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HomeMy WebLinkAbout2021-10-27 e-packet@6:00Wednesday, October 27, 2021 6:00 PM City of South San Francisco P.O. Box 711 South San Francisco, CA Municipal Services Building, Council Chambers 33 Arroyo Drive, South San Francisco, CA City Council Regular Meeting Agenda HYBRID IN-PERSON/VIRTUAL MEETING 1 October 27, 2021City Council Regular Meeting Agenda HYBRID IN-PERSON/VIRTUAL MEETING NOTICE The purpose of conducting the meeting as described in this notice is to provide the safest environment for staff and the public while allowing for public participation. Councilmembers Coleman, Flores and Nicolas, Vice Mayor Nagales and Mayor Addiego and essential City staff may participate via Teleconference. Pursuant to Ralph M. Brown Act, Government Code Section 54953, all votes shall be by roll call due to council members participating by teleconference. This meeting will be conducted pursuant to the provisions of the Governor ’s Executive Orders N-29-20, N-63-20 and N-08-21 allowing for deviation of Teleconference Rules required by the Brown Act & pursuant to the order of San Mateo County Department of Public Health regarding gatherings during the coronavirus (COVID-19) outbreak, and recommendations to follow social distancing procedures, the City of South San Francisco will hold the meeting through a hybrid of in -person attendance with the City Council, designated staff, and limited members of the public at the City Council Chambers and through the virtual platform, Zoom . In-person attendance by members of the public will be subject to maximum capacity and current health and safety protocols. American Disability Act: The City Clerk will provide materials in appropriate alternative formats to comply with the Americans with Disabilities Act. Please send a written request to City Clerk Rosa Govea Acosta at 400 Grand Avenue, South San Francisco, CA 94080, or email at all-cc@ssf.net. Include your name, address, phone number, a brief description of the requested materials, and preferred alternative format service at least 72-hours before the meeting. Accommodations: Individuals who require special assistance of a disability -related modification or accommodation to participate in the meeting, including Interpretation Services, should contact the Office of the City Clerk by email at all-cc@ssf.net, 72-hours before the meeting. Notification in advance of the meeting will enable the City of South San Francisco to make reasonable arrangements to ensure accessibility to the meeting. Page 2 City of South San Francisco Printed on 1/26/2022 2 October 27, 2021City Council Regular Meeting Agenda ZOOM LINK BELOW -NO REGISTRATION REQUIRED Join Zoom meeting https://ssf-net.zoom.us/j/83928932502 (Enter your email and name) Join by One Tap Mobile : US: +16699006833,,83928932502# or +12532158782,,83928932502# Join by Telephone: Dial (for higher quality, dial a number based on your current location): US: +1 346 248 7799 or +1 669 900 6833 or 833 548 0276 (Toll Free) Webinar ID: 839 2893 2502 How to observe the Meeting (no public comment): 1) Local cable channel: Astound, Channel 26 or Comcast, Channel 27 2) https://www.ssf.net/government/city-council/video-streaming-city-and-council-meetings/city-council How to submit written Public Comment before the City Council Meeting: Use the eComment portal by clicking on the following link: https://ci-ssf-ca.granicusideas.com/meetings or by visiting the City Council meeting's agenda page. eComments are also directly sent to the iLegislate application used by City Council and staff. How to provide Public Comment during the City Council Meeting: 1) By Phone: (669) 900-6833. Webinar ID is 839 2893 2502. Click *9 to raise a hand to speak. Click *6 to unmute when called. By One tap mobile: US: +16699006833,,83928932502# or +12532158782,,83928932502# 2) Online at: https://ssf-net.zoom.us/j/83928932502 a. Enter an email address and name. The name will be visible online and will be used to notify you that it is your turn to speak. b. When the Clerk calls for the item on which you wish to speak, click on "raise hand." Speakers will be notified shortly before they are called to speak. c. When called, please limit your remarks to the time limit allotted. IN-PERSON: Please complete a Digital Speaker Card located at the entrance to the Council Chamber ’s. Be sure to indicate the Agenda Item # you wish to address or the topic of your public comment. When your name is called, please come to the podium, state your name and address (optional) for the Minutes. COMMENTS ARE LIMITED TO THREE (3) MINUTES PER SPEAKER. Thank you for your cooperation. Page 3 City of South San Francisco Printed on 1/26/2022 3 October 27, 2021City Council Regular Meeting Agenda PEOPLE OF SOUTH SAN FRANCISCO The City Council's regular meetings are held on the second and fourth Wednesday of each month at 6:00 p.m. MARK ADDIEGO, Mayor (At-Large) MARK NAGALES, Vice Mayor (District 2) BUENAFLOR NICOLAS, Councilmember (At-Large) JAMES COLEMAN, Councilmember (District 4) EDDIE FLORES, Councilmember (At-Large) ROSA GOVEA ACOSTA, City Clerk FRANK RISSO, City Treasurer MIKE FUTRELL, City Manager SKY WOODRUFF, City Attorney In accordance with California Government Code Section 54957.5, any writing or document that is a public record, relates to an open session agenda item, and is distributed less than 72 hours prior to a regular meeting will be made available for public inspection in the City Clerk’s Office located at City Hall. If, however, the document or writing is not distributed until the regular meeting to which it relates, then the document or writing will be made available to the public at the location of the meeting, as listed on this agenda. The address of City Hall is 400 Grand Avenue, South San Francisco, California 94080. Page 4 City of South San Francisco Printed on 1/26/2022 4 October 27, 2021City Council Regular Meeting Agenda CALL TO ORDER ROLL CALL PLEDGE OF ALLEGIANCE AGENDA REVIEW ANNOUNCEMENTS FROM STAFF PRESENTATIONS Presentation of the League of California Cities’ Helen Putnam Award for Excellence in Planning and Environmental Quality to the City of South San Francisco Parks and Recreation Department for environmental conservation programs in Sign Hill Park. (Greg Mediati, Deputy Director of Parks and Recreation and Seth Miller, Peninsula Division Regional Manager of League of California Cities) 1. Reimagine SamTrans Project Recommended Network Presentation and report regarding potential direction to the City Manager to send a comment letter to the San Mateo County Transit District. (Jessica Epstein, Presenter for SamTrans and Christopher Espiritu, Senior Transportation Planner) 2. PUBLIC COMMENTS Submitted Public Comments Comments received by the deadline will be included as part of the meeting record but will not be read aloud during the meeting. The Public Comment portion of the meeting is reserved for persons wishing to address the Council on any matter NOT on the agenda. Comments on agenda items will be taken when that item is called. If joining the conference by phone you may raise your hand by dialing *9 and *6 to unmute. State law prevents Council from responding to public comments or taking action on matters not on the agenda . The Council may refer comments to staff for follow -up. Speakers are limited to three minutes. If there appears to be a large number of speakers, the Mayor may reduce speaking time to limit the total amount of time for public comments (Gov. Code sec. 54954.3.(b)(1).). Speakers that are not in compliance with the City Council's rules of decorum will be muted. COUNCIL COMMENTS/REQUESTS Page 5 City of South San Francisco Printed on 1/26/2022 5 October 27, 2021City Council Regular Meeting Agenda CONSENT CALENDAR Motion to approve the Minutes for the meetings of September 8, 2021 and September 14, 2021. 3. Report regarding a resolution accepting $125,000 from the State of California, Office of Traffic Safety for the “Selective Traffic Enforcement Program” (STEP) to be used for personnel overtime, equipment, and training expenses and amend the Police Department’s Operating Budget for Fiscal Year 2021-2022 by approving Budget Amendment 22.021. (Jeff Azzopardi, Police Chief) 4. Resolution accepting $125,000 from the State of California, Office of Traffic Safety for the “Selective Traffic Enforcement Program” to pay for personnel overtime, equipment, and training expenses and to amend the Police Department’s Operating Budget for Fiscal Year 2021-2022 by approving Budget Amendment 22.021. 4a. Report regarding a resolution authorizing the acceptance of $5,200 in grant funding from Pacific Library Partnership to fund the development and distribution of activity kits for adults with special needs and developmental disabilities and their caregivers through the Library Department and approving Budget Amendment 22.022 increasing the Library Department’s Fiscal Year 2021-2022 Operating Budget. (Valerie Sommer, Library Director) 5. Resolution authorizing the acceptance of $5,200 in grant funding from Pacific Library Partnership to fund the development and distribution of activity kits for adults with special needs and developmental disabilities and their caregivers through the Library Department and approving Budget Amendment 22.022 increasing the Library Department’s Fiscal Year 2021-2022 Operating Budget. 5a. Report regarding a resolution determining the continued existence of an emergency and the need to continue emergency repairs in response to the Sign Hill Diamond Fire. (Greg Mediati, Deputy Director of Parks and Recreation) 6. Resolution determining the continued existence of an emergency and authorizing procurement for emergency remediation work relating to fire damage on Sign Hill in South San Francisco. 6a. Report regarding a resolution approving the City Council’s response to the San Mateo County Civil Grand Jury Report, dated July 27, 2021, entitled “Building Greater Trust between the Community & law Enforcement via the Racial and Identity Profiling Act” and authorizing the City Manager to send the response letter on behalf of the City Council. (Jeff Azzopardi, Police Chief) 7. Page 6 City of South San Francisco Printed on 1/26/2022 6 October 27, 2021City Council Regular Meeting Agenda Resolution approving the City Council’s response to the San Mateo County Civil Grand Jury Report, dated July 27, 2021, entitled “Building Greater Trust between the Community & Law Enforcement via the Racial and Identity Profiling Act”, and authorizing the City Manager to send the response letter on behalf of the City Council. 7a. Report regarding a resolution to continue conducting City Council and advisory body meetings remotely due to health and safety concerns for the public and making related findings (Sky Woodruff, City Attorney) 8. Resolution of the City Council of the City of South San Francisco declaring the continuing need for the City Council and advisory bodies to be able to meet remotely in order to ensure the health and safety of the public and making related findings. 8a. LEGISLATIVE BUSINESS Report regarding an ordinance amending Chapters 8.16 and 8.28, and adding Chapter 8.27 Mandatory Organic Waste Disposal Reduction, to the South San Francisco Municipal Code relating to organic waste disposal and related regulations pursuant to Senate Bill 1383, adoption of a resolution approving a Memorandum of Understanding with the County of San Mateo to establish an Edible Food Recovery Program consistent with California Code of Regulations, Title 14, Division 7, Chapter 12 (Short-Lived Climate Pollutants), and adoption of a resolution approving the City of South San Francisco’s Recovered Organic Waste Product Procurement Policy. (Marissa Garren, Management Analyst I) 9. Ordinance amending Chapters 8.16 and 8.28, and adding Chapter 8.27 Mandatory Organic Waste Disposal Reduction, of Title 8 of the South San Francisco Municipal Code relating to organic waste disposal and related regulations pursuant to Senate Bill 1383. 9a. Resolution approving a Memorandum of Understanding with the County of San Mateo to establish an Edible Food Recovery Program consistent with California Code of Regulations, Title 14, Division 7, Chapter 12 (Short-Lived Climate Pollutants) 9b. Resolution approving the City of South San Francisco’s Recovered Organic Waste Product Procurement Policy 9c. ADMINISTRATIVE BUSINESS Page 7 City of South San Francisco Printed on 1/26/2022 7 October 27, 2021City Council Regular Meeting Agenda Report regarding a resolution authorizing the City Manager to execute a Purchase and Sale Agreement with Ensemble Investments, LLC for the disposition of a City-owned property located at 367 Marina Boulevard (APN 015-010-970) in the amount of $1,000,000 for a hotel development. (Ernesto Lucero, Economic Development Coordinator). 10. Resolution authorizing the City Manager to execute a Purchase and Sale Agreement with Ensemble Investments, LLC for the disposition of a city-owned property located at 367 Marina Boulevard (APN 015-010-970) in the amount of $1,000,000 for a hotel development. 10a. ITEMS FROM COUNCIL – COMMITTEE REPORTS AND ANNOUNCEMENTS ADJOURNMENT Page 8 City of South San Francisco Printed on 1/26/2022 8 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-752 Agenda Date:10/27/2021 Version:1 Item #:1. Presentation of the League of California Cities’Helen Putnam Award for Excellence in Planning and Environmental Quality to the City of South San Francisco Parks and Recreation Department for environmental conservation programs in Sign Hill Park.(Greg Mediati,Deputy Director of Parks and Recreation and Seth Miller, Peninsula Division Regional Manager of League of California Cities) City of South San Francisco Printed on 10/22/2021Page 1 of 1 powered by Legistar™9 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-757 Agenda Date:10/27/2021 Version:1 Item #:2. Reimagine SamTrans Project Recommended Network Presentation and report regarding potential direction to the City Manager to send a comment letter to the San Mateo County Transit District.(Jessica Epstein, Presenter for SamTrans and Christopher Espiritu, Senior Transportation Planner) RECOMMENDATION Staff recommends that the City Council consider the recommended network and authorize the City Manager to submit a letter reflecting the views of City Council concerning the recommended network proposed under the Reimagine SamTrans project BACKGROUND/DISCUSSION The San Mateo County Transit District (SamTrans)is going through a planning process to adjust its bus routes and service throughout the County.This process is called the Reimagine SamTrans Project.SamTrans has presented the various alternatives to the City Council for feedback,narrowed the options based on Countywide feedback, and is now presenting the recommended network for comments. The following provides background information and staff analysis of the recommended network as available from SamTrans Staff.Attachment A includes information from SamTrans documenting the project outreach process and specific descriptions for service changes in South San Francisco under the Reimagine SamTrans Project.Attachment B provides the June 11,2021,comment letter submitted by the City of South San Francisco to SamTrans regarding support for the Reimagine SamTrans project and suggestions for bus service improvements in the City. During the May 26,2021,City Council meeting,SamTrans staff provided a presentation of potential systemwide changes being analyzed under the Reimagine SamTrans project.City Council and Staff communicated supported for the overall project to optimize the bus service system throughout the county.More specifically,City Council supported the potential for new bus services to be established in the East of 101 area (Route 126 and Route 130 extension). Route 126 (Alternative 2) Route 126,as previously described under Alternative 2,would establish a new bus route connecting South San Francisco BART to Oyster Point Marina and provide improved job access to jobs and provide service to the neighborhoods along Sister Cities Boulevard,Hillside Boulevard,and Chestnut Avenue.The City maintains its most vocal support for the proposed Route 126,which would provide frequent bus service (every 15 minutes during the weekdays and every 30 minutes during weekends)from the South San Francisco BART to the East of 101 area via Hillside. City of South San Francisco Printed on 10/22/2021Page 1 of 3 powered by Legistar™10 File #:21-757 Agenda Date:10/27/2021 Version:1 Item #:2. Route 130 (Alternative 2) Route 130,also under Alternative 2,would extend existing service coverage of the route to include East Grand Avenue and DNA Way in the East of 101 (Genentech Campuses).This route extension would effectively provide direct access for neighborhoods around the Downtown area to the East of 101.Also,this route extension would provide new connections to the South San Francisco Caltrain Station and provide the necessary links for riders to seamlessly move across transit providers and connect to greater jobs in the East of 101 and the county. Staff Analysis of the Recommended Network Consistent with the summer 2021 outreach by SamTrans to the City,the recommended network is a combination of elements from the three alternatives previously presented.The recommended network keeps the following goals for SamTrans service throughout San Mateo County:1)emphasizes direct,high frequency access to places within the county;2)improve connections to rail and the county;and 3)retain geographic coverage of service within the county. Route 130 (Recommended Network) For the City of South San Francisco,the recommended network retains the existing coverage of Route 130, expands weekend service,and adds earlier and later service schedules.In addition,Route 130 would include an extension of the route into the East of 101 area,specifically Oyster Point.Service would run daily every 15 minutes during the weekday AM and PM peak commute periods (6:00-9:00 am and 3:00-7:00 pm)and midday commute, and every 30 minutes during evening commute (7:00 pm-12:00 am). While the increased geographic coverage of the existing route,along with frequency and extended service hours provide welcomed benefits for the City,this would not provide the same benefits as the previously proposed Route 126, due to the lengthy and circuitous route of the bus line from Daly City BART. In addition,based on feedback from residents around the Downtown area,the City received firm community opposition to the proposed elimination of a portion of Route 130,along Linden Avenue.This is due to the lack of available alternatives for bus service connections used by the most vulnerable residents of the City. Route 292 (Recommended Network) During the spring/summer outreach,the City and community groups expressed concern regarding the elimination of specific routes of concern,such as Route 292.In the recommended network Route 292 would continue as currently designed, providing service into San Francisco with no reduction in service or frequency. ECR (Recommended Network) Intra-city bus service,such as Route ECR would retain existing coverage and increase weekend service to every 15 minutes.The entire route would undergo a stop consolidation to increase travel times and route efficiency,however a subsequent ‘ECR Bus Speed and Reliability Study’would determine where consolidated City of South San Francisco Printed on 10/22/2021Page 2 of 3 powered by Legistar™11 File #:21-757 Agenda Date:10/27/2021 Version:1 Item #:2. stops would occur. Project Timeline ·October 2021 (Current Phase): Public Outreach on Recommended Network. ·Winter 2021/early 2022: SamTrans Board adopts the new bus system. ·Summer 2022: Implementation of the new bus system. STRATEGIC PLAN The alternatives proposed under the Reimagine SamTrans project helps achieve the following goals/objectives of the City’s Strategic Plan: ·Priority #2 Quality of Life -Multimodal Transportation Options and Pursue new shuttle routes and “last mile” solutions FISCAL IMPACT No fiscal impact on the General Fund have been identified as this project is a preliminary planning study at the County level. CONCLUSION Staff recommends that the City Council consider the recommended network and authorize the City Manager to submit a comment letter to the SamTrans Board of Directors regarding the Reimagine SamTrans project. Attachments: 1.SamTrans Presentation - Recommended Network 2.City of South San Francisco Comment Letter dated June 11, 2021 City of South San Francisco Printed on 10/22/2021Page 3 of 3 powered by Legistar™12 Reimagine SamTrans: The Recommended New Network City of South San Francisco City Council Meeting October 27, 2021 13 Agenda Project Background and Timeline Quick Refresh: Three Alternatives –Phase 2 public input received The Recommended Network –Guiding principles –Overall highlights –Changes in South San Francisco Looking Ahead –Phase 3 outreach –Implementation needs Questions and Discussion2 14 Project Timeline 3 We’re here 15 QUICK REFRESH: THREE ALTERNATIVES Overview of themes Phase 2: public input received 4 16 Phase 2 Outreach –Spring 2021 4 multilingual public meetings 21 community pop-up events 40 presentations to stakeholders, city staff and elected officials 5 meetings with SamTrans advisory groups 10 events with bus operators 4 community organization (CBO) partnerships 5 17 What Were the Themes of the Three Alternatives? Alternative 1: Emphasize direct, high frequency access to places within the county Alternative 2: Improve connections to rail and the region Alternative 3: Retain coverage of service within the county6 Respondents First Choice Network 18 What We Heard from SSF 7 Keep the Route 292 the way it is. Avoid Reducing School Focused Routes Increased connections to SSF Caltrain. Service to jobs East of 101. Later in the day service. Support BRT along ECR. Maintain service on Grand Ave. & Linden Ave. 19 CREATING THE NEW NETWORK Highlights of the new network 8 20 How we created this new network 9 Ridership and Productivity Equity Need Analysis Guiding Principles Market Research Market Analysis Community Engagement 21 The Recommended Network 10 22 Service Changes in SSF 11 Recommended to Operate in SF as a limited stop service. Stops along Mission St. and Potrero Ave. will use the same stops as the FCX. Service to Millbrae Station added to the route. Frequency and hours of operation stay the same. 23 12 Service Changes in SSF Shorten route to end at Daly City BART. Concurrent with extension of Route 120 to cover service removed. Extension of route to cover portions of the Rt. 141 Increased weekend frequency. Extended hours of Operation during the weekend. 24 13 Service Changes in SSF Shorten route to end at Daly City BART Remove service from Grand Ave. to Linden. (Service covered by Rt. 121) Extend service to Oyster Point. To/From SSF Caltrain and BART Stations Increased frequency on weekends. Extended hours of operation. 25 14 Service Changes in SSF Decreased frequency, concurrent with increase in frequency on the route 121. Service shortened to Tanforan, concurrent with extension of route 121. 26 15 Extension of route to Mission Hills Park concurrent with shortening of route 121 Improved frequency on weekends. No change to route is recommended. Service Changes in SSF 27 Service Changes in SSF 16 Increased Service- More frequent service. 28 17 Service Changes in SSF New Route offering service between Daly City BART and Skyline College. Includes express service from Callan Blvd. to Daly City BART. Proposed to operate every 30 minutes, Weekdays, 6:30 AM to 10:00 PM Route will serve Serramonte. 29 18 Service Changes in SSF Rt. 39 riders will not see a change in travel time. Some Rt. 37 riders will experience a 10 minute longer ride. Riders on W. Orange will need to walk to either W. Orange & Fairway Dr. or to Camaritas Ave. & Arroyo Dr. Routes both servce Alta Loma MS. 30 Summary Service Changes in SSF Service enhancements: More frequent service on route ECR. Route 292 extended to Millbrae Station. Route 121 service extended covering areas reduced from Route 141. Service frequency and hours of operation increased. Route 120 streamlining of route and increased frequency on the weekends. Route 130 extension to Oyster Point. Increase in frequency and extended hours of service. New Route 124 between Daly City BART and Skyline College. Service reallocation: Route 130 shorten route to end at Daly City Bart and Route 141 shortened to end at Tanforan. & decrease in service frequency from 30 minutes to 1 hour. Consolidation of route 37 & 39 to Alta Loma MS. 19 31 LOOKING AHEAD 20 Phase 3 outreach Adoption of new network Preparing for implementation 32 Phase 3 Outreach Phase 3 outreach will run October 7 –November 8, 2021 Detailed maps, description of proposed changes by route will be available at www.reimaginesamtrans.com Leave your comments on the recommended route changes on www.reimaginesamtrans.com by November 8 21 33 Virtual Public Meetings –On Zoom Mid County Meeting -Wednesday, October 13 -5:30PM -6:30 PM (Burlingame, San Mateo, Foster City, Belmont, San Carlos, Redwood City) North County Meeting -Tuesday, October 19 -5:30PM -6:30 PM (Daly City, Colma, Brisbane, South San Francisco, San Bruno, Millbrae) South County Meeting -Thursday, October 21 -5:30PM -6:30 PM (Redwood City, Menlo Park, East Palo Alto, Atherton, Portola Valley, Woodside and unincorporated area of North Fair Oaks) Coastside Meeting -Thursday, October 28 -5:30PM -6:30 PM (Pacifica, Montara, Moss Beach, Half Moon Bay, Pescadero) 22 34 Implement in Phases Strategically align changes, avoid gaps in service –Phase 1: August 2022 –implement initial network changes, no growth in service and workforce –Phase 2: Jan 2023 and beyond –implement additional service as bus operators are recruited and trained Overall implementation goal: align service with workforce levels to avoid cancelled trips and maintain reliability 23 35 Implementation Needs in SSF Oyster Point:The redesigned Route 130 will travel into Oyster Point via Gateway Blvd (between E Grand & Oyster Point) and Oyster Point Blvd (between Gateway to the Marina). Multiple bus stops will be needed to serve the area (approximately nine (9) bus stops, or five (5) for each direction and one (1) at the Marina at Oyster Point Park as a terminus.Layover space and access to facilities (bathrooms) would be needed as well. Linden Avenue:A new bus stop is needed where our buses currently layover (between Armour Ave.and Airport Blvd.), for the redesigned Route 121. It will be used primarily as the terminus for the route. 24 36 Questions and Discussion 25 37 38 39 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-817 Agenda Date:10/27/2021 Version:1 Item #: Submitted Public Comments City of South San Francisco Printed on 10/27/2021Page 1 of 1 powered by Legistar™40 Agenda Item 2. 21-757 Reimagine SamTrans Project Recommended Network Presentation and report regarding potential direction to the City Manager to send a comment letter to the San Mateo County Transit District. (Jessica Epstein, Presenter for SamTrans and Christopher Espiritu, Senior Transportation Planner) Legislation Text Reimagine SamTrans - The DRAFT Preferred SamTrans Network - added 8-20-2021, 2Reimagine SamTrans - City of SSF 6.11.21 1 Public Comment Cory David at October 27, 2021 at 3:19pm PDT Neutral How I and my fellow residents tire of our city government's rhetorical question about how to deal with the problem of the lack of affordable housing. You already know the answer as it is you, our salaried and elected officials, who recklessly created the problem by arbitrarily inviting to the city industrial expansion and an associated workforce that we can not possibly house. In so doing you have saddled the city with RHNA numbers we can not possibly satisfy. Your solution? Develop every square inch in the city no matter the impact on the quality of life of existing residents. If the land is idle, bulldoze it. If the city owns it, sell it. If that's not enough, encourage higher density housing in single family home neighborhoods. For what? I hear the term impact fees a lot and how they improve the quality of life in the city but by whose measure? While city officials make that determination, it is not their right but the right of the residents to make that determination. We decide whether the positives outweigh the negatives. I am by no means certain why development in this city is on steroids but have a pretty good idea. Believe it or not, some of us actually know whose help we might solicit to find the answer. In the meantime, stop insulting the residents of South San Francisco with your faux concerns. We have a housing problem and our city government is directly responsible for it. 41 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-799 Agenda Date:10/27/2021 Version:1 Item #:3. Motion to approve the Minutes for the meetings of September 8, 2021 and September 14, 2021. City of South San Francisco Printed on 1/26/2022Page 1 of 1 powered by Legistar™42 CALL TO ORDER Mayor Addiego called the meeting to order at 6:00 p.m. ROLL CALL Councilmember Coleman, present in Council Chambers Councilmember Flores, present in Council Chambers Councilmember Nicolas, present in Council Chambers Vice Mayor Nagales, present in Council Chambers Mayor Addiego, present in Council Chambers PLEDGE OF ALLEGIANCE Nita Baxter led the Pledge of Allegiance. AGENDA REVIEW None. ANNOUNCEMENTS FROM STAFF None. PRESENTATIONS 1. Proclamation recognizing September as Childhood Cancer Awareness Month. (Mark Addiego, Mayor) Mayor Addiego read into the record and presented the proclamation recognizing September as Childhood Cancer Awareness month to Jesus Peña, father of Juliana, 33-month-old, who lost her life to cancer. Mr. Peña expressed his appreciation to the City Council for its support and recognition of Childhood Cancer Awareness Month. He encouraged the community to advocate for additional government funding for childhood cancer treatment. MINUTES REGULAR MEETING CITY COUNCIL CITY OF SOUTH SAN FRANCISCO WEDNESDAY, SEPTEMBER 8, 2021 6:00 p.m. Hybrid In-Person/Virtual Meeting City Council conducted this meeting in-person and remotely via the ZOOM virtual meeting platform in accordance with California Governor Newsom’s Executive Orders N-29-20, N-63-20, N-08-21, and COVID-19 pandemic protocols. 43 REGULAR CITY COUNCIL MEETING SEPTEMBER 8, 2021 MINUTES PAGE 2 2. Certificate Recognizing Mater Dolorosa Catholic Parish’s 60th Anniversary, September 15, 1961-2021. (Mark Addiego, Mayor) Councilmember Nicolas read into the record and presented the certificate recognizing Mater Dolorosa Catholic Parish’s 60th Anniversary to Father De la Rosa. Father De la Rosa thanked the Council for their recognition of the parish community. 3. Proclamation Recognizing September as National Prostate Cancer Awareness Month. (Mark Addiego, Mayor) Councilmember Coleman read into the record a proclamation recognizing September as National Prostate Cancer Awareness month, indicating Dr. Chauser, Seton Medical Center, was unable to attend the meeting but would receive the proclamation in the mail. Meeting recessed: 6:13 p.m. Meeting resumed: 6:16 p.m. 4. Proclamation Recognizing National Hispanic Heritage Month September 15, 2021 – October 15, 2021. (Eddie Flores, Councilmember) Councilmember Flores read into the record a proclamation recognizing National Hispanic Heritage Month in both English and Spanish. Martin Cruz Barajas, Artistic Director and Co- Founder of Ballet Folklorico Alma de Mexico, accepted the proclamation on behalf of the Latino community and thanked the Council for its support and recognition. Councilmember Flores invited the community to join him on Thursday, September 16, 2021, at 6:00 p.m. for the flag-raising ceremony celebrating Hispanic Heritage month at City Hall. 5. Presentation by Renaissance Entrepreneurship Center and JobTrain on Small Business and Workforce Development Services. (Ernesto Lucero, Economic Development Coordinator) Ernesto Lucero, Economic Development Coordinator, introduced Amanda Anthony, North County Business Resource Center – Renaissance, who provided an overview of the services available to the community and invited the community to a Renaissance Centennial Pop-up event on September 25, 2021, from 12 - 5:00 p.m. Julia Horiuchi, JobTrain, provided an overview of their services. PUBLIC COMMENTS None. COUNCIL COMMENTS/REQUESTS Vice Mayor Nagales expressed his gratitude for the tree lighting event raising awareness of childhood cancer. He invited the community to participate in the September 14, 2021, Gubernatorial Recall election and submit a vote in person, by mail, or at a drop-off location. He requested information on the current construction on Westborough Boulevard. Public Works Director Eugene Kim discussed the ongoing fiber optic project and noted that staff continued to work with contractors to adjust construction during school hours. 44 REGULAR CITY COUNCIL MEETING SEPTEMBER 8, 2021 MINUTES PAGE 3 Councilmember Nicolas thanked Mayor Addiego for hosting the tree lighting ceremony. She invited the community to participate and receive the FDA- approved COVID-19 vaccine. Councilmember Coleman invited the community to participate in the election and explained voter registration. He requested the Council considers approving a non-profit center to provide resources to the community. Councilmember Flores invited the community to take advantage of ongoing resources for families in need. He reminded residents of the opportunity to obtain clean air purifiers through the South San Francisco Clean Air @ Home (CAH). Mayor Addiego acknowledged the tragedy of 9/11 and informed the community that the Veterans' and First Responders BBQ, hosted by the Peninsula Special Interest Lion Club for Sunday, September 12, 2021, was canceled due to the rise of COVID-19 cases. At the request of City Clerk Govea Acosta, the meeting was adjourned in memory of Cesar Valadez, a South San Francisco resident. CONSENT CALENDAR The City Clerk duly read the Consent Calendar, after which Council voted and engaged in discussion of specific item as follows. The following individuals provided virtual (Zoom) public comments: • Mina Richardson 6. Motion to approve the Minutes for the meetings of July 14, 2021, and July 26, 2021 7. Report regarding Resolution No. 159-2021 determining the continued existence of an emergency and the need to continue emergency repairs in response to the Sign Hill Diamond Fire. (Greg Mediati, Deputy Director of Parks and Recreation) 8. Report regarding Resolution No. 160-2021 authorizing the acceptance of donations, grants, and stipends from various funders totaling $267,026 for Fiscal Year 2021-22 to support Parks and Recreation Department programs and events and amending the Parks and Recreation Department’s Fiscal Year 2021-22 Operating Budget pursuant to budget amendment #22.018. (Greg Mediati, Deputy Director of Parks and Recreation) 9. Report regarding adoption of Ordinance No. 1627-2021 to make California Environmental Quality Act (CEQA) determinations and to adopt a Zoning Text Amendment to prohibit Research & Development uses in the El Camino Real Corridor; modify the definitions of Freight Truck/Warehouse uses to introduce a Parcel Hub definition and where these uses are conditionally permitted or prohibited; and update the Accessory Dwelling Unit performance standards to comply with new State Law changes. (Tony Rozzi, Chief Planner) Item No. 8 - Councilmember Flores noted that he was a member of the Friends of South San Francisco Parks and Recreation but, on the advice of the City Attorney, would not be recusing himself from the motion. Motion — Vice Mayor Nagales/Second – Councilmember Coleman: To approve Consent Calendar items 6, 7, 8 and 9, by roll call vote: AYES: Councilmembers Coleman, Flores, and Nicolas, Vice Mayor Nagales and Mayor Addiego; NAYS: None; ABSENT: None; ABSTAIN: None. 45 REGULAR CITY COUNCIL MEETING SEPTEMBER 8, 2021 MINUTES PAGE 4 ADMINISTRATIVE BUSINESS 10. Report regarding Resolution No. 161-2021 awarding a construction contract to Golden Bay Construction, Inc. of Hayward, California for the 2021 Concrete and Green Infrastructure Project (No. st2203, Bid No. 2653) in an amount not to exceed $986,622, authorizing a total construction contract authority budget of $1,231,622, and authorizing the City Manager to execute the agreement on behalf of the City. (Angel Torres, Senior Civil Engineer) Angel Torres, the Senior Civil Engineer, presented the report and noted that the 2021 Concrete and Green Infrastructure Project would create ADA-compliant concrete curb ramps at about 88 places. Railroad Avenue, First Avenue, Second Avenue, Third Avenue, Fourth Avenue, Orange Avenue, Magnolia Avenue, Pine Terrace, and Maple Avenue have ADA-accessible curb ramps. The concrete upgrade project entails replacing non-ADA compliance concrete curb ramps with ADA compliant curb ramps. Vice Mayor Nagales inquired about the former complaints on curb ramps. Senior Civil Engineer Torres and Director of Public Works Kim explained designs to avoid tripping hazards and modified drain inlets. Councilmember Nicolas inquired about the process of correcting items identified following construction. Senior Civil Engineer Torres explained the project contingency and the need to retain ADA compliance. He explained the 25% contingency amount. Director of Public Works Kim explained the required precise grades and sloped to meet ADA requirements and new green infrastructure increasing the contingency amount. Councilmember Flores thanked staff and inquired about temporary street parking and traffic flow in the vicinity. Senior Civil Engineer Torres explained limited pedestrian access, large equipment, and reduced parking. He stated the contractor was responsible for providing advanced notification and appropriate signage. Councilmember Flores cautioned against reduced parking on Maple Avenue and Pine Terrace. He suggested contacting All Souls School to work on traffic impacts. Mayor Addiego noted the success of the contractor in Sunshine Gardens. He thanked the staff for their work. Motion — Councilmember Nicolas/Second – Vice Mayor Nagales: To approve Resolution No. 161- 2021 awarding a construction contract to Golden Bay Construction, Inc. of Hayward, California for the 2021 Concrete and Green Infrastructure Project (No. st2203, Bid No. 2653) in an amount not to exceed $986,622, authorizing a total construction contract authority budget of $1,231,622, and authorizing the City Manager to execute the agreement on behalf of the City, by roll call vote: AYES: Councilmembers Coleman, Flores, and Nicolas, Vice Mayor Nagales and Mayor Addiego; NAYS: None; ABSENT: None; ABSTAIN: None. 11. Report regarding Resolution No. 162-2021 amending the Parks and Recreation Department’s position budget for Fiscal Year 2021-22. (Greg Mediati, Deputy Director of Parks and Recreation) Deputy Director of Parks and Recreation Mediati presented the report and provided an overview of the staffing for the department. He requested that the City Council amend the Parks and Recreation Department's position budget to include an additional Building Maintenance Stationary Engineer, 46 REGULAR CITY COUNCIL MEETING SEPTEMBER 8, 2021 MINUTES PAGE 5 Recreation and Community Services Supervisor, Lead Park Maintenance Worker, Senior Park Maintenance Worker, and Park Maintenance Worker, as well as an additional Building Maintenance Stationary Engineer, Recreation and Community Services Supervisor, Lead Park Maintenance Worker, Senior Park Maintenance Worker, and Park Maintenance Worker. Vice Mayor Nagales inquired about Department staffing and the staff position paid through Measure W. Deputy Director of Parks and Recreation Mediati explained the capital project management position. Vice Mayor Nagales discussed the need to train staff on building equipment and warrantied repairs. He expressed his support for the childcare coordinator position and requested clarification on the hiring process. City Manager Futrell explained the hiring process and timeline. Director of Capital Projects Gilchrist provided clarification of the proposed position. Motion — Councilmember Flores/Second – Councilmember Nicolas: To approve Resolution No. 162-2021 amending the Parks and Recreation Department’s position budget for Fiscal Year 2021-22, by roll call vote: AYES: Councilmembers Coleman, Flores, and Nicolas, Vice Mayor Nagales and Mayor Addiego; NAYS: None; ABSENT: None; ABSTAIN: None. ITEMS FROM COUNCIL – COMMITTEE REPORTS AND ANNOUNCEMENTS Vice Mayor Nagales informed the community that he would be sworn in as Vice President of the League of California Cities - Peninsula Division during the League of California Cities Annual Conference. CLOSED SESSION Entered Closed Session: 7:20 p.m. Resumed from Closed Session: 8:16 p.m. 12. Conference with Legal Counsel – Anticipated Litigation (Pursuant to Government Code Section 54956.9) Initiation of Litigation: One potential case (Sky Woodruff, City Attorney and Christina Fernandez, Assistant to the City Manager) 13. Conference with Legal Counsel – Anticipated Litigation Significant exposure to litigation pursuant to Government Code Section 54956.9(d)(2): One potential case (Sky Woodruff, City Attorney, Kyle Royer, RTGR Law, and Leah Lockhart, Human Resources Director) Report out of Closed Session by Mayor Addiego: No reportable action. ADJOURNMENT Being no further business Mayor Addiego adjourned the meeting in memory of South San Francisco resident, Cesar Valadez at 8:17 p.m. Respectfully submitted by: Approved by: Rosa Govea Acosta, CMC, CPMC Mark Addiego City Clerk Mayor Approved by the City Council: / / 47 CALL TO ORDER Mayor Addiego called the meeting to order at 6:00 p.m. ROLL CALL Councilmember Coleman, present in Council Chambers Councilmember Flores, present in Council Chambers Councilmember Nicolas, present in Council Chambers Vice Mayor Nagales, present in Council Chambers Mayor Addiego, present in Council Chambers AGENDA REVIEW No changes. COMMUNITY INFORMATION SESSION 1. Community Town Hall Meeting – Police Chief Recruitment (Mike Futrell, City Manager, Leah Lockhart, Human Resources Director, Teri Black and Suzanne Mason, Teri Black, and Company) Human Resources Director Lockhart welcomed the community to the Community Town Hall to discuss the Police Chief Recruitment. She thanked Police Chief Azzopardi for his years of service and noted the importance of his position and community input. She introduced Teri Black, Lead Recruiter at Teri Black & Company, and Suzanne Mason, Senior Recruiter, and provided an overview of the firm's experience in executive recruitment. Lead Recruiter Teri Black provided an overview of the recruitment process and discussed the challenges in recruitment, such as fewer candidates for leadership roles, quality of life considerations, and Bay Area cost of living. Recruitment is scheduled to begin in October 2021. Senior Recruiter Suzanne Mason thanked the participants for attending the event and encouraged the community to participate in an online survey at www.surveymonkey.com/r/693J788 and noted that paper surveys would also be available. Human Resources Director Lockhart indicated that the survey would be open until Wednesday, September 29, 2021. MINUTES SPECIAL MEETING CITY COUNCIL CITY OF SOUTH SAN FRANCISCO TUESDAY, SEPTEMBER 14, 2021 6:00 p.m. Hybrid In-Person/Virtual Meeting City Council conducted this meeting in-person and remotely via the ZOOM virtual meeting platform in accordance with California Governor Newsom’s Executive Orders N-29-20, N-63-20, and N-08-21 and COVID-19 pandemic protocols. 48 SPECIAL CITY COUNCIL MEETING SEPTEMBER 14, 2021 MINUTES PAGE 2 PUBLIC COMMENTS Members of the public were encouraged to participate by submitting a request via the Digital Comment card if attending in person or by raising their hand via Zoom. Speakers were asked to be respectful, focus on qualities and attributes rather than specific individuals, and focus on priorities and important issues for the next Police Chief. The following individuals submitted public comments via eComment: • Guest User • Dolores Piper – South San Francisco resident The following individuals provided in-person public comments: • Maryann – South San Francisco resident • Robert Eastman – Retired Master Sergeant of the South San Francisco Police Department • Richard Garbarino – South San Francisco resident • Patrick Aherne – South San Francisco resident and SMC law enforcement officer • Michael McHenry – South San Francisco resident • Mark Raffaelli – former Police Chief of the South San Francisco Police Department The following individuals provided virtual (Zoom) public comments: • Leslie Fong – South San Francisco resident Human Resources Direct Lockhart thanked the community for attending and clarified that the hiring process of the Police Chief is an internal and confidential process with the City Manager as the final decision maker and appointing authority. ADJOURNMENT Being no further business Mayor Addiego adjourned the meeting at 9:30 p.m. Respectfully submitted by: Approved by: Rosa Govea Acosta, CMC, CPMC Mark Addiego City Clerk Mayor Approved by the City Council: / / 49 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-759 Agenda Date:10/27/2021 Version:1 Item #:4. Report regarding a resolution accepting $125,000 from the State of California,Office of Traffic Safety for the “Selective Traffic Enforcement Program”(STEP)to be used for personnel overtime,equipment,and training expenses and amend the Police Department’s Operating Budget for Fiscal Year 2021-2022 by approving Budget Amendment 22.021. (Jeff Azzopardi, Police Chief) RECOMMENDATION It is recommended that the City Council adopt the attached resolution accepting $125,000 from the State of California,Office of Traffic Safety (OTS)for the “Selective Traffic Enforcement Program (STEP)”to be used for personnel overtime,equipment,and training expenses and amend the Police Department’s operating budget for Fiscal Year 2021-2022. BACKGROUND/DISCUSSION In January 2021,the Police Department submitted a grant application to the State of California Office of Traffic Safety (OTS)for funding of personnel overtime,equipment,and training expenses for the Selective Traffic Enforcement Program (STEP).The grant is administered by OTS with funding provided by the National Highway Safety Administration (NHTSA).This program will supplement normal police staffing for traffic safety and enforcement efforts. The goal of the grant is to reduce the number of persons killed or injured in traffic collisions through the use of the specific overtime-funded traffic enforcement directed at the following unsafe driving behaviors:driving under the influence (DUI),speeding,red light running,traffic violations in and around high-collision-rate intersections,traffic violations related to motorcycle safety,seat belt violations,child-seat restraint violations, distracted driving, and repeat DUI offenders with suspended licenses. The grant application was approved by OTS in August 2021 and the Police Department was awarded a grant for $125,000.The operating period on the grant is from October 1,2021 through September 30,2022 (federal fiscal year). This is the Police Department’s fourteenth year partnering with OTS to address traffic safety issues via grant funding.During this fourteen-year period,the Police Department has received over $1.67 million in grant funding through OTS.As a direct result of this funding,the Police Department has made 182 DUI arrests,132 criminal arrests,issued almost 5,000 speeding citations,issued citations to 252 drivers with suspended drivers licenses,and cited 740 unlicensed drivers.When comparing the years before receiving OTS grant funding to the years after receiving the funding,the City realized a 39%decrease in fatal traffic collisions,a 19%decrease in alcohol-involved injury traffic collisions, and a 43% decrease in speed-caused injury traffic collisions. Of the $125,000 overall grant funding,$116,800 will pay for overtime salaries for Police Officers to conduct specialized traffic safety enforcement throughout the City for the following operations: City of South San Francisco Printed on 10/22/2021Page 1 of 2 powered by Legistar™50 File #:21-759 Agenda Date:10/27/2021 Version:1 Item #:4. ·$33,975 for 9 DUI saturation patrols ·$24,025 for 2 DUI and driver’s license checkpoints ·$11,400 for 3 Traffic safety enforcement operations (speeding, red lights, etc.) ·$11,400 for 3 Distracted driver saturation patrols ·$6,000 for 2 Bicycle / pedestrian safety enforcement operation ·$6,000 for 2 Motorcycle Safety Enforcement Operations ·$12,000 for 4 collaborative multi-agency DUI saturation patrols ·$12,000 for 4 collaborative multi-agency traffic safety enforcement operations (speeding,red lights, etc.) The remaining $8,200 in the grant funding will be used towards: ·$6,000 for 3 traffic safety presentations / training ·$2,200 for travel and/or training expenses that support the goals and objectives of the grant. FISCAL IMPACT Budget Amendment 22.021 accepts $125,000 in grant funding for the purpose of personnel overtime,training and equipment expenses. The funding source is the State of California Office of Traffic Safety. RELATIONSHIP TO STRATEGIC PLAN Acceptance of this grant meets Strategic Goals #2 and #3 by rendering skilled police,fire and emergency service management and providing a high quality of life for residents. CONCLUSION Adoption of this resolution will allow the City to accept $125,000 from the State of California Office of Traffic Safety “Selective Traffic Enforcement Program”and amend the Police Department’s operating budget for Fiscal Year 2021-2022 by approving Budget Amendment 22.021. City of South San Francisco Printed on 10/22/2021Page 2 of 2 powered by Legistar™51 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-760 Agenda Date:10/27/2021 Version:1 Item #:4a. Resolution accepting $125,000 from the State of California,Office of Traffic Safety for the “Selective Traffic Enforcement Program”to pay for personnel overtime,equipment,and training expenses and to amend the Police Department’s Operating Budget for Fiscal Year 2021-2022 by approving Budget Amendment 22.021. WHEREAS,in January 2021,the Police Department submitted a grant application to the State of California Office of Traffic Safety (OTS)for funding of personnel overtime,equipment,and training expenses for the Selective Traffic Enforcement Program (STEP); and WHEREAS,the grant application was reviewed and approved by OTS in August 2021 and the Police Department was awarded a grant for $125,000; and WHEREAS,the grant funding will be used to augment the operating budget of the Police Department for Fiscal Year 2021-22,including payment of personnel expenses and equipment purchase relating to traffic safety enforcement; and WHEREAS,staff recommends the acceptance of a grant in the amount of $125,000 for personnel overtime,equipment,and training expenses from the State of California,Office of Traffic Safety (OTS)for the “Selective Traffic Enforcement Program”. NOW,THEREFORE,BE IT RESOLVED by the City Council of the City of South San Francisco that the City Council hereby accepts the $125,000 grant from the State of California,Office of Traffic Safety and amends the Fiscal Year 2021-2022 Police Department Operating Budget to reflect an increase of $125,000. BE IT FURTHER RESOLVED, that the City Council does hereby approve Budget Amendment 22.021. BE IT FURTHER RESOLVED that the City Manager is hereby authorized to execute a grant agreement,any other necessary documents on behalf of the City to carry out the intent of this resolution,subject to approval as to form by the City Attorney. ***** City of South San Francisco Printed on 1/26/2022Page 1 of 1 powered by Legistar™52 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-771 Agenda Date:10/27/2021 Version:1 Item #:5. Report regarding a resolution authorizing the acceptance of $5,200 in grant funding from Pacific Library Partnership to fund the development and distribution of activity kits for adults with special needs and developmental disabilities and their caregivers through the Library Department and approving Budget Amendment 22.022 increasing the Library Department’s Fiscal Year 2021-2022 Operating Budget.(Valerie Sommer, Library Director) RECOMMENDATION It is recommended that City Council adopt a resolution authorizing the acceptance of $5,200 in grant funding from Pacific Library Partnership to fund the development and distribution of activity kits for adults with special needs and developmental disabilities and their caregivers and approving Budget Amendment 22.022 increasing the Library Department’s Fiscal Year 2021-2022 Operating Budget. BACKGROUND/DISCUSSION The Library Department has been awarded $5,200 from Pacific Library Partnership to develop and distribute activity kits for adults with special needs and developmental disabilities and their caregivers.Funds will be used to purchase supplies and materials for approximately 10 activity kits that include tools to teach keeping time,managing money,problem solving,healthy eating,building by following a plan,writing,letters and language,and sensory kits devoted to stress relief and relaxation.Within each kit there will be talking points and instructions for caregivers to lead an activity with the tools in the kit.The strategic goals of the Library include expanding our community presence by delivering services that promote personal growth and learning beyond the walls of the building.By offering kits to engage learners at home with activities to reinforce learning of daily living skills,we will assist in preparing adults of all abilities for volunteer or employment opportunities.We plan to increase our presence in the community by partnering and collaborating with existing and new organizations as we build and promote the kits. FISCAL IMPACT Grant funds will be used to amend the Library Department’s current FY 2021-22 Operating Budget per Budget Amendment 22.022. Receipt of these funds does not commit the City to ongoing funding. RELATIONSHIP TO STRATEGIC PLAN Acceptance of this grant will contribute to the City’s Strategic Plan under Priority #3:Quality of Life,by providing access to resources that address multiple learning styles and promote life-long learning grounded in racial and social equity. CONCLUSION Receipt of these funds will enable the Library to engage learners at home with activities to reinforce learning of daily living skills and grow our community presence with partnerships as we build and promote the kits.It is recommended that the City Council accept $5,200 in grant funding and amend the Library Department’s FY 2021-22 Operating Budget and approve Budget Amendment 22.022. City of South San Francisco Printed on 10/22/2021Page 1 of 2 powered by Legistar™53 File #:21-771 Agenda Date:10/27/2021 Version:1 Item #:5. City of South San Francisco Printed on 10/22/2021Page 2 of 2 powered by Legistar™54 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-772 Agenda Date:10/27/2021 Version:1 Item #:5a. Resolution authorizing the acceptance of $5,200 in grant funding from Pacific Library Partnership to fund the development and distribution of activity kits for adults with special needs and developmental disabilities and their caregivers through the Library Department and approving Budget Amendment 22.022 increasing the Library Department’s Fiscal Year 2021-2022 Operating Budget. WHEREAS,Pacific Library Partnership has awarded the City $5,200 in grant funding for the development and distribution of activity kits for adults with special needs and developmental disabilities; and WHEREAS,the City of South San Francisco (“City”)strategic plan goals include the improvement of quality of life under priority #3; and WHEREAS,the activity kits will include tools to teach time keeping,money management,problem solving, healthy eating,building by following a plan,writing,letters and language,and sensory kits devoted to stress relief and relaxation; and WHEREAS,by offering kits to engage learners at home with activities to reinforce learning of daily living skills, we will assist in preparing adults of all abilities for volunteer or employment opportunities; and WHEREAS,staff recommends the acceptance of the grant funding in the amount of $5,200 from Pacific Library Partnership to fund the distribution of activity kits for adults with special needs and developmental disabilities; and WHEREAS,the grant funds will be used to amend Fiscal Year (FY)2021-2022 Operating Budget of the Library Department via Budget Amendment 22.022. NOW,THEREFORE,BE IT RESOLVED that the City Council of the City of South San Francisco does hereby accept $5,200 in grant funding from Pacific Library Partnership and approve Budget Amendment 22.022 to amend the Library Department’s FY 2021-2022 Operating Budget in order to reflect an increase of $5,200. ***** City of South San Francisco Printed on 1/26/2022Page 1 of 1 powered by Legistar™55 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-788 Agenda Date:10/27/2021 Version:1 Item #:6. Report regarding a resolution determining the continued existence of an emergency and the need to continue emergency repairs in response to the Sign Hill Diamond Fire.(Greg Mediati,Deputy Director of Parks and Recreation) RECOMMENDATION It is recommended that the City Council adopt a resolution determining the continued existence of an emergency and the need to continue emergency repairs in response to the Sign Hill Diamond Fire. On October 16,2020 at 11:54 a.m.,a fire ignited on Sign Hill originating on the western section of the iconic letters.This was the third day of a regional Red Flag Warning with elevated temperatures,reduced humidity, and a steady easterly wind.The wind pushed the fire quickly to the west across the southern face of the hill through the grasses before spreading into the nearby tree groves.The incident commander realized the fire would grow quickly and structures would be threatened.Additional resources were immediately called to the scene to assist. In total,five alarms of fire apparatus from South San Francisco and nearby agencies responded to the emergency.Additionally,an agreement with the California Forestry and Fire Department (CalFire)was utilized and provided the City with their associated aircraft,hand crews and wildland firefighting equipment for the incident.The fire burned for nearly three hours before being declared under control.Fire crews remained on site for over two days to ensure all hot spots were extinguished and embers would not reignite.Fortunately,the fire was kept to 16 acres and only caused minor property damage to three homes on Mountain Road,and no one was injured,thanks to the fuel load reduction and fire break work completed in recent years and the fire fighters’ great efforts. Immediately after the fire,the City Manager’s Office,Parks and Recreation Department,Fire Department and Public Works/Engineering Department staff met to discuss next steps to prepare the hill for the winter months. On October 22,2020,City Parks and Recreation staff completed a walkthrough and prepared an assessment of the state of the Sign Hill environment and trails to evaluate the scale of fire damage.Based on staff’s assessment,two phases of work were established -short term work to winterize the hill,remove hazards,and make it safe to reopen,and longer term work to expand on the ongoing fuel load reduction and maintain firebreaks on Sign Hill. Due to the emergent nature of the work to prepare Sign Hill for wet weather,and potential debris flows,falling trees,or the potential for future fire due to the buildup of fuel in the form of dead trees and brush,it was determined an emergency declaration was needed to expedite the work. For historical context,it should be noted that on September 12,2018,the City Council adopted a resolution delegating authority to the City Manager to order any emergency action and enter into necessary contracts pursuant to the provisions and restrictions of Public Contract Code Section 22050. City of South San Francisco Printed on 10/22/2021Page 1 of 3 powered by Legistar™56 File #:21-788 Agenda Date:10/27/2021 Version:1 Item #:6. At the November 24,2020 Regular City Council Meeting,the City Council adopted a resolution determining the existence of an emergency as a result of the Diamond Fire,and authorized emergency repairs.These repairs largely include the removal of more than 1,500 trees directly impacted by the Diamond Fire for a contract total not to exceed $900,000.Additionally,the City executed a contract with Acacia Environmental Construction to perform immediate slope stabilization and erosion mitigation work on newly exposed and vulnerable sloped areas for a contract total not to exceed $110,559. Tree Removals Davey Tree Experts began their work on December 3,2020 focusing on the area near the Ridge Trail known as Seubert Grove.At the time of drafting this report,this portion of the work is largely complete,with only a handful of trees remaining that do not present a hazard to trail users.In each work area,the trees being removed are largely being chipped on site to help with slope stabilization or are safely stockpiled for use in restoration efforts on the hill.Some tree trunks of twelve inches or greater in diameter may be left on the ground perpendicular to the slope of the hill.The smaller brush is being removed so as not to serve as potential fuel for the next fire season. This work is performed in accordance with CalFire forestry guidance. At the time of this report,all trails are clear of hazardous trees,with only the Iris Trail remaining closed due to trail conditions.The Iris Trail has steps that need to be repaired,and staff are working on addressing that issue currently.Tree work has begun to shift focus on large dead stands that present a fuel load risk,and trees adjacent to residences on the hill in an effort to abate the impacted and hazardous trees.The status of the trails on Sign Hill will be regularly updated,once the steps are repaired,on the City’s webpage under the Sign Hill link for residents to access closure information. Tree work under this emergency declaration is expected to continue through much of 2021 and the emergency declaration will likely terminate when the rainy season in 2021 begins.Staff anticipates this to be sometime in November or December and feels confident that all emergency work will have been completed by that date. Additional work to remove trees and repair trails is still needed,however it is less emergent in nature.Staff will issue a separate request for proposals for this work once the emergency declaration has ended,with hopes to resume work in the spring. The month of March 2021 marked the beginning of bird nesting season,and Parks staff have finalized a contract with Wood PLC,a biologist consultant to survey for nesting birds.Performing bird nest surveys allowed for work to continue through the nesting season.Wood PLC conducted preliminary surveys on the week of April 19,2021 and continued to perform subsequent surveys every fourteen days through the end of August 2021,the end of nesting season.Surveying for bird nests during the tree work is required by the Migratory Bird Treaty Act which provides protections to bird habitat.Staff found it necessary to continue work through the nesting season in order to open trails to the public within a reasonable timeframe,and to reduce the fuel load that still exists on the hill as much as possible prior to the next fire season. Erosion Control Acacia Environmental Construction was contracted to perform the erosion control efforts on December 11, 2020.Staff met with Acacia’s project team on December 14,2020 to discuss the project’s priorities and phases of work.Erosion control work began on December 28,2020,and consisted of installation of check dams in drainage areas and culverts,fiber waddle installation on steep slopes,and hydro-seeding barren areas of the hill City of South San Francisco Printed on 10/22/2021Page 2 of 3 powered by Legistar™57 File #:21-788 Agenda Date:10/27/2021 Version:1 Item #:6. drainage areas and culverts,fiber waddle installation on steep slopes,and hydro-seeding barren areas of the hill with a native seed blend,which in addition to the slope stabilization efforts will help re-establish the hill’s native grassland ecosystem.Additionally,tree stumps and root mass from felled trees are left in place to help with slope stabilization. Mulch from removed trees was also spread to lessen rain impacts. Acacia Environmental Construction completed the erosion control work in early February 2021.The hydro- seeding that was installed has become established,providing crucial stabilization of hillsides and future native habitat for native species. Emergency Continuation Continuation of this emergency is necessary to continue the aforementioned work in response to the Diamond Fire and safely re-open the park as soon as possible.Terminating the work now would leave hazardous trees and a significant amount of fuel load in close proximity to homes. As required by Public Contract Code section 22050(c)(1),this emergency tree removal and erosion control project will continue to be placed back on future regular City Council meeting agendas for the Council to review this emergency action and determine whether there is a need to continue the action,until such emergency repairs have been completed and the project terminated.Section 22050 requires the City Council determine the continuance of the emergency by a four-fifths vote.Adoption of the associated resolution authorizes the continuance of the emergency repair work to address the response to the Diamond Fire and related repairs. FISCAL IMPACT Work for the immediate tree work and erosion control measures is estimated to be $1,010,559,though subsequent work is needed to rehabilitate trails and park amenities,and for habitat restoration.Cost estimates for that work are to be determined once tree work is complete.Bird nest surveying for the year is a total of $18,988. Currently, funding exists outside of the general fund for this project. RELATIONSHIP TO STRATEGIC PLAN This project will contribute to the City’s Strategic Plan under Priority #2 by helping to create sustainable parks and open space areas, and under Priority #4 by enhancing public safety on and around Sign Hill. CONCLUSION Approving the resolution and adopting the findings will authorize the continuation of emergency repair work to address the hazardous conditions as a result of the Diamond Fire on Sign Hill.Staff recommends that the City Council determines that the emergency continues to exist and the emergency action,undertaken pursuant to the City Manager’s delegated authority, remains necessary. City of South San Francisco Printed on 10/22/2021Page 3 of 3 powered by Legistar™58 City Council on 2021-10-13 6:00 PM - HYBRID IN-PERSON/VIRTUAL MEETING 10-13-21 18:00 Eric Hughes Location: Submitted At: 2:30pm 10-13-21 I disagree that this is still an emergency. If after about one year the public is still in danger due to precarious trees, then someone is clearly negligent. The precarious tress which were an imminent threat should have already long been removed. The public should be fenced off or otherwise prohibited from approaching any of the other precarious trees that still need removal. Any trees that still need to be removed should not need a declaration that it is an emergency. Budget and plan any required remediation work using normal methods and stop calling this work necessary because it is an emergency situation. While it arose from an emergency, and the initial work to assess and fix any imminent threats would be considered an emergency response, what is occurring now shouldn’t need to be an emergency. If a building is damaged by an earthquake or fire, would the replacement building be built under an emergency declaration? I certainly hope not as the emergency use of funds should be to mitigate any imminent threat to the public not to fix all the issues that arose from the initial emergency. Eric Hughes 20 year resident 59 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-789 Agenda Date:10/27/2021 Version:1 Item #:6a. Resolution determining the continued existence of an emergency and authorizing procurement for emergency remediation work relating to fire damage on Sign Hill in South San Francisco. WHEREAS,on September 12,2018,the City Council adopted a resolution delegating authority to the City Manager to order any emergency action and enter into necessary contracts pursuant to the provisions and restrictions of California Public Contract Code Section 22050; and WHEREAS,on October 16,2020,a multi-alarm grass fire broke out on the western section of the iconic letters at Sign Hill in South San Francisco,where multiple recreational trails are located and frequently used by the public; and WHEREAS,the wind pushed the fire quickly to the west across the southern face of the hill through the grasses and spread into the nearby tree groves,killing hundreds of trees which now pose a public safety hazard; and WHEREAS,the fire burned over 16 acres of land and damaged a significant number of trees and trails; and WHEREAS,at the November 24,2020 Regular City Council Meeting,the City Council adopted a resolution determining the existence of an emergency as a result of the Diamond Fire,and authorized emergency repairs including removal of more than 1,500 trees directly impacted by the wildfire; and WHEREAS,in order to remediate such dangerous conditions,City staff retained consultants and contractors to assess the scope of the damage,recommend corrective action,and undertake or contract for a substantial amount of tree removal and trail repair/remediation work in order to restore the trails and other features of Sign Hill to a safe condition as quickly as possible,and to subsequently re-open them to the public; and WHEREAS,pursuant to the aforementioned delegated authority,the City solicited for and executed a contract with Davey Tree Expert Company,for the emergency removal of more than 1,500 damaged or hazardous trees for a contract total not to exceed $900,000; and WHEREAS,in December 2020,the City solicited for and executed a contract with Acacia Environmental Construction,for the emergency mitigation of potential erosion hazards within fire damaged areas on Sign Hill; and WHEREAS,the dead trees remain in a precarious and dangerous condition for the public and additional emergency mitigation work is still needed to eliminate the dangerous conditions. City of South San Francisco Printed on 1/26/2022Page 1 of 3 powered by Legistar™60 File #:21-789 Agenda Date:10/27/2021 Version:1 Item #:6a. FINDINGS WHEREAS, the City Council of the City of South San Francisco hereby finds as follows: A.The above recitals are true and correct and incorporated herein by this reference. B.Pursuant to California Public Contract Code Section 20168,public interest and necessity demand the immediate commencement of the above-described work at Sign Hill in South San Francisco and the expenditure of public money for such work to safeguard life, health and property. C.Pursuant to California Public Contract Code Section 22050 and the authority delegated by the City Council on September 12,2018,and based on substantial evidence presented by the circumstances of the Sign Hill fire and City staff’s assessments,including but not limited to those from the City’s Fire,Police, and Parks &Recreation Departments,the staff report prepared concerning this resolution,and as set forth in this resolution,the City Manager would continue to be authorized to order emergency tree removal,trail repair and related work for the hazardous and threatening conditions at Sign Hill in South San Francisco. D.Terminating the above-described emergency work and let the remaining work at Sign Hill to competitive bidding would jeopardize public health,safety and welfare;risk additional damage to public and private property;and result in the public incurring additional expense,including,but not limited to, additional expense due to delay and further damage,due to the dangerous conditions of the falling trees and damage to trails and other features of the Sign Hill area and such work is necessary to respond to the emergency conditions at Sign Hill.Therefore,it remains that competitive bidding of such work would not produce an advantage for the public. E.Based on evidence presented in the record,the above-described emergency work continues to be statutorily exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15269, subparagraphs (b) and (c). NOW,THEREFORE,the City Council of the City of South San Francisco hereby does resolve,by at least a four-fifths vote, as follows: 1.The above recitals and findings are true and correct and hereby declared to be findings of the City Council of the City of South San Francisco. 2.The emergency conditions at Sign Hill in South San Francisco continue to exist and threaten public health,welfare and safety;thus,emergency repair work continues to be necessary to address the hazardous and threatening conditions of the falling trees and destructed trail improvements.The emergency work described in this resolution continues to be exempt from California Public Contract Code competitive bidding requirements pursuant to California Public Contract Code Sections 20168 and 22050. 3.The City Council continues to authorize City staff to procure contracts for the emergency work described in this resolution and the City Manager to execute such contracts on behalf of the City, as approved to form by the City Attorney,and to take any other related action necessary to further the intent of this Resolution. City of South San Francisco Printed on 1/26/2022Page 2 of 3 powered by Legistar™61 File #:21-789 Agenda Date:10/27/2021 Version:1 Item #:6a. 4.City staff is directed,in accordance with California Public Contract Code Section 22050(c)(1), to place on future regular agendas of the City Council an item concerning the emergency work authorized pursuant to this resolution so that the City Council may determine,by at least a four- fifths vote,whether there is a need to continue the emergency work described above or whether such work may be terminated. 5.This resolution shall become effective immediately. 6.Each portion of this resolution is severable.Should any portion of this resolution be adjudged to be invalid and unenforceable by a body of competent jurisdiction,then the remaining resolution portions shall be and continue in full force and effect,except as to those resolution portions that have been adjudged invalid.The City Council hereby declares that it would have adopted this resolution and each section,subsection,clause,sentence,phrase and other portion thereof, irrespective of the fact that one or more section,subsection,clause sentence,phrase or other portion may be held invalid or unconstitutional. ***** City of South San Francisco Printed on 1/26/2022Page 3 of 3 powered by Legistar™62 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-766 Agenda Date:10/27/2021 Version:1 Item #:7. Report regarding a resolution approving the City Council’s response to the San Mateo County Civil Grand Jury Report,dated July 27,2021,entitled “Building Greater Trust between the Community &law Enforcement via the Racial and Identity Profiling Act”and authorizing the City Manager to send the response letter on behalf of the City Council.(Jeff Azzopardi, Police Chief) RECOMMENDATION It is recommended that the City Council approve the responses and authorize the City Manager to send the response letter to the Presiding Judge of the Superior Court of San Mateo County on behalf of the City. BACKGROUND/DISCUSSION The 2020-2021 San Mateo County Civil Grand Jury (“Grand Jury”)issued a report titled,“Building Greater Trust between the Community &Law Enforcement via the Racial and Identity Profiling Act.”The Grand Jury report deals with the issue of highlighting one of the more serious problems that can obstruct effective and fair law enforcement:implicit bias and racial and identity profiling.By requiring “stop data,”be documented and reported,law enforcement agencies (LEAs)will gain a tool to improve racial and identity awareness in law enforcement.In issuing the report,the Grand Jury issued seven findings and seven recommendations pertaining to law enforcement. The report requires the City to respond to seven findings and seven recommendation. The Grand Jury’s findings to which the City must respond are as follows: F1.LEAs in SMC are aware of RIPA data requirement,including the requirement that data collection starts on January 1, 2022. F2.County LEAs vary in their degree of understanding of:RIPA data collection requirements, technological options for collecting the data,and the need for procedures and training to collect and the need for procedures and training to collect and report the data.The LEA’s RIPA- preparedness correlates to their understanding of RIPA requirements. F3.Burlingame and Menlo Park are to be commended for publicly announcing their plans for early implementation of RIPA data collection and reporting to the CA DOJ.The other fifteen LEAs were in various stages of planning and acquiring their RIPA data collection system. F4.The San Mateo County Police Chiefs &Sheriff Association RIPA Subcommittee provides a convenient forum for LEAs to benefit from peer learning and collaboration for RIPA planning, testing, deployment and best practices. City of South San Francisco Printed on 10/22/2021Page 1 of 3 powered by Legistar™63 File #:21-766 Agenda Date:10/27/2021 Version:1 Item #:7. F5.Some LEAs mistakenly believe the County Dispatch System will handle their RIPA data collection. F6.LEAs vary in their understanding that implementing RIPA Board recommendations would build greater trust with their communities. F8.Between now and 2022,sixteen county LEAs have plans for “regularly analyzing data,in consultation with [academics,police commissions,civilian review bodies,or advisory boards],to assist in identifying practices that may have a disparate impact on any group relative to the general population.” The Grand Jury’s Recommendations to which the City must respond include: R1.Each LEA must have a fully developed implementation plan for complying with RIPA.The plan should include data collection and reporting,training methods,policies and procedures,roll-out plans,personnel allocation,systems testing and data auditing.The plan should be reviewed and approved by October 30, 2021. R2.Each LEA needs to acquire the necessary software and hardware required to comply with RIPA by October 30, 2021, in order to complete testing within 30 days and go live by January 1, 2022. R3.Each LEA must test and confirm their readiness for RIPA data collection by November 30, 2021. R4.Each LEA should provide regular updates to their governing entities,on their progress toward preparing for the required RIPA data collection starting on October 15, 2021. R5.Each LEA should on a quarterly basis,starting in the second quarter of 2022,provide reports on RIPA data and how it is being used to address potential identity biases,including supervisory oversight (as defined by the RIPA Board).The report should be posted and easily viewable on the entity’s website. R6.By February 1,2022,each LEA should begin considering how to obtain and use insights gained from the RIPA data to improve the operation of its department by combating implicit bias in policing and pursuing greater community trust by implementing the RIPA Board’s growing list of policing best practices. R7.By February 1,2022,each LEA should consider community engagement and transparency, including the possible use of “academics,police commissions,civilian review bodies,or advisory boards” as a mechanism to build community trust and provide bias-free policing. City of South San Francisco Printed on 10/22/2021Page 2 of 3 powered by Legistar™64 File #:21-766 Agenda Date:10/27/2021 Version:1 Item #:7. Staff has reviewed the findings and recommendations and has prepared a draft response letter for City Council approval;please see Exhibit A attached to the associated resolution.In summary,staff agrees with findings one through six and eight of the Grand Jury report.Furthermore,staff has determined that the recommendations have been implemented,with a summary regarding the implemented action,or will be implemented within the timeframes recommended in the report.The South San Francisco Police Department is fully prepared to implement RIPA stop data collection and go live by January 1,2022,which is the date recommended by the San Mateo County Civil Grand Jury. FISCAL IMPACT Funding to equip and train law enforcement officers on RIPA will be through the City of South San Francisco’s 2021-2022 adopted budget. RELATIONSHIP TO STRATEGIC PLAN Acceptance of this resolution meets Strategic Goals #2 and #3 by providing a high quality of life for residents and by rendering skilled police, fire and emergency service management programs. CONCLUSION It is recommended that the City Council adopt the attached resolution,approving the responses contained in the attached letter and authorize the City Manager to send the letter to the Presiding Judge of the Superior Court of San Mateo County on behalf of the City Council. City of South San Francisco Printed on 10/22/2021Page 3 of 3 powered by Legistar™65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 107 108 109 110 111 112 113 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-767 Agenda Date:10/27/2021 Version:1 Item #:7a. Resolution approving the City Council’s response to the San Mateo County Civil Grand Jury Report, dated July 27, 2021, entitled “Building Greater Trust between the Community & Law Enforcement via the Racial and Identity Profiling Act”, and authorizing the City Manager to send the response letter on behalf of the City Council. WHEREAS, pursuant to California Penal Code section 933, a public agency which receives a Grand Jury Report addressing aspects of the public agency’s operations, must respond to the Report’s finding and recommendations contained in the Report in writing within ninety days to the Presiding Judge of the San Mateo County Superior Court; and WHEREAS, the City Council has received and reviewed the San Mateo County Civil Grand Jury Report, dated July 27, 2021, entitled “Building Greater Trust between the Community & Law Enforcement via the Racial and Identity Profiling Act”; and WHEREAS,the City Council has reviewed the findings and recommendations of the Civil Grand Jury Report; and WHEREAS,the South San Francisco Police Department has implemented Recommendations R1,R2,R3,R4; and WHEREAS,the South San Francisco Police Department has not yet implemented Recommendations R5,R6, and R7 but they will be implemented in the near future.The date for completion will be by or before February 1, 2022, which is the date recommended by the San Mateo County Civil Grand Jury; and WHEREAS,the City Council has reviewed and considered the response to the Civil Grand Jury,which is attached hereto as Exhibit A. NOW, THEREFORE, BE IT RESOLVED, THAT THE CITY COUNCIL OF THE CITY OF SOUTH SAN FRANCISCO hereby approves the response to the San Mateo County Civil Grand Jury Report, dated July 27, 2021, entitled, “Building Greater Trust between the Community & Law Enforcement via the Racial and Identity Profiling Act” as set forth in Exhibit A attached to this Resolution. BE IT FURTHER RESOLVED, that the City Council hereby authorizes the City Manager to send the response letter to the Presiding Judge of the Superior Court of San Mateo County on behalf of the City Council. City of South San Francisco Printed on 1/26/2022Page 1 of 2 powered by Legistar™114 File #:21-767 Agenda Date:10/27/2021 Version:1 Item #:7a. ***** City of South San Francisco Printed on 1/26/2022Page 2 of 2 powered by Legistar™115 1 October 27, 2021 Hon. Amarra A. Lee Judge of the Superior Court c/o Jenarda Dubois Hall of Justice 400 County Center, 2nd Floor Redwood City, CA 94063-1655 Email: grandjury@sanmateocourt.org Dear Members of the Grand Jury: This correspondence is in response to the Civil Grand Jury report entitled “Building Greater Trust Between the Community & Law Enforcement Via the Racial and Identity Profiling Act” (the Report) that was released on July 27, 2021. City of South San Francisco Response to Each Finding F1. LEAs in SMC are aware of RIPA data requirements, including the requirement that data collection starts on January 1, 2022. Response: Respondent agrees with the findings. F2. County LEAs vary in their degree of understanding of: RIPA data collection requirements, technological options for collecting the data, and the need for procedures and training to collect and report the data. The LEA’s RIPA preparedness correlates to their understanding of RIPA requirements. Response: Respondent agrees with the findings. F3. Burlingame and Menlo Park are to be commended for publicly announcing their plans for early implementation of RIPA data collection and reporting to the CA DOJ. The other fifteen LEAs were in various stages of planning and acquiring their RIPA data collection system. Response: Respondent agrees with the findings. 116 2 F4. The San Mateo County Police Chiefs & Sheriff Association RIPA Subcommittee provides a convenient forum for LEAs to benefit from peer learning and collaboration for RIPA planning, testing, deployment, and best practices. Response: Respondent agrees with the findings. F5. Some LEAs mistakenly believe the County Dispatch System will handle their RIPA data. Response: Respondent agrees with the findings. F6. LEAs vary in their understanding that implementing RIPA Board recommendations would build greater trust with their communities. Response: Respondent agrees with the findings. F8. Between now and 2022, sixteen county LEAs have plans for “regularly analyzing data, in consultation with [academics, police commissions, civilian review bodies, or advisory boards], to assist in identifying practices that may have a disparate impact on any group relative to the general population.” Response: Respondent agrees with the findings. City of South San Francisco Response to Recommendations R1. Each LEA must have a fully developed implementation plan for complying with RIPA. The Plan should include data collection and reporting, training methods, policies and procedures, roll-out plans, personnel allocation, systems testing and data auditing. The plan should be reviewed and approved by October 30, 2021. Response: The recommendation has been implemented. The Police Department already has a full understanding of RIPA data collection requirements and technological options for data collection and has already developed procedures and conducted training for collecting and reporting data. R2. Each LEA needs to acquire the necessary software and hardware required to comply with RIPA by October 30, 2021, in order to complete testing within 30 days and go live by January 1, 2022. Response: The recommendation has been implemented. The Police Department has acquired the necessary software and hardware to comply with RIPA. R3. Each LEA must test and confirm their readiness for RIPA data collection by November 30, 2021. Response: The recommendation has been implemented. The Police Department has been testing and confirming data as of May 2021. 117 3 R4. Each LEA should provide regular updates to their governing entities, on their progress toward preparing for the required RIPA data collection starting on October 15, 2021. Response: The recommendation has been implemented. The Police Department has been providing regular updates since August 2021. R5. Each LEA should, on a quarterly basis, starting in the second quarter of 2022, provide reports on RIPA data and how it is being used to address potential identity biases, including supervisory oversight (as defined by the RIPA Board). The report should be posted and easily viewable on the entity’s website. Response: The recommendation has not yet been implemented but will be implemented starting in the second quarter of 2022. R6. By February 1, 2022, each LEA should begin considering how to obtain and use insights gained from the RIPA data to improve the operation of its department by combating implicit bias in policing and pursuing greater community trust by implementing the RIPA Board’s growing list of policing best practices. Response: The recommendation has not yet been implemented but will be implemented starting by February 1, 2022. R7. By February 1, 2022, each LEA should consider community engagement and transparency, including the possible use of “academics, police commissions, civilian review bodies, or advisory boards” as a mechanism to build community trust and provide bias-free policing. Response: The recommendation has not yet been implemented but will be implemented starting by February 1, 2022. Authorization to submit this letter was approved by the City Council at a public meeting on October 27, 2021. The South San Francisco Police Department is fully prepared to implement RIPA stop data collection and go live by January 1, 2022, which is the date recommended by the San Mateo County Civil Grand Jury. Sincerely, Mike Futrell City Manager 118 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-806 Agenda Date:10/27/2021 Version:1 Item #:8. Report regarding a resolution to continue conducting City Council and advisory body meetings remotely due to health and safety concerns for the public and making related findings (Sky Woodruff, City Attorney) RECOMMENDATION Staff recommends that the City Council adopt a resolution to continue allowing the City Council and advisory bodies to conduct meetings remotely due to health and safety concerns for the public and making related findings in compliance with AB 361 (2021). BACKGROUND/DISCUSSION The California Legislature approved Assembly Bill 361 (AB 361)and the Governor signed the bill into law on September 16,2021.The bill allows local legislative bodies to continue to meet remotely after the prior Executive Orders issued by Governor Newsom expired on October 1.AB 361 requires the City Council to initially make certain findings in order for it and the City’s other legislative bodies to continue teleconference meeting as they have been conducted pursuant to the Governor’s Executive Orders.The law also requires the Council to declare every 30 days that the City’s legislative bodies need to be able to continue to meet remotely in order to ensure the health and safety of the public. On September 21,2021,the City Council adopted Resolution No.166-2021 making findings and declaring the need for the Council and advisory bodies to continue meeting remotely in order to ensure the health and safety of the public and authorizing remote teleconference meetings pursuant to Government Code section 54953(e). The resolution and its accompanying staff report are attached hereto as Attachments A and B.Since the adoption of that resolution,the Delta variant has continued to be a significant risk and causing case spikes throughout the state.The San Mateo County Health Department has maintained a Health Order requiring masks indoors in public places,regardless of vaccination status,and other state and federal agencies continue to require face coverings and recommend social distancing. The Council is being asked to review the prior AB 361 findings prior to the 30-day timeline.Staff recommends that the City Council adopt a resolution to declare these findings remain true so that these bodies can continue to meet remotely. FISCAL IMPACT There is no fiscal impact. CONCLUSION Staff recommends that the City Council adopt a resolution to continue conducting the City’s Council and Commission meetings remotely due to health and safety concerns for the public and making related findings in compliance with AB 361 (2021). Attachments: City of South San Francisco Printed on 10/22/2021Page 1 of 2 powered by Legistar™119 File #:21-806 Agenda Date:10/27/2021 Version:1 Item #:8. Attachment 1:Resolution No. 166-2021 Attachment 2:Staff Report from the 9/21/2021 City Council meeting City of South San Francisco Printed on 10/22/2021Page 2 of 2 powered by Legistar™120 P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA City of South San Francisco Legislation Details (With Text) File #:21-740 Name: Status:Type:Resolution Passed File created:In control:9/17/2021 Special City Council On agenda:Final action:9/21/2021 9/21/2021 Title:Resolution of the City Council of the City of South San Francisco Declaring the Need for the City Council and advisory bodies to continue to be able to meet remotely in order to ensure the health and safety of the public and making related findings. Sponsors: Indexes: Code sections: Attachments: Action ByDate Action ResultVer. Special City Council9/21/2021 1 Resolution of the City Council of the City of South San Francisco Declaring the Need for the City Council and advisory bodies to continue to be able to meet remotely in order to ensure the health and safety of the public and making related findings. WHEREAS, on March 4, 2020, Governor Newsom declared a State of Emergency to make additional resources available, formalize emergency actions already underway across multiple state agencies and departments, and help the State prepare for a broader spread of COVID-19; WHEREAS, on March 11, 2020, the City Council adopted Resolution Number 35-2020 declaring a local emergency due to COVID-19; and WHEREAS, on May 13, 2020, the City Council adopted Resolution Number 57-2020 amending and updating a local emergency due to COVID-19; and WHEREAS, on March 17, 2020, in response to the COVID-19 pandemic, Governor Newsom issued Executive Order N-29-20 suspending certain provisions of the Ralph M. Brown Act in order to allow local legislative bodies to conduct meetings telephonically or by other means; and WHEREAS,as a result of Executive Order N-29-20, staff set up virtual meetings for all City Council meetings; and WHEREAS, on June 11, 2021, Governor Newsom issued Executive Order N-08-21, which placed an end date of September 30, 2021, for agencies to meet remotely; and City of South San Francisco Printed on 10/20/2021Page 1 of 2 powered by Legistar™121 File #:21-740,Version:1 WHEREAS, since issuing Executive Order N-08-21, the Delta variant has emerged, causing a spike in COVID -19 cases throughout the state; and WHEREAS, on August 3, 2021, in response to the Delta variant, the San Mateo County Health Department ordered all individuals to wear masks when inside public spaces and maintain social distancing; and WHEREAS, on September 16, 2021, the Governor signed AB 361 (2021) which allows for local legislative bodies and advisory bodies to continue to conduct meetings via teleconferencing under specified conditions, including that the City Council makes specified findings; and WHEREAS, the City cannot maintain social distancing requirements for the public, staff, Councilmembers, and advisory body members in their respective meeting locations; and WHEREAS, because of the rise in cases due to the Delta variant, the City is concerned about the health and safety of all individuals who intend to attend Council and advisory body meetings. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SOUTH SAN FRANCISO RESOLVES AS FOLLOWS: 1.In compliance with AB 361 (2021), and in order to continue to conduct teleconference meetings without complying with the usual teleconference meeting requirements of the Brown Act, the City Council makes the following findings: a)The City Council has reconsidered the circumstances of the state of emergency; and b)The state of emergency,as declared by the Governor and City Council,continues to directly impact the ability of the City Council and the City’s advisory bodies,as well as staff and members of the public, from meeting safely in person. ; c)San Mateo County Health orders require all individuals in public spaces to maintain social distancing;however the City cannot maintain social distancing requirements for the Councilmembers, advisory bodies, staff and public in the meeting spaces; and d)The City Council and advisory bodies continue to need to be able to meet remotely due to present imminent risks to the health or safety of attendees. 2.City Council and advisory body meetings may continue to be conducted remotely in compliance with AB 361, in order to better ensure the health and safety of the public. 3.The City Council will revisit the need to conduct meetings remotely within 30 days of the adoption of this resolution. ***** City of South San Francisco Printed on 10/20/2021Page 2 of 2 powered by Legistar™122 P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA City of South San Francisco Legislation Details (With Text) File #:21-739 Name: Status:Type:Staff Report Consent Calendar File created:In control:9/17/2021 Special City Council On agenda:Final action:9/21/2021 Title:Report regarding adoption of a resolution to continue conducting City Council and advisory body meetings remotely due to health and safety concerns for the public and making related findings (Rosa Govea Acosta, City Clerk and Sky Woodruff, City Attorney) Sponsors: Indexes: Code sections: Attachments:1. Reso 35-2020 (20-215), 2. Reso 57-2020 (20-295), 3. Governors Executive Order N-29-20, 4. Governors Executive Order N-08-21, 5. AB 361 Action ByDate Action ResultVer. Report regarding adoption of a resolution to continue conducting City Council and advisory body meetings remotely due to health and safety concerns for the public and making related findings (Rosa Govea Acosta,City Clerk and Sky Woodruff, City Attorney) RECOMMENDATION Staff recommends that the City Council adopt a resolution to allow the City Council and advisory bodies to continue conducting meetings remotely due to health and safety concerns for the public and making related findings in compliance with AB 361 (2021). BACKGROUND/DISCUSSION On March 4,2020,Governor Newsom declared a State of Emergency to make additional resources available, formalize emergency actions already underway across multiple state agencies and departments,and help the State prepare for a broader spread of COVID 19. On March 11,2020,the City Council adopted Resolution Number 35-2020 proclaiming a local state of emergency due to the Novel Coronavirus (COVID-19).The resolution stated that “conditions of extreme peril to the safety of persons and property have arisen within South San Francisco,caused by COVID-19”and that a “proclamation of a Local Emergency was necessary to enable the City of South San Francisco and other local government entities to adequately plan,prepare and preposition resources to be able to effectively respond to the threat”. Thereafter,on May 13,2020,the City Council adopted Resolution Number 57-2020,amending and updating the proclamation of a local health emergency related to the Novel Coronavirus (COVID-19)to fulfill requirements per California Government Code,Title 2,Division 1,Chapter 7.5 -California Disaster Assistance Act (CDAA, which allows local governments to seek financial assistance through a local proclamation. On March 17,2020,in response to the COVID-19 pandemic,Governor Newsom issued Executive Order N-29- 20,which suspended certain provisions of the Ralph M.Brown Act in order to allow local legislative bodies to conduct meetings telephonically or by other means.Additionally,the State implemented a shelter-in-place City of South San Francisco Printed on 10/20/2021Page 1 of 3 powered by Legistar™123 File #:21-739,Version:1 conduct meetings telephonically or by other means.Additionally,the State implemented a shelter-in-place order, requiring all non-essential personnel to work from home. The City Clerk and Information Technology Director worked collaboratively to create virtual meetings for all City Council and advisory body meetings.The virtual meetings have allowed the Council and advisory bodies to continue to conduct City business from the safety of members’homes and has allowed the city to ensure the public’s continued access to government meetings while also ensuring the public’s safety. On June 11,2021,Governor Newsom issued Executive Order N-08-21,which among other things,rescinded his prior Executive Order N-29-20 and set a date of October 1,2021,for agencies to transition back to public meetings held in full compliance with the Brown Act.In preparation for the return to in-person meetings,the City Council transitioned to hybrid meetings on July 26,2021.Although hybrid meetings help keep the public safe by allowing them to continue accessing the meetings from their own home,Councilmembers,and staff will need to meet in person. Since the Governor issued Executive Order N-08-21,the Delta variant has emerged,causing a spike in cases throughout the state.As a result,the San Mateo County Health Department issued a Health Order requiring masks indoors in public places, regardless of vaccination status, starting August 3, 2021. DISCUSSION The California Legislature approved AB 361 and the Governor signed the bill into law on September 16,2021. The bill will allow local legislative bodies to continue to meet remotely after the October 1st deadline.A local agency’s legislative body and advisory bodies will be allowed to continue to meet remotely when: Ø The local agency holds a meeting during a declared state of emergency Ø State or local health officials have imposed or recommended measures to promote social distancing Ø Legislative bodies declare the need to meet remotely due to present imminent risks to the health or safety of attendees The City meets the requirements to continue holding meetings remotely in order to ensure the health and safety of the public: Ø The city is still under a state of emergency as declared by the Governor and City Council Ø County Health orders require that all individuals in public spaces maintain social distancing and wear masks Ø The city cannot maintain social distancing requirements for the public,staff,Councilmembers,and advisory body members in their meeting spaces Similarly,the Bicycle and Pedestrian Advisory Committee (BPAC),Conference Center Authority,Cultural Arts Commission,Design Review Board General Plan Community Advisory Committee,Housing Authority, Library Board,Measure W Citizens’Oversight Committee,Parks and Recreation Commission,Parking Place Commission,Traffic Safety Commission,Planning Commission,Personnel Board,and Youth Advisory Commission all hold their meetings in a small conference room,making it impossible for Commissioners, staff, and members of the public to socially distance from each other. Now that AB 361 was signed into law,the City Council would need to declare every 30 days that the City’s legislative bodies need to be able to continue to meet remotely in order to ensure the health and safety of the public. Staff recommends that the City Council adopt a resolution to declare these findings are true so that these bodies City of South San Francisco Printed on 10/20/2021Page 2 of 3 powered by Legistar™124 File #:21-739,Version:1 Staff recommends that the City Council adopt a resolution to declare these findings are true so that these bodies can continue to meet remotely. FISCAL IMPACT There is no fiscal impact. CONCLUSION In conclusion,staff recommends that the City Council adopt a resolution to continue conducting the City’s Council and Commission meetings remotely due to health and safety concerns for the public and making related findings in compliance with AB 361 (2021). Attachments: Attachment 1:Resolution Attachment 2:Resolution Number 35-2020 Declaring a Local Emergency Attachment 3:Resolution Number 57-2020 Amending and Updating a Local Emergency Attachment 4:Governor’s Executive Order N-29-20 Attachment 5:Governor’s Executive Order N-08-21 Attachment 6:AB 361 City of South San Francisco Printed on 10/20/2021Page 3 of 3 powered by Legistar™125 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-805 Agenda Date:10/27/2021 Version:1 Item #:8a. Resolution of the City Council of the City of South San Francisco declaring the continuing need for the City Council and advisory bodies to be able to meet remotely in order to ensure the health and safety of the public and making related findings. WHEREAS, on March 4, 2020, Governor Newsom declared a State of Emergency to make additional resources available, formalize emergency actions already underway across multiple state agencies and departments, and help the State prepare for a broader spread of COVID-19; WHEREAS, on March 11, 2020, the City Council adopted Resolution Number 35-2020 declaring a local emergency due to COVID-19; and WHEREAS, on May 13, 2020, the City Council adopted Resolution Number 57-2020 amending and updating a local emergency due to COVID-19; and WHEREAS, on March 17, 2020, in response to the COVID-19 pandemic, Governor Newsom issued Executive Order N-29-20 suspending certain provisions of the Ralph M. Brown Act in order to allow local legislative bodies to conduct meetings telephonically or by other means; and WHEREAS,as a result of Executive Order N-29-20, staff set up virtual meetings for all City Council meetings; and WHEREAS, on June 11, 2021, Governor Newsom issued Executive Order N-08-21, which placed an end date of September 30, 2021, for agencies to meet remotely; and WHEREAS, since issuing Executive Order N-08-21, the Delta variant has emerged, causing a spike in COVID -19 cases throughout the state; and WHEREAS, on August 3, 2021, in response to the Delta variant, the San Mateo County Health Department ordered all individuals to wear masks when inside public spaces and maintain social distancing; and WHEREAS, on September 16, 2021, the Governor signed Assembly Bill 361 (AB 361) (2021) which allows for local legislative bodies and advisory bodies to continue to conduct meetings via teleconferencing under specified conditions, including that the City Council makes specified findings; and WHEREAS, the City cannot maintain social distancing requirements for the public, staff, Councilmembers, and advisory body members in their respective meeting locations; and City of South San Francisco Printed on 1/26/2022Page 1 of 3 powered by Legistar™126 File #:21-805 Agenda Date:10/27/2021 Version:1 Item #:8a. WHEREAS, because of the rise in cases due to the Delta variant, the City is concerned about the health and safety of all individuals who intend to attend Council and advisory body meetings; and WHEREAS, on September 21, 2021, the City Council adopted Resolution No. 166-2021 making findings and declaring the need for the Council and advisory bodies to continue meeting remotely in order to ensure the health and safety of the public and authorizing remote teleconference meetings pursuant to Government Code section 54953(e); and WHEREAS, the City is required to make certain findings every thirty (30) days to continue teleconferencing under Government Code section 54953(e)(3), including reconsideration of the state of emergency declared by the Governor pursuant to Government Code section 8625, and State or local officials continue to impose or recommend measures to promote social distancing; and WHEREAS, the City Council has considered the circumstances of the Governor’s state of emergency proclamation pursuant to Government Code section 8625, which remains active; and WHEREAS, the Health Officer of the County of San Mateo continues to require all individuals, regardless of vaccination status, to wear a mask while indoors in public spaces and maintain social distancing; and WHEREAS, the Centers for Disease Control and Prevention (“CDC”) continues to recommend physical distancing of at least six feet (6’) from others outside of the household; and WHEREAS, the circumstances described under Resolution No. 166-2021 continue to exist and the City continues to be concerned about the health and safety of all individuals who intend to attend Council and advisory body meetings. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SOUTH SAN FRANCISCO RESOLVES AS FOLLOWS: 1.In compliance with AB 361 (2021), and in order to continue to conduct teleconference meetings without complying with the usual teleconference meeting requirements of the Brown Act, the City Council makes the following findings: a)The City Council has reconsidered the circumstances of the state of emergency; and b)The state of emergency, as declared by the Governor and City Council, continues to directly impact the ability of the City Council and the City’s advisory bodies, as well as staff and members of the public, from meeting safely in person; c)San Mateo County Health orders require all individuals in public spaces to maintain social distancing; however the City cannot maintain social distancing requirements for the Councilmembers, advisory bodies, staff and public in the meeting spaces; and d)The City Council and advisory bodies continue to need to be able to meet remotely due to present imminent risks to the health or safety of attendees. 2.City Council and advisory body meetings may continue to be conducted remotely in compliance with City of South San Francisco Printed on 1/26/2022Page 2 of 3 powered by Legistar™127 File #:21-805 Agenda Date:10/27/2021 Version:1 Item #:8a. AB 361, in order to better ensure the health and safety of the public. 3.The City Council will revisit the need to conduct meetings remotely within 30 days of the adoption of this resolution. ***** City of South San Francisco Printed on 1/26/2022Page 3 of 3 powered by Legistar™128 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-64 Agenda Date:10/27/2021 Version:1 Item #:9. Report regarding an ordinance amending Chapters 8.16 and 8.28,and adding Chapter 8.27 Mandatory Organic Waste Disposal Reduction,to the South San Francisco Municipal Code relating to organic waste disposal and related regulations pursuant to Senate Bill 1383,adoption of a resolution approving a Memorandum of Understanding with the County of San Mateo to establish an Edible Food Recovery Program consistent with California Code of Regulations,Title 14,Division 7,Chapter 12 (Short-Lived Climate Pollutants),and adoption of a resolution approving the City of South San Francisco’s Recovered Organic Waste Product Procurement Policy.(Marissa Garren, Management Analyst I) RECOMMENDATION Staff recommends that the City Council take the following actions as necessary regarding the implementation of California Senate Bill 1383 (SB 1383) regulations effective January 1, 2022: 1)Waive the first reading and introduce an ordinance amending Chapters 8.16 and 8.28 and adding Chapter 8.27 Mandatory Organic Waste Disposal Reduction to the South San Francisco Municipal Code relating to mandatory organic waste disposal reduction and related regulations pursuant to Senate Bill 1383; 2)Adopt a resolution approving a Memorandum of Understanding with the County of San Mateo to establish an Edible Food Recovery Program consistent with California Code of Regulations,Title 14, Division 7, Chapter 12 (Short-Lived Climate Pollutants); and 3)Adopt a resolution approving the City of South San Francisco’s Recovered Organic Waste Product Procurement Policy. BACKGROUND/DISCUSSION According to the California Department of Resources Recycling and Recovery (CalRecycle),organic waste comprises two-thirds of our waste stream and produces 20 percent of the State’s methane gas loading.Locally, 71 percent of the landfilled materials in San Mateo County are organic materials.When organics and compostable materials enter the landfill,they decompose.A byproduct of this decomposition is methane gas. Methane is 84 times more harmful than carbon dioxide and one of the most potent greenhouse gases.Therefore, to help reduce greenhouse gases, communities need to recycle organics, such as food waste. In September 2016,Governor Brown Jr.set methane emissions reduction targets for California with Senate Bill 1383 (Lara,Chapter 395,Statutes of 2016)(SB 1383)in a statewide effort to reduce emissions of short-lived climate pollutants.Senate Bill 1383 targets organic waste (food scraps,yard debris,paper products,etc.)and requires a 75 percent disposal reduction by 2025. The City’s franchised solid waste and recycling hauler,SSF Scavenger Company,collects and processes 11,200 tons of organic waste at their anaerobic digestion facility each year.The facility transforms yard trimmings, food waste and food-soiled paper into renewable natural gas (RNG)and “digestate.”The gas generated during City of South San Francisco Printed on 10/22/2021Page 1 of 5 powered by Legistar™129 File #:21-64 Agenda Date:10/27/2021 Version:1 Item #:9. food waste and food-soiled paper into renewable natural gas (RNG)and “digestate.”The gas generated during digestion,about 300 diesel gallon equivalents per day,powers about half of SSF Scavenger’s service trucks, and powers the digestion facility itself.The digestate is hauled to a compost facility where it is heated and aerated for several weeks and eventually becomes finished compost.Prior to 2015,when the anaerobic digestion facility came online,the green bin program was for yard trimmings only and materials were sent to a biomass plant and used to produce energy. Requirements of Senate Bill 1383 SB 1383 created a statewide regulation that includes requirements related to recycling and organics collection, inspection and enforcement policies and programs,and edible food recovery.The City of South San Francisco proactively collaborates with its franchised hauler,South San Francisco Scavenger Company,Inc.(Scavenger), the County of San Mateo,and CalRecycle to implement SB 1383 required programs in accordance with state guidelines and requirements.All jurisdictions must comply with nearly all SB 1383 requirements by January 1, 2022.Enforcement penalties against generators (i.e.,customers)do not need to be imposed by the City before January 1,2024.Jurisdictions are required to supply the following services to all residents and businesses adequately: 1)Provide organic waste collection services to all residents and businesses.Scavenger already offers an on-request three-container source-separated collection service and can provide the organic level of service to the South San Francisco community. 2)Establish an edible food recovery program for all Tier 1 and Tier 2 commercial edible food generators.City staff has partnered with San Mateo County staff,who have taken the lead in establishing an edible food recovery program for all of San Mateo County.The Memorandum of Understanding between the City and County (Exhibit A to Resolution 21-795 approving the MOU)will delegate this responsibility to the County of San Mateo’s Office of Sustainability for monitoring and enforcement.Tier One Commercial Generators (supermarkets,grocery stores,food service providers, food distributors,and wholesale vendors)will need to comply by January 1,2022.Tier Two Commercial Generators (large restaurants,hotels,health facilities,event venues,local education agencies with on-site food facilities, and events) must comply by January 1, 2024. 3)Conduct education and outreach to all generators.SB 1383 mandates the City to conduct outreach and education to all affected partites including generators,haulers,facilities,edible food recovery organizations,and municipal departments.City staff and SSF Scavenger have conducted education and outreach on several platforms and at multiple events in preparation for the January 1,2022 implementation.Efforts included informational mailers,articles in both the Chamber of Commerce and the all-city newsletters,informational tables at city events (e.g.City Hall birthday event),a presentation to SSF hoteliers at their general managers’meeting,social media posts,and a designated solid waste and recycling page on the City’s website.Both city staff and SSF Scavenger will continue providing multilingual educational materials and community outreach to organic waste generators explaining and providing information on the requirements of the SB 1383 regulations. City staff will continue to promote and educate our residents,community members,and business community with an emphasis on reaching our small businesses,specifically local restaurants.Every City of South San Francisco Printed on 10/22/2021Page 2 of 5 powered by Legistar™130 File #:21-64 Agenda Date:10/27/2021 Version:1 Item #:9. community with an emphasis on reaching our small businesses,specifically local restaurants.Every effort will be made to use digital and traditional methods of outreach including promotion in our City’s newsletter,advertisement on our City’s social media platforms,by canvassing targeted census blocks and tabling at community events.Additionally,the City will work with the South San Francisco Chamber of Commerce to promote SB 1383 requirements through their networks. In an effort to ensure that our small businesses have the knowledge and resources to comply with SB 1383,the City intends to utilize its participation in the BOOST program.The City has placed SB 1383 outreach efforts on its short list of priority projects.BOOST is a state-wide program tailored to help California cities and towns advance their climate action,resilience,and equity objectives.Much of the BOOST program work focuses on advancing climate change initaives in disadvantaged neighborhoods. The program is designed to provide flexible and responsive technical assistance to address the varying and evolving capacity challenges of local governments,while also sharing best practices and lessons learned to help inform state programs.BOOST is administered through a partnership between the Strategic Growth Council (SGC),the Institute for Local Government,Climate Resolve,California Coalition for Rural Housing,and Farallon Strategies.The City will leverage this work to assist our small and mid sized restaurants. 4)Procure certain levels of recyclable and recovered organic products.The City’s Recovered Organic Waste Product Procurement Policy (Exhibit A to Resolution 21-796 approving the policy)will incorporate environmental considerations,including recycled-content and recovered organic waste product use,into purchasing practices and procurement.CalRecycle will release the official procurement targets for each jurisdiction on January 1,2022,and every five years after that.Scavenger presently produces enough diesel gallon equivalents of renewable natural gas at its anaerobic digestion facility to satisfy the City’s procurement target.While it is believed that SSF Scavenger has met and will continue to meet the procurement target for the City,the City may also procure SB 1383-compliant compost or mulch ensuring the annual target is met. Jurisdictions must also purchase paper products,printing and writing paper with at least 30 percent post- consumer,recycled-content fibers that are recyclable.Businesses from which the City purchases these products will be required to certify compliance in writing. 5)Monitor compliance and conduct enforcement.SB 1383 requires the City to inspect and ensure compliance by covered residential and commercial entities.Before January 1,2024,the City must provide information on compliance by individuals and businesses that violate waste separation and other requirements under SB 1383.After that period,violations are subject to penalties,which will range from $100 to $500 depending on the type of violation. Per the attached MOU (see Resolution 21-795)San Mateo County will inspect and ensure compliance of Tier One and Tier Two food generators in South San Francisco.Enforcement for both Tier One and Tier Two generators will begin as of January 1,2024.After those periods,violations will be subject to penalties and the violation amounts will also range from $100 to $500, depending on the violation type. Jurisdiction Penalties for Non-Compliance Should the City fail to comply with the above-mentioned requirements,the City may also be subject to City of South San Francisco Printed on 10/22/2021Page 3 of 5 powered by Legistar™131 File #:21-64 Agenda Date:10/27/2021 Version:1 Item #:9. Should the City fail to comply with the above-mentioned requirements,the City may also be subject to enforcement action by CalRecycle, which may include the following: ·Conducting more frequent inspections; ·Taking over direct enforcement on non-compliant businesses within the City; ·Establishing a schedule for city compliance and a probationary period; and/or ·Seeking administrative penalties against the City of up to $10,000 per day. Jurisdictions throughout the State must adopt an ordinance or other similarly enforceable mechanism by January 1,2022,to meet the SB 1383 regulations.The ordinance will mandate that organic waste generators, haulers,and other entities subject to the requirements of SB 1383 regulations and subject to the City’s authority, comply with SB 1383 regulatory requirements. FISCAL IMPACT There is no immediate impact to the City or its residents due to implementing the SB 1383 requirements listed above.However,as the requirements intensify (e.g.,compliance monitoring,outreach,and enforcement),a result of anticipated negotiations between the City and its franchisee regarding these duties may eventually result in revised rate schedules.Additionally,to ensure and maintain future compliance,additional city staff and resources will likely be required. RELATIONSHIP TO STRATEGIC PLAN Adoption of an ordinance implementing the requirements of SB 1383 is responsive to the City’s strategic initiatives of building and maintaining a sustainable city as it addresses state legislation related to reducing methane emissions into the environment in consideration of climate change. CONCLUSION Staff recommends that the City Council 1)waive the first reading and introduce an ordinance amending Chapters 8.16 and 8.28,and adding Chapter 8.27 Mandatory Organic Waste Disposal Reduction to the South San Francisco Municipal Code relating to mandatory organic waste disposal reduction and related regulations pursuant to Senate Bill 1383,2)adopt a resolution approving a Memorandum of Understanding with the County of San Mateo to establish an Edible Food Recovery Program consistent with California Code of Regulations,Title 14,Division 7,Chapter 12 (Short-Lived Climate Pollutants);and 3)adopt a resolution approving the City of South San Francisco’s Recovered Organic Waste Product Procurement Policy. Attachment: 1.Staff presentation Associated Resolutions and Exhibits: 1.Ordinance amending Chapters 8.16 and 8.28 and adding Chapter 8.27 Mandatory Organic Waste Disposal Reduction. (#21-65) 2.Resolution approving a Memorandum of Understanding with the County of San Mateo to establish an Edible Food Recovery Program. (#21-795) City of South San Francisco Printed on 10/22/2021Page 4 of 5 powered by Legistar™132 File #:21-64 Agenda Date:10/27/2021 Version:1 Item #:9. 3.Resolution approving the City of South San Francisco’s Recovered Organic Waste Product Procurement Policy. (#21-796) City of South San Francisco Printed on 10/22/2021Page 5 of 5 powered by Legistar™133 Regular City Council Meeting October 27, 2021 SB 1383 Implementation Reducing Short-Lived Climate Pollutants in California 134 Climate Change Negatively Impacts California Landfilled Organic Waste Emits Methane Gas—A Super Pollutant More Powerful than C02 2 135 Organic Waste is the Largest Waste Stream in CA IN CALIFORNIA, MILLIONS ARE FOOD INSECURE 1 IN 8 CALIFORNIANS 1 IN 5 CHILDREN CALIFORNIA THROWS AWAY MORE THAN 6 MILLION TONS OF FOOD WASTE EVERY YEAR! Other Organics 19% Non-Organic Waste 33% Lumber 12% Food 18% Paper 18% California’s Waste Stream 3 136 SB 1383 Targets •Regulations Take Effect2022 •75% reduction in landfilled organic waste2025 •20% increase in recovery of currently disposed food2025 4 137 5 Requirement 1 SSF Scavenger provides a “source separated” three-container collection service, including organic waste collection, to all residents and businesses. Impact: Service level adjustments and related cost for multi-family and commercial properties. Provide organic waste collection services to all residents and businesses. 138 6 Requirement 2 Establish edible food recovery program for all Tier 1 and Tier 2 commercial edible food generators. San Mateo County (Office of Sustainability) to manage and enforce countywide Edible Food Program, per MOU. Impact: •Tier 1 generators –Compliance by 1/1/22 and enforcement to begin 1/1/24. •Tier 2 generators –Compliance and enforcement to begin 1/1/24. 139 7 Requirement 2 (cont’d) Tier 1 Generators •Supermarkets (>$2M) •Grocery stores (>10,000 sq. ft.) •Food service providers •Food distributors •Wholesale food vendors Tier 2 Generators •Restaurants (>5,000 sq. ft. or 250+ seats) •Hotels w/ onsite food facility & 200+ rooms •Health facilities w/ onsite food facility & 100+ beds •Large venues & events •State agency cafeterias >5,000 sq. ft or 250+ seats •Local education agencies w/ onsite food facility 140 8 Requirement 3 Obtain state-mandated organic products and recycled paper. Impacts: •Potential financial impact –purchase or have donated compost to meet annual target. •Staff resources to manage and report compliance to State. Renewable Gas 60%Heat from Renewable Gas 15% Compost 25% Estimated Projection for 2022: 141 9 Requirement 4 Current efforts by City and SSF Scavenger: -Mailers -Dedicated website -City newsletter -Social media -SSF Chamber newsletter -Presentation to -Info tables at city events SSF hoteliers Impact: City, SSF Scavenger, and County to continue outreach efforts helping all generators reach SB 1383 compliance. Conduct education and outreach to all generators. 142 10 Requirement 5 City and SSF Scavenger to implement compliance monitoring program, investigate and maintain records of complaints, issue notices of violation and assess penalties. County to perform same efforts, but for Tier One and Tier Two generators in Edible Food Recovery Program. Impact: City to issue citations and assess penalties for non- compliance. Monitor compliance and conduct enforcement. 143 11 Requirement 5 (cont’d) Steps to gain compliance…. Multifamily properties Commercial businesses Organics collection service Info to tenants Organics collection service Info & training for staff Indoor/Outdoor containers Weekly inspections Violation amounts range $100 to $500. Tier One & Tier Two Generators Organics collection service Edible Food Program Staff training Records & reporting 144 12 Questions 145 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-65 Agenda Date:10/27/2021 Version:1 Item #:9a. Ordinance amending Chapters 8.16 and 8.28,and adding Chapter 8.27 Mandatory Organic Waste Disposal Reduction,of Title 8 of the South San Francisco Municipal Code relating to organic waste disposal and related regulations pursuant to Senate Bill 1383. WHEREAS,the City of South San Francisco,California (“City”)is a municipality,duly organized under the constitution and laws of the State of California; and WHEREAS,in September 2016,Senate Bill 1383 (“SB 1383”)established statewide methane emissions reduction targets in an effort to reduce emissions of short-lived climate pollutants in various sectors of California’s economy; and WHEREAS,SB 1383 includes statewide goals to reduce the disposal of organic waste (food scraps,yard debris, paper products, etc.) and recover edible food for human consumption; and WHEREAS,to meet the SB 1383 regulations,jurisdictions throughout the State are required to adopt an ordinance or other similarly enforceable mechanism by January 1, 2022; and WHEREAS,this ordinance will mandate that organic waste generators,haulers,and other entities subject to the requirements of SB 1383 regulations and subject to the City of South San Francisco’s authority,comply with SB 1383 regulatory requirements; and WHEREAS,through adoption of this ordinance,the City Council desires to amend Chapters 8.16 Solid Waste - Scavenger Services and 8.28 Recyclable Materials;and adding Chapter 8.27 Mandatory Organic Waste Disposal Reduction,of Title 8 of the South San Francisco Municipal Code relating to organic waste disposal and related regulations pursuant to Senate Bill 1383. NOW,THEREFORE,THE CITY COUNCIL OF THE CITY OF SOUTH SAN FRANCISCO,DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1.Findings The City Council of South San Francisco,finds that all Recitals are true and correct and are incorporated herein by reference. SECTION 2.Amendments to the Municipal Code Title 8 of the South San Francisco Municipal Code shall be amended as shown on Exhibit A to this Ordinance, City of South San Francisco Printed on 10/29/2021Page 1 of 2 powered by Legistar™146 File #:21-65 Agenda Date:10/27/2021 Version:1 Item #:9a. attached hereto and incorporated herein. SECTION 3. California Environmental Quality Act (CEQA) This Ordinance is adopted pursuant to CalRecycle’s SB 1383 Regulations.The SB 1383 Regulations were the subject of a program environmental impact report (EIR)prepared by CalRecycle,and the activities to be carried out under this Ordinance are entirely within the scope of the SB 1383 Regulations and that EIR.No mitigation measures identified in the EIR are applicable to the City’s enactment of this Ordinance.Moreover,none of the conditions requiring a subsequent or supplemental EIR,as described in Public Resources Code Section 21166 and California Environmental Quality Act (CEQA)Guidelines Sections 15162 and 15163,have occurred.The EIR therefore adequately analyzes any potential environmental effects of the Ordinance and no additional environmental review is required.On a separate and independent basis,the Ordinance is exempt from CEQA pursuant to Section 15308,Class 8 of the CEQA Guidelines of as an action that will not have a significant impact on the environment and as an action taken by a regulatory agency for the protection of the environment, specifically,for the protection of the climate.There are no unusual circumstances that would cause this Ordinance to have a significant effect on the environment. SECTION 4. Severability If any provision of this ordinance or the application thereof to any person or circumstance is held invalid,the remainder of the ordinance and the application of such provision to other persons or circumstances shall not be affected thereby. SECTION 5.Publication and Effective Date Pursuant to the provisions of Government Code Section 36933,a summary of this Ordinance shall be prepared by the City Attorney.At least five (5)days prior to the Council meeting at which this Ordinance is scheduled to be adopted,the City Clerk shall (1)publish the Summary,and (2)post in the City Clerk’s Office a certified copy of this Ordinance.Within fifteen (15)days after the adoption of this Ordinance,the City Clerk shall (1) publish the summary,and (2)post in the City Clerk’s Office a certified copy of the full text of this Ordinance along with the names of those City Council members voting for and against this Ordinance or otherwise voting. This Ordinance shall be effective on January 1, 2022. City of South San Francisco Printed on 10/29/2021Page 2 of 2 powered by Legistar™147 -1- EXHIBIT A AMENDMENTS AND ADDITIONS TO THE SOUTH SAN FRANCISCO MUNICIPAL CODE SECTION A. Amending Chapter 8.16, “Solid Waste”, of Title 8 of the South San Francisco Municipal Code. Title 8, Chapter 8.16 of the South San Francisco Municipal Code is hereby amended with additions in double-underline and deletions in strikethrough. Sections, subsections and texts that are not amended by this Ordinance are not included below, and shall remain in full force and effect. Chapter 8.16 8.16.010 Establishment of health regulations—Intent. . . . “Solid waste” means all putrescible and nonputrescible residential refuse, commercial solid waste, institutional solid waste, garbage, yard waste and rubbish as defined in Public Resources Code Section 40191, including, without limitation, for the purposes of this chapter (except where specifically excluded) construction debris, demolition debris, recyclable materials and salvageable materials, but excluding hazardous waste and household hazardous waste. means, as defined in Public Resources Code Section 40191, all putrescible and nonputrescible solid, semisolid, and liquid wastes, including garbage, trash, refuse, paper, rubbish, ashes, industrial wastes, demolition and construction wastes, abandoned vehicles and parts thereof, discarded home and industrial appliances, dewatered, treated, or chemically fixed sewage sludge which is not hazardous waste, manure, vegetable or animal solid and semi-solid wastes, and other discarded solid and semisolid wastes, with the exception that Solid Waste does not include any of the following wastes: (1) Hazardous waste, as defined in the State Public Resources Code Section 40141. (2) Radioactive waste regulated pursuant to the State Radiation Control Law (Chapter 8 (commencing with Section 114960) of Part 9 of Division 104 of the State Health and Safety Code). (3) Medical waste regulated pursuant to the State Medical Waste Management Act (Part 14 (commencing with Section 117600) of Division 104 of the State Health and Safety Code). Untreated medical waste shall not be disposed of in a Solid Waste landfill, as defined in State Public Resources Code Section 40195.1. Medical waste that has been treated and deemed to be Solid Waste shall be regulated pursuant to Division 30 of the State Public Resources Code. “Source separated” means, as to recyclable materials, materials that have been separated from solid waste that is not recyclable material and from all other types of recyclable materials by the person generating such solid waste or recyclable materials at the residential, commercial and industrial or institutional property where such solid waste or recyclable materials are generated to form one readily identifiable category of recyclable material as set forth in the definition for “Recyclable materials” above that are saleable without further sorting; and, as to salvageable materials, materials that have been separated from solid waste that is not salvageable material by the person 148 -2- generating such solid waste or salvageable materials at the residential, commercial and industrial or institutional property where such solid waste or salvageable materials are generated. For example, cardboard that has been separated by a business from glass, PET plastic and wet garbage is source separated so long as the separation is accomplished by the generator at the commercial and industrial property where all of such items are generated and all of such items are generated by such business. 8.16.080 Solid waste—Collection. Collections of solid waste shall be made at least once a week; provided, however, that such collections may be made at other intervals within such areas as may from time to time be designated in any agreement between the city and the scavenger, or as provided for in Chapter 8.27 of this Code. The contents of all containers shall be transferred by the scavenger into a vehicle provided by the scavenger and approved by the health officer as being a satisfactory vehicle for such purpose by having a watertight portion in which the refuse is to be deposited and an adequate cover to prevent refuse and/or offensive or noxious fumes or odors escaping therefrom. The scavenger shall remove any solid waste spilled by it on stairs, yards, streets, alleyways or other private or public places, except dump sites, and clean those places. 8.16.090 Segregation of waste matter. The producer or owner of solid waste, recyclable materials and salvageable materials may elect to source separate recyclable materials and salvageable materials for collection by the city’s authorized recycling agent, a junk collector or for other disposition in accordance with Chapters 6.56 and 8.28, except that self-haulers as defined under Chapter 8.27 of this Code shall comply with the source separation requirements of that chapter. . . . SECTION B. Amending Chapter 8.28, “Recyclable Materials”, of Title 8 of the South San Francisco Municipal Code. Title 8, Chapter 8.28 of the South San Francisco Municipal Code is hereby amended with additions in double-underline and deletions in strikethrough. Sections, subsections, and texts that are not amended by this Ordinance are not included below, and shall remain in full force and effect. Chapter 8.28 . . . 8.28.020 Definitions. “Solid waste” means all putrescible and nonputrescible residential refuse, commercial solid waste, institutional solid waste, garbage, yard waste and rubbish as defined in Public Resources Code Section 40191, including, without limitation, for the purposes of this chapter (except where specifically excluded) construction debris, demolition debris, recyclable materials and salvageable materials, but excluding hazardous waste and household hazardous waste. means, as defined in Public Resources Code Section 40191, all putrescible and nonputrescible solid, semisolid, and 149 -3- liquid wastes, including garbage, trash, refuse, paper, rubbish, ashes, industrial wastes, demolition and construction wastes, abandoned vehicles and parts thereof, discarded home and industrial appliances, dewatered, treated, or chemically fixed sewage sludge which is not hazardous waste, manure, vegetable or animal solid and semi-solid wastes, and other discarded solid and semisolid wastes, with the exception that Solid Waste does not include any of the following wastes: (1) Hazardous waste, as defined in the State Public Resources Code Section 40141. (2) Radioactive waste regulated pursuant to the State Radiation Control Law (Chapter 8 (commencing with Section 114960) of Part 9 of Division 104 of the State Health and Safety Code). (3) Medical waste regulated pursuant to the State Medical Waste Management Act (Part 14 (commencing with Section 117600) of Division 104 of the State Health and Safety Code). Untreated medical waste shall not be disposed of in a Solid Waste landfill, as defined in State Public Resources Code Section 40195.1. Medical waste that has been treated and deemed to be Solid Waste shall be regulated pursuant to Division 30 of the State Public Resources Code. “Source separated” means, as to recyclable materials, materials that have been separated from solid waste that is not recyclable material and from all other types of recyclable materials by the person generating such solid waste or recyclable materials at the residential, commercial and industrial or institutional property where such solid waste or recyclable materials are generated to form one readily identifiable category of recyclable material as set forth in the definition for “Recyclable materials” above that are saleable without further sorting; and, as to salvageable materials, materials that have been separated from solid waste that is not salvageable material by the person generating such solid waste or salvageable materials at the residential, commercial and industrial or institutional property where such solid waste or salvageable materials are generated. For example, cardboard that has been separated by a business from glass, PET plastic and wet garbage is source separated so long as the separation is accomplished by the generator at the commercial and industrial property where all of such items are generated and all of such items are generated by such business. . . . SECTION C. Adding Chapter 8.27, “Mandatory Organic Waste Disposal Reduction Ordinance”, to Title 8 of the South San Francisco Municipal Code. Title 8, Chapter 8.27 is hereby added to the South San Francisco Municipal Code to read as follows. Sections and subsections that are not amended by this Ordinance are not included below, and shall remain in full force and effect. 8.27.010 Purpose and Findings 8.27.020 Title of Chapter 8.27.030 Definitions 8.27.040 Requirements for Single-Family Generators 8.27.050 Requirements for Commercial Businesses 8.27.060 Waivers for Generators 8.27.070 Requirements for Tier One and Tier Two Commercial Edible Food Generators 8.27.080 Requirements for Food Recovery Organizations and Services 150 -4- 8.27.090 Haulers and Facility Operators 8.27.100 Self-Hauler Requirements 8.27.110 Compliance with CALGreen Recycling Requirements 8.27.120 Procurement Requirements for City Departments, Direct Service Providers, and Vendors 8.27.130 Inspections and Investigations by City 8.27.140 Enforcement 8.27.010 Purpose and Findings The City of South San Francisco finds and declares: (a) State recycling law, Assembly Bill 939 of 1989, the California Integrated Waste Management Act of 1989 (California Public Resources Code Section 40000, et seq., as amended, supplemented, superseded, and replaced from time to time), requires cities and counties to reduce, reuse, and recycle (including composting) Solid Waste generated in their Jurisdictions to the maximum extent feasible before any incineration or landfill disposal of waste, to conserve water, energy, and other natural resources, and to protect the environment. (b) State recycling law, Assembly Bill 341 of 2011 (approved by the Governor of the State of California on October 5, 2011, which amended Sections 41730, 41731, 41734, 41735, 41736, 41800, 42926, 44004, and 50001 of, and added Sections 40004, 41734.5, and 41780.01 and Chapter 12.8 (commencing with Section 42649) to Part 3 of Division 30 of, and added and repealed Section 41780.02 of, the Public Resources Code, as amended, supplemented, superseded and replaced from time to time), places requirements on businesses and Multi-Family property owners that generate a specified threshold amount of Solid Waste to arrange for recycling services and requires jurisdictions to implement a Mandatory Commercial Recycling program. (c) State organics recycling law, Assembly Bill 1826 of 2014 (approved by the Governor of the State of California on September 28, 2014, which added Chapter 12.9 (commencing with Section 42649.8) to Part 3 of Division 30 of the Public Resources Code, relating to Solid Waste, as amended, supplemented, superseded, and replaced from time to time), requires businesses and Multi-Family property owners that generate a specified threshold amount of Solid Waste, Recycling, and Organic Waste per week to arrange for recycling services for that waste, requires jurisdictions to implement a recycling program to divert Organic Waste from businesses subject to the law, and requires jurisdictions to implement a Mandatory Commercial Organics Recycling program. (d) SB 1383, the Short-lived Climate Pollutant Reduction Act of 2016, requires CalRecycle to develop regulations to reduce organics in landfills as a source of methane. The regulations place requirements on multiple entities including jurisdictions, residential households, Commercial Businesses and business owners, Commercial Edible Food Generators, haulers, Self-Haulers, Food Recovery Organizations, and Food Recovery Services to support achievement of Statewide Organic Waste disposal reduction targets. (e) SB 1383, the Short-lived Climate Pollutant Reduction Act of 2016, requires jurisdictions to adopt and enforce a Chapter or enforceable mechanism to implement relevant provisions 151 -5- of SB 1383 Regulations. This Chapter will also help reduce food insecurity by requiring Commercial Edible Food Generators to arrange to have the maximum amount of their Edible Food, that would otherwise be disposed, recovered for human consumption. (f) Requirements in this Chapter are consistent with other adopted goals and policies of the City including: the City’s General Plan, purchasing procedures, Municipal Code provisions including but not limited to those relating to Water Efficient Landscape (Section 20.300.007) and Construction and Demolition (Chapter 15.60), and greenhouse gas reduction and local climate action goals. 8.27.020 Title of Chapter This chapter shall be entitled “Mandatory Organic Waste Disposal Reduction”. 8.27.030 Definitions The following terms and definitions shall apply for the purposes of this Chapter. Where applicable, the terms and definitions described below shall have the same meaning as set forth under the corresponding provisions of California Code of Regulations, Title 14, §18982.2 (14 CCR §18982.2) and as respectively restated here. If any definition under 14 CCR §18982.2 contradicts a definition set forth in this Chapter, the definition under 14 CCR §18982.2 shall govern. If a definition under 14 CCR §18982.2 is subsequently modified or replaced after the effective date of the enabling ordinance of this Chapter, the definition under 14 CCR §18982.2 shall govern. (a) “Blue Container” shall be used for the purpose of storage and collection of Source Separated Recyclable Materials or Source Separated Blue Container Organic Waste, and means a container where either: (i) The lid of the container is blue in color; or (ii) The body of the container is blue in color and the lid is either blue, gray, or black in color. Hardware such as hinges and wheels on a blue container may be any color. (b) “CalRecycle” means California's Department of Resources Recycling and Recovery, which is the Department designated with responsibility for developing, implementing, and enforcing SB 1383 Regulations on jurisdictions (and others). (c) “California Code of Regulations” or “CCR” means the State of California Code of Regulations. CCR references in this Chapter are preceded with a number that refers to the relevant Title of the CCR (e.g., “14 CCR” refers to Title 14 of CCR). (d) “City” means the City of South San Francisco. (e) “City Enforcement Official” means the City Manager or his or her designee, the City Attorney, or the individual or entity duly authorized by the City, as applicable, who is/are partially or wholly responsible for enforcing the requirements of this Chapter. (f) “Code” means, unless otherwise specified, the South San Francisco Municipal Code. (g) “Commercial Business” or “Commercial” means a firm, partnership, proprietorship, joint- stock company, corporation, or association, whether for-profit or nonprofit, strip mall, industrial facility, or a multifamily residential dwelling. A Multi-Family Residential 152 -6- Dwelling that consists of fewer than five (5) units is not a Commercial Business for purposes of this Chapter. (h) “Commercial Edible Food Generator” includes a Tier One or a Tier Two Commercial Edible Food Generator as defined in subsections 3(uuu) and 3(vvv) of this Section. For the purposes of this definition, Food Recovery Organizations and Food Recovery Services are not Commercial Edible Food Generators. (i) “Compliance Review” means a review of records by the City or its Designee to determine compliance with this Chapter. (j) “Community Composting” means any activity that composts green material, agricultural material, food material, and vegetative food material, alone or in combination, and the total amount of feedstock and Compost on-site at any one time does not exceed 100 cubic yards and 750 square feet. (k) “Compost” means the product resulting from the controlled biological decomposition of organic Solid Wastes that are Source Separated from the municipal Solid Waste stream, or which are separated at a centralized facility. (l) “Compostable Plastics” or “Compostable Plastic” means plastic materials that meet the ASTM D6400 standard for compostability. (m) “Container” means either a Blue, Gray, or Green Container described in this Chapter. (n) “Container Contamination” or “Contaminated Container” means a container, regardless of color, that contains Prohibited Container Contaminants. (o) “C&D” means construction and demolition debris. (p) “Designated Source Separated Organic Waste Facility”, as defined in 14 CCR Section 18982(14.5), means a Solid Waste facility that accepts a Source Separated Organic Waste collection stream as defined in 14 CCR Section 17402(a)(26.6) and complies with one of the following: (1) The facility is a “transfer/processor,” as defined in 14 CCR Section 18815.2(a)(62), that is in compliance with the reporting requirements of 14 CCR Section 18815.5(d), and meets or exceeds an annual average Source Separated organic content Recovery rate of 50 percent between January 1, 2022 and December 31, 2024 and 75 percent on and after January 1, 2025 as calculated pursuant to 14 CCR Section 18815.5(f) for Organic Waste received from the Source Separated Organic Waste collection stream. (A) If a transfer/processor has an annual average Source Separated organic content Recovery rate lower than the rate required in Paragraph 1 of this definition for two (2) consecutive reporting periods, or three (3) reporting periods within three (3) years, the facility shall not qualify as a “Designated Source Separated Organic Waste Facility”. (2) The facility is a “composting operation” or “composting facility” as defined in 14 CCR Section 18815.2(a)(13), that pursuant to the reports submitted under 14 CCR Section 18815.7 demonstrates that the percent of the material removed for landfill disposal that is Organic Waste is less than the percent specified in 14 CCR Section 153 -7- 17409.5.8(c)(2) or 17409.5.8(c)(3), whichever is applicable, and, if applicable, complies with the digestate handling requirements specified in 14 CCR Section 17896.5. (A) If the percent of the material removed for landfill disposal that is Organic Waste is more than the percent specified in 14 CCR Section 17409.5.8(c)(2) or 17409.5.8(c)(3), for two (2) consecutive reporting periods, or three (3) reporting periods within three (3) years, the facility shall not qualify as a “Designated Source Separated Organic Waste Facility.” For the purposes of this ordinance, the reporting periods shall be consistent with those defined in 14 CCR Section 18815.2(a)(49). (q) “Designee” means the person or entity with whom the City has contracted or otherwise arranges to carry out any of the City’s responsibilities of this Chapter For the purpose of Edible Food Recovery administration pursuant to this Chapter only, Designee means the County of San Mateo and its Office of Sustainability. (r) “Donation Dumping” means the actions of a Tier One or Tier Two Commercial Edible Food Generator in supplying food for recovery that the Food Recovery Organization or Food Recovery Service is unable to accept, supplying large amounts of food unfit for human consumption, and /or the self-hauling and dropping off of Edible Food to any Food Recovery Organization or Food Recovery Service without a contract to do so, or in violation of the terms of an existing contract regarding the type of Edible Food accepted, the hours of acceptance of self-haul, or the preparation and packaging requirements. (s) “Edible Food” means food intended for and fit for human consumption and collected or received from a Tier One or Tier Two Commercial Edible Food Generator. For the purposes of this Chapter, “Edible Food” is not Solid Waste if it is recovered and not discarded. Nothing in this Chapter requires or authorizes the Edible Food Recovery that does not meet the food safety requirements of the California Retail Food Code. (t) “Edible Food Recovery” means actions to collect, receive, and/or re-distribute Edible Food for human consumption from Tier One and Tier Two Commercial Edible Food Generators that otherwise would be disposed. (u) “Enforcement Action" means an action of the City taken to address non-compliance with this Chapter including, but not limited to, issuing administrative citations, fines, penalties, or using other remedies. (v) “Excluded Waste” means hazardous substance, hazardous waste, infectious waste, designated waste, volatile, corrosive, medical waste, infectious, regulated radioactive waste, and toxic substances or material that facility operator(s), which receive materials from the City and its generators, reasonably believe(s) would, as a result of or upon acceptance, transfer, processing, or disposal, be a violation of local, State, or Federal law, regulation, or ordinance, including: land use restrictions or conditions, waste that cannot be disposed of in Class III landfills or accepted at the facility by permit conditions, waste that in the City or its Designee’s reasonable opinion would present a significant risk to human health or the environment, cause a nuisance or otherwise create or expose the City, or its Designee, to potential liability; but not including de minimis volumes or concentrations of waste of a type and amount normally found in Single-Family or Multi- 154 -8- Family Solid Waste after implementation of programs for the safe collection, processing, recycling, treatment, and disposal of batteries and paint in compliance with Sections 41500 and 41802 of the California Public Resources Code. (w) “Exclusive Franchise” means the franchise agreement between the city and the Exclusive Franchised Hauler. (x) “Exclusive Franchised Hauler” means the person or entity with whom the City has contracted, as set forth under Chapter 8.16 of this Code, to collect, receive, carry and/or transport solid waste in accordance with the provisions of Chapter 8.16. (y) “Food Distributor” means a company that distributes food to entities including, but not limited to, Supermarkets and Grocery Stores. (z) “Food Facility” means an operation that stores, prepares, packages, serves, vends, or otherwise provides food for human consumption at the retail level, as set forth in Section 113789 of the Health and Safety Code. (aa) “Food Recovery Organization” means an entity that engages in the collection or receipt of Edible Food from Tier One or Tier Two Commercial Edible Food Generators and distributes that Edible Food either directly or through other entities, including, but not limited to: (1) A food bank as defined in Section 113783 of the Health and Safety Code; (2) A nonprofit charitable organization as defined in Section 113841 of the Health and Safety code; and, (3) A nonprofit charitable temporary food facility as defined in Section 113842 of the Health and Safety Code. A Food Recovery Organization is not a Commercial Edible Food Generator for the purposes of this Chapter. (bb) “Food Recovery Service” means a person or entity that collects and transports Edible Food from a Tier One or Commercial Edible Food Generator to a Food Recovery Organization or other entities for Food Recovery. A Food Recovery Service is not a Commercial Edible Food Generator for the purposes of this Chapter. (cc) “Food Scraps” means all food, such as, but not limited to, fruits, vegetables, meat, poultry, seafood, shellfish, bones, rice, beans, pasta, bread, cheese, and eggshells. Food Scraps excludes fats, oils, and grease when such materials are Source Separated from other Food Scraps. (dd) “Food Service Provider” means an entity primarily engaged in providing food services to institutional, governmental, commercial, or industrial locations of others based on contractual arrangements with these types of organizations. (ee) “Food-Soiled Paper” is compostable paper material that has come in contact with food or liquid, such as, but not limited to, compostable paper plates, paper coffee cups, napkins, pizza boxes, and milk cartons, but excluding paper containers that are lined with, or otherwise include, non-compostable materials. (ff) “Food Waste” means Food Scraps, Food-Soiled Paper, and Compostable Plastics. 155 -9- (gg) “Gray Container” shall be used for the purpose of storage and collection of Gray Container Waste and means a container where either: (i) The lid of the container is gray or black in color; or (ii) The body of the container is entirely gray or black in color and the lid is gray or black in color. Hardware such as hinges and wheels on a gray container may be any color. (hh) “Gray Container Waste” means Solid Waste that is collected in a Gray Container that is part of a three-container Organic Waste collection service that prohibits the placement of Organic Waste in the Gray Container as specified in 14 CCR Sections 18984.1(a) and (b), or as otherwise defined in 14 CCR Section 17402(a)(6.5). (ii) “Green Container” shall be used for the purpose of storage and collection of Source Separated Green Container Organic Waste and means a container where either: (i) The lid of the container is green in color. (ii) The body of the container is green in color and the lid is green, gray, or black in color. Hardware such as hinges and wheels on a green container may be any color. (jj) “Greenhouse gas (GHG)” means carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), sulfur hexafluoride (SF6), hydrofluorocarbons (HFC), perfluorocarbons (PFC), and other fluorinated greenhouse gases defined in 14 CCR § 18982. (kk) “Greenhouse gas emission reduction” or “greenhouse gas reduction” means actions designed to achieve a calculated decrease in greenhouse gas emissions over time. (ll) “Grocery Store” means a store primarily engaged in the retail sale of canned food; dry goods; fresh fruits and vegetables; fresh meats, fish, and poultry; and any area that is not separately owned within the store where the food is prepared and served, including a bakery, deli, and meat and seafood departments. (mm) “Hauler Route” means the designated itinerary or sequence of stops for each segment of the City’s collection service area. (nn) “High Diversion Organic Waste Processing Facility” means a facility that is in compliance with the reporting requirements of 14 CCR Section 18815.5(d) and meets or exceeds an annual average Mixed Waste organic content Recovery rate of 50 percent between January 1, 2022 and December 31, 2024, and 75 percent after January 1, 2025, as calculated pursuant to 14 CCR Section 18815.5(e) for Organic Waste received from the “Mixed waste organic collection stream” as defined in 14 CCR Section 17402(a)(11.5). (oo) “Inspection” means a site visit where the City or its Designee reviews records, containers, and an entity’s collection, handling, recycling, or landfill disposal of Organic Waste or Edible Food handling to determine if the entity is complying with requirements set forth in this Chapter, or as otherwise defined in 14 CCR Section 18982(a)(35). For the purposes of Edible Food Recovery in this Chapter, “Inspection” includes actions to review contracts and other records related to the recovery of Edible Food, and may occur off-site via email and other forms of electronic communication, as well as the on-site review of an entity’s records and collection, handling, and other procedures for the recovery of Edible Food to determine if the entity is complying with the requirements of this Chapter. 156 -10- (pp) “Large Event” means an event, including, but not limited to, a sporting event or a flea market, that charges an admission price, or is operated by a local agency, and serves an average of more than 2,000 individuals per day of operation of the event, at a location that includes, but is not limited to, a public, nonprofit, or privately owned park, parking lot, golf course, street system, or other open space when being used for an event. (qq) “Large Venue” means a permanent venue facility that annually seats or serves an average of more than 2,000 individuals within the grounds of the facility per day of operation of the venue facility. For purposes of this Chapter, a venue facility includes, but is not limited to, a public, nonprofit, or privately owned or operated stadium, amphitheater, arena, hall, amusement park, conference or civic center, zoo, aquarium, airport, racetrack, horse track, performing arts center, fairground, museum, theater, or other public attraction facility. For purposes of this Chapter, a site under common ownership or control that includes more than one Large Venue that is contiguous with other Large Venues in the site, is a single Large Venue. (rr) “Local Education Agency” means a school district, charter school, or county office of education that is not subject to the control of city or county regulations related to Solid Waste. (ss) “Multi-Family Residential Dwelling” or “Multi-Family” means, for the purposes of this Chapter, of, from, or pertaining to residential premises with five (5) or more dwelling units. Multi-Family premises do not include hotels, motels, or other transient occupancy facilities, which are considered Commercial Businesses. (tt) “Non-Compostable Paper” includes, but is not limited to, paper that is coated in a plastic material that will not breakdown in the composting process. (uu) “Non-Organic Recyclables” means non-putrescible and non-hazardous recyclable wastes, including but not limited to bottles, cans, metals, plastics and glass, or as otherwise defined in 14 CCR Section 18982(a)(43). (vv) “Notice of Violation (NOV)” means a notice that a violation has occurred that includes a compliance date to avoid an action to seek penalties. (ww) “Organic Waste” means Solid Wastes containing material originated from living organisms and their metabolic waste products, including but not limited to food, green material, landscape and pruning waste, organic textiles and carpets, lumber, wood, Paper Products, Printing and Writing Paper, manure, biosolids, digestate, and sludges or as otherwise defined in 14 CCR Section 18982(a)(46). Biosolids and digestate are as defined by 14 CCR Section 18982(a). (xx) “Organic Waste Generator” means a person or entity that is responsible for the initial creation of Organic Waste. (yy) “Paper Products” include, but are not limited to, paper janitorial supplies, cartons, wrapping, packaging, file folders, hanging files, corrugated boxes, tissue, and toweling. (zz) “Printing and Writing Papers” include, but are not limited to, copy, xerographic, watermark, cotton fiber, offset, forms, computer printout paper, white wove envelopes, manila envelopes, book paper, note pads, writing tablets, newsprint, and other uncoated 157 -11- writing papers, posters, index cards, calendars, brochures, reports, magazines, and publications. (aaa) “Prohibited Container Contaminants” means the following: (i) discarded materials placed in the Blue Container that are not identified as acceptable Source Separated Recyclable Materials for the City or Designee’s Blue Container; (ii) discarded materials placed in the Green Container that are not identified as acceptable Source Separated Green Container Organic Waste for the City or Designee’s Green Container; (iii) discarded materials placed in the Gray Container that are acceptable Source Separated Recyclable Materials and/or Source Separated Green Container Organic Wastes to be placed in the City or Designee’s Green Container and/or Blue Container; and, (iv) Excluded Waste placed in any container. (bbb) “Recovered Organic Waste Products” means products made from California, landfill- diverted recovered Organic Waste processed in a permitted or otherwise authorized facility, or as otherwise defined in 14 CCR Section 18982(a)(60). (ccc) “Recovery” means any activity or process described in 14 CCR Section 18983.1(b), or as otherwise defined in 14 CCR Section 18982(a)(49). (ddd) “Recycled-Content Paper” means Paper Products and Printing and Writing Paper that consists of at least 30 percent, by fiber weight, postconsumer fiber, or as otherwise defined in 14 CCR Section 18982(a)(61). (eee) “Regional Agency” means regional agency as defined in Public Resources Code Section 40181. (fff) “Regional or County Agency Enforcement Official” means a regional or county agency enforcement official, designated by the City with responsibility for enforcing this Chapter. (ggg) “Renewable Gas” means gas derived from Organic Waste that has been diverted from a California landfill and processed at an in-vessel digestion facility that is permitted or otherwise authorized by 14 CCR to recycle Organic Waste, or as otherwise defined in 14 CCR Section 18982(a)(62). (hhh) “Restaurant” means an establishment primarily engaged in the retail sale of food and drinks for on-premises or immediate consumption, or as otherwise defined in 14 CCR Section 18982(a)(64). (iii) “Route Review” means a visual Inspection of containers along a Hauler Route for the purpose of determining Container Contamination, and may include mechanical Inspection methods such as the use of cameras, or as otherwise defined in 14 CCR Section 18982(a)(65). (jjj) “SB 1383” means Senate Bill 1383 of 2016 approved by the Governor on September 19, 2016, which added Sections 39730.5, 39730.6, 39730.7, and 39730.8 to the Health and Safety Code, and added Chapter 13.1 (commencing with Section 42652) to Part 3 of Division 30 of the Public Resources Code, establishing methane emissions reduction targets in a Statewide effort to reduce emissions of short-lived climate pollutants as amended, supplemented, superseded, and replaced from time to time. (kkk) “SB 1383 Regulations” or “SB 1383 Regulatory” means or refers to, for the purposes of this Chapter, the Short-Lived Climate Pollutants: Organic Waste Reduction regulations 158 -12- developed by CalRecycle and adopted in 2020 that created 14 CCR, Division 7, Chapter 12 and amended portions of regulations of 14 CCR and 27 CCR. (lll) “Self-Hauler” means a person, who hauls Solid Waste, Organic Waste or recyclable material he or she has generated to another person, to the extent permitted by Chapter 8.16 of this Code and the Exclusive Franchise. Self-hauler also includes a person who back- hauls waste, or as otherwise defined in 14 CCR Section 18982(a)(66). Back-haul means generating and transporting Organic Waste to a destination owned and operated by the generator using the generator’s own employees and equipment, or as otherwise defined in 14 CCR Section 18982(a)(66)(A). For the purposes of Edible Food Recovery, “Self- Hauler” means a Commercial Edible Food Generator which holds a contract with and hauls Edible Food to a Food Recovery Organization or other site for redistribution according to the requirements of this Chapter. (mmm)“Single-Family” means, for the purpose of this Chapter, of, from, or pertaining to any residential premises with fewer than five (5) units. (nnn) “Solid Waste” has the same meaning as defined in State Public Resources Code Section 40191, which defines Solid Waste as all putrescible and nonputrescible solid, semisolid, and liquid wastes, including garbage, trash, refuse, paper, rubbish, ashes, industrial wastes, demolition and construction wastes, abandoned vehicles and parts thereof, discarded home and industrial appliances, dewatered, treated, or chemically fixed sewage sludge which is not hazardous waste, manure, vegetable or animal solid and semi-solid wastes, and other discarded solid and semisolid wastes, with the exception that Solid Waste does not include any of the following wastes: (1) Hazardous waste, as defined in the State Public Resources Code Section 40141. (2) Radioactive waste regulated pursuant to the State Radiation Control Law (Chapter 8 (commencing with Section 114960) of Part 9 of Division 104 of the State Health and Safety Code). (3) Medical waste regulated pursuant to the State Medical Waste Management Act (Part 14 (commencing with Section 117600) of Division 104 of the State Health and Safety Code). Untreated medical waste shall not be disposed of in a Solid Waste landfill, as defined in State Public Resources Code Section 40195.1. Medical waste that has been treated and deemed to be Solid Waste shall be regulated pursuant to Division 30 of the State Public Resources Code. (ooo) “Source Separated” means materials, including commingled recyclable materials, that have been separated or kept separate from the Solid Waste stream, at the point of generation, for the purpose of additional sorting or processing those materials for recycling or reuse in order to return them to the economic mainstream in the form of raw material for new, reused, or reconstituted products, which meet the quality standards necessary to be used in the marketplace, or as otherwise defined in 14 CCR Section 17402.5(b)(4). For the purposes of this Chapter, Source Separated shall include separation of materials by the generator, property owner, property owner’s employee, property manager, or property manager’s employee into different containers for the purpose of collection such that Source Separated materials are separated from Gray Container Waste/Mixed Waste or other Solid Waste for the purposes of collection and processing. 159 -13- (ppp) “Source Separated Blue Container Organic Waste” means Source Separated Organic Wastes that can be placed in a Blue Container that is limited to the collection of those Organic Wastes and Non-Organic Recyclables. (qqq) “Source Separated Green Container Organic Waste” means Source Separated Organic Waste that can be placed in a Green Container that is specifically intended for the separate collection of Organic Waste by the generator, excluding Source Separated Blue Container Organic Waste, carpets, Non-Compostable Paper, and textiles. (rrr) “Source Separated Recyclable Materials” means Source Separated Non-Organic Recyclables and Source Separated Blue Container Organic Waste. (sss) “State” means the State of California. (ttt) “Supermarket” means a full-line, self-service retail store with gross annual sales of two million dollars ($2,000,000), or more, and which sells a line of dry grocery, canned goods, or nonfood items and some perishable items. (uuu) “Tier One Commercial Edible Food Generator” means a Commercial Edible Food Generator that is one of the following: (1) Supermarket. (2) Grocery Store with a total facility size equal to or greater than 10,000 square feet. (3) Food Service Provider. (4) Food Distributor. (5) Wholesale Food Vendor. (vvv) “Tier Two Commercial Edible Food Generator” means a Commercial Edible Food Generator that is one of the following: (1) Restaurant with 250 or more seats, or a total facility size equal to or greater than 5,000 square feet. (2) Hotel with an on-site Food Facility and 200 or more rooms. (3) Health facility with an on-site Food Facility and 100 or more beds. (4) Large Venue. (5) Large Event. (6) A State agency with a cafeteria with 250 or more seats or total cafeteria facility size equal to or greater than 5,000 square feet. (7) A Local Education Agency facility with an on-site Food Facility. (www) “Uncontainerized Green Waste and Yard Waste Collection Service” or “Uncontainerized Service” means a collection service that collects green waste and yard waste that is placed in a pile or bagged for collection on the street in front of a generator’s house or place of business for collection and transport to a facility that recovers Source Separated Organic Waste. (xxx) “Wholesale Food Vendor” means a business or establishment engaged in the merchant wholesale distribution of food, where food (including fruits and vegetables) is received, 160 -14- shipped, stored, prepared for distribution to a retailer, warehouse, distributor, or other destination. 8.27.040 Requirements for Single-Family Generators Single-Family Organic Waste Generators shall: (a) Be automatically enrolled in the City’s three-container Organic Waste collection services with a minimum Source Separated Recyclable Materials service level of 64 gallons per week, and with a minimum Source Separated Green Container Organic Waste service level of 32 gallons per week. The City or its Designee shall have the authority to change these minimum required levels of service over time. The City or its Designee shall have the right to review the number, size, and location of a generator’s containers to evaluate adequacy of capacity provided for each type of collection service for proper separation of materials and containment of materials; and, generator shall adjust its service level for its collection services as requested by the City or its Designee. (b) Participate in the City’s three-container system for Source Separated Recyclable Materials, Source Separated Green Container organic materials, and Gray Container Waste collection services. Generator participation in the collection programs requires that generators place Source Separated Green Container Organic Waste, including Food Waste, in the Green Container; Source Separated Recyclable Materials in the Blue Container; and Gray Container Waste in the Gray Container. Generators shall not place materials designated for the Gray Container into the Green Container or Blue Container. (c) Nothing in this Section prohibits a generator from preventing or reducing waste generation, managing Organic Waste on site, and/or using a Community Composting site pursuant to 14 CCR Section 18984.9(c). 8.27.050 Requirements for Commercial Businesses Commercial Businesses shall: (a) Be automatically enrolled in the City’s three-container Organic Waste collection services with a Source Separated Recyclable Materials service level of 96-gallons, and with a Source Separated Green Container Organic Waste service level of 32-gallons, as approved by the City or its Designee. The City or its Designee shall have the authority to change the minimum required service levels over time. The Commercial Business’ Source Separated Recyclable Materials service level and Source Separated Green Container Organic Waste service level must be sufficient for the amount of Source Separated Recyclable Materials and Source Separated Green Container Organic Waste generated by the Commercial Business. The City or its Designee shall have the right to review the number, size, and location of a generator’s containers and frequency of collection to evaluate adequacy of capacity provided for each type of collection service for proper separation of materials and containment of materials; and, Commercial Business shall adjust its service level for its collection services as requested by the City or its Designee. (b) Participate in and comply with the City’s three-container (Blue Container, Green Container, and Gray Container) collection service by placing designated materials in 161 -15- designated containers as described below. Generator shall place Source Separated Green Container Organic Waste, including Food Waste, in the Green Container; Source Separated Recyclable Materials in the Blue Container; and Gray Container Waste in the Gray Container. Generators shall not place materials designated for the Gray Container into the Green Container or Blue Container. (c) Supply and allow access to adequate number, size, and location of collection containers with sufficient labels or colors (conforming with Sections (d)(1) and (d)(2) below), for employees, contractors, tenants and customers, consistent with the City’s Blue Container, Green Container, and Gray Container collection service. (d) Excluding Multi-Family Residential Dwellings, provide containers for the collection of Source Separated Green Container Organic Waste, and Source Separated Recyclable Materials in all indoor and outdoor areas where disposal containers are provided for customers, for materials generated by that business. Such containers do not need to be provided in restrooms. If a Commercial Business does not generate any of the materials that would be collected in one type of container, then the business does not have to provide that particular type of container in all areas where disposal containers are provided for customers. Pursuant to 14 CCR Section 18984.9(b), the containers provided by the business shall have either: (1) A body or lid that conforms with the container colors provided through the collection service provided by the City, with either lids conforming to the color requirements or bodies conforming to the color requirements or both lids and bodies conforming to the color requirements. A Commercial Business is not required to replace functional containers, including containers purchased prior to January 1, 2022, that do not comply with the requirements of the subsection prior to the end of the useful life of those containers, or prior to January 1, 2036, whichever comes first. (2) Container labels that include language or graphic images or both indicating the primary material accepted and the primary materials prohibited in that container or containers with imprinted text or graphic images that indicate the primary materials accepted and primary materials prohibited in the container. Pursuant 14 CCR Section 18984.8, the container labels are required on new containers commencing January 1, 2022. (e) Excluding Multi-Family Residential Dwellings, prohibit employees from placing materials in a container not designated for those materials in accordance with the City’s Organic Waste, Non-Organic Recyclables, and non-Organic Waste collection service to the extent practical through education, training, Inspection, and/or other measures. (f) Excluding Multi-Family Residential Dwellings, weekly inspect Blue Container, Green Container, and Gray Containers for contamination and inform employees if containers are contaminated and of the requirements to keep contaminants out of those containers pursuant to 14 CCR Section 18984.9(b)(3). (g) Annually provide information to employees, contractors, tenants, and customers about Organic Waste Recovery requirements and about proper sorting of Source Separated Green Container Organic Waste and Source Separated Recyclable Materials. 162 -16- (h) Provide education information before or within fourteen (14) days of occupation of the premises to new tenants that describes requirements to keep Source Separated Green Container Organic Waste and Source Separated Recyclable Materials separate from Gray Container Waste (when applicable) and the location of containers and the rules governing their use at each property. (i) Provide or arrange access for the City or its Designee, or their respective agents. to their properties during all Inspections conducted in accordance with Section 8.27.130 of this Chapter to confirm compliance with the requirements of this Chapter. (j) Nothing in this Section prohibits a generator from preventing or reducing waste generation, managing Organic Waste on site, or using a Community Composting site pursuant to 14 CCR Section 18984.9(c). (k) Commercial Businesses that are Tier One or Tier Two Commercial Edible Food Generators shall comply with Food Recovery requirements under Section 8.27.070. 8.27.060 Waivers for Generators (a) De Minimis Waivers. The City may grant a de minimis waiver to a Commercial Business for complying with the Organic Waste requirements of this Chapter, if the Commercial Business provides documentation that the business generates below a certain amount of Organic Waste material as described in subsection (a)(2) below. The number of requirements that may be waived pursuant to a waiver granted by the City shall be determined by the City based on the particular operational circumstances of each Commercial Business as demonstrated by the submittals described below. Commercial Businesses requesting a de minimis waiver shall: (1) Submit an application specifying the services that they are requesting a waiver from and provide documentation as noted in subsection (a)(2) below. (2) Provide documentation that either: (A) The Commercial Business’ total Solid Waste collection service is two cubic yards or more per week and Organic Waste subject to collection in a Blue Container or Green Container comprises less than 20 gallons per week per applicable container of the business’ total waste; or, (B) The Commercial Business’ total Solid Waste collection service is less than two cubic yards per week and Organic Waste subject to collection in a Blue Container or Green Container comprises less than 10 gallons per week per applicable container of the business’ total waste. (3) Notify the City if circumstances change such that Commercial Business’s Organic Waste exceeds threshold required for waiver, in which case waiver will be rescinded. (4) Provide written verification of eligibility for de minimis waiver every five years, if the City has approved de minimis waiver. (b) Physical Space Waivers. The City may grant a physical space waiver to a Commercial Business for complying with the recyclable materials and/or Organic Waste collection 163 -17- service requirements of this Chapter, if the City receives evidence from its own staff, its Designee, the Commercial Business requesting a waiver, a licensed architect, or a licensed engineer demonstrating that the premises lacks adequate space for the collection containers required for compliance with the Organic Waste collection requirements of Section 8.27.050. The number of requirements that may be waived pursuant to a waiver granted by the City shall be determined by the City based on the particular operational circumstances of each Commercial Business as demonstrated by the foregoing evidence or the submittals described below. A Commercial Business may request a physical space waiver through the following process: (1) Submit an application form specifying the type(s) of collection services for which they are requesting a compliance waiver. (2) Provide documentation that the premises lacks adequate space for Blue Containers and/or Green Containers including documentation from its hauler, licensed architect, or licensed engineer. (3) Provide written verification to City that it is still eligible for physical space waiver every five years, if City has approved application for a physical space waiver. (c) Collection Frequency Waiver. The City, at its discretion and in accordance with 14 CCR Section 18984.11(a)(3), may allow the owner or tenant of any residence, premises, business establishment or industry that subscribes to the City’s three-container Organic Waste collection service to arrange for the collection of their Blue Container, Gray Container, or both once every fourteen days, rather than once per week. Notwithstanding the grant of an exception under this subsection, however, containers containing putrescible materials must be collected once every seven days. (d) Review and Approval of Waivers. The City Manager or his or her designee shall have the authority to review and approve waivers described in the foregoing sections. 8.27.070 Requirements for Tier One and Tier Two Commercial Edible Food Generators (a) Tier One Commercial Edible Food Generators must comply with the requirements of this Section commencing January 1, 2022, and Tier Two Commercial Edible Food Generators must comply commencing January 1, 2024, pursuant to 14 CCR Section 18991.3. (b) Large Venue or Large Event operators not providing food services, but allowing for food to be provided by others, shall require Food Facilities operating at the Large Venue or Large Event to comply with the requirements of this Section, commencing January 1, 2024. (c) Tier One and Tier Two Commercial Edible Food Generators shall comply with the following requirements: (1) Arrange to recover the maximum amount of Edible Food that would otherwise be disposed. (2) Use the CalRecycle Model Food Recovery Agreement or the contractual elements contained in Section 8.27.080 of this Chapter to contract with, or otherwise enter 164 -18- into a written agreement with Food Recovery Organizations or Food Recovery Services for: (A) the collection of Edible Food for Food Recovery; or, (B) the acceptance of the Edible Food that the Commercial Edible Food Generator self-hauls to the Food Recovery Organization for Food Recovery. (3) Contract with Food Recovery Organizations and Food Recovery Services able to demonstrate a positive reduction in greenhouse gas emissions from their Edible Food Recovery activity. (4) Shall not intentionally spoil Edible Food that is capable of being recovered by a Food Recovery Organization or a Food Recovery Service. (5) Allow the City or its Designee access to the premises and to inspect procedures and review records and provide such records electronically if requested by the City or its Designee. (6) Keep records that include the following information: (A) A list of each Food Recovery Organization or a Food Recovery Service that collects or receives Edible Food from the Tier One or Tier Two Commercial Edible Food Generator pursuant to a contract or written agreement as required by this Chapter. (B) A copy of all contracts or written agreements established under the provisions of this Chapter. (C) A record of the following information for each of those Food Recovery Services or Food Recovery Organizations: (i) The name, address and contact information of the Food Recovery Service or Food Recovery Organization. (ii) The types of food that will be collected by or self-hauled to the Food Recovery Service or Food Recovery Organization. (iii) The established schedule or frequency that food will be collected or self-hauled. (iv) The quantity of food, measured in pounds recovered per month, collected or self-hauled to a Food Recovery Service or Food Recovery Organization for Food Recovery. (7) No later than June 30th of each year commencing no later than July 1, 2022 for Tier One Commercial Edible Food Generators and July 1, 2024 for Tier Two Commercial Edible Food Generators, provide an annual Food Recovery report to the City that includes the following information: a list of all contracts with Food Recovery Organizations and Food Recovery Services, the amount and type of Edible Food donated to Food Recovery Organizations and Food Recovery Services, the schedule of Edible Food pickup by Food Recovery Organizations and Food Recovery Services, a list of all types of Edible Food categories they generate, such as “baked goods,” that are not accepted by the Food Recovery Organizations and 165 -19- Food Recovery Services with whom they contract, the contact information for the manager and all staff responsible for Edible Food Recovery, and certification that all staff responsible for Edible Food Recovery have obtained a food handler card through an American National Standards Institute (ANSI) accredited training provider that meets ASTM International E2659-09 Standard Practice for Certificate Programs, such as ServSafe. With the exception of the food safety and handling training certification, Tier One and Teir Two Commercial Edible Food Generators may coordinate with their Edible Food Recovery contractors to supply this information. (8) Require all Edible Food Recovery staff to comply with applicable donation guidelines or other similar regulations established by and that are most currently in effect for each Food Recovery Organization or Food Recovery Service with which the Generator contracts, and to attend trainings conducted by regarding best practices and requirements for the timely identification, selection, preparation, and storage of Edible Food to ensure the maximum amount of Edible Food is recovered and to avoid supplying food for collection that is moldy, has been improperly stored, or is otherwise unfit for human consumption. (9) For Tier One and Tier Two Commercial Edible Food Generators who self-haul Edible Food, require all staff transporting Edible Food for recovery to obtain a food handler card through an American National Standards Institute (ANSI) accredited training provider that meets ASTM International E2659-09 Standard Practice for Certificate Programs, such as ServSafe and follow the best practices and standards for proper temperature control, methods, and procedures for the safe handling and transport of food. (d) Nothing in this Chapter shall be construed to limit or conflict with the protections provided by the California Good Samaritan Food Donation Act of 2017, the Federal Good Samaritan Act, or share table and school food donation guidance pursuant to Senate Bill 557 of 2017 (approved by the Governor of the State of California on September 25, 2017, which added Article 13 [commencing with Section 49580] to Chapter 9 of Part 27 of Division 4 of Title 2 of the Education Code, and to amend Section 114079 of the Health and Safety Code, relating to food safety, as amended, supplemented, superseded and replaced from time to time). 8.27.080 Requirements for Food Recovery Organizations and Services (a) Food Recovery Services operating in the City collecting or receiving Edible Food directly from Tier One and/or Tier Two Commercial Edible Food Generators, via a contract or written agreement established under the requirements of this Chapter, shall maintain the following records: (1) The name, address, and contact information for each Tier One and Tier Two Commercial Edible Food Generator from which the service collects Edible Food. (2) The quantity in pounds of Edible Food by type collected from each Tier One and Tier Two Commercial Edible Food Generator per month. 166 -20- (3) The quantity in pounds of Edible Food by type transported to each Food Recovery Organization or redistribution site per month. (4) The name, address, and contact information for each Food Recovery Organization or redistribution site that the Food Recovery Service transports Edible Food to for Edible Food Recovery. (b) Food Recovery Organizations operating in the City collecting or receiving Edible Food directly from Tier One and/or Tier Two Commercial Edible Food Generators, via a contract or written agreement established under the requirements of this Chapter, or receiving Edible Food from Food Recovery Services or from other Food Recovery Organizations, shall maintain the following records: (1) The name, address, and contact information for each Tier One and Tier Two Commercial Edible Food Generator, Food Recovery Service, or other Food Recovery Organization from which the organization collects or receives Edible Food. (2) The quantity in pounds of Edible Food by type collected or received from each Tier One or Tier Two Commercial Edible Food Generator, Food Recovery Service, or other Food Recovery Organization per month. (3) The name, address, and contact information for each Food Recovery Organizations or redistribution sites that the Food Recovery Organization transports Edible Food to for Edible Food Recovery. (c) Food Recovery Organizations and Food Recovery Services operating in the City shall inform Tier One and Tier Two Commercial Edible Food Generators from which they collect or receive Edible Food about California and Federal Good Samaritan Food Donation Act protection in written communications, such as in their contract or agreement established as required by this Chapter. (d) Commencing no later than July 1, 2022, Food Recovery Organizations and Food Recovery Services operating in the City and collecting or receiving Edible Food from Tier One and Tier Two Commercial Edible Food Generators or any other source shall report to the City or its Designee the following: a detailed Edible Food activity report of the information collected as required under this Chapter, including weight in pounds by type and source of Edible Food, the schedule/frequency of pickups/drop-offs of Edible Food from/to each Edible Food source or redistribution site, brief analysis of any necessary process improvements or additional infrastructure needed to support Edible Food Recovery efforts, such as training, staffing, refrigeration, vehicles, etc., and an up to date list of Tier One and Tier Two Commercial Edible Food Generators with whom they have contracts or agreements established as required under this Chapter. This Edible Food activity report shall be submitted quarterly, or at the discretion of the City or its Designee, less frequently, and shall cover the activity that occurred since the period of the last submission. (e) Prior to executing new agreements or contracts with Tier One or Tier Two Commercial Edible Food Generators, Food Recovery Organizations and Food Recovery Services operating in the City shall consult and review with the City or its Designee the requirements of this Chapter in or to ensure compliance with the requirements described herein. In addition, it shall be the responsibilities of Food Recovery Organizations and Food 167 -21- Recovery Services operating in the City to ensure that any existing agreements with Tier One or Tier Two Commercial Edible Food Generators comply with the requirements of this Chapter after the effective date of the enabling ordinance, including consulting with the City or its Designee the necessary steps to be taken for compliance. (f) In order to provide the required records to the State, the City or its Designee, and Tier One or Tier Two Commercial Edible Food Generators, contracts between Food Recovery Organizations and Food Recovery Services operating in the City and Tier One and Tier Two Commercial Edible Food Generators shall either: (1) Use the Model Food Recovery Agreement developed by CalRecycle and include provisions requiring the Food Recovery Organization or Food Recovery Service to report to the Tier One and Tier Two Commercial Edible Food Generators with whom they have contracts the annual amount of Edible Food recovered and to inform them of the tax benefits available to those who donate Edible Food to non- profits. (2) Or, if the CalRecycle Model is not utilized, include in their contracts the following elements: (A) List/description of allowable foods the Food Recovery Organization/Food Recovery Service will receive. (B) List/description of foods not accepted by the Food Recovery Organization/Food Recovery Service. (C) Conditions for refusal of food. (D) Food safety requirements, training, and protocols. (E) Transportation and storage requirements and training. (F) A protocol for informing the Tier One or Tier Two Commercial Edible Food Generators of a missed or delayed pickup. (G) Notice that donation dumping is prohibited. (H) Provisions to collect sufficient information to meet the record- keeping requirements of this Chapter. (I) Fees/financial contributions/acknowledgement of terms for the pickup and redistribution of Edible Food. (J) Terms and conditions consistent with the CalRecycle Model Food Recovery Agreement. (K) Information supplying the Tier One or Tier Two Commercial Edible Food Generators with the annual amount of Edible Food recovered and informing them of the tax benefits that may be available to those who donate Edible Food to non-profits. (L) Contact name, address, phone number, and email for both responsible parties, including the current on-site staff responsible for Edible Food Recovery. 168 -22- (M) Food Recovery Organizations accepting self-hauling of Edible Food from Tier One and Tier Two Commercial Edible Food Generators must provide a schedule, including days of the week and acceptable times for drop-offs, and information about any limitation on the amount of food accepted, and/or the packaging requirements or other conditions of transport, such as, but not limited to, maintaining proper temperature control, and other requirements for the safe handling and transport of food, the self-hauler must follow for the Edible Food to be accepted. (g) Food Recovery Organizations and Food Recovery Services operating in the City shall demonstrate that all persons, including volunteers and contracted workers using their own vehicle, involved in the handling or transport of Edible Food, have obtained a food handler card through an American National Standards Institute (ANSI) accredited training provider that meets ASTM International E2659-09 Standard Practice for Certificate Programs, such as ServSafe. (h) Food Recovery Organizations and Food Recovery Services operating in the City shall use the appropriate temperature control equipment and methods and maintain the required temperatures for the safe handling of Edible Food recovered from Tier One and Tier Two Commercial Edible Food Generators for the duration of the transportation of the Edible Food for redistribution, including Edible Food transported by private vehicles. (i) In order to ensure recovered Edible Food is eaten and to prevent donation dumping, Food Recovery Organizations and Food Recovery Services operating in the City shall provide documentation that all redistribution sites which are not themselves Food Recovery Organizations to which they deliver Edible Food have a feeding or redistribution program in place to distribute, within a reasonable time, all the Edible Food they receive. Such documentation may include a website address which explains the program or pamphlets/brochures prepared by the redistribution site. (j) Food Recovery Organizations and Food Recovery Services operating in the City unable to demonstrate a positive reduction in GHG emissions for their Edible Food Recovery operational model cannot contract with Tier One and Tier Two Commercial Edible Food Generators in the City for the purpose of recovering Edible Food as defined in this Chapter. Food Recovery Organizations and Food Recovery Services contracting to recover Edible Food from a Tier One and Tier Two Commercial Edible Food Generator for redistribution shall consult with the City or its Designee to document that their overall operational model will achieve a greenhouse gas emissions reduction. Such review may analyze route review, miles traveled for pick-up and redistribution, amount of food rescued, and the likelihood of consumption after redistribution. (k) Food Recovery Organizations and Food Recovery Services operating in the City shall inspect all Edible Food recovered or received from a Tier One and Tier Two Commercial Edible Food Generator. If significant spoilage is found, or if the food is otherwise found to be unfit for redistribution for human consumption, Food Recovery Organizations and Food Recovery Services shall immediately notify the City or its Designee using a notification process to be set by the City or its Designee. Such notice shall include: 169 -23- (1) The type and amount, in pounds, of spoiled food or food unfit for redistribution for human consumption, or provide a photographic record of the food, or both. (2) The date and time such food was identified. (3) The name, address and contact information for the Tier One or Tier Two Commercial Edible Food Generator which provided the food. (4) The date and time the food was picked up or received. (5) A brief explanation of why the food was rejected or refused. (l) Contracts between Tier One or Tier Two Commercial Edible Food Generators and Food Recovery Organizations or Food Recovery Services shall not include any language prohibiting Tier One or Tier Two Commercial Edible Food Generators from contracting or holding agreements with multiple Food Recovery Organizations or Food Recovery Services. (m) Food Recovery Organizations and Food Recovery Services operating in the City shall conduct trainings and develop educational material such as donation guidelines and handouts to provide instruction and direction to Tier One and Tier Two Commercial Edible Food Generators with whom they contract regarding best practices and requirements for the timely identification, selection, preparation, and storage of Edible Food to ensure the maximum amount of Edible Food is recovered and to avoid the collection of food that is moldy, has been improperly stored, or is otherwise unfit for human consumption. (n) Edible Food Recovery Capacity Planning (1) Food Recovery Services and Food Recovery Organizations. In order to support Edible Food Recovery capacity planning assessments or other such studies, Food Recovery Services and Food Recovery Organizations operating in the City shall provide information and consultation to the City or its Designee upon request, regarding existing, or proposed new or expanded, Edible Food Recovery capacity that could be accessed by the City and its Tier One and Tier Two Commercial Edible Food Generators. A Food Recovery Service or Food Recovery Organization contacted by the City or its Designee shall respond to such requests for information within 60 days. (o) Allow the City or its Designee to access the premises and inspect procedures and review records related to Edible Food Recovery and/or provide them electronically if requested by the City or its Designee. 8.27.090 Requirements for Haulers and Facility Operators (a) Requirements for Haulers (1) Exclusive Franchised Hauler and permitted haulers as authorized by the Exclusive Franchise and Chapter 8.16 of this Code, providing residential, Commercial, or industrial Organic Waste collection services to generators within the City’s boundaries shall meet the following requirements and standards as a condition of approval of a contract, agreement, or other authorization with the City to collect Organic Waste: 170 -24- (A) Through written notice to the City annually on or before December 31 of each year identify the facilities to which they will transport Organic Waste including facilities for Source Separated Recyclable Materials, Source Separated Green Container Organic Waste, and Mixed Waste. (B) Transport Source Separated Recyclable Materials, Source Separated Green Container Organic Waste, and Mixed Waste to a facility, operation, activity, or property that recovers Organic Waste as defined in 14 CCR, Division 7, Chapter 12, Article 2. (C) Obtain approval from the City or its Designee to haul Organic Waste, unless it is transporting Source Separated Organic Waste to a Community Composting site or lawfully transporting C&D in a manner that complies with 14 CCR Section 18989.1, Section 8.27.110 of this Chapter, and applicable City C&D requirements under this Code. (2) Exclusive Franchised Hauler, and permitted haulers as authorized by the Exclusive Franchise and Chapter 8.16 of this Code, authorized to collect Organic Waste in the City shall comply with education, equipment, signage, container labeling, container color, contamination monitoring, reporting, and other requirements contained within its franchise agreement, this Code or other regulations, or other agreement entered into with City. (b) Requirements for Facility Operators and Community Composting Operations (1) Owners of facilities, operations, and activities that recover Organic Waste, including, but not limited to, Compost facilities, in-vessel digestion facilities, and publicly-owned treatment works shall, upon the City or its Designee’s request, provide information regarding available and potential new or expanded capacity at their facilities, operations, and activities, including information about throughput and permitted capacity necessary for planning purposes. Entities contacted by the City or its Designee shall respond within 60 days. (2) Community Composting operators, upon the City or its Designee’s request, shall provide information to the City or its Designee to support Organic Waste capacity planning, including, but not limited to, an estimate of the amount of Organic Waste anticipated to be handled at the Community Composting operation. Entities contacted by the City or its Designee shall respond within 60 days. 8.27.100 Self-Hauler Requirements (a) Self-Haulers shall source separate all recyclable materials and Organic Waste generated on-site from Solid Waste in a manner consistent with 14 CCR Sections 18984.1 and 18984.2, or shall haul Organic Waste to a High Diversion Organic Waste Processing Facility as specified in 14 CCR Section 18984.3.(b) Self-Haulers shall haul their Source Separated Recyclable Materials to a facility that recovers those materials; and haul their Source Separated Green Container Organic Waste to a Solid Waste facility, operation, activity, or property that processes or recovers Source Separated Organic Waste. Alternatively, Self-Haulers may haul Organic Waste to a High Diversion Organic Waste Processing Facility. 171 -25- (c) Commercial Business Self-Haulers shall keep a record of the amount of Organic Waste delivered to each Solid Waste facility, operation, activity, or property that processes or recovers Organic Waste; this record shall be subject to Inspection by the City or its Designee. If requested in writing, the Commercial Business Self-Hauler shall provide the record to City or its Designee. The records shall include the following information: (1) Delivery receipts and weight tickets from the entity accepting the waste. (2) The amount of material in cubic yards or tons transported by the generator to each entity. (3) If the material is transported to an entity that does not have scales on-site, or employs scales incapable of weighing the Self-Hauler’s vehicle in a manner that allows it to determine the weight of materials received, the Self-Hauler is not required to record the weight of material but shall keep a record of the entities that received the Organic Waste. 8.27.110 Compliance with CALGreen Recycling Requirements (a) Any individual or entity submitting an application for a building permit from the City shall comply with the requirements of this Section and all applicable requirements of the California Green Building Standards Code, 24 CCR, Part 11, known as CALGreen, as amended and adopted by reference under Title 15 of this Code. If the requirements of CALGreen are more stringent than the requirements of this Section, the CALGreen requirements shall apply. (b) Applicants with projects subject to CALGreen requirements must, as a condition of building permit issuance, comply with the following: (1) Where five (5) or more Multi-Family dwelling units are constructed on a building site, provide readily accessible areas that serve occupants of all buildings on the site and are identified for the storage and collection of Blue Container and Green Container materials, consistent with the three-container collection program offered by the City, or comply with provision of adequate space for recycling for Multi- Family and Commercial premises pursuant to applicable CALGreen requirements most recently in effect as adopted by reference under Title 15 of this Code. (2) Where new Commercial construction or additions result in more than 30% of the floor area, provide readily accessible areas identified for the storage and collection of Blue Container and Green Container materials, consistent with the three- container collection program offered by the City, or comply with provision of adequate space for recycling for Multi-Family and Commercial premises pursuant to applicable CALGreen requirements most recently in effect as adopted by reference under Title 15 of this Code. (3) For all projects, comply with CALGreen requirements and applicable state, federal and local law related to management of C&D, including diversion of Organic Waste in C&D from disposal, and all City ordinances, regulations and guidelines regarding the collection, recycling, diversion, tracking, and/or reporting of C&D, including Chapter 8.16 of this Code. 172 -26- 8.27.120 Procurement Requirements for City Departments, Direct Service Providers, and Vendors (a) The City’s departments, and direct service providers to the City, as applicable, must comply with the City’s Recovered Organic Waste Product procurement policy most recently in effect and as may be amended from time to time, and Recycled-Content Paper procurement policy most recently in effect and as may be amended from time to time. The City Manager shall have the authority to adopt as necessary administrative instructions to implement the procurement policies described herein. (b) All vendors providing Paper Products and Printing and Writing Paper shall: (1) If fitness and quality are equal, provide Recycled-Content Paper Products and Recycled-Content Printing and Writing Paper that consists of at least 30 percent, by fiber weight, postconsumer fiber instead of non-recycled products whenever recycled Paper Products and Printing and Writing Paper are available at the same or lesser total cost than non-recycled items. (2) Provide Paper Products and Printing and Writing Paper that meet Federal Trade Commission recyclability standard as defined in 16 Code of Federal Regulations (CFR) Section 260.12. (3) Certify in writing, under penalty of perjury, the minimum percentage of postconsumer material in the Paper Products and Printing and Writing Paper offered or sold to the City. This certification requirement may be waived if the percentage of postconsumer material in the Paper Products, Printing and Writing Paper, or both can be verified by a product label, catalog, invoice, or a manufacturer or vendor internet website. (4) Certify in writing, on invoices or receipts provided, that the Paper Products and Printing and Writing Paper offered or sold to the City is eligible to be labeled with an unqualified recyclable label as defined in 16 Code of Federal Regulations (CFR) Section 260.12 (2013). (5) Provide records to the City or its Designee in accordance with the City’s Recycled- Content Paper procurement policy(ies) of all Paper Products and Printing and Writing Paper purchases within thirty (30) days of the purchase (both recycled- content and non-recycled content, if any is purchased) made by any division or department or employee of the City. Records shall include a copy (electronic or paper) of the invoice or other documentation of purchase, written certifications as required in Sections (b)(3) and (b)(4) of this Section for recycled-content purchases, purchaser name, quantity purchased, date purchased, and recycled content (including products that contain none), and if non-recycled content Paper Products or Printing and Writing Papers are provided, include a description of why Recycled- Content Paper Products or Printing and Writing Papers were not provided. 8.27.130 Inspections and Investigations by City (a) The City or its Designee are authorized to conduct Inspections and investigations, at random or otherwise, of any collection container, collection vehicle loads, or transfer, 173 -27- processing, or disposal facility for materials collected from generators, or Source Separated materials to confirm compliance with this Chapter by Organic Waste Generators, Commercial Businesses (including Multi-Family Residential Dwellings), property owners, Tier One and Tier Two Commercial Edible Food Generators, haulers, Self-Haulers, Food Recovery Services, and Food Recovery Organizations, subject to applicable laws. This Section shall not be construed to allow the City or its Designee to enter the interior of a private residential property for Inspection. (b) Regulated entities shall provide or arrange for access during all Inspections (with the exception of residential property interiors) and shall cooperate with the City or its Designee during such Inspections and investigations. Such Inspections and investigations may include confirmation of proper placement of materials in containers, Edible Food Recovery activities, records, or any other requirement of this Chapter. Failure to provide or arrange for: (i) access to an entity’s premises; or (ii) access to records for any Inspection or investigation is a violation of this Chapter and may result in penalties described. (c) Any records obtained by the City or its Designee during its Inspections, and other reviews shall be subject to the requirements and applicable disclosure exemptions of the Public Records Act as set forth in Government Code Section 6250 et seq. (d) The City and its Designee, and their respective representatives, are authorized to conduct any Inspections, or other investigations as reasonably necessary to further the goals of this Chapter, subject to applicable laws. (e) The City or its Designee shall receive written complaints from persons regarding an entity that may be potentially non-compliant with SB 1383 Regulations, including receipt of anonymous complaints. Complaints shall be received and processed as follows: (1) Complaints shall be submitted in writing and shall include the following information: A. If the complaint is not anonymous, the name and contact information of the complainant. B. The identity of the alleged violator, if known. C. A description of the alleged violation including location(s) and all other relevant facts known to the complainant. D. Any relevant photographic or documentary evidence to support the allegations in the complaint. E. The identity of any witnesses, if known. (2) The City or its Designee shall review the complaint for compliance with the foregoing requirements of subsection (e)(1) and determine whether the allegations, if proven true, would constitute a violation of this Chapter. If so, the City or its Designee shall commence an investigation within 90 days of receiving the complaint. The City or its Designee may decline to investigate a complaint if, in its judgment, investigation is unwarranted because the allegations are contrary to facts known to it. 174 -28- (3) If the identity and contact information of the complainant are known, the City or its Designee shall provide notice to the complainant upon conclusion of the investigation the status or results of their complaint. (4) The City shall maintain records of all complaints and responses pursuant to this section as required by 14 CCR Section 18995.2, as may be amended. The records shall include the complaint as received and the City's determination of compliance or notice of violations issued. (5) The City Manager is authorized to adopt administrative regulations to further implement or effectuate the requirements of this subsection. 8.27.140 Enforcement (a) Violation of any provision of this Chapter shall be subject to the administrative citation process and abatement procedure set forth under Chapter 8.54 of this Code by a City Enforcement Official or Regional or County Agency Enforcement Official, except that the lien procedure described under Articles V and VI of Chapter 8.54 shall not apply to violations under this Chapter. (b) In addition, a violation of this chapter may be remedied by any means available to the City to remedy a violation of this Code. The City or its Designee may pursue civil actions in the California courts to seek recovery of unpaid administrative citations, or may choose to delay court action until such time as a sufficiently large number of violations, or cumulative size of violations exist such that court action is a reasonable use of City or Designee staff and resources. (c) Responsible Entity for Enforcement. (1) Enforcement pursuant to this Chapter may be undertaken by a City Enforcement Official. (2) Enforcement may also be undertaken by a Regional or County Agency Enforcement Official in consultation with the City Enforcement Official. (3) City Enforcement Official(s) and Regional or County Enforcement Official(s) will interpret the provisions of this Chapter; determine the applicability of waivers, if violation(s) have occurred; implement Enforcement Actions; and, determine if compliance standards are met. (4) City Enforcement Official(s) and Regional or County Agency Enforcement Official(s) may issue Notices of Violation(s) as provided in this Chapter. (d) Process for Enforcement. (1) The City Enforcement Official or the Regional or County Enforcement Official undertaking enforcement responsibilities pursuant to this Chapter shall monitor compliance with this Chapter through random means by utilizing Compliance Reviews, Route Reviews, investigation of complaints, and an Inspection program. Section 8.27.130 establishes City’s right to conduct Inspections and investigations. 175 -29- (2) The City or its Designee shall have the authority to issue an official notification to notify regulated entities of its obligations under this Chapter. (3) Issuance of a Notice of Violation. (A) For incidences of Prohibited Container Contaminants found in containers, except those incidences relating to Edible Food Recovery, the City Enforcement Official or the Regional or County Enforcement Official shall issue a Notice of Violation to any generator found to have Prohibited Container Contaminants in a container. (B) Such notice will be provided via a cart tag or other communication immediately upon identification of the Prohibited Container Contaminants or within twenty-four (24) hours after determining that a violation has occurred. (C)If the City Enforcement Official or the Regional or County Enforcement Official observes Prohibited Container Contaminants in a generator’s containers on more than two (2) consecutive occasion(s) or more than three (3) times in any twelve (12) month period, the City Enforcement Official or the Regional or County Enforcement Official may assess contamination processing fees or contamination penalties on the generator. (ii)(A) For incidences of Prohibited Container Contaminants found in containers relating to Edible Food Recovery, the City Enforcement Official or the Regional or County Enforcement Official shall issue a Notice of Violation to any Tier One or Tier Two Commercial Edible Food Generator found to have Edible Food in any container or to any Food Recovery Organization or Food Recovery Service found to have Edible Food recovered from a Tier One or Tier Two Edible Food Generator in a container which has not been documented by a notice of significant spoilage as required by Section 8.27.080. (B) Such notice will be provided by electronic mail or other means of communication immediately upon identification of the Prohibited Container Contaminants or within three (3) days after determining that a violation has occurred. (C) If the City Enforcement Official or the Regional or County Enforcement Official observes Prohibited Container Contaminants, such as Edible Food, in a Tier One or Tier Two Commercial Edible Food Generator, or Food Recovery Organization, or Food Recovery Service container on more than two (2) consecutive occasion(s), the City Enforcement Official or the Regional or County Enforcement Official may assess an administrative citation and fine, pursuant to the penalties provisions contained in this Chapter, on the Tier One or Tier Two Commercial Edible Food Generator, Food Recovery Organization, or Food Recovery Service. (4) With the exception of Prohibited Container Contaminants violations addressed under Section 8.27.140(d)(3) and violations related to Edible Food Recovery, the City Enforcement Official or the Regional or County Enforcement Official shall issue a Notice of Violation requiring compliance within 60 days of issuance of the notice. For violations related to Edible Food Recovery, the City Enforcement 176 -30- Official or the Regional or County Enforcement Official may issue a Notice of Violation requiring compliance within 7 days of issuance of the Notice. (5) Absent compliance by the respondent within the deadline set forth in the Notice of Violation as described above, the City shall commence an action to impose penalties, via an administrative citation and fine, pursuant to Chapter 8.54 of this Code or any other remedy available to the City. Notices shall be sent to the property owner at the official address of the owner maintained by the tax collector for the City or if no such address is available, to the owner at the address of the dwelling or Commercial property or to the party responsible for paying for the collection services, depending upon available information. (e) Penalty Amounts for Types of Violations. Violations of this Chapter shall be subject to the following fines: (A) For a first violation, the amount of the base penalty shall be $100 per violation. (B) For a second violation, the amount of the base penalty shall be $200 per violation. (C) For a third or subsequent violation, the amount of the base penalty shall be $500 per violation. (f) Factors Considered in Determining Penalty Amount. The following factors shall be used to determine the amount of the penalty for each violation within the appropriate penalty amount range: (1) The nature, circumstances, and severity of the violation(s). (2) The violator’s ability to pay. (3) The willfulness of the violator's misconduct. (4) Whether the violator took measures to avoid or mitigate violations of this chapter. (5) Evidence of any economic benefit resulting from the violation(s). (6) The deterrent effect of the penalty on the violator. (7) Whether the violation(s) were due to conditions outside the control of the violator. (g) Compliance Deadline Extension Considerations. The City may extend the compliance deadlines set forth in a Notice of Violation issued in accordance with Section 8.27.140 if it finds that there are extenuating circumstances based on evidence presented in the record before it that are beyond the control of the respondent that make compliance within the deadlines impracticable, including but not limited to the following: (1) Acts of God such as earthquakes, wildfires, flooding, and other emergencies or natural disasters; (2) Delays in obtaining discretionary permits or other government agency approvals; or, 177 -31- (3) Deficiencies in Organic Waste recycling infrastructure or Edible Food Recovery capacity and the City is under a corrective action plan with CalRecycle pursuant to 14 CCR Section 18996.2 due to those deficiencies. (h) Appeals Process. Persons receiving an administrative citation containing a penalty for an uncorrected violation may request a hearing to appeal the citation pursuant to Chapter 8.54 of this Code. (i) Education Period for Non-Compliance. Beginning January 1, 2022 and through December 31, 2023, the City or its Designee will conduct Inspections, Route Reviews or waste evaluations, and Compliance Reviews, depending upon the type of regulated entity, to determine compliance, and if City or its Designee determines that an Organic Waste Generator, hauler, Tier One Commercial Edible Food Generator, Food Recovery Organization, Food Recovery Service, or other entity is not in compliance, it shall provide educational materials and/or, for the purposes of Edible Food Recovery, training to the entity describing its obligations under this Chapter and a notice that compliance is required by January 1, 2022, and that violations may be subject to administrative civil penalties starting on January 1, 2024. (j) Civil Penalties for Non-Compliance. Beginning January 1, 2024, if the City or its Designee determines that an Organic Waste Generator, Self-Hauler, hauler, Tier One or Tier Two Commercial Edible Food Generator, Food Recovery Organization, Food Recovery Service, or other entity is not in compliance with this Chapter, it shall document the noncompliance or violation, issue a Notice of Violation, and take Enforcement Action pursuant to this Section 8.27.140, as needed. 178 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-795 Agenda Date:10/27/2021 Version:1 Item #:9b. Resolution approving a Memorandum of Understanding with the County of San Mateo to establish an Edible Food Recovery Program consistent with California Code of Regulations,Title 14,Division 7,Chapter 12 (Short -Lived Climate Pollutants) WHEREAS,in September 2016,Governor Edmund Brown Jr.set methane emissions reduction targets for California (SB 1383 Lara,Chapter 395,Statutes of 2016)in a statewide effort to reduce emissions of Short- Lived Climate Pollutants (SLCP); and, WHEREAS,the City of South San Francisco has and will continue to collaborate with CalRecycle as well as South San Francisco Scavenger Company,Inc.,and San Mateo County,to implement SB 1383 programs in accordance with state guidelines and requirements; and, WHEREAS,San Mateo County’s Board of Supervisors has enacted a Mandatory Organic Waste Disposal Reduction Ordinance as required by the California Code of Regulations,Title 14,Division 7,Chapter 12 Short- Lived Climate Pollutants; and WHEREAS,to promote consistency within jurisdictions throughout San Mateo County and leverage economies of scale,the County has offered to lead the creation of a County-wide Edible Food Recovery Program on behalf of the unincorporated areas of the county and all the jurisdictions in the County; and WHEREAS,the City of South San Francisco City Council supports this Memorandum of Understanding and authorizes the County to operate an Edible Food Recovery Program on behalf of and within the City. NOW, THEREFORE, the City Council of the City of South San Francisco resolves as follows: 1.The Memorandum of Understanding (MOU)with the County of San Mateo for the establishment of an Edible Food Recovery Program consistent with California Code of Regulations,Title 14, Division 7,Chapter 12 Short-Lived Climate Pollutants,attached hereto and incorporated herein as Exhibit A,is hereby approved. 2.The City Manager is authorized to executed the MOU on behalf of the City in substantially the same form as Exhibit A,subject to approval as to form by the City Attorney,and is authorized to take any additional actions consistent with the intent of this resolution. City of South San Francisco Printed on 1/26/2022Page 1 of 2 powered by Legistar™179 File #:21-795 Agenda Date:10/27/2021 Version:1 Item #:9b. ***** City of South San Francisco Printed on 1/26/2022Page 2 of 2 powered by Legistar™180 1 MEMORANDUM OF UNDERSTANDING BETWEEN JURISDICTION OF CITY OF SOUTH SAN FRANCISCO AND COUNTY OF SAN MATEO FOR THE ESTABLISHMENT OF AN EDIBLE FOOD RECOVERY PROGRAM CONSISTENT WITH CALIFORNIA CODE OF REGULATIONS, TITLE 14, DIVISION 7, CHAPTER 12 SHORT-LIVED CLIMATE POLLUTANTS THIS MEMORANDUM OF UNDERSTANDING (MOU), entered into this 1st day of December 2021, by and between the County of San Mateo, hereinafter called "the County", and the “City of South San Francisco”, hereinafter called "the Jurisdiction"; W I T N E S S E T H: WHEREAS, the County’s Board of Supervisors has enacted a Mandatory Organic Waste Disposal Reduction Ordinance as required by the California Code of Regulations, Title 14, Division 7, Chapter 12 Short-Lived Climate Pollutants; and WHEREAS, to promote consistency within jurisdictions throughout San Mateo County and leverage economies of scale, the County has offered to lead the creation of a County-wide Edible Food Recovery Program on behalf of the unincorporated areas of the county and all the jurisdictions in the county; and WHEREAS, the City of South San Francisco’s City Council approved this Memorandum of Understanding on _______________ and authorizes the County to operate an Edible Food Recovery Program on behalf of and within the Jurisdiction. NOW, THEREFORE, IT IS HEREBY AGREED BY THE PARTIES HERETO AS FOLLOWS: 1. Tasks to be Completed by the Jurisdiction A. The County will create and coordinate the Edible Food Recovery program on behalf of the Jurisdiction, if the Jurisdiction performs each of the following actions: a) adopts and makes part of its municipal code an enforceable ordinance establishing an Edible Food Recovery program as required under the California Code of Regulations, Title 14, Division 7, Chapter 12 Short-Lived Climate Pollutants, including the specific provisions provided to the Jurisdiction by the County of San Mateo for edible food recovery definitions, requirements for Tier One and Tier Two Edible Food Generators, and requirements for Food Recovery Organizations and Food Recovery Services; and b) enters into this Memorandum of Understanding; and c) provides the County with a list and schedule of “large events” as defined by the California Code of Regulations, Title 14, Division 7, Chapter 12 Short-Lived Climate Pollutants occurring in the Jurisdiction; and 181 2 d) after consultation with the County, is responsible for coordinating the required edible food recovery regulations for those “large events” occurring in the Jurisdiction; and e) authorizes, by ordinance, the County to enforce California Code of Regulations, Title 14, Division 7, Chapter 12 Short-Lived Climate Pollutants in Section 1(A)(a) above, and to incorporate such authorization to include, without limitation, the authority to inspect, investigate, hold hearings, issue citations, and/or assess administrative fines on behalf of the Jurisdiction as its Designee for Edible Food Recovery; and f) develops a method to accept written complaints, including anonymous complaints, regarding an entity that may be potentially non-compliant with the Edible Food Recovery requirements as required under the California Code of Regulations, Title 14, Division 7, Chapter 12 Short-Lived Climate Pollutants, and direct all such complaints to the County; and g) acknowledges, by ordinance, that, notwithstanding this Memorandum of Understanding, the Jurisdiction is, as stated in California Code of Regulations, Title 14, Division 7, Chapter 12 Short-Lived Climate Pollutants, ultimately responsible for compliance with the said Code. 2. Services to be Performed by the County A. The County shall create and coordinate an Edible Food Recovery Program compliant with California Code of Regulations, Title 14, Division 7, Chapter 12 Short-Lived Climate Pollutants on behalf of the Jurisdiction so long as this Memorandum of Understanding is in effect in its entirety. B. The County shall provide such services and activities for the Jurisdiction as described in Exhibit A, attached hereto and incorporated by reference herein. C. The County shall offer only to provide services relating directly to the California Code of Regulations, Title 14, Division 7, Chapter 12 Short-Lived Climate Pollutants Edible Food Recovery regulations with the exception of a yearly analysis to be conducted by the County to estimate the amount of Green House Gas (GHG) emissions reduction to be attributed to edible food recovery activities in the Jurisdiction for use in their climate action plans. D. The County shall provide the Jurisdiction with the information and data necessary for the Jurisdiction to make their required reports to CalRecycle. E. The County will not be obligated to provide services if modifications are made to the ordinance by the Jurisdiction, which omits existing provisions and/or reduces the impact of the ordinance in any way. 3. Consideration The benefit of this MOU to the Jurisdiction is that it alleviates the need for staff, cost analysis, capacity assessment, expenditures for infrastructure, labor, administration, and record keeping for the edible food recovery activities in their jurisdiction. 182 3 The benefit of this MOU to both the County and the Jurisdiction is that this approach will create one uniform, standardized, and coordinated effort throughout the incorporated and unincorporated areas of San Mateo County. 4. Relationship of Parties It is expressly understood that this is an agreement between two independent entities, the County and the Jurisdiction, and that no individual agency, employee, partnership, joint venture, or other relationship is established by this MOU. The intent by both the County and the Jurisdiction is to create an independent collaborative relationship. 5. Hold Harmless A. Except as provided in subsection (B) below, the Jurisdiction shall indemnify and save harmless the County and its officers, agents, employees, and servants from all claims, suits, or actions of every name, kind, and description resulting from this Memorandum of Understanding, brought for, or on account of, any of the following: a) Injuries to or death of any person, including the Jurisdiction or its employees/officers/agents; b) Damage to any property of any kind whatsoever and to whomsoever belonging; or c) Any other loss or cost, including but not limited to that caused by the concurrent active or passive negligence of the County and/or its officers, agents, employees, or servants. However, the Jurisdiction’s duty to indemnify and save harmless under this Section shall not apply to injuries or damage for which the County has been found in a court of competent jurisdiction to be solely liable by reason of its own negligence or willful misconduct. The duty of the Jurisdiction to indemnify and save harmless as set forth by this Section shall include the duty to defend as set forth in Section 2778 of the California Civil Code. B. With respect to coordinating, implementing, and/or enforcing the required edible food recovery regulations for those “Large Events” (as defined by the California Code of Regulations, Title 14, Division 7, Chapter 12) occurring in the Jurisdiction pursuant to section 1.A.d. above, a) The County shall indemnify, defend, and hold harmless the Jurisdiction and its officers, agents, and employees against all damages, claims, liabilities, losses, and other expenses, including without limitation attorneys’ fees and related costs, whether or not a lawsuit or other proceeding is filed, to the extent that they arise out of the negligence or willful misconduct of County officers, agents, or employees arising out of coordinating, implementing, and/or enforcing the required edible food recovery regulations for those Large Events occurring in the Jurisdiction. 183 4 b) The Jurisdiction shall indemnify, defend, and hold harmless the County and its officers, agents, and employees against all damages, claims, liabilities, losses, and other expenses, including without limitation attorneys’ fees and related costs, whether or not a lawsuit or other proceeding is filed, to the extent they arise out of the negligence or willful misconduct of Jurisdiction officers, agents, or employees arising out of coordinating, implementing, and/or enforcing the required edible food recovery regulations for those Large Events occurring in the Jurisdiction. C. A party seeking indemnity and defense under this section shall provide the indemnifying and defending party with prompt notice of any claim and give control of its defense and settlement to the indemnifying and defending party. The party seeking indemnity and defense shall also cooperate in all reasonable respects with the indemnifying and defending party, its insurance company, and its legal counsel in its defense of such claim. The obligation to defend and indemnify pursuant to this section shall not cover any claim in which there is a failure to give the indemnifying and defending party prompt notice, but only to the extent that such lack of notice prejudices the defense of the claim. The indemnifying and defending party may not settle any potential suit hereunder without the other party’s prior written approval, which will not to be unreasonably withheld, conditioned, or delayed. If a party who owes indemnity and defense under this section fails to promptly indemnify and defend a covered claim, the other party shall have the right to defend itself, and in such case, the party owning indemnity and defense shall promptly reimburse the other party for all of its associated costs and expenses. D. The obligations imposed by this section shall survive termination or expiration of the Memorandum of Understanding. 6. Amendment of MOU and Merger Clause This MOU, including the Exhibit attached hereto and incorporated herein by reference, constitutes the sole MOU of the parties hereto and correctly states the rights, duties, and obligations of each party as of this document's date. In the event that any term, condition, provision, requirement or specification set forth in this body of the MOU conflicts with or is inconsistent with any term, condition, provision, requirement, or specification in any exhibit and/or attachment to this MOU, the provisions of this body of the MOU shall prevail. Any prior MOU, promises, negotiations, or representations between the parties not expressly stated in this document are not binding. All subsequent modifications shall be in writing and will become effective when signed by both parties. 7. Records The County shall maintain and preserve all records relating to this MOU in its possession and those of any third-party performing work related to this MOU for a period of five (5) years from the termination of this MOU. 184 5 8. Assignability The County shall have the right to assign this MOU or any portion thereof to a third party or subcontract with a third party to perform any act required under this MOU without the prior written consent of the Jurisdiction. 9. Notices Any written notice, request, demand, or other communication required or permitted hereunder shall be deemed to be properly given when deposited with the United States Postal Service, postage prepaid, or when transmitted by email communication, addressed: In the case of the County, to: Carolyn Bloede, Director County of San Mateo Office of Sustainability 455 County Center, 4th Floor Redwood City, CA 94065 Email: cbloede@smcgov.org In the case of the Jurisdiction, to: Eunejune Kim, Director of Public Works/City Engineer City of South San Francisco 550 North Canal Street South San Francisco, CA 94080 Email: eunejune.kim@ssf.net 10. Controlling Law and Venue The validity of this MOU, the interpretation of its terms and conditions, and the performance of the parties hereto shall be governed by the laws of the State of California. Any action brought to enforce this action must be brought in the Superior Court of California in and for the County of San Mateo. 11. Term and Termination Subject to compliance with the terms and conditions of the MOU, the term of this MOU shall commence on January 1, 2022 and shall automatically be renewed from year to year on the same terms and conditions. This MOU may be terminated without cause by the Jurisdiction or the County’s Director of Office of Sustainability or the Director’s designee at any time upon thirty (30) days written notice to the other party. 185 6 12. Authority The parties warrant that the signatories to the MOU have the authority to bind their respective entities. IN WITNESS WHEREOF, the parties hereto, by their duly authorized representatives, have affixed their hands. COUNTY OF SAN MATEO CITY OF SOUTH SAN FRANCISCO By:____________________________ By:____________________________ Carolyn Bloede Mike Futrell Director, Office of Sustainability City Manager Date: __________________________ Date: __________________________ 186 7 EXHIBIT A - SCOPE OF ACTIVITIES The activity listed below relating to the County of San Mateo’s Edible Food Recovery Program will be conducted by the County and the Jurisdiction. I. Establishment 1.The County will develop and coordinate a standardized and uniform San Mateo County- wide Edible Food Recovery Program consistent with and compliant to California Code of Regulations, Title 14, Division 7, Chapter 12 Short-Lived Climate Pollutants. The program will operate within the Jurisdiction’s boundaries and replace the need for the Jurisdiction to create such a program on their own. This program will operate in the unincorporated areas of the county as well as all jurisdictions in the county agreeing to similar MOUs. II.Enforcement 1.The County will conduct enforcement of the ordinance within the Jurisdiction using a complaint-based system consistent with the California Code of Regulations, Title 14, Division 7, Chapter 12 Short-Lived Climate Pollutants. The County will respond to complaints, investigate, and resolve reported issue(s). 2.The County will follow enforcement provisions detailed in the ordinance and described in the California Code of Regulations, Title 14, Division 7, Chapter 12 Short-Lived Climate Pollutants. 3.The County will keep detailed records of enforcement in the Jurisdiction for a minimum of five (5) years. 4.The County will provide the necessary records to the Jurisdiction for the Jurisdiction’s required reporting about Edible Food Recovery work to CalRecycle. 5.The County will notify the Jurisdiction promptly about any related issues that arise that require the Jurisdiction’s assistance or to request the Jurisdiction lead in resolving the issue(s) related to noncompliance. 6.The Jurisdiction will work with the County on any related issues requiring jurisdictional assistance or lead in resolving the issue(s) related to complaints and/or noncompliance by any Tier 1 and Tier 2 Edible Food Generator or Food Recovery Organization and Service as defined in the California Code of Regulations, Title 14, Division 7, Chapter 12 Short- Lived Climate Pollutants and operating within the Jurisdiction’s boundaries. 3875538.2 187 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-796 Agenda Date:10/27/2021 Version:1 Item #:9c. Resolution approving the City of South San Francisco’s Recovered Organic Waste Product Procurement Policy WHEREAS,in September 2016,Governor Edmund Brown Jr.set methane emissions reduction targets for California (SB 1383 Lara,Chapter 395,Statutes of 2016)in a statewide effort to reduce emissions of Short- Lived Climate Pollutants (SLCP); and, WHEREAS,the City of South San Francisco has and will continue to collaborate with CalRecycle as well as South San Francisco Scavenger Company,Inc.,and San Mateo County,to implement SB 1383 programs in accordance with state guidelines and requirements; and, WHEREAS,San Mateo County’s Board of Supervisors has enacted a Mandatory Organic Waste Disposal Reduction Ordinance as required by the California Code of Regulations,Title 14,Division 7,Chapter 12 Short- Lived Climate Pollutants; and WHEREAS,the specific requirements of jurisdictions and their solid waste franchisees include the procurement of Recovered Organic Waste Products to support Organic Waste disposal reduction targets and solicit products made from recycled and recovered Organic Waste materials,and to purchase Recycled-Content Paper Products and Recycled-Content Printing and Writing Paper; and WHEREAS,CalRecycle will establish targets for procurement (or giveaway)of recovered organic waste products for each city and county; and WHEREAS,the City of South San Francisco City Council supports and endorses this Organic Waste Product Procurement Policy. NOW,THEREFORE,the City Council of the City of South San Francisco approves and adopts an Organic Waste Product Procurement Policy,attached hereto and incorporated herein as Exhibit A,consistent with California Code of Regulations, 14 CCR Division 7, Chapter 12, Article 12 (SB 1383 procurement regulations). ***** City of South San Francisco Printed on 1/26/2022Page 1 of 1 powered by Legistar™188 1 CITY OF SOUTH SAN FRANCISCO RECOVERED ORGANIC WASTE PRODUCT PROCUREMENT POLICY TABLE OF CONTENTS SECTION 1. PURPOSE .............................................................................................................. 2 SECTION 2. DEFINITIONS ...................................................................................................... 2 SECTION 3. RECOVERED ORGANIC WASTE PRODUCT PROCUREMENT .............. 5 3.1 Procurement Target .................................................................................................... 5 3.2 Requirements for City Departments .......................................................................... 5 3.3 Requirements for Direct Service Providers ............................................................... 9 SECTION 4. RECYCLED-CONTENT PAPER PROCUREMENT .................................... 11 4.1 Requirements for City Departments ........................................................................ 11 4.2 Requirements for Vendors ....................................................................................... 11 SECTION 5. RECORDKEEPING RESPONSIBILITIES .................................................... 12 SECTION 6. EFFECTIVE DATE OF POLICY .................................................................... 13 189 -2- RECOVERED ORGANIC WASTE PRODUCT PROCUREMENT POLICY SECTION 1. PURPOSE A. It is the policy of the City of South San Francisco (“City”), applicable to all departments and divisions, to incorporate environmental considerations including recycled-content and recovered Organic Waste product use into purchasing practices and procurement. This Recovered Organic Waste Product Procurement Policy (“Policy”) will help the City to: 1. Protect and conserve natural resources, water, and energy; 2. Minimize the City’s contribution to climate change, pollution, and solid waste disposal; and, 3. Comply with State requirements as contained in 14 CCR Division 7, Chapter 12, Article 12 (SB 1383 procurement regulations) to procure a specified amount of Recovered Organic Waste Products to support Organic Waste disposal reduction targets and markets for products made from recycled and recovered Organic Waste materials, and to purchase Recycled-Content Paper Products and Recycled-Content Printing and Writing Paper. SECTION 2. DEFINITIONS The following definitions apply for the purposes of this Policy. If any of these terms are modified after the effective date of this Policy by sections of the California Code of Regulations cited herein, those modified definitions shall govern. A copy of the state regulations most currently in effect, and may be located at: https://govt.westlaw.com/calregs/Index? transitionType=Default&contextData=%28sc.Default%29. A. “Annual Recovered Organic Waste Product Procurement Target” means the amount of Organic Waste in the form of a Recovered Organic Waste Product that the City is required to procure annually under 14 CCR Section 18993.1 in accordance with the criteria set forth therein. B. “California Code of Regulations” or “CCR” means the State of California Code of Regulations. CCR references in this Chapter are preceded with a number that refers to the relevant Title of the CCR (e.g., “14 CCR” refers to Title 14 of CCR). C. “CalRecycle” means California's Department of Resources Recycling and Recovery, which is the Department designated with responsibility for developing, implementing, and enforcing SB 1383 Regulations on jurisdictions (and others). D. “City” means the City of South San Francisco. E. “Compost” means the product resulting from the controlled biological decomposition of organic solid wastes that are source separated from the municipal solid waste stream or which are separated at a centralized facility or as otherwise defined in 14 CCR Section 17896.2(a)(4). Compost eligible for meeting the Annual Recovered Organic Waste Product Procurement Target must be produced at a compostable material handling operation or facility permitted 190 -3- or authorized under 14 CCR Chapter 3.1 of Division 7 or produced at a large volume in- vessel digestion facility that composts on-site as defined and permitted under 14 CCR Chapter 3.2 of Division 7. Compost shall meet the State’s composting operations regulatory requirements. F. “Direct Service Provider” means a person, company, agency, district, or other entity that provides a service or services to City pursuant to a contract or other written agreement or as otherwise defined in 14 CCR Section 18982(a)(17). G. “Electricity Procured from Biomass Conversion” means electricity generated from biomass facilities that convert recovered Organic Waste, such as wood and prunings from the municipal stream, into electricity. Electricity procured from a biomass conversion facility may only count toward the City’s Annual Recovered Organic Waste Product Procurement Target if the facility receives feedstock directly from certain permitted or authorized compostable material handling operations or facilities, transfer/processing operations or facilities, or landfills, as described in 14 CCR Section 18993.1(i). H. “MWELO” means the State’s Model Water Efficient Landscape Ordinance, as set forth under Title 23, Division 2, Chapter 2.7 of the CCR (most recently amended September 15, 2015). I. “Organic Waste” means solid wastes containing material originated from living organisms and their metabolic waste products including, but not limited to, food, yard trimmings, organic textiles and carpets, lumber, wood, Paper Products, Printing And Writing Paper, manure, biosolids, digestate, and sludges, or as otherwise defined in 14 CCR Section 18982(a)(46). Biosolids and digestate are as defined in 14 CCR Section 18982(a)(4) and 14 CCR Section 18982(a)(16.5), respectively. J. “Paper Products” include, but are not limited to, paper janitorial supplies, cartons, wrapping, packaging, file folders, hanging files, corrugated boxes, tissue, and toweling; or as otherwise defined in 14 CCR Section 18982(a)(51). K. “Printing and Writing Papers” include, but are not limited to, copy, xerographic, watermark, cotton fiber, offset, forms, computer printout paper, white wove envelopes, manila envelopes, book paper, note pads, writing tablets, newsprint, and other uncoated writing papers, posters, index cards, calendars, brochures, reports, magazines, and publications; or as otherwise defined in 14 CCR Section 18982(a)(54). L. “Procurement of Recovered Organic Waste Products” shall mean purchase or acquisition (e.g., free delivery or free distribution from a hauler or other entity via a written agreement or contract), and end use by the City or others. The City’s Annual Recovered Organic Waste Product Procurement Target can be fulfilled directly by the City or by Direct Service Providers through written contracts or agreements for Procurement of Recovered Organic Waste Products at the City’s behest. M. “Publicly-Owned Treatment Works” or “POTW” means a treatment works (any devices and systems) used in the storage, treatment, recycling, and reclamation of municipal sewage or industrial wastes of a liquid nature as defined under the Federal Water Pollution 191 -4- Control Act and owned by the State or municipality.1 For the purposes of this Policy, the POTW shall be the South San Francisco/San Bruno Water Quality Control Plant (195 Belle Air Road, South San Francisco, CA). N. “Recovered Organic Waste Products” means products made from California, landfill- diverted recovered Organic Waste processed at a permitted or otherwise authorized operation or facility, or as otherwise defined in 14 CCR Section 18982(a)(60). O. “Recordkeeping Designee” means the public employee appointed by the City Manager or their designee to track procurement and maintain records of Recovered Organic Waste Product procurement efforts both by the City and others, if applicable, as required by 14 CCR, Division 7, Chapter 12, Articles 12 and 13. P. "Recyclability" means that the Paper Products and Printing and Writing Paper offered or sold to the City are eligible to be labeled with an unqualified recyclable label as defined in 16 Code of Federal Regulations Section 260.12 (2013). Q. “Recycled-Content Paper Products and Recycled-Content Printing and Writing Paper” means such products that consist of at least thirty percent (30%), by fiber weight, postconsumer fiber, consistent with the requirements of Sections 22150 to 22154 and Sections 12200 and 12209 of the Public Contract Code, and as amended. R. “Renewable Gas” means gas derived from Organic Waste that has been diverted from a landfill and processed at an in-vessel digestion facility that is permitted or otherwise authorized by 14 CCR to recover Organic Waste, or as otherwise defined in 14 CCR Section 18982(a)(62). S. “SB 1383” means Senate Bill 1383 of 2016 approved by the Governor on September 19, 2016, which added Sections 39730.5, 39730.6, 39730.7, and 39730.8 to the Health and Safety Code, and added Chapter 13.1 (commencing with Section 42652) to Part 3 of Division 30 of the Public Resources Code, establishing methane emissions reduction targets in a statewide effort to reduce emissions of short-lived climate pollutants, as amended, supplemented, superseded, and replaced from time to time. T. “SB 1383 Regulations” or “SB 1383 Regulatory” means or refers to, for the purposes of this policy, the Short-Lived Climate Pollutants (SLCP): Organic Waste Reductions regulations developed by CalRecycle and adopted in 2020 that created Chapter 12 of 14 CCR, Division 7 and amended portions of regulations of 14 CCR and 27 CCR. U. “SB 1383 Eligible Mulch” means mulch eligible to meet the Annual Recovered Organic Waste Product Procurement Target, pursuant to 14 CCR Chapter 12 of Division 7. This SB 1383 Eligible Mulch shall meet the following conditions for the duration of the applicable procurement compliance year, as specified by 14 CCR Section 18993.1(f)(4): 1. Produced at one of the following facilities: i. A compostable material handling operation or facility as defined in 14 CCR Section 17852(a)(12), that is permitted or authorized under 14 CCR Division 7, other than a chipping and grinding operation or facility as 1 Section 403.3(r) of Title 40 of the Code of Federal Regulations. 192 -5- defined in 14 CCR Section 17852(a)(10); ii. A transfer/processing facility or transfer/processing operation as defined in 14 CCR Sections 17402(a)(30) and (31), respectively, that is permitted or authorized under 14 CCR Division 7; or, iii. A solid waste landfill as defined in Public Resources Code Section 40195.1 that is permitted under 27 CCR Division 2. 2. Meet or exceed the physical contamination, maximum metal concentration, and pathogen density standards for land application specified in 14 CCR Sections 17852(a)(24.5)(A)1 through 3, as enforced by City Code Section ___. V. “State” means the State of California. W. “WELO” means the City’s Water Efficient Landscaping Ordinance codified at Title 20, Section 20.300.007 of the South San Francisco Municipal Code. SECTION 3. RECOVERED ORGANIC WASTE PRODUCT PROCUREMENT 3.1 Procurement Target A. City will annually procure for use or giveaway a quantity of Recovered Organic Waste Products that meets or exceeds its Annual Recovered Organic Waste Product Procurement Target through the implementation of Sections 3 through 5 of this Policy. The Annual Recovered Organic Waste Product Procurement Target shall be calculated by multiplying the per capita procurement target, which shall be 0.08 tons of Organic Waste per California resident per year, times the City’s residential population using the most recent annual data reported by the California Department of Finance. The designated staff in the Public Works Department shall be responsible to track annual notices from CalRecycle regarding the City’s Annual Recovered Organic Waste Product Procurement Target, which would either be delivered directly to the City or posted on CalRecycle website. B. To be eligible to meet the Annual Recovered Organic Waste Product Procurement Target, the City may procure the following products (provided that each product meets the criteria included in their respective definition in Section 2 of this Policy): 1. SB 1383 eligible Compost (as defined in Section 2.E). 2. SB 1383 eligible Mulch (as defined in Section 2.U). 3. Renewable Gas (in the form of transportation fuel, electricity, or heat) (as defined in Section 2.R). 4. Electricity Procured from Biomass Conversion (as defined in Section 2.G). 3.2 Requirements for City Departments A. Compost and SB 1383 Eligible Mulch procurement. City departments responsible for landscaping maintenance, renovation, or construction shall comply with the following: 1. Use Compost and SB 1383 Eligible Mulch produced from recovered Organic Waste, as defined in Section 2.E and 2.U of this Policy, for landscaping 193 -6- maintenance, renovation, or construction, as practicable, whenever available, and capable of meeting quality standards and criteria specified. a. SB 1383 Eligible Mulch used for land application must meet or exceed the physical contamination, maximum metal concentration and pathogen density standards specified in 14 CCR Section 17852(a)(24.5)(A)(1) through (3). b. Compost eligible for meeting the Annual Recovered Organic Waste Product Procurement Target must be produced at a compostable material handling operation or facility permitted or authorized under 14 CCR Chapter 3.1 of Division 7 or produced at a large volume in-vessel digestion facility that composts on-site as defined and permitted under 14 CCR Chapter 3.2 of Division 7. Compost shall meet the State’s composting operations regulatory requirements. 2. When City uses Compost and SB 1383 Eligible Mulch and the applications are subject to the City’s WELO, the City shall comply with one of the following, whichever is more stringent, (i) the City’s WELO, if more stringent than the State’s MWELO, or (ii) Sections 492.6 (a)(3)(B), (C), (D), and (G) of the MWELO, which requires the submittal of a landscape design plan with a “Soil Preparation, Mulch, and Amendments Section” to include the following: a. For landscape installations, Compost at a rate of a minimum of 4 cubic yards per 1,000 square feet of permeable area shall be incorporated to a depth of six (6) inches into the soil. Soils with greater than six percent (6%) organic matter in the top six (6) inches of soil are exempt from adding Compost and tilling. b. Apply a minimum three- (3-) inch layer of mulch on all exposed soil surfaces of planting areas except in turf areas, creeping or rooting groundcovers, or direct seeding applications where mulch is contraindicated. To provide habitat for beneficial insects and other wildlife, leave up to five percent (5%) of the landscape area without mulch. Designated insect habitat must be included in the landscape design plan as such. c. Procure organic mulch materials made from recycled or post-consumer materials rather than inorganic materials or virgin forest products unless the recycled post-consumer organic products are not locally available. Organic mulches are not required where prohibited by local Fuel Modification Plan Guidelines or other applicable local ordinances. d. For all mulch that is land applied, procure SB 1383 Eligible Mulch that meets or exceeds the physical contamination, maximum metal concentration, and pathogen density standards for land applications specified in 14 CCR Section 17852(a)(24.5)(A)(1) through (3). 3. Keep records, including invoices or proof of Recovered Organic Waste Product procurement (either through purchase or acquisition), and submit records to the Recordkeeping Designee, upon completion of project. Records shall include: a. General procurement records, including: (i) General description of how and where the product was used and 194 -7- applied, if applicable; (ii) Source of product, including name, physical location, and contact information for each entity, operation, or facility from whom the Recovered Organic Waste Products were procured; (iii) Type of product; (iv) Quantity of each product; and, (v) Invoice or other record demonstrating purchase or procurement. b. For Compost and SB 1383 Eligible Mulch provided to residents through giveaway events or other types of distribution methods, records of the Compost and SB 1383 Eligible Mulch provided to residents. Records shall be maintained and submitted to the Recordkeeping Designee in accordance with the requirements specified in Section 3.2.A.3. c. For procurement of SB 1383 Eligible Mulch, an updated copy of the ordinance or enforceable mechanism(s) requiring that the mulch procured by the City or Direct Service Provider meets the land application standards specified in 14 CCR Section 18993.1, as it may be amended from time to time. 4. When Procurement of Recovered Organic Waste Products occurs through a Direct Service Provider, enter into a written contract or agreement or execute a purchase order with enforceable provisions that includes: (i) definitions and specifications for SB 1383 Eligible Mulch, Compost, Renewable Gas, and/or Electricity Procured from Biomass Conversion; and, (ii) an enforcement mechanism (e.g., termination, liquidated damages) in the event the Direct Service Provider is not compliant with the requirements. B. Renewable Gas procurement. For Renewable Gas procurement, City staff shall: 1. Procure Renewable Gas made from recovered Organic Waste for transportation fuel, electricity, and heating applications to the degree that it is appropriate and available for the City and to help meet the Annual Recovered Organic Waste Product Procurement Target. 2. Keep records in the same manner indicated in Section 3.2.A.3 for the amount of Renewable Gas procured and used by the City, including the general procurement record information specified in Section 3.2.A.3.a, and submit records to the Recordkeeping Designee on a quarterly schedule. The quarterly schedule shall be as follows: a. Renewable Gas records are to be provided to the Recordkeeping Designee by April 15 for January 1 through March 31, July 15 for April 1 through June 30, October 15 for July 1 through September 30, and January 15 for October 1 through December 31. b. City shall additionally obtain the documentation and submit records specified in Section 3.2.B.3 below, if applicable. 3. If the City procures 195 -8- Renewable Gas from a POTW, City shall do the following: a. Annually verify that the Renewable Gas from the POTW complies with the requirements specified in 14 CCR Section 18993.1(h), including, but not limited to the exclusion in 14 CCR Section 17896.6(a)(1) and the items listed in this Section 3.2.B.3. b. Annually receive a record from the POTW documenting the tons of Organic Waste received by the POTW from: (i) a compostable material handling operation or facility as defined in 14 CCR Section 17852(a)(12), other than a chipping and grinding operation or facility as defined in 14 CCR Section 17852(a)(10), that is permitted or authorized under 14 CCR Division 7; (ii) transfer/processing facility or transfer/processing operation as defined in 14 CCR Sections 17402(a)(30) and (31), respectively, that is permitted or authorized under 14 CCR Division 7; or (iii) a solid waste landfill as defined in Public Resources Code Section 40195.1 that is permitted under 27 CCR Division 2. c. Annually receive documentation from the POTW of the percentage of biosolids that the POTW produced and transported to activities that constitute landfill disposal in order to demonstrate that the POTW transported less than twenty-five percent (25%) of the biosolids it produced to activities that constitute landfill disposal. For the purposes of this Policy, landfill disposal is defined pursuant to 14 CCR Section 18983.1(a) and includes final disposition at a landfill; use of material as alternative daily cover or alternative intermediate cover at a landfill, and other dispositions not listed in 14 CCR Section 18983.1(b). Alternative daily cover or alternative intermediate cover are defined in 27 CCR Sections 20690 and 20700, respectively. d. Annually receive documentation that the POTW receives vehicle- transported solid waste that is an anaerobically digestible material for the purpose of anaerobic co-digestion with POTW treatment plant wastewater to demonstrate that the POTW meets the requirement of 14 CCR Section 18993.1(h)(2). e. City shall submit these records to the Recordkeeping Designee on an annual basis, on a schedule to be determined by the Recordkeeping Designee after receipt of notification from the POTW. C. Electricity Procured from Biomass Conversion. For Electricity Procured from Biomass Conversion, City shall: 1. Procure electricity from a biomass conversion facility that receives feedstock from a composting facility, transfer/processing facility, a solid waste landfill, and/or receives feedstock from the generator or employees on behalf of the generator of the Organic Waste and to the degree that it is available and practicable for the City and to help meet the Annual Recovered Organic Waste Product Procurement Target, which requires compliance with criteria specified in 14 CCR Section 18993.1. 2. Maintain records and conduct the following recordkeeping activities: 196 -9- a. Keep records in the same manner indicated in Section 3.2.A.3 of this Policy for the amount of Electricity Procured from Biomass Conversion facilities, including the general procurement record information specified in Section 3.2.A.3.a. b. Receive written notification by an authorized representative of the biomass conversion facility certifying that biomass feedstock was received from a permitted solid waste facility identified in 14 CCR Section 18993.1(i). c. Provide these records to the Recordkeeping Designee. 3.3 Requirements for Direct Service Providers. A. Direct Service Providers of landscaping maintenance, renovation, and construction shall: 1. Use Compost and SB 1383 Eligible Mulch, as practicable, produced from recovered Organic Waste, as defined in Section 2.B and 2.R of this Policy, for all landscaping renovations, construction, or maintenance performed for the City, whenever available, and capable of meeting quality standards and criteria specified. As noted in Section 2.U above, SB 1383 Eligible Mulch used for land application shall comply with 14 CCR, Division 7, Chapter 12, Article 12 and must meet or exceed the physical contamination, maximum metal concentration and pathogen density standards specified in 14 CCR Section 17852(a)(24.5)(A)(1) through (3). 2. If Direct Service Provider is subject to the City’s WELO pursuant to Municipal Code Section 20.300.007, it shall comply with one of the following, whichever is more stringent: (i) the City’s WELO requirement(s) that is more stringent than the State’s MWELO, or (ii) the requirements below2: a. For landscape installations, Compost at a rate of a minimum of 4 cubic yards per 1,000 square feet of permeable area shall be incorporated to a depth of six (6) inches into the soil. Soils with greater than six percent (6%) organic matter in the top six (6) inches of soil are exempt from adding Compost and tilling. b. Apply a minimum three- (3-) inch layer of mulch on all exposed soil surfaces of planting areas except in turf areas, creeping or rooting groundcovers, or direct seeding applications where mulch is contraindicated. To provide habitat for beneficial insects and other wildlife, leave up to five percent (5%) of the landscape area without mulch. Designated insect habitat must be included in the landscape design plan as such. c. Procure organic mulch materials made from recycled or post-consumer materials rather than inorganic materials or virgin forest products unless the recycled post-consumer organic products are not locally available. Organic mulches are not required where prohibited by local Fuel Modification Plan Guidelines or other applicable local ordinances. 2 Sections 492.6 (a)(3)(B), (C), (D), and (G) of the State’s MWELO, Title 23, Division 2, Chapter 2.7 of the CCR, as amended September 15, 2015. 197 -10- d. For all mulch that is land applied, procure SB 1383 Eligible Mulch that meets or exceeds the physical contamination, maximum metal concentration, and pathogen density standards for land applications specified in 14 CCR Section 17852(a)(24.5)(A)(1) through (3). 3. Keep and provide records of Procurement of Recovered Organic Waste Products (either through purchase or acquisition) to Recordkeeping Designee, upon completion of projects. Information to be provided shall include: a. General description of how and where the product was used and if applicable, applied; b. Source of product, including name, physical location, and contact information for each entity, operation, or facility from whom the Recovered Organic Waste Products were procured; c. Type of product; d. Quantity of each product; and, e. Invoice or other record demonstrating purchase or procurement. B. Direct Service Provider of Organic Waste collection services shall: Provide a minimum twenty (20) cubic yards of Compost to City. 2. Keep and provide records to the City including the following: a. Dates provided b. Source of product including name, physical location and contact information for each entity, operation or facility from whom the Recovered Organic Waste Products were procured; c. Type of product; d. Quantity provided; and, e. Invoice or other record or documentation demonstrating purchase, procurement, or transfer of material to giveaway location. C. Renewable Gas procurement by Direct Service Providers Direct Service Providers transporting solid waste, organic materials, and/or recyclable materials shall procure fifty percent (50%) of their fuel as Renewable Gas if required to do so in RFPs and RFQs released by the City for such services or as required by permit, license, written agreement, or written contract with the City. 2. Departments releasing RFPs and RFQs for contractors that procure fuel in the course of their services to the City shall include a price preference to contractors that propose to use the amount or percentage of Renewable Gas specified in the RFP or RFQ to be eligible for said price preference. Such use, if it occurs, shall be documented in a written contract or agreement. 3. If Renewable Gas made from recovered Organic Waste is used by Direct Service Providers, Direct Service Providers shall submit information listed in Section 3.3.B.2.a-e on a schedule to be determined by City, but not less than annually to the 1. 198 -11- Recordkeeping Designee. 4.RENEWABLE GAS USED BY DIRECT SERVICE PROVIDERS UNDER SECTIONS 3.3.A AND 3.3.B SHALL COMPLY WITH CRITERIA SPECIFIED IN 14 CCR SECTION 18993.1. SECTION 4. RECYCLED-CONTENT PAPER PROCUREMENT 4.1 Requirements for City Departments A. If fitness and quality of Recycled-Content Paper Products and Recycled-Content Printing and Writing Paper are equal to that of non-recycled items, all departments and divisions of City shall purchase Recycled-Content Paper Products and Recycled-Content Printing and Writing Paper (rather than non-recycled items) that consists of at least thirty percent (30%), by fiber weight, postconsumer fiber, or in accordance with the content requirement set forth in Public Contract Code Sections 12200-12209 and 22150-22154, if those sections are amended after the effective date of this policy to be more stringent than the requirements herein. B. All Paper Products and Printing and Writing Paper shall be eligible to be labeled with an unqualified recyclable label as defined in Title 16 Code of Federal Regulations Section 260.12 (2013). C. Provide records to the Recordkeeping Designee of all Paper Products and Printing and Writing Paper purchases on a schedule determined by Recordkeeping Designee (both recycled-content and non-recycled content, if any is purchased) made by a division or department or employee of the City. Records shall include a copy of the invoice or other documentation of purchase, written certifications as required in Section 4.2.A.3-4 for recycled-content purchases, vendor name, purchaser name, quantity purchased, date purchased, and recycled content (including products that contain none), and if non- Recycled-Content Paper Products and/or non-Recycled-Content Printing and Writing Paper are provided, include a description of why Recycled-Content Paper Products and/or Recycled-Content Printing and Writing Paper were not provided. 4.2 Requirements for Vendors A. All vendors that provide Paper Products and Printing and Writing Paper to City shall: 1. Provide Recycled-Content Paper Products and Recycled-Content Printing and Writing Paper that consists of at least thirty percent (30%), by fiber weight, postconsumer fiber, if fitness and quality are equal to that of non-recycled item. 2. Only provide Paper Products and Printing and Writing Papers that meet Federal Trade Commission Recyclability standard as defined in Title 16 Code of Federal Regulations Section 260.12 (2013). 3. Certify in writing, under penalty of perjury, the minimum percentage of postconsumer material in the Paper Products and Printing and Writing Paper offered or sold to the City. This certification requirement may be waived if the percentage of postconsumer material in the Paper Products, Printing and Writing Paper, or both can be verified by a product label, catalog, invoice, or a manufacturer or vendor internet website. 199 -12- 4.Certify in writing, under penalty of perjury, that the Paper Products and Printing and Writing Paper offered or sold to the City is eligible to be labeled with an unqualified recyclable label as defined in Title 16 Code of Federal Regulations Section 260.12 (2013). 5. Provide records to the Recordkeeping Designee of all Paper Products and Printing and Writing Paper purchased from the vendor on a schedule to be determined by Recordkeeping Designee (both recycled-content and non-recycled content, if any is purchased) made by a division or department or employee of the City. Records shall include a copy of the invoice or other documentation of purchase, written certifications as required in Section 4.2.A.3-4 for recycled-content purchases, purchaser name, quantity purchased, date purchased, and recycled content (including products that contain none), and if non-Recycled-Content Paper Products and/or non- Recycled-Content Printing and Writing Paper are provided, include a description of why Recycled-Content Paper Products and/or Recycled- Content Printing and Writing Paper were not provided. B. All vendors providing printing services to the City via a printing contract or written agreement, shall use Printing and Writing Paper that consists of at least thirty percent (30%), by fiber weight, postconsumer fiber, or in accordance with the content requirement set forth in Public Contract Code Section 12209 if that section is amended after the effective date of this policy and modifies the content requirement stated here. SECTION 5. RECORDKEEPING RESPONSIBILITIES A. The Public Works and Finance Departments will be the responsible department for implementing this policy and will select an employee to act as the Recordkeeping Designee that will be responsible for obtaining records pertaining to Procurement of Recovered Organic Waste Products and Recycled-Content Paper Products and Recycled-Content Printing and Writing Paper. B. The Recordkeeping Designee will do the following to track Procurement of Recovered Organic Waste Products, Recycled-Content Paper Products, and Recycled-Content Printing and Writing Paper: 1. Collect and collate copies of invoices or receipts (paper or electronic) or other proof of purchase that describe the procurement of Printing and Writing Paper and Paper Products, including the volume and type of all paper purchases; and, copies of certifications and other required verifications from all departments and/or divisions procuring Paper Products and Printing and Writing Paper (whether or not they contain recycled content) and/or from the vendors providing Printing and Writing Paper and Paper Products. These records must be kept as part of City’s documentation of its compliance with 14 CCR Section 18993.3. 2. Collect and collate copies of invoices or receipts or documentation evidencing procurement from all departments and divisions procuring Recovered Organic Waste Products and invoices or similar records from vendors/contractors/others procuring Recovered Organic Waste Products on behalf of the City to develop evidence of City meeting its Annual Recovered Organic Waste Product Procurement Target. These records must be kept as part of the City’s documentation 200 -13- of its compliance with 14 CCR Section 18993.1. 3.Collect, collate, and maintain documentation submitted by the City, Direct Service Providers, and/or vendors, including the information reported to the Recordkeeping Designee in accordance with Sections 3.2.A.3, 3.2.B.2, 3.2.C.2, 3.3.A.3, 3.3.B.2, 3.3.C.3, 4.1.C, and 4.2.A.5. 4. Compile an annual report on the City’s direct procurement, and vendor/other procurement on behalf of the City, of Recovered Organic Waste Products, Recycled-Content Paper Products, and Recycled-Content Printing and Writing Paper, consistent with the recordkeeping requirements contained in 14 CCR Section 18993.2 for the Annual Recovered Organic Waste Product Procurement Target and 14 CCR Section 18993.4 for Recycled-Content Paper Products and Recycled-Content Printing and Writing Paper procurement. This report shall be made available to the City’s Public Works Department for compiling the annual report to be submitted to CalRecycle (which will include a description of compliance on many other SB 1383 regulatory requirements) pursuant to 14 CCR Division 7, Chapter 12, Article 13. The procurement report shall also be shared with the City Council annually as evidence of implementing this Policy. SECTION 6. EFFECTIVE DATE OF POLICY This Policy shall go into effect as of January 1, 2022. 3874770.1 201 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-783 Agenda Date:10/27/2021 Version:1 Item #:10. Report regarding a resolution authorizing the City Manager to execute a Purchase and Sale Agreement with Ensemble Investments,LLC for the disposition of a City-owned property located at 367 Marina Boulevard (APN 015-010-970)in the amount of $1,000,000 for a hotel development.(Ernesto Lucero,Economic Development Coordinator). Staff recommends that the City Council approve a resolution authorizing the City Manager to execute a Purchase and Sale Agreement with Ensemble Investments,LLC for the disposition of a City-owned property located at 367 Marina Boulevard (APN 015-010-970)in the amount of $1,000,000 for a hotel development. BACKGROUND The eastern peninsula of Oyster Point was formerly operated as a municipal landfill (landfill)from 1956 until it stopped accepting waste in 1970.It was closed in the 1970s and 1980s in accordance with the State of California Water Quality Control Board (Water Board)regulatory guidelines that governed at that time.The majority of the Oyster Point development area is located over the former landfill and includes multiple office and research &development buildings.The development of Oyster Point covers 41 acres in four phases,as agreed upon in the Disposition and Development Agreement (DDA)that was executed between Oyster Point Ventures and the City/Redevelopment Agency on March 23, 2011. The DDA and subsequently approved Oyster Point Specific Plan (Specific Plan)identified a 4.7 acre,City- owned parcel as an opportunity site for the development of a full service hotel development.Attachment 1 is the site map.The Specific Plan provided California Environmental Quality Act (CEQA)clearance for up to 350 rooms on the site.The DDA was assigned to Kilroy Realty (Kilroy)in 2017.In accordance with the DDA, Phase I included a clay clap repair of the landfill,relocation of refuse,and grading of the site in preparation for development. This work is expected to conclude in early 2022. In February 2017,staff began an extensive hotel development solicitation and selection process,with the Housing Standing Committee making a recommendation on December 11,2017 to select Ensemble Investments,LLC (Ensemble)for the proposed development.On April 11,2018,the City Council approved Resolution 50-2018 authorizing the City Manager to enter into an Exclusive Negotiating Rights Agreement (ENRA) with Ensemble to negotiate the disposition of the property for the hotel development site. Ensemble,a Long Beach,California-based hotel developer has a strong presence in the Bay Area and brings over thirty years of experience building full and select service hotels.Some comparable projects developed by Ensemble include Hotel Nia in Menlo Park,Hyatt Place in Emeryville,Hyatt Place in Pasadena at The Paseo, and the Dream Inn in Santa Cruz.Its most recent and comparable project in the Bay Area was Hotel Nia,which City of South San Francisco Printed on 10/22/2021Page 1 of 7 powered by Legistar™202 File #:21-783 Agenda Date:10/27/2021 Version:1 Item #:10. and the Dream Inn in Santa Cruz.Its most recent and comparable project in the Bay Area was Hotel Nia,which opened in 2018 as an upper-upscale 11-story,250-room boutique hotel branded under Marriott Autograph Collection, with 24,000 square feet of amenities, meeting space, with food and beverage services. A hotel development at Oyster Point will serve the demand for high quality meeting space by businesses in the City’s biotech cluster.The area currently lacks amenities that an upscale or upper scale hotel would bring to the area,such as restaurants,cafes,day spas,or other complementary uses.New life science construction has surpassed the supply of high quality,upscale hotel brands in the area,making the Oyster Point area a prime location for this use.According to hotel market data South San Francisco has had strong regional market demand historically with a high average occupancy rate of 81%. COVID-19 has greatly affected the hotel industry.Occupancy rates,average daily rates (ADR),and revenue per available room (RevPar)have all been impacted by the pandemic.Hotel demand is expected to return and surpass pre-COVID levels by 2026,which is in line with the opening of the hotel proposed by Ensemble in 2027-28. Since April 2018,Ensemble has remained in an ENRA with the City while significant due diligence was performed,including analysis of conditions for constructing on the landfill and developing mitigation measures for developing on top of the landfill. DISCUSSION The Proposed Project The proposed project is consistent with the Oyster Point Redevelopment Plan adopted by the City Council in 2011, as well as the Oyster Point Specific Plan, both of which envisioned a hotel for this site. The proposed project includes the ground-up construction of a full service,upper-upscale hotel assumed to be under the Marriott Autograph Collection brand.The 341-room,9-story full-service hotel will offer complementary services for hotel guests and the public including meeting space totaling at least 11,500 square feet, a minimum of 4,000 square feet of food and beverage space, and 1.5 acres of open space. Site Challenges and Mitigation Measures During the ENRA,analysis was conducted on the feasibility of constructing the proposed development on top of the landfill and ways of mitigating environmental risk to the City.The most significant risks for development on a landfill include:landfill settlement,release of methane gas,vapor intrusion,and compromising the landfill cap.With appropriate mitigation and monitoring at the site,these risks have been determined to be extremely low.Ensemble has agreed to incorporate mitigation measures above and beyond other developments to reduce liability to risk. These mitigation measures include effective engineering measures,routine maintenance,monitoring and reporting,emergency response measures and related training,and administrative and legal controls.As the City will retain liability for the landfill and its associated risks,additional insurance will be pursued to further reduce any City exposure.The site is also subject to ongoing oversight by the California Regional Water Quality City of South San Francisco Printed on 10/22/2021Page 2 of 7 powered by Legistar™203 File #:21-783 Agenda Date:10/27/2021 Version:1 Item #:10. any City exposure.The site is also subject to ongoing oversight by the California Regional Water Quality Control Board (Water Board). Terms of the Purchase and Sale Agreement As part of the ENRA period between the City and Ensemble,both parties have been working towards the negotiation of a Purchase and Sale Agreement (PSA)for the site,along with a term sheet for a future Development Agreement (DA). As the site sits on top of a landfill,additional construction constraints reduce the land value for the type of hotel construction proposed.An appraisal was conducted by Cushman &Wakefield in October 2019 which concluded that the value of the site for the proposed development equated to a negative value of $35,400,000 due to extraordinary construction costs and higher operational costs associated with the hotel.Despite this, Ensemble has committed to a $1,000,000 purchase price for the site. Additional terms include: 1.Ensemble will build, at its expense, a north-south connection to the Bay Trail. Under the City permit No.2017-007-02 with the San Francisco Bay Conservation &Development Commission (BCDC),Ensemble will construct both a temporary and permanent north-south connector to the Bay Trail through the hotel site.A temporary trail would be installed no later than six months after Phase 1C completion,currently estimated in July 2022.A permanent trail will be constructed in conjunction with the hotel development.Ensemble has agreed to satisfy this requirement at their expense. 2.50% Transient Occupancy Tax rebate and homerun insurance. Transient occupancy tax (TOT)is a tax charged to transient guests in hotels and,in South San Francisco,is currently calculated at 14%of the cost of the room per night.For a 341-room upper upscale full-service hotel,it is estimated that the full TOT collected over a 15-year period would equal roughly $89,530,000.To make the project economically feasible knowing the extensive site constraints coupled with the extra cost to build onsite,Ensemble has requested a 50%TOT rebate for 15-years following the opening of the hotel.As negotiated,the City would commit to a 50%TOT rebate,but limit it to the lesser of 15 years or one half of today’s projected TOT revenue for the hotel - $44,530,000. If the hotel outperforms its expected return,the City and Ensemble would share the financial benefits of an over performing hotel.Specifically,during negotiations of the DA next year,once Ensemble has a fully-executed PSA that can be marketed to investors,and when a final pro forma is provided,a form of homerun insurance will be finalized.The general framework for the homerun insurance is that if Ensemble sells more than 50%of the project,the City would receive no less than 5%of the net sale proceeds above the expected rate of return.The 5%threshold represents City staff’s position on City of South San Francisco Printed on 10/22/2021Page 3 of 7 powered by Legistar™204 File #:21-783 Agenda Date:10/27/2021 Version:1 Item #:10. proceeds above the expected rate of return.The 5%threshold represents City staff’s position on homerun insurance.The developer is anticipated to present an alternative proposal and/or additional discussion on the formula during their presentation to City Council. 3.Preliminary designs for the Harbormaster Spit adjacent to the hotel site. Ensemble has funded $150,000 in initial design costs in programming and conceptual architectural visioning for the “Spit”peninsula just to the north of the hotel site.SB Architects,contracted through Ensemble,worked with the City’s Engineering and Capital Projects teams earlier this year.The visioning work conducted identified synergies for development once sea level rise mitigation upgrades occur.This work will aid in potential new ferry terminal opportunities with some associated retail and event space for the public and hotel patrons.If the sale of the property does not move forward,the City will reimburse Ensemble for these funds. 4.Ensemble will release City for all of its first-party claims arising out of the existing environmental conditions at the property. Ensemble will accept liability for claims stemming from the design,construction,operation and maintenance of the hotel on the property and has agreed to implement appropriate environmental mitigations as part of its development of the hotel.In addition,in the event of an incident where Ensemble or its property was harmed due to the existing environmental condition of the property, Ensemble has waived its right to pursue the City for a claim for those damages,except to the extent that the claim arose due to the City’s failure to complete its ongoing monitoring and mitigation obligations under the Post-Closure Plan,the City’s violation of any applicable laws related to the existing conditions after sale of the property,or the City’s material misrepresentation or breach of warranty in the PSA. 5.City has included a closing condition in the PSA to secure additional environmental insurance. The City has included a condition of closing in the PSA that the City has secured insurance that covers or substantially offsets,in the City’s reasonable discretion,the risks and liabilities that the City will retain after the sale of the property. 6.Voluntary Oversight Agreement with Water Board. Ensemble will enter into a voluntary oversight agreement with the Water Board.Currently,the City is the only party listed on the Water Board’s order pertaining to the landfill.Consequently,the City is solely responsible for the compliance activities and monitoring,reporting,and mitigation requirementsCity of South San Francisco Printed on 10/22/2021Page 4 of 7 powered by Legistar™205 File #:21-783 Agenda Date:10/27/2021 Version:1 Item #:10. solely responsible for the compliance activities and monitoring,reporting,and mitigation requirements under the order.There are significant benefits both to the project and the City for Ensemble to seek separate and independent oversight of its development activities from the Water Board,as opposed to channeling those activities through the City. To that end,prior to closing,Ensemble will enter into a binding voluntary oversight agreement with the Water Board (i)pursuant to which the Water Board will oversee Ensemble’s compliance with the requirements of the Water Board’s order,the Post-Closure Plan,and applicable laws,relating to Ensemble’s acquisition,development,operation,and use of the property,and (ii)confirming that Ensemble is the party primarily responsible for such compliance.Such voluntary oversight is an additional risk mitigation measure for the project because the Water Board has the expertise and resources to ensure that the project is fulfilling all requirements of its order and ensure that all mitigations are being properly implemented. Conditions Precedent to Closing Escrow with Ensemble Ensemble will have a 30-day due diligence contingency period to review the suitability of the site for the proposed project.As most due diligence has already been conducted,this period is very short.The entitlement process will take place in 2022 with Ensemble submitting a development application by May 1,2022.Prior to closing escrow at the end of 2022,Ensemble will provide the City with an approved franchise agreement for the hotel,a final construction schedule,final pro forma,and City Council approved entitlements and first reading of the DA Ordinance.Ensemble will also construct a temporary north-south connector through the site under the City BCDC permit No. 2017-007-02. A permanent trail will be constructed within the development. If the aforementioned deliverables are not completed by December 31,2022,escrow cannot close and the sale of the property will not occur. Development Agreement Term Sheet Exhibit C in the PSA provides a Development Agreement (DA)Term Sheet.The DA Term Sheet will form the basis of the DA that will be considered by City Council next year with the project entitlements.Negotiation of the DA will occur in conjunction with the entitlement process.Some of the major components of the DA include ongoing maintenance and security of the site between the execution of the PSA until opening of the hotel,the construction of a new sewer pump station for the hotel and surrounding uses,homerun insurance,as well as the TOT rebate. The DA Term Sheet also describes the following development schedule of performance: ·Submitting application for Precise Plan (entitlements) no later than May 1, 2022 ·Receiving Development Agreement Approval (first reading) no later than December 16, 2022 City of South San Francisco Printed on 10/22/2021Page 5 of 7 powered by Legistar™206 File #:21-783 Agenda Date:10/27/2021 Version:1 Item #:10. ·Receiving Entitlement Approval no later than December 16, 2022 ·Close of Escrow no later than December 31, 2022 ·Submitting application for Building Permit no later than December 31, 2023. ·Delivery of Proof of an Approved Construction Loan from a Reputable Lender within 18 months of submitting for Building Permit, but no later than June 30, 2025 ·Delivery of a Final Construction Contract within 18 months of submitting for Building Permit,but no later than June 30, 2025 ·Construction Commences within 18 months of submitting for building permit,but no later than July 31, 2025 ·Substantial Completion of Construction within 36 months of construction commencement;targeted for September 2027 (26-month schedule), but no later than June 2028 (35-month schedule) FISCAL IMPACT The proposed 341 room hotel is anticipated to provide significant financial benefits to the City beyond the sale price,BCDC trail,and Spit design work.Over a 25-year period,the project will bring in an estimated $92,988,720 to the City in the form of tax revenue,contributions to community facilities,and development impact fees.Over the 25-year period,City property tax revenue is estimated at $10,038,720,participation in a Community Facilities District (CFD)is estimated at $8,109,000,impact fees at $6,228,000,TOT and Conference Center Tax at $56,058,000, and sales tax at $12,205,000. Specifically,property tax generated over a 25-year period is estimated to total $62,742,000.Of that, $27,606,480 will go to the South San Francisco Unified School District (SSFUSD)and $12,548,400 to County of San Mateo. For impact and development fees,Ensemble is estimating to pay $6,228,000.A breakdown of these fees includes:traffic ($532,100),parks ($689,940),childcare ($39,176),safety ($91,411),commercial linkage ($1,088,235), sewer ($415,705), sewer E101 ($439,646), and school ($130,588). RELATIONSHIP TO STRATEGIC PLAN This item supports the City Council Strategic Goal of improving quality of life for the local economy and residents. CONCLUSION The disposition of the City-owned site is the culmination of a long process beginning with the closure of the landfill in 1970,the Oyster Point Master Redevelopment Plan vision developed from the DDA and Oyster Point Specific Plan in 2011,to the current recommendation of approving a PSA with Ensemble on a hotel development of the site.The vision for the site as a high-quality hotel will capitalize on an untapped City of South San Francisco Printed on 10/22/2021Page 6 of 7 powered by Legistar™207 File #:21-783 Agenda Date:10/27/2021 Version:1 Item #:10. development of the site.The vision for the site as a high-quality hotel will capitalize on an untapped opportunity for a high-quality development as it features waterfront views,is located just steps from the South San Francisco Ferry Terminal,and is within close proximity of the City’s biotech cluster and San Francisco International Airport.Its financial benefits to the City and job creation,coupled with its opportunity to create a destination at Oyster Point make the project attractive. During the ENRA,significant effort was made to ensure a development of this type was not only financially feasible,but also environmentally suitable for development ensuring any risk to the City was very low.In light of the risks,Ensemble will be incorporating significant mitigation measures consistent with other current developments on similar sites throughout the state. Assuming a PSA is approved,Ensemble would begin to move through the process of negotiating a DA and applying for entitlements in 2022.In 2023,Ensemble would go through the building permit process,with construction beginning in 2024/25. The hotel plans to open sometime in 2027/28. Staff recommends that the City Council approve a resolution authorizing the City Manager to execute a Purchase and Sale Agreement with Ensemble Investments,LLC for the disposition of a City-owned property located at 367 Marina Boulevard (APN 015-010-970) in the amount of $1,000,000 for a hotel development. Attachments: 1.Site Map City of South San Francisco Printed on 10/22/2021Page 7 of 7 powered by Legistar™208 142\VWHU3RLQW6SHFL¿F3ODQ$SSHQGL['HVLJQ*XLGHOLQHVSection 2 352326(''(9(/230(17February 23, 2011N3URSRVHG'HYHORSPHQW3URJUDP7KHSURSRVHGUHGHYHORSPHQWLQWKH2\VWHU3RLQW6SHFL¿F3ODQ'LVWULFWZLOOHQWDLODWRWDODUHDRIDSSUR[LPDWHO\DFUHVORFDWHGDWWKHHDVWHUQHQGRI2\VWHU3RLQW%RXOHYDUGLQ6RXWK6DQ)UDQFLVFR&DOLIRUQLD7KHUHGHYHORSPHQWLVLQWHQGHGWRLQFOXGH‡ $QHZFRUSRUDWHFDPSXVZKLFKZLOOLQFOXGHRI¿FHUHVHDUFKDQGGHYHORSPHQW 5 ' EXLOGLQJVVWUXFWXUHGSDUNLQJDQGDFFHVVRU\XVHVDWWKHZHVWHUQSRUWLRQVRIWKHVLWH‡ $VLWHWRDFFRPPRGDWHDIXWXUHKRWHOUHVWDXUDQWDQGRUUHWDLOnear the new Ferry Terminal‡Public Open Space and Bay Trail Improvements‡Marina and Ferry Terminal serving amenities including parking, VKXWWOHGURSRIIDUHDVDQGZDWHUVLGHLPSURYHPHQWVTogether, these development components are described as the “Project.” The Project is intended to be developed in phases, as GHVFULEHGLQ6HFWLRQ ,PSOHPHQWDWLRQ 500’OpenSpace2I¿FH5 'Phase IOpen Space Future Hotel Site2I¿FH5 '3KDVH,92I¿FH5 'Phase III2I¿FH5 'Phase IIFerryTerminal209 15Section 2 352326(''(9(/230(172\VWHU3RLQW6SHFL¿F3ODQ$SSHQGL['HVLJQ*XLGHOLQHVFebruary 23, 2011ExistingParkingExistingBoatRampShuttle Bus Turn-around/ Drop-off at FerryFerryTerminalMarinaBlvdOysterPointBlvdReconfiguredParkingProposed Land UsesN500’/(*(1'2I¿FH5 '&DPSXVFuture Hotel SiteOpen Space/Bay Trail ImprovementsRecreation/Open SpaceProposed StreetsFuture Bay Trail Improvements([LVWLQJ%D\7UDLO%LNH3DWK1RWin ScopeBay trail210 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:21-803 Agenda Date:10/27/2021 Version:1 Item #:10a. Resolution authorizing the City Manager to execute a Purchase and Sale Agreement with Ensemble Investments,LLC for the disposition of a city-owned property located at 367 Marina Boulevard (APN 015-010- 970) in the amount of $1,000,000 for a hotel development. WHEREAS,the City is the owner of certain real property (the “Property”)located in the City of South San Francisco,California,known as County Assessor’s Parcel Number (APN)015-010-970 attached as Exhibit A; and WHEREAS,on March 23,2011,the City Council approved the Oyster Point Specific Plan and certified the Phase 1 Project Environmental Impact Report which,among other things,planned for and analyzed the potential environmental impacts of developing a new,full-service hotel with up to 350 rooms on the Property; and WHEREAS,a Disposition and Development Agreement (DDA)was executed on March 23,2011,between Oyster Point Ventures,LLC,the South San Francisco Redevelopment Agency,and the City of South San Francisco for the master development of Oyster Point,including the potential development of a hotel on the Property; and WHEREAS, the DDA was assigned to Kilroy Realty (Kilroy) in 2018; and WHEREAS,the DDA requires Kilroy to perform certain site work,grading,and installation of certain infrastructure to prepare for the Property for development,which will be completed,satisfying their obligation, by 2022; and WHEREAS,in 2017,the City solicited a hotel developer for a proposed development on the Property through an RFQ/RFP process; and WHEREAS,on December 11,2017,the City’s Housing Standing Committee recommended that City Council approve Ensemble Investments,LLC (Ensemble)to develop a full-service hotel on the Property and made a recommendation that the City Council authorize the City Manager to enter into an Exclusive Negotiating Rights Agreement (ENRA) with Ensemble for the development of the Property; and WHEREAS,on April 11,2018,the City Council authorized the City Manager to execute an ENRA with City of South San Francisco Printed on 1/7/2022Page 1 of 2 powered by Legistar™211 File #:21-803 Agenda Date:10/27/2021 Version:1 Item #:10a. Ensemble, and has maintained exclusivity ever since; and WHEREAS,during the ENRA process,both Ensemble and the City determined the feasibility and benefits of the proposed development and negotiated a Purchase and Sale Agreement (PSA)for City Council consideration; and WHEREAS, the PSA includes the following deal points: ·Ensemble will pay $1,000,000 for the Property,and apply a deposit of $150,000 to the purchase price that was received from the Exclusive Negotiating Rights Agreement; ·Ensemble will construct a temporary and permanent north-south connection to the Bay Trail in accordance with the requirements imposed by the San Francisco Bay Conservation &Development Commission; ·The City will provide Ensemble with a 50%rebate on Transient Occupancy Tax for 15 years capped at no more than $44,543,000; ·Ensemble will accept liability for claims stemming from the design,construction,and operation of the hotel and will release the City for its first-party claims arising out of the existing environmental conditions on the Property; ·Prior to closing,Ensemble must obtain approval of all necessary entitlements and a Development Agreement,as well as provide the City with an approved franchise agreement and final pro forma; and ·Ensemble must enter into a voluntary oversight agreement with the California Regional Water Quality Control Board for ongoing monitoring and management of the Property. NOW,THEREFORE,BE IT RESOLVED by the City Council of the City of South San Francisco that the City Council hereby: 1.Authorizes the City Manager to enter into a Purchase and Sale Agreement with Ensemble Investments, LLC for the disposition of a City-owned property located at 367 Marina Boulevard (APN 015-010-970) in the amount of $1,000,000 for a hotel development,in substantially the same form as attached hereto as Exhibit B,subject to review by the City Attorney and subject to minor revisions and clarifications of the City Attorney that do not otherwise expand the City’s obligations; and 2.Authorizes the City Manager to take any other related actions consistent with the intention of the resolution. ***** City of South San Francisco Printed on 1/7/2022Page 2 of 2 powered by Legistar™212 © Latitude Geographics Group Ltd. 0.04 THIS MAP IS NOT TO BE USED FOR NAVIGATION WGS_1984_Web_Mercator_Auxiliary_Sphere Miles0.04 This map is a user generated static output from an Internet mapping site and is for reference only. Data layers that appear on this map may or may not be accurate, current, or otherwise reliable. 0.020 1,128 San Mateo map 1: San Mateo County 213 18708.001 4813-5533-2093.2 1 PURCHASE AND SALE AGREEMENT AND JOINT ESCROW INSTRUCTIONS THIS PURCHASE AND SALE AGREEMENT AND JOINT ESCROW INSTRUCTIONS (“this Agreement”) is entered into as of _________, 20__ (the “Effective Date”), by and between the City of South San Francisco, a municipal corporation, (“Seller” or “City”) and Ensemble Investments, LLC, a California Limited Liability Company (“Buyer”). Seller and Buyer are collectively referred to herein as the “Parties.” RECITALS A. Seller is the owner of certain real property located in the City of South San Francisco California, also known as San Mateo County Assessor’s Parcel Number: 015-010-970 and more particularly described in the legal description and shown as Parcel 6 on Parcel Map 17- 0002 recorded on September 25, 2017, both attached hereto and incorporated herein as Exhibit A (the “Property”). B. On March 23, 2011, the City Council approved the Oyster Point Specific Plan and certified the Oyster Point Specific Plan and Phase 1 Project Environmental Impact Report which, among other things, planned for and analyzed the potential environmental impacts of developing a new full-service hotel with up to 350 rooms and approximately 40,000 square feet of retail uses on the Property (“Project”). C. A Disposition and Development Agreement was executed on March 23, 2011, between Oyster Point Ventures, LLC, the South San Francisco Redevelopment Agency, and the City of South San Francisco (“DDA”) for the master development of Oyster Point through a multi- phased project, which included the potential development of a hotel on an approximately 4.7 acre portion of the Property known as the “Hotel Site,”: among other things, the DDA requires Oyster Point Development, LLC, to perform certain site work, grading, and installation of infrastructure to prepare the Hotel Site for development. D. In 2017, the City solicited proposals from qualified hotel developers through an RFQ/RFP process, and upon review of the responsive proposals, the City’s Joint Housing Standing Committee made a recommendation at its December 11, 2017, meeting that the City enter into an Exclusive Negotiating Rights Agreement (“Original ENRA”) with Buyer for the development of a new full-service hotel on the Hotel Site. The City approved the Original ENRA with Buyer on April 11, 2018 and the Parties negotiated terms and conditions of the purchase and development of the Hotel Site pursuant to that Original ENRA. As part of the Original ENRA, Buyer previously deposited $100,000 to the City (“ENRA Deposit”) to be held in an interest bearing account of the City and credited towards Buyer’s purchase price of the Hotel Site. The Original ENRA was subsequently amended by the First Amendment to the Exclusive Negotiating Rights Agreement (“First Amendment,” and together with the Original ENRA, collectively, referred to herein as the “ENRA”) and the term of the ENRA was subsequently extended three additional times. The ENRA Deposit with any and all interest accrued thereon, will be applied towards the Purchase Price at Closing (as defined in Section 2.2 below). 214 18708.001 4813-5533-2093.2 2 E. Seller has verified to its reasonable satisfaction that the Buyer is, or upon execution of this Agreement, will be financially capable to prepare and process entitlements for the Project. F. Seller and Buyer have entered into a separate agreement to address the soft costs associated with certain design work the Seller has requested Buyer to perform in connection with the future development of a ferry terminal located on a Seller-owned property adjacent to the Hotel Site, commonly known as and referred to herein as the “Spit Property” (the “Cost-Sharing Agreement”). Buyer has paid One Hundred and Fifty Thousand Dollars ($150,000) in consulting services for the initial soft costs associated with the design and development of the Spit Property (the “Spit Reserve Funds”). The Spit Reserve Funds will not be applied towards the Purchase Price at Closing, nor paid to Seller in the event this Agreement is terminated for any reason. Buyer has provided all documents created by the consultant to City and City has accepted Buyer’s performance under the Cost-Sharing Agreement as complete and satisfactory. G. Buyer agrees to purchase the Property, and Seller agrees to sell the Property to Buyer, subject to the terms and conditions memorialized in this Agreement. H. In connection with this Agreement, Buyer and Seller intend to negotiate a separate development agreement to address the financing and construction of the Project (the “Development Agreement”). NOW, THEREFORE, for and in consideration of the mutual covenants and agreements contained in this Agreement, and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged by the parties, Seller and Buyer hereby agree as follows: 1. INCORPORATION OF RECITALS AND EXHIBITS. The Recitals set forth above and the Exhibits attached to this Agreement are each incorporated into the body of this Agreement as if set forth in full. 2. PURCHASE AND SALE. 2.1 Agreement to Buy and Sell. Subject to the terms and conditions set forth herein, Seller agrees to sell the Property to Buyer, and Buyer hereby agrees to acquire the Property from Seller. 2.2 Purchase Price. The purchase price for the Property to be paid by Buyer to Seller (the “Purchase Price”) is One Million dollars ($1,000,000). The Purchase Price shall be paid in cash or other immediately available funds at the Closing to the Seller in accordance with Section 5.5(b). The Seller will retain the ENRA Deposit of $100,000 and at Closing, the ENRA Deposit with any and all interest accrued, applied towards the Purchase Price. 3. ESCROW. 3.1 Escrow Account. Seller has opened an interest-bearing escrow account (the “Escrow”) maintained by Chicago Title Insurance Company, 455 Market Street, #2100, San Francisco, CA 94105 (the “Escrow Holder” and the “Title Company”), with interest accruing to the benefit of Buyer. Escrow Holder shall perform all escrow and title services in connection with this Agreement. 215 18708.001 4813-5533-2093.2 3 3.2 Opening of Escrow. Within two (2) business days after the Effective Date, the Parties will deposit into Escrow this fully executed Agreement, or executed counterparts hereto. The date such fully executed version of this Agreement is received by Escrow Holder will be deemed the “Opening of Escrow” and Escrow Holder will give written notice to the Parties of such occurrence. 3.3 Buyer’s Deposit. Within three (3) business days after the Opening of Escrow, the Buyer shall deposit Thirty Thousand dollars ($30,000) in Escrow (“Initial Deposit”) accounting for 3% of the total Purchase Price. If the Due Diligence Contingency Period (as defined in Section 5.2(a) below) is extended pursuant to Section 5.2(a), Buyer shall deposit an additional Fifty Thousand dollars ($50,000) in Escrow (the “Additional Deposit”) accounting for 5% of the total Purchase Price. The Initial Deposit and Additional Deposit are sometimes collectively referred to herein as the “Deposits.” 3.4 Satisfaction of Due Diligence Contingency. Buyer shall have the right, in its sole discretion, to terminate this Agreement for any reason prior to the expiration of t he Due Diligence Contingency Period (as defined in Section 5.2) and receive a refund of the Deposits. Buyer hereby agrees to provide written notice to Seller prior to the expiration of the Due Diligence Contingency Period if Buyer disapproves any due diligence items or approves all due diligence items (“Approval Notice”). If Buyer disapproves any items through the delivery of the Approval Notice to Seller before 5:00 p.m. on the last day of the Due Diligence Contingency Period, this Agreement shall terminate, and all amounts deposited by Buyer into Escrow (except the ENRA Deposit and the Independent Consideration referenced below), together with interest thereon, if any, will be returned to Buyer, and neither party shall have any further rights or obligations hereunder except those which expressly survive the termination hereof. If Buyer fails to timely deliver the Approval Notice to Seller, it will be conclusively presumed that Buyer has approved all such items, matters or documents. 3.5 Independent Consideration. As independent consideration for Seller’s entering into this Agreement to sell the Property to Buyer, Buyer shall deliver the sum of One Thousand dollars ($1,000) to Seller through Escrow (“Independent Consideration”). In the event that Buyer terminates this Agreement in accordance with Section 3.4 above, Seller shall retain the Independent Consideration; in the event that Buyer does not terminate this Agreement as aforesaid, the Independent Consideration shall be applied to the Purchase Price at Closing. 4. DILIGENCE AND TITLE REVIEW. 4.1 Condition of Title/Preliminary Title Report. Escrow Holder shall deliver a Preliminary Title Report for the Property (the “Preliminary Report”) to Buyer within three (3) days after the Opening of Escrow. During the Due Diligence Contingency Period, and no later than thirty (30) days prior to expiration of the Due Diligence Contingency Period, Buyer shall deliver to Seller written notice (the “Title Objection Notice”) of its objections to matters identified in the Title Report (“Disapproved Exceptions”). Buyer’s failure to timely deliver the Title Objection Notice shall be deemed Buyer’s disapproval of the Title Report and Buyer’s election to terminate this Agreement, whereupon the Deposits and all interest accrued thereon shall immediately be released by Escrow Holder to Buyer. Seller shall have fourteen (14) business days after receipt of Buyer’s Title Objection Notice to notify Buyer in writing (“Seller’s Title Notice”) that either, (a) 216 18708.001 4813-5533-2093.2 4 Seller will cure or remove such Disapproved Exceptions from title prior to Closing (or cause the Title Company to issue an endorsement reasonably satisfactory to Buyer insuring Buyer as to such matter), or (b) Seller elects not to cure or cause the Disapproved Exceptions to be removed. If Seller refuses to cure or remove any Disapproved Exceptions, then, within five (5) business days after Buyer’s receipt of Seller’s Title Notice, Buyer may either (a) notify Seller in writing that it has elected to waive the Disapproved Exceptions and proceed with the purchase contemplated herein, or (b) terminate this Agreement, whereupon, the Deposits and all interest accrued thereon shall immediately be released by Escrow Holder to Buyer, and neither Party shall have any further obligation or liability to the other with respect to the transaction contemplated by this Agreement, except for those that expressly survive termination. Notwithstanding anything to the contrary contained above or elsewhere herein, Seller shall be obligated to cause all deeds of trust, tax liens, abstracts of judgments, mechanics’ liens, or similar monetary liens or encumbrances which require any monetary payment to be removed or released, to be removed from title to the Property, including those secured by leasehold or subleasehold estates, on or before the Closing, except for non-delinquent real property taxes and assessments (collectively, “Monetary Liens”). For the purpose of the foregoing, any monetary obligations, costs, or payments associated with the Property owner’s obligations pursuant to the Postclosure Monitoring and Maintenance Plan dated September 8, 2017 and the San Francisco Regional Water Quality Control Board Order No. 00-0146 issued on June 21, 2000, as each has been amended from time to time shall not be considered Monetary Liens. If Seller elects to cure or remove any Disapproved Exceptions, but fails to do so prior to Closing, then Buyer shall have the right to terminate this Agreement and to receive full reimbursement of the Deposits, and may pursue other remedies available to it under the Agreement. For purposes of this Agreement, any title matters approved by Buyer (or for which Buyer has withdrawn an objection) pursuant to this Section 4.1 are referred to herein as the “Permitted Exceptions.” In no event shall the Permitted Exceptions include any Monetary Liens. (a) Due Diligence Materials . Seller shall provide to Buyer copies of all actually known and reasonably available documents relating to the ownership and operation of the Property, including but not limited to plans, permits, maps, surveys, agreements and reports (environmental, structural, mechanical, engineering, soils, grading and geotechnical) that Seller has to its actual knowledge within its possession or control (collectively, the “Due Diligence Materials”) not later than fourteen (14) business days following the execution and delivery of this Agreement, or as soon as practicable thereafter. The term Due Diligence Materials does not include Environmental Documents (defined below). For the purposes of this Agreement, “Seller’s actual knowledge” or information “actually known” by Seller means the current, actual knowledge of the City Manager, Public Works Director, and City Engineer. Nothing in this Section 4.1(a) shall excuse or otherwise diminish Seller’s obligation to provide any disclosures regarding natural hazards or environmental conditions otherwise required for the proposed property transfer by any applicable laws, statutes, ordinances, rules, regulations, permits, certificates, judgments, decisions, decrees or orders of any governmental authority (“Applicable Laws”). 4.2 Environmental Conditions and Environmental Documents. Seller has disclosed and hereby discloses to Buyer that the Property lies within an area that was formerly operated as a landfill and as such, materials, including solid and liquid waste, municipal waste, construction materials, debris, and Hazardous Materials (collectively, “Landfill Materials”) are 217 18708.001 4813-5533-2093.2 5 present at, on, under and emanating to and from the Property. In addition, the presence and breakdown of Landfill Materials at, under and adjacent to the Property has led and will continue to lead to, among other conditions: (a) the existence and generation of methane, other landfill gases, and other volatile organic compounds at, on, under and emanating to and from the Property; and (b) the settlement, including differential settlement, of the Property and adjacent areas (collectively, “Landfill Conditions”). The former landfill on the Property is regulated by, among other things, Order No. 00-46 issued by the San Francisco Regional Water Quality Control Board (“Water Board”) to the Seller on June 21, 2000 (“Order No. 00-46” or “Order”). The Order imposes closure and post-closure requirements, including performing sampling, analyses, and observations of groundwater, leachate, and surface water and submitting the results in semiannual and annual reports to the Water Board. A Final Closure Plan dated September 8, 2017 (“Final Closure Plan”) and a Postclosure Maintenance and Monitoring Plan (“Postclosure Plan”) (collectively, the “Closure Plans”), each dated September 8, 2017, were prepared pursuant to the Order. The former landfill area, including the Property, and the Landfill Materials will continue to be subject to the Order and the Closure Plans, as each of these documents may be amended from time to time with the approval of the Water Board. The Closure Plans assign certain ongoing obligations to the Seller and certain obligations to the future owner of the Property, as identified in Table 1 (the “Postclosure Responsibility Matrix”) of the Postclosure Plan1, which is set forth herein as Exhibit E. Additional documents relating to environmental conditions, activities, and requirements at the Property, including investigation, remediation, mitigation, operation and maintenance measures, are available on the Water Board’s Geotracker database (including at the following link: https://geotracker.waterboards.ca.gov/profile_report?global_id=L10009323371), as well as from other governmental entities, such as the California Department of Toxic Substances Control, the State Water Resources Control Board, and the County of San Mateo (collectively, the “Environmental Documents”). The Landfill Materials, Landfill Conditions, and all conditions identified or otherwise referenced in the Environmental Documents as of the Closing Date, are collectively referred to herein as the “Pre-Existing Property Conditions.” 4.3 Notice Pursuant to Health & Safety Code Section 25359.7. California Health & Safety Code Section 25359.7 requires an owner of nonresidential real property who knows, or has reasonable cause to believe, that any release of hazardous substance has come to be located on or beneath that real property to, prior to the sale of the real property by that owner, provide written notice of that condition to the buyer. In accordance with that section, Seller hereby notifies Buyer that hazardous materials, including hazardous substances, have come to be located on and beneath the Property, including Landfill Materials and Landfill Conditions, and other hazardous materials as set forth in the Environmental Documents. 4.4 Inspection of Property; Access Rights. (a) During the Due Diligence Contingency Period, Buyer or its agents shall be permitted to enter onto the Property to perform inspections and reasonable testing of the 1 See Pages 8-10 of the Postclosure Plan. 218 18708.001 4813-5533-2093.2 6 Property, including without limitation, soil samples, boring, and backhoe pits in order to assess the condition of the subsurface of the Property or other similar intrusive or invasive action on or under the Property. All physical inspections must be performed in accordance with this Agreement and coordinated with Seller’s representative. Developer agrees to notify the Cit y seventy-two (72) hours in advance of its intention to enter the Property. (b) Pursuant to the Bay Conservation and Development Commission (“BCDC”) Permit No. 2017.007.00, originally issued on April 27, 2018 and amended on July 30, 2021 as Amendment No. 2, and any amendments thereto (the “BCDC Permit”) attached hereto and incorporated herein as Exhibit B, Developer shall be responsible for construction of the temporary north-south Bay Trail connection no later than 6 months following the completion of Phase IC, with the construction of a 12-foot-wide accessible interim path that will originate near the existing pedestrian bridge at the southern shoreline of the peninsula and connect through the Hotel Site, to the southern sidewalk to Marina Boulevard. Seller agrees to provide prompt written notice to Buyer no less than thirty days in advance of the anticipated completion date for the Phase IC work. Prior to Closing, Buyer or its agents shall be entitled to enter onto the Property to complete construction of the temporary Bay Trail improvements subject to and consistent with all applicable provisions of the BCDC Permit, and to diligently process any permits required to install the temporary trail improvement. Access to the Property for such construction shall be coordinated with Seller’s representative. (c) In exercising its rights or performing any work under this Section 4.4, Buyer hereby agrees to indemnify and hold Seller harmless for any claims, actions, losses, liabilities, damages, costs, and expenses (“Access Claims and Losses”) incurred, suffered by or claimed against Seller by reason of Buyer’s entry onto or in connection with Buyer’s inspection and testing of the Property by Buyer and/or its agents, employees, or contractors ; provided, however, that Buyer shall have no obligations to indemnify, defend, protect and hold harmless Seller for Access Claims and Losses to the extent resulting from the negligence or willful misconduct of Seller or Buyer’s mere discovery of pre-existing adverse physical conditions in, on, or under the Property. 4.5 Development Agreement, Preliminary Pro Forma and Project Entitlements. (a) Buyer and Seller agree to negotiate diligently and in good faith the terms of the Development Agreement on such terms set forth in the Development Agreement term sheet attached hereto as Exhibit C and such other terms as shall be acceptable to each party in its sole discretion. Buyer and Seller will also work diligently and in good faith to process all discretionary entitlements for the Project concurrently with the negotiation of the Development Agreement. Buyer will use good faith efforts to submit an entitlement application and seek City Council approval of the Development Agreement and all discretionary entitlements for the Project prior to the Closing Date (as defined in Section 5.1 below). Notwithstanding anything else to the contrary, if the Buyer fails to submit a precise plan and associated entitlement application May 1, 2022, then the Seller, in its sole discretion, may elect to terminate this Agreement and may retain all Deposits paid pursuant to this Agreement. In the event that Seller exercises its right to terminate pursuant to this provision, neither party shall have any further rights or obligations hereunder 219 18708.001 4813-5533-2093.2 7 except those which expressly survive the termination hereof. The Parties shall execute and record such Development Agreement with the San Mateo County recorder on or prior to Closing. (b) Buyer will submit to the Seller documentation that reasonably demonstrates to the City’s reasonable satisfaction the financial feasibility of Buyer’s proposed development of the Project at least seven (7) business days prior to expiration of the Due Diligence Contingency Period. (c) Seller has no legal obligation to grant any approvals or authorizations for the Development Agreement and discretionary entitlements for the Project until the Development Agreement and discretionary entitlements have been approved by the City Council. Such approvals, and any future approvals required as part of the entitlement process, are subject to completion of environmental review by City in accordance with the California Environmental Quality Act, and City shall not take any discretionary actions committing it to a particular course of action in connection with the Project until City has completed, considered and certified/approved any additionally required CEQA environmental review documents. 5. CLOSING, CONDITIONS OF CLOSING, AND PAYMENT OF PURCHASE PRICE. 5.1 Closing. The escrow for conveyance of the Property shall close (“Close of Escrow” or “Closing”) within thirty (30) days after the satisfaction, or waiver by the appro priate Party, of all of the Buyer’s Closing Conditions (as defined in Section 5.2 below) and all of the Seller’s Closing Conditions (as defined in Section 5.3 below), which shall occur no later than December 31, 2022, or such earlier date that Buyer may specify to Seller with thirty (30) days prior written notice (the “Closing Date”). 5.2 Buyer’s Conditions to Closing. Buyer's obligation to purchase the Property is subject to the satisfaction of all of the following conditions (“Buyer’s Closing Conditions”) or Buyer's written waiver thereof (in Buyer’s sole discretion) on or before the Closing Date: (a) Buyer has approved the condition of the Property. Buyer will have thirty (30) calendar days from receipt of the Due Diligence Materials or forty-five (45) calendar days following the Effective Date, whichever is earlier (the “Due Diligence Contingency Period”) to review the suitability of the Property for Buyer’s Project, including to investigate title and to conduct any feasibility, economic, environmental, or other such investigations, studies, and tests with respect to the Property as Buyer deems necessary or appropriate, and to approve or disapprove of such matters in Buyer’s sole and absolute discretion. Buyer may request one (1) thirty-day extension of the Due Diligence Contingency Period and such extension will be granted if (i) Buyer has paid Buyer’s Additional Deposit and (ii) Buyer has made reasonable efforts in Seller’s reasonable determination to pursue all matters identified in Section 4 which must be completed prior to the expiration of the Due Diligence Contingency Period. Buyer must notify Seller of its desire to extend, in writing, at least seven (7) days before the end of the initial Due Diligence Contingency Period. 220 18708.001 4813-5533-2093.2 8 (b) Seller shall have delivered to Buyer or Escrow Holder all of the items required to be delivered to Buyer pursuant to this Agreement, including, but not limited to, those provided for in Section 5.5 (a). (c) Seller or its City Council shall have approved all discretionary entitlements necessary to construct the Project, including the first reading of an ordinance approving the Development Agreement. (d) Seller has performed all obligations to be performed by Seller as of the Closing Date pursuant to this Agreement. (e) Seller’s representations and warranties herein are true and correct in all material respects as of the Closing Date. (f) The Title Company is irrevocably committed to issue an ALTA standard coverage title insurance policy to Buyer, effective as of the Closing Date, insuring fee simple title to the Property vested in Buyer in the full amount of the Purchase Price and subject only to the Permitted Exceptions (the “Title Policy”). If any of the Buyer’s Closing Conditions shall not have been satisfied on or before the Closing Date, then Buyer shall have the right to either (i) waive any such unmet Buyer’s Closing Conditions and proceed with Closing, or (ii) elect to not proceed with Closing by giving written notice to Seller of such election prior to the Closing Date, in which case the Deposits shall be immediately released to Seller and this Agreement shall terminate; provided, however, if such Buyer’s Closing Conditions have not been satisfied due to a default on the part of the Seller, the Deposits shall be returned to Buyer and Buyer shall also have its rights under Section 7.1. 5.3 Seller’s Conditions to Closing. The Close of Escrow and Seller’s obligation to sell and convey the Property to Buyer are subject to the satisfaction of the following conditions (“Seller’s Closing Conditions”) or Seller’s written waiver (in Seller’s sole discretion) of such conditions on or before the Closing Date: (a) Buyer shall have delivered to Seller or Escrow Holder all of the items required to be delivered to Seller pursuant to this Agreement, including but not limited to, those provided for in Section 5.5(b). (b) Buyer has delivered an approved franchise agreement for the Project or an alternative acceptable to the Seller. (c) Buyer has submitted to Seller a construction schedule for the Project, which is consistent with the post-closing milestones in the Development Agreement, including commencement of construction and substantial completion of the Project, and confirms to the City’s reasonable satisfaction the feasibility of Buyer’s development of the Project in accordance with the post-closing milestones in the Development Agreement. (d) Buyer has submitted a final pro forma including pro forma financing terms that confirms to the Seller’s reasonable satisfaction the financial feasibility of the Buyer’s development of the Project. 221 18708.001 4813-5533-2093.2 9 (e) Buyer has completed construction of the temporary north-south Bay Trail connection (if required, assuming timely completion of the Phase 1C work) and has incorporated a permanent north-south Bay Trail connection into the entitlements for the Project, as identified in BCDC Permit 2017.007.00, at Buyer’s expense and in accordance with the BCDC Permit or any amendments thereto, unless (i) BCDC has waived, released, or otherwise modified the BCDC Permit conditions such that the temporary or permanent trail, as applicable, is no longer required, or (ii) provided an extension of time for construction of the permanent north-south Bay Trail connection . Such trail construction shall be completed two (2) months prior to the deadline imposed by BCDC, as may be amended. Such Bay Trail connections shall comply with the Americans with Disabilities Act and any other applicable standards, requirements, or amendments. (f) Buyer has taken all steps necessary and required under the Order No. 00-46 and the Closure Plans, to the City’s reasonable satisfaction, to assume the applicable obligations of the owner or developer of the Property under the Order No. 00-46 and the Closure Plans respectively, and provided written assurance to Seller that Buyer is unequivocally prepared to assume and perform such obligations, including to the extent that each such document may be amended from time to time with approval of the Water Board. As to Order No. 00-46, such written assurance shall confirm that the date of Closing is the specific date for the transfer of responsibility for the obligations identified in Order No. 00-46 as to the Property. In furtherance of the foregoing condition as to Order No. 00-46, the Buyer shall cooperate with the Seller to notify the Water Board to request a transfer of responsibility of Order No. 00 -46 as to the Property, including providing the Seller with the Buyer’s full legal name, address, and telephone number of the persons responsible for contact with the Water Board. (g) Buyer has entered into a binding voluntary oversight agreement with the Water Board (i) pursuant to which the Water Board will oversee Buyer’s compliance with the requirements of Order No. 00-46, the Closure Plans, and related Applicable Laws, relating to Buyer’s acquisition, development, operation and use of the Property, and (ii) confirming that with respect to such requirements, the Buyer is the party primarily responsible for such compliance. It is the goal of the parties that, following the Closing Date, Buyer shall be solely responsible to perform, at its sole cost and expense, the compliance activities referenced in (i) and (ii) above. The Parties acknowledge that the City is liable for any violations of Order No. 00-46 or Sections 13267 and 13263 of the California Water Code relating to the Property up to the Closing Date and that the Buyer is liable for any such violations from and following the Closing Date. (h) Buyer has performed all obligations to be performed by Buyer pursuant to this Agreement before Closing Date. (i) Seller has secured, at reasonable cost, insurance or a commitment for insurance that covers or substantially offsets, in Seller’s reasonable discretion, the risks and liabilities that Seller will retain or to which Seller may be exposed pursuant to this Agreement following the Closing Date. Seller shall notify Buyer in writing no later than ninety (90) calendar days after the Effective Date (“Environmental Insurance Contingency Period”) that this condition has either (i) been satisfied or waived by Seller; or (ii) not been satisfied or waived by Seller and Seller has elected to not proceed with Closing, in which case the Deposits shall be immediately released to Buyer and this Agreement shall terminate. If Seller does not indicate its 222 18708.001 4813-5533-2093.2 10 election prior to the expiration of the Environmental Insurance Contingency Period, Seller shall have been deemed to have waived this condition. (j) Buyer's representations and warranties set forth herein are true and correct in all material respects as of the Closing Date. (k) Seller has approved all discretionary entitlements for the Project, including the first reading of an ordinance approving a Development Agreement. Buyer will deliver items (c), (d), (e), (f) and (g) at least seven (7) business days prior to Closing. If any of the Seller’s Closing Conditions shall not have been satisfied on or before the Closing Date as a result of a breach or default by Buyer, then Seller shall have its rights under Section 7.2. Notwithstanding the foregoing or anything contained herein to the contrary, if Buyer has failed to satisfy the condition contained in Section 5.3(e) above by the date specified by BCDC or if Seller’s Closing Conditions have not otherwise been satisfied on or before December 31, 2022, the Seller may, in its sole discretion, immediately terminate this Agreement. For the avoidance of doubt, the Parties acknowledge that the second reading of the ordinance approving the Development Agreement may occur after Closing, in which case the Development Agreement shall be executed and recorded post-Closing. However, if the Development Agreement has been fully approved by the City Council prior to December 31, 2022, then an executed copy of the Development Agreement will be deposited into escrow and recorded concurrently with the Close of Escrow. 5.4 Conveyance of Title. Seller will deliver marketable fee simple title to Buyer at the Closing, subject only to the Permitted Exceptions. As provided in Section 6.3 and further herein, the Property will be conveyed by Seller to Buyer in an “as is” condition, with no warranty, express or implied, by Seller as to the physical condition including, but not limited to, the soil, its geology, or the presence of known or unknown faults or Hazardous Materials or hazardous waste (as defined by Section 13); provided, however, that the foregoing shall not relieve Seller from disclosure of any such conditions of which Seller has actual knowledge or its obligations under Section 10. 5.5 Deliveries at Closing. (a) Deliveries by Seller. Prior to Closing, Seller shall deposit the following into the Escrow: (i) one (1) original executed and acknowledged grant deed, substantially in the form attached hereto as Exhibit D (“Grant Deed”); (ii) one (1) duly executed copy of the Development Agreement approved by City Council; (iii) one (1) duly executed affidavit or qualifying statement which satisfies the requirements of paragraph 1445 of the Internal Revenue Code of 1986, as amended, any regulations thereunder (the “Non-Foreign Affidavit”); (iv) one (1) duly executed California Franchise Tax Board form 590 (the “California Certificate”) to satisfy the requirements of California Revenue and Taxation Code Section 18805(b) and 26131, and (v) such other instruments, funds, and documents as required under the terms of this Agreement or reasonably requested by Escrow Holder, including any such affidavits necessary to issue the Title Policy. 223 18708.001 4813-5533-2093.2 11 (b) Deliveries by Buyer. Prior to Closing, Buyer shall deposit the following into the Escrow: (i) no less than one (1) business day prior to the Close of Escrow, Buyer shall deposit into Escrow immediately available funds in the amount, which together with the Independent Consideration, the Deposits, and the ENRA Deposit is equal to the Purchase Price as adjusted by any prorations between the Parties; (ii) one (1) original executed Preliminary Change of Ownership Report for the Property; (iii) the escrow fees and recording fees; (iv) the cost of the Title Policy; and (v) such other instruments, funds, and documents as required under the terms of this Agreement or reasonably requested by Escrow Holder. (c) Closing. Upon Closing, Escrow Holder shall: (i) record the Grant Deed; (ii) disburse to Seller the Purchase Price, less Seller’s share of any fees, costs and expenses; (iii) deliver to Buyer the Non-Foreign Affidavit, the California Certificate and the original recorded Grant Deed; (iv) pay any commissions and other expenses payable through Escrow; and (v) distribute to itself the payment of Escrow fees and expenses required hereunder. (d) Closing Costs. Buyer will pay all Escrow fees (including the costs of preparing documents and instruments), and recording fees. Buyer will also pay title insurance and title report costs. Seller will pay all transfer taxes and governmental conveyance fees, where applicable. (e) Pro-Rations. At the Close of Escrow, the Escrow Holder shall make the following prorations: (i) property taxes will be prorated as of the Closing Date based upon the most recent tax bill available, including any property taxes which may be assessed after the Closing Date but which pertain to the period prior to the transfer of title to the Property to Buyer, regardless of when or to whom notice thereof is delivered. Seller does not pay ad valorem taxes. 6. REPRESENTATIONS AND WARRANTIES. 6.1 Seller’s General Representations and Warranties. In addition to the representations and warranties of Seller contained in Section 6.2 below pertaining to Seller’s Environmental Representations and Warranties (which are Seller’s exclusive representations and warranties pertaining to the environmental issues at or associated with the Property) , Seller hereby represents, warrants and covenants to Buyer that the statements below in this Section 6.1 are each true and correct as of the Closing Date (subject to any knowledge qualifications set forth therein) provided however, if to Seller’s actual knowledge any such statement becomes untrue prior to Closing, Seller will notify Buyer in writing and Buyer will have three (3) business days thereafter to determine if Buyer wishes to proceed with Closing. If Buyer determines it does not wish to proceed, then the terms of Section 3.4 pertaining to return of funds deposited into Escrow will apply. Seller’s representations and warranties under this Section 6.1 do not apply to any matter addressed, directly or indirectly, in Section 6.2 below. (a) Authority. Seller is a municipal corporation, lawfully formed, in existence and in good standing under the laws of the State of California. Seller has the full right, capacity, power and authority to enter into and carry out the terms of this Agreement. This Agreement has been duly executed by Seller, and upon delivery to and execution by Buyer is a valid and binding agreement of Seller. 224 18708.001 4813-5533-2093.2 12 (b) Encumbrances. Seller has not alienated, encumbered, transferred, mortgaged, assigned, pledged, or otherwise conveyed its interest in the Property or any portion thereof, nor entered into any Agreement to do so, and there are no liens, encumbrances, mortgages, covenants, conditions, reservations, restrictions, easements or other matters affecting the Property, except as disclosed in the Preliminary Report. Seller will not, directly or indirectly, alienate, encumber, transfer, mortgage, assign, pledge, or otherwise convey its interest prior to the Close of Escrow, as long as this Agreement is in force. (c) There are no agreements to the Seller’s actual knowledge, affecting the Property except those which have been disclosed by Seller in writing. (d) There are no actions, suits, or proceedings of any kind or nature whatsoever, legal or equitable, pending or, to Seller’s actual knowledge based on reasonable investigation, threatened against Seller, relating to the Property or relating to or arising out of the ownership, management, or operation of the Property, in any court or before any federal, state, county, or municipal department, commission, board, bureau, agency, or other governmental instrumentality, and Seller has received no notice thereof except those which have been disclosed by Seller in writing. (e) Seller has delivered to Buyer all of the documents and materials required to be delivered by Seller pursuant to Section 4.3, and none of the documents and materials delivered by Seller to Buyer pursuant to Section 4.3 contain any material misstatements or omissions to the Seller’s actual knowledge . The foregoing representations and warranties shall survive Close of Escrow of this Agreement and shall not be deemed merged into the deed upon Closing. 6.2 Seller’s Environmental Representations and Warranties. Seller hereby represents, warrants and covenants to Buyer that the statements below in this Section 6.2 are each true and correct as of the Closing Date (subject to any knowledge qualifications set forth therein) provided however, if to Seller’s actual knowledge any such statement becomes untrue prior to Closing, Seller will notify Buyer in writing and Buyer will have three (3) business days thereafter to determine if Buyer wishes to proceed with Closing. If Buyer determines it does not wish to proceed, then the terms of Section 3.4 pertaining to return of funds deposited into Escrow will apply. (a) To Seller’s actual knowledge , there are no Hazardous Materials (as defined by Section 13) or environmental contamination located on the Property in violation of any Environmental Laws (as defined by Section 13), and no pending or threatened proceeding or notices by any governmental authority with respect to the presence, suspected presence, or release of Hazardous Materials on the Property or the migration thereof from or to other property, except as such information has been previously disclosed by Seller in writing or is otherwise made available or reasonably known to Buyer, including, but not limited to, information contained in the Environmental Documents. 225 18708.001 4813-5533-2093.2 13 (b) To Seller’s actual knowledge, the Due Diligence Materials and the Environmental Documents are the only documents that identify the Pre-Existing Property Conditions (as defined in Section 6.3 below). (c) Seller has disclosed the presence of landfill materials and certain Hazardous Materials on the Property to Buyer, which are subject to the terms and conditions of the Postclosure Plan and Order No. 00-46. Other than the express representations and warranties of Seller specifically set forth in Section 6.1 and Section 6.2 of this Agreement, Seller makes no representations or warranties of any kind, express or implied, as to any matters concerning the Property, including without limitation: (i) the quality, nature, adequacy and physical condition of the Property, (ii) the quality, nature, adequacy, and physical condition of soils, geology and any groundwater, (iii) Pre-Existing Property Conditions, (iv) the existence, quality, nature, adequacy and physical condition of utilities serving the Property, (v) the development potential of the Property, and the Property's use, habitability, merchantability, or fitness, suitability, value or adequacy of the property for any particular purpose, (vi) except as otherwise provided in this Agreement, the zoning or other legal status of the Property or any other public or private restrictions on use of the Property, (vii) except as otherwise specifically provided in this Agreement, the compliance of the Property or its operation with any Environmental Laws, covenants, conditions and restrictions of any governmental or quasi-governmental entity or of any other person or entity, (vii) except as otherwise specifically provided in this Agreement, the presence or removal of Hazardous Materials, substances or wastes on, under or about the Property or the adjoining or neighboring property; (viii) the quality of any labor and materials used in any improvements on the Property, (ix) the condition of title to the Property, (x) the leases, service contracts, or other agreements affecting the Property, or (xi) the economics of the operation of the Property. 6.3 Buyer’s Representations and Warranties. In addition to the representations, warranties and covenants of Buyer contained in other sections of this Agreement, Buyer hereby represents, warrants and covenants to Seller that the statements below in this Section 6.2 are each true as of the Effective Date, and, if to Buyer’s actual knowledge any such statement becomes untrue prior to Closing, Buyer shall so notify Seller in writing and Seller shall have at least three (3) business days thereafter to determine if Seller wishes to proceed with Closing. (a) Buyer is a California Limited Liability Company. Buyer has the full right, capacity, power and authority to enter into and carry out the terms of this Agreement. This Agreement has been duly executed by Buyer, and upon delivery to and execution by Seller shall be a valid and binding agreement of Buyer. (b) Buyer is not bankrupt or insolvent under any applicable federal or state standard, has not filed for protection or relief under any applicable bankruptcy or creditor protection statute, and has not been threatened by creditors with an involuntary application of any applicable bankruptcy or creditor protection statute, and has the financial means and expertise to complete all of Buyer’s obligations under this Agreement. 226 18708.001 4813-5533-2093.2 14 6.4 Property Sold, “AS IS”. Buyer specifically acknowledges that the Seller is selling the Property on an “AS IS”, “WHERE IS” and “WITH ALL FAULTS” basis and that, subject only to Seller's specific representations and warranties in Section 6.1 and Section 6.2 of this Agreement, , Buyer is not relying on any representations or warranties of any kind whatsoever, express or implied, from Seller, or its employees, appointed or elected officials, agents, attorneys, contractors or brokers as to any matters concerning the Property. Buyer is a sophisticated purchaser and its consultants have reviewed or have had the opportunity to review the Due Diligence Materials and Environmental Documents and to perform due diligence relating to the Property, the Pre-Existing Property Conditions, the landfill, and Landfill Materials to the full extent desired by Buyer, in its sole discretion. Any decision by Buyer to acquire the Property is based solely on Buyer’s own due diligence and evaluation of the Pre-Existing Property Conditions and the limited representations specifically set forth in Section 6.1 and 6.2 of this Agreement by Seller. 7. DEFAULT, REMEDIES, TERMINATION. 7.1 In the event of a breach or default under this Agreement by Seller, which is not cured within ten (10) days (such longer period as may be reasonably required to cure such default) after written notice, if such breach or default occurs prior to Close of Escrow, Buyer reserves the right to either (a) seek specific performance from Seller or (b) to do any of the following: (i) to waive the breach or default and proceed to close as provided herein; (ii) to extend the time for performance until Seller is able to perform with the understanding that such extension cannot extend beyond December 31, 2022; or (iii) to terminate this Agreement upon written notice to Seller, whereupon Seller shall cause Escrow Holder to return to Buyer any and all sums placed into the Escrow by Buyer (including the Deposits), reserving all other rights and remedies available to it under this Agreement or otherwise at law or in equity, including the right to collect costs and damages for such breach from Seller . 7.2 IN THE EVENT OF A BREACH OR DEFAULT HEREUNDER BY BUYER WHICH IS NOT CURED WITHIN TEN (10) DAYS (OR SUCH LONGER PERIOD AS MAY BE REASONABLY REQUIRED TO CURE SUCH DEFAULT) AFTER WRITTEN NOTICE AND THE CLOSING DOES NOT OCCUR DUE TO SUCH DEFAULT, SELLER MAY ELECT TO TERMINATE THIS AGREEMENT UPON WRITTEN NOTICE TO BUYER AND/OR MAY RETAIN THE DEPOSITS AS LIQUIDATED DAMAGES. THE PARTIES AGREE THAT IN SUCH INSTANCE, THE DEPOSITS REPRESENT A REASONABLE APPROXIMATION OF SELLER’S DAMAGES AND ARE NOT INTENDED AS A FORFEITURE OR PENALTY BUT RATHER AN ENFORCEABLE LIQUIDATED DAMAGES PROVISION PURSUANT TO CALIFORNIA CIVIL CODE SECTION 1671, ET SEQ. IN NO EVENT SHALL EITHER PARTY BE ENTITLED TO LOST PROFITS OR CONSEQUENTIAL DAMAGES AS A RESULT OF THE OTHER PARTY’S BREACH OF THIS AGREEMENT. _______________ _______________ Buyer’s Initials Seller’s Initials 227 18708.001 4813-5533-2093.2 15 8. BROKERS. Seller represents that no real estate broker has been retained by Seller in the sale of the Property or the negotiation of this Agreement. Buyer represents that no real estate broker has been retained by Buyer in the procurement of the Property or negotiation of this Agreement. Each party shall indemnify, hold harmless and defend the other party from any and all claims, actions and liability for any breach of the party’s respective representation, and any commission, finder’s fee, or similar charges arising out of the transactions contemplated by this Agreement. 9. ASSIGNMENT. Absent an express signed written agreement between the Parties to the contrary, neither Seller nor Buyer may assign its rights or delegate its duties under this Agreement without the express written consent of the other. No permitted assignment of any of the rights or obligations under this Agreement shall result in a novation or in any other way release the assignor from its obligations under this Agreement. Notwithstanding any provision hereof, Buyer may assign this Agreement without the consent of Seller to one or more entities controlled by, or under common control with, or owned in whole or in part by Buyer, provided, Buyer shall not be released from its obligations under this Agreement. As used in this subsection, “controlled” shall mean the possession, directly or indirectly, of the power to direct or cause the direction of management or policies, whether through the ownership of voting securities, partnership interest, contracts (other than those that purport to transfer Buyer’s interest to a third party not specifically identified in this subsection) or otherwise. 10. INDEMNIFICATION. 10.1 Indemnification by Seller. Except for the Claims (as defined below) released by Buyer pursuant to Section 11.1, Seller agrees to the fullest extent allowed by law, to indemnify, protect, defend (with counsel satisfactory to Buyer), and hold Buyer and it s officers, directors, managers, members, employees, agents, contractors, subcontractors, consultants, invitees, or licensees acting on behalf of Buyer (collectively, “Buyer Indemnitees”) harmless from and against any and all Claims suffered by Buyer Indemnitees, to the extent caused by: (a) Any material misrepresentation or breach of warranty or covenant made by Seller in this Agreement, provided that Seller’s obligations under this Section 10.1 shall not apply to any misrepresentation or breach of warranty or covenant actually known to and waived by Buyer prior to Closing ; (b) Claims by any third party to the extent caused by the Pre-Existing Property Conditions; provided, however, Seller’s obligations hereunder shall not apply to the extent that such third party claims are caused by the acts or negligent omissions of Buyer or any Buyer Indemnitee, including without limitation: (i) Buyer’s design, construction, operation, use, and/or maintenance of the Project; (ii) Buyer’s performance of or failure to perform Buyer’s Post- Closing Mitigation Measures (as defined in Section 14.1 below); (iii) Buyer’s design, construction, operation, use, and/or maintenance of any of Buyer’s Post-Closing Mitigation Measures; (iv) Buyer’s failure to install, operate, maintain or upgrade Vapor Intrusion Mitigation System (“VIMS”)/Methane Mitigation System (“MMS”) in accordance with Best Management Practices (for the purposes of this Agreement “Best Management Practices” means methods that are identified in the conditions of approval for the Project imposed pursuant to the entitlement process and during the plan check process prior to issuance of building permits) or as required by 228 18708.001 4813-5533-2093.2 16 Applicable Law, including in response to changed, unexpected, or unanticipated conditions at the Project; (v) Buyer’s breach of this Agreement; and (vi) failure by Buyer to provide any notice, disclosure or other information required by Applicable Laws in connection with the presence or potential presence of Pre-Existing Property Conditions at or otherwise relating to the Project, provided, however, that Seller’s obligations to Buyer Indemnitees under this Section 10.1(b) shall not be excused by the mere discovery by a Buyer Indemnitee of a Pre-Existing Property Condition; and (c) Claims to the extent caused by Seller’s: (i) violation of Applicable Laws pertaining to the Pre-Existing Property Conditions from and after the Closing Date; and (ii) performance of or failure to perform Seller’s Post-Closing Mitigation Measures from and after the Closing Date. Notwithstanding anything to the contrary herein, Seller’s obligations under this Section 10.1 shall not apply to any Claims for any alleged lost profits, lost opportunity, or alleged consequential, speculative, contingent or punitive damages. 10.2 Indemnification by Buyer. Except for the Claims released by Seller pursuant to Section 11.2, Buyer agrees to the fullest extent allowed by law, to indemnify, protect, defend (with counsel satisfactory to Seller), and hold Seller (and its elected and appointed officers, officials, directors, legislative body members, managers, employees, consultants, contractors, subcontractors, attorneys, agents, invitees, and/or licensees acting on behalf of Seller; collectively “Seller Indemnitees”) harmless from and against any and all Claims (as defined in Section 11.1(a)) suffered by Seller Indemnitees, at any time or times after the Closing Date, to the extent caused by: (a) Any material misrepresentation or breach of warranty or covenant made by Buyer in this Agreement, provided that Buyer’s obligations under this Section 10.2 shall not apply to any misrepresentation or breach of warranty or covenant actually known to and waived by Seller prior to Closing; (b) The acts or negligent omissions of Buyer or any Buyer Indemnitee, including without limitation: (i) Buyer’s design, construction, operation, use, and/or maintenance of the Project; (ii) Buyer’s performance or failure to perform Buyer’s Post-Closing Mitigation Measures; (iii) Buyer’s design, construction, operation, use, monitoring, and/or maintenance of any of Buyer’s Post-Closing Mitigation Measures; and (iv) Buyer’s failure to install, operate, maintain or upgrade VIMS/MMS as in accordance with Best Management Practices or required by Applicable Law, including in response to changed, unexpected, or unanticipated conditions at the Project. Notwithstanding anything to the contrary herein, Buyer’s obligations under this Section 10.2 shall not apply to any Claims by any Buyer Indemnitee for any alleged lost profits, lost opportunity, or alleged consequential, speculative, contingent or punitive damages. The provisions of this Section 10 shall survive the Close of Escrow. 11. RELEASES. 229 18708.001 4813-5533-2093.2 17 11.1 By Buyer. (a) Pre-Existing Property Conditions. Effective upon the Close of Escrow, except with respect to the representations and warranties of Seller under Section 6.1 and 6.2 of this Agreement and the indemnification obligations of Seller under Sections 8 and 10.1, Buyer waives releases, remises, acquits and forever discharges Seller (and its elected and appointed officers, officials, directors, legislative body members, managers, employees, attorneys, consultants. invitees, licensees, agents, and contractors and subcontractors acting on behalf of Seller) from any and all actions, causes of action, charges, claims, compensation, costs, damages, fees (including attorneys’ fees and experts’ fees), fines, demands, judgments, losses, orders, penalties, rights, and expenses of any kind or type, and compensation whatsoever, direct or indirect, known or unknown, foreseen or unforeseen (collectively, “Claims”), which Buyer has or may have, now or in the future, on account of or in any way arising from or in connection with the Pre-Existing Property Conditions. (b) Buyer’s Post-Closing Mitigation Measures. Effective upon the Close of Escrow, Buyer waives, releases, remises, acquits and forever discharges Seller, and its officers, directors, legislative body members, managers, employees and agents, and contractors and subcontractors acting on behalf of Seller, from any and all Claims to the extent arising from or in connection with (a) Buyer’s implementation of or failure to implement Buyer’s Post-Closing Mitigation Measures (as described in Section 14.1), and (b) Buyer’s failure to comply with Applicable Laws pertaining to the Pre-Existing Property Conditions and/or Buyer’s Post-Closing Mitigation Measures. (c) Buyer acknowledges that Buyer is familiar with Section 1542 of the California Civil Code, which provides as follows: A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS THAT THE CREDITOR OR RELEASING PARTY DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE AND THAT, IF KNOWN BY HIM OR HER, WOULD HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR OR RELEASED PARTY. Effective upon the Close of Escrow, by initialing below, Buyer expressly waives the benefits of Section 1542 of the California Civil Code with respect to the foregoing releases: Buyer’s initials:_____________ 11.2 By Seller. Effective upon the Close of Escrow, except with respect to the representations and warranties of Buyer under Section 6.3 of this Agreement and the indemnification obligations of Buyer under Sections 8 and 10.2, Seller waives, releases, remises, acquits and forever discharges Buyer, and its officers, directors, members, managers, employees and agents, consultants, invitees, licensees, and contractors and subcontractors acting on behalf of Buyer, from any and all Claims to the extent arising from or in connection with (a) Seller’s implementation of or failure to implement Seller’s Post-Closing Mitigation Measures (as described 230 18708.001 4813-5533-2093.2 18 in Section 14.2), and (b) Seller’s post-Closing failure to comply with Applicable Laws pertaining to the Pre-Existing Property Conditions and/or Seller’s Post-Closing Mitigation Measures. Seller acknowledges that Seller is familiar with Section 1542 of the California Civil Code, which provides as follows: A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS THAT THE CREDITOR OR RELEASING PARTY DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE AND THAT, IF KNOWN BY HIM OR HER, WOULD HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR OR RELEASED PARTY. Effective upon the Close of Escrow, by initialing below, Seller expressly waives the benefits of Section 1542 of the California Civil Code with respect to the foregoing release: Seller’s initials: _____________ The releases provided by Buyer and Seller pursuant to this Section 11 include releases for lost profits, lost opportunity, and consequential, speculative, contingent or punitive damages. This Section 11 shall survive the termination of this Agreement and the Close of Escrow. 12. ADDITIONAL COSTS AND OBLIGATIONS OF BUYER. Buyer acknowledges that development of the Project on a former landfill and the Pre-Existing Property Conditions will impact Buyer’s construction and operation of the Project, including requiring enhanced or modified construction techniques, managing and accommodating the presence and potential presence of hazardous materials beneath the Property, and the design, installation, operation and maintenance of various mitigation systems, all of which will increase the cost of constructing and operating the Project. Buyer agrees that it shall be solely responsible for all such costs, including each of the following: (a) Additional Development Costs. All additional development costs incurred or necessary due to the fact that development of the Project is occurring on a landfill and/or due to the presence or potential presence of Pre-Existing Property Conditions, such additional costs include the following types of requirements and costs: (1) More complex building foundation; (2) Additional geotechnical costs; (3) MMS design, installation, and maintenance; (4) VIMS design, installation, and maintenance; (5) Cap management and repair to the extent required in connection with Buyer’s construction and operation of the Project; 231 18708.001 4813-5533-2093.2 19 (6) Proper management and disposal of waste encountered during development; (7) Compliance with Applicable Laws, including compliance arising due to changes in Applicable Laws; (8) Delays due to discovery of unanticipated conditions; (9) Additional construction precautions due to the presence of hazardous or landfill materials; (10) Construction considerations due to existence of cap; (11) Compliance with requirements in the Closure Plans; and (12) Regulatory oversight of development activities. (b) System Upgrades. Costs to install, operate, maintain and upgrade VIMS and MMS systems, including in response to changed, unexpected, or unanticipated conditions at the Project or Property. Nothing in this Section shall be deemed or is intended to affect Seller’s obligations under Section 10.1. 13. SELLER’S COVENANTS. From the Effective Date until the Closing Date, unless this Agreement is earlier terminated pursuant to the terms hereof: 13.1 At Seller’s sole cost and expense, Seller shall maintain the Property and operate the Property in compliance with all Applicable Laws and governmental orders, including the Post-Closure Plan and Order No. 00-46, and in the same manner as before the making of this Agreement and in the same condition as it currently exists, as though Seller were retaining the Property; 13.2 Seller shall not, after the Effective Date, enter into or terminate any leases, contracts, agreements, or amendments of same, pertaining to the Property without obtaining the prior consent of Buyer; 13.3 Seller shall not encumber the Property with any liens, encumbrances, or other instruments creating a cloud on title or otherwise transferring or disposing of all or any part of the Property or any interest therein, unless the same will be removed, discharged, or paid in full on or before the Closing; and 13.4 Seller shall not offer the Property for sale or lease or otherwise solicit, make, pursue, negotiate, or accept offers for the sale or lease of the Property to any third party. 232 18708.001 4813-5533-2093.2 20 14. ENVIRONMENTAL POST-CLOSING OBLIGATIONS; HAZARDOUS MATERIALS; DEFINITIONS. 14.1 Buyer’s Post-Closing Obligations. Buyer acknowledges that Buyer and its experts have studied and understand the impacts, potential impacts and risks associated with the Pre-Existing Property Conditions on and relating to acquisition, development and operation of the Property and that from and after the Closing Date, Buyer shall design, develop, construct, operate, manage, and maintain the Project in accordance with Best Management Practices applicable to the Project in a manner that mitigates the adverse impacts of said Pre-Existing Property Conditions in accordance with all Applicable Laws, agreements, covenants, directives, guidance, orders, enforceable requirements, and Best Management Practices applicable to the Project and the Property, including Buyer’s obligations pursuant to the Postclosure Plan. In addition to the foregoing and Buyer’s other obligations under this Agreement, Buyer agrees that it shall implement, operate, and maintain each of the specific mitigation measures identified in Exhibit F (“Buyer’s Post-Closing Mitigation Measures”). 14.2 Seller’s Post-Closing Obligations. In addition to Seller’s other obligations under this Agreement, Seller agrees that it shall implement, operate, and maintain each of the specific mitigation measures identified in Exhibit G (“Seller’s Post-Closing Mitigation Measures”). 14.3 Hazardous Materials. As used in this Agreement, “Hazardous Materials” means any chemical, compound, material, mixture, or substance that is now or may in the future be defined or listed in, or otherwise classified or regulated pursuant to any Environmental Laws (defined below). including as a “hazardous substance”, “hazardous material”, “waste”, “hazardous waste”, “extremely hazardous waste”, “infectious waste”, “toxic substance”, “contaminant”, “pollutant”, “toxic pollutant”, or any other term or formulation intended to define, list, classify or regulate substances by reason of deleterious properties such as ignitability, corrosivity, reactivity, carcinogenicity, or toxicity. The term “Hazardous Materials” shall also include asbestos or asbestos-containing materials, radon, chrome and/or chromium, polychlorinated biphenyls, per- and polyfluoroalky substances, petroleum, petroleum products or by-products, petroleum components, oil, mineral spirits, methane, natural gas, natural gas liquids, liquefied natural gas, and synthetic gas usable as fuel, perchlorate, and methyl tert butyl ether, whether or not defined as a hazardous waste or hazardous substance in the Environmental Laws. Environmental Laws. As used in this Agreement, “Environmental Laws” means any and all federal, state and local statutes, laws (including common laws), ordinances, orders, rules, regulations, guidance documents, judgments, governmental authorizations or directives, or any other requirements of governmental authorities, as may presently exist, or as may be amended or supplemented, or hereafter enacted, relating to the presence, release, generation, use, handling, treatment, storage, transportation or disposal of Hazardous Materials, or the protection of the environment or human, plant or animal health, including, without limitation, the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended by the Superfund Amendments and Reauthorization Act of 1986 (42 U.S.C. § 9601), the Hazardous Materials Transportation Act (49 U.S.C. § 1801 et seq.), the Resource Conservation and 233 18708.001 4813-5533-2093.2 21 Recovery Act (42 U.S.C. § 6901 et seq.), the Federal Water Pollution Control Act (33 U.S.C. § 1251 et seq.), the Clean Air Act (42 U.S.C. § 7401 et seq.), the Toxic Substances Control Act (15 U.S.C. § 2601 et seq.), the Oil Pollution Act (33 U.S.C. § 2701 et seq.), the Emergency Planning and Community Right-to-Know Act (42 U.S.C. § 11001 et seq.), the Porter-Cologne Water Quality Control Act (Cal. Water Code § 13000 et seq.), the Toxic Mold Protection Act (Cal. Health & Safety Code § 26100, et seq.), the Safe Drinking Water and Toxic Enforcement Act of 1986 (Cal. Health & Safety Code § 25249.5 et seq.), the Hazardous Waste Control Act (Cal. Health & Safety Code § 25100 et seq.), the Hazardous Materials Release Response Plans & Inventory Act (Cal. Health & Safety Code § 25500 et seq.), and the Carpenter-Presley-Tanner Hazardous Substances Account Act (Cal. Health and Safety Code, Section 25300 et seq.). The provisions of this Section 14 shall survive the Close of Escrow. 15. MISCELLANEOUS. 15.1 Attorneys’ Fees. If any party employs counsel to enforce or interpret this Agreement, including the commencement of any legal proceeding whatsoever (including insolvency, bankruptcy, arbitration, mediation, declaratory relief or other litigation), the prevailing party shall be entitled to recover its reasonable attorneys’ fees and court costs (including the service of process, filing fees, court and court reporter costs, investigative fees, expert witness fees, and the costs of any bonds, whether taxable or not) and shall include the right to recover such fees and costs incurred in any appeal or efforts to collect or otherwise enforce any judgment in its favor in addition to any other remedy it may obtain or be awarded. Any judgment or final order issued in any legal proceeding shall include reimbursement for all such attorneys’ fees and costs. In any legal proceeding, the “prevailing party” shall mean the party determined by the court to most nearly prevail and not necessarily the party in whose favor a judgment is rendered. 15.2 Interpretation. This Agreement has been negotiated at arm’s length and each party has been represented by independent legal counsel in this transaction and this Agreement has been reviewed and revised by counsel to each of the Parties. Accordingly, each party hereby waives any benefit under any rule of law (including Section 1654 of the California Civil Code) or legal decision that would require interpretation of any ambiguities in this Agreement against the drafting party. 15.3 Survival. All indemnities, covenants, representations and warranties contained in this Agreement shall survive Close of Escrow. 15.4 Successors. Except as provided to the contrary in this Agreement, this Agreement shall be binding on and inure to the benefit of the Parties and their successors and assigns. 15.5 Governing Law/Venue. This Agreement shall be construed and interpreted in accordance with the laws of the State of California with venue in the court of competent jurisdiction in San Mateo County. 234 18708.001 4813-5533-2093.2 22 15.6 Integrated Agreement; Modifications. This Agreement contains all the agreements of the Parties concerning the subject hereof any cannot be amended or modified except by a written instrument executed and delivered by the parties. There are no representations, agreements, arrangements or understandings, either oral or written, between or among the parties hereto relating to the subject matter of this Agreement that are not fully expressed herein. In addition there are no representations, agreements, arrangements or understandings, either oral or written, between or among the Parties upon which any party is relying upon in entering this Agreement that are not fully expressed herein. 15.7 Severability. If any term or provision of this Agreement is determined to be illegal, unenforceable, or invalid in whole or in part for any reason, such illegal, unenforceable, or invalid provisions or part thereof shall be stricken from this Agreement, any such provision shall not be affected by the legality, enforceability, or validity of the remainder of this Agreement. If any provision or part thereof of this Agreement is stricken in accordance with the provisions of this Section, then the stricken provision shall be replaced, to the extent possible, with a legal, enforceable and valid provision this is in keeping with the intent of the Parties as expressed herein. 15.8 Notices. Any delivery of this Agreement, notice, modification of this Agreement, collateral or additional agreement, demand, disclosure, request, consent, approval, waiver, declaration or other communication that either party desires or is required to give to the other party or any other person shall be in writing. Any such communication may be served by email, personally, or by nationally recognized overnight delivery service (i.e., Federal Express) which provides a receipt of delivery, or sent by prepaid, first class mail, return receipt requested to the party’s address as set forth below: To Buyer: Ensemble Investments, LLC 444 West Ocean Boulevard Suite 650 Long Beach, CA 90802 Attn: Senior Vice President, Conrad Garner Telephone No.: (562) 435-4857 cgarner@ensemble.net With a Copy to: Coblentz Patch Duffy & Bass LLP One Montgomery Street, Suite 3000 San Francisco, CA 94104 Attn: Frank Petrilli Telephone No.: (415) 268-0503 fpetrilli@coblentzlaw.com To Seller: City of South San Francisco 400 Grand Avenue South San Francisco, CA 94080 Attn: City Manager, Mike Futrell Telephone No.: (650) 829-6620 Fax (650) 829-6609 mike.futrell@ssf.net 235 18708.001 4813-5533-2093.2 23 With a Copy to: Meyers Nave PC 1999 Harrison Street, 9th Floor Oakland, CA 94612 Attn: City Attorney, Sky Woodruff Telephone No.: [_____________] swoodruff@meyersnave.com If to Escrow Holder: Tyler Micklebost Chicago Title Insurance Co One Embarcadero Center, Suite 250 San Francisco, CA 94111 Telephone No.: (415) 291-5109 Tyler.miklebost@ctt.com Any such communication shall be deemed effective upon personal delivery or on the date of first refusal to accept delivery as reflected on the receipt of delivery or return receipt, as applicable. Any party may change its address by notice to the other party. Notice by email transmission shall be deemed given upon verification of receipt if received before 5:00 p.m. on a regular business day, or else on the next business day. Each party shall make an ordinary, good faith effort to ensure that it will accept or receive notices that are given in accordance with this section and that any person to be given notice actually receives such notice. 15.9 Time. Time is of the essence to the performance of each and every obligation under this Agreement. 15.10 Days of Week. If any date for exercise of any right, giving of any notice, or performance of any provision of this Agreement falls on a Saturday, Sunday or holiday, the time for performance will be extended to 5:00 p.m. on the next business day. 15.11 Reasonable Consent and Approval. Except as otherwise provided in this Agreement, whenever a party is required or permitted to give its consent or approval under this Agreement, such consent or approval shall not be unreasonably withheld or delayed. If a party is required or permitted to give its consent or approval in its sole and absolute discretion or if such consent or approval may be unreasonably withheld, such consent or approval may be unreasonably withheld but shall not be unreasonably delayed. 15.12 Further Assurances. The Parties shall at their own cost and expense execute and deliver such further documents and instruments and shall take such other actions as may be reasonably required or appropriate to carry out the intent and purposes of this Agreement. 15.13 Waivers. Any waiver by any party shall be in writing and shall not be construed as a continuing waiver. No waiver will be implied from any delay or failure to take action on account of any default by any party. Consent by any party to any act or omission by another party shall not be construed to be consent to any other subsequent act or omission or to waive the requirement for consent to be obtained in any future or other instance. 236 18708.001 4813-5533-2093.2 24 15.14 Signatures/Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. Any one of such completely executed counterparts shall be sufficient proof of this Agreement. 15.15 Date and Delivery of Agreement. Notwithstanding anything to the contrary contained in this Agreement, the parties intend that this Agreement shall be deemed effective, and delivered for all purposes under this Agreement, and for the calculation of any statutory time periods based on the date an agreement between parties is effective, executed, or delivered, as of the Effective Date. 15.16 Representation on Authority of Parties. Each person signing this Agreement represents and warrants that he or she is duly authorized and has legal capacity to execute and deliver this Agreement. Each party represents and warrants to the other that the execution and delivery of the Agreement and the performance of such party’s obligations hereunder have been duly authorized and that the Agreement is a valid and legal agreement binding on such party and enforceable in accordance with its terms. 15.17 Possession. At Closing, Seller shall deliver sole and exclusive possession of the Property to Buyer. 15.18 Approvals. Whenever this Agreement calls for Seller approval, consent, extension or waiver, the written approval, consent, or waiver of the Seller’s City Manager or his or her designee(s) shall constitute the approval, consent, extension or waiver of the Seller, without further authorization required from the Seller’s Council. The Seller hereby authorizes the City Manager and his or her designee(s) to deliver any such approvals, consents, or extensions or waivers as are required by this Agreement, or that do not otherwise reduce Seller’s rights under this Agreement, and to waive requirements under this Agreement, on behalf of the Seller. 15.19 Force Majeure. Buyer shall not be deemed to have defaulted under or breached this Agreement, for any failure or delay in fulfilling or performing any obligation under this Agreement, when and to the extent such failure or delay is caused by a Force Majeure Event. The failure or inability of Buyer to perform its obligations under this Agreement due to a Force Majeure Event shall be excused for the duration of the Force Majeure Event and extended for a period equivalent to the period of such delay. Buyer shall give Seller notice within five (5) business days of the commencement of the Force Majeure Event, explaining the nature or cause of the delay and stating the period of time the delay is expected to continue. Buyer shall use diligent efforts to end the failure or delay and ensure the effects of such Force Majeure Event are minimized. Buyer shall resume the performance of its obligations as soon as reasonably practicable after the removal of the cause. As used herein, “Force Majeure Event” is any of the following events: (i) acts of God; (ii) floods, fires, earthquakes, explosions, or other natural disasters; (iii) war, invasions, hostilities (whether war is declared or not), terrorist threats or acts, riots or other civil unrest; (iv) governmental authority, proclamations, orders, laws, actions, or requests; (v) embargoes or blockades; (vi) epidemics, pandemics, or other national or regional emergencies; (vii) strikes, labor stoppages or slowdowns, or other industrial disturbances; and (viii) shortages of supplies, adequate power, or transportation facilities. 237 18708.001 4813-5533-2093.2 25 15.20 Environmental Review. This Agreement has been reviewed with respect to the applicability of the California Environmental Quality Act (Public Resources Code Section 21000 et seq.) (“CEQA”). City staff has determined that entering into this Agreement does not have the potential for creating a significant effect on the environment and is therefore exempt from further review under CEQA pursuant to State CEQA Guidelines Section 15060(c)(3) because it is not a project as defined by the CEQA Guidelines Section 15378. Entering into this Agreement does not have the potential for resulting in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. Nothing in this Agreement commits the City to a particular course of action with respect to the proposed Project, and the City will not take any discretionary actions committing it to a particular course of action in connection with the proposed Project until the City has completed, considered and certified/approved any additionally required CEQA environmental review documents. SIGNATURES ON FOLLOWING PAGE 238 18708.001 4813-5533-2093.2 26 IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first written above. SELLER: CITY OF SOUTH SAN FRANCISCO By: Mike Futrell City Manager ATTEST: By: City Clerk APPROVED AS TO FORM: By: Sky Woodruff City Attorney BUYER: ENSEMBLE INVESTMENTS, LLC, a California Limited Liability Company By: Title: 239 18708.001 4813-5533-2093.2 27 LIST OF EXHIBITS Exhibit A Legal Description/Parcel Map Exhibit B BCDC Permit Exhibit C Development Agreement Term Sheet Exhibit D Grant Deed Exhibit E Postclosure Responsibility Matrix Exhibit F Buyer’s Post-Closing Mitigation Measures Exhibit G Seller’s Post-Closing Mitigation Measures 240 18708.001 4813-5533-2093.2 Exhibit A Exhibit A LEGAL DESCRIPTION/PARCEL MAP 241 18708.001 4813-5533-2093.2 Exhibit B Exhibit B BCDC PERMIT 242 18708.001 4813-5533-2093.2 Exhibit C Exhibit C DEVELOPMENT AGREEMENT TERM SHEET Development Agreement (DA) - Term Sheet Seller: City of South San Francisco Buyer: Ensemble Investments, Inc. Property: Property Address Parcel Number 367 Marina Boulevard South San Francisco, CA 94080 015-010-970 Property Plan: Up to 350 rooms; full-service hotel facility which is the quality of a “AAA” (or similar rating) four diamond or higher hotel, comparable to a Hilton Curio or Marriott Autograph Collection hotel. Term Comments 1.) Execute and implement an Operations & Maintenance Agreement with the City providing the City and/or the Water Board with financial assurance for completion of the Buyer’s Post- Closing Mitigation Measures. 2.) Execute and implement a Maintenance and Security Agreement of site after execution of PSA. - Maintain erosion control of site. - Installation of temporary fence within timeframe of installation of temporary BCDC trail. - Installation of temporary frontage improvements. 3.) Developer to construct and maintain a temporary north-south Bay Trail connection and a permanent north- south Bay Trail connection on site, at Developer’s expense, as described in San Francisco Bay Conservation and Development Commission (“BCDC”) Permit No. 2017-007-02 - ADA compliant - Complies with BCDC standards and existing Permit No. 2017.007.02, and any amendments. - Ensemble to agree to any amendments BCDC places on the condition. 243 18708.001 4813-5533-2093.2 Exhibit C - Temporary path to be constructed no later than 6 months following the completion of Phase IC work, which is currently estimated to be completed by July 1, 2022; parties anticipate that temporary path will be completed prior to finalizing the DA, in which case the DA will only address the permanent path. - Permanent path to be constructed within the hotel development and open to the public upon opening of the hotel, but no later than 36 months after the closure of the temporary path. - constructed of a durable, all- weather accessible material. 4.) Developer to enter into a Transient Occupancy Tax (TOT) Rebate Agreement with City. Agreement Parameters: - 50% TOT rebate for fifteen years; - The total TOT rebate is capped at the 15-year projection of $44,530,000 - If the hotel exceeds revenue forecasts, the agreement has a condition to allow “homerun insurance,” for the City to also benefit in the event of a sale; City to receive 5% of Net Proceeds of a Property Sale (defined as selling greater than 50% ownership) limited and reduced to the extent Investors receive a minimum 20.00% IRR at time of sale. 5.) Condition that memorializes Developer’s commitment to agree to a future Community Facilities District (CFD) assessment of up to $1 per 244 18708.001 4813-5533-2093.2 Exhibit C square foot, if formed within 120 months of the execution of the DA. 6.) Developer is responsible for the installation of a new pump station onsite, to accommodate for additional flow from the hotel, as detailed in the 2011 Successor Agency/Kilroy DDA (Section 3.3.2a “Phase IIC Improvements”). - The initial cost of the new sewer pump station is shared between the Successor Agency ($1,822,124) and Kilroy ($839,490); the Successor Agency currently is holding these Successor Agency funds in a dedicated reserve account. Ensemble will agree to contribute $250,000 towards the construction costs, with the City/Successor Agency being responsible for additional cost-overruns. This would include design and installation (but not maintenance). 7.) Developer is responsible for allowing access for methane monitoring of the closed landfill. Developer is also obligated to ensure that the design of the hotel and surrounding site will accommodate and permit access for methane monitoring. - Must allow access for any third party consultant or Successor Agency representatives to maintain methane monitoring subject to applicable regulatory monitoring procedures. 8.) Developer and City to adhere to all dates addressed in Master Schedule 245 18708.001 4813-5533-2093.2 Exhibit C Master Development Schedule – October 11, 2021 Activity Milestones Submit application for Precise Plan No later than May 1, 2022 Receive Development Agreement Approval (first reading) No later than December 16, 2022 Receive Entitlement Approval No later than December 16, 2022 Closing of Escrow No later than December 31, 2022 Submit application for Building Permit No later than December 31, 2023. Delivery of Proof of an Approved Construction Loan from a Reputable Lender Within 18 months of submitting for Building Permit, but no later than June 30, 2025. Delivery of a Final Construction Contract Within 18 months of submitting for Building Permit, but no later than June 30, 2025. Construction Commences Within 19 months of submitting for building permit, but no later than July 31, 2025. Substantial Completion of Construction Within 36 months of construction commencement; targeted for September 2027 (26-month schedule), but no later than June 2028 (35-month schedule). Estimated Opening of hotel Targeted November 2027, but no later than August 2028. *Note that all target dates are subject to automatic extension for delays due to factors beyond Developer’s reasonable control in accordance with the force majeure provisions of the Development Agreement. 246 18708.001 4813-5533-2093.2 Exhibit D Exhibit D GRANT DEED Recording Requested by and when Recorded, return to: City of South San Francisco 400 Grand Avenue South San Francisco, CA 94080 EXEMPT FROM RECORDING FEES PER GOVERNMENT CODE §§6103, 27383 & 27388.1(a)(2) SUBJECT TO DOCUMENTARY TRANSFER TAX OF $1,155.00 PER REVENUE AND TAXATION CODE § 11911 APN: 015-010-600 (SPACE ABOVE THIS LINE RESERVED FOR RECORDER’S USE) -FORM OF A- GRANT DEED RECITALS A. The City of South San Francisco (“Grantor” or “City”) is the owner of certain real property located in the City of South San Francisco California, also known as San Mateo County Assessor’s Parcel Number: 015-010-970 and more particularly described in the legal description and shown as Parcel 6 on Parcel Map 17-0002 recorded on September 25, 2017, both attached hereto and incorporated herein as Exhibit A (the “Property”). B. On March 23, 2011, the City Council approved the Oyster Point Specific Plan and certified the Oyster Point Specific Plan and Phase 1 Project Environmental Impact Report which, among other things, planned for and analyzed the potential environmental impacts of developing a new full-service hotel with up to 350 rooms and approximately 40,000 square feet of retail uses on the Property (“Project”). C. A Disposition and Development Agreement was executed on March 23, 2011, between Oyster Point Ventures, LLC, the South San Francisco Redevelopment Agency, and the City of South San Francisco (“DDA”) for the master development of Oyster Point through a multi- phased project, which included the potential development of a hotel on an approximately 4.7 acre portion of the Property known as the “Hotel Site,”: among other things, the DDA requires Oyster Point Development, LLC, to perform certain site work, grading, and installation of infrastructure to prepare the Hotel Site for development. D. In 2017, the City solicited proposals from qualified hotel developers through an RFQ/RFP process, and upon review of the responsive proposals, the City’s Joint Housing Standing Committee made a recommendation at its December 11, 2017, meeting that the City enter into an Exclusive Negotiating Rights Agreement (“Original ENRA”) with Ensemble Investments, LLC 247 18708.001 4813-5533-2093.2 Exhibit D for the development of a new full-service hotel on the Hotel Site. The City approved the Original ENRA with Ensemble Investments, LLC on April 11, 2018 and the Parties negotiated terms and conditions of the purchase and development of the Hotel Site pursuant to that Original ENRA. As part of the Original ENRA, Ensemble Investments, LLC previously deposited $100,000 to the City (“ENRA Deposit”) to be held in an interest bearing account of the City and credited towards Ensemble Investments, LLC’s purchase price of the Hotel Site. The Original ENRA was subsequently amended by the First Amendment to the Exclusive Negotiating Rights Agreement (“First Amendment,” and together with the Original ENRA, collectively, referred to herein as the “ENRA”) and the term of the ENRA was subsequently extended three additional times. The ENRA Deposit with any and all interest accrued thereon, will be applied towards the Purchase Price at Closing. E. Ensemble Investments, LLC (“Grantee”) has made an offer to purchase the Property, and the City agrees to sell the Property to Grantee, subject to the terms and conditions of the purchase and sale agreement (“PSA”); and, F. The City and Grantee agree that the purpose of this Grant Deed is to convey the property to the Grantee as part of the Closing as set forth in Section 5 of the PSA pursuant to the terms and at the times set forth in the PSA; and, NOW THEREFORE, in consideration of the mutual benefits and obligations herein, receipt of which is hereby acknowledged, the City of South San Francisco, a municipal corporation, (the “Grantor”) hereby grants to Ensemble Investments, LLC (the “Grantee”) all that real property located in the City of South San Francisco, County of San Mateo, State of California and more particularly described in Exhibit A attached hereto and incorporated in this grant deed (“Grant Deed”) by this reference. This Grant Deed may be executed in counterparts, each of which shall be an original and all of which taken together shall constitute one and the same instrument. SIGNATURES ON FOLLOWING PAGES. 248 18708.001 4813-5533-2093.2 Exhibit D IN WITNESS WHEREOF, Grantor has executed this Grant Deed as of ________________, 2022. GRANTOR THE CITY OF SOUTH SAN FRANCISCO By: _______________________________ Mike Futrell City Manager ATTEST: By: _______________________________ City Clerk APPROVED AS TO FORM: By: _______________________________ Sky Woodruff City Attorney GRANTEE Ensemble Investments, LLC By: _______________________________ SIGNATURES MUST BE NOTARIZED 249 18708.001 4813-5533-2093.2 Exhibit D EXHIBIT A to Grant Deed LEGAL DESCRIPTION 250 18708.001 4813-5533-2093.2 Exhibit D 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. State of California ) ) ss. County of San Mateo ) On_____________________, 20____ before me, _____________________, a Notary Public, in and for said State and County, 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. _______________________________ NOTARY PUBLIC 251 18708.001 4813-5533-2093.2 Exhibit D 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. State of California ) ) ss. County of San Mateo ) On_____________________, 20____ before me, _____________________, a Notary Public, in and for said State and County, 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. _______________________________ NOTARY PUBLIC 5003696.1 252 18708.001 4813-5533-2093.2 Exhibit E Exhibit E POSTCLOSURE RESPONSIBILITY MATRIX 253 18708.001 4813-5533-2093.2 Exhibit F Exhibit F BUYER’S POST-CLOSING MITIGATION MEASURES Buyer shall perform, at Buyer’s sole expense, each of Buyer’s Post-Closing Mitigation Measures identified in this Exhibit F. The measures identified herein are not intended as Buyer’s sole post- closing obligations with respect to the Pre-Existing Property Conditions and shall not reduce or otherwise diminish Buyer’s other obligations under the Agreement with respect to such conditions or otherwise. Capitalized terms not specifically defined herein shall have the meaning prescribed in the Agreement. A. Site Security 1. Provide site security for the Property and all building(s) at the Property. Security features should be designed to prevent unauthorized access by the general public. Building security features may include barriers and/or restricted access signage and alarm systems. B. Engineering Measures - Fill /Capping/Construction Activities 1. Install a minimum of nine (9) feet of clean fill or as otherwise engineered by a qualified civil engineer and subject to City Public Works approval and building plan check within the building footprint area above the landfill cap. Outside of the building footprint, utility trenches shall be located at least twelve (12) inches above the top of the landfill cap within clean fill, except to the extent necessary to connect to existing utility connections. Any utility connections within the cap or below the cap shall occur in trenches with a protective clay layer and clean backfill as engineered by a qualified civil engineer subject to City Public Works approval and building plan check. 2. Install a geotextile fabric (as a marker) on top of the erosion resistant layer (i.e. the landfill cap) so the top of the cap can be identified during future construction activities. 3. Install all landscaping and irrigation systems at elevations within the newly- installed fill layer above the cap to protect cap integrity. 4. Grade/maintain the Property to prevent surface water accumulation. Install and maintain survey monuments on the Property to monitor landfill settlement. Quarterly inspections are required to ensure monuments are intact and usable and any repairs or replacement are performed as necessary. Installation of at least two permanent survey monuments are required so that the location and elevation of refuse, final cover, and landfill gas system components can be determined throughout the post-closure period. Additionally, monuments will be surveyed every five years and settlement maps will be produced throughout the post-closure period or until settlement has stopped. 254 18708.001 4813-5533-2093.2 Exhibit F C. Engineering Measures - MMS/Building 1. Design, install and operate a methane mitigation and monitoring system (MMS) approved in advance by the Water Board and City in building structures. The MMS shall meet the requirements of Title 27 CCR Sections 20931 and 21190, for structures on landfilled areas, and of those listed in the PCMMP. The MMS shall also be designed in general accordance with methane mitigation standards used by Los Angeles County Public Works' Gas Hazard Mitigation Policy and Standards (https://dpw.lacounty.gov/epd/swims/onlineservices/methane-mitigation- standards.aspx). At a minimum, the MMS shall include a vapor barrier membrane (VBM) combined with a horizontal collection and venting system below the VBM. The venting system vents vapors through vertical riser piping that extends from beneath the building to above the roof level. Mechanical blowers will be on standby for use as an active venting system in the event elevated methane levels are detected by electronic sensors installed at various locations within the buildings. The MMS shall also be designed to mitigate potential vapors of other contaminants, including VOCs. 2. Design and install trench dams in utility trenches to prevent migration of methane and/or volatile organic compounds (VOCs) into buildings. 3. All building utilities, methane membrane and collection pipes should be connected/adhered to underside of building foundation slab or installed in a manner that prevents damage from potential future ground settlement. 4. Utilities should be designed to accommodate potential future ground settlement in areas outside of building footprint. 5. Perform all required inspections, maintenance, monitoring and reporting in connection with the approved MMS meeting the requirements of Title 27 CCR Sections 20931 and 21190, for structures on landfilled areas, the requirements listed in the PCMMP and other applicable requirements and regulations. Provide copies of all reports to the City. 255 18708.001 4813-5533-2093.2 Exhibit F D. Site Maintenance, Monitoring and Reporting 1. Maintain all hardscapes and softscapes at the Property. Hardscapes are building slabs, slab on grade, roadways, sidewalks and any other hard surfaces over the final landfill cover (“cap”); softscapes are landscaped areas over the cap. Maintain all irrigation systems associated with softscape. Inspect all final cover at the Property, including buildings, hardscape and softscape at the Property monthly during the wet season and quarterly during the dry season. In the event corrective action is warranted, promptly implement any necessary corrective action. 2. Prepare and implement an Operation and Maintenance (“O&M”) Plan for the Property, approved in writing by the San Francisco Regional Water Quality Control Board (“Water Board”) to address routine inspections, maintenance and reporting for the: a) landfill cap; b) methane and VOC collection, monitoring and alarm systems; and c) groundwater, surface water and leachate monitoring systems, as required. 3. Prepare annual maintenance and monitoring reports relating to implementation of the O&M Plan for the Property, methane and VOC monitoring plan, surface water sampling monitoring plan, and elevation monitoring plan, as required. Submit maintenance and monitoring reports to stakeholders. 4. Prepare and implement a methane and volatile organic compound (“VOC”) monitoring plan for the Property, including the installation of any necessary monitoring wells, approved in writing by the Water Board that describes the frequency and procedures for monitoring in structures and perimeter areas of the site and required corrective actions if monitoring results exceed established thresholds. Perform required reporting and provide copies of all reports to the City. Quarterly monitoring is required within subsurface vaults, utilities and any other subsurface structures where gas may potentially build up. At a minimum, a portable landfill gas meter will be used for subsurface structure monitoring. 5. Prepare and implement an elevation monitoring plan for the Property. 6. Review and properly update all maintenance and monitoring plans and ensure that corrective actions are implemented in a timely manner. E. Emergency Response Measures 1. Prepare and implement a post-closure Emergency Response Plan (ERP) for the Property outlining the procedures to be followed in the event of an emergency (such as fires, explosions, earthquakes, floods, vandalism, surface drainage problems, waste releases, etc.). Procedures for dealing with each type of emergency should be included in the ERP. Multiple agencies (fire, police, City, etc.) should be involved with preparation of the plan. 2. Require annual (at a minimum) updates and training for the ERP. 256 18708.001 4813-5533-2093.2 Exhibit F 3. For planned or emergency subsurface activities, implement the ERP, assess damage and perform corrective action as necessary. F. Administrative/Legal Measures – Site Maintenance/Cap/Construction Activities 1. Have entered into a binding voluntary oversight agreement with the Water Board (i) pursuant to which the Water Board will oversee Buyer’s compliance with the requirements of Order No. 00-46, the Closure Plans, and related Applicable Laws, relating to Buyer’s acquisition, development, operation and use of the Property, and (ii) confirming that with respect to such requirements, the Buyer is the party primarily responsible for such compliance. 2. Comply with the requirements of Order No. 00-46, the Closure Plans, and related Applicable Laws, relating to Buyer’s acquisition, development, operation and use of the Property. 3. Execute and implement an O&M Agreement with the City providing the City and/or the Water Board with financial assurance for completion of the Buyer’s Post-Closing Mitigation Measures. 4. Establish and assure an automatic dig alert notification to City Public Works in advance of any soil disturbance at the Property. 5. All construction activities that potentially disturb landfill cap shall be performed only pursuant to a Soil Management Plan (SMP) approved in advance by the Water Board. 6. Record a land use covenant prohibiting construction/subsurface work unless City is notified in advance and the work is performed pursuant to the Water Board- approved SMP. 7. Require hotel personnel to notify City if geotextile “marker” fabric is encountered or visible. 257 18708.001 4813-5533-2093.2 Exhibit G Exhibit G SELLER’S POST-CLOSING MITIGATION MEASURES Seller shall perform, at Seller’s sole expense, each of Seller’s Post -Closing Mitigation Measures identified in this Exhibit G. Nothing herein shall reduce or otherwise diminish Seller’s other obligations under the Agreement. Capitalized terms not specifically defined herein shall have the meaning prescribed in the Agreement. G. Site Security 1. Provide site security for landfill areas other than the Property (“City Landfill Areas”). Security features should be designed to prevent unauthorized access by the general public and may include barriers, and restricted access signage, locks and confined space signage for subsurface vaults and utility trenches and locking well caps for landfill gas and groundwater monitoring wells. H. Site Maintenance, Monitoring and Reporting 1. Cover. Inspect final cover on all areas of the City Landfill Areas monthly during the wet season and quarterly during the dry season. In the event corrective action is warranted in the City Landfill Areas, promptly implement any necessary corrective action. 2. Groundwater and Leachate Monitoring Systems. Inspect and maintain required groundwater and leachate monitoring systems for the City Landfill Areas. Perform required monitoring and reporting. 3. Surface Water Monitoring Systems. Sample and monitor required surface water monitoring system, inclusive of stormwater drainage piping and associated catch basins and drainage channels, on the City Landfill Areas. Perform required system maintenance and reporting. 4. Surface Water Sampling Monitoring Plan. Prepare and implement a surface water sampling monitoring plan for the City Landfill Areas that describes the procedures for monitoring of surface water and the storm drainage system and required corrective actions if monitoring results exceed plan-established thresholds. 5. Elevation. Prepare and implement an elevation monitoring plan for the City Landfill Areas. 6. Landfill Gas Monitoring Systems. Inspect and maintain required landfill gas monitoring systems for the City Landfill Areas. Perform required inspection and reporting. There are no landfill gas monitoring components located on the Property. 258 18708.001 4813-5533-2093.2 Exhibit G 7. Methane/VOC Wells. Install methane/VOC monitoring wells outside and separate from buildings on City Landfill Areas. Perform required monitoring and reporting. 8. Methane/VOC Monitoring. Monitor for methane/VOCs within subsurface structures on City Landfill Areas. Perform required reporting. Quarterly monitoring is required within subsurface vaults, utilities and any other subsurface structures where gas may potentially build up. At a minimum, a portable landfill gas meter will be used for subsurface structure monitoring. 9. O&M Plan. Prepare and implement an Operation and Maintenance (“O&M”) Plan for the City Landfill Properties, approved in writing by the San Francisco Regional Water Quality Control Board (“Water Board”) to address routine inspections, maintenance and reporting for the: a) landfill cap; b) methane and VOC collection, monitoring and alarm systems; and c) groundwater, surface water and leachate monitoring systems. 10. O&M Reporting. Prepare annual maintenance and monitoring reports relating to implementation of the O&M Plan, methane and VOC monitoring plan, surface water sampling monitoring plan, and elevation monitoring plan, as required. Submit maintenance and monitoring reports to stakeholders. 11. Methane and VOC Monitoring Plan. Prepare and implement a methane and volatile organic compound (“VOC”) monitoring plan for the City Landfill Areas approved in writing by the Water Board that describes the frequency and procedures for monitoring in structures and perimeter areas of the site and required corrective actions if monitoring results exceed established thresholds. Perform required reporting. Quarterly monitoring is required within subsurface vaults, utilities and any other subsurface structures where gas may potentially build up. At a minimum, a portable landfill gas meter will be used for subsurface structure monitoring. I. Survey Monuments 1. Install and maintain survey monuments on the City Landfill Property to monitor landfill settlement. Quarterly inspections are required to ensure monuments are intact and usable, and any repairs or replacement are performed as necessary. Installation of at least two permanent survey monuments are required so that the location and elevation of refuse, final cover, and landfill gas system components can be determined throughout the post-closure period. Additionally, monuments will be surveyed every five years and settlement maps will be produced throughout the post-closure period or until settlement has stopped. J. Emergency Response Measures 259 18708.001 4813-5533-2093.2 Exhibit G 1. Prepare and implement a post-closure Emergency Response Plan (ERP) for the City Landfill Property outlining the procedures to be followed in the event of an emergency (such as fires, explosions, earthquakes, floods, vandalism, surface drainage problems, waste releases, etc.). Procedures for dealing with each type of emergency should be included in the ERP. Multiple agencies (fire, police, City, etc.) should be involved with preparation of the plan. 2. Require annual (at a minimum) updates and training for the ERP. 3. For planned or emergency subsurface activities, implement the ERP, assess damage and perform corrective action as necessary. 3886803.2 260