s statement that his or her health status is such that he or she has the ability to perform the privileges requested; 6) Applicant’s statement that he or she will consent to and cooperate with any required physical or mental health evaluations and provide the results from the evaluations to enable a full assessment of the applicant’s fitness, as described in Section 5.2, ‘Applicant’s Burden’; 7) Evidence of applicant’s current Professional Liability Insurance coverage, or if not currently insured, evidence of past Professional Liability Coverage; 8) Whether there are any pending or completed actions involving denial, revocation, suspension, reduction, limitation, probation, non-renewal or voluntary relinquishment (by resignation or expiration) of the applicant’s license or certificate to practice any profession in any state or country; Drug Enforcement Administration or other controlled substances registration; membership or fellowship in local, state or national professional organizations; or faculty membership at any medical or other professional school; 9) The location of offices, names and addresses of other practitioners with whom the applicant is associated and inclusive dates of such association; names and locations of any other hospital, clinic or health care institution where the applicant provides or provided clinical services with the inclusive dates of each affiliation, status held, and general scope of clinical privileges, for the last five years; 10) Requests for department assignment(s), staff category after conclusion of provisional status, and specific Clinical Privileges; 21 11) Whether the applicant has ever been charged with or convicted of a crime, other than minor traffic violations, or whether a criminal action is now pending; 12) Whether there are any pending or completed actions involving denial, revocation, suspension, reduction, limitation, probation, non-renewal or voluntary relinquishment (by resignation or expiration) of Medical Staff membership, or privileges at another hospital, clinic or health care facility of institution; 13) References as required below; 14) An acknowledgement that the applicant has read the Medical Staff Bylaws of the Contra Costa Regional Medical Center and Health Centers, that he/she understands said Bylaws, and that he/she agrees to be bound by the terms thereof, as they may be amended from time to time, if he/she is granted membership or Clinical Privileges, and to be bound by the terms thereof, without regard to whether or not he/she is granted membership and/or clinical privileges in all matters relating to consideration of this application; 15) Any and all continuing medical education classes attended by applicant in the last twenty-four (24) months; 16) Whether the applicant has had any notification of, or involvement in, a professional liability action, the applicant’s complete malpractice claims history, including all information regarding lawsuits, or settlements made, concluded and pending; 17) Whether the applicant has been excluded from federal health care program in the past, or is subject to a pending or current exclusion from a federal health care program; 18) The applicant’s consent to the release and inspection of all records and documents as may be necessary for a thorough evaluation of the applicant’s professional qualifications, background and health status; 19) The applicant’s consent to provide release and a release from liability for all individuals requesting and all individuals providing information related to the applicant’s professional qualifications, background, or health, or evaluating and making judgments regarding the applicant’s professionalism qualifications, background, or health; 20) A valid photo identification issued by a state federal agency; Applicants to the Resident Staff must furnish the information and/or documentation listed in (1), (2), (5), (6), (8), (11), (12), (14), (18), (19) and (20) above, and may do so by submitting their residency application form, updated as necessary to include these required items, in lieu of submitting the standard application form described herein. Furthermore, each applicant will be assessed an application fee as determined by policies set forth by the Medical Executive Committee. The application will not be processed without receipt of this fee. 5.5.3 References The applicant must include the names of at least three (3) professionals currently licensed and practicing in the same discipline as the applicant, not currently or about to become 22 corporate or business partners with the applicant in professional practice or personally related to him, who have personal knowledge of the applicant’s current clinical ability, competence, ethical character, health status and ability to work cooperatively with others and who will provide specific written comments on these matters, and letters of recommendation for staff membership. The named individuals must have acquired the requisite knowledge through recent observation of the applicant’s professional performance over a reasonable period of time and at least one must have had organizational responsibility for supervision of his/her performance (e.g., Department Chairperson, Service Chief, Training Program Director). The applicant is responsible for submitting three (3) letters of recommendation from the named professional references to the Credentials Committee Chairperson. At the discretion of the Credentials Committee, the requirement of receipt of all three letters of reference may be reduced to two (2). 5.5.4 Effect of Application The applicant must sign the application and in so doing: 1) Attests to the correctness and completeness of all information furnished and acknowledges that any significant misstatement in or omission from the application constitutes grounds for denial of appointment or revocation of Medical Staff membership; 2) Signifies his/her willingness to appear for interviews in connection with his/her application; 3) Agrees to abide by the terms of the Bylaws, Rules, and policies and procedures manuals of the Medical Staff if granted membership and/or Clinical Privileges, and to abide by the terms thereof in all matters relating to consideration of the application without regard to whether membership and/or privileges are granted; 4) Agrees to maintain an ethical practice and to provide continuous care to his or her patients; 5) Agrees to keep Medical Staff representatives up to date on any change made or proposed in the status of his/her professional license to practice, DEA or other controlled substances registration, malpractice insurance coverage, and membership or clinical privileges at other institutions; 6) Authorizes and consents to Medical Staff representative consulting with prior associates or others who may have information bearing on professional or ethical qualifications and competence and consents to Medical Staff representatives inspecting all records and documents that may be material to evaluation of said qualifications and competence; 7) Releases from any liability all those who, in good faith and without malice, review, act upon or provide information regarding the applicant’s competence, professional ethics, 23 utilization practice patterns, character, health status, and other qualifications for staff appointment and clinical privileges. 5.5.5 Processing the Application 1) Verification of Information After the application is submitted to the Credentials Committee Coordinator, the Credentials Committee Coordinator shall seek to verify the references, licensure status, and other qualification evidence submitted in support of the application, and to obtain the supporting information relevant to the application. The Coordinator shall verify in writing and from the primary source whenever feasible. The Credentials Committee Coordinator shall also query the National Practitioner Databank, and shall promptly notify the applicant of any problems in obtaining any of the information required. Upon such notification, it shall be the applicant’s obligation to obtain the required information. Verification shall include sending a copy of the list of Clinical Privileges requested by the applicant to at least his/her most recent affiliations and a request for specific information regarding his/her competence in exercising those privileges. When the application is complete as defined in subsection (b), the Credentials Committee Coordinator transmits the application and all supporting materials to the Head of each Department in which the applicant seeks Privileges. 2) Definition of Completed Application A completed application shall consist of all pertinent material including receipt in the Medical Staff office of all correspondence from references and other medical staffs as required. 3) Incomplete Applications Incomplete applications will not be accepted for review. In addition to applications which are incomplete as described by Section 5.3, ‘Application for Initial Appointment and Reappointment for Medical Staff Membership’, applications may be deemed incomplete as follows. If the MEC, the Medical Staff office, or Credentials Committee, Administrator or Governing Body review the application requests additional information, documentation, or clarification from the applicant, and/or an interview with the applicant, the applicant will be promptly notified and the application process will be suspended, and the application shall be deemed incomplete, until the requested information, documentation, or clarification has been provided and/or the requested interview has been conducted. No application shall be considered complete until it has been 24 reviewed by the Department Head or designee for each department for which the applicant seeks privileges, the Credentials Committee or designee and the Medical Executive Committee, and all have determined that no further documentation or information is required to permit consideration of the application. The Medical Staff shall promptly inform the applicant of the specific request(s) made, the time period within which the applicant must satisfy the request and the effect on the application process if the request is not satisfied within that time period. 4) Department Evaluations The Head of each Department in which the applicant seeks privileges reviews the application and its supporting documentation and forwards to the Credentials Committee a written report as required evaluating the evidence of the applicant’s training, experience and demonstrated ability and stating how the applicant’s skills are expected to contribute to the activities of the Department. The Department Head or his/her designee shall conduct an interview with the applicant. If a Department Head requires further information, he/she may defer transmitting his/her report, but overall the combined deferral time generally should not exceed thirty (30) days. In case of a deferral, the Department Head must notify the Chairperson of the Credentials Committee in writing of the deferral and the grounds. If the applicant is to provide additional information or a specific release/authorization to allow Medical Staff’s representative to obtain information, the notice to him/her must so state, must be a special notice, and must include a request for the specific data/explanation or release/authorization required and the time frame for response. Failure, without good cause, to respond in a satisfactory manner by that date is deemed a voluntary withdrawal of the application. 5) Credentials Committee Evaluation The Chairperson of the Credentials Committee or a designated committee member may conduct an interview with the applicant. Following the interview, the Credentials Committee reviews the application, the supporting documentation, the reports from the Department Heads, and any other relevant information available to it. The Credentials Committee then transmits to the Medical Executive Committee (MEC) its written report and recommendations as required. If the Credentials Committee requires further information, it may defer transmitting its report, but generally for not more than thirty (30) days. If the applicant is to provide the additional information or specific release/authorization to allow Medical Staff representatives to obtain information, the notice to him/her must so state, must be a special notice, and must include a request for the specific data/explanation or release/authorization required and the time frame for response. Failure to respond in a satisfactory manner, i.e. provide the requested information by the date specified is deemed a voluntary withdrawal of the application. 25 The Credential Committee’s written report, as required, is transmitted with all supporting documentation to the MEC. 6) The MEC, at its next regular meeting after receiving the Credentials Committee recommendation, reviews the application, the supporting documentation, the reports and recommendations from the Department Heads and Credentials Committee, and any other relevant information available to it. The MEC is responsible for determining staff status. The MEC defers action on the application, or prepares a written report with recommendations as required. 7) Effect of Medical Executive Committee Action A. Deferral. Action by the MEC to defer the application for further consideration must, except for good cause, be followed up within forty-five (45) days with its report and recommendations. The Medical Staff President promptly sends the applicant a special notice of an action to defer, including a request for the specific data/explanation or release/authorization, if any, required from the applicant and the time frame for response. Failure, without good cause, to respond in a satisfactory manner by that date is deemed voluntary withdrawal of the application. B. Favorable Recommendation. When the MEC’s recommendation is favorable to the applicant in all respects, the Medical Staff President promptly forwards it, together with all supporting documentation, to the Administrator. All supporting documentation means the application form and its accompanying information, the reports and recommendations of the Division and Department Heads, Credentials Committee and MEC, and dissenting views. C. Adverse Recommendation. When the MEC’s recommendation is adverse to the applicant, the Medical Staff President promptly forwards it, together with all supporting documentation, to the Administrator, and the Administrator immediately informs the applicant by special notice, and the applicant is entitled to the procedural rights provided in the Bylaws. 8) Administrator Action A. On MEC recommendation the Administrator may adopt or reject, in whole or in part, a favorable recommendation or refer the recommendation back to the MEC for further consideration stating the reasons for such referral and setting a time limit within which a subsequent recommendation must be made to the Administrator. B. If the Administrator’s action is favorable to the applicant, this action is forwarded to the Governing Body for final approval. If the Administrator’s action, after complying with the applicable requirements, is adverse to the applicant in any respect, the Administrator promptly informs the applicant by special notice, and the applicant is then entitled to the procedural rights provided in the Bylaws. C. If the Governing Body, upon receiving a report from the Administrator for favorable action, disagrees with the Administrator, it must comply with the requirements below concerning Conflict Resolution. If, after such compliance, the decision is 26 adverse to the applicant in any respect, the Administrator shall promptly inform the applicant by mailing a special notice to the applicant. The applicant is then entitled to the procedural rights provided in the Bylaws and the applicant shall be so informed by the special notice. 9) Content of Reports and Bases for Recommendations and Actions. The report of each individual or group, including the Administrator, required to act on an application must include recommendations as to approval or denial of, and any special limitations on, staff appointment, category of staff membership and prerogatives, Department affiliation(s) and scope of Clinical Privileges. 10) Conflict Resolution. Whenever the Administrator or Governing Body disagrees with the recommendation of the MEC, the matter will be submitted for review and recommendation to a joint conference composed of two members each from the Medical Staff and the Governing Body, appointed by the President of the Medical Staff and the Chairperson of the Governing Body, respectively, before the Governing Body makes its decision. 11) Notice of Final Decision A. The Administrator shall mail notice of the Governing Body‘s final decision to the applicant, with copies to the Medical Staff President and the applicable Department Head(s). B. A decision and notice to appoint included: 1) The Staff category to which the applicant is appointed; 2) The Department(s) to which he/she is assigned; 3) The Clinical Privileges he/she may exercise; and 4) Any special conditions attached to the appointment. 12) Time Periods for Processing Individual/Group A. Applicant. One hundred and twenty (120) days. 1) If the fully completed application is not received by the Medical Staff Office as defined, within One hundred and twenty(120) days, the application will be returned and reapplication will not be allowed for a period of ninety (90) days and any temporary privileges granted are immediately terminated. B. Credentials Committee Coordinator. Thirty (30) days. C. Department Heads. Thirty (30) days after receiving material from Credentials Committee Coordinator. D. Credentials Committee. Thirty (30) days after receiving reports from the Credentials Committee Coordinator and Department Head. E. Medical Executive Committee. At the next regular meeting after receiving report from the Credentials Committee. 27 F. Administrator. Fifteen (15) days after receiving report from the Medical Executive Committee. G. Governing Board. At the next regular meeting after receiving report from the Administrator. H. The time periods set forth are guidelines, not directives, and do not create any rights in any application to have his or her application processed within a specific time frame. If an applicant is not offered or does not accept an offer for employment (permanent, temporary or contract) at CCRMC and Health Centers, the application will be deemed withdrawn. When a Medical Staff member's employment (permanent, temporary, or contract) at CCRMC and Health Centers ends, clinical privileges will automatically expire, except when (1) the member requests an exception and (2) the exception is approved by both the Credentialing Committee and the Medical Staff President. The expiration of clinical privileges is an administrative action and does not entitle the individual to procedural hearing and appellate review rights. 5.5.6 Staff Category upon Appointment Except for applicants to the Resident Staff, all appointments to the Staff shall be to the Provisional Staff. After successful completion of the provisional term, as defined, the Medical Executive Committee, after recommendation from the Credentials Committee, shall assign the appropriate staff category. 5.6 Reappointment and Requests for Modifications of Staff Status or Privileges Applications for reappointment are due one hundred and fifty (150) days prior to the expiration of a Member’s term. Applications that are not complete at ninety (90) days prior to the expiration of a term are not processed and the membership automatically expires at the end of the term. Applications completed between one hundred and fifty (150) and ninety (90) days from the end of a term are charged a late fee as noted in the Rules. At least one hundred and eighty (180) days prior to the expiration date of the current staff appointment (except for temporary appointments), a reappointment form developed by the Medical Executive Committee shall be mailed or delivered to the Member. The completed application form and Medical Staff dues are due one hundred and fifty (150) days prior to the expiration date. The department Chair will be notified if the member is delinquent. Each Medical Staff Member shall submit to the Credentials Committee the completed application form for renewal of appointment to the staff and for renewal or modification of clinical privileges. The reapplication form shall include all information necessary to update and evaluate the qualifications of the applicant including, but not limited to, the matters set forth in these Bylaws as well as other relevant matters. The results of performance monitoring, evaluation, and identified opportunities to improve care and service are printed and included in the reappointment file. Ongoing Professional Practice 28 Evaluation (OPPE) data are collected and provided as evidence of the practitioner’s current competence. A reappointment may be deferred if more information is needed. Upon receipt of the application, the information shall be processed as set forth commencing at Section 5.4. In addition, the Department Head will review the applicants’ QA profile if there is one. A Medical Staff Member who seeks a modification of Clinical Privileges may submit such a request at any time upon a form developed by the Medical Executive Committee, except that such application may not be filed within one year of the time similar request has been denied. 5.6.1 Effect of Application The effect of an application for reappointment or modification of staff status or privileges is the same as that set forth in Section 5.5. 5.6.2 Standards and Procedures for Review When a staff Member submits an application for reappointment, or when the Member submits an application for modification of staff status or Clinical Privileges, the Member shall be subject to an in-depth review generally following the procedures set forth in Section 5.5. 5.7 Leave of Absence from the Medical Staff A Member may request a leave of absence not to exceed two (2) years. No leave is effective unless and until approved by the Medical Executive Committee. At the end of the leave the Member must apply for reinstatement. The Member must provide information regarding his or her relevant activities during the leave of absence if the MEC so requests. During the period of leave, the Member shall not exercise Privileges at the Hospital, and membership rights and responsibilities shall be inactive. The obligation to pay dues, if any, shall continue during the leave unless waived by the Medical Executive Committee. 5.7.1 Reinstatement after a Leave Failure, without good cause, to request reinstatement of Membership at least thirty (30) days prior to the end of an approved leave shall be deemed voluntary resignation from the Medical Staff. The MEC shall make recommendations concerning reinstatement of the Member’s Membership and Privileges to the Governing Body for final action. 5.8 Waiting Period after Adverse Action An applicant, Member, or prior Member is not eligible for Membership in the Medical Staff and/or granting of Privileges for twenty-four (24) months after an adverse action regarding his or her Membership or Privileges. 5.8.1 An Adverse Action occurs when any of the following occur: 29 A. A final adverse decision regarding appointment or privileges is made by the Governing Body, or an applicant withdraws his or her application or request for Privileges following an adverse recommendation by the Medical Executive Committee to the Governing Body. B. A final adverse decision resulting in termination of a Member’s membership or Privileges is made by the Governing Body, or if the Member resigns Membership or relinquishes Privileges while an investigation and resolution is pending concerning her/his membership and/or relevant Privileges., C. A final adverse decision resulting in termination or restriction of Privileges or denial of a request for additional Privileges is made by the Governing Body 5.8.2 The Medical Staff may, as part of an adverse action, waive the twenty-four (24) month ineligibility period or limit it in some way including but not limited to require proctoring or supervision. 5.8.3 An action is considered final on the date the application was withdrawn, a Member’s resignation became effective, or upon completion of all hearings and appellate reviews described in the Bylaws pertinent to the action. After an ineligibility period, the individual may reapply for Membership or re-request Privileges. The application will be treated as an initial application or request, except that the individual must document to the satisfaction of the Medical Staff that the basis for the adverse action no longer exists and that sufficient measures have been taken to assure that it will not occur again. With regard to the subject of the adverse action, the Medical Staff may impose more stringent conditions and requirements for evaluation, documentation, and monitoring than it might in an application de novo or it may deny the request outright. 5.9 Confidentiality and Impartiality To maintain confidentiality and to assure the unbiased performance of appointment and reappointment functions, participants in the credentialing process shall limit their discussion of the matters involved to the formal avenues provided in the Bylaws for processing applications and for appointment and reappointment. ARTICLE 6 PRIVILEGES 6.1 Exercise of Privileges Except as otherwise provided in these Bylaws, every Member providing direct clinical services at this Hospital shall be entitled to exercise only those Privileges specifically granted to him or her. Clinical privileges may be granted, continued, modified, or terminated by the Governing Body only upon the recommendation of the Medical Staff as outlined in these Bylaws. 30 6.2 Delineation of Privileges in General 6.2.1 Requests A. Each applicant for appointment and reappointment to the Medical Staff must contain a request for the specific Privileges desired by the applicant. A request for modification of Privileges must be supported by documentation of training and/or experience supportive of the request. A Member may make requests for modifications of Privileges at any time. B. Each department is responsible for developing written criteria for granting Privileges. These criteria take effect only after approval by the Medical Executive Committee (MEC.) 6.2.2 Basis for Privilege Determinations Requests for Privileges shall be evaluated upon the basis of the Member’s education, training, experience, demonstrated professional competence and judgment, clinical performances, and the documented results of patient care. Privilege determinations shall also be based upon pertinent information concerning clinic performance obtained from other sources, especially other institutions and health care setting where an individual exercises Privileges. 6.2.3 Privileges for Department Heads Privileges for Department Heads will be acted upon by the Medical Staff President. If a Department Head is also the Medical Staff President, privileges will be acted upon by the Past President. In no event will a Department Head approve his/her own privileges. 6.2.4 Admissions Dentists, oral surgeons, podiatrists and clinical psychologist Members are non-Physician members. They may admit patients only if a Physician Member assumes responsibility for the care of the Patient’s medical problems during the hospitalization. These non-physician members may participate in the patient’s care to the extent allowed by the responsible Physician Member and the Medical Staff Bylaws and Rules. 6.2.5 Medical Appraisal A Physician Practitioner shall provide ongoing medical evaluation of all patients receiving some care from a non-physician Member. The Physician shall also provide appropriate supervision and control of the patient care provided by the non-physician Member. 31 6.3 Resident Physicians By virtue of their enrollment in an accredited training program, resident physicians hold privileges to admit patients, perform procedures and provide services as assigned under the supervision of licensed physician members of the Medical Staff who have privileges for the patient care being rendered and the Residency Director. All resident physicians must meet qualifications for licensing and membership as outlined above in section 2.2.2 subsection C. Second year residents with 18 months of training and in good standing with the residency program may apply for privileges 6.4 Temporary Privileges 6.4.1 Circumstances The Administrator (or his/her designee), with the written concurrence of the Medical Staff President and the Chairperson of the Department where the Privileges will be exercised, may grant temporary Privileges to a practitioner subject to the following conditions: A. Pendency of Application: After receipt of a completed application for appointment or reappointment (see Section 5.5- including a request for specific Privileges for an initial period of sixty (60) days while the application is being processed. If the processing of the completed application by the Medical Staff requires more than sixty (60) days, the temporary Privilege may be extended for up to an additional sixty (60) days at the discretion of the Medical Staff President or his/her designee. Temporary Privileges shall automatically terminate at the end of a maximum of one hundred and twenty (120) days, unless earlier terminated in accordance with the Bylaws. B. Important Patient Care, Treatment and Service Need. After receipt of an application for appointment or reappointment, including a request for specific Privileges, an applicant may be granted temporary privileges for the purposes of important patient care, treatment or service need, for an initial period of sixty (60) days while the application is being processed. The Medical Staff must be able to verify the applicant’s current licensure and competence, or temporary Privileges are denied. The National Provider Data Bank will be queried. If the processing of the application by the Medical staff requires more than sixty (60) days, the temporary Privileges may be extended for up to an additional one hundred and twenty (120 )days at the discretion of the Medical Staff President or his/her designee. Temporary Privileges shall automatically terminate at the end of a maximum of one hundred and eighty (180) days, unless earlier terminated in accordance with the Medical Staff Bylaws. 6.4.2 Conditions 32 Temporary Privileges may be granted only after the practitioner has submitted a written application for appointment and a request for temporary Privileges and the information available reasonably supports a favorable determination regarding the requesting practitioner’s licensure, qualifications, ability, and judgment to exercise the Privileges requested, and only after the practitioner has satisfied the requirement regarding professional liability insurance. The chairperson of the department to which the practitioner is assigned shall be responsible for supervising the performance of the practitioner granted temporary Privileges, or for designating a department member who shall assume this responsibility. That Chairperson may impose special requirements of consultation and reporting. Before temporary Privileges are granted, the practitioner must acknowledge in writing that he/she has received a copy of the Bylaws and Rules and that he/she agrees to be bound by the terms thereof in all matters relating to his/her temporary Privileges. 6.4.3 Termination The Administrator or the President of the Medical Staff may terminate any or all of a practitioner’s temporary Privileges: A. Upon discovery of any information or the occurrence of any event of a nature which raises question about a practitioner’s professional qualifications or ability to exercise any or all of the temporary Privileges granted by the Administrator or President of the Medical Staff; B. If the life or well-being of a patient is endangered in the opinion of the grantor of the temporary Privilege; C. In addition, any person entitled under these Bylaws to impose summary suspensions may terminate temporary Privileges if the well-being of a patient is endangered or thought to be endangered by the person termination the temporary Privilege. Any such termination shall be reviewed at the next scheduled meeting of the Medical Executive Committee. In the event of any such termination, the Department will assign the practitioner’s patients then in the Hospital to another practitioner(s) or Division Head responsible for supervision. The wishes of the patient will be considered, where feasible, in choosing a substitute practitioner. 6.4.4 Rights of the Practitioner A practitioner shall not be entitled to the procedural rights afforded by these Bylaws merely because his/her request for temporary Privileges is denied. However, if all or any portion of his/her temporary Privileges are terminated or suspended, the practitioner shall be entitled to those procedural rights. 33 6.5 Emergency Privileges In the event of an emergency, any Member of the Medical Staff is permitted to do everything reasonably possible to save the life of a patient or to save a patient from serious harm. The Member shall promptly enlist assistance from and yield patient care to a qualified Member as soon as one becomes available. 6.6 Focused Professional Practice Evaluation (FPPE) A. General Requirements All initial appointments to the Medical Staff and all Members granted new Privileges shall be subject to Focused Professional Practice Evaluation (FPPE). Information used for evaluation may be obtained through, but is not limited to the following: 1) Concurrent or targeted medical record review. 2) Direct observation. 3) Monitoring/proctoring of diagnostic, procedural, and/or treatment techniques. 4) Discussion with other practitioners involved in the care of specific patients. 5) Interviews with the physician involved in the patient’s care. 6) Sentinel event data. 7) Any applicable peer review data. 8) Review of data from other institutions with applicant/member’s permission. B. Each appointee or recipient of new Clinical Privileges shall be assigned to a department (or departments) where performance on an appropriate number of cases as established by the Medical Executive Committee shall be observed by the chair of the department or the chair’s designee, to determine suitability to continue to exercise the Clinical Privileges granted in that department. C. The Member shall remain subject to FPPE until the Credentials Committee has been furnished with a report signed by the chair of the department(s) to which the member is assigned describing the types and numbers of cases observed and the evaluation of the applicant’s performance, a statement that the applicant appears to meet all of the qualifications for unsupervised practice in that department. D. FPPE may be implemented whenever the Medical Executive Committee or its designee determines that additional information is needed to assess a Member’s performance. E. FPPE is not an adverse action or a disciplinary measure. It is a means of gathering information regarding a Members’ skills. Therefore, the requirements of proctoring does not itself give rise to the hearing rights triggered by an adverse action. F. During FPPE, the Member must demonstrate the requisite competence required to exercise the Clinical Privileges. 6.6.1 Completion of FPPE 34 FPPE shall be deemed successfully completed when the Credentials Committee has received sufficient information about the applicant’s competency. 6.6.2 Requirements to Provide FPPE Members of the Medical Staff shall serve in a manner consistent with FPPE requirements. Refusal to serve in this capacity, without good cause, as determined by the Medical Executive Committee, is grounds for corrective action. 6.6.3 Failure to Complete FPPE A Member who fails to complete the required initial FPPE within one year shall be deemed to have voluntarily withdrawn his or her request for those Privileges. The Credentials Committee or the Medical Executive Committee may extend the time for completion of FPPE in appropriate cases. If a Member completes the necessary FPPE but fails to perform competently he or she may have the relevant Privileges revoked or involuntarily modified in order to assure quality patient care. Failure to successfully complete proctoring may, in certain situations, be adequate grounds for revocation, suspension, or other involuntary modification of membership and/or privileges. Such actions regarding Privileges and Membership qualify as adverse actions entitling the practitioner to appropriate procedural hearings. 6.7 Disaster Privileges In the event of a disaster of sufficient magnitude to require use of resources beyond those available to the Hospital and Medical Staff, privileges may be granted to volunteers on an emergent basis to handle immediate patient care needs (“Disaster Privileges”). 6.7.1 Declaration of Disaster The Hospital disaster plan must be implemented prior to consideration of granting Disaster Privileges. 6.7.2 Individuals Responsible for Granting Disaster Privileges The Medical Staff President or his/her designee, or the Administrator or his/her designee(s) are responsible for granting Disaster Privileges. Under the disaster plan, and in the absence of the above persons or designees, the incident commander, or his/her designee(s), is the individual responsible for granting Disaster Privileges until the above person or designees are present to carry out the function of granting Disaster Privileges. A. Responsibilities of Individuals Granting Disaster Privileges. Disaster Privileges may be granted on a case-by-case basis, and the responsible individual, at his or her discretion, is not required to grant Privileges to any individual. 6.7.3 Identification Requirements for Disaster Privileges 35 Disaster Privileges may be granted upon the presentation of a valid photo identification issued by a state or federal agency, and at least one of the following items; A. A current hospital ID card that clearly identifies professional designation. B. A current license to practice and a valid photo ID issued by a state or primary source verification of the license. C. Identification indicating that the individual is a member of a Disaster Medical Assistance Team (DMAT) or MRC, ESAR-VHP, or other recognized state or federal organization or group. D. Identification indicating that the individual has been granted authority to render patient care, treatment, and services in disaster circumstances (such authority having been granted by a federal, state, or municipal entity.) E. Verification of identity and qualifications by current Hospital or Medical Staff Member(s) with personal knowledge of the practitioner’s identity and qualifications. 6.7.4 Disaster Identification Practitioners granted disaster Privileges shall be identifiable to other staff by the wearing of a Disaster Identification Badge. 6.7.5 Management of Persons Granted Disaster Privileges Persons granted disaster Privileges will be assigned duties either by the granting authorities as defined in Section 6.7.2, ‘Individuals Responsible for Granting Disaster Privileges,’ or assigned to a specific department, by the Department Chair or his/her designee. In the absence of these persons, the incident commander may assign duties or delegate this responsibility to person(s), identified in the disaster plan, who are responsible for designation of duties. The Medical Staff oversees the professional practice of volunteer licensed independent practitioners by direct observation and clinical record review. Disaster Privileges are automatically terminated when the disaster plan is deactivated. Disaster Privileges may be revoked at any time or for any reason by the Medical Staff President, Administrator, Department Chair, or their designee(s). The Hospital must make a decision (based on information obtained regarding the professional practice of the volunteer) within seventy-two (72) hours related to the continuation of Disaster Privileges initially granted. 6.7.6 Verification Process Verification: 36 Primary source verification of licensure begins as soon as the immediate situation is under control and is usually completed within seventy-two (72) hours from the time the volunteer practitioner presents to the organization. In extraordinary circumstances, when primary source verification cannot be completed in seventy-two (72) hours, there must be documentation of the following:  Why the Primary source verification could not be performed;  Evidence of demonstrated ability to continue to provide adequate care, treatment and services. Primary source verification must still be done as soon as possible. ARTICLE 7 GENERAL MEDICAL STAFF OFFICERS 7.1 Identification The general officers of the Medical Staff are the President, the President-Elect, and the Past President. 7.2 Qualifications Each general officer must: 7.2.1 Be a member of the Active Staff at the time of nomination and election and remain a Member in good standing during his/her term of office; 7.2.2 Be licensed as a physician and surgeon; 7.2.3 Willingly and faithfully discharge the duties of the office; and 7.2.4 Exercise the authority of the office held, working with the other general and Department officers of the Medical Staff. 7.3 Attainment of Office 7.3.1 The election for the office of President-Elect shall take place in January of odd-numbered years. The person who receives the majority of the votes cast is the President-Elect and shall immediately assume the office. On July 1 of that same year, the President-elect shall assume the office of the President. 7.3.2 Term of Office The President shall serve a two-year term, and may serve a maximum of four consecutive terms. If nonconsecutive, the number of terms a President may serve is not subject to limit. At the conclusion of the President’s term(s) of office, the President shall assume the office of Past-President. 37 7.3.3 Should the incumbent President be re-elected, the office of President-Elect shall remain vacant until the next January election for President. 7.3.4 Nomination The MEC shall nominate qualified candidates for the office of President-Elect. Each nominee must be an M.D. or a D.O. Nominations may also be made from the floor at the October quarterly meeting by a Member of the Active Staff in good standing. Any such floor nomination must be seconded by a Member of the Active Staff in good standing and accompanied by evidence of the nominee’s willingness to be nominated. Nominations are due and must be accepted no later than close of business on January 2nd. 7.3.5 Election The President-Elect is chosen from among the nominated candidates by election as defined in these Bylaws. Candidates for Medical Staff President-Elect may submit a written statement not to exceed two pages to the Medical Staff Office no later than close of business on January 2nd. On or about January 2nd, but no less than fifteen (15) days, before the January meeting of the Medical Executive, the Medical Staff Office shall send ballots via mail or electronic voting system to all active Members of the Medical Staff including a list of the candidates for Medical Staff President-Elect and accompanied by the candidates’ statements, if any. 7.3.6 In order for a ballot to be counted, it must be returned to the Medical Staff Office or completed by electronic voting no later than close of business on the 7th day before the January meeting of the Medical Executive Committee. The Medical Staff President and at least one other member of the MEC shall tally the votes, unless the Medical Staff President is a candidate. In that event, the MEC shall designate a second member of the MEC to tally the votes. As soon thereafter as possible, the MEC shall notify all candidates of the election results. Thereafter, but at least five (5) calendar days before the January meeting of the MEC, the MEC shall post, or otherwise disclose the election results to the Medical Staff. 7.4 Vacancies 7.4.1 If the office of the President becomes vacant after an election but before the end of the current President's term, the President-Elect will assume office to fill that vacancy and will serve the remainder of the current President's term and his/her own full term as President. If the office of the President becomes vacant while the election is underway, the Past President will serve as Acting President until the results of that election are determined. Once those results are determined, the President-Elect will assume office and will serve the remainder of the current President's term and his/her own full term as President. At any other times, if the office of the President becomes vacant, the Past President will serve as Acting President pending the outcome of a special election for the office of President to be conducted as expeditiously as possible and generally in the same manner as provided in this Article. The MEC may determine, however, not to call a special election if a regular election 38 for the office is to be held within ninety (90) days. The winner of a special election will serve only the remainder of the current President's term. 7.4.2 In the event of a vacancy in the office of Past President, the MEC shall appoint a Member of the MEC to serve out the remainder of the vacated term. 7.5 Resignation and Removal from Office 7.5.1 Resignation Any general Medical Staff officer may resign at any time by giving written notice to the Medical Executive Committee. Such resignation, which may or may not be made contingent upon formal acceptance, takes effect on the date specified in the resignation or, if no date is specified, on the date of receipt. 7.5.2 Removal A. Authority and Mechanism: 1) Removal of a general staff officer may be effected by two-thirds majority vote by secret ballot of the members of the Active Staff in good standing. B. Grounds: 1) Permissible grounds for removal of a general staff officer include, without limitation; C. Failure to perform the duties of the position held in a timely and appropriate manner; D. Failure to continuously meet the qualifications for the position; E. Physical or mental infirmity that renders the officer incapable of fulfilling the duties of his/her office. 7.6 Duties of General Staff Officers 7.6.1 Medical Staff President The Medical Staff President shall serve as the Chief Office of the Medical Staff. The duties of the Medical Staff President shall include, but are not limited to: A. Enforcing the Bylaws and Rules, implementing sanctions where indicated, and enforcing procedural safeguards where corrective action has been requested or initiated; B. Calling, presiding at, and being responsible for the agenda of all meetings of the Medical Staff; C. Serving as the chair of the Medical Executive Committee; D. Serving as an ex-officio member of all other Medical Staff Committees; E. Interacting with the Administrator and the Governing Body in all matters concerning the Hospital; F. Appointing, in consultation with the Medical Executive Committee, committee members for all standing and special medical Staff, liaison, and multi-disciplinary committees, 39 except where otherwise provided by these Bylaws and, except where otherwise indicated, designating the chairpersons of these committees; G. Representing the views and policies of the Medical Staff to the Governing Body and to the Administrator; H. Being a spokesperson for the Medical Staff in external professional and public relations; I. Performing such other duties as may be required by the Bylaws, the Medical Staff, or by the Medical Executive Committee; J. Serving as an ex-officio member on liaison committees with the Governing Body and Administration and with outside licensing and accreditation agencies. 7.6.2 President-Elect The President-Elect shall assume all duties and authority of the Medical Staff President in the absence of the Medical Staff President. The President-Elect shall also be a member of the Medical Executive Committee and an ex-officio member of the Joint Conference Committee. The President-Elect shall perform such other duties as the Medical Staff President may assign or delegate to the President-Elect. 7.6.3 Past President The Past President shall have the same duties and responsibilities as the President-Elect in the absence of the President-Elect. ARTICLE 8 DEPARTMENT AND DIVISIONS 8.1 Organization of Departments Each Department shall be organized as an integral unit of the Medical Staff and shall have a chair. The authority, duties, method of selection and responsibilities of these Department officers is set forth below. Each Department may appoint such standing or ad-hoc committees as it deems appropriate to perform its required functions. A Department may be further divided, as appropriate, into divisions. The division shall be directly responsible to the Department within which it functions. Each division shall have a division head appointed by the department head or elected by the division members, entrusted with the authority, duties and responsibilities specified in Section 8.7. When appropriate, the Medical Executive Committee may recommend to the Medical Staff the creation, elimination, modification, or combination of Departments or divisions. 8.1.1 Current Clinical Departments and Divisions: The current Clinical Departments and Divisions are: 40 1. Family and Adult Medicine i. West (WCHC and North Richmond) ii. Martinez (MHC and Miller Wellness) iii. Concord iv. East (Pittsburg and Bay Point) v. Far East (Antioch and Brentwood) 2. Internal and Specialty Medicine 3. Hospital Medicine 4. Emergency Medicine 5. Psychiatry/Psychology 6. Pediatrics 7. Obstetrics and Gynecology 8. Surgery 9. Anesthesia 10. Critical Care Medicine 11. Dental 12. Diagnostic Imaging 13. Pathology 8.2 Assignment to Departments Each Member shall be assigned membership in at least one Department, but may also be granted membership and/or Privileges in other Departments. 8.3 Functions of Departments The functions of each Department shall include: 1) Conducting patient care reviews for the purpose of analyzing and evaluating the quality and appropriateness of care and treatment provided to patients within the Department. The Department shall routinely collect information about important aspects of patient care provided in the Department, periodically asses this information, and develop objective criteria for use in evaluating patient care. Patient care reviews shall include all clinical work performed under the jurisdiction of the Department; 2) Recommending to the Medical Executive Committee guidelines for the granting of Clinical Privileges and the performance of specified services within the Department; 3) Evaluating and making appropriate recommendations regarding the qualification of applicants seeking appointment or reappointment and Clinical Privileges within that Department; 4) Conducting, participating in, and making recommendations regarding continuing education programs pertinent to departmental clinical practice; 5) Reviewing and evaluating departmental adherence to: (1) Medical Staff policies and procedures; and (2) sound principles of clinical practice; 6) Coordinating patient care provided by the Department’s Members with nursing and ancillary patient care services; 41 7) Submitting written reports to the Medical Executive Committee concerning: (1) the Department’s review and evaluation activities, actions taken thereon and the results of such action; and (2) recommendations for maintaining and improving the quality of care provided in the Department and Hospital; 8) Meeting regularly for the purpose of considering patient care review findings and the results of the Department’s review and evaluation activities, as well as reports on other Department and staff functions; 9) Establishing such committees or other mechanisms as are necessary and desirable to perform properly the functions assigned to it, including proctoring protocols; 10) Taking appropriate action when important problems in patient care and clinical performance or opportunities to improve care are identified; 11) Accounting to the Medical Executive Committee for all professional and Medical Staff administrative activities within the Department; 12) Appointing such committees as may be necessary or appropriate to conduct Department functions; 13) Formulating recommendations for departmental rules and regulation reasonably necessary for the proper discharge of its responsibilities subject to the approval by the Medical Executive Committee and the Medical Staff; When the department or any of its committees meet to carry out the duties described above, the meeting body shall constitute a peer review body, which is subject to the standards and entitled to the protections and immunities afforded by federal and state law for peer review bodies and/or committees. Each department and/or its committees, if any, must meet regularly to carry out its/their duties. 8.4 Department Heads Each Department shall have a Department Head who shall be a Member of the active Medical Staff and shall be certified by an appropriate specialty board, or affirmatively establish, through the Privilege delineation process, that the person possesses comparable competence in at least one of the clinical areas covered by the Department. Each Department Head shall have the following authority, duties and responsibilities: 1) Act as presiding Officer (Chairperson) at departmental meetings; 2) Report to the Medical Executive Committee and the Medical Staff President regarding all professional and administrative activities within the Department; 3) Generally monitor the quality of patient care and professional performance rendered by Members with Clinical Privileges in the Department through a planned and systematic process; oversee the effective conduct of the patient care, evaluation, and monitoring functions delegated to the department by the Medical Executive Committee; 4) Prepare and transmit to the appropriate authorities, as required by these Bylaws, recommendations concerning appointment, reappointment, delineation of Clinical 42 Privileges, and corrective action with respect to practitioners holding membership or exercising privileges or services in the Department; 5) Annually review, and amend as necessary, Department policies and procedures; 6) Participate in managing the Department through cooperation and coordination with nursing and other patient care services and with Administration on all matters affecting patient care, including personnel, equipment, facilities, services, and budget; 7) Endeavor to enforce the Bylaws, Rules and policies and regulations with the Department; 8) Appoint an acting Department Head (Vice-Chairperson) during any absence; 9) Assure all Department functions are performed; 10) Perform such other duties commensurate with the office as may from time to time be reasonably requested by the Medical Staff President or the Medical Executive Committee; 11) Plan and conduct, as requested by and in cooperation with the Residency Director, a program of instruction, supervision, and evaluation of Residents’ 12) Assess and recommend to the relevant hospital authority off-site sources for needed patient care services not provided by the department or organization; 13) Recommend a sufficient number of qualified and competent persons to provide care, treatment and services; 14) Determine the qualifications and competence of Department or service personnel who are not licensed independent practitioners and who provide patient care, treatment and service; 15) Continually assess and improve the quality of care, treatment and services; 16) Maintain quality control programs, as appropriate; 17) Oversee the orientation and continuing education of all persons in the Department or service; 18) Recommend space and other resources needed by the Department or service; 19) Recommend to the Medical Staff the criteria for Clinical Privileges that are relevant to the care provided in the Department; 20) Integrate the Department or service into the primary functions of the organization and coordinate and integrate interdepartmental and intradepartmental services; 21) Develop and implement policies and procedures that guide and support the provision of care, treatment and services. 8.5 Election of Department Heads 8.5.1 In April of each election year, the active Medical Staff of the applicable Department shall elect a Department Head. 8.5.2 The following Departments shall elect a Department Head in odd-numbered years: Family and Adult Medicine, Anesthesia, Pediatrics, Internal and Specialty Medicine, Hospital Medicine, Pathology and Dentistry. The following Departments shall elect a Department Head in even-numbered years: Emergency Medicine, Surgery, Psychiatry/Psychology, Diagnostic Imaging, Obstetrics & Gynecology and Critical Care. 43 8.5.3 The Medical Staff President shall request nominations for Department Head at the January Quarterly Medical Staff meeting and at the applicable Department meeting. Nominations may be submitted by any department member within the nominating department regardless of status (e.g. active; courtesy, etc.). Nominations may be made only to the current Department Head or to the Medical Staff President. The last day to nominate a candidate for Department Head is March first. Candidates may submit a written statement not to exceed two pages to the Medical Staff office no later than close of business on March 3rd. The Medical Staff Office shall mail or send via electronic communication a list of candidates to all active Members of the Medical Staff in the affected Department no later than March 7th. The candidates’ statements, if any, shall accompany the list. 8.5.4 On or about March 30th, but no less than fifteen (15) days, before the April meeting of the Medical Executive Committee, the Medical Staff office shall send ballots via mail or electronic voting system to all the active Medical Staff Members within the affected Department. In order for a ballot to be counted, it must be returned to the Medical Staff Office or completed by electronic voting no later than close of business on the 7th day before the April meeting of the Medical Executive Committee. The Medical Staff President and at least one other member of the Medical Executive Committee shall tally the votes, unless the Medical Staff President is a candidate. In that event, the Medical Executive Committee shall designate a second member of the Medical Executive Committee to tally the votes . As soon thereafter as possible, the Medical Executive Committee shall notify all candidates of the election results. Thereafter, but at least five (5) calendar days before the April meeting of the medical Executive Committee, the Medical Executive Committee shall post, or otherwise disclose to the Medical Staff, the election results. 8.5.5 The Medical Executive Committee shall review the newly elected Department Heads for approval at its April meeting. The elected Department Head is thereafter subject to the approval of the Chief Medical Officer. In the event that the elected Department Head is not approved by either the Medical Executive Committee or the Chief Medical Officer, a new election shall be conducted as soon as possible. If the Chief Medical Officer does not approve a Department Head, she/he will discuss the reasons for disapproval at the next Medical Executive Committee meeting. 8.5.6 The Medical Staff President can appoint an acting Department Head, subject to MEC approval, to carry out the duties of Department Head until an election is possible. 8.5.7 Term of Office The term of office of Department Heads is two Medical Staff years. Each assumes office on the first day of the Medical Staff year, except that a Department Head appointed to fill 44 a vacancy assumes office immediately upon appointment. Each Department Head serves until the end of his or her term until a successor is elected, unless he/she resigns sooner or is removed from office. A Department Head is eligible to succeed himself/herself. 8.5.8 Removal After election and ratification, removal of a Department Head from office may occur for cause by two-thirds vote of the Medical Executive Committee or a two-thirds vote of the Department Members on active staff. 8.6 Functions of Divisions Subject to approval of the Medical Executive Committee, each division shall perform the functions assigned to it by the Department Chairperson. Such functions may include, without limitation, retrospective patient care reviews, evaluation of patient care practices, credentials review and privileges delineation, and continuing education programs. The division shall transmit regular reports to the Department Head on the conduct of its assigned functions. 8.7 Division Heads Each division shall have a Division Head who shall be a Member of the active or provisional Staff and a Member of the division which he/she heads, and shall be certified by an appropriate specialty board, or affirmatively establish through the privilege delineation process that he/she possesses comparable competence in at least one of the clinical areas covered by the division. Each Division Head shall: 1) Act as presiding officer at division meetings; 2) Assist in the development and implementation, in cooperation with the Department Head, of programs to carry out the quality review and monitoring functions assigned to the division; 3) Continually review the patient care and the professional performance of Division members, and report to the Department Head patterns or situations affecting patient care within the Division; 4) As requested by and in cooperation with the Department Head, conduct investigations and submit reports and recommendations to the Department Head regarding the Clinical Privileges to be exercised within his/her division by Members of or applicants to the Medical Staff; 5) Manage the Division through cooperation and coordination with nursing and other patient care services and with Administration on all matters affecting patient care, including personnel, equipment, facilities, services, and budget; 6) Assure all Division functions are performed; 7) Perform such other duties commensurate with the office as may from time to time be reasonably requested by the Department Head, the Medical Staff President, or the Medical Executive Committee. 45 8.8 Election of Division Heads 8.8.1 In April of each election year, the active Medical Staff of the applicable division shall elect a Division Head as set forth below. 8.8.2 Family and Adult Medicine West County and Family and Adult Medicine Far East County shall elect Division heads in even-numbered years; Family and Adult Medicine Martinez, Family and Adult Medicine Concord and Family and Adult Medicine East County shall elect Division Heads in odd-numbered years. 8.8.3 The Medical Staff President shall request nominations for Division Heads at the January Quarterly Medical Staff meeting and at the applicable division meeting. Nominations may be made only to the current Department Head or to the Medical Staff President. The nomination timeline follows that of nominations for Department Heads, see section 8.5.3. 8.8.4 The voting process and timeline follows that for Department Heads, see section 8.5.4. 8.8.5 The newly elected Division Heads shall be reviewed for approval by the appropriate Department Head prior to the April meeting of the Medical Executive Committee and by the Medical Executive Committee at its April meeting. The elected Division Head is thereafter subject to approval of the Chief Medical Officer. In the event that the elected Division Head is not approved by the Department Head, the Medical Executive Committee or the Chief Medical officer, a new election shall be conducted as soon as possible. If the Department Head or the Chief Medical Officer does not approve a Division head, she/he will discuss the reasons for disapproval at the next Medical Executive Committee meeting. 8.8.6 Division members shall fill vacancies due to any reason for the unexpired term by election as soon as possible. The Department Head can appoint an acting Division head, subject to MEC approval, to carry out the duties of Division Head until this election is possible. 8.8.7 Term of Office The term of office of Division heads is two Medical Staff years. Each assumes office on the first day of the Medical Staff year, except that a Division head elected to fill a vacancy assumes office immediately upon election. Each Division head serves until the end of his/her term and until a successor is elected, unless he/she sooner resigns or is removed from office. A Division Head is eligible to succeed himself/herself. 8.8.8 Removal After selection and ratification, a Division head may be removed for cause by the Department Head, a two-thirds vote of the Division Members on active Staff, or by a two- thirds vote of the MEC. 46 47 ARTICLE 9 COMMITTEES 9.1 General Provisions 9.1.1 Designation A. The Medical Executive Committee and the other committees described in these Bylaws shall be standing committees of the Medical Staff unless otherwise indicated. B. The Chairperson of the Medical Executive Committee, a standing committee, or a Department may create subcommittees, or Ad-Hoc committees, in order to carry out specified tasks. These specified tasks must be within the scope of authority of the committee whose chairperson created the committee. Such committees terminate once the specified task is completed and are not standing committees. 9.1.2 Appointment of Members to Committees A. The Medical Staff President, with the approval of the MEC, shall appoint chairpersons and members of standing committees unless otherwise specified in the Bylaws. Committee members are appointed for a term of one Medical Staff year unless otherwise specified by the Bylaws, and shall serve either until the end of this period, until the member’s successor is appointed, or until the member resigns or is removed from the committee. B. Only Medical Staff in good standing may be voting members of any Medical Staff Committee. Other individuals may be appointed to committee positions as either Ex- officio or non-medical Staff members. C. For committees that are not standing committees, the person creating the committee shall appoint Chairpersons and Members. 9.1.3 Removal of Committees Unless otherwise specified in the Bylaws, committee members may be removed by the appointing authority without cause. 9.1.4 Vacancies Vacancies on any committees shall be filled in the same manner as an original appointment is made. 9.1.5 Conduct of Meeting of Committees Committee meetings shall be conducted and documented in the manner specified in these Bylaws. 48 9.1.6 Attendance of Non-Members Members in good standing of the Medical Staff who are not committee members my attend committee meetings only with the permission of the Chair of the committee. 9.1.7 Accountability All committees of the Medical Staff are accountable to the Medical Executive Committee. 9.2 Medical Executive Committee 9.2.1 Composition The Medical Executive Committee (MEC) consists of the following Members of the Medical Staff as voting members: 1) President of the Medical Staff; 2) President-Elect; 3) Past President; 4) Clinical Department Heads; 5) Division heads; 6) The Chairpersons of the following committees shall be voting members of the MEC: A. Administrative Affairs B. Ambulatory Policy C. Credentials D. Patient Safety and Performance Improvement E. Patient Care Policy and Evaluation 7) Chief administrators are official members of MEC with regular reporting duties without voting rights. These include the Director of Health Services, the Chief Financial Officer, the Chief Executive Officer of Hospital and Clinics, the Chief Medical Officer, the Chief Nursing Officer, the Chief Operations Officer for CCRMC/HC, the Ambulatory Care Medical Director, the Hospital Medical Director, Medical Director of Patient Safety and Performance Improvement, the Chief Medical Informatics Officer, the Residency Program Director and the Medical Director of Contra Costa Health Plan. The Chairperson of the MEC may invite other individuals to participate in the MEC meetings as non-voting guests. 9.2.2 Duties The Medical Executive Committee shall: A. Perform and/or delegate performance of all Medical Staff functions in a manner consistent with the Bylaws and the Rules; B. Coordinate and implement the Activities of the committees and the Departments; C. Make recommendations regarding Medical Staff membership and privileges; D. Initiate and pursue disciplinary or corrective actions when indicated; 49 E. Supervise the Medical Staff’s compliance with the Medical Staff Bylaws, Rules and policies; F. Supervise the Medical Staff’s compliance with County laws, rules, policies and procedures; G. Supervise the Medical Staff’s compliance with state and federal laws and regulations; H. Supervise the Medical Staff’s compliance with TJC and other applicable accreditation and certification rules; I. Regularly report to the Governing Body regarding the status of Medical Staff issues; J. Meet monthly to conduct Medical Staff business; K. Represent and act on behalf of the Medical Staff in the intervals between Medical Staff meetings, subject only to such specific limitations as may be imposed by those Bylaws. 9.3 Committees In order to remain in good standing on a committee, a member must attend at least 50 percent of the meetings. 9.3.1 Administrative Affairs Committee A. Purpose and Meetings The Administrative Affairs Committee (AAC) fulfills staff responsibilities relating to review and revision of Medical Staff Bylaws and related manuals and forms and assumes the responsibilities for investigating and providing recommendations on such other administrative policy-making and planning matters and activities of concern to the Staff as are referred by the MEC. The AAC oversees the Institutional Review Committee (IRC) which reviews, approves or denies, monitors and evaluates research projects, protocols, and clinical investigations to be conducted within the Medical Services, in compliance with the regulations of the Food and Drug Administration and observing all requirements of any other applicable regulatory authorities for any given study. The AAC may overrule a positive recommendation of the IRC, but the AAC may not approve a study or the use of an investigational agent if disapproved/denied by the IRC. The AAC meets as needed, and reports to the MEC. When appropriate, it shares its monitoring and evaluation findings from research projects with the Patient Safety and Performance Improvement Committee and vice versa. B. Composition The Administrative Affairs Committee includes; 1) A Chairperson, appointed by the Medical Staff President, subject to MEC approval; 2) At least 4-6 additional Staff Members; 3) Administrator, with vote; and 4) Their members with special expertise as necessary on an ad-hoc basis, without vote. 50 9.3.2 Ambulatory Policy Committee A. Purpose and Meetings The Ambulatory Policy Committee (APC) sets Medical Staff policy in the health centers and acts as a liaison with Nursing and Administration for coordination of policies and procedures under joint Medical Staff-Administration or Medical Staff-Nursing purview. APC develops policies to resolve issues that affect more than one Medical Staff Department and focuses on policies and projects that relate to quality of care, the efficiency of the health centers and patients that relate to quality care, the regulatory compliance. APC coordinates its activities with PSPIC and receives quality assurance reports suggestive of or requiring changes in policies and procedures from individual Medical Staff Departments and from the Ambulatory Subcommittee of PSPIC. I. Composition The Ambulatory Policy Committee includes: 1) A Chairperson; appointed by the Medical Staff President, subject to MEC approval 2) One Staff Member from each Region; 3) The Department Head of Family Medicine or his/her designee; 4) Representative of the Departments of Obstetrics & Gynecology, Surgery, Pediatrics and Medicine, with vote; 5) Other members with special expertise as needed on an ad-hoc basis without vote; 6) Director of Health Information Management as needed on an ad-hoc basis without vote; 7) A representative of the Allied Health Professionals 8) Ambulatory Care Medical Director without vote; 9) Chief Nursing Officer without vote. 9.3.3 Bioethics Committee A. Purpose and Meetings The Bioethics Committee provides a multi-disciplinary forum for the development of guidelines for consideration of cases and issues having bioethical implications; development and implementation of procedures for the review of such cases; development and/or review of institutional policies regarding care and treatment in cases or issues having bioethical implications; consultation with concerned parties to facilitate and education of the hospital staff regarding bioethical matters. The committee will meet regularly (at least six (6) times yearly) and will also provide a mechanism for other meetings as necessary to perform the case consultation functions. The committee chair will report to the Medical Executive Committee. B. Composition 51 The Bioethics Committee includes; 1) A chairperson appointed by the Medical Staff President subject to Medical Executive Committee approval; 2) Multi-disciplinary representation selected to represent the various clinical services of the medical and nursing staff, ancillary support services (such as social workers, chaplains, etc.) and lay members. At least a third of the committee membership will be physicians; 3) A member representing hospital administration; and 4) The committee may invite other professional or community lay members to be utilized when discussing issues involving their particular clinical, ethnic, religious or other background. 9.3.4 Cancer Committee A. Purpose and Meetings The Cancer Committee is a multi-disciplinary committee that organizes, conducts and evaluates hospital-wide oncology services and the cancer registry. The committee assures that full oncology services including surgery, chemotherapy, radiation therapy, as well as rehabilitation and hospice care are available to all patients. The committee will develop and monitor annual goals and objectives for clinical care, community outreach, quality improvement and programmatic endeavors related to cancer care. The committee is responsible for establishing and monitoring the Cancer Conference format, frequency and multi-disciplinary attendance. The committee will ascertain if there is a need for specific educational programs both professional and public based on survival and comparison data. The committee will also supervise the Cancer Registry for quality control of case-funding, abstracting, staging, reporting and follow-up. The committee will conduct a minimum of two patient care evaluation studies annually, one to include survival data. The committee will meet at least quarterly or more often as needed and communicate as necessary with the Patient Safety and Performance Improvement Committee. The committee will designate one coordinator for each of the four areas of Cancer Committee activity: Cancer Conference, quality control of the cancer registry, quality improvement and community outreach. B. Composition The Cancer Committee includes: 1) A chairperson appointed by the Medical Staff President, subject to Medical Executive Committee approval; 52 2) At least five (5) additional Medical Staff Members including representation from Surgery, Pathology, Hematology/Oncology, Family Practice, and Diagnostic Imaging; 3) Cancer Liaison Physician; 4) Representation for Administration, Social Services, Nursing, and the American Cancer Society all with vote; and 5) The Cancer Registrar, who will act as staff to the Cancer Committee, with vote. 9.3.5 Continuing Medical Education Committee A. Purpose and Meetings The Continuing Medical Education Committee (CMEC) directs the development of CME programs for the Staff responsive to quality assurance findings and to developments pertinent at the Hospital and apprises the Staff of outside education opportunities. It coordinates the educational activities of the Departments and of the Staff and Hospital Department. The CMEC also analyzes the status and needs of, and makes recommendations regarding, the medical library services. It meets at least quarterly and more frequently if needed and reports on its activities to the MEC. B. Composition The CMEC includes: 1) A Chairperson appointed by the Medical Staff President, subject to MEC approval; 2) At least two additional Staff Members; and 3) Medical Librarian, without vote. 9.3.6 Credentials Committee A. Purpose and Meetings The Credentials Committee coordinates the staff credentials function by receiving and analyzing applications and recommendations for appointment, provisional period conclusion or extension, reappointment, clinical privileges, and changes therein, and recommending action therein, and by integrating quality assurance and utilization review and monitoring, membership, and other relevant information into the individual credentials files. It also assists in designing and participates in implementing the credentialing procedures for Allied Health Practitioners. It meets monthly or as necessary and reports to the MEC regarding the credentialing of Staff Members. B. Composition The Credentials Committee includes: 53 1) A physician chairperson, appointed by the Medical Staff President, subject to MEC approval; and 2) At least 4-6 additional Staff Members, selected to be representative of the Departments and major clinical specialties. 1) I. 9.3.8 Institutional Review Committee A. Purpose and Meetings The Institutional Review Committee shall review and have authority to: approve, require modification in (to secure approval), or disapprove all research activities within the Hospital and Health Centers; approve, require modification in, or disapprove the use of investigation drugs or devices in individuals (i.e. “compassionate use” cases); receive prompt notification of the emergency use of investigational drugs or devices and approve, require modification in or, disapprove their continued use; continue, require modifications in or terminate any ongoing studies at intervals of not greater than twelve (12) months; immediately terminate or suspend any research not conducted in accordance with the IRC’s requirements or that has been associated with unexpected serious harm to subjects; ensure all compliance with federal informed consent regulations regarding investigational use of drugs and devices; and assure the protection of the rights and welfare of all human subjects. The Institutional Review Committee shall meet semi-annually or more often as necessary to fulfill its obligations. If the Institutional Review Committee disapproves of any activity within its purview, that decision is final. The Institutional Review Committee chairperson reports to the Administrative Affairs Committee. B. Composition The Institutional Review Committee includes: 1) A Chairperson appointed by the Chairperson of the Administrative Affairs Committee, subject to Medical Executive Committee approval; 2) At least one member of each gender; 3) At least one member from outside the medical profession; 4) At least one non-scientist; 5) At least one member not affiliated with the Hospital and Health Centers; and 6) A total of at least five (5) members, including representative ethnic and cultural backgrounds, of the community. 9.3.9 Inter-Disciplinary Practice Committee 54 A. Purpose and Meetings The Inter-Disciplinary Practice Committee (IPC) shall perform functions consistent with the requirements of law and regulations (Title 22 of the California Code of Regulations, Section 70706). Method for the approval of standardized procedures in accordance with sections 2725 of the Business and Professions Code in which affirmative approval of the administrator or designee and a majority of the physicians and a majority of registered nurse members would be required. The IPC shall routinely report to the MEC; and, in addition, shall submit an annual report to the MEC. The IPC shall meet at least annually, or more often as necessary. B. Composition The IPC shall consist of: 1) A Chairperson, appointed by the Medical Staff President, subject to MEC approval; 2) A Director of Nursing, or Designee: such as the clinical services director of Public Health who has oversight over NP/AHP function; 3) An Administrator, or designee: such as the Ambulatory Care Medical Director; 4) Chair of the Credentials Committee; 5) Two (2) additional allied health professionals, appointed by the IPC ChairpersonA medical staff representative from the clinical psychology department. 6) Additional Allied Health Professionals who are performing or will perform functions requiring standardized procedures will be appointed by the IPC Chair on a temporary basis when issues pertaining to their functions are discussed. 7) Additional physician members of the medical staff physicians and/or registered nurses may be appointed by the chairperson or the director of nursing, respectively, to maintain equal numbers of each on the committee in accordance with Title 22 of the California Code of Regulations, Section 70706. 9.3.10 Joint Conference Committee A. Purpose and Meetings The Joint Conference Committee constitutes a forum between the Medical Staff, the Administration and the Governing Body. Two members of the Medical Executive Committee who serve at the will of the Medical Executive Committee represent the Medical Staff. These members shall act as directed by the MEC in their capacity as members of the Joint Conference Committee. The Governing Body and the Administration shall have representation pursuant to authority separate from these Bylaws. 9.3.11 Medical Staff Assistance Committee 55 A. Purpose and Meetings In order to improve the quality of care and promote the well-being of the Medical Staff, the Medical Staff Assistance Committee (MSAC) receives reports related to health concerns, well-being, or impairment of Medical Staff Members, and other Licensed Independent Practitioners (LIPs) and, as it deems appropriate, investigates such reports. With respect to matters involving individual Medical Staff Members and other LIPs, the committee may, on a voluntary basis, provide such advice, counseling, or referrals as may seem appropriate. Such activities shall be confidential; however, in the event information received by the committee clearly demonstrates that the health or known impairment of a Medical Staff Member or LIP poses an unreasonable risk of harm to patients, that information may be referred for corrective action. The process that the MSAC uses to accomplish these goals includes: 1) Education of the Medical Staff and other organization staff about illness and impairment recognition issues specific to the Medical Staff Member or licensed independent practitioners; 2) Self-referral by a physician or Licensed Independent Practitioner (LIP) and referral by other organization staff; 3) Referral of the Physician, or the affected LIP to the appropriate professional internal or external resources for diagnosis and treatment of the condition or concern; 4) Maintenance of the confidentiality of the Physician, or LIP seeking referral or referred for assistance except as limited by law, ethical obligation, or when the safety of a patient is threatened; 5) Evaluation of the credibility of a complaint, allegation, or concern; 6) Monitoring of the Physician, or affected LIP and the safety of patients until the rehabilitation or any disciplinary process is complete; 7) Reporting to the Medical Staff leadership instances in which a Physician or LIP is providing unsafe treatment; and 8) Initiating appropriate action when a Physician or LIP fails to complete the required rehabilitation program. The committee shall also consider general matters related to the health and well- being of the Medical Staff, and, with the approval of the Medical Executive Committee, develop educational programs or related activities. The Medical Staff Assistance Committee shall meet as often as necessary, but at least quarterly. It shall maintain only such record of its proceedings as it deems advisable but shall report on its activities on a routine basis to the Medical Executive Committee. B. Composition The Medical Staff Assistance Committee includes; 56 1) A Chairperson, appointed by the Medical Staff President, subject to Medical Executive Committee approval; 2) At least two (2) additional practitioners one of which is a physician; and 3) A Member of the Resident staff. Except for the resident, who shall serve on the committee for one (1 ) year, each member shall serve for a term of three (3) years, and the term shall be staggered as deemed appropriate by the Medical Executive Committee to achieve continuity. In so far as possible, members of this committee shall not serve as active participants on other peer review or quality assurance committees while serving on this committee. The Chairperson may appoint additional individuals who are not members of the Medical Staff, including non-physicians, when such appointment may materially increase the effectiveness of the work of the committee. These individuals shall serve for a term that shall be determined by the Chairperson. 9.3.13 Patient Care Policy and Evaluation Committee A. Purpose and Meetings The Patient Care Policy and Evaluation (PCP&E) Committee monitors, assesses and recommends improvements to the MEC for: 1) The clinical and medical records policies and rules of the Medical Staff and of its inpatient clinical units and diagnostic and therapeutic support services (including OR/PAR, ER, CCU’s, etc.); 2) Medical-related aspects of infection control policies; 3) Pharmacy and therapeutics policies and practices; and 4) Blood and blood products usage policies and practices. It also acts as liaison with Nursing and Administration for review and coordination of policies, procedures, rules or regulations under joint Medical Staff-Administration or Medical Staff-Nursing purview and coordinates its activities with those of the Ambulatory Policy Committee. The PCP&EC receives quality assurance findings suggestive of or requiring changes. It serves as a forum for identifying and discussing problems in the delivery of patient care services and in the observance of patients’ rights. The PCP&EC meets monthly and reports to the MEC. B. Composition The Patient Care Policy and Evaluation Committee includes: 1) A Physician Chairperson appointed by the Medical Staff President, subject to MEC approval; 2) At least 6-8 staff members selected to be representative of major clinical areas; 57 3) A representative of Nursing Service; 4) Director of Pharmacy ad-hoc for Pharmacy and Therapeutic function; 5) A representative from Pathology Department ad-hoc for blood and blood product review function; 6) Manager of Infection Control and Prevention Committee of the Hospital; 7) A representative of Administration responsible for policy committee support without vote; 8) A Nursing Supervisor/Coordinators for specialty units invited on an ad-hoc basis without vote; 9) A representative of other clinical services and professional, technical, administrative support staff participate as consultants in relevant areas of expertise ad-hoc without vote; and 10) Director of Health Information management quarterly and as needed without vote. 9.3.14 Patient Safety and Performance Improvement Committee A. Purpose and Meetings The Patient Safety and Performance Improvement Committee (PSPIC) has the authority and responsibility for implementing and directing the Quality Management Program for the Hospital. It is responsible for setting the quality management standards, determining criteria by which care will be measured, setting priorities for which aspects of care will be monitored, and analyzing the quality of care studies, indicators, utilization reports, grievances, survey data, and risk management information. A systematic, multi‐disciplinary improvement process is followed. It develops an annual plan for performance improvement activities (Quality Management Plan). B. Composition The Patient Safety and Performance Improvement Committee includes the following Members: 1) A Physician Chairperson, appointed by the Medical Staff President, subject to MEC Approval. 3) The Medical Staff President; 4) The CCRMC Chief Executive Officer; 5) The Director of Pharmacy; 6) The Chief Medical Officer; 7) The Chief Nursing Officer; 8) The Ambulatory Care Medical Director; 9) The Chief Operating Officer; 10) The Chief Quality officer; 12) The past Medical Staff President; 13) The Chair of the Patient Care Policy and Evaluation Committee; and 58 14) Two (2) Medical Staff Provider representatives, appointed by the Medical Staff President, subject to MEC approval; 15) Patient Safety Officer; 16) Director of Safety and Performance Improvement; 17) Medical Director of Quality and Safety; 18) Hospital Medical Director; 19) Specialty Medical Director; 20) Hospital Regulatory Compliance Officer; 21) Quality Manager Program Coordinator; 22) One (1) Medical Staff Member representative from the Behavioral Health Division, appointed by the Medical Staff President, subject to MEC approval. 9.3.15 Peer Review Oversight Committee A. Purpose and Meetings The Peer Review Oversight Committee will oversee the peer review that is carried out by the departments. It will supervise the processes, help address systems issues and review cases that involve more than one department. B. Composition 1) The Medical Staff President shall serve as Chair of the Committee; 2) Each department will have at least one (1) representative. Large departments will have two (2) representatives one from inpatient and the other from outpatient. Large departments are: Family and Adult Medicine, Internal and Specialty Medicine, Surgery, and Psychiatry/Psychology. 9.3.16 Perinatal Morbidity and Mortality (PM&M) Committee. A. Function The Perinatal Morbidity and Mortality Committee (PM&M Committee) is an inter- disciplinary committee which monitors perinatal outcomes. It is intended to complement the quality assurance activities of the Departments of Pediatrics and Obstetrics and Gynecology by focusing on those cases whose management involves both obstetrical and pediatric issues. The PM&M Committee reports to the Departments of OB/GYN and Pediatrics. B. Composition. The Perinatal Morbidity and Mortality Committee consist of: 1) All Members in good standing of the Departments of OB/GYN, Pediatrics and Anesthesia. The individual departments established attendance obligations; 59 2) Nurse Program manager for the Perinatal Unit, Clinical Nurse Specialists for maternity and nursery and the RN Case Coordinator are members, all with voting privileges; and 3) Regularly invited members, all without vote, including: (a) Consultant Perinatologist; (b) Consultant Neonatologist; (c) Any Member of the Department of Ambulatory Medicine having obstetrical privilege; (d) Any Member of the Resident Staff presently assigned to the Pediatrics or OB/GYN services or with a particular interest in a case being discussed; and (e) Any member of the nursing staff with a particular interest in a case being discussed. The Nurse Program Manager or his/her designee will maintain a file of confidentiality agreements signed by non-physician attendees. 9.3.17 Professional Affairs Committee A. Purpose of Meetings The Professional Affairs Committee consists of the two members of the Governing Body who sit on the Joint Conference Committee. The members of the Professional Affairs Committee shall invite representatives from the Medical Staff and Administration, as appropriate, to its meetings. B. Composition The Professional Affairs Committee consists of the two (2) members of the Governing Body who sit on the Joint Conference Committee. The members of the Professional Affairs Committee shall invite representatives from the Medical Staff and Administration, as appropriate, to its meetings. 9.3.18 Utilization Management Committee A. Purpose and Meetings The Utilization Management Committee develops and oversees implementation and operation of the utilization management plan relating to inpatient, ambulatory and clinical support services, makes utilization decisions as required under the plan, analyzes utilization profiles and evaluates the effectiveness of the UR program. Physician members of the committee act as the physician advisors required by the UR plan. The URC meets at least quarterly and reports to the Performance Improvement Committee. B. Composition The Utilization Management Committee includes: 60 1) A Chairperson appointed by the Chairperson of the PSPIC, subject to MEC approval; 2) At least 6-8 additional Medical Staff members, selected to provide broad representation from the Medical Staff; 3) At least one (1) representative from Administration, without vote; 4) Director of Social Services, without vote; 5) Representative from Nursing, without vote; 6) Representative from Finance, without vote; 7) Representative from Quality Assurance Department, without vote; and 8) Director of Health Information Management, without vote. ARTICLE 10 MEETINGS 10.1 Medical Staff Meetings 10.1.1 Regular Meetings General Staff meetings will be held quarterly. The Medical Executive Committee may authorize additional regular general Staff meetings by resolution. The resolution authorizing any such additional meeting shall require notice specifying the place, date, and time for the meeting, and that the meeting can transact any business as may come before it. 10.1.2 Special Meetings A special meeting of the Medical Staff may be held by the Medical Executive Staff President. A special meeting must be held by the President at the written request of the Governing Body, the Chief Medical Officer, the Administrator, the Medical Executive Committee, or 25% of the active staff in good standing. 10.2 Clinical Department and Committee Meetings 10.2.1 Regular Meetings Clinical Departments, Division, and Committees may establish by resolution the time for regular meetings. No additional notice is required. 10.2.2 Special Meetings A special meeting of any Department, Division, or Committee may be held by the Head or Chairperson thereof. A special meeting must be held by the Head or Chairperson at the written request of the Administrator, the Medical Executive Committee, the Medical Staff President, the Chief Medical Officer, or 25% of the group’s current members in good standing. 61 10.2.3 Executive (Closed) Session Any Committee, Department or Division may call itself into executive session at any time during a regular or special meeting. All ex-officio members shall leave during the executive session unless requested to remain by the Chairperson. Accurate and complete minutes must be made and kept of any executive session. 10.3 Quorum 10.3.1 Medical Staff Meetings The presence of one-third (1/3) of the active Medical Staff at a General or Special Medical Staff meeting shall constitute a quorum for all appropriate actions except the removal of a Medical Staff Officer. For a meeting considering the removal of a Medical Staff Officer, the quorum shall be one-half (1/2) of the active Medical Staff. Ex-officio members do not count for quorum purposes. 10.3.2 Department and Committee Meetings For committees, a quorum shall consist of 25% of the members of a committee by no fewer than two (2) members. For Department and division meetings, a quorum shall consist of 25% of the members. Ex-officio members do not count for quorum purposes. 10.4 Manner of Action Except as otherwise specified, the action of a majority of the members present and voting at a meeting at which a quorum is present shall be the action of the group. A meeting at which a quorum is initially present may continue to transact business notwithstanding the withdrawal of members, if any action taken is approved by a least a majority of the required quorum for such meeting, or such greater number as may be specifically required by these Bylaws. 10.5 Notice of Meetings Written notice of any regular general medical Staff meeting, or any regular committee or Department meeting, not held pursuant to resolution, will be delivered personally or via mail to each person entitled to attend at not less the five (5) days or more than fifteen (15) days before the date of such meeting. Notice of any special meeting of the Medical Staff, a Department, or a committee will be given orally or in writing at least seventy-two (72) hours prior to the meeting. Personal attendance at a meeting constitutes a waiver of notice of such meeting, except when a person attends a meeting for the express purpose of objecting, at the beginning of the meeting, to the transaction of any business because of lack of notice. No business shall be transacted at any special meeting except that listed in the meeting notice. 10.6 Minutes Except as otherwise specified herein, minutes of all meetings will be prepared and retained. They shall include, at a minimum, the date and time of the meeting, a record of the attendance or members and the vote taken on all matters. A copy of the minutes shall be signed by the presiding officer of the meeting and forwarded to the medical Executive Committee. 62 10.7 Agenda The Medical Staff president and Medical Executive Committee shall determine the order of business at a meeting of the Medical Staff. The agenda shall include, insofar as feasible: 1) Reading and acceptance of the minutes of the last regular meeting and of all special meetings held since the last regular meeting; 2) Administrative reports from the Medical Staff president, Departments, Committees, and the Administrator; 3) Election of officers when required by these Bylaws; 4) Reports by responsible Officers, Committees and Department on the overall results of patient care audits and other quality review, evaluation, and monitoring activities of the Staff and on the fulfillment of other required Staff functions; 5) Old business; and 6) New business. 10.8 Attendance Requirements 10.8.1 Medical Staff Meetings The Medical Executive Committee may adopt attendance requirements for the Medical Staff and Department meetings. 10.8.2 Special Attendance At the discretion of the Chairpersons or presiding Officer, when a Member’s practice or conduct is scheduled for discussion at a regular Department, Division or Committee meeting, the Member may be requested to attend. If a suspected deviation from standard clinical practice is involved, the notice shall be given at least seven (7) days prior to the meeting and shall include time and place of the meeting and a general indication of the issue involved. Failure of a Member to appear at any meeting, with respect to which he/she was given such notice, unless excused by the Medical Executive Committee upon a showing of good cause, is grounds for corrective action. 10.9 Conduct of Meetings Unless otherwise specified, meetings shall be conducted according to Robert’s Rules of Order; however, technical or non-substantive departures from such rules shall not invalidate action taken at such a meeting. ARTICLE 11 CORRECTIVE ACTION 11.1 Corrective Action 11.1.1 Initiation 63 Any person may provide information to the Medical Executive Committee about the conduct, performance, or competence of its Members. When reliable information indicate a Member may have exhibited acts, demeanor, or conduct reasonably likely to be (a) detrimental to patient safety, (b) unethical or illegal, (c) contrary to the Medical Staff Bylaws and/or rules and regulations, or (d) below applicable professional standards, a request for an investigative and/or corrective action against such Member may be initiated. The President of the Medical Staff, a Department Chair, the Chair of any standing Committee, or the Governing Body may initiate such a request. All requests for corrective action and/or formal investigation shall be in writing, shall be made to the Medical Executive Committee, and shall be supported by reference to the specific activities or conduct which constitutes the grounds for the request. If the Medical Executive Committee initiates the request, it shall make an appropriate written record of the reasons for the request. 11.1.2 Formal Investigation If the Medical Executive Committee concludes a formal investigation is warranted, it may conduct the investigation itself, or assign the task to an appropriate medical Staff Officer, Department, or standing or ad-hoc committee of the Medical Staff. If the investigation is delegated, the designee shall proceed with the investigation in a prompt manner and shall provide a written report of the investigation to the Medical Executive Committee as soon as practical. The report may include recommendation for appropriate corrective action. The Member shall be given an opportunity to provide information in a manner and upon such terms as the investigating body deems appropriate. The individual or body investigating the matter may, but is not obligated to, conduct interviews with persons involved; however, such investigation shall not constitute a hearing, nor shall the procedural rules with respect to hearings or appeals apply. Despite the status of any investigation, at all times the Medical Executive Committee shall retain authority and discretion to take whatever action may be warranted by the circumstances, including the imposition of summary suspension, termination of the investigative process, or other action. Any reports that are made to the Medical Executive Committee must be shared promptly with the Member under investigation. The MEC may also require a medical or psychological exam. The examining physician shall be chosen in the manner described in Section 5.2, however, the Member is not required to pay for the exam. 11.1.3 Medical Executive Committee Action As soon as practical after the conclusion of the formal investigation (or without a formal investigation if deemed unwarranted), the Medical Executive Committee shall take action that may include, without limitation: 64 A. Determining no corrective action is warranted and, if the Executive Committee determines there was no credible evidence for the complaint in the first instance, removing any adverse information from the Member’s file; B. Deferring action for a reasonable time where circumstances warrant; C. Issuing letters of admonition, censure, reprimand, or warning. Nothing herein shall preclude Department Heads from issuing written or oral warnings or counseling. In the event the MEC issues such letters, the affected Member may make a written response which shall be placed in the Member’s file; D. Recommending the imposition of terms of probation or special limitation upon continued Medical Staff membership or exercise or clinical privileges including, without limitation, requirements for co-admissions, mandatory consultation, or monitoring; E. Recommending reduction, modification, suspension or revocation of clinical privileges; F. Recommending reductions of membership status or limitation of any prerogatives directly related to the Member’s delivery of patient care; G. Recommending suspension, revocation or probation of Medical Staff membership; H. Taking other actions that are appropriate under the circumstances. 11.1.4 Subsequent Action A. If corrective action as set forth above is recommended by the Medical Executive Committee, the MEC shall notify the Administrator, the Governing Body, and the affected member of the Medical Staff of the recommended action. B. The recommendations of the Medical Executive Committee shall be final, unless the affected member or the Governing Body requests a hearing to challenge the recommendations. 11.2 Summary Restriction of Suspension 11.2.1 Criteria for Initiation Whenever a Member’s conduct appears to require that immediate action be taken to protect the life or well-being of patient(s) or to reduce a substantial and imminent likelihood of significant impairment of the life, health, or safety of any patient, prospective patient, or other person, the Governing body, the Administrator, the Medical Staff President, the Medical Executive Committee, or the head of the Department in which the Member holds privileges may summarily restrict or suspend the Medical Staff membership or Clinical Privileges of such member. Unless otherwise stated, the summary restriction or suspension shall become effective immediately, and the person or body responsible shall promptly give written notice to the Member as described below, the Governing Body, the Medical Executive Committee, and the Administrator. The summary restriction or suspension may be limited in duration and shall remain in effect for the period stated or until resolved as set forth herein. Unless otherwise indicated by the 65 terms of the summary restriction or suspension, the Member’s patients shall be promptly assigned to another member(s) by the Department Chair or by the Medical Staff President, considering, where feasible, the wishes of the patient in the choice of a substitute Member. 11.2.2 Written Notice of Summary Suspension Within one working day of imposition of a summary suspension, the affected Medical Staff Member shall be provided with written notice of such suspension. This initial written notice shall include a statement of facts demonstrating that the suspension was necessary because failure to suspend or restrict the practitioner’s privileges summarily could reasonably result in an imminent danger to the health of an individual. The statements of facts provided in this initial notice shall also include a summary of one or more particular incidents giving rise to the assessment of imminent danger. This initial notice shall not substitute for, but is in addition to, the notice required by theses Bylaws for further action of the MEC regarding issues related to such a summary suspension. 11.2.3 Medical Executive Committee Action As soon as practicable after a summary restriction or suspension has been imposed, but no more than ten (10) calendar days thereafter, a meeting of the Medical Executive Committee shall be convened to review and consider the summary suspension or restriction. The Member may attend the meeting and make a statement concerning the issues under investigation on such terms and conditions as the Medical Executive Committee may impose. In no event shall any meeting of the Medical Executive Committee, with or without the Member in attendance, constitute a hearing, nor shall any procedural rules apply. A Member’s failure, without good cause, to attend a meeting of the Medical Executive Committee after a written request to attend was mailed to the Member by the Medical Executive Committee, shall constitute a waiver of the Member’s right to appear and be heard. The request of the Medical Executive Committee for the Member to attend the meeting shall be made in writing, mailed to Member’s last known address by first class mail of the United States Postal Service at least five (5) calendar days before the meeting, and shall inform the Member that his or her failure to attend said meeting shall constitute a waiver of his or her rights to appear and be heard. The Medical Executive Committee may postpone or reschedule the meeting on the written request of the Member. The Medical Executive Committee may modify, continue, vacate, or terminate the summary restriction or suspension. The Medical Executive Committee shall mail the Member written notice of its decision that shall be effective upon deposit in the United States Mail. 11.2.4 Procedural Rights Unless the Medical Executive Committee terminated or vacates the summary restriction or suspension, the Member is entitled to the procedural rights afforded by these Bylaws. 66 11.3 Grounds for Automatic Suspensions and/or Restrictions In certain instances, the Member’s Privileges or membership may be suspended or limited as a result of certain occurrences that disqualify the member from membership or the exercise of certain Privileges. These grounds for automatic suspension do not require any action of the MEC or the Governing Body prior to the suspension and/or restriction. If a Member requests a hearing to challenge these automatic suspensions and/or restrictions, the scope of such a hearing is limited. The only question before the Judicial Review Committee in these situations is whether the grounds for automatic suspension have occurred. 11.3.2 Licensure A. Revocation and Suspension Whenever a Member’s license or other legal credential authorizing practice in the state is revoked or suspended by the applicable licensing or certifying authority, Medical Staff membership and Clinical Privileges shall be automatically revoked as of the date such action becomes effective. B. Restriction Whenever a Member’s license or other legal credential authorizing practice in this state is limited or restricted by the applicable licensing or certifying authority, any Clinical Privileges which the Member has been granted at the Hospital which are within the scope of said limitation or restriction are automatically limited or restricted in a similar manner, as of the date such action becomes effective and throughout its term. C. Probation Whenever a Member is placed on probation by the applicable licensing or certifying authority, his or her membership status and Clinical Privileges are automatically subject to the same terms and conditions of the probation as of the date such action becomes effective and throughout its term. D. Suspension of Membership when a License is Not Renewed Expiration: Whenever a Member’s license or other credential authorizing practice in the state expires, Medical Staff Membership and Clinical Privileges shall automatically suspended. If the member renews his or her license and is effective retroactive, the suspension will be vacated. If it is not renewed within six (6) months, Medical Staff Membership and Privileges shall be automatically revoked. 11.3.3 Controlled Substances 67 Whenever a Member’s DEA certificate is revoked, limited or suspended, the Member automatically and correspondingly be divested of the right to prescribe medications covered by the certificate, as of the date such action becomes effective and throughout its term. A. Probation Whenever a Member’s DEA certificate is subject to probation, the Member’s right to prescribe such medications shall automatically become subject to the same terms of the probation, as of the date such action becomes effective and throughout its term. 11.3.4 Failure to Satisfy Appearance Requirement Failure of a Member, without good cause, to appear at a Special Appearance is cause for automatic suspension of membership and restriction of Privileges. 11.3.5 Medical Records Members of the Medical Staff are required to complete medical records within such reasonable time as may be prescribed by the Medical Executive Committee. Failure to comply with the Medical Executive Committee policies regarding completion of medical records is criteria for suspension or other corrective action. If a Member is automatically suspended for incomplete records, his/her membership is automatically reinstated once the medical records are completed. A prolonged period of automatic suspension or a repeated pattern of automatic suspensions for incomplete medical records may be grounds for further corrective action by the Medical Staff and may result in adverse reports to governmental and licensing authorities. 11.3.6 Professional Liability Insurance Failure to maintain professional liability insurance shall result in the immediate suspension of the Member’s Clinical Privileges. Written notice of the suspension shall be mailed to the member at his or her last known address. Said notice shall also state that the member has ninety (90) days to provide proof of professional liability insurance, that the suspension will continue until proof of insurance is provided, and that failure to provide proof of insurance within ninety (90) days shall result in termination of Medical Staff membership. If proof of professional liability insurance is not provided to the Medical Executive Committee within ninety (90) days, the Medical Executive Committee shall mail written notice of termination of Medical Staff membership to the Member at his or her last known address, including the information that he or she is entitled to the procedural rights set forth in these Bylaws. 68 ARTICLE 12 HEARING AND APPELLATE REVIEWS 12.1 Grounds for Hearing Except as otherwise specified in these Bylaws, any one or more of the following actions or recommended actions shall be deemed actual or potential adverse action and constitute grounds for a hearing: 12.1.1 Denial of Medical Staff Membership; 12.1.2 Denial of requested advancement in Staff Membership category; 12.1.3 Denial of Medical Staff reappointment; 12.1.4 Demotion to lower Medical Staff category; 12.1.5 Suspension of Staff Membership; 12.1.6 Revocation of Medical Staff Membership; 12.1.7 Denial of any requested Clinical Privilege(s) except temporary Privileges; 12.1.8 Involuntary reduction of current Clinical Privileges, including temporary Privileges; 12.1.9 Suspension of any Clinical Privileges, including temporary Privileges; 12.1.10 Termination of any or all Clinical Privileges, including temporary Privileges; 12.1.11 Involuntary imposition of significant consultation or monitoring requirements, excluding monitoring incidental to provisional status; 12.1.12 Any other restriction(s) on Medical Staff membership or Clinical Privileges which is reportable pursuant to Section 805 of the Business and Professions Code. 12.2 Exhaustion of Remedies If adverse action described above is taken or recommended, the applicant of Member must exhaust the remedies afforded by these Bylaws before resorting to legal action. 12.3 Requests for Hearing 12.3.1 Notice of Action or Proposed Action. In the event of a proposed or actual action against a Member of the Medical Staff or an applicant, the Medical Staff President shall give the Member or applicant: 12.3.2 Prompt notice of the recommendation or action, including a brief description of the reasons for the recommendation or action; 69 12.3.3 Notice of the right to request a hearing; 12.3.4 Notice that failure to request a hearing within the prescribed time period and in the proper manner constitutes a waiver of rights to a hearing and to an appellate review on the matter that is the subject of the notice; 12.3.5 Notice regarding whether the proposed action, if adopted, is reportable pursuant to Business & Professions Code Section 805 and following; 12.3.6 A summary of the rights the Member or applicant will have at the hearing. 12.3.7 Requesting a Hearing The affected Member or applicant must request a hearing within thirty (30) calendar days after the date of the notice of action or proposed action. The request for hearing shall be in writing and address to the Medical Staff President. Failure to make a timely request and in the manner described may result in the denial of a hearing at the discretion of the Medical Executive Committee. 12.3.8 Time and Place for Hearing Upon receipt of a request for hearing, the Medical Staff President shall schedule a hearing and provide notice to the Member or applicant of the time, place and date of the hearing. The hearing shall commence not less than thirty (30) days or more than ninety (90) days from the date of the Notice of Hearing. When the Member is under summary suspension, the hearing shall commence not more that forty-five (45) days from the date of the Notice of the Hearing is mailed or otherwise delivered to the Member under summary suspension. The Member may waive these time limits if he/she wishes. 12.3.9 Notice of Charges In the Notice of Hearing, the Medical Staff President shall state the reason(s) for the adverse action taken or recommended, including the acts or omissions with which the Member or applicant is charged and a list of the charges in question, where applicable. In addition, the Medical Staff President shall furnish a list of witnesses the Medical Executive Committee expects will testify on its behalf at the hearing. This list may be amended at a later time should new names emerge. 12.3.10 Judicial Review Committee When a hearing is requested, the Medical Executive Committee shall appoint a Judicial Review Committee which shall be composed of not less than five (5) Members of the Medical Staff who have not actively participated in the consideration of the matter leading up to the recommendation or action and who are not in direct economic competition with the member charged. The Medical Executive Committee shall designate 70 one of the five as Chair. Knowledge of the matter involved shall not preclude a Member of the Medical Staff from serving as a member of the Judicial Review Committee. In the event that it is not feasible to appoint a Judicial Review Committee from the Medical Staff, the Medical Executive Committee may appoint practitioners who are not Members of the Medical Stall. The Judicial Review Committee shall include at least one member with the same healing arts licensures as the affected Member. All other members shall have M.D. or D.O. degrees. 12.3.11 Failure to Appear or Proceed Failure, without good cause, of the Member or applicant to personally attend and proceed at such a hearing shall constitute voluntary acceptance of the recommendations or action at issue. 12.3.12 Postponements and Extensions Once a hearing is requested, postponements and extension of time beyond the times permitted in these Bylaws may be permitted by the Medical Staff President, the Judicial Review Committee, or its Chairperson on a showing of good cause. 12.4 Hearing Procedure 12.4.1 Pre-hearing Procedure A. The Medical Executive Committee or its designee may request, in writing, a list of names and addresses of all persons the Member or applicant anticipates calling to testify at the hearing on the Member’s or applicant’s behalf. The Member or applicant shall furnish the witness list within seven (7) days of the date of the request. Upon written request, the Medical Executive Committee or its designee shall provide the Member or applicant with copies of all documents upon which the adverse action is based. Upon written request, the Member or applicant shall provide the Medical Executive Committee or its designee with copies of all documents the Member applicant expects to present at his/her hearing. B. It is the duty of the Member or applicant and the Medical Executive Committee or its designee to exercise reasonable diligence in notifying the Chairperson of the Judicial Review Committee of any pending or anticipated procedural disputes as far in advance of the scheduled hearing as possible, in order that decision concerning such matters may be made in advance of the hearing. Objections to any pre-hearing decision may be again made at the hearing. 12.4.2 Representation The hearings provided for in these Bylaws are for the purpose of intra-professional resolution of matters bearing on professional conduct, professional competency, and/or character. The Member or applicant shall be entitled to representation by legal counsel in 71 any phase of the hearing and shall receive notice of the right to obtain representation by an attorney at law. In the absence of legal counsel, the Member or applicant shall be entitled to be accompanied by and represented at the hearing by a practitioner licensed to practice in the State of California who is not also an attorney at law. If the Member or applicant is not represented by an attorney, the Medical Executive Committee shall appoint a representative who is not an attorney to represent its position, present the supporting witnesses and material, examine witnesses, and respond to appropriate questions. The Medical Executive Committee shall only be represented by an attorney at law if the Member or applicant is also represented by an attorney. 12.4.3 The Hearing Officer The Medical Executive Committee shall appoint a Hearing Officer (who may also be the Chair of the Judicial Review Committee) to preside at the hearing. The Hearing Officer will not act as a prosecuting officer or as an advocate. The Hearing Officer shall endeavor to ensure that all participants in the hearing have a reasonable opportunity to be heard and to present relevant oral and documentary evidence in an efficient and expeditious manner, and that proper decorum is maintained. The Hearing Officer shall determine the order of or procedure for presenting evidence and argument during the hearing and shall have the authority and discretion to make all rulings on questions that pertain to matters of law, procedure and/or the admissibility of evidence. If the Hearing Officer determines that any participant is not proceeding in an efficient and expeditious manner, the Hearing Officer may take actions as seems warranted by the circumstances. 12.4.4 Hearing Record A record of the hearing shall be made that is of sufficient accuracy to permit review by any appellate group that may later be called upon to review the matter. The Judicial Review Committee may determine to make the record by use of (a) a court reporter or (b) by a tape recording and minutes of the proceedings. The Member or applicant may request, in writing, a copy of the hearing record. The copy will be provided to the Member or applicant upon payment of the cost of preparing and copying the record. 12.4.5 Rights of the Parties Both parties at the hearing may call and examine witnesses for relevant testimony, introduce relevant documents, cross-examine and/or impeach witnesses who have testified on any matter relevant to the issues, and otherwise rebut evidence, as long as theses rights are exercised in an efficient and expeditious manner. The Member or applicant may be called by the Medical Executive Committee or its designee and examined as if under cross-examination. The Member or applicant may, at the beginning of the hearing, challenge the membership of the Judicial Review Committee because of alleged conflict of interest on the part of any committee member. Should such a challenge occur, the Medical Staff President may choose to remove and replace the challenged member 72 (requiring a postponement if necessary) or proceed without removal. If the Medical Staff President chooses to proceed without removal, any challenge by the Member or applicant shall be made succinctly in writing and shall be make part of the hearing record. 12.4.6 Miscellaneous Rules Judicial rules of evidence and procedure relating to the conduct of the hearing, examination of witnesses, and presentation of evidence, do not apply to a hearing conducted under this Article. Any relevant evidence, including Quality Assurance profiles, credentials files, and hearsay shall be admitted if it is the sort of evidence on which responsible persons are accustomed to rely in the conduct of serious affairs, regardless of the admissibility of such evidence in a court of law. However, no finding of fact may be based solely on hearsay. The Judicial Review Committee may interrogate the witnesses and/or call additional witnesses if it deems such action appropriate. At its discretion, the Judicial Review Committee may request or permit both sides to file written arguments. A Medical Staff Member does not have the right to view or use peer review information of other practitioners as part of the fair hearing process. 12.4.7 Burden of Proof When a hearing related to denial of initial appointment, denial of requested Department or division membership, denial or restriction of Clinical Privileges, mandatory consultation or supervision requirements as it pertains to an initial application for membership or Privileges, or denial of a request to advance from courtesy to active Staff, or termination due to inactivity, the practitioner has the burden of proving that the adverse action or recommendation lacks a substantial factual basis or that the action is arbitrary, unreasonable, or capricious. Otherwise, the Medical Executive Committee has the burden of proving that the adverse action is warranted and has a substantial factual basis. 12.4.8 Adjournment and Conclusion After the presentation of the oral and written evidence, oral closing arguments, or written closing arguments, if requested by the Judicial Review Committee, the hearing shall be closed. 12.4.9 Basis for Decision The decision of the Judicial Review Committee shall be based on the evidence introduced at the hearing, including all logical and reasonable inferences from the evidence and the testimony, and shall be within the constraints of these Bylaws. The decision of the Judicial Review Committee shall be final, subject to the Appeal provision of these Bylaws. 12.4.10 Presence of Judicial Review Committee members and Vote 73 A majority of the Judicial Review Committee must be present throughout the hearing and deliberations. If the committee member is absent from any part of the proceedings, he/she may not participate in the deliberations or the decision. 12.4.11 Decision of the Judicial Review Committee A. The Judicial Review Committee shall make findings of fact. B. The Judicial Review Committee may make one of the following decisions based upon the findings of fact: 1) The action of the Medical Executive Committee is sustained; 2) The action of the Medical Executive Committee is overturned; or 3) The action of the Medical Executive Committee is modified. (The modification may be less or more adverse to the Member or applicant than the action of the Medical Executive Committee.) C. The Judicial Review Committee shall make its decision by simple majority vote. The numerated results of the vote are not reported in the final report of the Judicial Review Committee. D. Within thirty (30) workdays after adjournment of the hearing, the Judicial Review Committee shall render a decision, which shall be in writing. If the Member is currently under suspension, however, the time for the decision and report shall be fifteen (15) workdays. The original report and decision shall be forwarded to the Medical Staff President, the Professional Affairs Committee and the Member or applicant at his or her last known address. The report shall contain the findings of fact, a statement of the reasons in support of the decision, and the decision. The decision of the Judicial Review Committee shall be final, subject to such rights or appeal as set forth in these Bylaws. 12.5 Appeals 12.5.1 Time for Appeal Within ten (10) calendar days of the date that the report/decision of the Judicial Review Committee is mailed to the Member of applicant, either the Member or applicant or the Medical Executive Committee may request an appellate review of the decision. The written request for such review shall be delivered to the Medical Staff President and mailed or delivered to the other party to the hearing. If a request for appellate review is not made within the specified time period, the decision of the Judicial Review Committee shall be final. 12.5.2 Grounds for Appeal A written request for an appeal shall include an identification of the grounds for appeal and a clear and concise statement of the fact in support of the appeal. The grounds for appeal from the hearing shall be: (a) substantial non-compliance with the procedures required by these Bylaws or applicable law which has created demonstrable prejudice; 74 (b) the decision was not supported by substantial evidence based upon the hearing record or such additional information as may be permitted. 12.5.3 Time, Place and Notice If an appellate review is to be conducted, the appeal board shall, within thirty (30) days after receipt of notice of appeal, schedule a review date and cause each side to be given notice of the time, place and date of the appellate review. The date of appellate review shall not be less than thirty (30) nor more than sixty (60) days from the date of such notice, provided, however, that when a request for appellate review concerns a Member who is under suspension which is then in effect, the appellate review shall be held as soon as the arrangements may reasonably be made, not to exceed fifteen (15) days from the date of the notice. The time for appellate review may be extended by the appeal board for good cause. 12.5.4 Appeal Board The Governing Body, or an authorized committee of the Governing Body, shall sit as the Appeal Board. Knowledge of the matter involved shall not preclude any person from serving as a member of the Appeal Board, so long as that person did not take part in a prior hearing on the same matter. The Appeal Board may select an attorney to assist it in the proceeding, but that attorney shall not be entitled to vote with respect to the appeal. 12.5.5 Appeal Procedure The proceeding by the Appeal Board shall be in the nature of an appellate hearing based upon the record of the hearing before the Judicial Review Committee, provided that the Appeal Board may accept additional oral or written evidence, subject to a foundational showing that such evidence could not have been made available to the Judicial Review Committee in the exercise of reasonable diligence and subject to the same rights of cross-examination or confrontation provided at the Judicial Review Hearing; or the Appeal Board may remand the matter to the judicial Review Committee for the taking of further evidence and for decision. Each party shall have the right to be represented by legal counsel in connection with the appeal, to present a written statement in support of his or her position on appeal and, in its sole discretion, the Appeal Board shall present its written recommendations as to whether the Governing Body should affirm, modify, or reverse the Judicial Review Committee decision, or remand the matter to the Judicial Review Committee for further review and decision. 12.5.6 Decision 75 A. Except as otherwise provided herein, within thirty (30) days after the conclusion of the appellate review proceeding, the Governing Body shall render a decision in writing and shall forward copies thereof to each side involved in the hearing. B. The Governing Body may affirm, modify, or reverse the decision of the Judicial Review Committee or remand the matter to the Judicial Review Committee for reconsideration. If the matter is remanded to the Judicial Review Committee for further review and recommendation, said committee shall promptly conduct its review and make its recommendations to the Governing Body. This further review and the time required to report back shall not exceed thirty (30) days in duration except as the parties may otherwise agree or for good cause as jointly determined by the Chairpersons of the Governing Body and the Judicial Review Committee. C. In the event the decision of the Governing Body is unfavorable to the applicant or Member, that action shall become final. In the event the decision is favorable, that action also shall become final unless the Medical Executive Committee elects within fifteen (15) days to submit the matter to an ad-hoc committee. This ad-hoc committee shall be composed of two (2) members of the Governing Body (appointed by the Chair of the Governing Body) and two (2) Members of the Medical Staff (as appointed by the Medical Staff President) and shall have access to the records from the hearing and appeal. The decision of this committee shall be in writing within thirty (30) days of receipt of the matter unless extended for good cause. The decision of this committee shall specify the reasons for the action taken and shall be forwarded to the Governing Body who shall reconsider its action, and then render a final decision. 12.5.7 Right to One Hearing No Member or applicant shall be entitled to more than one evidentiary hearing and one appellate review on any matter that has been the subject of adverse action or recommendation. 12.6 Exceptions to Hearing Rights 12.6.1 Automatic Suspension or Limitations of Practice Privileges. In the circumstances set forth in these Bylaws causing Automatic Suspension, the issues which may be considered at a hearing, if requested, shall not include evidence designed to show that the determination by the licensing or credentialing authority was unwarranted, but only (1) whether the revocation, suspension, restriction, or probation occurred, (2) the terms of any restrictions, or probation, and (3) whether the Member may continue to practice in the Hospital with the Limitations imposed by the licensing or credentialing authority. 76 12.6.2 Expunction of Disciplinary Action. Upon petition, the Medical Executive Committee, in its sole discretion, may expunge previous disciplinary action upon a showing of good cause or rehabilitation. ARTICLE 13 CONFIDENTIALITY 13.1 General Discussion, deliberation, records and proceedings of all meetings of all Medical Staff committees having the responsibility of evaluation and improvement of quality care rendered in this Hospital, including, but not limited to meetings of the Medical Staff meeting as a committee of the whole, meeting of Departments and Division, meeting of Committees, and meetings of special and ad-hoc committees and including information regarding any Member or applicant to the Medical Staff, shall be confidential to the fullest extent permitted by law. “Records” includes, but is not limited to, the credentials and quality assurance profiles of individual practitioners and the records of all Medical Staff credentialing, peer review, and quality review activities. Records will be disclosed only in the furtherance of credentialing, peer review, and quality review activities, and only as specifically permitted under the condition described in this Article, or otherwise required by law. Records that are disclosed to the Governing Body of the Hospital or its authorized representatives, in order for the Governing Body to discharge its lawful obligations and responsibilities, shall be maintained as confidential. 13.2 Breach of Confidentiality Inasmuch as effective peer review and consideration of the qualifications of Medical Staff Members and applicants to perform specific procedures must be based on free and candid discussions, any breach of confidentiality provision of these Bylaws, except in conjunction with other Hospital, professional society, or licensing authority duties, is unauthorized conduct for any Medical Staff member and is grounds for corrective action. 13.3 Protection All Medical Staff records shall be maintained in the Medical Staff Office and in the Quality Assurance Department. Such records shall be maintained in locking cabinets under the custody of the Chairpersons of the Credentials Committee and the Patient Safety and Performance Improvement Committee or their designees. The profile cabinets will be locked except during such times as these Chairpersons or their designees are able to monitor access to the records. 77 13.4 Access by persons or Agencies Outside the Jurisdiction of the Hospital 13.4.1 Credentialing or Peer Review at Other Hospitals The Medical Staff president, the Credentials Committee Chairperson or the designee of either, may release information contained in a credentials profile in response to a request from another hospital or its Medical Staff. That request must include information that the practitioner is a member of the requesting hospital’s Medical Staff, exercise privileges at the requesting hospital, or is an applicant for Medical Staff membership or privileges at that hospital, and must include a release for such records signed by the concerned practitioner. 13.4.2 Requests by Hospital Surveyor/Investigators Hospital surveyor/investigators are entitled to inspect records (excluding quality assurance profiles, which shall not be made available to any persons or agencies outside the jurisdiction of the Hospital) covered by this Article on the hospital premises in the presence of the Medical Staff President (or designee), provided that: A. No originals or copies may be removed from the premises; B. Access is only with concurrence of the Administrator (or designee) and the Medical Staff President (or designee); and C. The surveyor demonstrates the following to Hospital and Medical Staff representatives; 1) That the surveyor has specific statutory or regulatory authority to review the requested materials; 2) That the materials sought are directly relevant to the matter being investigated; 3) That the materials sought are the most direct and least intrusive means to carry out the pending investigation or survey, bearing in mind that credentials profiles regarding individual practitioners are confidential materials; 4) That sufficient specificity is provided to allow for the production of individual documents without undue burden to the Hospital or Medical Staff; and 5) That in the case of a request for documents with physician identifiers, the need for such identifiers is documented. 6) Additionally, at the discretion of the Medical Staff President and the Administrator, the surveyor may be asked to sign a statement acknowledging notification of the provisions of confidentiality. If he/she declines to sign, it will be noted at the bottom of the prepared statement that the surveyor, identified by name, has declined to sign but has been provided a copy of confidentiality provisions. 13.4.3 Subpoenas All subpoenas of Medical Staff records shall be referred to the Administrator, who shall have the option of consulting legal counsel for the purpose of formulation a response. 78 The Administrator shall notify the Medical Staff President when a subpoena for Medical Staff records is received. 13.4.4 Requests from Licensing Boards Current law allows the California Medical Board, the Board of Osteopathic Examiners, and the Board of Dental Examiners to review certain materials pertaining to Medical Staff hearings concerning corrective action recommendations or decisions. Given the current requirements of law, copies of the following records of a Medical Staff disciplinary hearing shall be made available to the appropriate licensing board upon the specific request of such board: A. The Notice of Charges presented to the practitioner before the beginning of a Medical Staff hearing; B. Any document, medical record, or other exhibit received in evidence at the hearing; and/or, C. Any written opinion, finding, or conclusions of the Medical Staff hearing committee that were made available to the concerned practitioner. In the event that the concerned practitioner did not request a hearing as per these Bylaws, the Notice of Action or Proposed Action shall be made available The Medical Staff President, or designee, must review and approve the disclosure before it is made. Any request for documents other than those cited above shall be disclosed only in accordance with this Article. 13.4.5 Other Requests All other requests for information contained in the Medical Staff records shall be forwarded to the Medical Staff President and the Administrator for an appropriate response. 13.5 Access by Persons within the Jurisdiction of the Hospital 13.5.1 Quality Assurance Profiles A. Any practitioner may review his/her Quality Assurance profiles and/or work folder without cause and without approval by giving timely notice in writing to the designee of the Medical Executive Committee. An observer shall be present when the practitioner is reviewing his/her profile. When a Member has reviewed his/her profile as provided under this section, he/she may request a correction or deletion of information in his/her Quality Assurance profile by written request to the Medical Executive Committee. Such a request shall include a statement of the basis for the action requested. The request will be considered and acted upon in accordance with the Bylaws. 79 B. Except as noted above, no Member of the Medical Staff, other than those specified in the Bylaws, may be provided with access to a practitioner’s Quality Assurance profile and/or work folder. No member of the Hospital Administration or the Governing Body may be provided with access to practitioner’s Quality Assurance profile or work folder, except as required by the administrative hearing process in these Bylaws. The individual practitioner under review will be notified in writing whenever this request occurs. C. Quality Assurance profiles may be submitted as evidence during a fair hearing conducted pursuant to these Bylaws. 13.5.2 Credential Files A Medical Staff Member shall be granted access to his/her own credentials files, subject to the following provisions; A. The request shall give timely notice to the Medical Staff President or his/her designee; B. The Member may review, and receive a copy of, only those documents provided by or personally address to the Member. A summary of all other information, including peer review committee findings, letters of reference, monitoring reports, complaints, etc., shall be provided to the Member in a timely manner, in writing, by the Medical Staff President or designee. Such summary shall disclose the substance, but not the source, of the information summarized; C. The review by the Member shall take place in the Medical Staff Office, during normal working hours, in the presence of the Medical Staff President or designee. 13.5.3 When a Member has reviewed his/her file, he/she may address to the Medical Staff President a written request for correction or deletion of information in his/her credentials files. Such request shall include a statement of the basis for the action requested. The Medical Staff President shall review such a request within a reasonable time and shall recommend to the Medical Executive Committee after such review whether to make the correction or deletion requested. The Medical Executive Committee, when so informed, shall either grant or deny the request by a majority vote. The Member shall be notified promptly, in writing, of the decision of the Medical Executive Committee. In any case, a Member shall have the right to add to his/her own credentials profile a statement responding to any information contained in the file. 13.5.4 The Medical Staff President, Department Chairpersons, committee chairpersons, the Chief Medical Officer, and the Administrator shall have access to credentials files to the extent necessary to perform their official duties. Medical Staff committee members shall have access only to the records of committees on which they serve. 13.5.5 No members of the Hospital Administrator or the Governing Body will be given access to a practitioner’s credentials file; however, the Governing Body or its designee, consistent 80 with its ultimate responsibility to oversee quality or care, may wish to have an individual practitioner’s credentials profile evaluated for specific reasons of concern. The individual practitioner under review must be immediately notified in writing whenever this request occurs. ARTICLE 14 GENERAL PROVISIONS 14.1 Rules and Regulations The Medical Staff must annually review the Rules. The procedure for adopting, amending, and repealing the Rules is set forth in Article 15 of the Bylaws. Once a rule or regulations is adopted or amended by the Governing Body, it is effective and governs applicants and Members of the Medical Staff. If there is a conflict between the Bylaws and the Rules, the Bylaws prevail. The process set forth in Article 15 of the Bylaws is the sole method for the initiation, adoption, amendment, and repeal of medical Staff Rules. 14.2 Dues or Assessments The Medical Executive Committee shall annually recommend the amount of annual dues or assessments, if any, for each category of Medical Staff membership, subject to the approval of the Medical Staff, and to determine the manner of expenditure of such funds. 14.3 Construction of Terms and Headings The captions or headings in these Bylaws are for convenience only and are not intended to limit of define the scope of or affect any of the substantive provisions of these Bylaws. These Bylaws apply with equal force to both genders wherever either term is used. 14.4 Authority to Act Any Member or Members who act in the name of this Medical Staff without proper authority shall be subject to such disciplinary action, as the Medical Executive Committee may deem appropriate. 14.5 Division of Fees Any division of fees by Members of the Medical Staff is forbidden and any such division of fees shall be cause for exclusion or expulsion from the Medical Staff. 14.6 Special Notices Except as otherwise provided in these Bylaws, all notices, demands and requests required or permitted to be mailed shall be in writing addressed to the last known address provided by the Member, sealed, with postage fully paid, and deposited in the United States Postal Service. In the alternative, any notice, demand, or request that is required or permitted to be mailed may be hand-delivered. If the official records of the Medical Staff and the Hospital contain different addresses, the notice, request or demand shall be mailed to both addresses. 81 14.7 Requirements for Elections of Medical Staff President, Department Heads, Division heads and for Bylaws Amendments 14.7.1 Elections by Secret Ballot: All elections shall be by secret ballot. 14.7.2 Eligibility to Vote: Only active Members of the Medical Staff in Good Standing may vote in elections governed by these Bylaws. An active Member of the Medical Staff is one who has been approved for active status by the Governing Body at least seven (7) days before the day ballots are distributed. 14.7.3 Contact information for voting: For votes conducted by paper ballot, ballots will be mailed to the last address provided by the Medical Staff Member. It is the responsibility of each Member of the Medical Staff to provide the Medical Staff Office with his/her current mailing address. For votes conducted by electronic means, voting members will be contacted via their secure County email address, eg, cchealth.org. 14.7.4 Runoff Elections: A candidate shall be elected by a majority of the votes cast. If no candidate receives a majority vote on the first ballot, a runoff election shall be conducted as soon as is practical between the two candidates who received the highest pluralities. If the runoff election results in a tie, the election shall be repeated. If there is still a tie, the Medical Staff president will cast the deciding vote. If the election is for the Medical Staff President, the Medical Executive Committee will decide. 14.7.5 Voting within Committees and Departments: At the discretion of the Department or Committee Chair, ballots may be by voice, by hand, electronic means, or by secret ballot. However, at the request of any voting Member within that committee or Department, that vote shall be by secret ballot. Voting Members are determined in accordance with these Bylaws. 14.8 Disclosure of Interest. All nominees for election or appointment to Medical Staff offices, Department Chairs, or the Medical Executive Committee shall, at least twenty (20) days prior to the date of election or appointment, disclose in writing to the Medical Executive Committee those personal, professional, and financial affiliations and relationships of which they are reasonably aware that could foreseeably result in a conflict of interest with their activities or responsibilities on behalf of the Medical Staff. 82 83 14.9 Authorization, Immunity, and Releases. 14.9.1 Authorization and Conditions. By applying for or exercising clinical privileges within this hospital, an applicant; A. Authorizes representatives of the hospital and the Medical Staff to solicit, provide, and act upon information bearing upon, or reasonably believed to bear upon, the applicant’s professional ability and qualifications; B. Authorized persons and organizations to provide information concerning such practitioner to the Medical Staff; C. Agrees to be bound by the provisions of this Article and to waive all legal claims against any representative of the Medical Staff or the hospital who acts in accordance with the provisions of these Bylaws; and D. Acknowledges that the provisions of these Bylaws are express conditions to an application for Medical Staff membership, the continuation of such membership, and to the exercise of clinical privileges at this hospital. 14.9.2 Releases. Each applicant or Member shall, upon request of the Medical Staff or hospital, execute general and specific releases as necessary to carry out the provision of these Bylaws. 14.10 Standards for History and Physical Examination. 14.10.1 The complete history and physical examination (H&P), as required for the patient’s medical record, shall be completed within twenty-four (24) hours after admission of the patient, and, in case a patient is admitted for surgery, shall be completed prior to the time surgery is done. When the history and physical examination is dictated, a holding note must be recorded in the medical record at the time of examination. A history and physical may be performed up to thirty (30) days in advance provided a durable and legible copy is inserted into the inpatient medical record no later than twenty (24) hours after admission and is updated as appropriate. 14.10.2 Special Standards for Elective Surgery. The following procedure is to be followed when scheduling a patient for either elective outpatient surgery or elective surgery to be done on the day of admission (for general or regional anesthesia.) 14.10.3 The scheduling surgeon must schedule the patient for a pre-op H&P to be done within thirty (30) days prior to surgery. The surgeon must clearly enter in the medical record: A. The procedure being scheduled and type of anesthesia; B. The surgical indications; C. Whether the patient is to be admitted following the surgery. 84 10.10.4 It is the responsibility of the surgeon scheduling the procedure to obtain informed consent from the patient at the time it is scheduled, having explained the risks and benefits to the patient. 10.10.5 The pre-op H&P and all ordered tests will be reviewed by the anesthesiologist prior to surgery. The provider performing the H&P and/or the primary care provider may be consulted in evaluation of abnormal results prior to cancellation of surgery. ARTICLE 15 ADOPTION AND AMENDMENT OF BYLAWS AND RULES 15.1 Annual Review. These Bylaws and the Rules shall be reviewed annually by the Medical Executive Committee. 15.2 Procedure. Upon the request of the Medical Staff President, the Medical Executive Committee, the Administrative Affairs Committee, or upon timely written petition signed by at least 10% of the Members of the Medical Staff in Good Standing who are entitled to vote, consideration shall be given to the adoption, amendment or repeal of these Bylaws or Rules. 15.3 Medical Staff Action. These Bylaws and Rules may be adopted, amended, or repealed by: 15.3.1 The affirmative vote of a majority of the active Staff Members in Good Standing present at a regular or special Staff Meeting at which a quorum attends, provided that the proposed documents or amendments are made available to Staff Members entitled to vote thereon no less than two (2) weeks before balloting with or at the time of notice of the meeting; or 15.3.2 The affirmative vote of a majority of ballots returned by Members in Good Standing, provided that a copy of the proposed documents or amendments are made available to each Staff member entitled to vote thereon no less than two (2) weeks before balloting, and provided that no less than two (2) weeks’ time interval exists between the date the ballot, electronic or paper, was distributed to active Members and the due date of the ballot or electronic vote. All elections to adopt amend or repeal the Bylaws or Rules and Regulations shall be conducted in accordance with these Bylaws. 15.4 Approval. By laws and Rules changes adopted by the Medical Staff shall not become effective until approved by the Governing Body. Neither the Medical Staff nor the Governing Body may unilaterally amend the Bylaws or Rules. 85 15.5 Exclusivity. The mechanism described herein shall be the sole method for the initiation, adoption, amendment, and/or repeal of the Bylaws or Rules. 86 Rules and Regulations These Rules and Regulations are adopted pursuant to Article 15 of the Medical Staff Bylaws. These Rules use the same Definitions as the ones described in the Bylaws. The Rules specifically include those policies and procedures that are referenced herein. 1. General Rules A. Admissions 1. All admissions of patients are subject to rules delineated in the Medical Staff Bylaws, specific department policies and hospital policies. B. Continuous Responsibility for Patients 1. Inpatient a. The attending physician is responsible for the complete and continuing care of his/her patients. He/she is required to keep appropriate personnel informed as to where he/she can be reached in case of emergency and shall designate at least one physician to render emergency or other necessary patient care if he/she is not available. Each patient shall be reassessed daily. 2. Outpatient a. Primary Care Providers are responsible for their panel of patients as described in the Ambulatory Care Policies. C. Medical Records 1. General Provisions a. Abbreviations i. An “Unacceptable Abbreviations List” is posted throughout the hospital and clinics. Copies may be obtained from Medical Records. b. Records Belonging to Health Services Department i. Refer to Hospital Policy 705 – Removal, Retention and Destruction of Protected Health Information. All medical records and other records relating to the admission, care and discharge of a patient are the property of the Contra Costa County Health Services Department and may be removed from the Health Services Department’s jurisdiction and safekeeping only in accordance with a subpoena, court order or other statute. In case of readmission of any patient, all previous records shall be available to the attending physician. c. Electronic Signature i. Approved electronic signature of medical records is acceptable for chart completion. 87 2. Completion of Records a. Inpatient Records i. Responsibilities of the Members of Medical Staff and General Provisions b. Content of Staff Entry i. The attending physician shall be responsible for preparing a complete medical record for each patient as described in Hospital Policy 706 – Medical Record Content. This record shall include at least the following minimum information. ii. Patients shall be discharged only upon the order of the attending physician or another physician acting as his/her representative. At the time the patient is discharged, the attending physician shall complete the medical record, indicate the reason for admission, state the final diagnosis, record treatment and/or procedures performed, describe the condition of the patient on discharge, including specific comparison with condition on admission and any specific instructions given the patient and/or family (e.g., diet, medication, physical activity and follow-up care.) When pre-printed instructions are given to the patient, the record should so indicate and a sample of the instruction sheet in use at the time must be kept on file in the Medical Records Department. All medical record entries must be signed and dated. iii. When a patient has been hospitalized a discharge summary is required. iv. All surgery performed shall be fully described by the operating surgeon in the patient’s medical record. Such description shall include a detailed account of the technique used, identification of tissues and foreign material removed, if any, and a description of the findings. Such description shall be done immediately after surgery is concluded. A brief interim operative note shall be placed in the medical record immediately after surgery is concluded if the complete note is not immediately visible in the electronic health record. v. At the discretion of the attending physician, tissues and foreign materials removed in surgery shall be submitted, together with adequate clinical information, to the pathologist on duty. The Pathology Department may establish appropriate guidelines. vi. In addition to the operating surgeon’s report, the record of every operation involving use of an anesthetic other than local shall include a proper anesthetic record and a post-anesthetic follow-up report. vii. Standards for History and Physical Examination. The complete history and physical examination (H&P), as required for the patient’s medical record, shall be completed within twenty-four (24) hours after admission of the patient, and, in case a patient is 88 admitted for surgery, shall be completed prior to the time surgery is done. When the history and physical examination is done a holding note must be recorded in the medical record at the time of examination. History and physical may be performed up to thirty (30) days in advance provided a durable and legible copy is inserted into the inpatient medical record no later than twenty-four (24) hours after admission of the patient, and, in case a patient is admitted for surgery, shall be completed prior to the time surgery is done. When the history and physical examination is done a holding note must be recorded in the medical record at the time of examination. A history and physical may be performed up to thirty (30) days in advance provided a durable and legible copy is inserted into the inpatient medical record no later than twenty-four (24) hours after admission and is updated as appropriate. At a minimum the H&P will include the following sections: HPI, Problem List, Allergies, Medications, Physical Exam, and Assessment/Plan. viii. Special Standards for Elective Surgery. The following procedure is to be followed when scheduling a patient for either elective outpatient surgery or elective surgery to be done on the day of admission (for general or regional anesthesia.) 1. The scheduling surgeon must schedule the patient for a pre-op H&P to be done within thirty (30) days prior to the surgery. The surgeon must clearly enter in the medical record: a. The procedure being scheduled and type of anesthesia; b. The surgical indications; c. Whether the patient is to be admitted following the surgery. 2. It is the responsibility of the surgeon scheduling the procedure to obtain informed consent from the patient at the time it is scheduled, having explained the risks and benefits to the patient. 3. A History and Physical shall be done on all pre-op patients. 4. Pre-op lab work should be scheduled within two weeks prior to surgery. 5. The pre-op H&P and all ordered tests will be reviewed by the anesthesiologist prior to surgery. The provider performing the H&P and/or the primary care provider may be consulted in evaluating abnormal results prior to cancellation of surgery. 3. Delinquency a. All charts must be completed within the time limits specified below. A “complete medical record” is defined as one that meets all criteria as set forth. i). Inpatient and Surgery 89 Document Time Due Discharge Summary…………………………………………. Thirteen (13) days post discharge Inpatient History/Physical………………………………… Twenty-four (24) hours post admission Interval History/Physical…………………………………. Operative Report……………………………………………… Less than twenty-four (24) hours prior to surgery Immediately after surgery Pre-anesthesia evaluation…………………………….. Must be completed prior to being placed under anesthesia unless extreme emergency Post-Anesthesia note………………………………… 6 hours after conclusion of anesthesia Verbal orders……………………………………………… Authenticated by twenty-four (24) hours for IV Fluid or IV drug orders; all others within 48 hours Other inpatient documentation as required by law, including; At hospital discharge a) Diagnostic and therapeutic orders; b) Clinical observations and results of therapy; c) Reports of procedures, tests, and their results; Must be signed within thirteen (13) days and are delinquent after the fourteenth (14th) day. d) Conclusions at the termination of care. e) All inpatient dictations. ii. Outpatient Records a. Providers are encouraged to chart as soon as possible after visit. At a minimum, the diagnosis and treatment plan shall be charted at the time of the visit. The provider note must be complete within twenty-four (24) hours. b. Outpatient notes should contain the following elements: i. Patient identification. ii. Date of visit. iii. Relevant history or pertinent update of the illness or injury. iv. Physical findings, if applicable. v. Results of tests and other studies, if applicable. vi. Diagnostic assessment. vii. Treatment plan, including prescriptions. viii. Results of treatment rendered during the visit, if applicable. ix. Patient teaching, including instructions given to the patient and/or family and follow-up care. 90 4. Disciplinary Proceedings a. Process i. An incomplete chart is considered delinquent fourteen (14) days after the due date as specified at 1.C.3.a. Automatic initiation of disciplinary proceedings for the responsible practitioner will occur as soon as a chart becomes delinquent. ii. A letter will be sent to the practitioner responsible for the delinquent records from Health Information Management. The Medical Staff Office will also contact the practitioner, using the contact information provided to the office by the practitioner. Practitioners are responsible for making sure their contact information is up to date. iii. The letter shall state: A. The list of delinquent records; B. That failure to complete delinquencies within seven (7) days will result in suspension of all Medical Staff Privileges and Staff Membership by the Medical Staff President until the stated delinquent charts are completed. iv. If delinquent records referred to in the letter are not completed with seven (7) days, the Medical Staff President shall immediately suspend all Medical Staff Privileges and Membership until the delinquent charts are properly completed. The Medical Staff President will notify the appropriate Department Heads, the Executive Director of the Hospital, Chief Medical Officer and the Residency Director as appropriate. b. Further Sanctions i. Any practitioner suspended for a cumulative total of thirty (30) days or more during any 12-month period will be reported to the Medical Board of California by the Medical Staff President. D. Medical Orders 1. Inpatient a. All orders must be reconciled when a patient is transferred into or out of the Critical Care units (ICU and IMCU.) i. Orders can be dictated or telephoned to a health professional listed below and later signed by the attending physician, or, in case of treatment required in the absence of the attending physician, by the physician then responsible for the patient’s care/ Verbal orders shall be accepted and entered by a licensed nurse, occupational therapist, physical therapist, licensed respiratory therapist or speech therapist, registered pharmacist or registered dietician only and such action will be limited to urgent circumstances. ii. Verbal orders are not valid for orders to limit or remove lifesaving procedures. 91 iii. There are no routine or standing orders regarding patient care or ordering of diagnostic tests. 2. Outpatient a. Outpatient orders should be entered in the medical records. Any verbal orders must be co-signed by the M.D. or FNP within twenty-four (24) hours. E. CPR 1. Although a “Basic CPR” certificate is not required for Medical Staff membership, it is strongly encouraged for all those physicians in patient care. Individual Departments may require it for membership. F. Disaster Assignments: Refer to Hospital Disaster Plan 1. Contra Costa Regional Health Center & Health Centers maintains a disaster plan based upon the Hospital Emergency Incident Command System (HEICS) which delineates the administrative structure for disaster responses. Each individual Department also has in place disaster and evacuation plans. 2. Employed members of the Medical Staff are designated automatically as disaster workers in the event of a disaster. Other members of the Medical Staff are eligible to participate in disaster work, as is volunteer staff under the guidelines of disaster credentialing as delineated in the Medical Staff Bylaws. G. Consultation Policy 1. All providers are expected to seek consultation and advice whenever they encounter a situation in the course of caring for a patient in whom they are not confident of their own ability or knowledge. They should also seek consultation when it become evident that the patient is not comfortable with the diagnosis or management of his or her problem. Consultation may be obtained from Members of the Staff who are privileged to care for the problem for which the advice is sought, and his or her report shall be included in the medical record. The consultation report should be placed in the medical report. 2. Except where consultation is precluded by emergency circumstances, the attending physician shall consult with another qualified physician in all of the following cases: a. All major surgical cases in which the patient is not a good risk. b. In all cases in which the diagnosis is obscure or in which there is doubt as to the best therapeutic measures to be utilized. 92 H. Operating Room Policies 1. Consents: a. Except in cases of emergency, no surgery shall be performed except pursuant to written informed consent from the patient or his/her legal representative, and all other persons, if any, from whom consent is required. i. History and physical examination; ii. Pre-operative diagnosis; iii. All necessary Laboratory and X-ray work; iv. Pre-anesthetic evaluation in all cases receiving a general anesthetic; b. If, in any surgical cases, the foregoing requirements are not met prior to the time scheduled for surgery, the operation shall be canceled by the Operating Room Supervisor or designee and rescheduled unless the attending physician documents that such delay would be detrimental to the patient. 2. Prompt attendance of surgeon and attendants: Surgeons and attendants must be in the operating room and ready to commence surgery at the time scheduled. I. Supervision of Resident Physicians 1. Resident physicians shall have appropriate supervision present at all times regardless of patient complexity or resident competency. All medical care provided by resident staff is under the supervision of licensed physician members of the Medical Staff who have privileges for the patient care being rendered and the Residency Director. Such care shall be in accordance with the provision of a program approved by and in conformity with the Accreditation Council on Graduate Medical Education of the American Medical Association and the American Osteopathic Association. Residents must be supervised by members of the Medical Staff in such a way that the trainee assumes progressively increasing responsibility for patient care according to their level of training, ability and experience. 2. Inpatient Supervision Resident physicians shall identify a licensed physician member of the Medical Staff who has privileges for the patient care being rendered or the Residency Director as the attending of record on the admission orders of all patients admitted to the hospital. All critically ill patients admitted by the resident physician shall be discussed with an attending physician. Teaching rounds shall be held daily. a. All “DNR/DNI” orders entered by resident physicians shall document concurrent discussion with a licensed physician member of the Medical Staff who has privileges for the patient care being rendered and the Residency Director. b. Medical Staff co-signatories are needed for all resident physicians for the following medical records and documents: i. Inpatient History and Physical 93 ii. Consultative Reports iii. Procedure notes and operative reports 3. Outpatient Supervision a. Detailed and specific resident supervision policies are located in the Graduate Medical Education (GME) Policies and Procedures manual. A copy of this manual is located in the residency office or an electronic version is available upon request. i. Prescriptions A. All first year residents, even if they have a post-graduate training license, must have all prescriptions co-signed. ii. Family Medicine Clinics A. All resident physicians must have a preceptor with appropriate privileges assigned to supervise and precept them. This preceptor must be immediately available and have adequate time for teaching. B. All medical record entries by medical students must be co-signed by a provider with privileges. iii. Specialty Clinics A. A staff physician will directly supervise all residents working in a specialty clinic. The resident physicians are expected to discuss all patients with the supervising physician before the patient leaves. The supervising physician should be identified on the consultation. B. All medical record entries by medical students must be co-signed by a provider with privileges. J. On-Call Response Time 1. Departments shall determine and monitor appropriate on-call procedures for their specific services. K. Processing and Delivery of Ordered Blood Products 1. Blood products ordered by any physician shall be provided by the Blood Bank/Transfusion Service without delay. If questionable indications for transfusion are felt to be present, the pathologist, while processing of this order proceeds without delay, will attempt to discuss this issue with the ordering physician. If, after discussion, the pathologist still believes the request to be questionable, he/she will report this case to the appropriate Department or committee for review. 2. The physician who has primary responsibility for the patient has the final say in decision making, although we encourage a team approach utilizing dialogue between the clinician and the transfusion service. 94 L. Collection and Expenditures of Medical Staff Funds 1. Application Fees a. Each application may be assessed an application non-refundable processing fee. This fee shall be Two Hundred Dollars ($200) and shall also be considered as payment of any dues, for which the applicant shall be liable during the period of the initial appointment, should the applicant be appointed to the staff. The fee for applications for Courtesy, Honorary, Temporary, Administrative, Allied Health Professional, and Telemedicine Staff shall be One Hundred and Twenty-Five Dollars ($125) b. In the event that the applicant is not accepted, no portion of this applications fee shall be refunded. In special circumstances as defined by the Credentials Committee and the Medical Executive Committee, this application fee may be waived. 2. Medical Staff Dues a. The Medical Executive Committee shall have the power to determine the amount of biennial reappointment dues. The following dues are currently in effect: i. Active Staff: One Hundred Twenty-five Dollars ($125) for each two-year reappointment ii. Courtesy, Honorary, Temporary, Administrative, Allied Health Professional, and Telemedicine Staff: One Hundred Dollars ($100) for each two-year reappointment 3. Reappointment Late Processing Fees a. Pursuant to the Bylaws and the Rules, the Medical Staff is authorized to collect late processing fees. An application for reappointment is late when less than one hundred fifty (150) calendar days remain until the end of Members’ term. In addition to the regular reappointment fee, the following late processing fees are assessed: i. At one hundred fifty (150) days from the end of a term – Fifty dollars ($50) – (may be waived in extenuating circumstances, such as vacation); ii. At one hundred twenty (120) days from the end of the term – Fifty dollars ($50) more for a total penalty of one hundred dollars ($100); iii. At ninety (90) days from the end of the term – Fifty dollars ($50) more for a total penalty of one hundred fifty dollars ($150), iv. At ninety (90) days, all fees must be paid in full and application must be complete or reappointment application is not processed and the membership is deemed to have expired automatically at the end of the term. If the member submits a new application for membership in the medical staff within six (6) months of the expiration of the appointment, he/she must pay the one hundred fifty dollar ($150) penalty in addition to the application fee. 95 4. Expenditure of Funds a. The Medical Executive Committee shall determine the method of disbursement of Medical Staff funds. The Medical Executive Committee may appoint a Medical Staff Funds Advisory Committee to advise the Medical Executive Committee regarding such expenditures. b. If an Advisory Committee is appointed, it shall study the various possible uses for the funds and recommend specific expenditures, including specific dollar amounts, to the Medical Executive Committee on an annual basis or more often as appropriate. c. The Medical Executive Committee shall retain ultimate control of these funds. The Medical Executive Committee may deposit these funds in any accounts it deems suitable. i. Any account shall have the following co-signers: A. The Medical Staff President B. The Medical Staff President-Elect C. The Immediate Past President of the Medical Staff D. The Chair(s) of the Administrative Affairs Committee E. Two Medical Staff Coordinators as designated by the Medical Executive Committee ii. Any two (2) of these co-signers may distribute Medical Staff funds provided at least one co-signer is a Member of the Medical Staff. Any disbursement of funds greater than five hundred dollars (>$500) must be approved in advance by the Medical Executive Committee. Any disbursement of funds of five hundred dollars or less (<=$500) may be authorized by any two (2) of the cosigners listed above. Any such disbursement of funds without the advance approval of the Medical Executive Committee must be reported to the Medical Executive Committee by the Medical Staff President at the next regularly scheduled Medical Executive Committee meeting. M. Medical Staff Evaluation and Development 1. Each Member of the active Medical Staff shall be reviewed no less often than every eleven (11) months by his/her Department Head on a form approved by the Medical Executive Committee. The purpose of this evaluation shall be to facilitate verbal and documented communications between the Department Head and the Staff Member in an attempt to acknowledge the Staff Member’s areas of excellence and to identify those areas which can be improved. 2. The Medical Staff President shall evaluate the Department Heads in the same manner after consultation with the Members of his/her department. If the Department Head is also the Medical Staff President, an individual designated by the Credentials Committee shall evaluate him or her. 3. Upon completion, the evaluator and the Medical Staff Member shall meet face to face and each receives a copy of the evaluation, with additional copy to be placed in the individual’s 96 credentials file. The copy in the credentials file shall be used by the Credentials Committee during the reappointment process. The Staff Member may request modification of this. 4. This evaluation shall be sent to the credentials file and the information in the credentials files shall be used for Medical Staff purposes only. N. Other Policy Manuals 1. From time to time, policies are legally created and adopted by the Governing Body, the Administration, Nursing, and particular administrative departments. To the extent that these policies are not in conflict with the Medical Staff Bylaws, the Rules, or Medical Staff Policies, the Medical staff shall abide by the extraneous policy. If these extraneous policies are in conflict with the Bylaws, the Rules, or Medical Staff Policies, the Medical Executive Committee shall review the conflicting policies and recommend appropriate changes. When the extraneous policies have a negative impact upon the quality of patient care, the Medical Executive Committee shall also review the policy and make appropriate recommendation to assure quality care. In all cases, the Medical Staff must abide by the requirements of the Bylaws and the Rules. REVIEWED and REVISED 1/4/2023 by AAC APPROVED: COUNTY COUNSEL: 1/19/2023 APPROVED: CCRMC/HCs MEC: 4/17/2023 APPROVED: Board of Supervisors: RECOMMENDATION(S): APPROVE the amended Medical Staff Bylaws and Rules and Regulations to address operational needs, as recommended by the Medical Executive Committee, the Joint Conference Committee and Health Services Director. FISCAL IMPACT: There is no fiscal impact for this action. BACKGROUND: The changes to the 2023 Medical Staff Bylaws and Rules and Regulations will bring them into compliance and consistency with current regulations and practices in relation to electronic medical records and hospital committee work. CONSEQUENCE OF NEGATIVE ACTION: The Medical Staff will have outdated Medical Staff Bylaws and Rules and Regulations. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Karin Stryker, (925) 370-5141 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 47 To:Board of Supervisors From:Anna Roth, Health Services Director Date:May 16, 2023 Contra Costa County Subject:Proposed Changes to the 2023 Medical Staff Bylaws and Rules and Regulations ATTACHMENTS Final Draft Medical Staff Bylaws Proposed Changes Page1 of 9 CITY OF SAN PABLO Special Event Permit Application San Pablo Municipal Code Chapter 9.24 ~ Application must generally be submitted at least 45 days in advance of Event ~ RETURN COMPLETED FORM TO: City of San Pablo Police Department, 13880 San Pablo Avenue, San Pablo, CA 94806 Tel: (510) 215-3130 Fax: (510) 215-3135 INSTRUCTIONS: Please submit your completed application with the appropriate processing fee to the City of San Pablo Police Department. Staff is available to help you with the application process and answer any questions you may have at (510) 215-3130. Completed application must be submitted at least forty-five (45) days prior to the event unless exempted by SPMC Chapter 9.24. Please file your application as soon as possible before the event to ensure your ability to complete the process or appeal any conditions or fees. CONDITIONS: You may be required to pay for miscellaneous city services such as police officers, traffic officers, barricades, trash collection, etc. Any city services required by the permit conditions MUST be paid within 10 days after being notified of the cost of such services. ALL APPLICATIONS MUST BE ACCOMPANIED BY PAYMENT OF NONREFUNDABLE APPLICATION FEE. INCOMPLETE OR ILLEGIBLE APPLICATIONS WILL BE RETURNED. THERE WILL BE NO WAIVER OF THE APPLICATION FEE. DEFINITIONS “Special Event” is any organized formation, parade, procession, demonstration or assembly which will travel upon the street, sidewalk, or any other public right of way owned or controlled by the city which does not comply with traffic laws; or, any organized assembly with 75 or more persons, under the control of a person for a common or collective use, who will require additional public safety or services and/or which will interfere with the use of public property or right of way. Examples include: parades, concerts, community events, sporting events and/or block parties. Special Event applications must be submitted at least 45 days before the event. “Expressive Activity Event” is any assembly, the sole or principal purpose of which is the expression, dissemination, or communication by verbal, visual, literary, or auditory means, of a particular opinion, view or idea, and, for which no fee or donation is charged or required as a condition of participation in or attendance at such activity, including public oratory and distribution of literature. Applications for these events should be filed as soon as possible, but may be filed as soon as two days before the event if necessary. Page2 of 9 SECTION I: Applicant Information Name: Also Known As: Address: Date of Birth: Driver License: Phone: State DL issued: SECTION II: Contact Information The applicant for the special event permit must be the authorized representative of the organization/business conducting the special event. The applicant must be available to work with the City staff throughout the permitting process. Responsible Organization: Authorized Representative: Address: Street City Zip Code Telephone: (Home) (Business) Cell phone: Fax: Email: Contact Person present at and in charge of event: Address: Cell phone: Street City Zip Code Does organization have a non-profit exemption? Yes□ No□  If yes, Must provide copy of the tax exemption letter issued for an y applicant claiming to be a tax- exempt non-profit organization. SECTION III: Event Summary Name of Event:________________________________________________________________ Date and Time of Event:_________________________________________________________ Location of Event:______________________________________________________________ Brief Description of Event – including purpose and target audience: Dates/Times of Set Up: Dates/Times of Tear Down: Estimated Attendance: Spectators: Participants: Is event open to the public? Yes□ No□ Is there an admission charge? Yes□ No□ Will a promoter/event planner be hired for this event? Yes□ No□ Will normal operations of residents or businesses be affected by your event? Yes□ No□ Page3 of 9 Type of Event □ Parade □ Festival □ Assembly/March • MUST provide the following: Number of people participating Number of Vehicles and Type Number of Animals and Type Attach Map with written narrative of the travel route and any alternative routes Anticipated parking needs Security plan for control of pedestrian and vehicular traffic □Sound Amplification/Music • MUST provide the following:  Upon conditional approval of the application, written proof of notification to nearby residents affected by the potential noise will be required unless it is a city-sponsored event □Expressive Activity  Application Must be completed no less than two (2) calendar days prior to the event. □ Block Party and/or □ Street Closure • MUST provide the following:  Attach proof of notification to the Fire Department  Attach proof of notification to the local Ambulance Service(s)  Attach proof of notification to the local Bus Service(s) □ Vendor Fair □ Party/Celebration □ Business Event □ Other Are there any alternative routes, times, or sites for your event should it prove necessary? SIGNAGE/PUBLICITY Other than hand-held signs, what type of signage are you proposing to have at your event? Where and how will it be mounted? Do you plan to advertise the event? Yes□ No□ If yes, how? Check all that apply. □Invitation only □Radio □Television □Print □Other Describe Will there be live media coverage during your event? Yes□ No□ Describe Page4 of 9 SITE PLAN A detailed, legible, site plan to scale (1/8” = 1 foot preferred) must be attached to this application. Please show specific locations of the following: alcoholic and nonalcoholic concession areas; food concession and food preparation areas; portable and/or permanent toilet facilities; first aid facilities, tables and chairs, fencing, barriers and/or barricades; generators and/or source of electricity; tents/canopies; booths, exhibits, displays or enclosures; scaffolding, bleachers, platforms, stages, grandstands or related structures; vehicles and/or trailers; trash containers and dumpsters; valet route, parking sites, proximity to other buildings/structures, exit openings and pathways and other related event components not covered above. ACCESSIBILITY PLAN It is the applicant's responsibility to comply with all City, county, state, and federal disability access requirements applicable to the event; including the American with Disabilities Act (ADA). All indoor and outdoor sites, activities, and programs must be accessible to persons with disabilities. Attach a separate sheet describing your accessibility plan. SECTION IV: Security and Safety Will you be hiring a private security service? Yes□ No□ If yes, provide name of security service provider, contact person and telephone number below and attach a copy of the security contract. Company Name Contact Person Telephone If no, describe your alternate/internal security plan/procedures (attach additional pages if needed). Total number of personnel to be used ________ Will any security guards be armed? If yes, how many? Yes□ No□ Will there be security guards at the entrance? Yes□ No□ Will there be security guards at the exit? Yes□ No□ Will you have an on-site Primary First Aid Provider? Yes□ No□ Will there be a command post at your event? Yes□ No□ Please describe and list location of the command post: NOTE: Security Service Personnel must be licensed with the California Department of Consumer Affairs. All service providers (i.e., security service provider, etc.) are required to possess or obtain a City of San Pablo Business License. Page5 of 9 STREET CLOSURES Are you requesting a street or lane closure? Yes□ No□ Please describe location and exact time of closure and attach a map or diagram: ____________________________________________________________________________ ____________________________________________________________________________ Will bus rerouting be necessary to accommodate your event? Yes□ No□ NOTE: Proof of Fire Department, Ambulance and Bus Service notification is required for street closures and any other equipment or services necessary to conduct the event with due regard for participant and public health and safety. FIRE/SAFETY SERVICES Will you be using any of the following? Check all that apply: Tents □ How many? ____ Dimensions of each ____ x ____ Canopies □ How many? ____ Dimensions of each ____ x ____ Generators □ Cooking/Open Flame □ First Aid Facilities □ Other (describe) BUILDING/SAFETY SERVICES Will you be constructing and/or assembling any of the following? Check all that apply: Stages □ (height in inches ____) Bleachers or other seating □ Tent or Canopy over 2,500 sq. ft. □ Tent or Canopy over 50 ft. long in any direction □ Tent or Canopy over 25 ft. high □ Displays or other structures (describe): NOTE: City Engineering and/or Building Department may require an inspection, building permit and/or engineer drawings. Contact them through the City of San Pablo Neighborhood Services Division at (510) 215-3055. PUBLIC WORKS/SANITATION Will portable toilets be used at the event? Yes□ No□ Describe your plans for clean-up and for collecting and disposing of refuse, including location of trash and litter receptacles: SECTION V: Facilities and Parks Do you plan to use a City facility or park for your event? Yes□ No□ Have you completed a Park/Facility Request form? Yes□ No□ NOTE: For application information on using a City facility or park please contact the City of San Pablo Recreation Department at (510) 215-3092. Page6 of 9 SECTION VI: Food/Alcohol Will food be sold or served at your event? Yes□ No□ Will food be cooked on site? Yes□ No□ Describe_____________________________________________________________________ ____________________________________________________________________________ NOTE: Except for City-produced events, outdoor cooking is permitted only in parks where there are City installed BBQ grills. Will your event be using a caterer? Yes□ No□ If no, describe food handling, preparation, distribution and clean-up procedures. NOTE: If you plan to serve food to the public, you must obtain all required permits including a Temporary Health Permit at least two (2) weeks in advance of your scheduled event from the Contra Costa County Environmental Health Department, (925) 646-5225. Will alcoholic beverages be sold or served at your event? Yes□ No□ Describe service area and security measures planned to ensure consumption is limited to persons 21 years or older. NOTE: Alcoholic beverages may not be sold or consumed at parks or in public streets. Provided all alcohol management practices specified by the City are implemented and approved by City Management, approval of Event Permit will be contingent upon receiving a copy of your State of California Alcoholic Beverage Control (ABC) Permit/License (510) 622-4970. SECTION VII: Entertainment Activities Will a DJ or Band be used? Yes□ No□ Name: Contact Person/Authorized Representative: Address: Street City Zip Code Telephone: (Home) (Business) Cell phone: Fax: Email: Website: Contact Person present at and in charge of music: Address: Cell phone: Street City Zip Code Will the sound/music during this event be amplified? Yes□ No□ If yes, complete the attached Sound Permit Application and submit with this application. What type of amplification (e.g., DJ, live band, stereo system, microphones) and for what use? ____________________________________________________________________________ Circle One: Indoors Outdoors Hours of amplified sound/music: Start ________ a.m. /p.m. Finish _________ a.m./p.m. Number of stages ______Number of bands______ Type of music Names of additional entertainers/band members: Page7 of 9 NOTE: Upon conditional approval of all Sound Permit Applications, residences and businesses within 500 feet of an event site shall be notified in writing prior to any event held outdoors or in a tent/temporary structure where there will be amplified sound (other than brief, intermittent announcements) or live music. Sound check time will be limited to a cumulative total of two (2) hours before start of event. VENDING AND/OR PRODUCT GIVE-AWAYS Check any of the following that apply: Food/Beverage Sales □ Auction of goods □ Sale of goods/services □ Solicitation of donations □ Other □ Will there be retail sales by concessionaires in conjunction with this event? Yes□ No□ How many concessionaires? ______ What types of products will be sold? Will products be given away at the event? Yes□ No□ If yes, describe: NOTE: Vending (i.e., the sale of food, beverages, merchandise and sampling of products) is not permitted in parks or on public streets unless the event is City-sponsored or co-sponsored or City authorization has been obtained. SECTION VIII: Additional Information BUSINESS LICENSE All supply/service providers (i.e. caterer, promoter, security, rental companies, entertainers , etc.) are required to possess or obtain a City of San Pablo Bus iness License. All retail vendors or exhibitors are also required to possess or obtain a City of San Pablo Business license unless exempted under non -profit status. INSURANCE Unless exempted, a certificate of insurance for a minimum of $2,000,000 (two million dollars) general liability per occurrence naming the City of San Pablo and its officials and employees as additional insured may be required from a reliable insurance company authorized to do business in the state . Proof of insurance shall be submitted to the City prior to issuance of the permit. Some events may require auto, liquor, participant, or garage keeper’s liability and may involve higher limits. Such insurance is provided for the benefit of the city and not as a duty, expressed or implied, to provide insurance protection for spectators or participants. The insurance requirement does not apply to Special Events that involve Expressive Activity which enjoy protection under the United States or California constitutions, provided that the permittee agrees to defend and indemnify the City as set forth below. A claim for exemption under this section shall be filed with and at the same time as an application for a permit. The City may require such proof and documentation as reasonably necessary to verify the constitutionally protected status of the special event. Describe insurance and/or surety bond coverage: Page8 of 9 APPEALS PROCESS Any applicant may appeal any decision, condition, fees or charges by filing a written notice with the City Manager via the City Clerk’s office within five (5) business days of the decision and needs to contain the name, address, phone number of applicant with a detailed description of the specific action or grounds to be reviewed. The City Manager will have one (1) business day to respond in writing and in a case of “expressive activity” may consult with the City Attorney. The City Manager’s decision may be appealed in writing to the City Council via the City Clerk within five (5) business days and shall include the same information as the original appeal. Any appeals not filed within the listed tim e frames will not be considered. Failure to file an appeal constitutes a failure to exhaust administrative remedies unless the applicant can establish by a preponderance of the evidence that due to timeliness or other circumstances recognized by law the filing of such appeal would be futile. INDEMNIFICATION = By signing below, the permittee expressly agrees to defend, protect, indemnify and hold the City, its officers, employees and agents free and harmless from and against any and all claims, damages, expenses, loss or liability of any kind or nature whatsoever arising out of, or resulting from, the alleged acts or omissions of permittee, its officers, agents or employees in connection with the permitted event or activity. The permittee shall, at permittee's own cost, risk and expense, defend any and all claims or legal actions that may be commenced or filed against the city, its officers, agents, or employees, and sha ll pay any settlement entered into and shall satisfy any judgment that may be rendered against the City, its officers, agents or employees as a result of the alleged acts or omissions of permittee or permittee's officers, agents or employees in connection with the uses, events or activities under the permit. This shall not be construed so as to require a permittee to indemnify the City for any damage or harm caused by the City itself or by third parties outside the control of the permittee, or for losses to the City occasioned by the reaction to the permittee’s expressive activity. SERVICE CHARGES Pre-payment is required of traffic control and related costs, including the salaries and benefits of City personnel involved in traffic control, fire safety, or other facility or event support, the use of City equipment, clean-up costs, and other non-personnel expenses. Upon approval of an application for a special event permit, the Chief of Police shall provide the permittee with a statement of the estimated cost of such expenses. The permittee will be required to pre-pay prior to the issuance of the Special Event permit unless the Chief of Police, for good cause, extends time for payment, or, if the applicant appeals the required payment, the City Council in i ts discretion finds that a public purpose supports the City funding, partially funding or waiving such fees. In making this determination the City Council shall apply the factors set forth in SPMC §9.24.160. SECTION IX: Certification and Receipt I certify that I will fully comply with the City of San Pablo Special Events Ordinance and with the all specific conditions and general guidelines of the Special Event Permit. I certify and agree that I and my organization will be financially responsible for City fees and costs that may be incurred as a result of the event as set forth in SPMC §9.24.110. I declare under penalty of perjury that the foregoing is true and correct to the best of my knowledge. Submitted by _____________________________ Title ________________________ (Please print) Signature ________________________________ Date________________________ Page9 of 9 FOR STAFF USE ONLY The application fee shall be waived as to an applicant who qualifies as an indigent natural person, who is eligible for county relief and support under the California Welfare and Institutions Code, and who seeks to exercise First Amendment rights by applying for a special events permit for expressive activity under this chapter. APPLICATION FEE PAYMENT METHOD Amount enclosed $_____________ □ Check or Money Order (Payable to: City of San Pablo) □ Visa □ MasterCard #___________________________________ Exp. Date __________ Name on card (please print): ___________________________________________________________________________ Billing address of credit card: ___________________________________________________________________________ Signature:_________________________________________Date______________________ RECOMMENDATION(S): APPROVE and AUTHORIZE the Health Services Director, or designee, to execute a one-day use permit with the City of San Pablo for the use of Chattleton Lane, the street behind the San Pablo Library, for a community health, wellness and resource fair on June 10, 2023. FISCAL IMPACT: There is no fiscal impact for this action. BACKGROUND: The Contra Costa Health (CCH) Ambassador team is holding a community health, wellness and resource fair in San Pablo on June 10, 2023. The community event led by CCH in partnership with the San Pablo Library will be held on June 10, 2023 from 11 am – 3 pm. The City of San Pablo will need to close Chattleton Lane, which is the street behind the San Pablo Library, to hold the event. The closure requires the County to execute a special event permit application which includes indemnification language agreeing to defend, protect, indemnify and hold the City, its officers, employees and agents free and harmless from and against any and all claims, damages, expenses, loss or liability of any kind. The permittee shall, at permittee’s own cost, risk and expense, defend any and all claims or legal actions in connection with the event under the permit. APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 05/16/2023 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Diane Burgis, District III Supervisor Ken Carlson, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Ernesto De La Torre, (925) 839-0150 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: May 16, 2023 Monica Nino, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: C. 48 To:Board of Supervisors From:Anna Roth, Health Services Director Date:May 16, 2023 Contra Costa County Subject:Permit Application with the City of San Pablo for June 10, 2023 Community Health, Wellness, and Resource Fair CONSEQUENCE OF NEGATIVE ACTION: If this action is not approved, the Department will not have authorization to obtain a special event permit with the City of San Pablo to close Chattleton Lane, behind the San Pablo Library, for the Community Health, Wellness, and Resource Fair. ATTACHMENTS Permit Application