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HomeMy WebLinkAbout2015-03-02 City Council Agenda PacketCITY OF PALO ALTO CITY COUNCIL MARCH 2, 2015 Special Meeting Council Chambers 6:05 PM Agenda posted according to PAMC Section 2.04.070. Supporting materials are available in the Council Chambers on the Thursday preceding the meeting. 1 March 2, 2015 MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION IN THE CITY CLERK’S OFFICE AT PALO ALTO CITY HALL, 250 HAMILTON AVE. DURING NORMAL BUSINESS HOURS. PUBLIC COMMENT Members of the public may speak to agendized items; up to three minutes per speaker, to be determined by the presiding officer. If you wish to address the Council on any issue that is on this agenda, please complete a speaker request card located on the table at the entrance to the Council Chambers, and deliver it to the City Clerk prior to discussion of the item. You are not required to give your name on the speaker card in order to speak to the Council, but it is very helpful. TIME ESTIMATES Time estimates are provided as part of the Council's effort to manage its time at Council meetings. Listed times are estimates only and are subject to change at any time, including while the meeting is in progress. The Council reserves the right to use more or less time on any item, to change the order of items and/or to continue items to another meeting. Particular items may be heard before or after the time estimated on the agenda. This may occur in order to best manage the time at a meeting or to adapt to the participation of the public. To ensure participation in a particular item, we suggest arriving at the beginning of the meeting and remaining until the item is called. HEARINGS REQUIRED BY LAW Applications and/or appellants may have up to ten minutes at the outset of the public discussion to make their remarks and up to three minutes for concluding remarks after other members of the public have spoken. Call to Order Study Session 6:05-7:05 PM 1.Study Session on Shuttle and Rideshare Program for the Future (Continued from February 2, 2015) Agenda Changes, Additions and Deletions City Manager Comments 7:05-7:15 PM Oral Communications 7:15-7:30 PM Members of the public may speak to any item NOT on the agenda. Council reserves the right to limit the duration of Oral Communications period to 30 minutes. Minutes Approval 7:30-7:35 PM December 1, 2014 December 2, 2014 REVISED 2 March 2, 2015 MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION IN THE CITY CLERK’S OFFICE AT PALO ALTO CITY HALL, 250 HAMILTON AVE. DURING NORMAL BUSINESS HOURS. December 8, 2014 Consent Calendar 7:35-7:40 PM Items will be voted on in one motion unless removed from the calendar by three Council Members. 2.Approval of Amendment No. 2 to Contract C12143475 with Alta Planning + Design to Extend the Contract Term to December 31, 2015 for the Safe Routes to School Planning Project 3.Approval and Authorization for the City Manager to Execute an Electric Fund Construction Contract with MP Nexlevel of California, Inc., in the Amount of $1,697,836.50, for Trenching and Installation of Utility Substructures for Underground Utility District No. 47 (Project: EL- 11010) in the Area of Middlefield Road, Homer Avenue, Webster Street, and Addison Avenue; and Approval and Authorization for the City Manager to Execute Addendum No. 2 to the Agreement for Joint Participation in the Installation of the Underground Facilities System Between the City of Palo Alto, AT&T, and Comcast Corporation of California IX, Inc. 4.Adoption of a Resolution Designating 300 Homer Street Known as the Roth Building as a “Sender Site” in the Transfer of Development Rights (TDR) Program and Direction to Staff to Advertise Request for Proposal to Market the TDRs 5.Utilities Advisory Commission Recommendation that the City Council Adopt a Resolution Approving the City of Palo Alto Utilities Legislative Guidelines 6.Appeal of Director of Planning and Community Environment’s Architectural and Historic Review Approval of a Rehabilitation of a Category 3 Historic Resource located at 261 Hamilton – Request for Continuance to April 6, 2015 7.Approval of Amendment Number 3 to Contract C08125506 with The Planning Center ¦ DCE, now Known as Placeworks, to Increase the Contract by $157,525 to an Amount Not to Exceed $1,894,731 and Adoption of a Budget Amendment Ordinance (BAO) to Increase the Fiscal Year 2015 Appropriation to the Planning and Community Environment Department for Preparation of a Fiscal Study in Conjunction with the Comprehensive Plan Update 3 March 2, 2015 MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION IN THE CITY CLERK’S OFFICE AT PALO ALTO CITY HALL, 250 HAMILTON AVE. DURING NORMAL BUSINESS HOURS. Action Items Include: Reports of Committees/Commissions, Ordinances and Resolutions, Public Hearings, Reports of Officials, Unfinished Business and Council Matters. 7:40-7:45 PM 8.Public Hearing: On Objections to Weed Abatement and Adoption of Resolution #9489 Ordering Weed Nuisance Abated 7:45-8:15 PM 9.Public Hearing: Adoption of a Resolution Amending Water, Gas and Wastewater Connection and Capacity Fees and Miscellaneous Utility Charges (Utility Rate Schedules S-5, G-5, W-5 and C-1) 8:15-11:15 PM 10.Discussion and Direction to Staff Regarding Establishment of an Office/R&D Annual Growth Limit (Continued from February 9, 2015) Inter-Governmental Legislative Affairs Council Member Questions, Comments and Announcements Members of the public may not speak to the item(s) Adjournment AMERICANS WITH DISABILITY ACT (ADA) Persons with disabilities who require auxiliary aids or services in using City facilities, services or programs or who would like information on the City’s compliance with the Americans with Disabilities Act (ADA) of 1990, may contact (650) 329-2550 (Voice) 24 hours in advance. 4 March 2, 2015 MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA PACKET ARE AVAILABLE FOR PUBLIC INSPECTION IN THE CITY CLERK’S OFFICE AT PALO ALTO CITY HALL, 250 HAMILTON AVE. DURING NORMAL BUSINESS HOURS. Additional Information Standing Committee Meetings Public Improvement Corporation 3/2/15 6:00 PM Finance Committee Meeting 3/3/15 7:00 PM Schedule of Meetings Schedule of Meetings Tentative Agenda Tentative Agenda Informational Report Update and Impacts From Implementation of Palo Alto's Checkout Bag Ordinance (Chapter 5.35 of the Palo Alto Municipal Code Regarding Retail and Food Service Establishment Checkout Bag Requirements) Update on Palo Alto Animal Shelter and Follow up From Finance Committee on December 2, 2014 Public Letters to Council SET 1 SET 2 City of Palo Alto (ID # 5376) City Council Staff Report Report Type: Study Session Meeting Date: 3/2/2015 City of Palo Alto Page 1 Summary Title: Palo Alto Shuttle and Rideshare Program for the Future Title: Study Session on Shuttle and Rideshare Program for the Future (Continued from February 2, 2015) From: City Manager Lead Department: Planning and Community Environment Recommendation This study session is intended as an opportunity to explore the future of the Palo Alto shuttle and rideshare programs that could dramatically reduce the use of single occupant vehicles over time. No action is recommended. Executive Summary Palo Alto has had its own shuttle system for many years, providing “last mile” connections to and from Caltrain, and “community shuttle” routes for use by students, seniors, and other riders interested in accessing destinations along the routes. Palo Also shuttle service complements transit services provided by the Valley Transportation Authority (VTA), as well as shuttle services provided by Stanford University and private companies. Currently, the City has three shuttle routes: the Embarcadero Route (partially funded by Caltrain), the Crosstown Route, and the East Palo Alto Route (funded by the City of East Palo Alto). In October 2014, the City Council authorized an expansion of service to increase frequency on the Crosstown Route, and to add a fourth route, called the West Route, from the University Caltrain Station into the Shoreline Business District in the City of Mountain View. The West Route will be partially funded by private entities along the route.1 When the City Council discussed the expanded service in October, they requested a number of follow-up actions, which are addressed in this staff report, and also requested a broader discussion regarding the future of the City’s shuttle system and emerging trends such as 1 The City’s shuttle service provider, MV Transportation is under contract until June 30, 2017, and the contract amendments and funding agreements necessary to implement the expanded service will appear on the Council’s consent agenda in the coming weeks. City of Palo Alto Page 2 rideshare services that could potentially offer a more convenient “on demand” service, potentially resulting in a greater shift away from single occupant vehicles. These topics are also discussed in this staff report, and have come to the fore due to their potential to reduce greenhouse gas emissions from transportation sources if pursued as part of the ongoing update to the City’s Sustainability/Climate Action Plan. Shuttle service and rideshare concepts are also relevant to the ongoing process of forming a Transportation Management Association (TMA), which will provide information and incentives designed to encourage alternatives to the private automobile, and could ultimately assume responsibility for funding and managing contracts for transit/rideshare programs. Background The City of Palo Alto has historically provided free shuttle service via a shuttle program that included two shuttle routes: the Crosstown Shuttle Route and the Embarcadero Shuttle Route (which is 75% funded by Caltrain). In 2014, the Phase One expansion of the Palo Alto Shuttle Program introduced a new shuttle route in partnership with the City of East Palo Alto, bringing the total number of shuttle routes in the program to three routes. The Crosstown Shuttle provides a north-south transit connection from Charleston Road to the University Avenue Caltrain station along Middlefield Road and several community neighborhoods. This route serves both JLS and Jordan middle schools during the morning and afternoon bell schedules. Crosstown Route currently operates on one-hour headway during most of the day, except for the morning and mid-afternoon school bell schedule period when there is additional service to support school activity. This route is funded 100% by the City’s General Fund and operates Monday through Friday, excluding some holidays, from 7:40AM- 5:30PM. The Embarcadero Shuttle connects the business parks on the east side of the City along Embarcadero Road to the University Avenue Caltrain Station. The City currently contracts with the Peninsula Corridor Joint Powers Board (JPB) for the Embarcadero Shuttle, which is a part of the Caltrain peak hour commuter shuttle program and subsidized 75% by the JPB. The remainder 25% is subsidized by Palo Alto (the General Fund). The shuttle operates on 15- minute headway Monday through Friday from 6:50AM-9:50AM and 3:10PM-6:50PM, excluding some holidays. The Embarcadero Shuttle includes a Special Run to Jordan Middle School to supplement the Crosstown Shuttle Routes demand for transit service to the school. The East Palo Alto Route began operation on July 1, 2014 and links the University Avenue Caltrain Station with Woodland Avenue community in East Palo Alto. This route is fully funded by the City of East Palo Alto but is managed by the City of Palo Alto. This route operates on 30- minutes headways, seven days per week, excluding some holidays, from approximately 6:00AM to 10:00AM and 4:00PM-9:00PM. City of Palo Alto Page 3 In October 2014, the City Council adopted a motion supporting a “phase two” expansion of the City’s Shuttle Program to include increasing frequency of service on the Crosstown Shuttle Route from 60 minutes to 30 minutes, and establishment of a new West Shuttle Route from the University Caltrain Station into the Shoreline Business District in Mountain View once private- sector funding could be obtained to off-set the costs. A separate agenda item planned for later in March will amend the contract with the City’s current service provider MV Transportation and include other actions (funding agreements and a Budget Amendment Ordinance) so that these increases in service can be implemented this spring. The City Manager will also be exploring potential participation in the shuttle program with the school district. Based on ridership information provided by the shuttle operators, staff calculated the cost per rider metrics for the following: Table 1. Palo Alto Shuttle Service – Estimated Cost per Rider For Fiscal Year 2013-2014 Ridership City’s Total Cost Cost per Rider Embarcadero 48,619 $51,716.35 $1.06 Crosstown Regular 74,089 $138,231.51 $1.87 Crosstown School 11,591 $9,725.49 $0.84 Total for Both Routes Combined 134,299 $199,673.35 $1.49 Source: Department of Planning & Community Environment, December 2014 City of Palo Alto has successfully partnered with various online mapping websites such as Google Maps, BING Maps and HERE Maps to include Crosstown and Embarcadero shuttle information on their Transit Maps. With shuttle data such as stop locations, route and schedule available on these Transit websites, Palo Alto visitors and regular shuttle users are able to plan their trips using this technology. The trip planning websites include one-stop transfer information for trips throughout the region since Caltrain, AC Transit, Valley Transportation Authority, Stanford Marguerite and others are included in the Trip Planner. As a result, potential riders do not need to consult bus and rail schedules from various transit operators. At the Council’s request, following the October 2014 discussion, staff did an analysis of the existing transit service available in Stanford Research Park and found that this area is connected to San Francisco, San Jose and within Palo Alto through various operators. VTA operates line 89 between California Avenue Caltrain station and Palo Alto Veterans Hospital. It also operates lines 101, 102, 103, 104 and 182 from various parts of San Jose to the Research Park. Line R, RP, 1050A and VA Tram line runs within Stanford and Palo Alto and is operated by Stanford Marguerite Shuttle. AC Transit operates Dumbarton Express from East Bay to the Research Park. Deer Creek Shuttle is a Caltrain shuttle that runs between the California Ave. Caltrain Station and Deer Creek area office buildings during commute hours. The shuttle is funded jointly by the Bay Area Air Quality Management District Transportation Fund for Clean Air, Peninsula Corridor Joint Powers Board and Hewlett-Packard. City of Palo Alto Page 4 In addition, earlier this year, RidePal launched two bus lines (18 and 28) to Stanford Research Park from San Francisco in partnership with VMWare. RidePal is a transportation service that offers corporate commute bus services for companies and individuals in the San Francisco Bay Area and works on a shared mobility or collaborative consumption model for corporate commuters. The routes are planned based on commuter demand and geography. Discussion At their October 2014 discussion, the City Council requested that staff return with plans to build a user-friendly application and “explore what kind of alternative technology exists that we can use that would open up the taxi/van information world to single person travel from home to destination.” The discussion below summarizes the shuttle program enhancements planned for this year, and a list of alternative technologies that are quickly evolving to address mobility in urban settings. Shuttle Program: Next Steps In addition to the service expansions described above (increased frequency on the Crosstown Route and addition of the West Route this spring), staff is planning to enable GPS tracking of shuttle vehicles via a mobile application this year, and undertake design improvements and marketing of the program including schedules, stops, vehicles and the website. The goal is to make shuttle services both more convenient and better known—two key elements in increasing their ridership and utilization. Live tracking of Shuttles City’s current contract with MV Transportation includes a GPS-based tracking system called Time Point Software that allows users to track the bus online to help schedule travel time to designated pick-up stations. The software has been undergoing some developmental changes over the last few months and is now nearing completion. The redesigned mobile site with new features and modernized user interface will be released by end of this fiscal year for Crosstown and East Palo Alto Shuttle routes. Staff also discussed the possibility of adding Palo Alto Shuttle information on NextBus, which is a vehicle tracking system which uses global positioning satellite information to provide real- time passenger information and predicts when the next bus will arrive at any given bus stop. Each vehicle is fitted with a Global Positioning System (GPS) receiver, which transmits speed and location data to a central location where a computer running proprietary software calculates the projected arrival times for all stops in the system using this data along with configuration information and historic travel times. These times are then converted to a 'wait time' and made available via the NextBus website and electronic signs at bus stops as well as cell phones, and other wireless devices via the Internet. Staff also met with representatives from DoubleMap, which provides a solution very similar to NextBus in offering real-time tracking solutions for the shuttle vehicles. Stanford has been using DoubleMap solutions since 2013 for routes within the Stanford Marguerite system that serve the Medical Center. City of Palo Alto Page 5 Another company, TransitScreen, is a start-up firm that develops software displaying real-time transportation options at any given location, typically on flat screens in building lobbies. TransitScreen is a web application featuring and can be displayed on devices such as TVs, computers, tablets but currently this is not available as an application for smartphones. Installing screens at places with lots of pedestrian activity such as City Hall and Mitchell Park Library would make transportation information more accessible and viewable by commuters, visitors, residents and employees so they can make informed transit choices. RideScout is an example of a growing number of apps that use the General Transit Feed Spec (GTFS) pioneered by Google to provide enhanced transit services—in this case an app that provides point-to-point “real-time” travel options, schedules, travel times and costs. Coordinated Design & Marketing The City’s shuttle system is well used, but not well known. Staff plans to raise its visibility with design changes, and will be seeking professional design services this year. The selected consultant will be tasked with upgrading and integrating the look and feel of printed and electronic materials, and may also recommend changes to stop locations and shuttle vehicles. The City’s contract with MV Transportation includes provisions for updating vehicle “wraps” if desired. Rideshare Alternatives There are multiple technologies that have recently expanded the traditional ridesharing concept to facilitate a service available to broader community, and this is a fast growing area of investment and innovation. Technologies are reinventing the way people are getting around in their communities, providing safe, reliable and affordable choices for consumers; creating flexible economic opportunities for drivers; and improving cities by increasing the utilization of existing resources to make transportation more efficient. As an example, staff recently met with representative from Lyft and will be meeting with proponents of “Mobility as a Service” in the days just before the March 2, 2015 study session. Lyft is a private, San Francisco–based transportation network company. The company's mobile- phone application facilitates peer-to-peer ridesharing by connecting passengers who need a ride to drivers who have a car. Lyft currently operates in about 65 U.S. cities, including San Francisco. Lyft Line is one of the ways offered by Lyft that enables a person to connect with nearby people who are headed in the same direction so they can share their commute. Multiple people share the costs of the journey and reduce traffic and emissions in the community. Based on pickup and drop-off locations entered by the rider, a Line ride is created and multiple members of the community are chained together. Lyft Line prices are calculated using a combination of distance and time and the cost to operate is on a per ride basis. Businesses and cities can encourage this service by making discounted rides available to patrons or residents. City of Palo Alto Page 6 Mobility as a Service (MaaS) is a software-based, online enterprise mobility solution that is envisioned as a seamless, door-to-door combination of transportation mode—including public & private transit, bikeshare, rideshare, carshare, vanpool, taxi, employer commute benefits, electric scooter/bike lease, pay-by-phone parking, future robo-taxis—designed to outcompete private auto ownership. The “Mobility Operator” would aggregate all services into a unified smartphone app with easy fare payment, one-stop billing, and innovative subscription pricing. MaaS would dissolve the boundaries between different transport modes, providing a more customer-centered experience while improving the efficiency of the entire transport system. Staff is exploring, with Helsinki, Finland Ministry of Transport, Tekes (the Finnish Funding Agency for Innovation) and Joint Venture Silicon Valley the potential piloting of MaaS in this region. The program summary for MaaS is available as attachment B. One element of the MaaS solution that could be piloted separately is the KutsuPlus system of dynamically re-routable shuttles now being tested in Helsinki—a hybrid of taxi and bus service that’s priced between the two, that’s “able to route-plan on the fly as requests come in and cluster passengers going in similar directions.” A Fast Company article describing the service is available at http://bit.ly/1oHt2C4 Staff is interested in the City Council’s thoughts about partnering with a private company or joining a regional consortium to test or explore these issues, potentially as part of the TMA’s initial pilot projects. The City could also compare these options to a more traditional public “on demand” paratransit service. With “on demand” paratransit, riders call for door to door service, and the cost per rider could be greater than with the current, fixed route service. Timeline Implementation of increased service on the Crosstown Shuttle and implementation of the new West Shuttle route are expected this spring. The City’s current contract with its shuttle service provider, MV Transportation, extends through June 30, 2017 and any significant changes or alternatives to shuttle service should be studied between now and then to inform decision making at that time. Resource Impact The City Council set aside $1 million in an earmarked reserve as part of the FY 2015 Adopted Budget for the City’s shuttle program. This amount was set aside for expected increases to the annual cost of shuttle services and only a portion of the reserve will be needed for the current fiscal year. Included in the FY 2015 Midyear budget request is $8,660 for additional shuttle expenses incurred during the fiscal year. In spring 2015, staff will request $25,000 from the shuttle reserve to expand the frequency of the Crosstown Route, and may also request funds for the West Shuttle, which is intended to be partially or wholly funded by private industry. For Fiscal Year 2016, the shuttle service will include the enhanced Crosstown Route, the Embarcadero Route, and the newly added East Palo Alto Route for a total cost of $585,773 offset with $218,983 in revenue from City of East Palo Alto. City of Palo Alto Page 7 Policy Implications The City Council has indicated its desire to invest in transportation demand management strategies, parking management and parking supply initiatives as a way to address traffic and parking demand and reduce the City’s carbon footprint. Transit services like the free Palo Alto shuttle can provide an attractive alternative to single occupancy vehicles for work- and non- work trips, as well as meeting the needs of those for whom driving is not an option. Environmental Review No decision is anticipated as part of this study session and no review is required under the California Environmental Quality Act. Attachments:  Attachment A: Program Summary for MaaS (PDF) City of Palo Alto (ID # 5519) City Council Staff Report Report Type: Consent Calendar Meeting Date: 3/2/2015 City of Palo Alto Page 1 Summary Title: Alta Planning + Design Contract Amendment Title: Approval of Amendment No. 2 to Contract C12143475 with Alta Planning + Design to Extend the Contract Term to December 31, 2015 for the Safe Routes to School Planning Project From: City Manager Lead Department: Planning and Community Environment Recommendation Staff recommends that Council approve and authorize the City Manager to execute Amendment No. Two to Contract C12143475 (Attachment A) with Alta Planning + Design (Alta Planning) to extend the contract term from December 31, 2014, to December 31, 2015. Executive Summary The proposed action would extend the term of an existing contract and would not require any additional resources. Background In October 2010, the City submitted an application for funding of non-infrastructure Safe Routes to School (SRTS) program enhancements through the Valley Transportation Authority (VTA) - Vehicle Emission Reductions Based at Schools (VERBS) program. The City was awarded a $528,000 grant that, added to the City’s $132,000 local match fund, provided for a $660,000 project that has significantly expanded the City’s Safe Routes to School program. On February 21, 2012, the City Council authorized the City Manager to execute a contract with Alta Planning for Safe Routes to School program enhancements (CMR 2489). Since execution of the original contract, a six-month extension was approved administratively from June 30, 2014 to December 31, 2014. Summary of Key Issues Walking and biking to PAUSD public schools have greatly increased in recent years, due mostly to successful education and encouragement programs. This project builds on those past successes and introduces new program elements. Due to unforeseen delays in the production and review of project deliverables and the inability to identify additional qualified staff to assist City of Palo Alto Page 2 with the unexpected high workload caused by the project’s success, the project has extended beyond the consultant’s contract termination date. Staff requests a one-year time extension on the contract with Alta Planning to complete the work. Funds remain in the contract, and staff is asking for a time-only extension which will allow the City to obtain the remaining grant funds from the VTA-VERBS grant. City staff and Alta Planning have made significant progress on the work scope of this agreement. Specifically, Alta Planning has:  developed two Parent/Caregiver Safe Routes to School surveys and provided the analysis for the baseline survey  completed walk and bike safety audits at 17 Palo Alto Unified School District schools  produced Walk and Roll Maps of Suggested Routes for each campus in addition to maps of recommended improvements for both City- and School-owned facilities  updated the City's third- and fifth-grade bicycle safety curricula, including production of new educational videos and extensive upgrades to the third-grade bike rodeo materials.  drafted school-transportation-policy guidance for elements such as reduced speed limit zones near schools and establishment criteria for adult crossing guards based on data collection and industry-standard best practices Tasks still to be completed under this agreement include:  analysis of the second Parent/Caregiver Safe Routes to School survey  completion of the Encouragement materials toolkit  initiation of the walk/bike audit for the Monroe Park neighborhood and production of the Walk and Roll to School Suggested Routes and Recommended Improvement maps  development of bicycle safety education curricula for parents and middle school students  development of website content While staff and the consultant team have worked steadily to complete contract work, additional time is needed to complete the remaining tasks. The project was delayed while staff worked on reviewing consultant deliverables and carrying out the usual SRTS program activities. Because the usual bike and pedestrian safety education program requires the need to coordinate with the school calendar, some project elements had to be delayed until city staff completed their usual work with the schools and were available to work on grant items. In some cases, consultant work needed several rounds of review, which further delayed the project schedule. The project has been very successful and has raised the visibility of the Safe Routes to School program, stretching the capacity of the City staff. As a result of the community outreach process around Walk and Roll map development, staff has been involved in an unanticipated amount of follow-up and engagement with our school partners. A much more active partnership with PAUSD and PTA volunteers focused on making improvements for students is a City of Palo Alto Page 3 positive outcome of this project. For example, in order to take advantage of time-limited Bay Area Air Quality Management District (BAAQMD) funds, City staff successfully acquired grants valued at approximately $30,000 for PAUSD to improve on-campus bicycle parking at three schools. These bike parking grants were prioritized ahead of other grant-funded activities in order to meet funding deadlines and contributed to the delay of the VERBS project. In 2013, the Transportation Division recruited for additional SRTS staff but was unable to identify qualified candidates for hire. Another effort to hire additional staff is currently underway. Policy Implications Extending the term of the existing contract is consistent with Council policy. This project is consistent with key transportation goals in the City’s Comprehensive Plan, including giving priority to facilities, services, and programs that encourage and promote walking and bicycling, and to providing a high level of safety for motorists, pedestrians, and bicyclists on Palo Alto streets. Specific policies and program include:  Policy T-14: Improve pedestrian and bicycle access to and between local destinations, including public facilities, schools, parks, open space, employment districts, shopping centers, and multi-modal transit stations.  Policy T-39: To the extent allowed by law, continue to make safety the first priority of citywide transportation planning.  Policy T-40: Continue to prioritize the safety and comfort of children on school travel routes. This includes program T-45, which calls for providing adult crossing guards at school crossings that meet adopted criteria, and T-46, which encourages the City- sponsored bicycle education programs in the public schools. Resource Impact This contract is fully budgeted. The contract time extension does not require any additional funds to complete all necessary work. Timeline Remaining contract tasks will be completed by December 31, 2015. Environmental Review The project is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061 and 15301. Attachments:  Attachment A: Alta Planning & Design Contract Amendment 2 (PDF)  Attachment B: CMR 2489 dated February 21, 2012 on Alta Planning Agreement (PDF) 1 of 1 Revision April 28, 2014 AMENDMENT NO. 2 TO CONTRACT NO. C12143475 BETWEEN THE CITY OF PALO ALTO AND ALTA PLANNING + DESIGN This Amendment No. 2 to Contract No. C12143475 (“Contract”) is entered into February 9, 2015, by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and ALTA PLANNING + DESIGN, a California corporation, located at 100 Webster Street, Suite 300, Oakland, California, 94607, Telephone Number (510)540-5008 ("CONSULTANT"). R E C I T A L S A. The Contract was entered into between the parties for the provision of the expansion of the Safe Routes to School program. B. CITY intends to extend the term to December 31, 2015 C. The parties wish to amend the Contract. NOW, THEREFORE, in consideration of the covenants, terms, conditions, and provisions of this Amendment, the parties agree: SECTION 1. Section 2 is hereby amended to read as follows: SECTION 2. TERM The term of this Agreement shall be from the date of its full execution through December 31, 2015 unless terminated earlier pursuant to Section 19 of this Agreement.” SECTION 2. Except as herein modified, all other provisions of the Contract, including any exhibits and subsequent amendments thereto, shall remain in full force and effect. IN WITNESS WHEREOF, the parties have by their duly authorized representatives executed this Amendment on the date first above written. CITY OF PALO ALTO APPROVED AS TO FORM: ALTA PLANNING + DESIGN DocuSign Envelope ID: 6293580A-3320-4055-A203-5A333A366E24 Principal City of Palo Alto (ID # 2489) City Council Staff Report Report Type: Consent Calendar Meeting Date: 2/21/2012 February 21, 2012 Page 1 of 4 (ID # 2489) Summary Title: Safe Routes to School Contract -Alta Planning Title: Approval of a Contract Agreement with Alta Planning & Design in the Amount of $400,000 to Develop a New Safe Routes to School Program From:City Manager Lead Department: Planning and Community Environment Recommendation Staff recommends that Council approve and authorize the City Manager to execute a contract with Alta Planning + Design (Attachment A) in the total amount not to exceed $400,000 for professional services related to the Safe Routes to School program enhancements funded by the grant from the Valley Transportation Authority (VTA) -Vehicle Emission Reductions Based at Schools (VERBS) Program. Background The City’s “4 E’s” program focusing on school commute safety began in the 1990s, when increasing vehicle congestion around public schools led to new Education and Encouragement elements at school sites and reinforced the longstanding priorities for Engineering and Enforcement along school commute routes. Since 2005, the City’s programs have formed the basis for a growing Safe Routes to School partnership between the City, the Palo Alto Unified School District and Parent –Teacher Association volunteers. In October 2010, the City submitted an application for funding of non-infrastructure Safe Routes to School program enhancements through the VTA-VERBS Program. The City was awarded a $528,000 grant that, when matched with the City’s $132,000 local match fund, provide for a $660,000 project that will significantly expand the City’s Safe Routes to School program. Walking and biking to PAUSD public schools have greatly increased in recent years, due mostly to successful education and encouragement programs. This project will build on those past successes and introduce new program elements. Discussion This contract strengthens the Enforcement, Education, and Encouragement elements of the current Safe Routes to School program and adds a fifth “E” for Evaluation. Alta Planning + Design, through this project, will assist the City in expanding its Safe Routes to School program, including: February 21, 2012 Page 2 of 4 (ID # 2489) a)comprehensive Walk and Roll to School maps for each of the 17 public schools in the Palo Alto Unified School District (PAUSD) and for the south Palo Alto neighborhood served by public schools in the City of Los Altos; b) new school-transportation-policy guidance for elements such as reduced speed limit zones (15-to 20 MPH) near schools and establishment criteria for adult crossing guards based on data collection and industry-standard best practices; c) evaluation and update of the existing bicycle safety education curriculum in PAUSD schools, and expansion of what is offered for middle school students and parents; and d) evaluation of the impact of the Safe Routes to School program on improving school commute safety as well as reducing peak period congestion and related greenhouse gas emissions. Table 1 below provides a summary of the Request for Proposals (RFP) solicitation process used by the City to help select Alta Planning + Design as the recommended consultant for award of the project. Table 1 Summary of Solicitation Process Request for Proposals (RFP) Task Task Duration/Info Proposed Length of Project Approximately 2 years (through June 2014) RFP Release Date September 22, 2011 Number of Proposals Mailed 12 Total Days to Respond to RFP 41 Days Pre-proposal Meeting Date October 6, 2011 No. of Attendees at Pre-proposal Meeting 9 Proposal Submittal Deadline October 25, 2011 Number of Proposals Received:4 Proposal Respondents Location (City, State)Selected for Oral Interview? Alta Planning + Design Berkeley, CA Yes Fehr and Peers Walnut Creek, CA Yes RBF Consulting Walnut Creek, CA No VentanaEdu Fremont, CA No The City received four proposals in response to the RFP. Proposals were evaluated against the following set of criteria: ·Quality and completeness of proposal ·Quality, performance and effectiveness of the solution and/or services to be provided by Proposer ·Proposer’s experience, including the experience of staff to be assigned to the project, the engagements of similar scope and complexity ·Cost to the city February 21, 2012 Page 3 of 4 (ID # 2489) ·Proposer’s financial stability ·Proposer’s ability to perform the work within the time specified ·Proposer’s prior record of performance with the city or others ·Proposer’s compliance with applicable laws, regulations, policies (including city council policies), guidelines and orders governing prior or existing contracts performed by the contractor The Proposal Evaluation Committee included members from the City Department of Planning and Community Environment staff and one representative each from the Palo Alto Police Department, the Palo Alto Unified School District, and the Traffic Safety Committee of the Palo Alto Council of Parent Teacher Associations (PTAs). This committee reviewed the proposals and recommended two consultant teams for oral interviews held on November 15, 2011. The same proposal review committee interviewed the short-list consultant teams and recommended Alta Planning + Design for award of this project because of their extensive background in the completion of similar projects, track record in innovation in the development of safe route to school programs, and understanding of Palo Alto issues through their work on the Bicycle & Pedestrian Transportation Plan. Public Outreach The award of this contract was coordinated with the City’s Safe Routes to School partners on the City/School Traffic Safety Committee. After initiation of the project, a more extensive community outreach plan for implementation will be developed that includes a minimum of two community meetings for the development of Walk and Roll Maps for each of the 18 PAUSD public schools. The project will also include a focused South Palo Alto Safe Routes to School analysis of walking and biking patterns to schools in Los Altos serving Palo Alto students. Regular project updates will be made to the City/School Traffic Safety Committee, Palo Alto Planning & Transportation Commission, City Council, and the PAUSD Board of Education. Timeline The Safe Routes to School project with Alta Planning + Design will begin in March 2012 and last approximately two years. Additional Safe Routes to School program elements will be implemented concurrently over that period including the deployment of bicycle and pedestrian counting stations to monitor seasonal commuting trends at schools and the development of a web-based carpool and trip share tool. Grant requirements from the VTA –VERBS Program require all project elements to be completed by 2014. Resource Impact Funding for the project is included in the Capital Improvement Program project, PL-00026, Safe Routes to School. On February 14, 2011 (ID# 1549), Council approved the Capital Improvements Program (CIP) to fund the Safe Routes to School Program Development and Implementation. This project is 80% reimbursed by the VTA –VERBS grant. Policy Implications February 21, 2012 Page 4 of 4 (ID # 2489) This project is consistent with key transportation goals in the City’s Comprehensive Plan, including giving priority to facilities, services and programs that encourage and promote walking and bicycling, and to providing a high level of safety for motorists, pedestrians and bicyclists on Palo Alto streets. Specific policies and programs include: ·Policy T-14: Improve pedestrian and bicycle access to and between local destinations, including public facilities, schools, parks, open space, employment districts, shopping centers and multi-modal transit stations. ·Policy T-39: To the extent allowed by law, continue to make safety the first priority of citywide transportation planning. ·Policy T-40: Continue to prioritize the safety and comfort of children on school travel routes. This includes program T-45, which calls for providing adult crossing guards at school crossings that meet adopted criteria, and T-46, which encourages the City-sponsored bicycle education programs in the public schools. Environmental Review This project is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061 and 15301 . Attachments: ·Attachment A: Agreement Between City of Palo Alto and Alta Planning & Design Services (PDF) Prepared By:Jaime Rodriguez, Chief Transportation Official Department Head:Curtis Williams, Director City Manager Approval: ____________________________________ James Keene, City Manager Professional Services Rev. June 2, 20101 CITY OF PALO ALTO CONTRACT NO. C12143475 AGREEMENT BETWEEN THE CITY OF PALO ALTO AND ALTA PLANNING + DESIGN, INC. FOR PROFESSIONAL SERVICES This Agreement is entered into on this 21st day of February 2012, (“Agreement”) by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and ALTA PLANNING + DESIGN, INC., a California corporation, located at 2560 9th Street, Suite 212, Berkeley, CA 94710 ("CONSULTANT"). RECITALS The following recitals are a substantive portion of this Agreement. A. CITY intends to expand its Safe Routes to School program (“Project”) and desires to engage a consultant in connection with the Project (“Services”). B. CONSULTANT has represented that it has the necessary professional expertise, qualifications, and capability, and all required licenses and/or certifications to provide the Services. C. CITY in reliance on these representations desires to engage CONSULTANT to provide the Services as more fully described in Exhibit “A”, attached to and made a part of this Agreement. NOW, THEREFORE, in consideration of the recitals, covenants, terms, and conditions, in this Agreement, the parties agree: AGREEMENT SECTION 1. SCOPE OF SERVICES. CONSULTANT shall perform the Services described in Exhibit “A” in accordance with the terms and conditions contained in this Agreement. The performance of all Services shall be to the reasonable satisfaction of CITY. SECTION 2. TERM. The term of this Agreement shall be from the date of its full execution through June 30, 2014 unless terminated earlier pursuant to Section 19 of this Agreement. SECTION 3. SCHEDULE OF PERFORMANCE. CONSULTANT shall complete the Services within the term of this Agreement and in accordance with the schedule set forth in Exhibit “B”, attached to and made a part of this Agreement. Any Services for which times for performance are not specified in this Agreement shall be commenced and completed by CONSULTANT in a reasonably prompt and timely manner based upon the circumstances and direction communicated to the CONSULTANT. CITY’s agreement to extend the term or the schedule for performance shall not preclude recovery of damages for delay if the extension is required due to the fault of CONSULTANT. Professional Services Rev. June 2, 2010 2 \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc SECTION 4. NOT TO EXCEED COMPENSATION. The compensation to be paid to CONSULTANT for performance of the Services described in Exhibit “A”, including both payment for professional services and reimbursable expenses, shall not exceed Three Hundred Thirty Thousand Six Hundred Forty Five Dollars ($330,645). In the event Additional Services are authorized, the total compensation for services and reimbursable expenses shall not exceed Four Hundred Thousand Dollars ($400,000). The applicable rates and schedule of payment are set out in Exhibit “C-1”, entitled “HOURLY RATE SCHEDULE,” which is attached to and made a part of this Agreement. Additional Services, if any, shall be authorized in accordance with and subject to the provisions of Exhibit “C”. CONSULTANT shall not receive any compensation for Additional Services performed without the prior written authorization of CITY. SECTION 5. INVOICES. In order to request payment, CONSULTANT shall submit monthly invoices to the CITY describing the services performed and the applicable charges (including an identification of personnel who performed the services, hours worked, hourly rates, and reimbursable expenses), based upon the CONSULTANT’s billing rates (set forth in Exhibit “C-1”). If applicable, the invoice shall also describe the percentage of completion of each task. The information in CONSULTANT’s payment requests shall be subject to verification by CITY. CONSULTANT shall send all invoices to the City’s project manager at the address specified in Section 13 below. The City will generally process and pay invoices within thirty (30) days of receipt. SECTION 6. QUALIFICATIONS/STANDARD OF CARE. All of the Services shall be performed by CONSULTANT or under CONSULTANT’s supervision. CONSULTANT represents that it possesses the professional and technical personnel necessary to perform the Services required by this Agreement and that the personnel have sufficient skill and experience to perform the Services assigned to them. CONSULTANT represents that it, its employees and subconsultants, if permitted, have and shall maintain during the term of this Agreement all licenses, permits, qualifications, insurance and approvals of whatever nature that are legally required to perform the Services. All of the services to be furnished by CONSULTANT under this agreement shall meet the professional standard and quality that prevail among professionals in the same discipline and of similar knowledge and skill engaged in related work throughout California under the same or similar circumstances. SECTION 7. COMPLIANCE WITH LAWS. CONSULTANT shall keep itself informed of and in compliance with all federal, state and local laws, ordinances, regulations, and orders that may affect in any manner the Project or the performance of the Services or those engaged to perform Services under this Agreement. CONSULTANT shall procure all permits and licenses, pay all charges and fees, and give all notices required by law in the performance of the Services. SECTION 8. ERRORS/OMISSIONS. CONSULTANT shall correct, at no cost to CITY, any and all errors, omissions, or ambiguities in the deliverables submitted to CITY, provided CITY gives notice to CONSULTANT. If CONSULTANT has prepared plans and specifications or other design documents to construct the Project, CONSULTANT shall be obligated to correct any and all errors, Professional Services Rev. June 2, 2010 4 \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc omissions or ambiguities discovered prior to and during the course of construction of the Project. This obligation shall survive termination of the Agreement. SECTION 9. COST ESTIMATES. If this Agreement pertains to the design of a public works project, CONSULTANT shall submit estimates of probable construction costs at each phase of design submittal. If the total estimated construction cost at any submittal exceeds ten percent (10%) of the CITY’s stated construction budget, CONSULTANT shall make recommendations to the CITY for aligning the PROJECT design with the budget, incorporate CITY approved recommendations, and revise the design to meet the Project budget, at no additional cost to CITY. SECTION 10. INDEPENDENT CONTRACTOR. It is understood and agreed that in performing the Services under this Agreement CONSULTANT, and any person employed by or contracted with CONSULTANT to furnish labor and/or materials under this Agreement, shall act as and be an independent contractor and not an agent or employee of the CITY. SECTION 11. ASSIGNMENT. The parties agree that the expertise and experience of CONSULTANT are material considerations for this Agreement. CONSULTANT shall not assign or transfer any interest in this Agreement nor the performance of any of CONSULTANT’s obligations hereunder without the prior written consent of the city manager. Consent to one assignment will not be deemed to be consent to any subsequent assignment. Any assignment made without the approval of the city manager will be void. SECTION 12. SUBCONTRACTING. Subcontracts Authorized: Notwithstanding Section 11 above, CITY agrees that subconsultants may be used to complete the Services. The subconsultants authorized by CITY to perform work on this Project are: Parisi Associates Silicon Valley Bicycle Coalition Bicycle Solutions Collectively Rich Swent CONSULTANT shall be responsible for directing the work of any subconsultants and for any compensation due to subconsultants. CITY assumes no responsibility whatsoever concerning compensation. CONSULTANT shall be fully responsible to CITY for all acts and omissions of a subconsultant. CONSULTANT shall change or add subconsultants only with the prior approval of the city manager or his designee. SECTION 13. PROJECT MANAGEMENT. CONSULTANT will assign Brett Hondorp as the principal-in-charge to have supervisory responsibility for the performance, progress, and execution of the Services and as the Project Manager to represent CONSULTANT during the day- to-day work on the Project. If circumstances cause the substitution of the project director, project coordinator, or any other key personnel for any reason, the appointment of a substitute project director and the assignment of any key new or replacement personnel will be subject to the prior Professional Services Rev. June 2, 2010 4 \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc written approval of the CITY’s project manager. CONSULTANT, at CITY’s request, shall promptly remove personnel who CITY finds do not perform the Services in an acceptable manner, are uncooperative, or present a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property. The City’s project manager is Jaime Rodriguez, Planning & Community Environment Department, Transportation Division, at 250 Hamilton Avenue, Palo Alto, CA 94301, Telephone:650-329-2136. The project manager will be CONSULTANT’s point of contact with respect to performance, progress and execution of the Services. The CITY may designate an alternate project manager from time to time. SECTION 14. OWNERSHIP OF MATERIALS. Upon delivery, all work product, including without limitation, all writings, drawings, plans, reports, specifications, calculations, documents, other materials and copyright interests developed under this Agreement as instruments of professional services, shall be and remain the exclusive property of CITY without restriction or limitation upon their use. CONSULTANT agrees that all copyrights which arise from creation of the work pursuant to this Agreement shall be vested in CITY, and CONSULTANT waives and relinquishes all claims to copyright or other intellectual property rights in favor of the CITY. Neither CONSULTANT nor its contractors, if any, shall make any of such materials available to any individual or organization without the prior written approval of the City Manager or designee. CONSULTANT makes no representation of the suitability of the work product for use in or application to circumstances not contemplated by the scope of work. SECTION 15. AUDITS. CONSULTANT will permit CITY to audit, at any reasonable time during the term of this Agreement and for three (3) years thereafter, CONSULTANT’s records pertaining to matters covered by this Agreement. CONSULTANT further agrees to maintain and retain such records for at least three (3) years after the expiration or earlier termination of this Agreement. SECTION 16. INDEMNITY. 16.1. To the fullest extent permitted by law, CONSULTANT shall protect, indemnify, defend and hold harmless CITY, its Council members, officers, employees and agents (each an “Indemnified Party”) from and against any and all demands, claims, or liability of any nature, including death or injury to any person, property damage or any other loss, including all costs and expenses of whatever nature including attorneys fees, experts fees, court costs and disbursements (“Claims”) that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the CONSULTANT, its officers, employees, agents or contractors under this Agreement, regardless of whether or not it is caused in part by an Indemnified Party. 16.2. Notwithstanding the above, nothing in this Section 16 shall be construed to require CONSULTANT to indemnify an Indemnified Party from Claims arising from the active negligence, sole negligence or willful misconduct of an Indemnified Party. 16.3. The acceptance of CONSULTANT’s services and duties by CITY shall not operate as a waiver of the right of indemnification. The provisions of this Section 16 shall survive Professional Services Rev. June 2, 2010 5 \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc the expiration or early termination of this Agreement. SECTION 17. WAIVERS. The waiver by either party of any breach or violation of any covenant, term, condition or provision of this Agreement, or of the provisions of any ordinance or law, will not be deemed to be a waiver of any other term, covenant, condition, provisions, ordinance or law, or of any subsequent breach or violation of the same or of any other term, covenant, condition, provision, ordinance or law. SECTION 18. INSURANCE. 18.1. CONSULTANT, at its sole cost and expense, shall obtain and maintain, in full force and effect during the term of this Agreement, the insurance coverage described in Exhibit "D". CONSULTANT and its contractors, if any, shall obtain a policy endorsement naming CITY as an additional insured under any general liability or automobile policy or policies. 18.2. All insurance coverage required hereunder shall be provided through carriers with AM Best’s Key Rating Guide ratings of A-:VII or higher which are licensed or authorized to transact insurance business in the State of California. Any and all contractors of CONSULTANT retained to perform Services under this Agreement will obtain and maintain, in full force and effect during the term of this Agreement, identical insurance coverage, naming CITY as an additional insured (except professional liability and workers compensation) under such policies as required above. 18.3. Certificates evidencing such insurance shall be filed with CITY concurrently with the execution of this Agreement. The certificates will be subject to the approval of CITY’s Risk Manager and will contain an endorsement stating that the insurance is primary coverage and will not be canceled, or materially reduced in coverage or limits, by the insurer except after filing with the Purchasing Manager thirty (30) days' prior written notice of the cancellation or modification, CONSULTANT shall be responsible for ensuring that current certificates evidencing the insurance are provided to CITY’s Purchasing Manager during the entire term of this Agreement. 18.4. The procuring of such required policy or policies of insurance will not be construed to limit CONSULTANT's liability hereunder nor to fulfill the indemnification provisions of this Agreement. Notwithstanding the policy or policies of insurance, CONSULTANT will be obligated for the full and total amount of any damage, injury, or loss caused by or directly arising as a result of the Services performed under this Agreement, including such damage, injury, or loss arising after the Agreement is terminated or the term has expired. SECTION 19. TERMINATION OR SUSPENSION OF AGREEMENT OR SERVICES. 19.1. The City Manager may suspend the performance of the Services, in whole or in part, or terminate this Agreement, with or without cause, by giving ten (10) days prior written notice thereof to CONSULTANT. Upon receipt of such notice, CONSULTANT will immediately discontinue its performance of the Services. 19.2. CONSULTANT may terminate this Agreement or suspend its performance of Professional Services Rev. June 2, 2010 6 \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc the Services by giving thirty (30) days prior written notice thereof to CITY, but only in the event of a substantial failure of performance by CITY. 19.3. Upon such suspension or termination, CONSULTANT shall deliver to the City Manager immediately any and all copies of studies, sketches, drawings, computations, and other data, whether or not completed, prepared by CONSULTANT or its contractors, if any, or given to CONSULTANT or its contractors, if any, in connection with this Agreement. Such materials will become the property of CITY. 19.4. Upon such suspension or termination by CITY, CONSULTANT will be paid for the Services rendered or materials delivered to CITY in accordance with the scope of services on or before the effective date (i.e., 10 days after giving notice) of suspension or termination; provided, however, if this Agreement is suspended or terminated on account of a default by CONSULTANT, CITY will be obligated to compensate CONSULTANT only for that portion of CONSULTANT’s services which are of direct and immediate benefit to CITY as such determination may be made by the City Manager acting in the reasonable exercise of his/her discretion. The following Sections will survive any expiration or termination of this Agreement: 14, 15, 16, 19.4, 20, and 25. 19.5. No payment, partial payment, acceptance, or partial acceptance by CITY will operate as a waiver on the part of CITY of any of its rights under this Agreement. SECTION 20. NOTICES. All notices hereunder will be given in writing and mailed, postage prepaid, by certified mail, addressed as follows: To CITY: Office of the City Clerk City of Palo Alto Post Office Box 10250 Palo Alto, CA 94303 With a copy to the Purchasing Manager To CONSULTANT: Attention of the project director at the address of CONSULTANT recited above SECTION 21. CONFLICT OF INTEREST. 21.1. In accepting this Agreement, CONSULTANT covenants that it presently has no interest, and will not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of the Services. 21.2. CONSULTANT further covenants that, in the performance of this Agreement, it will not employ subconsultants, contractors or persons having such an interest. CONSULTANT certifies that no person who has or will have any financial interest under this Agreement is an officer or employee of CITY; this provision will be interpreted in accordance with the applicable provisions Professional Services Rev. June 2, 2010 7 \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc of the Palo Alto Municipal Code and the Government Code of the State of California. 21.3. If the Project Manager determines that CONSULTANT is a “Consultant” as that term is defined by the Regulations of the Fair Political Practices Commission, CONSULTANT shall be required and agrees to file the appropriate financial disclosure documents required by the Palo Alto Municipal Code and the Political Reform Act. SECTION 22. NONDISCRIMINATION. As set forth in Palo Alto Municipal Code section 2.30.510, CONSULTANT certifies that in the performance of this Agreement, it shall not discriminate in the employment of any person because of the race, skin color, gender, age, religion, disability, national origin, ancestry, sexual orientation, housing status, marital status, familial status, weight or height of such person. CONSULTANT acknowledges that it has read and understands the provisions of Section 2.30.510 of the Palo Alto Municipal Code relating to Nondiscrimination Requirements and the penalties for violation thereof, and agrees to meet all requirements of Section 2.30.510 pertaining to nondiscrimination in employment. SECTION 23. ENVIRONMENTALLY PREFERRED PURCHASING AND ZERO WASTE REQUIREMENTS. CONSULTANT shall comply with the City’s Environmentally Preferred Purchasing policies which are available at the City’s Purchasing Department, incorporated by reference and may be amended from time to time. CONSULTANT shall comply with waste reduction, reuse, recycling and disposal requirements of the City’s Zero Waste Program. Zero Waste best practices include first minimizing and reducing waste; second, reusing waste and third, recycling or composting waste. In particular, Consultant shall comply with the following zero waste requirements:  All printed materials provided by Consultant to City generated from a personal computer and printer including but not limited to, proposals, quotes, invoices, reports, and public education materials, shall be double-sided and printed on a minimum of 30% or greater post-consumer content paper, unless otherwise approved by the City’s Project Manager. Any submitted materials printed by a professional printing company shall be a minimum of 30% or greater post-consumer material and printed with vegetable based inks.  Goods purchased by Consultant on behalf of the City shall be purchased in accordance with the City’s Environmental Purchasing Policy including but not limited to Extended Producer Responsibility requirements for products and packaging. A copy of this policy is on file at the Purchasing Office.  Reusable/returnable pallets shall be taken back by the Consultant, at no additional cost to the City, for reuse or recycling. Consultant shall provide documentation from the facility accepting the pallets to verify that pallets are not being disposed. SECTION 24. NON-APPROPRIATION 24.1. This Agreement is subject to the fiscal provisions of the Charter of the City of Palo Alto and the Palo Alto Municipal Code. This Agreement will terminate without any penalty (a) at the end of any fiscal year in the event that funds are not appropriated for the following fiscal year, or (b) at any time within a fiscal year in the event that funds are only appropriated for a portion of the fiscal year and funds for this Agreement are no longer available. This section shall take Professional Services Rev. June 2, 2010 8 \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc precedence in the event of a conflict with any other covenant, term, condition, or provision of this Agreement. SECTION 25. MISCELLANEOUS PROVISIONS. 25.1. This Agreement will be governed by the laws of the State of California. 25.2. In the event that an action is brought, the parties agree that trial of such action will be vested exclusively in the state courts of California in the County of Santa Clara, State of California. 25.3. The prevailing party in any action brought to enforce the provisions of this Agreement may recover its reasonable costs and attorneys' fees expended in connection with that action. The prevailing party shall be entitled to recover an amount equal to the fair market value of legal services provided by attorneys employed by it as well as any attorneys’ fees paid to third parties. 25.4. This document represents the entire and integrated agreement between the parties and supersedes all prior negotiations, representations, and contracts, either written or oral. This document may be amended only by a written instrument, which is signed by the parties. 25.5. The covenants, terms, conditions and provisions of this Agreement will apply to, and will bind, the heirs, successors, executors, administrators, assignees, and consultants of the parties. 25.6. If a court of competent jurisdiction finds or rules that any provision of this Agreement or any amendment thereto is void or unenforceable, the unaffected provisions of this Agreement and any amendments thereto will remain in full force and effect. 25.7. All exhibits referred to in this Agreement and any addenda, appendices, attachments, and schedules to this Agreement which, from time to time, may be referred to in any duly executed amendment hereto are by such reference incorporated in this Agreement and will be deemed to be a part of this Agreement. 25.8 If, pursuant to this contract with CONSULTANT, City shares with CONSULTANT personal information as defined in California Civil Code section 1798.81.5(d) about a California resident (“Personal Information”), CONSULTANT shall maintain reasonable and appropriate security procedures to protect that Personal Information, and shall inform City immediately upon learning that there has been a breach in the security of the system or in the security of the Personal Information. CONSULTANT shall not use Personal Information for direct marketing purposes without City’s express written consent. 25.9 All unchecked boxes do not apply to this agreement. 25.10 The individuals executing this Agreement represent and warrant that they have the legal capacity and authority to do so on behalf of their respective legal entities. IN WITNESS WHEREOF, the parties hereto have by their duly authorized representatives executed this Agreement on the date first above written, CITY OF PALO ALTO ALTA PLANNING + DESIGN, INC. City Manager ~ \A =-/5? . V Name :---='6:.:.Y",,,, -".tt"'---JHo"",-,Y\'-!.d",o",-,Y,-"p,,--_ By: APPROVED AS TO FORM: Title:_y-'-----"-,_n-=C(:..;' P"-I""'----'t..'-_ _ _ Senior Ass!. City Attomey Attachments: EXH IBIT "'A": EXH IBIT "B": EXHIBIT "C": EXHIB IT "C-I": EXHIB IT "D": SCOPE OF WORK SCHEDULE OF PERFORMANCE COMPENSATION SCHEDULE OF RATES INSURANCE REQUIREMENTS 9 Professional SerYice,~ Rev.June2,2010 \\('c~lcrra\shD.n:d\ASf)\J>URCH\SOJ.l('lT A TIONS\CURRENT BUYER-C'M rOLDERS\OTllERS -MEUSSA\!43475 Sale Roules\CI2143475.FinaLK.doc Professional Services Rev. June 2, 2010 \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc EXHIBIT “A” SCOPE OF SERVICES Task 1 Ongoing Task: Project Management 1.1 Project Initiation As part of project initiation, the Alta Team (hereinafter “Consultant”) will hold two initial project kick-off meetings – one with Palo Alto City staff and one with the City/School Traffic Safety Committee – and conduct follow-up as necessary to:  Modify the project scope and schedule (if appropriate)  Gather and/or identify critical data and potential sources, and  Confirm the list of stakeholders Based on the project kick-off meeting, the Consultant shall revise draft project schedule shown in Exhibit B of this Agreement, and develop a contact list of stakeholders for the project. 1.2 Project Management Over the course of the project, the Consultant shall attend monthly progress meetings in person with City staff to ensure that the project is moving ahead on schedule. During critical phases of the project the Consultant shall meet more frequently via phone conference or in person, as needed, to complete project tasks. The Consultant shall use an Open Item Status Report (OISR) to track all ongoing project tasks and deliverables that clearly identifies the task and responsible staff person for each task item. The OISR shall be submitted every two weeks to the City to document completed tasks, forecast schedule impacts, and highlight critical tasks. In addition to bi-weekly submittals of the OISR, the OISR shall also be submitted to the City two working days in advance of monthly progress meetings, community meetings, and as requested by the City. All subconsultant work products, budgets and schedules will be managed directly by the Consultant. Consultant will review and perform a quality assurance / quality control (QA/QC) check on all overall program products of subconsultants before submission of work products to the City to ensure quality and consistency throughout the project. Lines of communication will flow from subconsultants through the Consultant to the City. As part of the project management task, Consultant will develop and submit to City of Palo Alto a detailed project schedule identifying all deliverables, performance measures, evaluation criteria, budgets and other milestones prior to initiation of any task work. Task 1 Deliverables:  Project kick-off meeting minutes  Final schedule and stakeholder contact list  Monthly in-person project meetings and ongoing correspondence with staff to coordinate scheduling, report progress, respond to client requests, and anticipate next steps Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc Task 2 Walk and Roll to School Maps Consultant will lead the development of the “Walk and Roll to School Maps” for the project through an extensive community outreach process for each of the 17 PAUSD public schools (minimum of two meetings per school) and for the South Palo Alto neighborhood served by public schools in the City of Los Altos. The South Palo Alto Walk and Roll Map shall highlight walking and biking routes out of the City of Palo Alto to the City of Los Altos city limits only. 2.1 Data Collection and Development of Base Maps Consultant will work with the City to confirm the exact requirements for the Walk and Roll to School Maps, including layout, content, method of distribution, and potential interactive features. Map elements may include, but not be limited to the following:  Enrollment boundaries (if applicable)  Previously identified walking and biking routes  Average times for walking and biking in five-minute increments  Pedestrian walkways (e.g., sidewalks, trails)  Bicycle travelways (e.g., bicycle lanes, bicycle boulevards, trails)  Intersection control (e.g., stop signs, traffic signals, beacons)  Traffic calming (traffic circles, speed humps, speed feedback signs)  Marked crosswalks  Locations of adult crossing guards  Driver access and circulation routes in vicinity of school, including designated drop off/pick-up zones  School and park campus internal circulation and access (as appropriate)  Major after-school activity locations  Safe practices for those who are bicycling, walking, skating, or using a scooter  Safety guidelines for drivers  SR2S program and school contact information, branding elements Once the recommended mapping methodology has been approved by the City with input from the City/School Traffic Safety Committee, Consultant will collect existing data regarding the locations of schools, enrollment boundaries, crossing guard locations, traffic control devices, pavement markings, signage, routes, aerial photos, and other relevant data. These data elements will be consolidated into a mapping geodatabase, which will be provided to the City at the conclusion of Task 3. As part of this task, Consultant will develop base maps for use during the first set of community meetings. High graphical quality is essential to Walk and Roll to School Maps. A version of the base maps will be made available online for review and comment by those who are unable to attend the school site meeting proposed in Task 2.2. Task 2.1 Deliverables:  Memo summarizing mapping methodology Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc  Development of mapping geodatabase  Base maps for 17 PAUSD public schools and for the South Palo Alto neighborhood served by public schools in the City of Los Altos 2.2 Community Mapping Meeting #1 The school community will play a key role in developing the Walk and Roll to School Maps. Consultant will meet with each school twice during their map development through the form of Community Meetings. At the first community meeting, described in this task, Consultant will lead the school community on a circulation and infrastructure assessment in the school vicinity and a discussion of community concerns and preferences. In the second community meeting (described in Task 2.4) Consultant will ask the school community to confirm the summary of their concerns and provide feedback on the Walk and Roll Map. Consultant will invite parents, teachers, school administrators, key district staff, City staff, law enforcement officers, and middle and high school students to participate in the community meetings. Consultant will prepare marketing materials for community meetings and City staff will be responsible for advertising in local newspapers. Consultant will work with the City and school staff or designated-volunteer community members to advertise meetings on school newsletters of websites. Consultant will be responsible for preparing and procuring community meeting materials such as PowerPoint presentations and print-outs, community meeting facilitation and meeting notes documentation. At Community Meeting #1, Consultant will introduce the mapping program, conduct a circulation and infrastructure assessment of each school site during a school commute period, identify stakeholder preferences and concerns, including existing routes, and gather feedback on the base maps developed in Task 2.1. In preparation for each community meeting, Consultant will conduct a site visit of each public school, including a field review of infrastructure within about a quarter mile radius of the periphery of each school to:  Confirm the base map inventory of existing school-related infrastructure, and  Observe and confirm areas of concern identified by the community during the school site meetings. For South Palo Alto near the border with the City of Mountain View and City of Los Altos, the Consultant will also conduct a community meeting to document the walking and biking routes to Los Altos schools serving residents of this South Palo Alto neighborhood. Task 2.2 Deliverables:  Community mapping meeting #1 for each of the 17 PAUSD public schools and for the South Palo Alto neighborhood served by Los Altos public schools  Follow-up field review at each school site  Notes and recommendation maps from meetings and field review 2.3 Develop Draft Walk and Roll to School Maps Based on community input and supplemental field work, the Consultant will develop a Draft Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc Walk and Roll to School Map for each of the 17 public schools and a Walk and Roll Map for South Palo Alto to the border with the City of Los Altos. Walk and Roll to School Maps will be developed in GIS to take advantage of existing City and Consultant-produced data files as well as GIS-based interactive comments and the ability to export map data to Google Maps (.KML format). These maps shall be provided in Adobe Illustrator and Adobe InDesign for integration of branding elements. The Consultant’s team of graphic designers will create a final map design that is web-compatible in color format and that is legible in black and white to permit cost savings when printing maps. Consultant will also summarize the community concerns and field observations. Where appropriate, preliminary recommended solutions to community concerns and civil improvements in response to field observations will be prepared and formatted around the four E’s of education, encouragement, enforcement, and engineering and show consistency with the Five I’s of the Draft City of Palo Alto Bicycle & Pedestrian Transportation Plan. Consultant will develop an Administrative Draft and Public Review Draft versions of each deliverable that responds to comments on the administrative draft maps and improvement recommendations. Task 2.3 Deliverables:  Administrative draft Walk and Roll to School Maps and improvement plans for 17 PAUSD schools and for the South Palo Alto neighborhood served by Los Altos public schools (.DOC and .PDF format)  Public review draft Walk and Roll to School Maps and improvement plans for 17 PAUSD schools and for the South Palo Alto neighborhood served by Los Altos public schools (.PDF format) 2.4 Community Meeting #2 Consultant will develop marketing materials to help advertise a second community meeting at each school and be responsible for the facilitation of each meeting. At the Community Meeting #2 participants will review and comment on the public review draft Walk and Roll to School Maps and summarized recommendations. Consultant will summarize the process for developing the maps and improvement plans at the meeting and highlight the particular elements of each. To encourage feedback, the larger school community will be provided with online draft materials online in advance of the meeting. After the Community Meeting #2 for each school, Consultant will present the public review draft Walk and Roll to School Map and recommendations and a summary of community comments to the City/School Traffic Safety Committee for review and comment. Consultant may consolidate presentations to the City/School Traffic Safety Committee to maximize efficiency time with the group. Task 2.4 Deliverables:  Second community mapping meeting at each of the 17 PAUSD public schools and for the South Palo Alto neighborhood served by Los Altos public schools.  Presentation to the City/School Traffic Safety Committee (estimated 4 meetings) Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc 2.5 Develop Final Walk and Roll to School Maps Consultant will refine the Walk and Roll to School Maps and improvement plans based on feedback from the community meetings and discussion with the City/School Traffic Safety Committee. Consultant will present the final Walk and Roll to School Maps and improvement plans to the City/School Traffic Safety Committee, the City Planning & Transportation Committee, and the City Council. Task 2.5 Deliverables:  Final draft Walk and Roll to School Maps and Improvement Plans  Presentation to City/School Traffic Safety Committee, City Planning & Transportation Committee, and City Council (3 total meetings) Task 3 Recommended Safe Route to School Policy Development 3.1.1 Adult Crossing Guard Criteria and Evaluation Consultant will prepare adult crossing guard establishment criteria to both validate the deployment locations of existing adult crossing guard locations and to help the City respond to future requests for consideration of adult crossing guards. Consultant will prepare recommended establishment criteria for crossing guards, based on prior City practices, state standards and national best practices. Upon approval of the establishment criteria by City staff, the Consultant shall evaluate each of the City’s 29 existing adult crossing guard locations against the approved criteria and report the findings. An additional 10 locations may be identified by the City for evaluation by the Consultant. In developing the adult crossing guard establishment criteria, the Consultant may identify the appropriate criteria including, but not limited to: vehicle volume, estimated school age and adult pedestrian volumes, bicycle volume, community quality of life factors, policy factors, and safety factors (i.e, crosswalk crossing length, number of vehicular travel lanes, presence of pedestrian refuge island, truck percentages, sight distance, etc.). The recommended criteria will be summarized in an Administrative Draft memo for review by the City. The memo will take into account the sensitive nature of assigning/reassigning crossing guards and include a suggested procedure for working with the school community during the evaluation process, in addition to the more qualitative evaluation criteria. After incorporating revisions to the memo Consultant will present the Public Review draft memo to a study session of the Planning & Transportation Commission and City Council. Consultant will develop a final memo based on comments from the study sessions. Task 3.1.1 Deliverables:  Administrative Draft, Public Review Draft, and Final memo outlining proposed crossing guard establishment criteria  Presentation to CSTSC, PTC, and City Council Study Sessions Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc 3.1.2 Develop Data Collection Plan Consultant will develop a data collection plan that will collect all data pertinent to the evaluation criteria. The plan will include a list of count locations, proposed data collection schedule, proposed outreach to schools, data collection methodology and the final data format desired by the City. This plan will be approved by the City before data collection begins. Specifically:  Consultant will confirm the up to 39 count locations to be evaluated (29 existing crossing guard locations and up to 10 additional locations without crossing guards identified by Palo Alto).  Consultant will develop a counting schedule that takes into account each school’s drop-off and pick-up times and school calendar, including minimum days and holidays, so that counts can be scheduled during times that students are walking or biking to or from school. Counts will not be scheduled on Fridays or within two days of a school holiday. No counts will be taken during inclement weather, during construction activities, or any other incident that disrupts the normal flow of traffic.  Data will be collected in accordance with the Institute of Traffic Engineers Circular 214, the National Bicycle and Pedestrian Documentation Project, and other applicable industry standards. A traffic data collection form will be presented to the City for approval prior to data collection. Task 3.1.2 Deliverables:  Draft and final data collection plan 3.1.3 Traffic Data Collection The decision to assign an adult crossing guard relies on not only the student pedestrian volumes, bicycle volumes, and traffic volumes, but also the operations and unique physical characteristics of each intersection. Consultant will visit the count locations to record and document the following information, or similar related information, via photos, graphics, and/or text:  Presence of traffic control devices in the immediate vicinity, including traffic signs, signals and pavement markings  Sight distance at crossing(s)  Width of street and number of lanes students must cross  Distance of crossing from school grounds  Posted speed limit  Presence or absence of sidewalks and curb ramps immediately adjacent to intersection This visit may coincide with the school assessments conducted in Task 2. Consultant will provide the information as an appendix to the count data. After the site check, Consultant will collect motor vehicle, bicycle, and pedestrian counts during school commute peak periods at up to 39 locations. Consultant will work with a count firm experienced with conducting similar counts. Consultant will provide additional overview training to counters that explains the purpose of the counts, rules for counting pedestrians and bicyclists when observing unusual behavior, and methodology for identifying school children. Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc Count data will be provided to the City per the data collection plan finalized in a prior task. Task 3.1.3 Deliverables:  Appendix to traffic data summary report listing field notes for each intersection  Traffic counts at up to 39 intersections  Traffic count data summary report and raw data 3.2 Reduced School Zone Speed Limits AB 321 became effective January 2008 to allow local jurisdictions to extend the 25 mph prima facie speed limit (up to 1,000 feet from school grounds), or to establish a 15 mph speed limit in school zones (up to 500 feet from school grounds), under certain criteria. The reduced or extended school zone speed limit is only applicable on local streets in a residential district that have a maximum of two traffic lanes, and a maximum posted speed limit of 30 mph immediately prior to and after the school zone; and must be established for both directions of travel. Consultant will provide overall policy guidance on implementing reduced school zone speed limits in the City of Palo Alto. This will include a thorough background review of the legal requirements (CVC and CAMUTCD), a discussion of other California cities that have implemented reduced speed limits, and a review of school locations in Palo Alto that may be appropriate for reduced school speed limits in accordance with the requirements of the CVC and CA MUTCD. Consultant will make recommendations for implementing a reduced school speed limit policy in Palo Alto, including the appropriate speed limit (15 or 20 mph), additional traffic engineering study that may be required prior to implementing speeds, and evaluation to analyze the traffic safety benefits of lowered speed limits once implemented. Task 3.2 Deliverables:  Policy recommendation summary memo for reduced school zone speed limits 3.3 Policy Recommendations Memo & Public Outreach Recommendations for the crossing guards and reduced school zone speed limit policies will be compiled in an Administrative Draft memo for review by the City. City comments will be incorporated into a Public Review Draft memo. For the crossing guard analysis, Consultant will use the traffic data and field review to rank crossing guard locations, and make recommendations for adding, removing, or moving crossing guards. The data will also be used, if appropriate, to suggest minor revisions to the proposed criteria. The Public Review Draft memo will be presented at up to two citywide community workshops (or potentially as part of the map review meetings in Task 2.4), and at meetings of the City/School Traffic Safety Committee and the City Planning & Transportation Commission. Members of the school community, including district staff, school administrators and teachers, and parents will be invited to participate in the community workshops. The presentation will be geared to a non-technical audience, as appropriate. Workshops will be scheduled at a time and location that is easiest for these key participants to attend. Consultant will work with the City to determine if attendance could be further increased by providing a meal, child care, or language translation. Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc Based on comments received during workshops and committee and commission meetings, Consultant will revise the Public Review Draft memo to present a Final Draft memo to the City Council. Task 3.3 Deliverables:  Administrative, Public Review Draft, and Final Draft Policy Memo  Up to two preliminary policy evaluation criteria study sessions (PTC, City Council)  Up to two public workshops  One presentation of findings each to City/School Traffic Safety Committee, the City Planning & Transportation Commission, and City Council. Task 4 Scheduling and Encouragement Activities Consultant will develop a toolkit and schedule of potential activities offered by the Palo Alto Safe Routes to School Program, including the curriculum developed as part of this proposal. The tool kit will be targeted toward parents of elementary and middle school students, and be intended to encourage a range of alternatives to solo family driving to school. Consultant will also develop a tool kit geared toward high school students that encourages alternative modes. Consultant shall recommend a schedule of encouragement activities for each school to help promote ongoing Walk & Roll to School activities. The schedule will take advantage of existing City-sponsored and neighborhood events (such as Operation Safe Passage, International Walk & Roll to School Day, Bike to Work/School Day, Earth Week activities, Bike Palo Alto events, and major Farmer’s Markets) and propose new events to maximize participation and engagement of Palo Alto children and families. This schedule will be posted on the new Safe Routes to School website and cross-promoted through social media and other approved methods. We also suggest creating an interactive schedule that lets parents, teachers, and students add their events to the calendar. Consultant will also work with the City to identify appropriate rewards that can be integrated into the encouragement events to help continue regular alternative transportation mode use to and from school by students. Based on the potential for new encouragement events and rewards, our proposed budget includes a reserve/contingency line item for programming elements and funding. Task 4 Deliverables:  Tool kit of activities  Initial and regularly updated schedule of events  Memo recommending encouragement rewards Task 5 Evaluate and Update 3rd Grade Bicycling Life Skills Curriculum The common goal of Safe Routes education tasks is to grow a self-sustaining culture of family and student bicycling in which self-powered school commutes are the norm. Palo Alto has made Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc great strides toward this goal – progress on which the updated and expanded Program will build. The current Palo Alto program draws from the League of American Bicyclists’ “Smart Cycling” framework and the Program and Consultant shall develop a curriculum that expands on this approach. Consultant shall develop a curriculum that includes the formation of a Curriculum Development Working Group (CDWG) to review and inform the curriculum, test-teaching curriculum, and finalizing the curriculum based on feedback from the CDWG and test-teaching results. Each of the Curriculum Development tasks (3rd Grade, Middle School, Parent) will follow the same basic subtask sequence below. Their subtasks will proceed in parallel, woven into the Curriculum Development master schedule and coordinated with the Project’s other meetings and workshops.  Gather information o Interview persons (teachers, SVBC trainers, key volunteers and parents, etc.) who have direct experience (institutional knowledge) of developing and delivering the existing curriculum o Review existing curriculum materials and framework (lesson plans, learning objectives, agendas/schedules/calendars, resource and volunteer/role lists, classroom and outdoor layouts and routes, visual and audio media) o Observe delivery of existing curriculum o Research and summarize curricula available elsewhere  Create and test draft updated curriculum o Create framework, learning objectives and content outlines for updating modules o Review with CDWG and other advisors o Develop draft updated curriculum o Review with CDWG and other advisors o Train trainers to test-teach draft updated curriculum o Test-teach draft updated curriculum o Summarize and review test-teach results with CDWG o If necessary, develop/review/test-teach 2nd-draft module(s)  Deliver final updated curriculum o Develop final updated curriculum o Present to CDWG and City 5.1 Curriculum Development Working Group Consultant will convene a Curriculum Development Working Group (CDWG) to support Tasks 5, 6, and 7. The CDWG will capture teacher, parent and student issues and perspectives, review Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc draft content and materials, and serve as a sounding board. The Consultant will convene the meetings and handle agendas and minutes. A kick-off meeting for the CDWG shall consist of:  City staff person  City/School Traffic Safety Committee (CSTSC) member who will be responsible for reporting back to that body  3rd Grade teacher familiar with the existing classroom presentation and bike rodeo curriculum  Proposed Middle School Physical Education teacher from each of the City’s three middle schools  Parent PTA representative interested in curriculum, representing parent needs and issues – ideally a parent of a middle school student who has also been through the 3rd Grade program It is anticipated that the CDWG will meet five times and the Consultant shall attend, facilitate, and be responsible for taking meeting minutes and report at each meeting. The scope for each of the meetings is noted below, but the scope for each meeting may be changed depending on need:  Meeting #1: Introduction to program, purpose and role of CDWG, schedule  Meeting #2: Review Working Paper #1: Existing Curriculum and Best Practices  Meeting #3: Review Draft Curriculum prior to test-teaching  Meeting #4: Review Working Paper #2: Draft Curriculum and Results of Test- Teaching  Meeting #5: Review Final Curriculum Working Paper #1 and the Final Curriculum will also be presented to the City/School Traffic Safety Committee. Task 5.1 Deliverables:  Formation of Curriculum Development Working Group and facilitation at up to five meetings  Working paper #1: Existing Curriculum and Best Practices  Draft Curriculum  Working Paper #2: Draft Final Curriculum and Results of Test-Teaching  Final Curriculum  Presentations at City/School Traffic Safety Committee (WP #1, Final Curriculum) 5.2 Evaluate 3rd Grade Bicycling Life Skills Curriculum and Develop Draft Curriculum This task will build on Palo Alto’s existing comprehensive cycling education delivery to this age group. Age 10 (3rd grade) is a critical age because most children’s reasoning capabilities are now sufficient to learn how to safely traverse simple intersections independently. Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc All 3rd grade students in Palo Alto currently experience a classroom session with video and teacher-led discussion, a school-wide bicycle skills rodeo, and an in-class presentation by a firefighter. In addition to helmet fitting and a bicycle safety check, the rodeo covers the fundamental traffic cycling skills of scanning over the shoulder, yielding when necessary, entering the street safely, and approaching and safely traversing simple intersections while negotiating with other road users (fellow 3rd graders on their own bikes). Current 3rd grade student bicycling programs in Palo Alto Classroom session Video and teacher-led discussion Firefighter talk Presentation on laws and safety Bicycle rodeo School-wide event. Helmet fitting, safety check, scanning over the shoulder, yielding when necessary, entering the street safely, approaching and safely traversing simple intersections while negotiating with other road users (fellow 3rd graders on their own bikes). Based on input received from the CDWG and in-classroom observation, Consultant will evaluate these existing curriculum modules (including conducting observation of existing teaching delivery, if possible), and summarize issues and opportunities including staff and volunteer resource requirements. Consultant will compare the existing curriculum to best-practice curriculum modules and programs. After receiving feedback on the Existing Curriculum and Best Practices Memo, Consultant will develop preliminary curriculum for review by the City and the CDWG. Draft curriculum elements will include lesson plans, web and mobile-compatible videos, website content, and social media. Consultant will also prepare a plan for test-teaching the curriculum. Task 5.2 Deliverables:  Working paper #1: Existing Curriculum and Best Practices  Preliminary Curriculum and Plan for Test-Teaching 5.3 Test-Teach Draft Curriculum and Develop Final Curriculum Consultant will test-teach the curriculum in a subset of Palo Alto schools. Consultant will summarize the results of the test-teaching in a memo and develop draft final curriculum in Spanish and English. The memo will include suggestions for a year-round schedule of on- and off-bike options for elementary school students and their families. Consultant will present the memo to the CDWG and the City/School Traffic Safety Committee, and develop final curriculum based on their feedback. Task 5.3 Deliverables:  Working Paper #2: Draft Final Curriculum and Results of Test-Teaching Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc  Final Curriculum Task 6 Middle School Bike Education Program This task follows the same process as that outlined in Task 5: coordination with the CDWG, test- teaching the curriculum, and developing final curriculum based on test-teaching results and input from the CDWG and City/School Traffic Safety Committee. The Middle School Bike Education Program will build on the comprehensive 3rd Grade program. At the 6th Grade transition to middle school, as students enter an environment of greater responsibility and flexibility, most are capable of handling more complex traffic scenarios. They bike for longer distances to school and activities, and some use higher-volume streets and intersections than they did when younger. There are currently two offerings, one school-based and one through the City’s recreation catalog: Current middle school oriented bicycling programs in Palo Alto 5th Grade Lesson Firefighter-led bike / traffic safety lesson given in spring for graduating 5th graders. 45 minute presentation includes PowerPoint, “The Bicycle Zone” video. Parent education materials sent home following presentation. “Drive Your Bike” 1-period, all-6th-grade “game show” interactive assembly featuring a Host and an Expert (a local LCI). Students divide into teams of up to 20 and nominate a Team Captain. Questions are displayed, with 4 possible answers. Teams discuss among themselves, choose an answer. After a short time the correct answer is revealed (and explained by the Expert), and points are scored. All 6th graders attend one of these. Middle School Bike Skills A class for children age 10-14 accompanied by a parent or guardian. Classroom-style discussion, off-street skills practice on a paved area, and a neighborhood ride with observation and feedback. Covers traffic law basics, bike and helmet fitting, crash types and deterrence, proper positioning, 4- way stops and left turns, and communicating with drivers. 4.5 hours total. Offered through Palo Alto Recreation Department’s ENJOY catalog. There is currently no school-based on-bicycle training at the middle school level and the City plans to work with PAUSD middle school staff to develop these options. Following the procedures described in Task 5, our team will evaluate these existing options, observe their delivery, and summarize issues and opportunities including resource requirements. Consultant will review and summarize national best practices for middle school curriculum options and promotional, many of which use LAB’s “Kids II” content as a foundation. Because perceptions and expectations are as important to teens as formal curriculum content, Consultant will begin by seeking to understand Palo Alto’s current middle school bicycling culture, including student cycling behavior, assumptions, issues, and opportunities. Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc Working with teachers, and with input from students, Consultant will expand the current options into a comprehensive program for the middle school age group. It will contain modules for assemblies, lesson plans and teaching kits for classroom presentation and discussion, on-bike / off-street practice, and on-street teaching rides. On-bike modules will be designed for delivery as part of the school curriculum by Physical Education teachers, and developed with their input. School-oriented materials will be complemented by age-appropriate web and video content and supporting teacher material. Where possible we will explore options for delivery of class and self-teaching materials in Spanish. Consultant will also explore ways to include parents in the education of their middle school and pre-middle-school children, including the possibility of expanding the Middle School Bike Skills parent-and-child classes. All of these options will be integrated into a year-round calendar that includes new-middle-school student orientation and bike-to-school orientation rides. Task 6 Deliverables:  Working paper #1: Existing Curriculum and Best Practices  Draft Curriculum  Working Paper #2: Draft Final Curriculum and Results of Test-Teaching  Final Curriculum Task 7 Creating Parent Education Curriculum and Program This task follows the same process as that outlined in Task 5: coordination with the CDWG, test- teaching the curriculum, and developing final curriculum based on test-teaching results and input from the CDWG and City/School Traffic Safety Committee. The Parent Education curriculum will create options to equip and empower parents with knowledge and skills – a key part of creating a self-sustaining adult and student bicycling culture. In often-cited northern European cities there is not a substantial “bicycling generation gap” because most parents know the principles of safe bicycle operation, ride bicycles for utility trips, understand children’s capabilities and readiness stages, teach their children, and support further cycling education in schools. Task 7 activities will continue Palo Alto’s progress toward closing this generation gap by developing several ways for parents and guardians to increase their understanding of bicycle use and their children’s’ capabilities: Current parent-oriented bicycling programs in and near Palo Alto Parent Orientation Short class (no bicycle required) on understanding children’s perceptual and cognitive differences from adult bicyclists, how to help children ride safely (including helmet fitting), basic skills to teach, mistakes children make, how to evaluate skills and guide development, and tips on buying children’s bikes. Offered in Palo Alto at PTA events as “Bringing Up Bicyclists”. Uses LAB’s “Kids I” content and “Kid’s Eye View” video Bicycle handling skills Short off-street, no-traffic group practice of bicycle handling fundamentals: safety check; safe mounting and dismounting; effective starting and precise Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc practice stopping; confident turning, and use of the bicycle’s gears. Offered through Stanford’s Health Improvement Program as “Bicycle Handling Skills Clinic”. Similar to LAB’s “Bicycling 123” short course. Traffic cycling understanding In-class module that builds on motorist understanding of Rules of the Road, adding bicycle law, how to deter and avoid conflicts, riding between and through intersections. LAB Traffic Skills 101 Part 1, “Cyclist’s Eye View” and other videos. Offered regularly (along with Part 2) in San Francisco and the East Bay; less frequently in Palo Alto and nearby. Traffic cycling practice On-bike module in which adult and driving-age teen bicyclists practice the techniques learned in the in-class module, [LAB Traffic Skills 101 Part 2] Using the procedure outlined in Task 5, Consultant will evaluate the existing parent education options and delivery, survey cycling educator-accepted options available in other Bay Area cities and beyond, and develop a new or improved parent education curriculum deliverable in English and Spanish. Task 7 Deliverables:  Working paper #1: Existing Curriculum and Best Practices  Draft Curriculum  Working Paper #2: Draft Final Curriculum (Spanish/English) and Results of Test- Teaching  Final Curriculum (Spanish/English) Task 8 Website Content Consultant will develop text and graphics content for the City’s Safe Routes to School website. In addition to deliverables intended for public review, the content may include but not be limited to text and graphics relating to:  Blog content  Newsletters  Project descriptions  Program activities  Collection and development of charts and photographs  Downloadable educational materials including Walk and Roll to School Maps  Course curriculum Consultant will design all public deliverables developed as part of this scope of work to match the graphic design guidelines established by the website developer. Materials will be translated into Spanish and Chinese-Mandarin. Task 8 Deliverables: Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc  Ongoing text and graphics content for website Task 9 Program Evaluation and Greenhouse Gas Emissions Survey Consultant will lead the evaluation component of the Palo Alto SR2S program. The GHG evaluation is essential to complying with the terms of the grant, but is only one component of what we envision to be a more comprehensive assessment of school travel mode choices and related issues in Palo Alto. Based on the efforts and outreach described in the above tasks, the final evaluation report will include a review of individual program elements and their contribution to the overall goals and sustainability of the Safe Routes program. 9.1 Before and After Surveys The MTC evaluation team has developed a modified version of the standard Federal SR2S parent survey and uses the existing Federal student tally forms to gather before and after data. These surveys help measure average changes in school travel modes and trip distances before and after SR2S program activities, which can then be quantified to VMT and GHG emission impacts using emission factors. Parent surveys – to be administered in coordination with each program sponsor – should provide important qualitative feedback on specific program components and their effectiveness. Consultant will conduct parent surveys only at the elementary and middle schools, and working with student leaders at the high school(s) to develop a comparable student-led travel survey to gather high school mode share information. Parent surveys (print and/or online) shall be conducted up to three times: in fall/winter 2011 to establish baseline data, in fall 2012, and in fall 2013. Consultant will develop the parent survey in English, Spanish, and Chinese-Mandarin, and work with City staff to distribute or promote to each school according to the translation needs. The City will continue to conduct student hand tallies using the Federal Safe Routes to School forms, and submit data to the National Center for tabulation. The surveys will provide an estimate of replaced auto-based trips resulting from program activities (vehicle trips replaced by walking, bicycling, transit, or carpooling). Consultant will tabulate all survey data, and provide the survey results to the MTC Evaluation team for the GHG emissions calculations. Trip distances will be calculated and used to calculate VMT reductions, which will in turn be used to calculate GHG reductions. Task 9.1 Deliverables:  Parent surveys conducted annually at all elementary and middle schools  High school student travel survey at all high schools 9.2 Deploy Automated Bicycle and Pedestrian Count Stations To supplement hand tallies, the City plans on installing automated bicycle and pedestrian counters near all 17 PAUSD schools. These counters will collect 24-hour data that will allow the Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc City to identify temporal travel trends, establish baseline data, and understand mode splits. Count data can also be integrated into school curriculum and student-based program monitoring and analysis. To assist with this task, Consultant will identify locations for automatic counters. Count station locations should take into account school travel patterns, physical characteristics of the count site, and the type of data to be collected. Consultant will also develop recommendations for count technologies, taking into account ease of data collection, ability to track bicyclists and pedestrians separately, capital cost and ongoing maintenance cost, online data tracking features, and other factors that the City may wish to consider in their decision. Location and technology recommendations will be consolidated into a memo. Task 9.2 Deliverables:  Memo recommending count locations and automatic count technology options 9.3 Final Evaluation Report At the end of the second year of the program, Consultant will write a Final Program Evaluation Report that will include a description of the program, the results from the parent and student surveys, the result of GHG reduction calculations (obtained from MTC’s evaluation team), and a description of the programs that were implemented and participation levels. The primary findings would be changes in number of walkers and bikers along with estimation of transportation and GHG benefits. The report will also include recommendations based on the evaluation findings. Consultant will submit an administrative draft evaluation report and a final evaluation report, and make revisions to each based on a single, consolidated, and internally-consistent set of comments from the City. The final report will include a short executive summary that is translated into Spanish and Mandarin-Chinese. Task 9.3 Deliverables:  Final Evaluation Report (1 PDF Admin Draft, 1 PDF Final Report and 20 printed copies) OPTIONAL SERVICES Optional Task A. Safe Routes to School Website Consultant will lead the development of a new Safe Routes to School website for the City of Palo Alto. Community members currently reference the volunteer-developed Safe Routes to School website at www.saferoutes.paloaltopta.org. Consultant will provide comprehensive assistance to the City in creating a new Safe Routes to School website that will ultimately supersede much of the existing site’s content and contain robust branding, social media, and tripsharing features. The new City website will serve as a community resource for teaching the benefits of SR2S; allow the City to disseminate information and encourage activity participation across a range of web-based platforms; and provide the interface for visitors to learn about and sign up for the SchoolPool/Tripshare tool developed in Optional Task B. Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc As part of this task, the Consultant will work with City staff, PTA representatives, and others as appropriate to develop a shared strategy for placing and packaging SR2S content on the City- maintained website, administering and cross-promoting activities through social media (e.g., Facebook, Twitter, Flickr), and minimizing potential confusion or conflict associated with multiple Safe Routes websites. A.1 Graphic Design and Website Template Development Consultant will hold an initial meeting with web design team and City staff to discuss the overall vision for the website, key desired features, and review other example websites to get a sense of potential graphical and navigation look / feel. Following this meeting, Consultant will develop up to three (3) initial graphic design and website layout templates for review by the City. Each template option will include basic website architecture and a sample page, along with an associated set of graphic design guidelines for use by all Safe Routes to School public deliverables developed as part of this scope of work. Graphic design guidelines will include specifications for fonts, colors, graphic identity guidelines such as proper use of the logo, and formatting via style sheets. To provide brand consistency, one or more of the initial design options may be based on the existing logo and website colors of the volunteer-led website. Once a preferred website design option has been selected, Consultant will design and implement the site. The website will include interactive features discussed in Task A.2, and have a web-based content management system that can be used by City staff and consultants. Consultant will use the free, open-source content management system Drupal, which streamlines organization, management, and publication of web content, and is highly customizable. This solution will be low-cost to start up and maintain, and City staff can easily update, customize, and maintain the site after the contract ends. A.1 Deliverables:  Initial meeting with City and web design team to discuss desired website look and features  Up to 3 initial web site/graphic design concept options  Website development and supporting graphic design guidelines for the Preferred Design Concept  Templates for publishable materials: flyers, newsletters, educational materials, and Walk and Roll Maps A.2 Integration of Social Media and Interactive Mapping Platforms In Task A.2, Consultant will research and summarize recommended interactive website elements, integrate these features into the City’s new Safe Routes to School website, and ultimately use the web-based platforms and elements as part of the public outreach and project delivery tasks. An interactive SR2S website with related social media platforms will create a community of users centered on web-based services, and provide exciting new engagement opportunities, to help improve the efficacy and efficiency of public outreach and reinforce the Safe Routes program ‘brand’. Creating an enjoyable, easy-to-use, and useful experience converts visitors into ambassadors for the SR2S program, reaching a far broader audience than the City could hope to accomplish on its own. Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc Consultant will work with the City to launch a Facebook Page and Twitter Account whose activities are integrated into the SR2S website, and vice versa. Cultivating relationships with interested users on Facebook and Twitter will increase goodwill, raise the visibility of the Palo Alto SR2S program online, and expand the reach and potential of public communications – for this project and beyond. The City will be able to cross-promote upcoming events, highlight program success, solicit feedback, and cultivate a community of users that will make SR2S a normal part of their daily online routine. Having a section of the website dedicated to “blog” activities will also ensure steady traffic of repeat users who are interested in progress made on SR2S issues. This can create spillover traffic, as repeat users will occasionally utilize other, more information-heavy sections of the website during their site visits. Consultant will work with the City to provide content for such features as part of Task A.3. The website will also integrate tools for organizing, including the SchoolPool / Tripshare tool described in Optional Task B, as well as interactive mapping features described in Task 2. Mobile device compatibility is also essential, as users are likely to utilize such tools when out of the house, especially so for youth. Finally, the website will provide opportunities to integrate trip tracking and greenhouse gas emissions reduction calculators. In addition to providing real-time data on the benefits of walking, bicycling and carpooling, they provide opportunities for contests and other fun activities that encourage and reward participation. These could be linked to existing programs like Freiker/Boltage, to the City’s installation of automated counters (which could be programmed to upload count data to the website at regular intervals), or to new systems developed through web tools such as www.saveagallon.org. A.2 Deliverables:  Issue Memo describing recommended interactive features for City SR2S website  One City and/or SR2S stakeholder meeting to confirm website/social media approach  Website and project delivery integration of preferred interactive and social media elements A.3 Website Maintenance Consultant will maintain the website during the contract period. Maintenance includes approximately 2 hours per month of regular server health monitoring, including log rotation, daily backups, and other tasks focused on maintaining server reliability such as resolving bugs and other unforeseen issues. A.3 Deliverables:  Ongoing website maintenance Optional Task B. SchoolPool and Tripshare Program Consultant will develop an online SchoolPool and Tripshare tool that is integrated into the City’s new Safe Routes to School website. The tool will be used primarily to encourage carpooling to Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc choice schools and will permit parents and students at other schools to establish carpools, walking school buses, bicycle trains, and informal travel arrangements. Basic functionality of the tool will include:  Easy Sign Up - Sign up through Facebook Connect or by filling out a simple form with parent neighborhood and preferred modes of transportation (bike/walk/carpool). This will be a simple input form (no long, overly complicated forms that ask for all their travel details).  School and Neighborhood Groups - Each neighborhood and school in Palo Alto will have its own group page that hosts a list of the parents signed up for that neighborhood or school. Group members can also setup notifications for when new parents join their neighborhood and/or school.  Quickly Search for School Pool Matches - Parents can search the list of parents in their neighborhood by transportation mode, school and neighborhood and then click on any parents that show up in the list to send them a message.  Build Trust Through Existing Social Connections - Parents can see which common friends they share with other parents in their neighborhood, helping them expand their network of trust.  Full Integration with SR2S Website - The SchoolPool tool will have the same look and feel as the website for Palo Alto’s Safe Routes to School Program, providing a single login and website for parents to find all the information they need to make their family’s commuting greener and healthier.  Authentication and Profile Management - Palo Alto SchoolPool will include a user account system for parents to log in securely and manage their profile choices (school, neighborhoods, transportation modes and contact info). Optional elements may include:  Facebook Integration - Speeds up signup even further by letting parents sign up using their Facebook account to find friends that are already on the system and quickly invite them to be your friend on School Pool.  Private Messaging and Friends Lists - Parents may contact each other through anonymous email addresses, similar to Craigslist, allowing them to reach out to potential school pool matches without putting their privacy at risk. Parents can invite other parents to become their friends. When the other parent accepts, both parents get the other’s contact info added to a list of all their friends, providing them with a quick directory for setting up school pools, which can be viewed online or printed out. Consultant will also develop promotional materials for the program for distribution by the City and school district including copy for mailers, newsletter advertisements, and website promotion. Task B Deliverables:  SchoolPool and Tripshare web based tool  Promotional materials including copy for mailers, newsletters and website promotion Professional Services \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc EXHIBIT “B” SCHEDULE OF PERFORMANCE CONSULTANT shall perform the Services so as to complete each task within the number of hours specified below. The time to complete each task may be increased or decreased by mutual written agreement of the project managers for CONSULTANT and CITY so long as all work is completed within the term of the Agreement. Tasks: 1. Project Management (Part of tasks below) 2. Walk and Roll to School Maps (1076 hours) 3. Policy Recommendations (298 hours) 4. Scheduling and Encouragement Activities (132 hours) 5. Evaluate & Update 3rd Grade Bicycling (441 hours) Life Skills Curriculum 6. Middle School Bike Education Program (316 hours) 7. Creating Parent Education Curriculum (204 hours) & Program 8. Website Content (229 hours) 9. Program Evaluation & GHG Survey (343 hours) Professional Services Rev June 2, 2010 37 \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc EXHIBIT “C” COMPENSATION The CITY agrees to compensate the CONSULTANT for professional services performed in accordance with the terms and conditions of this Agreement, and as set forth in the budget schedule below. Compensation shall be calculated based on the hourly rate schedule attached as exhibit C-1 up to the not to exceed budget amount for each task set forth below. The compensation to be paid to CONSULTANT under this Agreement for all services described in Exhibit “A” (“Basic Services”) and reimbursable expenses shall not exceed $330,645. CONSULTANT agrees to complete all Basic Services, including reimbursable expenses, within this amount. In the event CITY authorizes any Additional Services, the maximum compensation shall not exceed $400,000. Any work performed or expenses incurred for which payment would result in a total exceeding the maximum amount of compensation set forth herein shall be at no cost to the CITY. CONSULTANT shall perform the tasks and categories of work as outlined and budgeted below. The CITY’s project manager may approve in writing the transfer of budget amounts between any of the tasks or categories listed below provided the total compensation for Basic Services, including reimbursable expenses, does not exceed $330,645 and the total compensation for Additional Services does not exceed $69,355. BUDGET SCHEDULE NOT TO EXCEED AMOUNT Task 1 $0 (Project Management) Task 2 $118,510 (Walk and Roll to School Maps) Task 3 $38,090 (Policy Recommendations) Task 4 $13,730 (Scheduling and Encouragement Activities) Task 5 $43,150 (Evaluate & Update 3rd Grade Bicycling Life Skills Curriculum) Task 6 $30,740 (Middle School Bike Education Program) Task 7 $19,030 (Creating Parent Education Curriculum & Program) Task 8 $15,285 (Website Content) Professional Services Rev June 2, 2010 37 \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc Task 9 (Program Evaluation & GHG Surveys) $31,860 Sub-total Basic Services $310,395 Optional Task A $27,350 (Safe Routes to School Website) Optional Task B $31,630 (Schoolpool & Tripshare Program) Other $10,375 Optional Additional Services $69,355 Reimbursable Expenses $20,250 Total Basic Services and Reimbursable expenses $330,645 Optional Additional Services (Not-to-Exceed) $69,355 Maximum Total Compensation $400,000 REIMBURSABLE EXPENSES The administrative, overhead, secretarial time or secretarial overtime, word processing, photocopying, in-house printing, insurance and other ordinary business expenses are included within the scope of payment for services and are not reimbursable expenses. CITY shall reimburse CONSULTANT for the following reimbursable expenses at cost. Expenses for which CONSULTANT shall be reimbursed are: A. Expenses for vehicle, bicycle and pedestrian counts. B. Expenses for travel and transportation in connection with the performance of Basic and/or Additional Services. All requests for payment of expenses shall be accompanied by appropriate backup information. Any expense anticipated to be more than $250.00 shall be approved in advance by the CITY’s project manager. ADDITIONAL SERVICES The CONSULTANT shall provide additional services only by advanced, written authorization from the CITY. The CONSULTANT, at the CITY’s project manager’s request, shall submit a detailed written proposal including a description of the scope of services, Professional Services Rev June 2, 2010 37 \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc schedule, level of effort, and CONSULTANT’s proposed maximum compensation, including reimbursable expense, for such services based on the rates set forth in Exhibit C-1. The additional services scope, schedule and maximum compensation shall be negotiated and agreed to in writing by the CITY’s project manager and CONSULTANT prior to commencement of the services. Payment for additional services is subject to all requirements and restrictions in this Agreement Professional Services Rev June 2, 2010 37 \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc EXHIBIT “C-1” HOURLY RATE SCHEDULE Alta Planning + Design Project Manager $195 Assistant Project Manager $100 Senior Associate $110 SR25 Advisor $110 Senior Planner/Programs $ 85 Project Planner $ 80 GIS/Graphics $ 65 Admin/Production $ 65 Parisi Associates Senior Project Advisor/Project Engineer $185 Project Associate $120 Project Support $ 85 Silicon Valley Bicycle Coalition Programs Manager $80 Programs Coodinator $34 Assistant/Surveys $24 Bicycle Solutions Curriculum Lead $120 Outreach Coordinator $ 90 Collectively Website Design $125 Website Architecture $ 85 Rich Swent Curriculum Advisor $ 75 Professional Services Rev June 2, 2010 37 \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc EXHIBIT “D” INSURANCE REQUIREMENTS CONTRACTORS TO THE CITY OF PALO ALTO (CITY), AT THEIR SOLE EXPENSE, SHALL FOR THE TERM OF THE CONTRACT OBTAIN AND MAINTAIN INSURANCE IN THE AMOUNTS FOR THE COVERAGE SPECIFIED BELOW, AFFORDED BY COMPANIES WITH AM BEST’S KEY RATING OF A-:VII, OR HIGHER, LICENSED OR AUTHORIZED TO TRANSACT INSURANCE BUSINESS IN THE STATE OF CALIFORNIA. AWARD IS CONTINGENT ON COMPLIANCE WITH CITY’S INSURANCE REQUIREMENTS, AS SPECIFIED, BELOW: MINIMUM LIMITS REQUIRED TYPE OF COVERAGE REQUIREMENT EACH OCCURRENCE AGGREGATE YES YES WORKER’S COMPENSATION EMPLOYER’S LIABILITY STATUTORY STATUTORY YES GENERAL LIABILITY, INCLUDING PERSONAL INJURY, BROAD FORM PROPERTY DAMAGE BLANKET CONTRACTUAL, AND FIRE LEGAL LIABILITY BODILY INJURY PROPERTY DAMAGE BODILY INJURY & PROPERTY DAMAGE COMBINED. $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 YES AUTOMOBILE LIABILITY, INCLUDING ALL OWNED, HIRED, NON-OWNED BODILY INJURY - EACH PERSON - EACH OCCURRENCE PROPERTY DAMAGE BODILY INJURY AND PROPERTY DAMAGE, COMBINED $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 YES PROFESSIONAL LIABILITY, INCLUDING, ERRORS AND OMISSIONS, MALPRACTICE (WHEN APPLICABLE), AND NEGLIGENT PERFORMANCE ALL DAMAGES $1,000,000 YES THE CITY OF PALO ALTO IS TO BE NAMED AS AN ADDITIONAL INSURED: CONTRACTOR, AT ITS SOLE COST AND EXPENSE, SHALL OBTAIN AND MAINTAIN, IN FULL FORCE AND EFFECT THROUGHOUT THE ENTIRE TERM OF ANY RESULTANT AGREEMENT, THE INSURANCE COVERAGE HEREIN DESCRIBED, INSURING NOT ONLY CONTRACTOR AND ITS SUBCONSULTANTS, IF ANY, BUT ALSO, WITH THE EXCEPTION OF WORKERS’ COMPENSATION, EMPLOYER’S LIABILITY AND PROFESSIONAL INSURANCE, NAMING AS ADDITIONAL INSUREDS CITY, ITS COUNCIL MEMBERS, OFFICERS, AGENTS, AND EMPLOYEES. I. INSURANCE COVERAGE MUST INCLUDE: A. A PROVISION FOR A WRITTEN THIRTY DAY ADVANCE NOTICE TO CITY OF CHANGE IN COVERAGE OR OF COVERAGE CANCELLATION; AND B. A CONTRACTUAL LIABILITY ENDORSEMENT PROVIDING INSURANCE COVERAGE FOR CONTRACTOR’S AGREEMENT TO INDEMNIFY CITY. C. DEDUCTIBLE AMOUNTS IN EXCESS OF $5,000 REQUIRE CITY’S PRIOR APPROVAL. II. CONTACTOR MUST SUBMIT CERTIFICATES(S) OF INSURANCE EVIDENCING REQUIRED COVERAGE. III. ENDORSEMENT PROVISIONS, WITH RESPECT TO THE INSURANCE AFFORDED TO “ADDITIONAL INSUREDS” A. PRIMARY COVERAGE WITH RESPECT TO CLAIMS ARISING OUT OF THE OPERATIONS OF THE NAMED INSURED, INSURANCE AS AFFORDED BY THIS POLICY IS PRIMARY AND IS NOT ADDITIONAL TO OR CONTRIBUTING WITH ANY OTHER INSURANCE CARRIED BY OR FOR THE BENEFIT OF THE ADDITIONAL INSUREDS. B. CROSS LIABILITY Professional Services Rev June 2, 2010 37 \\Cc-terra\shared\ASD\PURCH\SOLICITATIONS\CURRENT BUYER-CM FOLDERS\OTHERS - MELISSA\143475 Safe Routes\C12143475.Final.K.doc THE NAMING OF MORE THAN ONE PERSON, FIRM, OR CORPORATION AS INSUREDS UNDER THE POLICY SHALL NOT, FOR THAT REASON ALONE, EXTINGUISH ANY RIGHTS OF THE INSURED AGAINST ANOTHER, BUT THIS ENDORSEMENT, AND THE NAMING OF MULTIPLE INSUREDS, SHALL NOT INCREASE THE TOTAL LIABILITY OF THE COMPANY UNDER THIS POLICY. C. NOTICE OF CANCELLATION 1. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR ANY REASON OTHER THAN THE NON-PAYMENT OF PREMIUM, THE ISSUING COMPANY SHALL PROVIDE CITY AT LEAST A THIRTY (30) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION. 2. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR THE NON-PAYMENT OF PREMIUM, THE ISSUING COMPANY SHALL PROVIDE CITY AT LEAST A TEN (10) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION. NOTICES SHALL BE MAILED TO: PURCHASING AND CONTRACT ADMINISTRATION CITY OF PALO ALTO P.O. BOX 10250 PALO ALTO, CA 94303 City of Palo Alto (ID # 5469) City Council Staff Report Report Type: Consent Calendar Meeting Date: 3/2/2015 City of Palo Alto Page 1 Summary Title: Approval of a Utilities Electric Fund Contract (UUD # 47) Title: Approval and Authorization for the City Manager to Execute an Electric Fund Construction Contract with MP Nexlevel of California, Inc., in the Amount of $1,697,836.50, for Trenching and Installation of Utility Substructures for Underground Utility District No. 47 (Project: EL-11010) in the Area of Middlefield Road, Homer Avenue, Webster Street, and Addison Avenue; and Approval and Authorization for the City Manager to Execute Addendum No. 2 to the Agreement for Joint Participation in the Installation of the Underground Facilities System Between the City of Palo Alto, AT&T, and Comcast Corporation of California IX, Inc. From: City Manager Lead Department: Utilities Recommendation Staff recommends that Council: 1. Approve and authorize the City Manager or his designee to execute the attached contract (Attachment A – Contract) with MP Nexlevel of California, Inc. (“MP Nexlevel”), in the amount of $1,697,836.50 for the installation of the utility substructure system for Underground Utility District No. 47 (“UUD 47”). 2. Authorize the City Manager or his designee to negotiate and execute one or more change orders to the contract with MP Nexlevel for additional related, but unforeseen, work which may develop during the project, the total value of which shall not exceed $170,000 (approximately 10% of the contract price). 3. Approve and authorize the City Manager to execute the a Specific Supplementary Agreement for Joint Participation Installation of Underground Facilities System between the City of Palo Alto (“City” or “CPA”), AT&T California (“AT&T”), and Comcast Corporation of California IX, Inc. (“Comcast”) substantially in the form attached to this staff report as Attachment E (referred to in this staff report as “Specific Agreement” or “Addendum No. 2”). City of Palo Alto Page 2 Staff is recommending that Council approve a total authorized amount of $1,867,836 which includes the contract amount of $1,697,836 plus a 10% contingency amount of $170,000. Background At its meeting on January 14, 2013, the City Council adopted Ordinance No. 5180 establishing UUD 47 (Attachment B (Staff Report Ordinance 1st Reading)). This project involves the conversion of overhead utility (CPA, AT&T, and Comcast) facilities to underground. The new underground system in the area of Middlefield Road, Homer Avenue, Webster Street, and Addison Avenue, (Attachment C – Project Boundary Map) is to be installed in the public right- of-way. Discussion The overall project involves the conversion of overhead utility facilities to underground in the area. Construction is divided into four phases: Phase I - Substructure installation by the contractor, consisting of trenching and placement of conduits, vaults, boxes and pads in the public right-of-way and in public utility easements to contain utility equipment. Phase II - Installation, testing and energizing of new underground electric and communications equipment. Phase III - Customer service conversions – all affected property owners will be required to connect to the new underground system. Phase IV - Removal of all overhead lines and poles by last utility on pole, typically AT&T. Work included in this contract with MP Nexlevel is only for Phase I of the construction process and includes the labor, equipment, materials, and management of all field activities in coordination with City’s Operations staff, for the installation of underground electric and communication conduits and boxes The following table is a summary of the bid process: Bid Name/IFB No. Underground District No. 47/IFB No. 156474 Proposed Length of Project 6 Months (180 Working Days) Number of Bids Mailed to Contractors 25 Number of Bids Mailed to Builder’s Exchange 6 City of Palo Alto Page 3 Total Days to Respond Bid 6 Weeks Pre-Bid Meeting Mandatory Yes Number of Company Attendees at Pre-Bid Meeting 10 Number of Bids Received 4* Bid Price Range From a low of $1,697,836.50 to a high of $2,135,523.00 *Bid summary provided in Attachment D. Staff has reviewed all bids submitted and recommends that the bid of $1,697,836, submitted by MP Nexlevel, be accepted and that MP Nexlevel, be declared the lowest responsible bidder. MP Nexlevel’s bid is approximately thirteen percent (13%) higher than the engineer's original estimate of $1,500,000, which was based on construction costs for similar work in previous undergrounding projects. Due to improved economics and market conditions in construction more generally, many of the local contractors chose not to participate in the bidding process for this undergrounding project. The change order amount of $170,000, which equals 10% percent of the total contract, is requested for related, but unforeseen work, which may develop during the project. Staff confirmed with the Contractor's State License Board that the selected contractor has an active license on file. Staff checked references supplied by the contractor for previous work performed and found no complaints. Joint Agreement To take advantage of the economics of shared trenching costs, the City, AT&T and Comcast executed a Master Agreement in 2008 (originally a master agreement between City and Pacific Bell executed in 1975, amended in 1986 and again in 1990 for participation in joint underground construction projects. This agreement is primarily a cost sharing agreement for undergrounding overhead lines, which is applicable to this contract. The Master Agreement has a limit of $85,000 per project for undergrounding expenditures. Whenever the amount involved in a project exceeds the $85,000 limit, as this one does, an Addendum to this Master Agreement is required. The Addendum is a Specific Agreement for work associated with the Utility Underground District and provides the terms and project description. The City will act as the Trenching Agent, administering the contract for this project, and invoicing AT&T and Comcast on the basis of the Supplemental Terms agreed upon in Exhibit "A" of the Specific Agreement. In addition to recommending approval of the construction contract (Attachment A), staff also recommends approval of the Specific Agreement for UUD 47 (Attachment E). City of Palo Alto Page 4 Project Coordination Since the start of this project, staff has been in frequent communication with the property owners directly affected by this project via letters and meetings. Additional details of the construction performed under this contract will be communicated to the neighborhoods and other affected project stakeholders in advance of the construction, and every effort will be made to minimize inconvenience to customers. Resource Impact Funds for this project are included in the UUD 47 – Middlefield, Homer Avenue, Webster Street, and Addison Avenue project (EL-11010). Based on the low bid, the estimated costs for the City, AT&T and Comcast are $763,096, $566,023 and $368,718 respectively. Policy Implications This project supports CPAU Key Strategy number 7 – Implement programs that improve the quality of the environment and Supporting Objective number 2 – Invest in utility infrastructure to deliver reliable service. Environmental Review This project is categorically exempt from the California Environmental Quality Act under Section 15302(d) of the California Code of Regulations, Title 14, Chapter 3 (conversion of overhead electric utility facilities to underground). Attachments:  Attachment A: Contract C15156474 UG 47 (PDF)  Attachment B: CMR ID 3232 (Adoption of Ordinance Establishing Underground Utility District No. 47) (PDF)  Attachment C: Project Boundary Map Underground Utility District # 47 (PDF)  Attachment D: Bid Summary for Underground District N0. 47 (PDF) CONSTRUCTION CONTRACT Contract No. C15156474 City of Palo Alto Underground District 47 Project Invitation for Bid (IFB) Package 1 Rev. January 2014 CONSTRUCTION CONTRACT ATTACHMENT A CONSTRUCTION CONTRACT TABLE OF CONTENTS SECTION 1 INCORPORATION OF RECITALS AND DEFINITIONS. ......................................................... 5 1.1 Recitals. ................................................................................................................................................... 5 1.2 Definitions. ............................................................................................................................................ 5 SECTION 2 THE PROJECT. .................................................................................................................... 5 SECTION 3 THE CONTRACT DOCUMENTS. ......................................................................................... 5 SECTION 4 CONTRACTOR’S DUTY. ...................................................................................................... 6 SECTION 5 PROJECT TEAM. ................................................................................................................. 7 6.1 Time Is of Essence. .............................................................................................................................. 7 6.2 Commencement of Work. ................................................................................................................ 7 6.3 Contract Time. ...................................................................................................................................... 7 6.4 Liquidated Damages. .......................................................................................................................... 7 6.4.1 Other Remedies. ....................................................................................................... 7 6.5 Adjustments to Contract Time. ....................................................................................................... 8 SECTION 7 COMPENSATION TO CONTRACTOR. ................................................................................ 8 7.1 Contract Sum. ....................................................................................................................................... 8 7.2 Full Compensation. ............................................................................................................................. 8 SECTION 8 STANDARD OF CARE. ........................................................................................................ 8 SECTION 9 INDEMNIFICATION. ........................................................................................................... 8 9.1 Hold Harmless. ..................................................................................................................................... 8 9.2 Survival. .................................................................................................................................................. 9 SECTION 10 NONDISCRIMINATION. ................................................................................................... 9 SECTION 11 INSURANCE AND BONDS. ............................................................................................... 9 SECTION 12 PROHIBITION AGAINST TRANSFERS............................................................................... 9 SECTION 13 NOTICES ……………………………………………………………………………………………………………………. 10 13.1 Method of Notice ………………………………………………………………………………………………………………10 13.2 Notice Recipents ……………………………………………………………………………………………………………….10 13.3 Change of Address. ........................................................................................................................... 10 SECTION 14 DEFAULT. ......................................................................................................................... 11 Invitation for Bid (IFB) Package 2 Rev. January 2014 CONSTRUCTION CONTRACT 14.1 Notice of Default. .............................................................................................................................. 11 14.2 Opportunity to Cure Default. ........................................................................................................ 11 SECTION 15 CITY'S RIGHTS AND REMEDIES. ...................................................................................... 11 15.1 Remedies Upon Default. ................................................................................................................. 11 15.1.1 Delete Certain Services. .......................................................................................... 11 15.1.2 Perform and Withhold. ........................................................................................... 11 15.1.3 Suspend The Construction Contract. .................................................................... 11 15.1.5 Invoke the Performance Bond. ............................................................................. 12 15.1.6 Additional Provisions. ............................................................................................. 12 15.2 Delays by Sureties. ............................................................................................................................ 12 15.3 Damages to City. ................................................................................................................................ 12 15.3.1 For Contractor's Default. ........................................................................................ 12 15.3.2 Compensation for Losses. ...................................................................................... 12 15.4 Suspension by City ............................................................................................................................ 13 15.4.1 Suspension for Convenience. .......................................................................................... 13 15.5 Termination Without Cause. ......................................................................................................... 13 15.5.1 Compensation. ......................................................................................................... 13 15.5.2 Subcontractors. ........................................................................................................ 14 15.6 Contractor’s Duties Upon Termination. ..................................................................................... 14 SECTION 16 CONTRACTOR'S RIGHTS AND REMEDIES. ...................................................................... 14 16.1 Contractor’s Remedies. ................................................................................................................... 14 16.1.1 For Work Stoppage. ................................................................................................. 15 16.1.2 For City's Non-Payment. ......................................................................................... 15 16.2 Damages to Contractor. .................................................................................................................. 15 SECTION 17 ACCOUNTING RECORDS. ................................................................................................ 15 17.1 Financial Management and City Access. ................................................................................... 15 17.2 Compliance with City Requests. ................................................................................................... 15 SECTION 18 INDEPENDENT PARTIES. ................................................................................................. 15 SECTION 19 NUISANCE. ...................................................................................................................... 16 SECTION 20 PERMITS AND LICENSES. ................................................................................................ 16 SECTION 21 WAIVER. .......................................................................................................................... 16 SECTION 22 GOVERNING LAW AND VENUE....................................................................................... 16 Invitation for Bid (IFB) Package 3 Rev. January 2014 CONSTRUCTION CONTRACT SECTION 23 COMPLETE AGREEMENT. ................................................................................................ 16 SECTION 24 SURVIVAL OF CONTRACT. ............................................................................................... 16 SECTION 25 PREVAILING WAGES. ...................................................................................................... 16 SECTION 26 NON APPROPRIATION. ................................................................................................... 17 SECTION 27 AUTHORITY. .................................................................................................................... 17 SECTION 28 COUNTERPARTS .............................................................................................................. 17 SECTION 29 SEVERABILITY. ................................................................................................................. 17 SECTION 30 STATUTORY AND REGULATORY REFERENCES . ............................................................. 17 SECTION 31 WORKERS’ COMPENSATION CERTIFICATION. ................................................................ 17 Invitation for Bid (IFB) Package 4 Rev. January 2014 CONSTRUCTION CONTRACT CONSTRUCTION CONTRACT THIS CONSTRUCTION CONTRACT entered into on March 2, 2015 (“Execution Date”) by and between the CITY OF PALO ALTO, a California chartered municipal corporation ("City"), and MP Nexlevel of California, Inc. ("Contractor"), is made with reference to the following: R E C I T A L S: A. City is a municipal corporation duly organized and validly existing under the laws of the State of California with the power to carry on its business as it is now being conducted under the statutes of the State of California and the Charter of City. B. Contractor is a corporation duly organized and in good standing in the State of California, Contractor’s License Number 907019. Contractor represents that it is duly licensed by the State of Minnesota and has the background, knowledge, experience and expertise to perform the obligations set forth in this Construction Contract. C. On November 21, 2014, City issued an Invitation for Bids (IFB) to contractors for the Underground District 47 (“Project”). In response to the IFB, Contractor submitted a Bid. D. City and Contractor desire to enter into this Construction Contract for the Project, and other services as identified in the Contract Documents for the Project upon the following terms and conditions. NOW THEREFORE, in consideration of the mutual promises and undertakings hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, it is mutually agreed by and between the undersigned parties as follows: SECTION 1 INCORPORATION OF RECITALS AND DEFINITIONS. 1.1 Recitals. All of the recitals are incorporated herein by reference. 1.2 Definitions. Capitalized terms shall have the meanings set forth in this Construction Contract and/or in the General Conditions. If there is a conflict between the definitions in this Construction Contract and in the General Conditions, the definitions in this Construction Contract shall prevail. SECTION 2 THE PROJECT. The Project is the Underground District 47 Project, located in Palo Alto, CA. ("Project"). SECTION 3 THE CONTRACT DOCUMENTS. 3.1 List of Documents. The Contract Documents (sometimes collectively referred to as “Agreement” or “Bid Documents”) consist of the following documents which are on file with the Purchasing Division and are hereby incorporated by reference. 1) Change Orders Invitation for Bid (IFB) Package 5 Rev. January 2014 CONSTRUCTION CONTRACT 2) Field Orders 3) Contract 4) Bidding Addenda 5) Special Provisions 6) General Conditions 7) Project Plans and Drawings 8) Technical Specifications 9) Instructions to Bidders 10) Invitation for Bids 11) Contractor's Bid/Non-Collusion Affidavit 12) Reports listed in the Contract Documents 13) Public Works Department’s Standard Drawings and Specifications (most current version at time of Bid) 14) Utilities Department’s Water, Gas, Wastewater, Electric Utilities Standards (most current version at time of Bid) 15) City of Palo Alto Traffic Control Requirements 16) City of Palo Alto Truck Route Map and Regulations 17) Notice Inviting Pre-Qualification Statements, Pre-Qualification Statement, and Pre- Qualification Checklist (if applicable) 18) Performance and Payment Bonds 3.2 Order of Precedence. For the purposes of construing, interpreting and resolving inconsistencies between and among the provisions of this Contract, the Contract Documents shall have the order of precedence as set forth in the preceding section. If a claimed inconsistency cannot be resolved through the order of precedence, the City shall have the sole power to decide which document or provision shall govern as may be in the best interests of the City. SECTION 4 CONTRACTOR’S DUTY. Contractor agrees to perform all of the Work required for the Project, as specified in the Contract Documents, all of which are fully incorporated herein. Contractor shall provide, furnish, and supply all things necessary and incidental for the timely performance and completion of the Work, including, but not limited to, provision of all necessary labor, materials, equipment, transportation, and utilities, unless Invitation for Bid (IFB) Package 6 Rev. January 2014 CONSTRUCTION CONTRACT otherwise specified in the Contract Documents. Contractor also agrees to use its best efforts to complete the Work in a professional and expeditious manner and to meet or exceed the performance standards required by the Contract Documents. SECTION 5 PROJECT TEAM. In addition to Contractor, City has retained, or may retain, consultants and contractors to provide professional and technical consultation for the design and construction of the Project. The Contract requires that Contractor operate efficiently, effectively and cooperatively with City as well as all other members of the Project Team and other contractors retained by City to construct other portions of the Project. SECTION 6 TIME OF COMPLETION. 6.1 Time Is of Essence. Time is of the essence with respect to all time limits set forth in the Contract Documents. 6.2 Commencement of Work. Contractor shall commence the Work on the date specified in City’s Notice to Proceed. 6.3 Contract Time. Work hereunder shall begin on the date specified on the City’s Notice to Proceed and shall be completed within 180 working days after the commencement date specified in City’s Notice to Proceed. By executing this Construction Contract, Contractor expressly waives any claim for delayed early completion. 6.4 Liquidated Damages. Pursuant to Government Code Section 53069.85, if Contractor fails to achieve Substantial Completion of the entire Work within the Contract Time, including any approved extensions thereto, City may assess liquidated damages on a daily basis for each day of Unexcused Delay in achieving Substantial Completion, based on the amount of Five Hundred dollars ($500.00) per day, or as otherwise specified in the Special Provisions. Liquidated damages may also be separately assessed for failure to meet milestones specified elsewhere in the Contract Documents, regardless of impact on the time for achieving Substantial Completion. The assessment of liquidated damages is not a penalty but considered to be a reasonable estimate of the amount of damages City will suffer by delay in completion of the Work. The City is entitled to setoff the amount of liquidated damages assessed against any payments otherwise due to Contractor, including, but not limited to, setoff against release of retention. If the total amount of liquidated damages assessed exceeds the amount of unreleased retention, City is entitled to recover the balance from Contractor or its sureties. Occupancy or use of the Project in whole or in part prior to Substantial Completion, shall not operate as a waiver of City’s right to assess liquidated damages. 6.4.1 Other Remedies. City is entitled to any and all available legal and equitable remedies City may have where City’s Losses are caused by any reason other than Contractor’s failure to achieve Substantial Completion of the entire Work within the Contract Time. Invitation for Bid (IFB) Package 7 Rev. January 2014 CONSTRUCTION CONTRACT 6.5 Adjustments to Contract Time. The Contract Time may only be adjusted for time extensions approved by City and memorialized in a Change Order approved in accordance with the requirements of the Contract Documents. SECTION 7 COMPENSATION TO CONTRACTOR. 7.1 Contract Sum. Contractor shall be compensated for satisfactory completion of the Work in compliance with the Contract Documents the Contract Sum of One Million Six Hundred Ninety Seven Thousand Eight Hundred Thirty Six dollars and fifty cents ($1,697,836.50). [This amount includes the Base Bid and Additive Alternates .] 7.2 Full Compensation. The Contract Sum shall be full compensation to Contractor for all Work provided by Contractor and, except as otherwise expressly permitted by the terms of the Contract Documents, shall cover all Losses arising out of the nature of the Work or from the acts of the elements or any unforeseen difficulties or obstructions which may arise or be encountered in performance of the Work until its Acceptance by City, all risks connected with the Work, and any and all expenses incurred due to suspension or discontinuance of the Work, except as expressly provided herein. The Contract Sum may only be adjusted for Change Orders approved in accordance with the requirements of the Contract Documents. SECTION 8 STANDARD OF CARE. Contractor agrees that the Work shall be performed by qualified, experienced and well-supervised personnel. All services performed in connection with this Construction Contract shall be performed in a manner consistent with the standard of care under California law applicable to those who specialize in providing such services for projects of the type, scope and complexity of the Project. SECTION 9 INDEMNIFICATION. 9.1 Hold Harmless. To the fullest extent allowed by law, Contractor will defend, indemnify, and hold harmless City, its City Council, boards and commissions, officers, agents, employees, representatives and volunteers (hereinafter individually referred to as an “Indemnitee” and collectively referred to as "Indemnitees"), through legal counsel acceptable to City, from and against any and liability, loss, damage, claims, expenses (including, without limitation, attorney fees, expert witness fees, paralegal fees, and fees and costs of litigation or arbitration) (collectively, “Liability”) of every nature arising out of or in connection with the acts or omissions of Contractor, its employees, Subcontractors, representatives, or agents, in performing the Work or its failure to comply with any of its obligations under the Contract, except such Liability caused by the active negligence, sole negligence, or willful misconduct of an Indemnitee. Contractor shall pay City for any costs City incurs to enforce this provision. Except as provided in Section 9.2 below, nothing in the Contract Documents shall be construed to give rise to any implied right of indemnity in favor of Contractor against City or any other Indemnitee. Invitation for Bid (IFB) Package 8 Rev. January 2014 CONSTRUCTION CONTRACT Pursuant to Public Contract Code Section 9201, City shall timely notify Contractor upon receipt of any third-party claim relating to the Contract. 9.2 Survival. The provisions of Section 9 shall survive the termination of this Construction Contract. SECTION 10 NONDISCRIMINATION. As set forth in Palo Alto Municipal Code section 2.30.510, Contractor certifies that in the performance of this Agreement, it shall not discriminate in the employment of any person because of the race, skin color, gender, age, religion, disability, national origin, ancestry, sexual orientation, housing status, marital status, familial status, weight or height of such person. Contractor acknowledges that it has read and understands the provisions of Section 2.30.510 of the Palo Alto Municipal Code relating to Nondiscrimination Requirements and the penalties for violation thereof, and will comply with all requirements of Section 2.30.510 pertaining to nondiscrimination in employment. SECTION 11 INSURANCE AND BONDS. Within ten (10) business days following issuance of the Notice of Award, Contractor shall provide City with evidence that it has obtained insurance and shall submit Performance and Payment Bonds satisfying all requirements in Article 11 of the General Conditions. SECTION 12 PROHIBITION AGAINST TRANSFERS. City is entering into this Construction Contract in reliance upon the stated experience and qualifications of the Contractor and its Subcontractors set forth in Contractor’s Bid. Accordingly, Contractor shall not assign, hypothecate or transfer this Construction Contract or any interest therein directly or indirectly, by operation of law or otherwise without the prior written consent of City. Any assignment, hypothecation or transfer without said consent shall be null and void, and shall be deemed a substantial breach of contract and grounds for default in addition to any other legal or equitable remedy available to the City. The sale, assignment, transfer or other disposition of any of the issued and outstanding capital stock of Contractor or of any general partner or joint venturer or syndicate member of Contractor, if the Contractor is a partnership or joint venture or syndicate or co-tenancy shall result in changing the control of Contractor, shall be construed as an assignment of this Construction Contract. Control means more than fifty percent (50%) of the voting power of the corporation or other entity. SECTION 13 NOTICES. 13.1 Method of Notice. All notices, demands, requests or approvals to be given under this Construction Contract shall be given in writing and shall be deemed served on the earlier of the following: (i) On the date delivered if delivered personally; (ii) On the third business day after the deposit thereof in the United States mail, postage prepaid, and addressed as hereinafter provided; (iii) On the date sent if sent by facsimile transmission; (iv) On the date sent if delivered by electronic mail; or (v) On the date it is accepted or rejected if sent by certified mail. Invitation for Bid (IFB) Package 9 Rev. January 2014 CONSTRUCTION CONTRACT 13.2 Notice Recipients. All notices, demands or requests (including, without limitation, Change Order Requests and Claims) from Contractor to City shall include the Project name and the number of this Construction Contract and shall be addressed to City at: To City: City of Palo Alto City Clerk 250 Hamilton Avenue P.O. Box 10250 Palo Alto, CA 94303 Copy to: City of Palo Alto Public Works Administration 250 Hamilton Avenue Palo Alto, CA 94301 Attn: OR City of Palo Alto Utilities Engineering 250 Hamilton Avenue Palo Alto, CA 94301 Attn: Gopal Jagannath In addition, copies of all Claims by Contractor under this Construction Contract shall be provided to the following: Palo Alto City Attorney’s Office 250 Hamilton Avenue P.O. Box 10250 Palo Alto, California 94303 All Claims shall be delivered personally or sent by certified mail. All notices, demands, requests or approvals from City to Contractor shall be addressed to: MP Nexlevel of California, Inc. Attn: Robbi L. Pribyl 500 CO Road 37 E Maple Lake, MN 55358 13.3 Change of Address. In advance of any change of address, Contractor shall notify City of the change of address in writing. Each party may, by written notice only, add, delete or replace any individuals to whom and addresses to which notice shall be provided. Invitation for Bid (IFB) Package 10 Rev. January 2014 CONSTRUCTION CONTRACT SECTION 14 DEFAULT. 14.1 Notice of Default. In the event that City determines, in its sole discretion, that Contractor has failed or refused to perform any of the obligations set forth in the Contract Documents, or is in breach of any provision of the Contract Documents, City may give written notice of default to Contractor in the manner specified for the giving of notices in the Construction Contract, with a copy to Contractor’s performance bond surety. 14.2 Opportunity to Cure Default. Except for emergencies, Contractor shall cure any default in performance of its obligations under the Contract Documents within two (2) Days (or such shorter time as City may reasonably require) after receipt of written notice. However, if the breach cannot be reasonably cured within such time, Contractor will commence to cure the breach within two (2) Days (or such shorter time as City may reasonably require) and will diligently and continuously prosecute such cure to completion within a reasonable time, which shall in no event be later than ten (10) Days after receipt of such written notice. SECTION 15 CITY'S RIGHTS AND REMEDIES. 15.1 Remedies Upon Default. If Contractor fails to cure any default of this Construction Contract within the time period set forth above in Section 14, then City may pursue any remedies available under law or equity, including, without limitation, the following: 15.1.1 Delete Certain Services. City may, without terminating the Construction Contract, delete certain portions of the Work, reserving to itself all rights to Losses related thereto. 15.1.2 Perform and Withhold. City may, without terminating the Construction Contract, engage others to perform the Work or portion of the Work that has not been adequately performed by Contractor and withhold the cost thereof to City from future payments to Contractor, reserving to itself all rights to Losses related thereto. 15.1.3 Suspend The Construction Contract. City may, without terminating the Construction Contract and reserving to itself all rights to Losses related thereto, suspend all or any portion of this Construction Contract for as long a period of time as City determines, in its sole discretion, appropriate, in which event City shall have no obligation to adjust the Contract Sum or Contract Time, and shall have no liability to Contractor for damages if City directs Contractor to resume Work. 15.1.4 Terminate the Construction Contract for Default. City shall have the right to terminate this Construction Contract, in whole or in part, upon the failure of Contractor to promptly cure any default as required by Section 14. City’s election to terminate the Construction Contract for default shall be communicated by giving Contractor a written notice of termination in the manner specified for the giving of notices in the Construction Contract. Any notice of termination given to Contractor by City shall be effective immediately, unless otherwise provided therein. Invitation for Bid (IFB) Package 11 Rev. January 2014 CONSTRUCTION CONTRACT 15.1.5 Invoke the Performance Bond. City may, with or without terminating the Construction Contract and reserving to itself all rights to Losses related thereto, exercise its rights under the Performance Bond. 15.1.6 Additional Provisions. All of City’s rights and remedies under this Construction Contract are cumulative, and shall be in addition to those rights and remedies available in law or in equity. Designation in the Contract Documents of certain breaches as material shall not waive the City’s authority to designate other breaches as material nor limit City’s right to terminate the Construction Contract, or prevent the City from terminating the Agreement for breaches that are not material. City’s determination of whether there has been noncompliance with the Construction Contract so as to warrant exercise by City of its rights and remedies for default under the Construction Contract, shall be binding on all parties. No termination or action taken by City after such termination shall prejudice any other rights or remedies of City provided by law or equity or by the Contract Documents upon such termination; and City may proceed against Contractor to recover all liquidated damages and Losses suffered by City. 15.2 Delays by Sureties. Time being of the essence in the performance of the Work, if Contractor’s surety fails to arrange for completion of the Work in accordance with the Performance Bond, within seven (7) calendar days from the date of the notice of termination, Contractor’s surety shall be deemed to have waived its right to complete the Work under the Contract, and City may immediately make arrangements for the completion of the Work through use of its own forces, by hiring a replacement contractor, or by any other means that City determines advisable under the circumstances. Contractor and its surety shall be jointly and severally liable for any additional cost incurred by City to complete the Work following termination. In addition, City shall have the right to use any materials, supplies, and equipment belonging to Contractor and located at the Worksite for the purposes of completing the remaining Work. 15.3 Damages to City. 15.3.1 For Contractor's Default. City will be entitled to recovery of all Losses under law or equity in the event of Contractor’s default under the Contract Documents. 15.3.2 Compensation for Losses. In the event that City's Losses arise from Contractor’s default under the Contract Documents, City shall be entitled to deduct the cost of such Losses from monies otherwise payable to Contractor. If the Losses incurred by City exceed the amount payable, Contractor shall be liable to City for the difference and shall promptly remit same to City. Invitation for Bid (IFB) Package 12 Rev. January 2014 CONSTRUCTION CONTRACT 15.4 Suspension by City 15.4.1 Suspension for Convenience. City may, at any time and from time to time, without cause, order Contractor, in writing, to suspend, delay, or interrupt the Work in whole or in part for such period of time, up to an aggregate of fifty percent (50%) of the Contract Time. The order shall be specifically identified as a Suspension Order by City. Upon receipt of a Suspension Order, Contractor shall, at City’s expense, comply with the order and take all reasonable steps to minimize costs allocable to the Work covered by the Suspension Order. During the Suspension or extension of the Suspension, if any, City shall either cancel the Suspension Order or, by Change Order, delete the Work covered by the Suspension Order. If a Suspension Order is canceled or expires, Contractor shall resume and continue with the Work. A Change Order will be issued to cover any adjustments of the Contract Sum or the Contract Time necessarily caused by such suspension. A Suspension Order shall not be the exclusive method for City to stop the Work. 15.4.2 Suspension for Cause. In addition to all other remedies available to City, if Contractor fails to perform or correct work in accordance with the Contract Documents, City may immediately order the Work, or any portion thereof, suspended until the cause for the suspension has been eliminated to City’s satisfaction. Contractor shall not be entitled to an increase in Contract Time or Contract Price for a suspension occasioned by Contractor’s failure to comply with the Contract Documents. City’s right to suspend the Work shall not give rise to a duty to suspend the Work, and City’s failure to suspend the Work shall not constitute a defense to Contractor’s failure to comply with the requirements of the Contract Documents. 15.5 Termination Without Cause. City may, at its sole discretion and without cause, terminate this Construction Contract in part or in whole upon written notice to Contractor. Upon receipt of such notice, Contractor shall, at City’s expense, comply with the notice and take all reasonable steps to minimize costs to close out and demobilize. The compensation allowed under this Paragraph 15.5 shall be the Contractor’s sole and exclusive compensation for such termination and Contractor waives any claim for other compensation or Losses, including, but not limited to, loss of anticipated profits, loss of revenue, lost opportunity, or other consequential, direct, indirect or incidental damages of any kind resulting from termination without cause. Termination pursuant to this provision does not relieve Contractor or its sureties from any of their obligations for Losses arising from or related to the Work performed by Contractor. 15.5.1 Compensation. Following such termination and within forty-five (45) Days after receipt of a billing from Contractor seeking payment of sums authorized by this Paragraph 15.5.1, City shall pay the following to Contractor as Contractor’s sole compensation for performance of the Work : .1 For Work Performed. The amount of the Contract Sum allocable to the portion of the Work properly performed by Contractor as of the date of termination, less sums previously paid to Contractor. .2 For Close-out Costs. Reasonable costs of Contractor and its Subcontractors: (i) Demobilizing and (ii) Administering the close-out of its participation in the Project (including, without limitation, all billing and accounting functions, not including attorney or expert fees) for a period of no longer than thirty (30) Days after receipt of the notice of termination. Invitation for Bid (IFB) Package 13 Rev. January 2014 CONSTRUCTION CONTRACT .3 For Fabricated Items. Previously unpaid cost of any items delivered to the Project Site which were fabricated for subsequent incorporation in the Work. .4 Profit Allowance. An allowance for profit calculated as four percent (4%) of the sum of the above items, provided Contractor can prove a likelihood that it would have made a profit if the Construction Contract had not been terminated. 15.5.2 Subcontractors. Contractor shall include provisions in all of its subcontracts, purchase orders and other contracts permitting termination for convenience by Contractor on terms that are consistent with this Construction Contract and that afford no greater rights of recovery against Contractor than are afforded to Contractor against City under this Section. 15.6 Contractor’s Duties Upon Termination. Upon receipt of a notice of termination for default or for convenience, Contractor shall, unless the notice directs otherwise, do the following: (i) Immediately discontinue the Work to the extent specified in the notice; (ii) Place no further orders or subcontracts for materials, equipment, services or facilities, except as may be necessary for completion of such portion of the Work that is not discontinued; (iii) Provide to City a description in writing, no later than fifteen (15) days after receipt of the notice of termination, of all subcontracts, purchase orders and contracts that are outstanding, including, without limitation, the terms of the original price, any changes, payments, balance owing, the status of the portion of the Work covered and a copy of the subcontract, purchase order or contract and any written changes, amendments or modifications thereto, together with such other information as City may determine necessary in order to decide whether to accept assignment of or request Contractor to terminate the subcontract, purchase order or contract; (iv) Promptly assign to City those subcontracts, purchase orders or contracts, or portions thereof, that City elects to accept by assignment and cancel, on the most favorable terms reasonably possible, all subcontracts, purchase orders or contracts, or portions thereof, that City does not elect to accept by assignment; and (v) Thereafter do only such Work as may be necessary to preserve and protect Work already in progress and to protect materials, plants, and equipment on the Project Site or in transit thereto. Upon termination, whether for cause or for convenience, the provisions of the Contract Documents remain in effect as to any Claim, indemnity obligation, warranties, guarantees, submittals of as-built drawings, instructions, or manuals, or other such rights and obligations arising prior to the termination date. SECTION 16 CONTRACTOR'S RIGHTS AND REMEDIES. 16.1 Contractor’s Remedies. Contractor may terminate this Construction Contract only upon the occurrence of one of the following: Invitation for Bid (IFB) Package 14 Rev. January 2014 CONSTRUCTION CONTRACT 16.1.1 For Work Stoppage. The Work is stopped for sixty (60) consecutive Days, through no act or fault of Contractor, any Subcontractor, or any employee or agent of Contractor or any Subcontractor, due to issuance of an order of a court or other public authority other than City having jurisdiction or due to an act of government, such as a declaration of a national emergency making material unavailable. This provision shall not apply to any work stoppage resulting from the City’s issuance of a suspension notice issued either for cause or for convenience. 16.1.2 For City's Non-Payment. If City does not make pay Contractor undisputed sums within ninety (90) Days after receipt of notice from Contractor, Contractor may terminate the Construction Contract (30) days following a second notice to City of Contractor’s intention to terminate the Construction Contract. 16.2 Damages to Contractor. In the event of termination for cause by Contractor, City shall pay Contractor the sums provided for in Paragraph 15.5.1 above. Contractor agrees to accept such sums as its sole and exclusive compensation and agrees to waive any claim for other compensation or Losses, including, but not limited to, loss of anticipated profits, loss of revenue, lost opportunity, or other consequential, direct, indirect and incidental damages, of any kind. SECTION 17 ACCOUNTING RECORDS. 17.1 Financial Management and City Access. Contractor shall keep full and detailed accounts and exercise such controls as may be necessary for proper financial management under this Construction Contract in accordance with generally accepted accounting principles and practices. City and City's accountants during normal business hours, may inspect, audit and copy Contractor's records, books, estimates, take-offs, cost reports, ledgers, schedules, correspondence, instructions, drawings, receipts, subcontracts, purchase orders, vouchers, memoranda and other data relating to this Project. Contractor shall retain these documents for a period of three (3) years after the later of (i) Final Payment or (ii) final resolution of all Contract Disputes and other disputes, or (iii) for such longer period as may be required by law. 17.2 Compliance with City Requests. Contractor's compliance with any request by City pursuant to this Section 17 shall be a condition precedent to filing or maintenance of any legal action or proceeding by Contractor against City and to Contractor's right to receive further payments under the Contract Documents. City many enforce Contractor’s obligation to provide access to City of its business and other records referred to in Section 17.1 for inspection or copying by issuance of a writ or a provisional or permanent mandatory injunction by a court of competent jurisdiction based on affidavits submitted to such court, without the necessity of oral testimony. SECTION 18 INDEPENDENT PARTIES. Each party is acting in its independent capacity and not as agents, employees, partners, or joint ventures’ of the other party. City, its officers or employees shall have no control over the conduct of Contractor or its respective agents, employees, subconsultants, or subcontractors, except as herein set forth. Invitation for Bid (IFB) Package 15 Rev. January 2014 CONSTRUCTION CONTRACT SECTION 19 NUISANCE. Contractor shall not maintain, commit, nor permit the maintenance or commission of any nuisance in connection in the performance of services under this Construction Contract. SECTION 20 PERMITS AND LICENSES. Except as otherwise provided in the Special Provisions and Technical Specifications, The Contractor shall provide, procure and pay for all licenses, permits, and fees, required by the City or other government jurisdictions or agencies necessary to carry out and complete the Work. Payment of all costs and expenses for such licenses, permits, and fees shall be included in one or more Bid items. No other compensation shall be paid to the Contractor for these items or for delays caused by non-City inspectors or conditions set forth in the licenses or permits issued by other agencies. SECTION 21 WAIVER. A waiver by either party of any breach of any term, covenant, or condition contained herein shall not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant, or condition contained herein, whether of the same or a different character. SECTION 22 GOVERNING LAW AND VENUE. This Construction Contract shall be construed in accordance with and governed by the laws of the State of California, and venue shall be in a court of competent jurisdiction in the County of Santa Clara, and no other place. SECTION 23 COMPLETE AGREEMENT. This Agreement represents the entire and integrated agreement between the parties and supersedes all prior negotiations, representations, and contracts, either written or oral. This Agreement may be amended only by a written instrument, which is signed by the parties. SECTION 24 SURVIVAL OF CONTRACT. The provisions of the Construction Contract which by their nature survive termination of the Construction Contract or Final Completion, including, without limitation, all warranties, indemnities, payment obligations, and City’s right to audit Contractor’s books and records, shall remain in full force and effect after Final Completion or any termination of the Construction Contract. SECTION 25 PREVAILING WAGES. This Project is not subject to prevailing wages. The Contractor is not required to pay prevailing wages in the performance and implementation of the Project, because the City, pursuant to its authority as a chartered city, has adopted Resolution No. 5981 exempting the City from prevailing wages. The City invokes the exemption from the state prevailing wage requirement for this Project and declares that the Invitation for Bid (IFB) Package 16 Rev. January 2014 CONSTRUCTION CONTRACT Project is funded one hundred percent (100%) by the City of Palo Alto. This Project remains subject to all other applicable provisions of the California Labor Code and regulations promulgated thereunder. Or The Contractor is required to pay general prevailing wages as defined in Subchapter 3, Title 8 of the California Code of Regulations and Section 16000 et seq. and Section 1773.1 of the California Labor Code. Pursuant to the provisions of Section 1773 of the Labor Code of the State of California, the City Council has obtained the general prevailing rate of per diem wages and the general rate for holiday and overtime work in this locality for each craft, classification, or type of worker needed to execute the contract for this Project from the Director of the Department of Industrial Relations. Copies of these rates may be obtained at the Purchasing Office of the City of Palo Alto. Contractor shall provide a copy of prevailing wage rates to any staff or subcontractor hired, and shall pay the adopted prevailing wage rates as a minimum. Contractor shall comply with the provisions of Sections 1775, 1776, 1777.5, 1810, and 1813 of the Labor Code. SECTION 26 NON APPROPRIATION. This Agreement is subject to the fiscal provisions of the Charter of the City of Palo Alto and the Palo Alto Municipal Code. This Agreement will terminate without any penalty (a) at the end of any fiscal year in the event that the City does not appropriate funds for the following fiscal year for this event, or (b) at any time within a fiscal year in the event that funds are only appropriated for a portion of the fiscal year and funds for this Construction Contract are no longer available. This section shall take precedence in the event of a conflict with any other covenant, term, condition, or provision of this Agreement. SECTION 27 AUTHORITY. The individuals executing this Agreement represent and warrant that they have the legal capacity and authority to do so on behalf of their respective legal entities. SECTION 28 COUNTERPARTS This Agreement may be signed in multiple counterparts, which shall, when executed by all the parties, constitute a single binding agreement. SECTION 29 SEVERABILITY. In case a provision of this Construction Contract is held to be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall not be affected. SECTION 30 STATUTORY AND REGULATORY REFERENCES. With respect to any amendments to any statutes or regulations referenced in these Contract Documents, the reference is deemed to be the version in effect on the date that the Contract was awarded by City, unless otherwise required by law. SECTION 31 WORKERS’ COMPENSATION CERTIFICATION. Pursuant to Labor Code Section 1861, by signing this Contract, Contractor certifies as follows: “I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against Invitation for Bid (IFB) Package 17 Rev. January 2014 CONSTRUCTION CONTRACT liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the Work on this Contract.” IN WITNESS WHEREOF, the parties have caused this Construction Contract to be executed the date and year first above written. CITY OF PALO ALTO ____________________________ City Manager APPROVED AS TO FORM: ____________________________ Senior Deputy City Attorney MP NEXLEVEL OF CALIFORNIA, INC. By:___________________________ Name:________________________ Title:__________________________ Date: _________________________ Invitation for Bid (IFB) Package 18 Rev. January 2014 CONSTRUCTION CONTRACT City of Palo Alto (ID # 3232) City Council Staff Report Report Type: Action Items Meeting Date: 12/10/2012 City of Palo Alto Page 1 Summary Title: Public Hearing For Underground District No. 47 Title: Public Hearing: Adoption of an Ordinance Establishing Underground Utility District No. 47 (Middlefield Road/Addison Avenue/Cowper Street/Homer Avenue) by Amending Section 12.16.02 of the Palo Alto Municipal Code From: City Manager Lead Department: Utilities Recommendation Staff recommends that Council adopt the attached Ordinance to create Underground Utility District No. 47 and thereby amend section 12.16.02 of the Palo Alto Municipal Code. Background At its meeting on September 10, 2012, the Council passed Resolution of Intent No. 9285 to establish Underground Utility District No. 47 [Staff Report ID# 2947]. The Council meeting of December 10, 2012 has been set as the date of the Public Hearing on the matter. Notices announcing the meeting with a description of the project and a copy of the Resolution were mailed to all property owners in the proposed district on October 12, 2012. The Electric Utility’s undergrounding project areas are selected and recommended to AT&T and Comcast based on the age and maintainability of the existing overhead electric system. AT&T and Comcast determine whether the recommended area meets their criteria for undergrounding, based on the guidelines established by the California Public Utilities Commission (CPUC). The attached Exhibit “A” shows the boundaries of underground district No. 47 that encompasses portions of avenues, roads, and streets of Homer, Cowper, Addison, Middlefield, Channing and Webster. Underground Utility District No. 47 meets the City’s and CPUC’s guidelines for undergrounding overhead utility lines. Discussion ATTACHMENT B City of Palo Alto Page 2 This underground project will result in the removal of 34 poles and provide underground services to 82 properties consisting of largely residential and a small percentage of commercial property. Completion of this project will result in higher reliability, increased safety due to elimination of poles and improved aesthetics. If an underground district is created, the Utilities Department will prepare plans and specifications and obtain bids for installation of the underground substructure. Underground substructure construction consists of the installation of conduits, vaults, pads and boxes. The Utility will then install the electric distribution cables, transformers and switches upon completion of the substructure installation. After the new underground system (cable, transformers, switches, etc.) has been tested and energized, the property owners will be notified that they have 60 days to connect to the new underground system. Upon completion of the new connections, Utility crews will remove the overhead power lines, and telephone crews will complete the project by removing the remaining telephone and cable TV (CATV) facilities and poles. Timeline Once the Public Hearing is completed and if Council decides to proceed with the project, the following scheduled is proposed: Serial Number Action Date 1. Public Hearing and first reading of Ordinance Establishing Project Area as UUD No. 47 December 10, 2012* 2. Second Reading of Ordinance January 14, 2013* 3. Letters to property owners with approved Ordinance Chapter 12.167 of Municipal Code, and update February 11, 2013 4. Award of construction contract and Joint Construction Agreement with AT&T/Comcast July 2013* 5. Substructure (conduits, vaults, etc.) installation by Contractor August 2013 through November 2013 6. Installation of underground facilities (cable, switches, etc.) December 2013 through March 2014 7. Resolution determining properties electing to pay service conversion cost over a period of 10 years May 2014* 8. Service conversion work by property owners June 2014 through City of Palo Alto Page 3 August 2014 9. Pole removal and project completion September 2014 through November 2014 *Denotes Council Action Resource Impact The total cost of the project is estimated at $1,800,000. An estimated $750,000 will be for the installation of telephone and CATV conduit and boxes for which the City will be reimbursed by AT&T and Comcast. For fiscal year 2012-2013, $150,000 has been designated for planning and engineering of this project and is budgeted in 2012-2013 Electric Capital Improvement Program. The cost of the required service conversions on private property is to be borne by the individual owners in accordance with Utility Rule and Regulation No. 17. The total cost for the property owners requiring service conversions from overhead to underground has been estimated at $296,000. The property owners have been offered the option of financing their service conversion costs over a period of ten years in accordance with the procedure given in Sections 12.16.090 through 12.16.096 of the Palo Alto Municipal Code. Policy Implications This recommendation is consistent with the Council approved Utilities Strategic Plan to invest in utility infrastructure to deliver reliable service. Environmental Review This project is categorically exempt from the California Environmental Quality Act under Public Resources Code Section 15302(d) (conversion of overhead electric utility distribution system facilities underground). Attachments:  Attachment A: Underground District No. 47 Boundary Map (PDF)  Attachment B: Ordinance No. XXXX (PDF)  Attachment C: Resolution No. 9285 (PDF) 1 121105 dm 6051811 Ordinance No.__________  Ordinance of the Council of the City of Palo Alto Establishing  Underground Utility District No. 47 (portions of Homer, Cowper,  Addison, Middlefield, Channing and Webster) by Amending Section  12.16.020 of the Palo Alto Municipal Code     R E C I T A L S      A.  This Council, on September 10, 2012, adopted Resolution No. 9285, declaring its  intention to establish  Underground Utility District No. 47 in the City by amending Section  12.16.020 of the Palo Alto Municipal Code and by such Resolution appointed Monday,  December 10, 2012, at the hour of 7:00 o'clock p.m., in the Council Chambers, City Hall, at 250  Hamilton Avenue, Palo Alto, California, as the time and place of hearing protests and receiving  evidence for and against the proposed action and notice of direction; and    B.  Notice was given of the time and place for the public hearing stated in the  manner provided by law, as appears from the affidavits on file in the office of the City Clerk;  and    C.  Said matter came on regularly for hearing at the time fixed; and    D.  All written protests and other written communications were publicly read at  said meeting and evidence duly taken and all persons desiring to be heard were fully heard.             The Council of the City of Palo Alto does ORDAIN as follows:    SECTION 1.  The public necessity, health and safety require the removal of poles  and overhead lines and associated overhead structures from that certain area described in  Resolution No. 9285.    SECTION 2.  Section 12.16.020 of the Palo Alto Municipal Code is hereby amended  by adding Subsection (47) thereto to read as follows:    “(47) District No. 47.  All of the area in the County of Santa Clara, City of Palo Alto,  encompassing the areas contiguous with portions of the following avenues, roads,  and streets:  Homer, Cowper, Addison, Middlefield, Channing and Webster, all as  more particularly described on that certain map entitled "Proposed Underground  District No. 47 Homer/Cowper/Addison/Middlefield/Channing/Webster” on file in  the office of the City Clerk.”    SECTION 3.    The "Underground Utility District Maps" referred to in Section 12.16.020  shall be amended to add to the areas shown on the map those referred to in Resolution No. 9285.     2 121105 dm 6051811 SECTION 4.  The City Council hereby finds that the adoption of this ordinance is  categorically exempt from the California Environmental Quality Act under Public Resources  Code Section 15302 (conversion of overhead electric distribution facilities to underground).    SECTION 5.  This ordinance shall become effective upon the expiration of thirty (30)  days from its passage.      INTRODUCED:    PASSED:    AYES:    NOES:    ABSTENTIONS:    ABSENT:    ATTEST:                                  APPROVED:                                                     __________________________                                    _____________________________               City Clerk                            Mayor              ______________________________  APPROVED AS TO FORM:                                   City Manager      _____________________________         ______________________________    Senior Deputy City Attorney    Director of Utilities                                                                         ATTACHMENT C Bid Summary for Underground District N0. 47: Serial # Contractor/Bidder’s Name Base Bid Items Price Optional Items Price Total 1. MP Nexlevel of California, Inc. $1,570,086.50 $127,750.00 $1,697,836.50 2. Casey Construction, Inc. $1,733,565.00 $263,500.00 $1,997,065.00 3. Northern Underground, Inc. $1,796,275.00 $94,260.00 $1,890,535.00 4. West Valley Construction Company, Inc. $2,001,633.00 $133,890.00 $2,135,523.00 Lowest Bidder: MP Nexlevel of California, Inc. ATTACHMENT D City of Palo Alto (ID # 5551) City Council Staff Report Report Type: Consent Calendar Meeting Date: 3/2/2015 City of Palo Alto Page 1 Summary Title: Designation of the Roth Building as a “Sender Site” in the Transfer of Develop Title: Adoption of a Resolution Designating 300 Homer Street Known as Roth Building as a “Sender Site” in the Transfer of Development Rights (TDR) Program and Direction to staff to Advertise Request for Proposal to Market the TDRs. From: City Manager Lead Department: Administrative Services RECOMMENDATION Staff requests that Council approve the following recommendations: 1. Approve the attached Resolution (Attachment A) designating 300 Homer Street, known as the Roth Building, to be eligible as a “Sender Site” in the Transfer of Development Rights (TDR) program. 2. Approve the release of a Request for Proposals (RFP) for the sale of 9,592 square feet of Transferable Development Rights (TDR) from the Roth Building at the minimum starting price of $200 per square foot. These TDRs shall not be subject to a parking exemption in accordance with an earlier imposed parking exemption moratorium passed by the Council. 3. Authorize the City Manager to execute and complete the sale of the TDRs to the highest qualified bidder(s), at a price not less than $200 per square foot. EXECUTIVE SUMMARY In the past ten years, the Palo Alto History Museum (PAHM) has been utilizing various strategies and activities including raisings funds from private and public sources to raise sufficient capital to renovate the Roth Building and to operate a historical museum. The Palo Alto History Museum proposes to restore, preserve, and rehabilitate the City’s Roth Building as a museum. TDRs are one of instruments among the possible funding sources that will contribute needed resources toward the overall budget for this project. The purpose of the TDR program is to encourage and support the rehabilitation of historic buildings. The program requires the City to City of Palo Alto Page 2 use sales proceeds to rehabilitate the building subject to the TDRs or for rehabilitation of some other historic resource. In this case, the proceeds from the sale of the TDRs are intended to be used toward the completion of rehabilitation of the historical Roth Building. The program provides a floor area bonus for the qualified rehabilitation of Category 1 and 2 historic buildings and Seismic Category I, II, and III buildings which are either owned by the City of Palo Alto or located in the Downtown commercial (CD) zoning district. For City-owned property, floor area bonuses from eligible sender sites may be sold by the City on the open market through a public bid process. The proceeds from the sale of the TDRs will be used toward the rehabilitation of the historical Roth Building. As a Category 2 resource, and with the planned historic rehabilitation of the building, the Roth Building would be eligible as a “sender site” for a 9,592 square foot floor area bonus. On December 15, 2014, the Palo Alto City Council directed the staff to initiate the process of designation of the Roth Building as a “Sender Site” in the transfer development right program and to set the minimum market price of $200 per square foot for each TDR when City issues a Request for Proposal to market the TDR units. Generally TDRs are sold at a point in the entitlement process where the project is in the process of being rehabilitated, though Council has the ability to approve the building as a sender site at an earlier stage. Following the sale of the TDRs the City will place a restrictive covenant on the property to ensure its long term historic protection. BACKGROUND The Roth Building has been listed on the National Register of Historic Places, joining several other listed Palo Alto structures such as the Norris House, the University Avenue Caltrain station and the United States Post Office on Hamilton Avenue. Background information on the development of the Roth Building since the City’s acquisition in April 2000 is extensive. Since 2007 City staff and Museum personnel have examined a variety of proposals to fund the capital and operating needs of the Roth Building historical museum. Additional background information can be found by referring to CMRs 4703, 2197, 2891 and 5365. On December 15, 2014, to support the rehabilitation cost of the this project, City Council instructed the staff to initiate the designation of the Roth Building as a “sender site” which enabled the sale of the TDRs and approved a one-time contribution of one million ($1,000,000) toward the rehabilitation and seismic of the Building. DISCUSSION A. PROJECT DESCRIPTION The existing square footage of the Roth Building is 19,182 square feet. PAHM is proposing to add 1,398 square feet comprised of: 101 square feet for the basement egress stairway, 194 square feet at the first floor level at the rear of the building for additional gallery space, 383 square feet at the second floor level rear of the building for exhibit/archive space, and 720 City of Palo Alto Page 3 square foot at the roof level consisting of an open roof area. For a detail of rehabilitation plans, please note Report to Historical Resource Board & Architectural Review Board on February 16, & 17, 2011. B. Transfer of Development Rights (TDR) The purpose of the TDR program is to encourage and support the rehabilitation of historic buildings. The program provides a floor area bonus for the qualified rehabilitation of Category 1 and 2 historic buildings and Seismic Category I, II, and III buildings which are either owned by the City of Palo Alto or located in the Downtown CD zone district. Funds from the sale will be used to rehabilitate eligible City-owned historic buildings. On February 7, 2005, the Council approved revisions to the Zoning Code to allow eligible City-owned historic properties located in any zone district to be “sender sites” under the Transfer of Development Rights ordinance, transferring historic or seismic rehabilitation floor area bonuses from these sites to eligible “receiver” sites located in the Downtown CD Zone District. As a Category 2 resource, and with the planned historic rehabilitation of the building, the Roth Building would be eligible as a “sender site” for a 9,592 square foot floor area bonus. In addition, a change in procedure has eliminated the need for the Council to review the Requests for Proposals for the purchase of Transferable Development Rights. Provisions for eligible City-owned buildings to participate in the TDR program are outlined in Chapters 18.18.080 and 18.28.060 of the Palo Alto Municipal Code (PAMC), as shown in (Attachment B). First, the Council must designate by resolution City- owned buildings that are Category 1 or Category 2 on the City’s historic inventory or Category I, II or III on the City’s seismic hazards identification list as eligible to participate as a “sender site” in the TDR program. On March 10, 2010, the Historic Resources Board recommended inclusion of the property in the proposed designation as a Category 2 building and meets the definition of “historic rehabilitation” as set forth in Municipal Code Section 18.18.080, and that the proposed historic rehabilitation plan for the building maintains the building’s identified historic character by conforming to the Secretary of Interior’s Standards for Rehabilitation with respect to preservation of character-defining features and with respect to compatibility and differentiation of the proposed new construction. The Historic Site is located in the Public Facility Zoning District. To promote the preservation and historic and seismic rehabilitation of historic buildings, Palo Alto Municipal Code Chapter 18.18.080 permits transfer of 9,592 square feet of development rights from the Historic Site to an eligible receiver site. As a condition of such transfer, the Historic Sender Site must be developed and maintained in conformance with the Secretary of the Interior's Standards for Rehabilitation and Guidelines for Rehabilitating Historic Buildings. City’s Historic. The City has completed the requirements of Palo Alto Municipal Code Section 18.28.060 and the City’s Director of Planning (the “Director”) has determined that the Historic Sender Site is eligible as a sender site in the Transfer of Development Rights Program site for 4,796 square feet for historic rehabilitation, and 4,796 square feet for seismic rehabilitation. No floor area bonus will be City of Palo Alto Page 4 utilized at the Historic Sender Site. The TDRs from the Roth Building can only be used for floor area bonus at the future eligible receiver site(s). PAHM has focused on moving this project forward by raising funds from private donors, applying for grant from various sources and processing applications for appropriate permits from the City. PAHM has also hired a new executive director to work on new strategies for the development of the Museum, to develop plans for the programming of the Museum and to assist with fund raising efforts to capitalize its construction budget as shown on (Attachment C) for rehabilitation of the Building. At the present time, the projected budget needed to complete the rehabilitation for the Roth Building is $9.1 million. C. Option to Lease Agreement with City of Palo Alto The Option to Lease Agreement between the City and PAHM requires that specific conditions must be met prior to the City signing the Lease. The current Option Agreement with the City will expire on July 1, 2015. PAHM plans to complete its fund raising process before this time in and meet all the other remaining option conditions in order to exercise the Option and enter into a long term lease with the City of Palo Alto. D. Request for Proposal In accordance with the attached Policy & Procedure (Attachment D) and Palo Alto Municipal Code sections 18.28.060 & 18.18.080, staff intends to prepare and release an RFP sometime in the next several months. Upon release of the RFP, and receipt of responses, staff will forward the results of the bidding to the Council with a staff recommendation. The Council may accept the bid, or a bid which in its opinion best serves the public interest, or reject any and all bids. The RFP will include the date proposals are due, the minimum bid price and instructions on how to obtain and submit the bid package. The Information Flyer will explain the TDR program, including both limits and advantages of the development rights offered for sale. The development rights do not have to be assigned to or used on a receiver site at the time of purchase. They may be held for use or resale at a later date. The Proposal Package will contain detailed information on submitting the bid and the offer and agreement to purchase. Major terms of the RFP are: 1. Minimum bid price of $200 per 1,000 square foot lot of floor area bonus. 2. Bidders may bid on one or more lots, and the City reserves the right to accept or reject all or part on multiple lot bids. 3. Sealed written bids, accompanied by a good faith deposit in the amount of 10 percent of the actual bid, but not less than $20,000, will be accepted until 3:00 p.m. on ___(TBD)___, 2015. Bids will be opened on __(TBD)__, but will not be accepted or rejected at that time. 4. Within seven days following notification from the City that a bidder was the qualified high bidder, the bidder is to pay the City the difference between the good faith deposit and 25 percent of the total bid. City of Palo Alto Page 5 5. The City may accept multiple bids if the highest bid does not request the full amount of available floor area bonus. Subsequent bid awards shall also be based the highest monetary bid. Following Council approval, the RFP will be advertised in local newspapers, on the City’s Website and the information flyer will be sent to all persons on the Real Estate Division “Surplus Property Mailing List,” persons owning eligible “receiver sites” in the CD District, local developers and others likely to be interested in the offering. The current real estate market is in a growth phase supporting the release of RFP for the sale of the TDRs. The proceeds from the sale will be deposited in a special fund to be used toward the rehabilitation of the Roth Building. The funds will be eligible for release in increments when PAHM has fulfilled its fund raising goal for the construction phase of the project from other potential sources. If the TDRs do not attract qualified bidders and are not sold at the offered price of $200 per square foot after the initial RFP, Staff will return to the Council for directions. TIMELINE Staff will return to Council in the future with results of the bids received in accordance with the release of the RFP. In the meantime, the Palo Alto Historical Museum will continue its effort for fund raising until it is ready to exercise its option to enter into lease with City for Roth Building. RESOURCE IMPACT Sale of these development rights will eventually result in revenue to be allocated toward the planned rehabilitation work of the Roth Building. The RFP is released with an expectation that the market conditions for these instruments have improved. The minimum bid to be set for the RFP will be set at $200 per square foot. At that price, if sold, the instruments are expected to generate $1,918,400 toward the construction budget for the rehabilitation of the Building. Once the cash for the sale of the instruments are received the City will segregate the funds and accrue interest earnings consistent with the interest earnings of the City’s investment portfolio. POLICY IMPLICATIONS This recommendation is consistent with existing City policy. ENVIRONMENTAL REVIEW Designation of the Roth Building site as an eligible TDR “sender” site is Categorically Exempt from California Environmental Quality Act (CEQA) review under CEQA guidelines section 15305, Minor Alterations in Land Use Limitation. The rehabilitation project is Categorically Exempt from CEQA review pursuant to CEQA guidelines section 15331, Historical Resource Restoration/Rehabilitation, as a project limited to maintenance, repair, and rehabilitation in accordance with the secretary of interior standards for historic preservation. Attachments: City of Palo Alto Page 6  Attachment A: Resolution of the Council of the City of Palo Alto Designating 300 Homer Street, known as the Roth Building, to be Eligible as a “Sender Site” in the Transfer of Development Rights progr (DOC)  Attachment B: Palo Alto Municipal Code for TDRs (PDF)  Attachment C. PAHM Constrcution Phase Budget Roth (PDF)  Attachment C: PAHM Construction Phase Budget for the ROTH Building (PDF)  Attachment D: Procedure For Sale/Transfer Of Development Rights For City-owned Property (PDF) Attachment A Page 1 of 2 Resolution No. ________ Resolution of the Council of the City of Palo Alto to Designating 300 Homer Street, Known as the Roth Building, to be Eligible as a “Sender Site in the Transfer of Development Rights Program R E C I T A L S A. Chapter 18.28.060(d) of the Palo Alto Municipal Code (PAMC) provides for the Council to designate one or more city-owned buildings that are Category 1 or Category 2 on the city’s historic inventory and/or Category I, II, III on the city’s seismic hazards identification list as eligible to participate as “sender sites” in the Transfer of Development Rights program as provided in Chapter 18.18 of the Zoning Code. As a Category 2 resource, and with the planned historic rehabilitation of the building, the Roth Building would be eligible as a “sender site” for a 9,592 square foot floor area bonus. B. The Roth Building located at 300 Homer Street in Palo Alto, is designated as a Category II historic building on the City of Palo Alto Historic Inventory. C. The Palo Alto Historic Resources Board (HRB) review and recommendation on March 10, 201 included the Property as in the proposed designation as a category 2 building. The Roth Building meets the definition of “historic rehabilitation” as set forth in the Municipal Code Section 18.18.080, and the proposed historic rehabilitation of the building maintains the building’s identified historic character by conforming to the Secretary of Interior’s Standards for rehabilitation with respect to preservation of the character- defining features and with respect with compatibility and differentiation of the proposed new construction. D. On March 21, 2011, in compliance with conditions of the Option Agreement and the Palo Alto Municipal Code (PAMC) Section 18, development plans for the Museum’s proposed project were conditionally approved for Architectural Review, Minor Exceptions, and a Conditional Use Permit (CUP). NOW, THEREFORE, the Council of the City of Palo Alto RESOLVES as follows: SECTION 1. The Roth Building located at 300 Homer, Street, shown on the attached Exhibit A, is hereby designated as a “sender site” in the Transfer of Development Rights program. Attachment A Page 2 of 2 SECTION 2. The Council Finds that the Roth Building rehabilitation project is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines section 15331 (Historical Resource Restoration/Rehabilitation) as a project involving maintenance, repair and rehabilitation that will be completed in accordance with the Secretary of Interior’s Standards for Historic Preservation. INTRODUCED AND PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: __________________________ _____________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: __________________________ _____________________________ Senior Assistant City Attorney City Manager _____________________________ Director of Planning & Community Services _____________________________ Director of Administrative Services Attachment B 18.18.080 Transfer of Development Rights (a) Purpose The purpose of this section is to implement the Comprehensive Plan by encouraging seismic rehabilitation of buildings in Seismic Categories I, II, and III, and encouraging historic rehabilitation of buildings or sites in Historic Category 1 and 2, and by establishing standards and procedures for the transfer of specified development rights from such sites to other eligible sites. Except as provided in subsection (e)(1) and for city-owned properties as provided in Chapter 18.28, this section is applicable only to properties located in the CD district, and is the exclusive procedure for transfer of development rights for properties so zoned. (b) Establishment of Forms The city may from time to time establish application forms, submittal requirements, fees and such other requirements and guidelines as will aid in the efficient implementation of this chapter. (c) Eligibility for Transfer of Development Rights Transferable development rights may be transferred to an eligible receiver site upon: (1) Certification by the city pursuant to Section 18.18.070 of the floor area from the sender site which is eligible for transfer; and (2) Compliance with the transfer procedures set forth in subsection (h). (d) Availability of Receiver Sites The city does not guarantee that at all times in the future there will be sufficient eligible receiver sites to receive such transferable development rights. (e) Eligible Receiver Sites A site is eligible to be a receiver site only if it meets all of the following criteria: (1) It is located in the CD commercial downtown district, or is located in a planned community (PC) district if the property was formerly located in the CD commercial downtown district and the ordinance rezoning the property to planned community (PC) approves the use of transferable development rights on the site. (2) It is neither an historic site, nor a site containing a historic structure, as those terms are defined in Section16.49.020(e) of Chapter 16.49 of this code; and (3) The site is either: (A) Located at least 150 feet from any property zoned for residential use, not including property in planned community zones or in commercial zones within the downtown boundaries where mixed use projects are. 1 of 5 Attachment B (B) Separated from residentially zoned property by a city street with a width of at least 50 feet, and separated from residentially zoned property by an intervening property zoned CD-C, CD-S, or CD-N, which intervening property has a width of not less than 50 feet. (f) Limitations On Usage of Transferable Development Rights No otherwise eligible receiver site shall be allowed to utilize transferable development rights under this chapter to the extent such transfer would: (1) Be outside the boundaries of the downtown parking assessment district, result in a maximum floor area ratio of 0.5 to 1 above what exists or would otherwise be permitted for that site under Section 18.18.060, whichever is greater, or result in total additional floor area of more than 10,000 square feet. (2) Be within the boundaries of the downtown parking assessment district, result in a maximum floor area ratio of 1.0 to 1 above what exists, or would otherwise be permitted for that site under Section 18.18.060, whichever is greater, or result in total additional floor area of more than 10,000 square feet. (3) Cause the development limitation or project size limitation set forth in Section 18.18.040 to be exceeded. (4) Cause the site to exceed 3.0 to 1 FAR in the CD-C subdistrict or 2.0 to 1 FAR in the CD-S or CD-N subdistricts. (g) Parking Requirements Any square footage allowed to be transferred to a receiver site pursuant to this chapter shall be subject to the parking regulations applicable to the district in which the receiver site is located. (h) Transfer Procedure Transferable development rights may be transferred from a sender site (or sites) to a receiver site only in accordance with all of the following requirements: (1) An application pursuant to Chapter 16.48 of this code for major ARB review of the project proposed for the receiver site must be filed. The application shall include: (A) A statement that the applicant intends to use transferable development rights for the project; (B) Identification of the sender site(s) and the amount of TDRs proposed to be transferred; and (C) Evidence that the applicant owns the transferable development rights or a signed statement from any other owner(s) of the TDRs that the specified amount of floor area is available for the proposed project and will be assigned for its use. (2) The application shall not be deemed complete unless and until the city determines that the TDRs proposed to be used for the project are available for that purpose. 2 of 5 Attachment B (3) In reviewing a project proposed for a receiver site pursuant to this section, the architectural review board shall review the project in accordance with Section 16.48.120 of this code; however, the project may not be required to be modified for the sole purpose of reducing square footage unless necessary in order to satisfy the criteria for approval underChapter 16.48 or any specific requirement of the municipal code. (4) Following ARB approval of the project on the receiver site, and prior to issuance of building permits, the director of planning and community environment or the director’s designee shall issue written confirmation of the transfer, which identifies both the sender and receiver sites and the amount of TDRs which have been transferred. This confirmation shall be recorded in the office of the county recorder prior to the issuance of building permits and shall include the written consent or assignment by the owner(s) of the TDRs where such owner(s) are other than the applicant. (i) Purchase or Conveyance of TDRs - Documentation (1) Transferable development rights may be sold or otherwise conveyed by their owner(s) to another party. However, no such sale or conveyance shall be effective unless evidenced by a recorded document, signed by the transferor and transferee and in a form designed to run with the land and satisfactory to the city attorney. The document shall clearly identify the sender site and the amount of floor area transferred and shall also be filed with the department of planning and community environment. (2) Where transfer of TDRs is made directly to a receiver site, the recorded confirmation of transfer described in subsection (h)(4) shall satisfy the requirements of this section. (Ord. 5214 § 3, 2013: Ord. 4923 § 4 (part), 2006) 18.28.060 Additional PF District Design Requirements The following additional regulations shall apply in the PF district: (a) Recycling Storage All new development, including approved modifications that add thirty percent or more floor area to existing uses, shall provide adequate and accessible interior areas or exterior enclosures for the storage of recyclable materials in appropriate containers. The design, construction and accessibility of recycling areas and enclosures shall be subject to approval by the architectural review board, in accordance with design guidelines adopted by that board and approved by the city council pursuant to Section 16.48.070.* * Editor’s Note: Chapter 16.48, Architectural Review, was repealed in its entirety by Ordinance No. 4826, § 21, 2004. (b) Employee Shower Facilities Employee shower facilities shall be provided for any new building constructed or for any addition to or enlargement of any existing building as specified in Table 3. 3 of 5 Attachment B Table 3* Employee Showers Required Uses Gross Floor Area of New Construction(ft2) Showers Required All government or special district facilities designed for employee occupancy, colleges and universities, private educational facilities, business and trade schools and similar uses 0-9,999 No requirement 10,000- 19,999 1 20,000- 49,999 2 50,000 and up 4 * Editor’s Note: Ordinance 5062 § 2, 2009, added a new Table 3 to § 18.28.050, thereby duplicating the numbering of this table. Future legislation will eliminate the redundancy when necessary. (c) Landscaping of Yards (1) All required interior yards (setbacks) abutting or opposite a residential district shall be planted and maintained as a landscaped screen. (2) For sites abutting a residential district, a solid wall or fence between 5 and 8 ft in height shall be shall be constructed and maintained along the common site line. (d) Transfer of Development Rights* (1) The city council by resolution may, from time to time, designate one or more city- owned buildings that are Category 1 or Category 2 on the city's historic inventory and/or Category I, II, or III on the city's seismic hazards identification list as eligible to participate as “sender sites” in the Transfer of Development Rights program as provided inChapter 18.18. (2) Before any transferable development rights are offered for sale, the city manager shall establish, in writing, a public process using the city's formal bidding procedures to sell bonus floor area development rights from any sites so designated by the city council. (3) Before formally soliciting the participation of other organizations or agencies in the rehabilitation of a city-owned historic building, the city should have a historic structures report prepared by a qualified expert in accordance with the standards and guidelines of the California State Office of Historic Preservation. (4) Before concluding a sale of transferable development rights for any city building, the city shall comply with Section 18.18.080. (5) The city manager shall establish and maintain a special fund into which all proceeds of the sale of transferable rights, and any interest thereon, shall be deposited. Upon receipt and 4 of 5 Attachment B entry into the accounting records for the fund such monies shall be considered committed to the rehabilitation of the city-owned building from which the development rights were sold, or to the rehabilitation of other city-owned buildings in the Historic Category 1 or 2 or Seismic Hazard Categories I, II, or III. (Ord. 5062 § 3, 2009: Ord. 4964 §§ 4 (part), 16, 2007) * Editor’s Note: Subsection (d) derives from former Section 18.32.090, as adopted by of Ordinance 4862, § 2, 2005. 5 of 5 Page 1 of 2 Attachment “C” Palo Alto History Museum Phase One Roth Building Rehabilitation 1) Roth Building Rehabilitation Total (including architecture and fees) $9.1M 2) Capital Expenditures To-Date $0.6M 3) Funding Sources TDR (projected to sell at $200.00 Per SQF) 1.9M Library Impact Fee (Archives) 0.3M Gifts in Hand 0.4M Pledges in Hand 2.5M Total Available Funding $5.1M Total Capital Needed $3.4 M 1 of 1 POLICY AND PROCEDURES 1-46/ASD Effective: September 2005 PROCEDURE FOR SALE/TRANSFER OF DEVELOPMENT RIGHTS FOR CITY-OWNED PROPERTY POLICY STATEMENT It is the policy of the City of Palo Alto that the disposal of City property and assets, including the transfer of certified development rights, be accomplished through a public bid process. To assure the highest return for sale of its assets, the process involves an appraisal of fair market value and an open and competitive bid process. The City Council may reject any or all bids and accept that bid which will, in its opinion, best serve the public interest. PROCEDURE 1. Following designation of a city-owned site as an eligible “sender site,” and determination of a floor area bonus in accordance with Palo Alto Municipal Code Chapters 18.49 and 18.87, the Real Property Manager shall appraise (or have appraised) the value of the rights to be sold to determine a minimum bid. 2. The Real Estate Division shall prepare a Request for Proposals (RFP) to be placed on the Council Consent Calendar for approval. The RFP shall specify whether overbids shall be accepted. 3. Upon approval by the Council: 1) An ad shall be placed in the Real Estate section of the local newspapers. 2) Flyers advising of the offering shall be sent to all persons on the Real Estate Division “Surplus Property Mailing List,” persons owning eligible “receiver sites,” local developers and others likely to be interested in the offering. 4. The bid opening shall be scheduled by the Real Property Manager and the Purchasing Manager. At the bid opening the Purchasing Division shall: 1) Open Sealed bids 2) If specified in the RFP, accept oral bidding beginning at 5% above the highest written bid. 5. The Real Estate Division shall forward the results of the bidding to the Council with a staff recommendation. The Council may reject any or all bids and accept that bid which will, in its opinion, best serve the public interest. NOTE: Questions and/or clarifications of this policy should be directed to the Administrative Services Department. Page 1 of 1 City of Palo Alto (ID # 5521) City Council Staff Report Report Type: Consent Calendar Meeting Date: 3/2/2015 City of Palo Alto Page 1 Summary Title: Utilities Legislative Guidelines Title: Utilities Advisory Commission Recommendation that the City Council Adopt a Resolution Approving the City of Palo Alto Utilities Policy Guidelines From: City Manager Lead Department: Utilities Recommendation Staff and the Utilities Advisory Commission (UAC) recommend that the City Council adopt the attached resolution (Attachment A) approving the Utilities Legislative Policy Guidelines. Executive Summary The Utilities Legislative Policy Guidelines (Exhibit A in Attachment A) have been updated from the 2014 guidelines to respond to recent legislative and regulatory trends to: 1) provide direction to staff in evaluating and responding to legislative action involving Utilities issues, and 2) clarify approved policy and advocacy direction when active involvement of Palo Alto elected officials is required. At its December 10, 2014 meeting, the UAC reviewed and voted unanimously to recommend that Council approve the guidelines. The guidelines are grouped in six sections: the first addressing legislative policy guidelines that are common to all utilities (electric, fiber optics, gas, wastewater collection, and water), and the following five sections addressing those guidelines that are specific to electric, fiber optics, gas, wastewater collection, and water. This is the first year there is a section for fiber optics, largely in response to an increasing advocacy need from the City. Each section includes a set of goals for the utility and guidelines for Palo Alto staff and elected officials when taking action to achieve the goals. Background The utility industry is a high-profile and heavily regulated industry that is subject to continuous legislative action at both the state and federal levels. Such legislation can influence, among other things, the reliability and security of the supply and distribution infrastructure, commodity procurement practices, customer service and billing, program design, rate design, and activities and costs associated with climate protection. Representatives of the City (appointed and elected officials and staff) participate in Federal and State legislative forums to City of Palo Alto Page 2 advocate positions on issues that facilitate the City’s current strategic objectives, as adopted in the Utilities Strategic Plan: ensuring a reliable and safe supply of utility resources, providing customer service excellence, managing costs, and ensuring environmental sustainability. The City also participates in joint action efforts to advocate for goals and objectives shared by other publicly-owned utilities. At the state level, hundreds of bills focused on the utility industry can be introduced each year. The number of bills introduced, the pace at which bills change and new language is negotiated, and the often surprising speed at which bills can be placed for a vote during the legislative year requires staff and elected officials to respond quickly if the City is to have any influence on the resulting legislation. Often, a response to an amended bill is required in a matter of a day or two. These timing constraints preclude a return to the UAC and Council for approval each time a response is required. Therefore, a set of policy guidelines is developed each year that identifies the goals and priorities for the City to be applied by staff when evaluating and responding to legislation. While the guidelines are used by staff for evaluating legislation, any advocacy positions taken in alignment with these guidelines will be subject to the approval of the Utilities Director or City Manager per the City’s legislative advocacy process. Although it is impractical to return for approval each time a letter is sent in response to a bill amendment, the issues under debate are known to the UAC and Council through their participation in legislative committee meetings, and updates from the City Manager, the Utilities Director and City staff. Formal letters responding to legislative bills or amendments will be distributed to the UAC and Council. Discussion The proposed Utilities Legislative Policy Guidelines have been updated to respond to recent legislative and regulatory trends. Attachment B highlights the changes from the 2014 guidelines and Attachment C provides a summary of legislative action from 2014. Although there were minimal new state regulations introduced in 2014 for publicly-owned utilities, such as the City of Palo Alto Utilities (CPAU), 2015 could see renewed attempts to increase net energy metering caps, adjust the renewable portfolio standard, change greenhouse gas regulations, introduce more drought related changes, and modify urban water management plan requirements. At the Federal level there may be continuing activity to increase cyber security requirements, drought legislation, budget/tax reform, EPA emissions regulations, and ongoing activities relating to the City’s federal hydropower allocation from the Western Area Power Administration (Western). Staff returns to the Council every year with an update to the guidelines, and previously has labelled the guidelines by calendar year. Due to UAC and City Council meeting timing and the compressed November and December schedules for legislative policy and strategy sessions (with the Northern California Power Agency and the California Municipal Utilities Association, staff proposes to remove the calendar year designation. This will resolve the issue when there may be a lag between the end of the calendar year and final approval of the new guidelines, such that staff has no officially approved guidelines in effect for a period of up to a month or City of Palo Alto Page 3 more. Staff proposes that the guidelines, if adopted by Council, remain in effect until the next update is adopted. Staff will continue to return to Council annually for a review of, and any appropriate updates to, the guidelines. In addition to non-substantive editorial changes, the major revisions to the legislative guidelines were the addition of the following new Goals and Guidelines: 1. All Utilities A new global guideline was added regarding notification, compliance, and reporting requirements for services, communications, billing and payments. The purpose of this new guideline is to ensure the City has the flexibility to balance information and reporting with cost and other constraints. 2. Electric Utility Changes Under Guideline #3, staff proposes a new objective supporting the establishment of equitable rate design and tariffs with respect to local distributed generation. A new objective supporting the consolidation of renewable standards and greenhouse gas requirements under one clean energy standard was added to Guideline #5. Under Guideline #7, staff proposes adding a new objective addressing the need for an equitable distribution of costs between water and power customers of the Central Valley Project. Finally, under Guideline #10, staff proposes adding a new objective addressing the need to critically review new transmission projects in light of continuing transmission cost increases. 3. Fiber Optic Utility This is the first year staff has developed formal goals and guidelines for the fiber optic utility. Goal #1 is to preserve and enhance the local ability to develop broadband solutions that expand consumer choice. Goal #2 is to encourage the use of public rights of way and Utilities infrastructure, provided local authority is maintained and the City’s existing service and safety obligations are not compromised. Goal #3 is to maintain local control over zoning related land use for communications. Finally, Goal #4 is to support legislation that allows the use of the City’s fiber optic asset to support City policies surrounding technology and connectivity. 4. Gas Utility Changes Under Guideline #3, staff proposes modifying the objective to change the focus from supporting production incentives for renewable gas supplies to supporting cost-effective renewable gas supplies. 5. Wastewater Utility The proposed changes to the wastewater utility goals and guidelines are primarily “clean up” type changes and do not represent any new or major changes. Goal #3 was modified to maintain a reliable and sustainable wastewater collection system at a fair price. Under Guideline #2, the objective was modified to better align the guideline with local efforts to City of Palo Alto Page 4 maintain the wastewater collection system at a fair price while recognizing the uniqueness of each local system. 6. Water Utility Changes For the water utility there are two substantive changes. New Guideline #13 is to support responsible groundwater management while recognizing existing and historical groundwater extraction practices. New Guideline #14 supports Proposition 218 reform efforts to balance different objectives. Commission Review and Recommendation The Utilities Legislative Policy Guidelines for 2014 were presented to the UAC at its December 10, 2014 meeting. Due to a self-identified conflict of interest stated by Commissioner Hall, the recommendation was split into two items to allow the Commissioner to participate in the discussion regarding all the utilities except the water utility. Agenda Item 5 recommended approval of the guidelines for all utilities except the water utility, and Item 6 recommended approval of the water utility guidelines. The UAC had a few clarifying questions on the new guidelines. Staff made two minor changes to the water guidelines to clarify that groundwater related efforts will focus on the Palo Alto area and that support for ‘beneficiary pays’ cost allocation for infrastructure improvements should be on the state and regional level. Item 5 was approved 6-0 with Commissioner Chang absent. Item 6 was approved 5-0 with Commissioner Chang absent and Commissioner Hall recused. Draft minutes from the UAC meeting are included as Attachment D. Resource Impact There is no direct resource impact associated with adoption of the proposed legislative policy guidelines. However, actions taken that support the efficient use of the City’s assets and resources will help control costs, implement the Council’s policies and goals, and protect utility customers. Policy Implications The recommendation is consistent with Council policy and supports the Utilities Strategic Plan’s objectives of: ensuring a reliable and safe supply of utility resources, providing customer service excellence, managing costs, and ensuring environmental sustainability. Environmental Review Approval of a resolution adopting the Utilities Legislative Policy Guidelines does not meet the definition of a project pursuant to Section 21065 of the California Environmental Quality Act (CEQA), thus, no environmental review is required. Attachments:  Attachment A: Draft Resolution Legislative Policy Guidelines with Exhibit A - 2015 Legislative Policy Guidelines (PDF)  Attachment B: Draft 2015 Utilities Legislative Policy Guidelines - redline changes from 2014 (PDF) City of Palo Alto Page 5  Attachment C: 2014 Legislative Activity Summary (PDF)  Attachment D: Excerpted Draft UAC Minutes of December 10, 2014 (PDF) *NOT YET APPROVED* 141216 mf 6053123 Resolution No. _____ Resolution of the Council of the City of Palo Alto Approving the City of Palo Alto Utilities Legislative Policy Guidelines R E C I T A L S A. The City of Palo Alto Utilities Strategic Plan (“Strategic Plan”), approved by the Palo Alto City Council on July 18, 2011, (Staff Report #1880), and amended on August 5, 2013, (Staff Report #3950), provides a set of Strategic Objectives for the City of Palo Alto Utilities Department (CPAU) to follow in ensuring a reliable and safe supply of utility resources, providing customer service excellence, managing costs, and ensuring environmental sustainability. B. CPAU annually identifies Utilities’ Legislative Policy Guidelines that facilitate the Strategic Plan’s Strategic Objectives, and advocates for utility-related issues at Federal and State legislative forums in furtherance of those objectives. C. Action on some of these issues may require active involvement of Palo Alto elected and appointed officials. D. The Utilities’ Legislative Policy Guidelines were presented to the UAC at its December 10, 2014 meeting. Due to a self-identified conflict of interest stated by Commissioner Hall, the recommendation was split into two items to allow the Commissioner to participate in the discussion regarding all the utilities except the water utility. Agenda Item 5 recommended approval of the guidelines for all utilities except the water utility, and Item 6 recommended approval of the water utility guidelines. In response to clarifying questions from the UAC, staff made two minor changes to the water guidelines to clarify that groundwater related efforts will focus on the Palo Alto area and that support for ‘beneficiary pays’ cost allocation for infrastructure improvements should be on the state and regional level. The UAC voted unanimously (6-0 with Commissioner Chang absent) to recommend that the City Council approve the Utilities’ Legislative Policy Guidelines for all utilities except the water utility. The UAC voted unanimously (5-0 with Commissioner Chang absent and Hall recused) to recommend that the City Council approve the Water Utility’s Legislative Policy Guidelines. The Council of the City of Palo Alto RESOLVES, as follows: SECTION 1. The Council hereby adopts the resolution approving the Utilities Legislative Policy Guidelines, effective January 1, 2015. All prior versions of the City of Palo Alto Utilities Legislative Policy Guidelines, including the Legislative Policy Guidelines for 2014, adopted by Council on January 12, 2014 (Resolution No. 9388) are hereby repealed and replaced in their entirety by the Utilities Legislative Policy Guidelines, attached to this Resolution as Exhibit A. ATTACHMENT A *NOT YET APPROVED* 141216 mf 6053123 SECTION 2. Staff will review the Guidelines annually and any proposed changes will be approved by City Council. SECTION 3. The Council finds that the adoption of this resolution does not constitute a project under Section 21065 of the California Environmental Quality Act (CEQA) and the CEQA Guidelines, and therefore, no environmental assessment is required. INTRODUCED AND PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: ___________________________ ___________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: ___________________________ ___________________________ Sr. Deputy City Attorney City Manager ___________________________ Director of Utilities ___________________________ Director of Administrative Services Utilities Legislative Policy Guidelines January 2015 Update Page 1 of 15 Exhibit A Approved by City Council on January 10th, 2014; Resolution #--- Utilities’ Legislative Policy Guidelines Formal advocacy positions taken in alignment with these guidelines will be subject to the approval of the Utilities Director or City Manager as per the City’s Legislative Program Manual ALL UTILITIES Goals 1. Preserve/enhance local accountability in the control and oversight of matters impacting utility programs and rates for our customers while balancing statewide climate protection goals. 2. Support efforts to maintain or improve the reliability of the supply, transmission, storage and distribution/collection infrastructures. 3. Support legislation that makes bold progress in cost effectively reducing greenhouse gas (GHG) emissions, and recognizes early voluntary action. 4. Maintain the City of Palo Alto Utilities’ (CPAU’s) ability to provide safe, reliable, sustainable, and competitively-priced utility services. Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability & Infrastructure 3. Climate Protection 4. Service & Cost Control 1. Advocate goals through active participation in joint action efforts. Federal, State, and Regional     2. Support legislation that will result in the most cost-effective reduction of GHG emissions, recognition of early action, and inclusion of more efficient solutions, fuel switching, and demand control programs, in integrated resource plans. Federal, State, and Regional    3. Promote utility legislation and regulations that have undergone stakeholder review and applicable cost benefit analysis to support reasonable reliability standards and compliance requirements, and effective and consistent reporting requirements, Federal, State, and Regional Reliability Councils    Utilities Legislative Policy Guidelines January 2015 Update Page 2 of 15 Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability & Infrastructure 3. Climate Protection 4. Service & Cost Control customer communications, and goal-setting.    4. Oppose cost shifts from Federal or State budgets and California Public Utilities Commission (CPUC) jurisdictional utilities through active participation in CMUA and NCPA legislative activities. Federal, State, and CPUC   5. Advocate for State and Federal grants for local and regional measures regarding energy efficiency, conservation, renewable resources, fiber, fuel switching, wastewater collection systems and recycled water projects. Federal and State    6. Maintain right of way access for utility infrastructure. Federal and State   7. Protect the value of existing assets and contracts and local regulatory approvals of same. Federal and State    8. Maintain existing low cost municipal financing options for infrastructure projects and advocate for new federal and state programs that recognize critical infrastructure needs. Federal and State    9. Promote utility legislation and regulations that support reasonable and consistent notification, compliance, and reporting requirements for services, communications, billing and payments. Federal and State   Utilities Legislative Policy Guidelines January 2015 Update Page 3 of 15 ELECTRIC Goals 1. Preserve/enhance the ability of municipal utilities to exercise local accountability and oversight over matters impacting customer service, programs (such as demand side efficiency and conservation programs), and rate structure. 2. Preserve/enhance the reliability and security of infrastructure. 3. Support legislation that makes bold progress in cost effectively reducing GHG emissions and encourages early voluntary action. 4. Preserve just and reasonable utility rates/bills established by local governing bodies. Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability 3. GHG Reduction 4. Cost Control 1. Advocate goals through Northern California Power Agency (NCPA), California Municipal Utilities Association (CMUA), American Public Power Association (APPA), Transmission Agency of Northern California (TANC), and Bay Area Municipal Transmission Group (BAMx) with support from Palo Alto staff to speak with a coordinated voice. Federal and State     2. Support NCPA in its continued efforts to streamline the state regulatory reporting responsibilities, to eliminate duplicative data and report submittals to multiple state regulatory agencies, including the CEC, CARB, and the California Independent System Operator (CAISO). State   3. Advocate for legislation/regulations that provide local accountability and support for:  cost-effective clean distributed generation and cogeneration projects, and standards and permitting requirements for connecting such resources to the local distribution system;  balancing state and local policy implementation and ratepayer equity;  equitable rate design and tariffs;  cost-effective electric efficiency programs;  implementation of renewable portfolio standards;  cost-effective storage integration;  direct access requirements; Federal and State     Utilities Legislative Policy Guidelines January 2015 Update Page 4 of 15 Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability 3. GHG Reduction 4. Cost Control  smart meters and smart grid design and implementation; and  use of public benefit funds (as allowed in AB 1890 (1996)     4. Support cap-and-trade market designs that:  protect consumers from the exercise of market power;  allocate allowances that help mitigate impacts to Palo Alto customers while providing incentives for utilities to move to lower GHG emission portfolios;  provide flexible compliance mechanisms such as banking and borrowing of allowances; and  allocate funds generated from cap-and- trade markets to GHG related activities, not as a revenue source for state or federal general funds. Federal and State    5. Support legislation for renewable portfolio standards that:  promote the 33% goal for the state;  maintain local compliance authority;  allow utilities to pursue low cost alternatives by utilizing the existing transmission system to access out-of-state resources, including use of Renewable Energy Certificates (RECs);  ensure fair application of RPS standards that avoid punitive and/or duplicative non- compliance penalties;  restrict extension of CEC jurisdiction over Publicly Owned Utilities;  consolidate GHG reduction goals and Renewable Portfolio Standards under one clean energy standard;  allow the counting of local distributed generation towards RPS; and  prioritize the use of the existing transmission system over building new transmission. Local and State    6. Support/encourage transmission, generation, and demand-reduction projects and solutions including advocating for financing or funding Local, State, and Federal     Utilities Legislative Policy Guidelines January 2015 Update Page 5 of 15 Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability 3. GHG Reduction 4. Cost Control solutions/options for projects that:  enhance/ensure reliability;  ensure equitable cost allocation following beneficiary pays principles (including protection against imposition of state- owned electric contract costs on municipal utility customers);  improve procurement flexibility (e.g. resource adequacy rules that ensure reliability and provide flexibility in meeting operational requirements or flexibility in meeting State renewable portfolio standards);  support the continuation of federal and state financial incentives that promote increased renewable development;  improve market transparency (particularly transparency of IOU’s transmission and procurement planning and implementation activities); and  reduce the environmental impact on the Bay Area and the Peninsula.     7. Advocate for Congressional, legislative, or administrative actions on matters impacting costs or operations of the Western Area Power Administration (Western) such as:  support of Congressional Field Hearings to explore modernizing flood control strategies, river regulation and generation strategies at Central Valley Project (CVP) plants to enhance generation, water delivery, flood control and fisheries;  protection of the status of Western Power Marketing Administration and cost-based rates;  provisions for preference customers’ first take at land available with economic potential for wind farms;  balancing efforts for competing environmental improvements in rivers and Delta conditions with water supply and hydropower impacts;  achieving the grid modernization goals of Secretary Chu’s March 16, 2012 memo Federal, State and Regional    Utilities Legislative Policy Guidelines January 2015 Update Page 6 of 15 Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability 3. GHG Reduction 4. Cost Control without compromising the primary mission of Western and recognizing the achievements already made in California without adding duplicate costly efforts;  monitoring and evaluating impacts of Delta conveyance proposals on Western Base Resource allocation; and  advocating for an equitable distribution of costs between water and power customers of the Central Valley Project.    8. Advocate for Congressional, legislative, or administrative actions on matters relating to overly burdensome reporting and compliance requirements established by the North American Reliability Corporation (NERC), the Federal Energy Regulatory Commission (FERC) or the Western Electricity Coordinating Council (WECC). Federal, State and Regional    9. Support fair and reasonable application of grid reliability requirements established by NERC, WECC, or FERC and seek Congressional remedies (if needed) for punitive application of fees and fines. Federal and Regional    10. Work with CAISO or through FERC:  to give buyers of renewable intermittent resources relief from imbalance penalties;  to promote financial and operational changes that result in timely and accurate settlement and billing; and  to provide critical input on the need for various transmission projects in light of the escalating costs to the City to import power using the bulk transmission system. Federal and State    11. Monitor cyber security issues to ensure that CPAU, which currently does not have critical cyber assets, retains local control over its cyber security needs while remaining exempt from NERC cyber security standards. Support NCPA to protect it and its member agencies from unnecessary cyber security regulations. Federal and Regional   Utilities Legislative Policy Guidelines January 2015 Update Page 7 of 15 FIBER OPTIC Goals 1. Preserve and enhance the authority of local government to develop broadband solutions that align with community needs and expand consumer choice for competitive Internet connectivity and other advanced services delivered over fiber-optic networks. 2. Encourage the competitive delivery of broadband services by permitting the use of public rights-of- way and Utilities infrastructure in a responsible manner, provided that local rights of way authority and management is preserved and the use does not compromise the City’s existing utility safety and services obligations. 3. Support local government authority over zoning-related land use for communications infrastructure in accordance with reasonable and non-discriminatory regulations. 4. Support the Council’s Technology and the Connected City initiative to fully leverage the City’s fiber- optic asset. Goals Legislative Policy Guidelines Venue 1. Support Municipal Delivery 2. Competitive Delivery 3. Local Authority over Land Use 4. Support Council Initiatives 1. Advocate for these goals through the American Public Power Association (APPA), California Municipal Utilities Association (CMUA), National Association of Telecommunications Officers and Advisors (NATOA), National League of Cities (NLC), and the Next Century Cities initiative (NCC), with support from City staff. Federal and State     2. Support legislation and regulations that preserve and enhance municipal delivery of conventional and advanced telecommunication services as prescribed by the Telecommunications Act of 1996. Federal and State    3. Support the goals of the National Broadband Plan, issued in 2010 by the Federal Communications Commission (FCC), to improve Internet access in the United States Federal and State    4. Oppose legislation and regulations that benefit the incumbent cable TV and telephone companies at the expense of community-owned fiber-optic and wireless networks. Federal and State    Utilities Legislative Policy Guidelines January 2015 Update Page 8 of 15 Goals Legislative Policy Guidelines Venue 1. Support Municipal Delivery 2. Competitive Delivery 3. Local Authority over Land Use 4. Support Council Initiatives 5. Support legislation and regulations that preserve and enhance consumer protections when dealing with the incumbent providers of telecommunication services. Federal and State    6. Support legislation and regulations that encourage the competitive delivery of broadband services by permitting the use of public right-of- way and Utilities infrastructure:  Support legislation and regulations that preserve local rights-of-way authority and management;  Support legislation and regulations that preserve local government zoning and siting authority for wireless and wireline communication facilities; and  Oppose legislation and regulations that reduce compensation received by local governments for the use of the public rights-of-way and other public properties that support communication infrastructure (e.g., utility poles, streetlight poles, ducts and conduits). Federal, State and Local     Utilities Legislative Policy Guidelines January 2015 Update Page 9 of 15 NATURAL GAS Goals 1. Preserve/enhance the ability of municipal utilities to develop their own demand side efficiency and conservation programs, alternative gas supplies, and rate structure. 2. Increase the security and reliability of the gas supply and transmission infrastructure. This includes retaining access to intra- and interstate gas transmission systems to reliably serve customers. 3. Support efforts to reduce greenhouse gas emissions and protect the environment. 4. Preserve just and reasonable utility rates/bills established by local governing bodies. Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability of Infrastructure 3. Environ- ment 4. Cost Control 1. Advocate most of these goals mainly through the American Public Gas Association (APGA) with minor support from Palo Alto staff. Primarily Federal with minor advocacy at State level     2. Work with Northern California Power Agency (NCPA) and California Municipal Utilities Association (CMUA) to the extent that the City’s goals as a gas distributor align with generators’ use of natural gas. Federal and State     3. Support cost effective renewable gas supplies from in or out of state sources. Federal and State     4. Advocate for financing or funding for cost-effective natural gas efficiency and solar water heating end uses. Federal and State     5. Support market transparency and efforts to eliminate market manipulation through reasonable oversight. Federal  6. Support municipal utilities’ ability to enter into pre-pay transactions for gas supplies. Federal  7. Support efforts to improve pipeline safety. Federal and State    Utilities Legislative Policy Guidelines January 2015 Update Page 10 of 15 Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability of Infrastructure 3. Environ- ment 4. Cost Control 8. Work with partners to discourage extension of CPUC regulatory authority over municipal gas operations. State    9. Oppose legislative proposals resulting in unreasonable costs for Palo Alto’s customers. Federal and State    10. Support cap-and-trade market designs that:  protect consumers from the exercise of market power;  allocate allowances that help mitigate impacts to Palo Alto customers while providing incentives for natural gas utilities to move to lower GHG emission portfolios;  advocate for an allowance allocation methodology that provides flexibility for Palo Alto to structure rates to align GHG costs and revenues;  provide flexible compliance mechanisms such as banking and borrowing of allowances; and  allocate funds generated from cap-and-trade markets to GHG related activities, not as a revenue source for state or federal general funds. Federal and State    11. Support legislation that aims to protect public health and encourages transparency regarding the practice of hydraulic fracturing or “fracking” for natural gas development, but not blanket moratoriums that aren’t supported by science. Federal and State   Utilities Legislative Policy Guidelines January 2015 Update Page 11 of 15 WASTEWATER COLLECTIO N Goals 1. Support ability of municipal utilities to develop and manage their own conservation and efficiency programs and retain authority over ratemaking, including the imposition of non-volumetric customer meter or infrastructure charges for wastewater collection service. 2. Increase the reliability of the local wastewater collection systems. 3. Maintain the provision of reliable and sustainable wastewater collection service at a fair price. 4. Support equal comparisons of wastewater collection systems by regulatory agencies in order to minimize and reduce onerous, costly and time-intensive reporting requirements and improve value and accuracy of information reported to the public. Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliable Infrastructure 3. Maintain service 4. Valuable reporting 1. Advocate goals through active participation in the Association of Bay Area Governments (ABAG). Local, Regional & State     2. Support future regulations of wastewater collection systems that recognize:  local jurisdictions’ proactive efforts to replace and maintain wastewater collections systems;  the need to provide affordable and cost based collection service; and  the unique characteristics of each collection system. Local, Regional & State    3. Support provision of sufficient resources for regional agencies to enable them to advocate for:  environmentally sustainable, reliable wastewater collection service at a fair price; and  regional comparisons of wastewater collection projects for future state grant funding. Local and Regional    Utilities Legislative Policy Guidelines January 2015 Update Page 12 of 15 Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliable Infrastructure 3. Maintain service 4. Valuable reporting 4. Support infrastructure security and reliability including equitable allocation of funds for increasing the security of infrastructure. Regional, and State  5. Advocate for funding and local regulations for wastewater collections system projects and requirements that reduce overflows and improve collection system efficiency. Regional, State and Federal   Utilities Legislative Policy Guidelines January 2015 Update Page 13 of 15 WATE R Goals 1. Support ability of municipal utilities to develop and manage their own conservation and efficiency programs and retain authority over ratemaking, including the ability to optimize volumetric and fixed charges to balance the goals of revenue certainty and water use efficiency. 2. Increase the security and reliability of the regional water system owned and operated by the San Francisco Public Utilities Commission (SFPUC). 3. Support efficiency and recycled water programs in order to minimize the use of imported supplies. 4. Maintain the provision of an environmentally sustainable, reliable supply of high quality water at a fair price. Goals Legislative Policy Guidelines Venue 1. Local Authority 2. Reliable Infrastructure 3. Minimize imports 4. Supplies at fair cost 1. Advocate goals through active participation in the Bay Area Water Supply and Conservation Agency (BAWSCA) and California Municipal Utilities Association (CMUA), with support from Palo Alto staff for BAWSCA Local, Regional and State     2. Participate in California Urban Water Conservation Council (CUWCC) Best Management Practice (BMP) revisions and development to ensure that aggressive and cost-effective efficiency goals are incorporated and operating proposals are reasonable, achievable, and cost-effective. State     3. Advocate to ensure that legislative actions regarding the Hetch Hetchy Regional Water System include the following requirements:  timely rebuilding of the regional water system;  maintains the quality of delivered water;  minimizes any increase in the cost of water;  creates no additional exposure to more frequent or severe water shortages;  supports the existing water system and its operation. Local, Regional and State   Utilities Legislative Policy Guidelines January 2015 Update Page 14 of 15 Goals Legislative Policy Guidelines Venue 1. Local Authority 2. Reliable Infrastructure 3. Minimize imports 4. Supplies at fair cost 4. Advocate for interpretations or implementation of Water Code provisions (such as those enacted by AB 1823 (2002), AB 2058 (2002) and SB 1870 (2002)) that maintain or reinforce the authorities and protections available to the City and BAWSCA members outside of San Francisco. Local, Regional and State    5. Support provision of sufficient resources for BAWSCA to enable it to advocate for:  an environmentally sustainable, reliable supply of high quality water at a fair price;  a SFPUC rate structure that is consistent with the Water Supply Agreement and is based on water usage;  a contract amendment to modify the drought time water allocation between the SFPUC and the BAWSCA agencies;  preservation of Palo Alto’s existing contractual water allocation and transportation rights on the SFPUC Hetch Hetchy system; and  regional planning for conservation, recycled water, and other water supply projects. Local and Regional     6. Advocate for actions that:  preserve Palo Alto’s existing contractual rights; and  preserve local control over water use and limit encroachment from outside jurisdictions. Local and Regional   7. Support infrastructure security and reliability including an interconnection between the SCVWD West Pipeline with the SFPUC’s Bay Division Pipelines 3 and 4. Regional and State  8. Support notification requirements that inform residents/customers but do not inflict undue or unobtainable requirements on the utility. State   Utilities Legislative Policy Guidelines January 2015 Update Page 15 of 15 Goals Legislative Policy Guidelines Venue 1. Local Authority 2. Reliable Infrastructure 3. Minimize imports 4. Supplies at fair cost 9. Support local control of public benefit funds funding levels and program design. State   10. Support beneficiary pays methodologies to prevent taxes or fees, in particular those imposed on SFPUC customers, to fund infrastructure improvements and costs of other water sources such as the Delta. State and Regional    11. Advocate for financing or funding for water conservation programs and recycled water projects that meet end-use needs and conserve potable water and oppose legislation that would reduce such funding. State, Regional and Federal     12. Support infrastructure security and reliability that includes equitable allocation of funds for increasing the security of infrastructure and that protects the City from unnecessary regulations. Local, State and Federal    13. Support legislation that promotes responsible groundwater management while recognizing Palo Alto’s existing and historical groundwater extraction practices. State     14. Support Proposition 218 reform efforts to provide ratemaking flexibility to balance conservation, revenue sustainability, and low income programs. State    ATTACHMENT B Approved by City Council on January 10th, 2014; Resolution #--- Utilities’ Legislative Policy Guidelines Formal advocacy positions taken in alignment with these guidelines will be subject to the approval of the Utilities Director or City Manager as per the City’s Legislative Program Manual ALL UTILITIES Goals 1. Preserve/enhance local accountability in the control and oversight of matters impacting utility programs and rates for our customers while balancing statewide climate protection goals. 2. Support efforts to maintain or improve the reliability of the supply, transmission, storage and distribution/collection infrastructures. 3. Support legislation that makes bold progress in cost effectively reducing greenhouse gas (GHG) emissions, and recognizes early voluntary action. 4. Maintain the City of Palo Alto Utilities’ (CPAU’s) ability to provide safe, reliable, sustainable, and competitively-priced utility services. Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability & Infrastructure 3. Climate Protection 4. Service & Cost Control 1. Advocate goals through active participation in joint action efforts. Federal, State, and Regional     2. Communicate the City’s record on environmental and energy efficiency programs with Legislature, California Energy Commission (CEC), California Air Resources Board (CARB), and Natural Resources Defense Council (NRDC) via California Municipal Utilities Association (CMUA), Northern California Power Agency (NCPA), and the Bay Area Water Supply and Conservation Agency (BAWSCA). State    3.2. Support legislation that will Federal,    Utilities Legislative Policy Guidelines January 2015 Update Page 2 of 17 Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability & Infrastructure 3. Climate Protection 4. Service & Cost Control result in the most cost-effective reduction of GHG emissions, recognition of early action, and inclusion of more efficient solutions, fuel switching, and demand control programs, in integrated resource plans. State, and Regional 4.3. Promote utility legislation and regulations that have undergone stakeholder review and applicable cost benefit analysis to support reasonable reliability standards and compliance requirements, and effective and consistent reporting requirements, customer communications, and goal-setting. Federal, State, and Regional Reliability Councils    5.4. Oppose cost shifts from Federal or State budgets and California Public Utilities Commission (CPUC) jurisdictional utilities through active participation in CMUA and NCPA legislative activities. Federal, State, and CPUC   6.5. Advocate for State and Federal grants for local and regional applications measures regarding of energy efficiency, conservation, renewable resources, fiber, fuel switching, wastewater collection systems and recycled water projects. Federal and State    7.6. Maintain right of way access for utility infrastructure. Federal and State   8.7. Protect the value of existing assets and contracts and local regulatory approvals of same. Federal and State    9.8. Maintain existing low cost Federal    Utilities Legislative Policy Guidelines January 2015 Update Page 3 of 17 Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability & Infrastructure 3. Climate Protection 4. Service & Cost Control municipal financing options for infrastructure projects and advocate for new federal and state programs that recognize critical infrastructure needs. and State 10.9. Promote utility legislation and regulations that support reasonable and consistent notification, compliance, and reporting requirements for services, communications, billing and payments. Federal and State   Utilities Legislative Policy Guidelines January 2015 Update Page 4 of 17 ELECTRIC Goals 1. Preserve/enhance the ability of municipal utilities to exercise local accountability and oversight over matters impacting customer service, programs (such as demand side efficiency and conservation programs), and rate structure. 2. Preserve/enhance the reliability and security of infrastructure. 3. Support legislation that makes bold progress in cost effectively reducing GHG emissions and encourages early voluntary action. 4. Preserve just and reasonable utility rates/bills established by local governing bodies. Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability 3. GHG Reduction 4. Cost Control 1. Advocate goals through Northern California Power Agency (NCPA), California Municipal Utilities Association (CMUA), American Public Power Association (APPA), Transmission Agency of Northern California (TANC), and Bay Area Municipal Transmission Group (BAMx) with support from Palo Alto staff to speak with a coordinated voice. Federal and State     2. Support NCPA in its continued efforts to streamline the state regulatory reporting responsibilities, to eliminate duplicative data and report submittals to multiple state regulatory agencies, including the CEC, CARB, and the California Independent System Operator (CAISO). State   3. Advocate for legislation/regulations that provide local accountabilitycontrol and support for:  cost-effective clean distributed generation and cogeneration projects, and standards and permitting requirements for connecting such resources to the local distribution system;  balancing state and local policy implementation and ratepayer equity;  equitable rate design and tariffs;  cost-effective electric efficiency programs;  implementation of renewable portfolio standards;  cost-effective storage integration;  direct access requirements;  smart meters and smart grid design and Federal and State     Utilities Legislative Policy Guidelines January 2015 Update Page 5 of 17 Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability 3. GHG Reduction 4. Cost Control implementation, ; and  use of public benefit funds (as allowed in AB 1890 (1996)). 4. Support cap-and-trade market designs that:  protect consumers from the exercise of market power;  allocate allowances that help mitigate impacts to Palo Alto customers while providing incentives for utilities to move to lower GHG emission portfolios;  provide flexible compliance mechanisms such as banking and borrowing of allowances; and  allocate funds generated from cap-and-trade markets to GHG related activities, not as a revenue source for state or federal general funds. Federal and State    5. Support legislation for renewable portfolio standards that:  promote the 33% goal for the state;  maintain local compliance authority;  allow utilities to pursue low cost alternatives by utilizing the existing transmission system to access out-of-state resources, including use of Renewable Energy Certificates (RECs);  ensure fair application of RPS standards that avoid punitive and/or duplicative non- compliance penaltiesprevent double jeopardy in the assessment of penalties for non-compliance; and  restrict extension of CEC jurisdiction over Publicly Owned Utilities;.  consolidate GHG reduction goals and Renewable Portfolio Standards under one clean energy standard;  allows the counting of local distributed generation towards RPS; and  prioritize the use of the existing transmission system over building new transmission. Local and State    6. Support/encourage transmission, generation, and demand-reduction projects and solutions including advocating for financing or funding solutions/options for projects that: Local, State, and Federal     Utilities Legislative Policy Guidelines January 2015 Update Page 6 of 17 Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability 3. GHG Reduction 4. Cost Control  enhance/ensure reliability;  ensure equitable cost allocation following beneficiary pays principles (including protection against imposition of state-owned electric contract costs on municipal utility customers);  improve procurement flexibility (e.g. resource adequacy rules that ensure reliability and provide flexibility in meeting operational requirements or flexibility in meeting State renewable portfolio standards);  support the continuation of federal and state financial incentives that promote increased renewable development;  improve market transparency (particularly transparency of IOU’s transmission and procurement planning and implementation activities); and  reduce the environmental impact on the Bay Area and the Peninsula. 7. Advocate for Congressional, legislative, or administrative actions on matters impacting costs or operations of the Western Area Power Administration (Western) such as:  support of Congressional Field Hearings to explore modernizing flood control strategies, river regulation and generation strategies at Central Valley Project (CVP) plants to enhance generation, water delivery, flood control and fisheries;  protection of the status of Western Power Marketing Administration and cost-based rates;  provisions for preference customers’ first take at land available with economic potential for wind farms;  balancing efforts for competing environmental improvements in rivers and Delta conditions with water supply and hydropower impacts;  achieving the grid modernization goals of Secretary Chu’s March 16, 2012 memo without compromising the primary mission of Western and recognizing the achievements Federal, State and Regional    Utilities Legislative Policy Guidelines January 2015 Update Page 7 of 17 Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability 3. GHG Reduction 4. Cost Control already made in California without adding duplicate costly efforts; and  monitoring and evaluate evaluating impacts of Delta conveyance proposals on Western Base Resource allocation.; and  Aadvocating for an equitable distribution of costs between water and power customers of the Central Valley Project. 8. Advocate for Congressional, legislative, or administrative actions on matters relating to overly burdensome reporting and compliance requirements established by the North American Reliability Corporation (NERC), the Federal Energy Regulatory Commission (FERC) or the Western Electricity Coordinating Council (WECC). Federal, State and Regional    9. Support fair and reasonable application of grid reliability requirements established by NERC, WECC, or FERC and seek Congressional remedies (if needed) for punitive application of fees and fines. Federal and Regional    10. Work with CAISO or through FERC:  to give buyers of renewable intermittent resources relief from imbalance penalties; and  to promote financial and operational changes that result in timely and accurate settlement and billing; and.  Tto provide critical input on the need for various transmission projects in light of the escalating costs to the City to import power using the bulk transmission system. Federal and State    11. Monitor cyber security issues to ensure that CPAU, which currently does not have critical cyber assets, retains local control over its cyber security needs while remaining exempt from NERC cyber security standards. Support NCPA to protect it and its member agencies from unnecessary cyber security regulations. Federal and Regional   Utilities Legislative Policy Guidelines January 2015 Update Page 8 of 17 FIBER OPTIC Goals 1. Preserve and enhance the authority of local government to develop broadband solutions that align with community needs and expand consumer choice for competitive Internet connectivity and other advanced services delivered over fiber-optic networks. 2. Encourage the competitive delivery of broadband services by permitting the use of public rights-of- way and Utilities infrastructure in a responsible manner, provided that local rights of way authority and management is preserved and the this use does not compromise the City’s existing utility safety and services obligations. 3. Support local government authority over zoning- related land use for communications infrastructure in accordance with reasonable and non-discriminatory regulations. 4. Support the Council’s Technology and the Connected City initiative to fully leverage the City’s fiber- optic asset. Goals Legislative Policy Guidelines Venue 1. Support Municipal Delivery 2. Competitive Delivery 3. Local Authority over Land Use 4. Support Council Initiatives 1. Advocate for these goals through the American Public Power Association (APPA), California Municipal Utilities Association (CMUA), National Association of Telecommunications Officers and Advisors (NATOA), National League of Cities (NLC), and the Next Century Cities initiative (NCC), with support from City staff. Federal and State     2. Support legislation and regulations that preserve and enhance municipal delivery of conventional and advanced telecommunication services as prescribed by the Telecommunications Act of 1996. Federal and State    3. Support the goals of the National Broadband Plan, issued in 2010 by the Federal Communications Commission (FCC), to improve Internet access in the United States Federal and State    4. Oppose legislation and regulations that benefit the incumbent cable TV and telephone companies at the expense of community-owned fiber-optic and Federal and State    Utilities Legislative Policy Guidelines January 2015 Update Page 9 of 17 Goals Legislative Policy Guidelines Venue 1. Support Municipal Delivery 2. Competitive Delivery 3. Local Authority over Land Use 4. Support Council Initiatives wireless networks. 5. Support legislation and regulations that preserve and enhance consumer protections when dealing with the incumbent providers of telecommunication services. Federal and State    6. Support legislation and regulations that encourage the competitive delivery of broadband services by permitting the use of public rights-of- way and Utilities infrastructure:  Support legislation and regulations that preserve local rights-of-way authority and management;  Support legislation and regulations that preserve local government zoning and siting authority for wireless and wireline communication facilities; and  Oppose legislation and regulations that reduce compensation received by local governments for the use of the public rights-of-way and other public properties that support communication infrastructure (e.g., utility poles, streetlight poles, ducts and conduits). Federal, State and Local     Utilities Legislative Policy Guidelines January 2015 Update Page 10 of 17 NATURAL GAS Goals 1. Preserve/enhance the ability of municipal utilities to develop their own demand side efficiency and conservation programs, alternative gas supplies, and rate structure. 2. Increase the security and reliability of the gas supply and transmission infrastructure. This includes retaining access to intra- and interstate gas transmission systems to reliably serve customers. 3. Support efforts to reduce greenhouse gas emissions and protect the environment. 4. Preserve just and reasonable utility rates/bills established by local governing bodies. Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability of Infrastructure 3. Environ- ment 4. Cost Control 1. Advocate most of these goals mainly through the American Public Gas Association (APGA) with minor support from Palo Alto staff. Primarily Federal with minor advocacy at State level     2. Work with Northern California Power Agency (NCPA) and California Municipal Utilities Association (CMUA) to the extent that the City’s goals as a gas distributor align with generators’ use of natural gas. Federal and State     3. Support increased cost effective production/incentives for renewable gas supplies from in or out of state sources. Federal and State     4. Advocate for financing or funding for cost-effective natural gas efficiency and solar water heating end uses. Federal and State     5. Support market transparency and efforts to eliminate market manipulation through reasonable oversight. Federal  6. Support municipal utilities’ ability to enter into pre-pay transactions for gas supplies. Federal  7. Support efforts to improve pipeline safety. Work with partners to Federal and State    Utilities Legislative Policy Guidelines January 2015 Update Page 11 of 17 Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability of Infrastructure 3. Environ- ment 4. Cost Control discourage extension of CPUC regulatory authority over municipal gas operations. Oppose legislative proposals resulting in unreasonable costs for Palo Alto’s customers. 8. Work with partners to discourage extension of CPUC regulatory authority over municipal gas operations. State    9. Oppose legislative proposals resulting in unreasonable costs for Palo Alto’s customers. Federal and State    8.10. Support cap-and-trade market designs that:  protect consumers from the exercise of market power;  allocate allowances that help mitigate impacts to Palo Alto customers while providing incentives for natural gas utilities to move to lower GHG emission portfolios;  advocate for an allowance allocation methodology that provides flexibility for Palo Alto to structure rates to align GHG costs and revenues;  provide flexible compliance mechanisms such as banking and borrowing of allowances; and  allocate funds generated from cap-and-trade markets to GHG related activities, not as a revenue source for state or federal general funds. Federal and State    9.11. Support legislation that aims to protect public health and encourages transparency regarding the practice of hydraulic fracturing or “fracking” for natural gas Federal and State   Utilities Legislative Policy Guidelines January 2015 Update Page 12 of 17 Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliability of Infrastructure 3. Environ- ment 4. Cost Control development, but not blanket moratoriums that aren’t supported by science. Utilities Legislative Policy Guidelines January 2015 Update Page 13 of 17 WASTEWATER COLLECTIO N Goals 1. Support ability of municipal utilities to develop and manage their own conservation and efficiency programs and retain authority over ratemaking, including the imposition of non-volumetric customer meter or infrastructure charges for wastewater collection service. 2. Increase the reliability of the local wastewater collection systems. 3. Maintain the provision of an environmentally sustainable, reliable high quality and sustainable wastewater collection service at a fair price. 4. Support equal comparisons of wastewater collection systems by regulatory agencies in order to minimize and reduce onerous, costly and time-intensive reporting requirements and improve value and accuracy of information reported to the public. Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliable Infrastructure 3. Maintain service 4. Valuable reporting 1. Advocate goals through active participation in the Association of Bay Area Governments (ABAG). Local, Regional & State     2. Advocate forSupport future regulations of wastewater collection systems that include the following requirements::recognize the following:  timely rebuilding of the local wastewater systems;local jurisdictions’ proactive efforts to replace and maintain wastewater collections systems;  maintains the quality of delivered wastewater collection service;  minimizes any increase in ththe need to provide affordable and cost basede cost of wastewater collection service; and  the unique characteristics of each collection system.creates no additional exposure to more frequent or severe wastewater overflows; and  supports the existing wastewater collections Local, Regional & State    Utilities Legislative Policy Guidelines January 2015 Update Page 14 of 17 Goals Legislative Policy Guidelines Venue 1. Local Accountability 2. Reliable Infrastructure 3. Maintain service 4. Valuable reporting systems and their operation. 3. Support provision of sufficient resources for regional agencies to enable them to advocate for:  environmentally sustainable, reliable wastewater collection service at a fair price; and  regional comparisons of wastewater collection projects for future state grant funding. Local and Regional    4. Support infrastructure security and reliability including equitable allocation of funds for increasing the security of infrastructure. Regional, and State  5. Advocate for funding and local regulations for wastewater collections system projects and requirements that reduce overflows and improve collection system efficiency. Regional, State and Federal   Utilities Legislative Policy Guidelines January 2015 Update Page 15 of 17 WATER Goals 1. Support ability of municipal utilities to develop and manage their own conservation and efficiency programs and retain authority over ratemaking, including the ability to optimize volumetric and fixed charges to balance the goals of revenue certainty and water use efficiency. 2. Increase the security and reliability of the regional water system owned and operated by the San Francisco Public Utilities Commission (SFPUC). 3. Support efficiency and recycled water programs in order to minimize the use of imported supplies. 4. Maintain the provision of an environmentally sustainable, reliable supply of high quality water at a fair price. Goals Legislative Policy Guidelines Venue 1. Local Authority 2. Reliable Infrastructure 3. Minimize imports 4. Supplies at fair cost 1. Advocate goals through active participation in the Bay Area Water Supply and Conservation Agency (BAWSCA) and California Municipal Utilities Association (CMUA), with support from Palo Alto staff for BAWSCA and the San Francisco Bay Area Regional Water System Financing Authority (RFA). Local, Regional and State     2. Participate in California Urban Water Conservation Council (CUWCC) Best Management Practice (BMP) revisions and development to ensure that aggressive and cost-effective efficiency goals are incorporated and operating proposals are reasonable, achievable, and cost-effective. State     3. Advocate to ensure that legislative actions regarding the Hetch Hetchy Reservoir and conveyance system Regional Water System include the following requirements:  timely rebuilding of the regional water system;  maintains the quality of delivered water;  minimizes any increase in the cost of water;  creates no additional exposure to more frequent or severe water shortages;  supports the existing water system and Local, Regional and State   Utilities Legislative Policy Guidelines January 2015 Update Page 16 of 17 Goals Legislative Policy Guidelines Venue 1. Local Authority 2. Reliable Infrastructure 3. Minimize imports 4. Supplies at fair cost its operation. 4. Advocate for interpretations or implementation of Water Code provisions (such as those enacted by AB 1823 (2002), AB 2058 (2002) and SB 1870 (2002)) that maintain or reinforce the authorities and protections available to the City and BAWSCA members outside of San Francisco. Local, Regional and State    5. Support provision of sufficient resources for BAWSCA to enable it to advocate for:  an environmentally sustainable, reliable supply of high quality water at a fair price;  a SFPUC rate structure that is consistent with the Water Supply Agreement and is based on water usage;.  a contract amendment to modify the drought time water allocation between the SFPUC and the BAWSCA agencies;  preservation of Palo Alto’s existing contractual water allocation and transportation rights on the SFPUC Hetch Hetchy system; and  regional planning for conservation, recycled water, and other water supply projects. Local and Regional     6. Advocate for actions that:  actions that preserve Palo Alto’s existing contractual rights; and  supporting actions that preserve local control over water use and limit encroachment from outside jurisdictions. Local and Regional   7. Support infrastructure security and reliability including an interconnection between the SCVWD West Pipeline with the SFPUC’s Bay Division Pipelines 3 and 4. Regional and State  8. Support notification requirements that informaid residents/customers but do not State   Utilities Legislative Policy Guidelines January 2015 Update Page 17 of 17 Goals Legislative Policy Guidelines Venue 1. Local Authority 2. Reliable Infrastructure 3. Minimize imports 4. Supplies at fair cost inflict undue or unobtainable requirements on the utility. 9. Support local control of public benefit funds funding levels and program design. State   10. Support beneficiary pays methodologies to prevent taxes or fees, in particular those imposed on SFPUC customers, to fund infrastructure improvements and costs of other water sources such as the Delta. State and regional    11. Advocate for financing or funding for water conservation programs and recycled water projects that meet end-use needs and conserve potable water and oppose legislation that would reduce such funding. State, Regional and Federal     12. Support infrastructure security and reliability that includes equitable allocation of funds for increasing the security of infrastructure and that protects the City from unnecessary regulations. Local, State and Federal    13. Support legislation that promotes responsible groundwater management while recognizing Palo Alto’s existing and historical groundwater extraction practices. State     14. Support Proposition 218 reform efforts to provide ratemaking flexibility to balance conservation, revenue sustainability, and low income programs. State    ATTACHMENT C 1 Review of Legislative Activities in 2014 City of Palo Alto Utilities (CPAU) staff participates on the legislative committees of the California Municipal Utilities Association (CMUA) and the Northern California Power Agency (NCPA). 2014 was year two of California’s two-year 2013-2014 legislative session. September 30th, 2014 was the final day for the Governor to sign or veto bills passed by the legislature during this session. This was a relatively quiet year for energy and water legislation. Bills that were signed by the Governor this year have little immediate or direct impact to CPAU as a publicly owned utility (POU) and so CPAU did not take any formal positions on utility related bills this year. Following is a summary of the state and federal legislative issues CPAU staff has been following this year, along with any positions taken by NCPA and CMUA. State Legislative Issues Energy Related Bills SB 699 (Hill) – Approved by Governor (Chapter 550, Statutes of 2014). This statute directs the California Public Utilities Commission (CPUC) to begin a new proceeding or a new phase of an existing proceeding to consider adopting rules to address physical security risks to the distribution systems of electrical corporations. The motivation behind this legislation was the April 2013 sniper attack on the Metcalf substation (a major PG&E substation). While CMUA and NCPA did not take a position, the CPUC has taken an interest of late in POU safety and reliability matters so it is possible there may be POU focused legislation in the near future or increased interest from the CPUC on what POUs are doing to address safety issues on their systems. SB 1414 (Wolk) – Approved by Governor (Chapter 627, Statutes of 2014). This statute requires Investor Owned Utility (IOU) resource adequacy plans to reflect new or existing demand response products. The objective is to facilitate the economic dispatch and use of demand response that can either meet or reduce an IOU’s resource adequacy requirements, as determined by the CPUC. CMUA had a watch position due to potential for future legislation to impose a similar requirement on POU’s. How the CPUC determines demand response resource counting for resource adequacy purposes may also be of interest to Palo Alto in terms of establishing DR benefits to the City. AB 1782 (Chesbro) – Approved by Governor (Chapter 332, Statutes of 2014). This statute, supported by NCPA and CMUA, makes it a crime for any person to unlawfully and maliciously disconnect or cut a line of telegraph, telephone, or cable television, or any line used to conduct electricity. It also significantly raises the criminal penalties and fines from a maximum of $500, to a maximum of $10,000 for a felony conviction, and a maximum of $1,000 for a misdemeanor conviction. While this is not a big issue in Palo Alto, it is important to have the tools to address criminal actions against public infrastructure. ATTACHMENT C 2 AB 2188 (Muratsuchi) – Approved by Governor (Chapter 521, Statutes of 2014). This statute requires a city and/or county to adopt, by September 30, 2015, an ordinance that creates an expedited, streamlined permitting process for small residential rooftop solar energy systems that substantially conforms with the most current version of the California Solar Permitting Guidebook to be adopted by the Governor’s Office of Planning and Research. While this is not a utility specific statute (it applies to all cities whether or not they own an electric utility), NCPA and CMUA have opposed it, as has the League of California Cities. NCPA’s concern is that, until this time, the California Solar Permitting Guidebook (Guidebook) has been a voluntary initiative, particularly since the Guidebook is currently in draft form. Palo Alto has already streamlined its rooftop solar permitting process and so the impact of this legislation is expected to be minimal. AB 2218 (Bradford) – Approved by Governor (Chapter 581, Statutes of 2014). This statute encourages the governing board of each local electric POU to develop and implement a program of rate assistance to eligible food banks. POUs were included in a last minute amendment that was not caught by CMUA until it passed, and was delivered to the Governor. CMUA attempted to get the Governor to veto, but was unsuccessful. The statute encourages publicly owned utilities to offer rate assistance to food banks in their service territory that participate in the Emergency Food Assistance Program administered by the Food and Nutrition Service of the United States Department of Agriculture. According to the State Department of Social Services, Santa Clara County has one such food bank, located in San Jose. Although this bill does not apply to Palo Alto at this time, CMUA is concerned with language in the statute that directs POUs to develop rates consistent with those developed by the CPUC for electric corporations, as this creates a new precedent for on rate design that potentially intrudes on a Council’s rate making authority. AB 2363 (Dahle) – Approved by Governor (Chapter 610, Statutes of 2014). This statute requires the CPUC to include grid integration costs as part of the procurement process for investor owned utilities IOU’s. The statute would effectively penalize variable and intermittent energy sources such as wind and solar with additional integration costs and would favor base load renewable generation such as geothermal. While the statute does not apply to POU’s like CPAU, it is possible future legislation could expand the requirement to POU’s. Natural Gas Related Bills AB 1937 (Gordon) – Approved by Governor (Chapter 287, Statutes of 2014). This statute requires a gas utility to notify schools and hospitals of non-emergency work when the work is located within 500 feet of the facility. While it does not currently apply to POUs, CPAU routinely notifies adjacent customers when there is work on the gas delivery system. Water Related Bills Water Bond – Approved by Governor and approved by voters in November 2014 as Proposition 1. In mid-August the Legislature approved and the Governor signed, the "Water Quality, Supply, and Infrastructure Improvement Act", a $7.54 billion bond measure. The measure ATTACHMENT C 3 replaced the 2009 $11.1 billion bond measure. The new bond provides funding for regional water reliability, groundwater management and cleanup, water recycling, watershed protection, water conservation, flood management and funding to enhance local, regional and state water quality and supply. Since the funds will be distributed through several state agencies by a competitive process, the guidelines and timelines for grant funding are not available at this time. SB 1036 (Pavley) - Approved by Governor (Chapter 485, Statutes of 2014). This statute would authorize an urban water supplier to voluntarily include within its Urban Water Management Plan (UWMP) certain energy-related information, including, but not limited to, an estimate of the amount of energy used to extract or divert water supplies. SB 1036 also requires the Department of Water Resources (DWR) to develop a methodology for the estimation of the energy intensity of urban water systems. This was introduced following a recommendation from a February 2014 report from a DWR task force that recommended allowing suppliers to include in their UWMP the energy intensity of water delivered to their customers. Given the City’s low energy intensity of its water delivery system, it is undecided if this will be included in the next UWMP. SB 1168 (Pavley) – Approved by Governor (Chapter 346, Statutes of 2014.) This statute requires a local agency to determine the sustainable yield of a groundwater basin in coordination with other local agencies. The goal of the legislation is to address increasing concern over sustainable groundwater yields in the face of increasing withdrawals, especially during dry years. Since the Santa Clara Valley Water District manages the groundwater basin in Santa Clara County, staff anticipates this bill will not have much impact in Santa Clara County. SB 1345 (Committee Bill) – Approved by Governor (Chapter 489, Statutes of 2014). This statute extends the sunset date for the Wholesale Regional Water System Security and Reliability Act to 2022 to continue state and local oversight over the SFPUC’s Water System Improvement Program to rebuild the Regional Water System (“Hetch Hetchy” system). The City receives 100% of its potable supplies from the SFPUC and is paying a proportional share of the upgrades to the system. Since it is in the City’s best interest that the current oversight is maintained until all work is complete, the City sent a letter in support of the bill. SB 1420 (Wolk) – Approved by Governor (Chapter 490, Statutes of 2014). This statute adds three new requirements to UWMP’s. The City updates its UWMP every five years with the next update due in 2015. This legislation will require the City to report on water losses and water savings estimates from adopted regulations and plans and to submit the UWMP electronically if possible. CMUA supported the changes. AB 1739 (Dickinson) – Approved by Governor (Chapter 347, Statutes of 2014. This Statute requires a groundwater sustainability agency to submit a groundwater sustainability plan to the DWR for review upon adoption. This Statute is related to SB 1168 (described above) in that it would empower DWR to review local agency determinations on sustainable yield and groundwater management. Since the Santa Clara Valley Water District manages the ATTACHMENT C 4 groundwater basin in Santa Clara County, staff anticipates this bill will not have much impact in Santa Clara County. AB 2067 (Weber) - Approved by Governor (Chapter 463, Statutes of 2014). This statute streamlines the discussion of water demand management measures in UWMP’s and also extends the due date for 2015 UWMP’s to July 1st, 2016. In the 2010 UWMP, the City provided detailed information on demand management measures and staff anticipates the new requirements will allow for more efficient reporting of demand management measures in the 2015 UWMP cycle. AB 2403 (Rendon) – Approved by Governor (Chapter 78, Statutes of 2014). This statute codifies a recent court case, Griffith v. Pajaro Valley Water Management Agency, to modify the Government Code’s definition of “water" to include any system of public improvements intended to provide for the production, storage, supply, treatment, or distribution of water. This means that public agencies can now use Proposition 218’s notice and public hearing process (currently required for most water, sewer and wastewater rate increases) for stormwater management and recycled water charges as well. CPAU is currently evaluating a recycled water project and this will clarify how recycled water will be treated for ratemaking purposes. CMUA supported AB 2403. AB 2434 (Gomez) – Approved by Governor (Chapter 738, Statutes of 2014). This statute provides a five year exclusion from gross income for any amount received as a rebate, voucher, or other financial incentive issued by a local water agency or supplier for participation in a turf removal water conservation program. This legislation was needed to address the lack of clarity on potential state tax liabilities associated with customer water rebates. CMUA was supportive of AB 2434. Federal Legislative Issues Following their August recess, Congress returned with a short amount of time before the November elections and a number of priority issues to contend with. Congress passed a Continuing Resolution funding the government at FY14 levels through Dec. 11, with the possibility of another government shutdown on the horizon. While the Republicans regained control of Congress, it is still unclear what that means for the post-election lame duck session which must, at a minimum, fund the government for the remainder of fiscal year 2014. Some are predicting the lame duck session will be uneventful, with Republicans preferring to pass a short-term funding bill and defer most issues to next year when they will have a stronger hand. Other actions could include extension of expiring tax provisions, including the production and investment tax credits for renewable energy projects, and action on cybersecurity information sharing legislation sponsored by Senator Dianne Feinstein (D-CA), S. 2588, which was approved by the Senate Intelligence Committee in July. Senate Republican Leader Mitch McConnell has expressed a desire to use the lame duck session to wipe the slate clean so Republicans can focus next year on their legislative priorities. ATTACHMENT C 5 Other common CPAU and NCPA legislative priorities include the drought, grid reliability, Commodity Futures Trading Commission (CFTC) swaps issues and efforts with the Bureau of Reclamation to address Central Valley Project power customers paying a disproportionately higher assessment of the environmental Restoration Fund than intended in the Central Valley Project Improvement Act (CVPIA). EPA Emission Standard The Environmental Protection Agency’s (EPA) has proposed rules intended to significantly reduce the amount of greenhouse gas emissions across the nation, under section 111(d) of the Clean Air Act. These rules apply to electric generating units as well as other sources of GHG emissions. Preliminary analysis indicates the new rules will likely have minimal impact in California, though the treatment of hydropower remains uncertain and questions remain how the EPA’s proposal will be incorporated into the State’s existing GHG policies and regulations. California’s regulatory agencies believe that the emissions reductions can be achieved through the cap-and-trade program, the existing 33% renewable portfolio standard mandates, and the additional measures addressed in the scoping plan update currently underway at the Air Resources Board. Grid Reliability There have been recent developments at the Federal Energy Regulatory Commission (FERC), where FERC staff and Commissioners continue to question the value of North American Electric Reliability Corporation (NERC) Risk-based Registration Initiative, an effort being undertaken to reduce the compliance burdens of smaller utilities by removing them from the NERC registry provided that they do not have a material impact on the nation’s bulk electric system. Palo Alto supports efforts to rationalize the registration process so that resources, at federal, regional and local levels, can be focused on those issues that have a material impact on grid reliability. Palo Alto’s distribution system, in particular, does not impact the bulk grid reliability Drought Another key policy objective for the California members of Congress continues to be the focus on resolving differences between the competing drought relief bills passed by the House and Senate in order to send a final compromise to the President for signature. With the Republicans firmly in control of Congress, it is unclear what will happen during the lame duck session or if drought related legislative actions will be carried over to the new session. CFTC swap dealer definition On September 24, the Commodity Futures Trading Commission (CFTC) granted the relief sought by public power systems, and exempting utility operations-related swaps from the $25 million “special entity” swap dealer threshold. With approval of this rule, public power systems will be on equal footing with private utilities and should regain access to counterparties for swap transactions. ATTACHMENT D EXCERPTED DRAFT MINUTES OF THE DECEMBER 10, 2014 UTILITIES ADVISORY COMMISSION MEETING ITEM 5 (Original Agenda New Business Item 4 – part one, legislative guidelines related to all utilities except water): ACTION: Staff Recommendation that the Utilities Advisory Commission Recommend that the City Council Adopt a Resolution Approving the Amended City of Palo Alto Utilities Legislative Policy Guidelines Senior Resource Planner Nico Procos explained that staff split this item into two parts - the first part discussing the guidelines for everything but the water utility and the second part related to just the water utility to allow Commissioner Hall to participate in part one and then leave the meeting (due to a self-identified conflict related to water issues). Procos provided a summary of the written report. He noted that the guidelines in the past were designated to calendar years; starting this year the guidelines will not sunset at the end of the calendar year but continue until updated. Staff still commits to an annual update of the guidelines. Procos provided a summary of the key State issues in 2015, which could include changes to the Renewable Portfolio Standard (RPS), new greenhouse gas (GHG) targets, the next generation of net energy metering, potential carve-outs for certain resources, and issues related to low- income and disadvantaged communities. Key Federal issues include issues related to the Federal power marketing, cybersecurity, grid reliability, emissions standards, and budget and tax reform. Procos walked through the proposed changes and additions to the guidelines, which were provided as Attachment B to the written report. Commissioner Hall enquired why the wastewater guideline #2 regarding exposure to wastewater overflows had been removed. He mentioned that during wet weather events water can get diverted into the sanitary sewer and cause overflows. Procos mentioned he had heard about such incidents, but the treatment plant has excess capacity to handle increased flows so this is not anticipated to be an issue. Vice Chair Waldfogel asked if gas guideline #3 moved us to or away from supporting or opposing disclosure of fracking chemicals since it would increase the cost of gas supplies. Compliance Manager Debra Lloyd responded that this guideline was not intended to address fracking of natural gas, rather it was intended to support equal treatment for in-state vs out-of- state renewable gas production. Lloyd referred to Natural Gas guideline #11 that provides direction on supporting transparency regarding fracking, but not blanket moratoriums. ACTION: Commissioner Cook made a motion that the UAC recommend that the City Council adopt a resolution approving the Utilities Legislative Policy Guidelines covering everything but the Water Utility. Commissioner Eglash seconded the motion. The motion carried unanimously (6-0 with Commissioner Chang absent). At this point in the meeting, Commissioner Hall left the meeting due to a self-identified conflict of interest on water issues. ITEM 6 (Original Agenda New Business Item 4 – part two, legislative guidelines related to the water utility): ACTION: Staff Recommendation that the Utilities Advisory Commission Recommend that the City Council Adopt a Resolution Approving the Amended City of Palo Alto Utilities Legislative Policy Guidelines Senior Resource Procos continued with part two related to the water utility. Procos provided a summary of 2014 legislation of interest that impacted the water utility and then discussed issues staff anticipates for 2015. He noted that the key State issues for water include water sector GHG emissions, changes to the requirements for the Urban Water Management Plan and issues with respect to low-income/disadvantaged communities. Key Federal issues include cost allocation for the Delta tunnels and drought. Procos described each of the changes to the water utility guidelines, which were provided as Attachment B to the written report. Commissioner Melton inquired about water guideline #13 and if, given that groundwater extraction in Central Valley is being called into question, this guideline would involve the City in the tension between urban and agricultural use of groundwater. Procos responded that the intent of guideline #13 is to support groundwater management, but as the City has made investments in new wells and has certain assumptions regarding the use of those wells, the City has an interest in ensuring that no new proposals may impact those assumptions. Commissioner Melton agreed that adding the word "Palo Alto" to the guideline would better clarify the intent. Vice Chair Waldfogel discussed water guideline #10 and the issue regarding State Water Project tax collections. He suggested the venue be adjusted to make it State + regional. ACTION: Commissioner Eglash made a motion that the UAC recommend that the City Council adopt a resolution approving the proposed Utilities Legislative Policy Guidelines for the Water Utility, with the two proposed changes. Commissioner Cook seconded the motion. The motion carried unanimously (5-0 with Commissioner Hall recused from the motion and Commissioner Chang absent). City of Palo Alto (ID # 5572) City Council Staff Report Report Type: Consent Calendar Meeting Date: 3/2/2015 City of Palo Alto Page 1 Summary Title: Continuance - Appeal of 261 Hamilton Avenue ARB/HRB Decision Title: Appeal of Director of Planning and Community Environment’s Architectural and Historic Review Approval of a Rehabilitation of a Category 3 Historic Resource located at 261 Hamilton - Request for Continuance to April 6, 2015 From: City Manager Lead Department: Planning and Community Environment Recommendation Staff recommends that this item be continued to the April 6, 2015, City Council meeting. Executive Summary The standard procedure for the review of an appealed Architectural Review application is for placement on the Council consent calendar within 30 days of the filing of an appeal. The appeal was filed on February 3, 2015, and therefore must be placed on the Council consent agenda by March 5, 2015. Staff did not have sufficient time to complete their analysis and prepare responses to the appellants’ concerns in advance of the council packet deadline. Therefore, a continuance is requested. City of Palo Alto (ID # 5562) City Council Staff Report Report Type: Consent Calendar Meeting Date: 3/2/2015 City of Palo Alto Page 1 Summary Title: Amendment #3 to The Planning Center DCE Contract and BAO Title: Approval of Amendment Number 3 to Contract C08125506 with The Planning Center ¦ DCE, now Known as Placeworks, to Increase the Contract by $157,525 to an Amount Not to Exceed $1,894,731 and Adoption of a Budget Amendment Ordinance (BAO) to Increase the Fiscal Year 2015 Appropriation to the Planning and Community Environment Department for Preparation of a Fiscal Study in Conjunction with the Comprehensive Plan Update From: City Manager Lead Department: Planning and Community Environment Recommendation Staff recommends that Council authorize the City Manager or his designee to execute Amendment No. 3 to Contract C08125506 with The Planning Center │DCE (now known as Placeworks) to increase the contract limit by $157,525 to an amount not to exceed $1,894,731 to provide additional services associated with the Comprehensive Plan Update, including a fiscal impacts study (Attachment A), and approve a Budget Amendment Ordinance (BAO) in the amount of $157,525 (Attachment B) to ensure the Planning and Community Environment Department has sufficient resources within the General Fund for the contract amendment. Executive Summary The 1998-2010 Palo Alto Comprehensive Plan (Comp Plan) guides land use and development decisions in Palo Alto and contains the City’s official policies on land use and community design, transportation, housing, natural environment, business and economics, and community services. Many sections of the plan are required by State law and the State recommends that local jurisdictions update their plan every ten years. Palo Alto embarked on an update of its Comprehensive Plan and contracted with the firm DCE (now known as Placeworks) in 2008. A contract amendment is needed to assist with project management and to provide a fiscal analysis to better inform the community and decision makers about the opportunities and City of Palo Alto Page 2 challenges inherent in the issues that are being considered as part of the Comprehensive Plan Amendment. Background The 1998-2010 Palo Alto Comprehensive Plan’s policies apply to both public and private properties and its focus is on the physical form of the City. The Plan is used by the City Council and the Planning and Transportation Commission to evaluate land use changes and to make funding and budgeting decisions. It is used by City staff to evaluate building and development and to make recommendations on projects. It is used by citizens and neighborhood groups to understand the City’s long-range plans and proposals for geographic areas. The Comprehensive Plan provides the basis for the City’s development regulations and the foundation for its capital improvements. The City has been working with DCE (now known as Placeworks) to update the Comprehensive Plan since 2008. Under the initial contract, DCE conducted a preliminary review of each existing Comprehensive Plan element, provided suggestions for revisions to modernize and improve elements based on current general plan/comprehensive plan standards, and recommended the addition of sustainability policies and program concepts that would be appropriate for each element. Amendment Number One added work on the California Avenue Concept Plan, preparation of the Citywide Travel Demand Forecasting Model, creation of the Comprehensive Plan Amendment Implementation Matrix, and additional website administration. In March 2014, Staff identified a revised approach for the Comprehensive Update process (Staff Report 4554) that included community discussion of alternative development scenarios, along with baseline data, potential impacts and mitigation. Contract Amendment Number Two included preparation of “Our Plan so Far” along with initiation of the environmental review process with a “Notice of Preparation,” scoping, alternatives development. With this modification, the contract was intended to fund all activities through plan adoption, but a fiscal analysis was not included. Over the last twelve months, City Councilmembers and community members have made it clear that a broad fiscal analysis of alternative scenarios will be critical to inform decision making about the Comp Plan Update. The analysis must include a multi-period fiscal impact analysis of General Fund revenues and costs, including analysis of revenues and costs attributable to City City of Palo Alto Page 3 residents versus businesses. As indicated in the attached scope of work, the analysis will evaluate three points in time: 1. Year 2000 - a 15-year look back at City revenues and costs by source; 2. Year 2015 - a current-year analysis; and 3. Year 2030 - a 15-year forecast that spans the designated planning horizon for the Comprehensive Plan Amendment. The fiscal impact analysis will seek to quantify fiscal trends associated with the City’s General Fund and to project the fiscal impacts attributable to development that may occur during the life of the updated Comprehensive Plan. The fiscal analysis will use an interactive model designed to quantify the degree to which General Fund revenues offset the costs associated with providing public services. Staff is requesting an amendment to the DCE contract to include the fiscal analysis and project management assistance to ensure that the Comprehensive Plan Update process moves forward in a timely manner in the face of unanticipated department staffing shortages. Based on the types of work and the consultant’s experience in these areas, DCE and their subconsultant EPS are most suited to perform the analysis and provide project management support needed by the department at this time. Staff requests Council’s authorization to amend the contract accordingly. Resource Impact Amendment Number 3 (Attachment A) requests an addition of $157,525 to the contract titled “Comprehensive Plan Amendment Services, Contract C08125506. The Planning and Community Environment Department’s budget for Fiscal Year 2015 does not contain sufficient resources to support the increased contract amount. Staff requests approval of the attached Budget Amendment Ordinance (BAO) to increase the departments Fiscal Year 2015 Operating Budget by this amount. Upon approval of the contract amendment and BAO, the Department will encumber the funds required for the contract amendment. The total cost of the project, including Amendment Number 3, is summarized in the following table: Summary Breakdown Total Cost Original Contract total w/Contingency (CMR:193:08) $849,981 Amendment #1 w/Contingency (Staff Report 3756) which included additional work:  Completion of the Cal Ave Concept Area Plan $290,019 City of Palo Alto Page 4  Preparation of the Citywide Travel Demand Forecasting Model  Creation of the Comp Plan Amendment Implementation Matrix  Additional website administration Amendment #2 (Staff Report 4554)  Preparation of “Our Plan so Far” and “Notice of Preparation”  Scoping and Alternatives Development  Alternatives Evaluation and Selection  Comp Plan Amendment and Finalization $597,206 Exhibit A (Amendment 3Total)  Fiscal Analysis $157,525 Revised Contract Grand Total $1,894,731 Policy Implications Updating the City’s Comprehensive Plan is a critical effort if Palo Alto is to remain compliant with State law. Contract Amendment Number 3 does not represent a change to existing policies. Environmental Review A fiscal analysis is not a project under the California Environmental Quality Act. Attachments:  Attachment A: Placeworks Contract Amendment 3 (PDF)  Attachment B: Budget Amendment Ordinance (DOCX) AMENDMENT NO. 3 TO CONTRACT NO. CO8125506 BETWEEN THE CITY OF PALO ALTO AND PLACEWORKS, INC., SUCCESSOR-IN-INTERST TO DESIGN COMMUNITY & ENVIRONMENT, INC. This Amendment No. 3 (“Third Amendment”) to Contract No. C08125506 (“Contract”) is entered into March 2, 2015 (“Amendment Effective Date”), by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and PLACEWORKS, INC., located at 3 MacArthur Place, Suite 1100, Santa Ana, California, 92707, successor-in-interest to DESIGN COMMUNITY & ENVIRONMENT, INC. (“CONSULTANT”) (collectively, the “Parties”). R E C I T A L S: A. The Contract dated effective June 1, 2008 was entered into between the Parties for Consultant to provide marketing services for the development of a work plan to amend the existing comprehensive plan to a planning horizon no later than year 2020. B. On March 3, 2014 the parties entered into Amendment No. 2 to extend the term to June 30, 2016 and increase the compensation to $1,737,206.00 for additional services as specified in Exhibit “A1”. C. On June 28, 2013 the parties entered into Amendment No. 1 to extend the term to June 30, 2014 and increase the compensation to $1,124,073.00 for additional services as specified in Exhibit “A1”. D. The CONSULTANT entered into the Contract as DESIGN COMMUNITY & ENVIRONMENT, INC., a California corporation, located 1625 Shattuck Avenue. Suite 300, Berkeley, CA. 94709 and has since changed its name to PLACEWORKS, INC., a California corporation, located at 3 MacArthur Place, Suite 1100, Santa Ana, California, 92707 (“CONSULTANT”). E. The Parties also desire to increase the “Not to Exceed Compensation” by $157,525.00 from $1,737,206.00 to $1,894,731.00, for additional services as specified in Exhibit “A3” Additional Scope of Services. F. To accomplish this purpose, the Parties wish to amend the Contract. NOW, THEREFORE, in consideration of the covenants, terms, conditions, and provisions of this Third Amendment, the Parties agree: SECTION 1. The Agreement is amended to reflect CONSULTANT’S current name of Placeworks, Inc. Placeworks, Inc. hereby assumes all duties and obligations under the original contract and amendments thereto. SECTION 2. Section 4. NOT TO EXCEED COMPENSATION is hereby amended to read as follows: DocuSign Envelope ID: C39D5270-1D9F-4621-97C1-9587A6BAC533 ATTACHMENT A “SECTION 4. NOT TO EXCEED COMPENSATION. The compensation to be paid to CONSULTANT for performance of the Services described in Exhibits “A”, “A1”, “A2” & “A3”, including both payment for professional services and reimbursable expenses, shall not exceed One Million Eight Hundred Ninety Four Thousand Seven Hundred Thirty One Dollars ($ 1,894,731.00) The applicable rates and schedule of payment are set out in Exhibit “C-3” & “C4”, entitled “RATE SCHEDULE,” which is attached to and made a part of this Agreement. Additional Services, if any, shall be authorized in accordance with and subject to the provisions of Exhibit “C”. CONSULTANT shall not receive any compensation for Additional Services performed without the prior written authorization of CITY. Additional Services shall mean any work that is determined by CITY to be necessary for the proper completion of the Project, but which is not included within the Scope of Services described in Exhibits “A”, “A1”, “A2” & “A3”.” SECTION 3. The following exhibits to the Contract are hereby amended to read as set forth in the attachment(s) to this Third Amendment, which are incorporated in full by this reference: a. Exhibit “A3” entitled “SCOPE OF SERVICES” b. Exhibit “C” entitled “COMPENSATION” c. Exhibit “C4” entitled “RATE SCHEDULE FOR AMENDMENT NO. 3” SECTION 4. Except as herein modified, all other provisions of the Contract, including any exhibits and subsequent amendments thereto, shall remain in full force and effect. IN WITNESS WHEREOF, the Parties have by their duly authorized representatives executed this First Amendment on the Amendment Effective Date. CITY OF PALO ALTO APPROVED AS TO FORM: PLACEWORKS, INC ATTACHMENTS: Exhibit “A3” “SCOPE OF SERVICES” Exhibit “C” “COMPENSATION” Exhibit “C4” “RATE SCHEDULE FOR AMENDMENT NO. 3” DocuSign Envelope ID: C39D5270-1D9F-4621-97C1-9587A6BAC533 David Early EXHIBIT A3 ADDITIONAL SCOPE OF WORK I. ON-SITE PROJECT MANAGEMENT CONSULTANT shall work on site in CITY offices one day per week for the remainder of 2015 in order to maximize coordination with CITY staff from all involved departments and keep the Comprehensive Plan and EIR process moving on schedule. Work on site shall include coordination of consultant team and CITY staff work on pre-Summit activities; Summit planning; post-Summit activities; preparation of Summit and workgroup materials; revisions to Goals, Policies and Programs; and EIR preparation and review. As part of additional project management responsibilities, CONSULTANT shall assist in planning Leadership Group meetings and shall attend Leadership Group meetings. This scope assumes two Leadership Group meetings per month January through May 2015, and one Leadership Group meeting per month June 2015 through May 2016. II. FISCAL, FUNDING, AND COMPETITIVENESS ANALYSIS FOR THE PALO ALTO COMPREHENSIVE PLAN CONSULTANT shall provide fiscal analysis, funding source evaluation, and a competitiveness assessment to better inform the community and decision makers about the opportunities and challenges inherent in the alternatives that are being considered as part of the Comprehensive Plan Amendment. Project Initiation As a first step, CONSULTANT shall meet with CITY staff and the consultant team to review the Scope of Work, finalize schedule, clarify key issues, and specify the format for key deliverables. In addition, CONSULTANT shall request, collect, and review available relevant background documents and data sources, including planning documents, CITY budgets, long-range forecast data, detailed tax revenue data, and market data. It is expected the CITY shall provide names and contact information for the department representatives CONSULTANT shall be coordinating with, and if necessary shall assist with scheduling in-person meetings and conference calls. Fiscal Analysis of the CITY’s General Fund The CITY requests a multi-period fiscal impact analysis of General Fund revenues and costs, to be broken down by sources and uses, including analysis of revenues and costs attributable to CITY residents versus businesses. This analysis shall evaluate fiscal outcomes at three points in time: 1. Year 2000 - a 15-year look back at CITY revenues and costs by source; 2. Year 2015 - a current-year analysis; and 3. Year 2030 - a 15-year forecast that spans the designated planning horizon for the Comprehensive Plan Amendment. DocuSign Envelope ID: C39D5270-1D9F-4621-97C1-9587A6BAC533 The fiscal impact analysis will seek to quantify fiscal trends associated with the CITY’s General Fund and to project the fiscal impacts of up to four Comprehensive Plan land use Alternative Scenarios. For each of the three points in time and Alternative Scenarios (2030 only), the CONSULTANT analysis will evaluate General Fund revenues and costs. Based on discussions with CITY staff, CONSULTANT will develop a methodology for apportioning revenues and costs to residents and businesses. In some cases revenue and cost categorization may be straightforward (e.g., property tax by land use) and in other cases it may be more challenging (e.g., transient occupancy tax revenue). The degree of complexity will depend on how the project team decides to frame the analysis. It is likely that the analysis will require consideration of market conditions to determine apportionment assumptions where existing local data are unavailable. In these cases, CONSULTANT shall seek to rely on the best data available, which in some instances may require reliance on studies and data from similar jurisdictions or broader geographic areas. The fiscal analysis will use an interactive model designed to quantify the degree to which General Fund revenues offset the costs associated with providing public services. The analysis will identify fiscal impacts attributable to residents and businesses over time, as well as gauge the relative fiscal impact of each of the Comprehensive Plan Alternative Scenarios under consideration. It is anticipated that the fiscal impact forecast will rely heavily on the CITY’s Long-Range Financial Forecast. The fiscal impact analysis will exclude analysis of special purpose Enterprise/Utility funds (designated revenue sources). An analysis of revenue sources for capital improvements will be provided as part of a distinct infrastructure funding analysis, discussed under Subtask C below. Subtask B shall include up to two days of meetings and interviews with CITY staff and will focus on the following subtasks: Impacts on Public Service Costs Typically, CONSULTANT distinguishes between variable and non-variable General Fund cost elements and applies per-capita methodologies for all or a portion of the cost of service. Per- capita estimates of cost are commonly relied on to forecast costs for departments that provide general government services, planning services, and communitywide services. Case study-based analyses are commonly applied to other CITY services such as police, fire, and road maintenance. As part of the case study analyses, CONSULTANT may incorporate calls-for- service data from the police and fire departments and cost-per-road-mile data for road maintenance. The appropriate methodologies in each case will depend on available CITY data and discussions with individual CITY service providers. Expenditure categorizations (costs attributable to residents versus business) in past and future time periods likely will be based on current service data, unless CITY staff indicates that clear, observable trends should be reflected in the CONSULTANT analysis, based on readily available data. DocuSign Envelope ID: C39D5270-1D9F-4621-97C1-9587A6BAC533 Impacts on General Fund Revenues Similar to the service cost analysis, CONSULTANT typically uses both per-capita and case study-based methods for estimating General Fund revenues. Property tax, sales tax, and transient occupancy tax (TOT) revenues are the most significant sources of General Fund revenue. The analysis will devote significant effort to evaluating these revenue sources. The past and current- year analyses will be based on existing CITY data, with additional market analysis to apportion revenues by source, as needed. Looking forward, sales and TOT tax revenues will be projected based on anticipated net new taxable sales generated by new land uses, while property tax revenues will be based on property value assumptions and the CITY’s property tax allocation factors. All assumptions will be subjected to market considerations. Other revenue estimates, such as charges for service, utility taxes, and documentary transfer taxes will be based on the CITY’s current revenue metrics and independent CONSULTANT research. Net Fiscal Impact on General Fund Based on the data obtained and analysis conducted under the prior subtasks, CONSULTANT shall compare service costs to revenues. For the 2030 Scenario Alternatives, the analysis will evaluate the net annual fiscal impact expected to result from each of the Comprehensive Plan options. CONSULTANT shall prepare graphic representations of key findings that illustrate General Fund revenues and expenses by source over the three points in time considered by the fiscal study. Comprehensive Plan Scenario Alternatives will not be applied to the historical (year 2000) or current year (2015) fiscal assessments. Community Infrastructure Funding Analysis Planning for sustainable communities requires careful consideration of potential funding sources and financing strategies to pay for community facilities and infrastructure that improve quality of life and accommodate growth. In Subtask C CONSULTANT shall review the proposed capital investments envisioned by the Comprehensive Plan Amendment Scenario Alternatives and assess funding options, including the CITY’s existing financial resources, other potential sources of funds, and financing mechanisms that may cover all or a portion of the proposed community improvements and infrastructure. It is anticipated that this analysis will focus on the provision of major transportation infrastructure, likely including parking facilities, expressway upgrades, CalTrain modernization, bus-rapid transit, and roadway/streetscape improvements. CONSULTANT shall coordinate with CITY staff to review and clarify the list of capital investments and improvements generated by the Comprehensive Plan Amendment process. CONSULTANT then shall identify existing funding (e.g., impact fee programs) and other potential future funding sources. The analysis will evaluate the potential use of these sources of funds to achieve Comprehensive Plan infrastructure goals. The objective of the funding analysis will be to compare improvement cost estimates with funding sources and mechanisms to quantify potential CITY revenue contributions (or shortfalls). As part of the consideration of potential new sources of funds, CONSULTANT shall evaluate the feasibility of implementing these new sources. DocuSign Envelope ID: C39D5270-1D9F-4621-97C1-9587A6BAC533 Similar to the fiscal analysis described in Subtask B above, CONSULTANT shall conduct the funding analysis in close cooperation with CITY staff and the consulting team. It is expected that the CITY will be primarily responsible for identifying the desired capital improvements, estimating improvement costs, and providing CITY or other agency data concerning existing funding sources. Note that Subtask C may require involvement from specialized professional advisors, (e.g., transportation or civil engineer consultants currently working with the CITY) to provide reliable infrastructure cost estimates. Competitiveness Evaluation To assist with deliberations over growth management measures, transportation demand management requirements, increases to development impact fees, and other CITY-driven costs that may occur under the Comprehensive Plan Amendment, CONSULTANT proposes to conduct a Competitiveness Evaluation. This evaluation would provide a review of development costs including exactions and fees borne by new real estate development projects in Palo Alto, as compared with equivalent costs in up to five carefully selected and peer cities, to be agreed upon by CONSULTANT and the CITY. The evaluation would focus on major infrastructure and public works costs imposed on new projects, as well as any other extraordinary costs borne by development. The analysis would provide cost data and characterizations, including a mix of quantitative metrics and qualitative factors. While the analysis will not identify a specific “tipping point” at which the costs imposed on new development in Palo Alto become too great, the information likely will be very useful to decision makers who are concerned about potential impacts on the CITY’s business climate. Meetings CONSULTANT shall be available for up to three on-site engagements (including the project initiation meeting, meetings and interviews with project staff and department representatives) and up to three public presentations (to CITY Council, Planning & Transportation Commission, or other groups). Deliverable CONSULTANT shall document data, methods, assumptions, and findings from the fiscal and funding analysis in a clear, well-written technical memorandum. CONSULTANT shall deliver to the CITY a Draft Memorandum. CITY staff will have approximately one week to review the Draft Memorandum and provide one set of consolidated comments. Finalization of the Memorandum will include CONSULTANT revisions as needed and appropriate based on CITY staff comments, and CONSULTANT production of a final document. Schedule CONSULTANT is able to begin work on this study immediately and shall complete the assignment within approximately twelve weeks of receiving notice to proceed, assuming availability of CITY staff for meetings and timely provision of requested data. DocuSign Envelope ID: C39D5270-1D9F-4621-97C1-9587A6BAC533 EXHIBIT “C” COMPENSATION The CITY agrees to compensate the CONSULTANT for professional services performed in accordance with the terms and conditions of this Agreement based on the hourly rate schedule attached as Exhibits “C3” & “C4”. The compensation to be paid to CONSULTANT under this Agreement for all services described in Exhibits “A”, “A1”, “A2” & “A3” (“Services”) and reimbursable expenses shall not exceed $1,894,731.00. CONSULTANT agrees to complete all Services, including reimbursable expenses, within this amount. Any work performed or expenses incurred for which payment would result in a total exceeding the maximum amount of compensation set forth herein shall be at no cost to the CITY. REIMBURSABLE EXPENSES The administrative, overhead, secretarial time or secretarial overtime, word processing, photocopying, in-house printing, insurance and other ordinary business expenses are included within the scope of payment for services and are not reimbursable expenses. CITY shall reimburse CONSULTANT for the following reimbursable expenses at cost. Expenses for which CONSULTANT shall be reimbursed are: A. Travel (including within the San Francisco Bay Area – at actual cost B. Report printing and reproduction – at actual cost C. Deliveries – at actual cost D. Data purchase – at actual cost All requests for payment of expenses shall be accompanied by appropriate backup information. Any expense anticipated to be more than $500.00 shall be approved in advance by the CITY’s project manager. ADDITIONAL SERVICES The CONSULTANT shall provide additional services only by advanced, written authorization from the CITY. The CONSULTANT, at the CITY’s project manager’s request, shall submit a detailed written proposal including a description of the scope of services, schedule, level of effort, and CONSULTANT’s proposed maximum compensation, including reimbursable expenses, for such services based on the rates set forth in Exhibit C-1. The additional services scope, schedule and maximum compensation shall be negotiated and agreed to in writing by the CITY’s Project Manager and CONSULTANT prior to commencement of the services. Payment for additional services is subject to all requirements and restrictions in this Agreement. DocuSign Envelope ID: C39D5270-1D9F-4621-97C1-9587A6BAC533 EXHIBIT “C4” RATE SCHEDULE FOR AMENDMENT NO. 3 STAFF LEVEL HOURLY BILL RATE Principal $190–$250 Associate Principal $175–$200 Senior Associate/Senior Scientist $145–$180 Associate/Scientist $110–$150 Project Planner/Project Scientist $90–$115 Planner/Assistant Scientist $75–$95 Graphics Specialist $60–$95 Clerical/Word Processing $40–$110 Intern $50–$70 DocuSign Envelope ID: C39D5270-1D9F-4621-97C1-9587A6BAC533 City of Palo Alto Comprehensive Plan Amendment and EIR CONTRACT MODIFICATION COST PROPOSAL Jansen Hill EPS Principal-in- Charge Project Manager Project Planner GRAPHICS WP/ CLERICAL Hourly Rate:$175 $160 $105 $80 $100 TASK I. On-Site Project Management Weekly Presence in City Offices (4 hr/week through 2015)184 184 $29,440 0 $0 $29,440 Leadership Group Planning and Support 9 52 61 $9,895 0 $0 $9,895 Task 2. Subtotal 9 236 0 0 0 245 $39,335 $0 $0 $39,335 TASK II. Fiscal Analysis A Project Initiation 4 8 12 $1,980 6,720 $6,720 $8,700 B Fiscal Analysis of the City’s General Fund 6 12 4 2 4 28 $3,950 37,680 $37,680 $41,630 C Community Infrastructure Funding Analysis 6 12 4 2 4 28 $3,950 37,680 $37,680 $41,630 D Competitiveness Evaluation 2 4 6 $990 11,280 $11,280 $12,270 Task 3. Subtotal 18 36 8 4 8 74 $10,870 $93,360 $93,360 $104,230 Labor Hours Total 27 272 8 4 8 319 Labor Dollars Total $4,725 $43,520 $840 $320 $800 $50,205 $0 $93,360 $143,565 EXPENSES PlaceWorks Reimbursable Expenses $1,816 Subconsultants' Reimbursable Expenses $1,640 2% of Labor for Office Expenses (Copies, Faxes, Phone, Misc. Printing)$1,004.10 10% Subconsultant Markup $9,500 EXPENSES TOTAL $13,960 GRAND TOTAL $157,525 PLACEWORKS Subcons. Labor Total Total Task Budget PlaceWorks Hours PlaceWorks Labor Total SUBCONSULTANTS Fisal and Market Analyses EXHIBIT C4 RATE SCHEDULE FOR AMENDMENT NO. 3 DocuSign Envelope ID: C39D5270-1D9F-4621-97C1-9587A6BAC533 TH I S PA G E INT E N T I O N A L L Y LE F T BL A N K 1  5562/mb          Revised September 20, 2013  Ordinance No. XXXX  ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO AMENDING  THE BUDGET FOR FISCAL YEAR 2015 TO PROVIDE ADDITIONAL  APPROPRIATION OF $157,525 FROM THE BUDGET STABILIZATION  RESERVE TO THE PLANNING AND COMMUNITY ENVIRONMENT  DEPARTMENT FUND TO PROVIDE ADDITIONAL CONTRACT SERVICES FOR  A FISCAL IMPACT ANALYSIS RELATED TO THE COMPREHENSIVE PLAN  UPDATE       The Council of the City of Palo Alto does ordain as follows:      SECTION 1.  The Council of the City of Palo Alto finds and determines as follows:    A. Pursuant to the provisions of Section 12 of Article III of the Charter of the City of  Palo Alto, the Council on June 16, 2014 did adopt a budget for Fiscal Year 2015; and    B.  The 1998 – 2010 Palo Alto Comprehensive Plan guides land use and development  decisions in Palo Alto and contains the City’s official policies on land use and community  designs, transportation, housing, natural environment, business and economics, and  community services; and    C. The Planning and Community Environment Department has a contract with The  Planning Center│DCE (DCE) to update the Comprehensive Plan to modernize and improve  elements based on current general plan/comprehensive plan standards, and recommended  the addition of sustainability policies and program concepts that would be appropriate for  each element and the contract has been amended twice to provide for additional scope and  work; and    D.  Amendment Number One added work on the California Avenue Concept Plan,  preparation of the Citywide Travel Demand Forecasting Model, creation of the  Comprehensive Plan Amendment Implementation Matrix, and additional website  administration; and    E. Amendment Number Two included preparation of “Our Plan so Far” and “Notice  of Preparation”, scoping and alternatives development, alternatives evaluation and  selection, and Comprehensive Plan Amendment and finalization; and    F.  The proposed Third Amendment will provide a fiscal analysis of alternative  scenarios that will include a multi‐period fiscal impact analysis of General Fund revenues  and expenses, including an analysis of revenues and expenses attributable to City residents  and businesses.     ATTACHMENT B 2  5562/mb          Revised September 20, 2013  SECTION 2. Therefore, the sum of One Hundred Fifty Seven Thousand Five Hundred  Twenty Five Dollars ($157,525) is hereby appropriated to the Planning and Community  Environment Department and General Fund Budget Stabilization Reserve is decreased by  One Hundred Fifty Seven Thousand Five Hundred Twenty Five Dollars ($157,525).    SECTION 3. As provided in Section 2.04.330 of the Palo Alto Municipal Code, this  ordinance shall become effective upon adoption.    SECTION 4. The Council of the City of Palo Alto hereby finds that this is not a project  under the California Environmental Quality Act and, therefore, no environmental impact  assessment is necessary.      INTRODUCED AND PASSED: Enter Date Here    AYES:     NOES:    ABSENT:    ABSTENTIONS:    NOT PARTICIPATING:     ATTEST:           ____________________________    ____________________________  City Clerk       Mayor    APPROVED AS TO FORM:     APPROVED:    ____________________________    ____________________________  Senior Assistant City Attorney    City Manager                         ____________________________         Director of Planning &               Community Environment  City of Palo Alto (ID # 5445) City Council Staff Report Report Type: Action Items Meeting Date: 3/2/2015 City of Palo Alto Page 1 Summary Title: Weed Abatement Public Hearing Title: Public Hearing: On Objections to Weed Abatement and Adoption of Resolution #9489 Ordering Weed Nuisance Abated From: City Manager Lead Department: Fire Recommendation Staff recommends that Council hold a public hearing to hear and consider any objections to the proposed destruction and removal of weeds, and adopt the attached Resolution ordering the abatement of weed nuisances in the City of Palo Alto. Executive Summary The City of Palo Alto contracts with Santa Clara County Agriculture and Resource Management to remove and destroy weeds, as defined in Chapter 8.08 of the Palo Alto Municipal Code. This hearing allows all those affected and listed on the County’s 2015 Weed Abatement Program Commencement Report to be heard and have their objections and comments considered by Council before the Council adopts a resolution ordering the abatement of weed nuisances in the City. Background The Council adopted Resolution #9489 on February 2, 2015 and declared weeds to be a nuisance and ordered the abatement of that nuisance as called for in Chapter 8.08 of the Palo Alto Municipal Code. The Resolution provided for a public hearing date of March 2, 2015 and required notice to interested property owners and the public. Discussion The Santa Clara County Department of Agriculture and Resource Management administer the contract for abatement of weeds within the City of Palo Alto. Upon notification of the City Council’s February 2, 2015 action declaring weeds to be a nuisance and ordering abatement thereof, the Department of Agriculture and Resource Management took proper steps to notify each property owner by mail of the proposed weed abatement action on respective properties and posted, on the public notice bulletin board, a list of the properties affected. The Department of Agriculture and Resource Management has furnished copies of the property City of Palo Alto Page 2 listing to the City Clerk and the City Fire Marshal. The City Clerk also posted and published notice of the hearing as required. At this public hearing, property owners may appear and object to the proposed weed destruction or removal. After the hearing and consideration of any objections, the council may allow or overrule any or all objections. If objections are overruled, the Council is deemed to have acquired jurisdiction to proceed with abatement of weed nuisances upon Council Adoption of the attached resolution. The County will be asked to perform the abatement work to destroy and remove any weeds. Resource Impact All Charges for the weed abatement services are included as a special assessment on bills for property taxes levied against the respective lots and parcels of land, which are considered liens on these properties. Policy Implications This procedure is consistent with existing City policies and Chapter 8.08 of the Municipal Code. Environmental Review Santa Clara County has determined the Weed Abatement Program to be Categorically Exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA guidelines Sections 15308. Attachments:  SSC2015WeedAbateProgCommenceRep (PDF)  FY2015WeedAbate&HearingResolution#9489 (DOCX) Resolution No. 9489 Resolution of the Council of the City of Palo Alto Declaring Weeds to be a Nuisance and Setting March 2, 2015 for a Public Hearing for Objections to Proposed Weed Abatement WHEREAS, weeds, as defined in Section 8.08.010(b) of the Palo Alto Municipal Code, are anticipated to develop during calendar year 2015 upon streets, alleys, sidewalks, and parcels of private property within the City of Palo Alto sufficient to constitute a public nuisance as a fire menace when dry or are otherwise combustible, or otherwise to constitute a menace to the public health as noxious or dangerous. NOW, THEREFORE, the Council of the City of Palo Alto does hereby RESOLVE as follows: SECTION 1. Weeds, as defined in Section 8.08.010(b) of the Palo Alto Municipal Code, which are anticipated to develop during calendar year 2015 upon streets, alleys, sidewalks, and parcels of private property within the City of Palo Alto, are hereby found and determined to constitute a public nuisance. Such nuisance is anticipated to exist upon some of the streets, alleys, sidewalks, and parcels of private property within the City, which are shown, described, and delineated on the several maps of the properties in said City which are recorded in the Office of the County Recorder of the County of Santa Clara, reference in each instance for the description of any particular street, alley, or parcel of private property being hereby made to the several maps aforesaid, and, in the event of , there being several subdivision maps on which the same lots are shown, reference is hereby made to the latest subdivision map. SECTION 2. THEREFORE, IT IS ORDERED that the said public nuisance be abated in the manner provided by Chapter 8.08 of the Palo Alto Municipal Code: IT IS FURTHER ORDERED that a public hearing shall be held on Monday, the 2nd day of March, 2015, at the hour of 6:00 pm, or as soon thereafter as the matter may be heard, at the Council Chambers of the Civic Center of said City, at which the Council shall hear objections to the proposed weed abatement of such weeds and give any objections due consideration; IT IS FURTHER ORDERED that the Fire Chief of the City of Palo Alto is directed to give notice of the public hearing in the time, manner and form provided in Chapter 8.08 of the Palo Alto Municipal Code. SECTION 3. Unless the nuisance is abated without delay by the destruction and removal of such weeds, the work of abating such nuisance will be done by the County of Santa Clara Department of Agriculture and Resource Management Office on behalf of the City of Palo Alto, and the expenses thereof assessed upon the lots and lands from which, and/or in the front and rear of which, such weeds shall have been destroyed and removed. SECTION 4. The Santa Clara County, County Counsel has determined the Weed Abatement Program to be categorically exempt from the provisions of the California Environmental Quality Act ("CEQA") pursuant to CEQA Guidelines section 15308. INTRODUCED AND PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: ___________________________________ ______________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: ___________________________________ _______________________________ Senior Deputy City Attorney City Manager ________________________________ Director of Administrative Services _________________________ Fire Chief City of Palo Alto (ID # 5494) City Council Staff Report Report Type: Action Items Meeting Date: 3/2/2015 City of Palo Alto Page 1 Summary Title: Amend WGW Connection Fees Title: Public Hearing: Adoption of a Resolution Amending Water, Gas and Wastewater Connection and Capacity Fees and Miscellaneous Utility Charges (Utility Rate Schedules S-5, G-5, W-5 and C-1) From: City Manager Lead Department: Utilities RECOMMENDATION Staff and the Utilities Advisory Commission (UAC) recommend that the City Council adopt the attached resolution amending the following Utility Rate Schedules: W-5 (Water Service Connection Fees), G-5 (Gas Service Connection Fees), S-5 (Wastewater Service Connection Fees), and C-1 (Utility Miscellaneous Charges), effective May 1, 2015. BACKGROUND The Utilities Department provides service connections to meet customers’ needs for new gas, water, wastewater and electric services. Service connection fees and service call fees are designed to recover costs that the Utilities Department incurs to provide installation, connection, inspection and engineering of new service connections, including labor, equipment and other associated charges. Service connection fees also cover all charges related to the installation, relocation or abandonment of gas, water and wastewater services, which include Utility plan review charges, meter and hydrant installations and other service installation and inspection costs. The proposed changes also add some new meter sizes to the existing capacity fee options for water and wastewater service. No increases are proposed to any existing capacity fees. The method used for recovering the costs is either: a single fee based on average conditions or an estimated cost based on unusual field conditions. Most service connection costs are recovered through the single fee methodology, with the single fees presented in the attached rate schedules W-5, G-5, S-5 and C-1. Unusual field conditions and the associated costs are determined by the Utilities Engineering Manager. The connection fees typically are a sum of the costs of labor, materials, equipment, overhead, street paving, meter costs (where applicable), and landfill dump charges. City of Palo Alto Page 2 The last time a cost-of-service study of connection fees, excluding capacity fees, was performed by staff was in 2008. The water and wastewater capacity fees study was performed by Black and Veatch that same year. Both the connection fees and capacity fees increases were approved by Council in 2008 following the studies, with the phase-in of only the capacity fee increases in 2009 and 2010 to manage the impact of the increases to mainly developers of new residential single family and multi-family dwellings, and hotel construction (CMR: 227:08, CMR 222:09, and CMR: 214:10). Staff’s recent internal cost-of-service study of connection and service-related costs indicates that current fees do not fully recover the Utilities Department’s direct and indirect costs; therefore, an increase is necessary. Fees are developed to cover standard connections under basic assumptions. New items are added to the rate schedule to cover additional scenarios and changing conditions. However, engineering estimates are required to determine the appropriate fees for special requirements that arise occasionally. DISCUSSION Besides the changes proposed and described below, staff reviewed each of the attached rate schedules for clarity, making edits as needed to improve readability and ensure that defined terms used in Rule 2 (Definitions and Abbreviations) were properly capitalized in each rate schedule. All changes are shown in redline and attached. Water-Gas-Wastewater Connection Fees The proposed increases in water, gas, and wastewater connection fees are due to a combination of factors including higher labor rates, additional meter costs, and an increase in work time to reflect the actual time required to complete each job. The proposed water service connection fees increased on average 87% with a decrease on average of 14% for domestic, irrigation and fire combined service connection charges; the proposed gas service connection fees increased on average 94%; and the proposed wastewater service connection fees increased on average 41%. The largest proposed fee increases are for meter installation charges for water and gas services. The current fees for domestic water and gas meter installations do not cover the material cost of the meter box and the new standard electronic water meter (E-meter) which was adopted in the 2013 Water, Gas, and Wastewater Utility Standards. They also do not cover the labor costs for setting or inspecting new meters on new or existing services. The proposed connection fee schedules will also recover utility plan review costs through the proposed addition of standardized utility plan review fees, along with engineering and inspection costs for a variety of utility work performed by outside contractors. Standardizing these fees will shorten the permit issuing process by eliminating the labor intensive estimation work that was done previously for water, gas and wastewater utility plan reviews and engineering and inspection work for unusual/large projects. In addition, new fees for tapping City of Palo Alto Page 3 water and gas mains are proposed to be added to the connection fee schedules to provide an option to customers who prefer to use their own contractors for the service installation. Per Palo Alto Municipal Code Titles 15 and 16 (Palo Alto Fire Code and Building Regulations), adopted in 2008, all new construction or renovation of one- and two-family dwellings is required to install automatic sprinkler systems. The proposed decreases in new water service connection fees, on average 14%, are due to combining domestic water, fire, and/or irrigation capability into one system. New customers will be charged, under the proposed fee schedule, for installing only one pipe servicing any purpose (fire, domestic or irrigation). Tables 1, 2, and 3 present a summary of the proposed changes to Gas, Water, and Wastewater Service Connection Fees, respectively. City of Palo Alto Page 4 Table 1 – Summary of Proposed Changes to Gas Service Standard Connection Fees (Attachment B – Utility Rate Schedule G-5) Rate Schedule Section and Title Reason(s) for Proposed Changes B.1 & B.2 Plan Review Fees New standardized fees to shorten processing time for permit issuance. Fees are based on estimated hours for plan review. Mainly used for commercial projects in excess of $200,000 and new subdivisions. B.3 Distribution System Extension Charge Increased labor rates and installation time B.4. Connection Charge for Service Installed on Existing Main - directionally bored connections Increased labor rates, material costs, and installation time B.4 Connection Charge for Service Installed on Existing Main - trenched connections and contractor provided trenches Provides fee for when field conditions call for open -trench method, instead of directionally bored (trenchless) method Provides an option for customers who wish to have their contractor provide the trench for service installations by City staff B.5 Meter Charges Increased material costs and inclusion of actual labor costs for setting and inspection of meters B.5 4" Bollard New standard bollard size B.6 Additional meters on existing and new services Increased material costs and inclusion of actual labor costs for setting and inspection of meters B.7 Service Riser Relocation Increased labor rates and relocation time B.9 Tapping the gas main for contractor installed services Provides an option to customers in wanting to employ their own contractor for the service installation. City staff will perform tapping of live gas main. D.1 Engineering and Inspection Service Fees Increased labor rates. New standardized fees to shorten processing time for permit issuance. City of Palo Alto Page 5 Table 2 – Summary of Proposed Changes to Water Service Standard Connection Fees (Attachment D – Utility Rate Schedule W-5) Rate Schedule Section and Title Reason(s) for Proposed Changes B.1 Plan Review Fees New standardized fees to shorten processing time for permit issuance. Fees are based on estimated hours for plan review. Mainly used for commercial projects in excess of $200,000 and new subdivisions. B.2 Distribution System Extension Charge New standard material and larger minimum diameter pipes for mains B.3 Service Connection Charges (for Domestic, Fire, & Irrigation) Combining of Domestic, Fire, and Irrigation for multiple purposes reduced required work hours and material costs for installation B.4 Meter Charges New standard electronic (E-meter) and compound meters and inclusion of actual labor costs for setting and inspection of meters B.5 Additional Meters on Connection New standard electronic (E-meter) and compound meters and inclusion of actual labor costs for setting and inspection of meters B.7 Capacity Fees New minimum fixture units are proposed to align meter size with customer-identified on-site current and future demand D.1 2-Meter Manifold Increased labor rates and material costs D.2 Service Abandonment Increased time for demolition due to unpredictable underground field conditions D.3 Meter Installation Standardized fee for engineering and inspection for large meter purchase and installation by other parties D.4 Hydrant Installation Increased installation time and material costs D.5 Tapping the water main for contractor installed services Provides an option to customers who want to employ their own contractor for the service installation. City staff will perform tapping of live water main. D.6 Engineering and Inspection Increased labor rates. New standardized fees to shorten processing time for permit issuance. City of Palo Alto Page 6 Table 3 – Summary of Proposed Changes to Wastewater Service Standard Connection Fees (Attachment F – Utility Rate Schedule S-5) Rate Schedule Section and Title Reason(s) for Proposed Changes B.1 Plan Review Fees New standardized fees to shorten processing time for permit issuance. Fees are based on estimated hours for plan review. Mainly used for commercial projects in excess of $200,000 and new subdivision. B.2 Collection System Extension Charge Increased labor rates, material costs, and installation time B.3 Connection Charges Increased labor rates and material costs B.3 Connection Charges - Rehab Existing Lateral Provides option for customer with existing vitrified clay pipe and other laterals that can be rehabilitated by trenchless rehabilitation methods B.5 Capacity Fees No changes D.1 Install Manhole Increased labor rates, materials costs, and time for installation due to traffic congestion, night time work, and difficult underground field conditions D.2 Abandonment and Demolition Increase labor rates and time for demolition due to difficult underground field conditions D. 3 Install New Cleanout New standard fee for cleanout installation D.4 Engineering and Inspection Fees Increased labor rates. New standardized fees to shorten processing time for permit issuance. Capacity Fees No increases are proposed to any existing capacity fees, but some new meter size options are being added to align meter size with customer demand. A minimum number of fixture units is proposed for 4-inch and 6-inch water meters; currently no minimum is required. The proposed minimums offer an incentive for customers to accurately report the number of fixture units and to request meters that will supply their stated fixture units and corresponding gallons-per- minute of demand. The City installs water meters to match the customer’s demand as stated on the Customer Utility application/load sheet. Customers who want a large 4-inch or 6-inch compound meter will need to meet the proposed minimum number of fixture units on the application/load sheet or pay the capacity fee based on this minimum number of fixture units, with additional fixture units beyond the minimum number to be calculated at $125.00 per fixture unit. Utility Miscellaneous Charges (Attachment H – Utility Rate Schedule C-1) Utility Rate Schedule C-1 covers flat rate charges for service calls related to service disconnection and restoration for non-payment. In addition, labor rates per hour per person City of Palo Alto Page 7 for non-standard service work have been revised and the proposed rates are increasing 13% to reflect updated labor costs since 2002. The proposed service call flat rates are increasing 35 percent due to increases in pension and medical costs, market salary re-alignment, and additional infrastructure expenses since 2008. Connection Fees in Other Local Utilities The proposed fee changes for the water utility will be more in-line with other local utilities. Attachment K, Connection Fees Comparison 2014, shows some of the comparable water utility connection fees with other local utilities. There were no comparable gas utility connection fees and most local utilities do not own wastewater laterals. The proposed fee changes were developed in accordance with the Mitigation Fee Act (California Government Code Section 66000 – 66008), which governs water and wastewater utility connection and capacity charges. The Act sets forth notice and hearing procedures and requires that fees not exceed the estimated reasonable cost of providing the service for which the fee is imposed. Although the City’s gas connection fees and service call fees are not covered by the Act, the City has followed its procedural and substantive requirements with respect to these cost-based fees, for transparency and ease of administration. Government Code 66016 requires that prior to levying a new or increased fee or service charge, the City Council must hold at least one public meeting to listen to any oral or written presentations on the fees. If approved, the proposed fee changes will take effect on May 1, 2015, 60 days after the City Council adopts the resolution amending the fees, in accordance with Government Code Section 66017. BOARD/COMMISSION REVIEW AND RECOMMENDATION At its meeting on December 10, 2014, the Utilities Advisory Commission discussed the change in the total cost due to the proposed change in fees for a homeowner. Staff indicated that every service is different, but for a typical residential customer needing gas, water and sewer services, the cost would change from $13,700 to $17,400, a 27% increase. Some commissioners asked how long it has been since the fees have changed and how the fees compare to those for other entities, such as PG&E for gas and other entities for sewer. Staff replied it has been at least 5 to 6 years since the fees were changed and fees for PG&E gas connection services are not comparable because the PG&E fees are prepared by PG&E estimators on a case by case basis. For sewer connection services, Palo Alto is different from other jurisdictions since the City owns the lower sewer laterals. In most other agencies, the customer owns the entire sewer lateral so the agencies don’t have comparable connection fees. Staff plans to evaluate the option of transferring ownership of the lower sewer lateral to the customers and go through the policy change process, after the laterals have been examined and/or repaired as a result of the cross- bore inspection program. Staff indicated that when fees change, as a courtesy to customers, the City sends a letter to those with projects on file and provides a 90-day period during which the customers can pay City of Palo Alto Page 8 the fees under the old rates. Some Commissioners were concerned that projects might not be far enough along in the planning phase preventing fee estimates from being firmed up. Staff explained that generally, if there is a project on file, the City has already provided an estimate of the fees. A motion was made and seconded to approve staff’s recommendation. The motion passed unanimously (6-0 with Chair Foster, Vice Chair Waldfogel, Commissioners Cook, Eglash, Hall and Melton voting yes, and with Commissioner Chang absent) to recommend that the Council amend the following Utility Rate Schedules: W-5 (Water Service Connection Fees), G-5 (Gas Service Connection Fees), S-5 (Wastewater Service Connection Fees), and C-1 (Utility Miscellaneous Charges. RESOURCE IMPACT Based on the assumption that the fee changes will take effect in May 1, 2015, the estimated increase in annual connection fee revenues is approximately $225,000 in the Gas Fund, $150,000 in the Water Fund, and $75,000 in the Wastewater Fund. POLICY IMPLICATIONS These recommendations do not represent a change in current City policies. ENVIRONMENTAL REVIEW The adoption of the resolution is statutorily exempt from the California Environmental Air Quality Act; under California Code of Regulations Title 14, Chapter 3, Section 15273(a), because CEQA does not apply to the modification, restructuring, or approval of rates and charges for the purpose of meeting operating expenses and obtaining funds for capital projects necessary to maintain service. Attachments:  Attachment A: Resolution to amend rate sched W-5, G-5, S-5, C-1 effective 05-01-2015 (PDF)  Attachment B: Rate Sched G-5 effective 05_01_2015 (PDF)  Attachment C: Redline Rate Sched G-5 effective 05_01_2015 (PDF)  Attachment D: Rate Sched W-5 effective 05_01_2015 (PDF)  Attachment E: Redline Rate Sched W-5 effective 05_01_2015 (PDF)  Attachment F: Rate Sched S-5 effective 05_01_2015 (PDF)  Attachment G: Redline Rate Sched S-5 effective 05_01_2015 (PDF)  Attachment H: Rate Sched C-1 effective 05_01_2015 (PDF)  Attachment I: Redline Rate Sched C-1 effective 05_01_2015 (PDF)  Attachment J: Backup Spreadsheets FY2014_2015 (PDF)  Attachment K: Connection fees comparison_2014 (PDF)  Attachment L: UAC Connection Fees Report dated December 10, 2014 without attachments (PDF)  Attachment M: Excerpted Draft UAC Minutes of December 10, 2014 (PDF) ATTACHMENT A 6053235 RESOLUTION NO. _____________________ RESOLUTION OF THE COUNCIL OF THE CITY OF PALO ALTO AMENDING WATER, GAS, AND WASTEWATER CONNECTION AND CAPACITY FEES AND MISCELLANEOUS UTILITY CHARGES (UTILITY RATE SCHEDULES W-5, G-5, S-5, AND C-1) The Council of the City of Palo Alto does hereby RESOLVE as follows: Section 1. Pursuant to section 12.20.010 of the Palo Alto Municipal Code, Schedule W-5 (Water Service Connection Fees) of the Palo Alto Utilities Rates and Charges is hereby amended to read as attached and incorporated. The foregoing Utility Rate Schedule, as amended, shall become effective May 1, 2015. Section 2. Pursuant to section 12.20.010 of the Palo Alto Municipal Code, Schedule G-5 (Gas Service Connection Fees) of the Palo Alto Utilities Rates and Charges is hereby amended to read as attached and incorporated. The foregoing Utility Rate Schedule, as amended, shall become effective May 1, 2015. Section 3. Pursuant to section 12.20.010 of the Palo Alto Municipal Code, Schedule S-5 (Wastewater Service Connection Fees) of the Palo Alto Utilities Rates and Charges is hereby amended to read as attached and incorporated. The foregoing Utility Rate Schedule, as amended, shall become effective May 1, 2015. Section 4. Pursuant to section 12.20.010 of the Palo Alto Municipal Code, Schedule C-1 (Utility Miscellaneous Charges) of the Palo Alto Utilities Rates and Charges is hereby amended to read as attached and incorporated. The foregoing Utility Rate Schedule, as amended, shall become effective May 1, 2015. Section 5. The Council finds that the fees and charges adopted by this resolution are charges imposed for a specific government service or product provided directly to the payor that are not provided to those not charged, and do not exceed the reasonable costs to the City of providing the service or product. Section 6. Council finds that the adoption of this resolution is statutorily exempt from the California Environmental Quality Act (CEQA), pursuant to California Code of Regulations Title 14, Chapter 3, Section 15273(a), because the fees and charges proposed are necessary to recover the cost of providing utility service and meet operating expenses. After reviewing the reports presented, the Council incorporates these documents herein and finds that sufficient evidence has been presented setting forth with specificity the basis for this claim of CEQA exemption. INTRODUCED AND PASSED: AYES: NOES: ATTACHMENT A 6053235 ABSENT: ABSTENTIONS: ATTEST: ____________________________ _________________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: ____________________________ _________________________________ Senior Deputy City Attorney City Manager _________________________________ Director of Utilities _________________________________ Director of Administrative Services GAS SERVICE CONNECTION FEES UTILITY RATE SCHEDULE G-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No.G-5-1 dated 8-8-2008 Sheet No. G-5-1 A. GENERAL: 1. TERRITORY: This Rate Schedule applies everywhere the City of Palo Alto provides Gas Service. B. FEES: Plan review fees must be paid prior to permit approval by the Utilities Department. Construction or connection fees must be paid prior to the scheduling of any construction. Depending on material availability and scheduling constraints, Utility Service will be installed between 30 and 40 days following receipt of full payment. Regular work hours are 8 AM to 5 PM, Monday through Friday. Any work the City deems necessary to be performed during non-regular work hours shall be charged 1.15 times the stated fee to recover the overtime labor cost. These conditions include but are not limited to performing work on arterial streets, in business districts, in front of major commercial establishments, and near schools. Any work required to be performed during non-regular work hours where the work is scheduled at the Customer’s convenience shall be charged 1.25 times the stated fee to recover the overtime labor cost. All invoices are valid for 90 days from date of issuance. 1. COMMERCIAL PLAN REVIEW: New commercial building or remodeling permit valuation greater than$200,000 ............$2,316.00 New subdivision residential unit (Gas only) ................................................................. $348.00/unit System extension 2-inch polyethylene (PE) Gas main ....................................................... $12.00/ft 2. RESIDENTIAL PLAN REVIEW: New single-family residential (SFR) building or SFR remodeling permit valuation greater than$100,000 .........................................................................................................................$848.00 3. DISTRIBUTION SYSTEM EXTENSION CHARGE: Charge per lineal foot ....................................................................................................... $173.00 /ft 4. CONNECTION CHARGE FOR SERVICE INSTALLED ON EXISTING MAIN: The Service connection fees include up to 40 feet of Service Line installation inside the property line. ATTACHMENT B GAS SERVICE CONNECTION FEES UTILITY RATE SCHEDULE G-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No.G-5-2 dated 8-8-2008 Sheet No. G-5-2 Size 1-inch directionally bored connection ................................................................................$4,343.00 2-inch directionally bored connection ................................................................................$5,250.00 Excess length fee for directionally bored connection ...................................................... $49.00 /ft* 1- or 2-inch trenched connection .......................................................................................$5,976.00 2-inch main installation in contractor provided trench ...................................................... $60.00 /ft Above 2-inch connection ......................................................................................... Utility Estimate *Excess Length Fee: An additional Charge ($49.00 /foot) will apply to an extension greater than forty feet from the street property line to the Gas Meter location, measured along a line perpendicular to the street property line. Service Location: The Service Line will be installed along the shortest, most practical route, as determined by the Utilities Department (from the Gas main in the adjoining street, alley, lane road, or easement to the nearest suitable Meter location at the building or structure). 5. METER CHARGES: 250 Cubic Foot Per Hour (CFH) House Meter .....................................................................$850.00 250 CFH Curb Meter .........................................................................................................$1,805.00 400 CFH House Meter ..........................................................................................................$961.00 400 CFH Curb Meter .........................................................................................................$2,023.00 630 CFH House Meter .......................................................................................................$1,329.00 630 CFH Curb Meter .........................................................................................................$2,285.00 800 CFH Diaphragm – Commercial House Meter ............................................................$1,781.00 1000 CFH Diaphragm - Commercial House Meter ..........................................................$1,886.00 1500 CFH Rotary-Commercial House Meter ....................................................................$2,487.00 2000 CFH Rotary-Commercial ..........................................................................................$3,417.00 3000 CFH Rotary-Commercial ..........................................................................................$3,431.00 5000 CFH Rotary-Commercial ..........................................................................................$3,837.00 7000 CFH Rotary-Commercial ..........................................................................................$4,418.00 11000 CFH Rotary-Commercial ......................................................................................$11,405.00 16000 CFH Rotary-Commercial ......................................................................................$12,472.00 23000 CFH Rotary-Commercial ......................................................................................$14,760.00 Electronic Volume Corrector System ................................................................................$5,808.00 AMR Encoder Receiver Transmitter – Diaphragm Meter ....................................................$155.00 ATTACHMENT B GAS SERVICE CONNECTION FEES UTILITY RATE SCHEDULE G-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No.G-5-3 dated 8-8-2008 Sheet No. G-5-3 AMR Encoder Receiver Transmitter – Rotary Meter ...........................................................$208.00 Vent line for Gas Regulator ..................................................................................................$305.00 2-inch bollard (to protect Gas Meter) installation fee ...........................................................$339.00 4-inch bollard (to protect Gas Meter) installation fee ...........................................................$494.00 Other Meter sizes ..................................................................................................... Utility Estimate 6. ADDITIONAL METERS ON CONNECTION: (Applies to small Meters up to 630 CFH) Per Meter With new connection ............................................................................................................$529.00 On existing metered connection .........................................................................................$1,193.00 Charges for Meters above 630 CFH will be based on the Utilities Department’s estimate. 7. SERVICE RELOCATION: Service riser relocation.......................................................................................................$1,422.00 Service riser relocations will only be performed on 1-inch and larger polyethylene (PE) pipe Service Lines that have been approved by Utilities Department. All “other material pipe” Service Lines must be replaced from the main to the Meter at the fees listed in Section B(4) of this Rate Schedule. Curb Meter- Riser relocation on existing 1-inch PE pipe .....................................................$796.00 Curb Meter- Riser relocation on same alignment of existing Service ...............................$1,274.00 Curb Meter- New Service from main to house ..................................................................$2,038.00 8. RELOCATION OF FACILITIES: Approved relocation of Service and other facilities will be done at the cost of the person requesting the relocation. Payment of estimated cost is required before relocation work begins. 9. TAPPING THE GAS MAIN FOR CONTRACTOR INSTALLED SERVICES: Tap Gas main for 1- to 2-inch Service ...............................................................................$1,603.00 Tap Gas main for 4- to 6-inch Service ...............................................................................$2,212.00 C. OTHER REQUIREMENTS AND CONDITIONS: ATTACHMENT B GAS SERVICE CONNECTION FEES UTILITY RATE SCHEDULE G-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No.G-5-4 dated 8-8-2008 Sheet No. G-5-4 1. INSTALLATION: The City of Palo Alto installs all Gas Services unless directed otherwise and approved by the City of Palo Alto Utilities Department. 2. SERVICE CHARGES: (A) Additional Service connections are available with payment of additional Service connection Charges shown in Section B. (B) Replacement of Service connections made necessary because of ordinary wear and deterioration will be made without Charge. However, if the need for replacement arises due to meeting an increase in load, the new Service will be charged as a new Service under Section B. (C) In commercial or industrial areas where a surface Meter installation is impractical, Meters may be placed in underground vaults. Vaults must be provided and installed by the owner in accordance with the Gas utility's specifications. The vault lid sections shall not exceed 70 pounds. All lids shall be centered above the Gas Meter to allow visibility of the Meter face for Meter reading purposes. 3. UNDER UNUSUAL CONDITIONS: (A) A condition which, in the opinion of the Engineering Manager, Water-Gas- Wastewater will result in a cost higher than the fees in Section B, will be classified as unusual. The Charge for an unusual installation will be based on the Engineering Manager, Water-Gas-Wastewater estimate of the total costs of all materials, labor, and other costs incidental to the installation. (B) In the event Gas Service to a premise is requested and insufficient capacity exists to provide such Service, the Applicant shall bear the total cost for designing and enlarging the Distribution System to accommodate serving the Applicant. The Engineering Manager, Water-Gas-Wastewater may require the Applicant to make arrangements for the design and construction of said expansion in accordance with City standards and specifications. Alternatively, the Engineering Manager may elect for City forces or contractors to design and install respectively such facilities at the Applicant's expense. Full credit to the Applicant will be provided for any over sizing or extra facilities installed to meet Service demands above ATTACHMENT B GAS SERVICE CONNECTION FEES UTILITY RATE SCHEDULE G-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No.G-5-5 dated 8-8-2008 Sheet No. G-5-5 the specific capacity needs of the Applicant as defined in the Utility’s rules and Regulations. 4. MASTER METERED GAS SERVICE For Master-Meter Services using high volumes of Gas, the Applicant must provide all required Meters, sending units, regulators, and other necessary flow control equipment as specified by the City and approved by the Engineering Manager, Water-Gas-Wastewater. D. OTHER SERVICE CHARGES: 1. OTHER SERVICE FEES: The following fees will apply to utility work performed by outside contractors, which may be done only with the prior approval of the Utilities Department: (A) Engineering service fee ........................................................................................ $151.00/hr (B) Inspection service fee: i. Inspection during regular work hours (M-F 8 AM to 5 PM) ............................ $118.00/hr ii. Inspection during non-regular work hours ....................................................... $139.00/hr iii. Inspection during non-regular work hours for Customer’s convenience ........ $159.00/hr {End} ATTACHMENT B GAS SERVICE CONNECTION FEES UTILITY RATE SCHEDULE G-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Effective 8-1-2008Sheet No. G-5-1 Supersedes Sheet No.G-5-1-1-4 dated 7-1-20068-8-2008 Sheet No. G-5-7 A. GENERAL: 1. TERRITORY: Inside the incorporated limits ofThis Rate Schedule applies everywhere the City of Palo Alto and on land owned or leased by the City of Palo Altoprovides Gas Service. B. FEES: AllPlan review fees must be paid prior to permit approval by the Utilities Department. Construction or connection fees must be paid prior to the scheduling of any construction. Depending on material availability and scheduling constraints, utility serviceUtility Service will be installed between 30 and 40 days following receipt of full payment. Any work required to be done outside of Regular work hours are 8 AM to 5 PM, Monday through Friday. Any work the City deems necessary to be performed during non-regular work hours due to traffic, existing conditions or applicants requirements shall be charged at 1.515 times the stated fee. The following fees are regularly updated, therefore all billings to recover the overtime labor cost. These conditions include but are onlynot limited to performing work on arterial streets, in business districts, in front of major commercial establishments, and near schools. Any work required to be performed during non-regular work hours where the work is scheduled at the Customer’s convenience shall be charged 1.25 times the stated fee to recover the overtime labor cost. All invoices are valid for 90 days from date of billingissuance. 1. 1COMMERCIAL PLAN REVIEW: New commercial building or remodeling permit valuation greater than$200,000 ............$2,316.00 New subdivision residential unit (Gas only) ................................................................. $348.00/unit System extension 2-inch polyethylene (PE) Gas main ....................................................... $12.00/ft 2. RESIDENTIAL PLAN REVIEW: New single-family residential (SFR) building or SFR remodeling permit valuation greater than$100,000 .........................................................................................................................$848.00 3. DISTRIBUTION SYSTEM EXTENSION CHARGE: Charge per lineal foot …………………………………………………………………. $93.00/ft. ATTACHMENT C GAS SERVICE CONNECTION FEES UTILITY RATE SCHEDULE G-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Effective 8-1-2008Sheet No. G-5-2 Supersedes Sheet No.G-5-2-2-4 dated 7-1-20068-8-2008 Sheet No. G-5-7 2 Charge per lineal foot $173.00 /ft 4. CONNECTION CHARGE FOR SERVICE INSTALLED ON EXISTING MAIN: The Service connection fees include up to 40 feet of Service Line installation inside the property line. Size 1-inch connection ...............................................................................................................$2,766.00 2-inch connection .................................................................................................................4,156.00 1-inch directionally bored connection ................................................................................$4,343.00 2-inch directionally bored connection ................................................................................$5,250.00 Excess length fee for directionally bored connection ...................................................... $49.00 /ft* 1- or 2-inch trenched connection .......................................................................................$5,976.00 2-inch main installation in contractor provided trench ...................................................... $60.00 /ft Above 2-inch connection ......................................................................................... Utility Estimate *Excess Length Fee: An additional charge ($20.00/Charge ($49.00 /foot for a 1-inch connection and $22.00/foot for a 2- inch connection) will apply to an extension greater than forty feet from the street property line to the gas meterGas Meter location, measured along a line perpendicular to the street property line. This fee also applies when contractor provides trenching and backfill for new 1” and 2” gas piping installed by City crews. Service Location: The service lineService Line will be installed along the shortest, most practical route, as determined by Thethe Utilities Department (from the gasGas main in the adjoining street, alley, lane road, or easement to the nearest suitable meterMeter location at the building or structure). 35. METER CHARGES: 250 CFH House meter .........................................................................................................$ 347.00 250 CFH Curb meter ............................................................................................................$ 813.00 400 CFH House meter .........................................................................................................$ 468.00 400 CFH Curb meter ............................................................................................................$ 934.00 630 CFH House meter .........................................................................................................$ 697.00 630 CFH Curb meter ............................................................................................................$ 975.00 1000 CFH Diaphragm - Commercial house meter .............................................................1,665.00 1100-1500 CFH Rotary-Commercial House meter .............................................................1,735.00 ATTACHMENT C GAS SERVICE CONNECTION FEES UTILITY RATE SCHEDULE G-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Effective 8-1-2008Sheet No. G-5-3 Supersedes Sheet No.G-5-3-3-4 dated 7-1-20068-8-2008 Sheet No. G-5-7 2000 CFH Rotary-Commercial ............................................................................................1,999.00 3000 CFH Rotary-Commercial ............................................................................................2,140.00 5000 CFH Rotary-Commercial ............................................................................................2,983.00 7000 CFH Rotary-Commercial ............................................................................................3,625.00 11000 CFH Rotary-Commercial ..........................................................................................4,997.00 16000 CFH Rotary-Commercial ..........................................................................................6,300.00 Electronic Volume Corrector System ..................................................................................5,808.00 AMR Encoder Receiver Transmitter – diaphragm meter................................................................. 81.00 AMR Encoder Receiver Transmitter – rotary meter ...............................................................….... 130.00 Vent line for gas regulator …..……………………………………………………………….. 108.00 Bollard (to protect gas meter) installation Fee............................................................................. 162.00 250 Cubic Foot Per Hour (CFH) House Meter .....................................................................$850.00 250 CFH Curb Meter .........................................................................................................$1,805.00 400 CFH House Meter ..........................................................................................................$961.00 400 CFH Curb Meter .........................................................................................................$2,023.00 630 CFH House Meter .......................................................................................................$1,329.00 630 CFH Curb Meter .........................................................................................................$2,285.00 800 CFH Diaphragm – Commercial House Meter ............................................................$1,781.00 1000 CFH Diaphragm - Commercial House Meter ..........................................................$1,886.00 1500 CFH Rotary-Commercial House Meter ....................................................................$2,487.00 2000 CFH Rotary-Commercial ..........................................................................................$3,417.00 3000 CFH Rotary-Commercial ..........................................................................................$3,431.00 5000 CFH Rotary-Commercial ..........................................................................................$3,837.00 7000 CFH Rotary-Commercial ..........................................................................................$4,418.00 11000 CFH Rotary-Commercial ......................................................................................$11,405.00 16000 CFH Rotary-Commercial ......................................................................................$12,472.00 23000 CFH Rotary-Commercial ......................................................................................$14,760.00 Electronic Volume Corrector System ................................................................................$5,808.00 AMR Encoder Receiver Transmitter – Diaphragm Meter ....................................................$155.00 AMR Encoder Receiver Transmitter – Rotary Meter ...........................................................$208.00 Vent line for Gas Regulator ..................................................................................................$305.00 2-inch bollard (to protect Gas Meter) installation fee ...........................................................$339.00 4-inch bollard (to protect Gas Meter) installation fee ...........................................................$494.00 Other Meter Sizessizes ............................................................................................. Utility Estimate 46. ADDITIONAL METERS ON CONNECTION: ATTACHMENT C GAS SERVICE CONNECTION FEES UTILITY RATE SCHEDULE G-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Effective 8-1-2008Sheet No. G-5-4 Supersedes Sheet No.G-5-4-4-4 dated 7-1-20068-8-2008 Sheet No. G-5-7 (Applies to small metersMeters up to 400 SCFH630 CFH) Per Meter With new connection ..............................................................................................................$86.00 On existing metered connection ..............................................................................................286.00 With new connection ............................................................................................................$529.00 On existing metered connection .........................................................................................$1,193.00 Charges for metersMeters above 400 SCFH,630 CFH will be based on the Utility’sUtilities Department’s estimate. 57. SERVICE RELOCATION: Service riser relocation..........................................................................................................$834.00 Service riser relocation.......................................................................................................$1,422.00 Service riser relocations will only be performed on one 1-inch (1”) and larger polyethylene (PE) pipe services.Service Lines that have been approved by Utilities Department. All “other material pipe” servicesService Lines must be replaced from the main to the meterMeter at the fees listed in Section B (2(4) of this rate scheduleRate Schedule. Curb Meter- Riser relocation on existing 1” pe-inch PE pipe .................................$594.00$796.00 Curb Meter- Riser relocation on same alignment of existing service ......................... 965.00Service $1,274.00 Curb Meter- New service from main to house .....................................................................1,408.00 6Curb Meter- New Service from main to house ..........................................................$2,038.00 8. RELOCATION OF FACILITIES: Approved relocation of serviceService and other facilities will be done at the cost of the person requesting the re-location. Depositrelocation. Payment of estimated cost is required before relocation work begins. After the City completes the work, a final billing based on actual costs will be sent to the person requesting the relocation of facilities. 9. TAPPING THE GAS MAIN FOR CONTRACTOR INSTALLED SERVICES: ATTACHMENT C GAS SERVICE CONNECTION FEES UTILITY RATE SCHEDULE G-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Effective 8-1-2008Sheet No. G-5-5 Supersedes Sheet No.G-5-5-5-4 dated 7-1-20068-8-2008 Sheet No. G-5-7 Tap Gas main for 1- to 2-inch Service ...............................................................................$1,603.00 Tap Gas main for 4- to 6-inch Service ...............................................................................$2,212.00 C. OTHER REQUIREMENTS AND CONDITIONS: 1. 1.INSTALLATION: The City of Palo Alto installs all Gas Services unless directed otherwise and approved by the City of Palo Alto Utilities Department. 2. SERVICE CHARGES: (A) Additional serviceService connections are available with payment of additional serviceService connection chargesCharges shown in Section B. (B) Replacement of serviceService connections made necessary because of ordinary wear and deterioration will be made without chargeCharge. However, if the need for replacement arises due to meeting an increase in load, the new serviceService will be charged as a new serviceService under Section B. (C) In commercial or industrial areas where a surface meterMeter installation is impractical, metersMeters may be placed in underground vaults. Vaults must be provided and installed by the owner in accordance with the gasGas utility's specifications. The vault lid sections shall not exceed 70 pounds. All lids shall be centered above the gas meterGas Meter to allow visibility of the meterMeter face for meterMeter reading purposes. 23. UNDER UNUSUAL CONDITIONS: (A) A condition which, in the opinion of the Engineering Manager, Water-Gas- Wastewater will result in a cost higher than the fees in Section B, will be classified as unusual. The chargeCharge for an unusual installation will be based on the Engineering Manager, Water- Gas-Wastewater estimate of the total costs of all materials, labor, and other costs incidental to the installation. (B) In the event gas serviceGas Service to a premisespremise is requested and insufficient capacity exists to provide such serviceService, the applicantApplicant shall bear the total cost ATTACHMENT C GAS SERVICE CONNECTION FEES UTILITY RATE SCHEDULE G-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Effective 8-1-2008Sheet No. G-5-6 Supersedes Sheet No.G-5-6-6-4 dated 7-1-20068-8-2008 Sheet No. G-5-7 for designing and enlarging the distribution systemDistribution System to accommodate serving the applicantApplicant. The Engineering Manager, Water-Gas-Wastewater may require the applicantApplicant to make arrangements for the design and construction of said expansion in accordance with City standards and specifications. Alternatively, the Engineering Manager may elect for City forces or contractors to design and install respectively such facilities at the applicant'sApplicant's expense. Full credit to the applicantApplicant will be provided for any over sizing or extra facilities installed to meet serviceService demands above the specific capacity needs of the applicantApplicant as defined in the Utility’s Rulesrules and Regulations. 34. MASTER METERED GAS SERVICE For master meter servicesMaster-Meter Services using high volumes of gasGas, the applicantApplicant must provide all required metersMeters, sending units, regulators, and other necessary flow control equipment as specified by the City and approved by the Engineering Manager, Water-Gas-Wastewater. D. OTHER SERVICE CHARGES: 1. OTHER SERVICE FEES: The following fees will apply to utility work performed by outside contractors, which may be done only with the prior approval of the Utilities Department: (A) Engineering Service Fee ...................................................................................... $132.00/hr (A) Engineering service fee ........................................................................................ $151.00/hr (B) Inspection Service Fee .......................................................................... $102.00/service fee: i. Inspection during regular work hours (M-F 8 AM to 5 PM) ............................ $118.00/hr ii. Inspection during non-regular work hours ....................................................... $139.00/hr iii. Inspection during non-regular work hours for Customer’s convenience ........ $159.00/hr ATTACHMENT C GAS SERVICE CONNECTION FEES UTILITY RATE SCHEDULE G-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Effective 8-1-2008Sheet No. G-5-7 Supersedes Sheet No.G-5-7-7-4 dated 7-1-20068-8-2008 Sheet No. G-5-7 {End} ATTACHMENT C WATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE W-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No. W-5-1 dated 7-2-2010 Sheet No. W-5-1 A. GENERAL: 1. TERRITORY: This Rate Schedule applies anywhere the City of Palo Alto provides Water Service. B. FEES: Plan review fees must be paid prior to permit approval by the Utilities Department. Construction or connection fees must be paid prior to the scheduling of any construction. Depending on material availability and scheduling constraints, Utility Service will be installed between 30 and 40 days following receipt of full payment. Regular work hours are 8 AM to 5 PM, Monday through Friday. Any work the City deems necessary to be performed during non-regular work hours shall be charged 1.15 times the stated fee to recover the overtime labor cost. These conditions include but are not limited to performing work on arterial streets, in business districts, in front of major commercial establishments, and near schools. Any work required to be performed during non-regular work hours where the work is scheduled at the Customer’s convenience shall be charged 1.25 times the stated fee to recover the overtime labor cost. All invoices are valid for 90 days from date of issuance. 1. PLAN REVIEW: New commercial building or remodeling permit valuation greater than $200,000 ...........$3,072.00 New subdivision residential unit (Water only) ............................................................. $348.00/unit System extension 8-inch high-density polyethylene (HDPE) Water main ......................... $12.00/ft 2. DISTRIBUTION SYSTEM EXTENSION CHARGE: City standard 8-inch main, Charge per foot ..........................................................................$206.00 3. SERVICE CONNECTION CHARGES: Water Service: Domestic, Irrigation, and Fire Size Amount 2-inch connection ............................................................................................................. $4,863.00 4-inch connection ............................................................................................................. $7,156.00 6-inch connection ...............................................................................................................$8,137.00 ATTACHMENT D WATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE W-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No. W-5-2 dated 7-2-2010 Sheet No. W-5-2 8-inch connection................................................................................................................$9,469.00 10-inch connection............................................................................................................$10,625.00 Additional Domestic or Irrigation Services For Service installations connecting to a pre-existing, larger Service. 2-inch connection................................................................................................................$3,122.00 4-inch connection................................................................................................................$4,449.00 6-inch connection................................................................................................................$4,842.00 Combination Domestic or Irrigation Water Service and Fire Service For requests of combination domestic and fire Water Services, two Service connection Charges will apply: the Charge for connection of a fire Service and the Charge for domestic or irrigation Service installation connection to a larger Service. Approval from the Utilities Department is required for combination water service connections. Master Water Service Approval by the Director of Utilities is required for a connection that serves domestic Water Service and fire protection through a detector Meter. The Charge for master Water Service will be based on the Engineering Manager’s, Water-Gas-Wastewater, estimate of the total costs, including: materials, labor, metering not listed in Section B(4), and other costs incidental to the installation. For Service connections of 4-inch through 8-inch sizes and Meter sizes of 4-inch through 6-inch, the new owner must provide and install a concrete vault with meter reading lid covers to house Meters and other required control equipment in accordance with the Utilities Department’s specifications. An approved backflow prevention device with bypass assemblies must be provided by owner on all fire Services. 4. METER CHARGES: 5/8-inch x 3/4-inch E-Meter ..................................................................................................$698.00 1-inch E-Meter ......................................................................................................................$862.00 1 ½-inch E-Meter ...............................................................................................................$1,444.00 ATTACHMENT D WATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE W-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No. W-5-3 dated 7-2-2010 Sheet No. W-5-3 2-inch E-Meter ...................................................................................................................$1,635.00 4-inch Compound Meter ....................................................................................................$5,740.00 6-inch Compound Meter ....................................................................................................$8,051.00 AMR Encoder Receiver Transmitter .................................................................................... $108.00 5. ADDITIONAL METERS ON CONNECTION: With new connection .....................................................................................................$1,264.00 On existing connection .....................................................................................................$1,866.00 6. RELOCATION OF FACILITIES: Approved relocation of Service, hydrants, or other facilities will be done at the cost of the person requesting the re-location. Payment of estimated cost is required before relocation work begins. 7. CAPACITY FEES: Capacity fees will be charged for new Utility Services and added demand on existing Services Domestic: 5/8-inch x 3/4-inch E-Meter ...............................................................................................$5,000.00 1-inch E-Meter ...................................................................................................................$9,400.00 1 ½-inch E-Meter .............................................................................................................$18,850.00 2-inch E-Meter .................................................................................................................$56,250.00 4-inch Compound Meter ................................................. estimate at $125/FU; minimum 5,000 FU (5,000 FU is mid-range operating capacity of 4-inch Meter) 6-inch Compound Meter .................................................. estimate at $125/FU minimum 7,000 FU (7,000 FU is mid-range operating capacity of 6-inch Meter) Added demand on an existing Water Service will be calculated at $125.00/FU Note: FU is fixture unit (1 FU=15gpd) Fire Service Capacity Fees: 2-inch ....................................................................................................................................$750.00 4-inch .................................................................................................................................$9,000.00 6-inch ...............................................................................................................................$22,530.00 8-inch ...............................................................................................................................$43,080.00 ATTACHMENT D WATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE W-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No. W-5-4 dated 7-2-2010 Sheet No. W-5-4 10-inch .............................................................................................................................$69,510.00 If a Customer is upgrading the capacity of an existing Service, then the capacity Charge will be the difference between the new Service size and the existing Service size. C. OTHER REQUIREMENTS AND CONDITIONS 1. INSTALLATION: The City of Palo Alto installs all Water Services unless directed otherwise and approved by City of Palo Alto Utilities Department. 2. SERVICE CHARGES: (A) Additional Service connections are available with payment of an additional Service connection Charge as shown in Section B. (B) Replacement of Service connection made necessary because of ordinary wear and deterioration will be made without Charge. Replacement due to inadequacy because of additional demand or load will be charged as a new Service connection. 3. INSTALLATION UNDER UNUSUAL CONDITIONS: (A) Any condition which, in the opinion of the Engineering Manager, Water-Gas-Wastewater will result in a cost higher than the Charges set forth in Section B will be classified as unusual. The Charge for an unusual installation will be based on Engineering Manager, Water-Gas- Wastewater's estimate of the total costs of all materials, labor, and other costs incidental to the installation. (B) In the event Water Service to a Premise is requested and insufficient capacity exists to provide such Service, the Applicant shall bear the total cost for enlarging the Distribution System to accommodate serving the Applicant. The Engineering Manager, Water-Gas-Wastewater may require the Applicant to make arrangements for the design and construction of said expansion in accordance with City standards and specifications. Alternatively, the Engineering Manager, Water-Gas-Wastewater may elect for City forces or contractors to design and install respectively such facilities at the Applicant’s expense. 4. EXCEPTIONS: ATTACHMENT D WATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE W-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No. W-5-5 dated 7-2-2010 Sheet No. W-5-5 (A) Water Service Areas 3 & 4, connections served directly from supply main: The Distribution System Charges (Section B) will be based on a maximum frontage of 660 feet. This exception applies to single applications for Service and does not apply to subdivisions or tracts. (B) The subdivision developer will furnish and install the Water system at his or her expense and in accordance with City's specifications. D. OTHER SERVICES: 1. 2 METER MANIFOLD: (A) 2-inch ............................................................................................................................$724.00 2. ABANDONMENT: (A) Small Service 2-inch and less ....................................................................................$2,653.00 (B) Large Service more than 2-inch .................................................................................$3,715.00 3. METER INSTALLATION: Charges for large Meter installations by third parties, i.e. contractors, developers, etc. 8-inch to 12-inch Meters ....................................................................................................$3,235.00 4. FIRE HYDRANT: (A) Install new hydrant without lateral.............................................................................$2,552.00 (B) Install new hydrant with lateral ................................................................................$12,840.00 (C) Relocation behind curb (up to 5 feet) ........................................................................$6,841.00 Relocations more than 5 feet will require a new lateral and the existing lateral will be disconnected and abandoned at the main. 5. TAPPING THE WATER MAIN FOR CONTRACTOR INSTALLED SERVICES: (A) Tap Water main for 2-inch Service ............................................................................$1,649.00 (B) Tap Water main for 4-inch Service ............................................................................$2,162.00 (C) Tap Water main for 6-inch Service ............................................................................$3,288.00 (D) Tap Water main for 8-inch Service ............................................................................$4,498.00 ATTACHMENT D WATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE W-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No. W-5-6 dated 7-2-2010 Sheet No. W-5-6 6. OTHER FEES: The following fees will apply to utility work performed by outside contractors: (A) Engineering fee (per hour) ............................................................................................$151.00 (B) Utility inspection fee (per hour): i. Inspection during regular work hours (M-F 8 AM to 5 PM) .....................................$118.00 ii. Inspection during non-regular work hours................................................................$139.00 iii. Inspection during non-regular work hours for Customer’s convenience…………..$159.00 (C) Engineering and inspection for new 2-inch Service ..................................................$1,618.00 (D) Engineering and inspection for new 2-inch Service connected to larger Service ......$1,078.00 (E) Engineering and inspection for new 4-inch to 8-inch Service ...................................$2,426.00 (F) Engineering and inspection for new hydrant and Service ..........................................$2,426.00 (G) Engineering and inspection for abandonment of 2-inch and smaller Service ..............$809.00 (H) Engineering and inspection for abandonment of 3-inch and larger Service ..............$1,078.00 (I) Engineering and inspection for new 8-inch main (per linear foot) .................................$27.00 {End} ATTACHMENT D WATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE W-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-2-201005-01-2015 Supersedes Sheet No. W-5-1 dated 7-6-20092-2010 Sheet No. W-5-1 A. GENERAL: 1. TERRITORY: Inside the incorporated limits ofThis Rate Schedule applies anywhere the City of Palo Alto and on land owned or leased by the City of Palo Altoprovides Water Service. B. FEES: AllPlan review fees must be paid prior to permit approval by the Utilities Department. Construction or connection fees must be paid prior to the scheduling of any construction. Depending on material availability and scheduling constraints, utility serviceUtility Service will be installed between 30 and 40 days following receipt of full payment. Any work required to be done outside of Regular work hours are 8 AM to 5 PM, Monday through Friday. Any work the City deems necessary to be performed during non-regular work hours due to traffic, existing conditions or applicant’s requirements shall be charged at 1.515 times the stated fee. The following fees are regularly updated, therefore all billings to recover the overtime labor cost. These conditions include but are onlynot limited to performing work on arterial streets, in business districts, in front of major commercial establishments, and near schools. Any work required to be performed during non-regular work hours where the work is scheduled at the Customer’s convenience shall be charged 1.25 times the stated fee to recover the overtime labor cost. All invoices are valid for 90 days from date of billingissuance. 1. 1PLAN REVIEW: New commercial building or remodeling permit valuation greater than $200,000 ...........$3,072.00 New subdivision residential unit (Water only) ............................................................. $348.00/unit System extension 8-inch high-density polyethylene (HDPE) Water main ......................... $12.00/ft 2. DISTRIBUTION SYSTEM EXTENSION CHARGE: For City Standard 6" Main, charge per foot ................................................................ $111.00 2City standard 8-inch main, Charge per foot ........................................................................$206.00 3. SERVICE CONNECTION CHARGES: ATTACHMENT E WATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE W-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-2-201005-01-2015 Supersedes Sheet No. W-5-2 dated 7-6-20092-2010 Sheet No. W-5-2 Category 1 -Water Service: Domestic Water Service, Irrigation, and Fire Size Amount 1-inch connection ................................................................................................... $3,797.00 1-1/2 inch connection ................................................................................................... 4,535.00 2-inch connection ................................................................................................... 5,681.00 4-inch connection ................................................................................................... 8,381.00 6-inch connection ................................................................................................... 9,379.00 Category 2 - Fire Service Size Amount 4-inch connection ................................................................................................... $7,176.00 6-inch connection ................................................................................................... 7,941.00 8-inch connection ................................................................................................... 8,564.00 Category 3 – 2-inch connection ......................................................................................... $4,863.00 4-inch connection ............................................................................................................. $7,156.00 6-inch connection ...............................................................................................................$8,137.00 8-inch connection................................................................................................................$9,469.00 10-inch connection............................................................................................................$10,625.00 Additional Domestic or Irrigation Services For serviceService installations connecting to a pre-existing, larger serviceService. 1-inch connection ................................................................................................... $1,747.00 1-1/2 inch connection ................................................................................................... 2,095.00 2-inch connection ................................................................................................... 2,383.00 4-inch connection ................................................................................................... 5,043.00 Category 4 - 2-inch connection ...........................................................................................$3,122.00 ATTACHMENT E WATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE W-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-2-201005-01-2015 Supersedes Sheet No. W-5-3 dated 7-6-20092-2010 Sheet No. W-5-3 4-inch connection................................................................................................................$4,449.00 6-inch connection................................................................................................................$4,842.00 Combination Domestic or Irrigation Water Service and Fire Service For requests of combination domestic and fire water servicesWater Services, two serviceService connection chargesCharges will apply: the chargeCharge for connection of a fire serviceService and the chargeCharge for domestic serviceor irrigation Service installation connection to a larger serviceService. Approval from the Utilities Department is required for combination water service connections. Category 5 - Master Water Service Approval by the Director of Utilities is required for a connection that serves domestic water serviceWater Service and fire protection through a detector meterMeter. The chargeCharge for master water serviceWater Service will be based on the Engineering Manager’s, Water-Gas- Wastewater, estimate of the total costs, including: materials, labor, metering not listed in Section B(2) or B(4), and other costs incidental to the installation. For serviceService connections of 4-inch through 8-inch sizes and meterMeter sizes of 34-inch through 86-inch, the new owner must provide and install a concrete vault with meter reading lid covers to house metersMeters and other required control equipment in accordance with the Water Utility'sUtilities Department’s specifications. An approved backflow prevention device with bypass assemblies must be provided by owner on all fire servicesServices. 34. METER CHARGES: 5/8 Inch x 3/4 Inch ...............................................................................................................$222.00 1 Inch ..................................................................................................................................276.00 1 ½ Inch ..................................................................................................................................492.00 2 Inch disk ..........................................................................................................................601.00 2 Inch turbine (irrigation only) ...........................................................................................724.00 3 Inch compound .............................................................................................................1,882.00 3 Inch turbine (irrigation only) ........................................................................................1,163.00 ATTACHMENT E WATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE W-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-2-201005-01-2015 Supersedes Sheet No. W-5-4 dated 7-6-20092-2010 Sheet No. W-5-4 4 Inch ...............................................................................................................................2,429.00 4 Inch turbine (irrigation only) ........................................................................................1,487.00 6 Inch ...............................................................................................................................4,138.00 5/8-inch x 3/4-inch E-Meter ..................................................................................................$698.00 1-inch E-Meter ......................................................................................................................$862.00 1 ½-inch E-Meter ...............................................................................................................$1,444.00 2-inch E-Meter ...................................................................................................................$1,635.00 4-inch Compound Meter ....................................................................................................$5,740.00 6-inch Compound Meter ....................................................................................................$8,051.00 AMR Encoder Receiver Transmitter ......................……………........................................….... $108.00 45. ADDITIONAL METERS ON CONNECTION: With new connection ........................................................................................................$321.00 On existing connection ..........................................................................................................783.00 5With new connection .....................................................................................................$1,264.00 On existing connection .....................................................................................................$1,866.00 6. RELOCATION OF FACILITIES: Approved relocation of serviceService, hydrants, or other facilities will be done at the cost of the person requesting the re-location. DepositPayment of estimated cost is required before relocation work begins. After the City completes the work, a final billing based on actual costs will be sent to the person requesting the relocation of facilities. 67. CAPACITY FEES: Capacity fees will be charged for new Utility Services and added demand on existing Services Domestic: 5/8 Inch-inch x 3/4 Inch-inch E-Meter .............................................................................$5,000.00 1 Inch-inch E-Meter $9,400.00 1 ½ Inch½-inch E-Meter $18,850.00 ATTACHMENT E WATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE W-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-2-201005-01-2015 Supersedes Sheet No. W-5-5 dated 7-6-20092-2010 Sheet No. W-5-5 2 Inch. By -inch E-Meter $56,250.00 4-inch Compound Meter ................................................. estimate at $125/FU; minimum 5,000 FU 3 Inch ....................................................................................................... By estimate at $125/FU 4 Inch ....................................................................................................... By estimate at $125/FU 6 Inch By (5,000 FU is mid-range operating capacity of 4-inch Meter) 6-inch Compound Meter .................................................. estimate at $125/FU minimum 7,000 FU (7,000 FU is mid-range operating capacity of 6-inch Meter) Added demand on an existing Water Service will be calculated at $125.00/FU Note: FU is fixture unit (1 FU=15gpd) Fire Service Capacity Fees: 2 Inch-inch ........................................................................................................................$750.00 4 Inch-inch .....................................................................................................................$9,000.00 6 Inch-inch ...................................................................................................................$22,530.00 8 Inch-inch ...................................................................................................................$43,080.00 10 Inch-inch ...................................................................................................................$69,510.00 If a customerCustomer is upgrading the capacity of an existing serviceService, then the capacity chargeCharge will be the difference between the new serviceService size and the existing serviceService size. C. OTHER REQUIREMENTS AND CONDITIONS 1. INSTALLATION: The City of Palo Alto installs all Water Services unless directed otherwise and approved by City of Palo Alto Utilities Department. 2. SERVICE CHARGES: (A) Additional Service connections are available with payment of an additional serviceService connection chargeCharge as shown in Section B. (B) Replacement of serviceService connection made necessary because of ordinary wear and ATTACHMENT E WATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE W-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-2-201005-01-2015 Supersedes Sheet No. W-5-6 dated 7-6-20092-2010 Sheet No. W-5-6 deterioration will be made without chargeCharge. Replacement due to inadequacy because of additional demand or load will be charged as a new serviceService connection. 23. INSTALLATION UNDER UNUSUAL CONDITIONS: (A) Any condition which, in the opinion of the Engineering Manager, Water-Gas-Wastewater will result in a cost higher than the chargesCharges set forth in Section B will be classified as unusual. The chargeCharge for an unusual installation will be based on Engineering Manager, Water-Gas-Wastewater's estimate of the total costs of all materials, labor, and other costs incidental to the installation. (B) In the event water serviceWater Service to a premisesPremise is requested and insufficient capacity exists to provide such serviceService, the applicantApplicant shall bear the total cost for enlarging the distribution systemDistribution System to accommodate serving the applicantApplicant. The Engineering Manager, Water-Gas-Wastewater may require the applicantApplicant to make arrangements for the design and construction of said expansion in accordance with City standards and specifications. Alternatively, the Engineering Manager, Water-Gas-Wastewater may elect for City forces or contractors to design and install respectively such facilities at the applicants’Applicant’s expense. 34. EXCEPTIONS: (A) Water Service Areas 3 & 4, connections served directly from supply main: The distribution system chargesDistribution System Charges (Section B) will be based on a maximum frontage of 660 feet. This exception applies to single applications for serviceService and does not apply to subdivisions or tracts. (B) The subdivision developer will furnish and install the waterWater system at his or her expense and in accordance with City's specifications. D. OTHER SERVICES: 1. 2 METER MANIFOLD: (A) 2 Inch ............................................................................................................................$612.00 (A) 2-inch ............................................................................................................................$724.00 2. ABANDONMENT: (A) Small service less than 2 Inch .......................................................................................$952.00 ATTACHMENT E WATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE W-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-2-201005-01-2015 Supersedes Sheet No. W-5-7 dated 7-6-20092-2010 Sheet No. W-5-7 (B) Large service more than 2 Inch ....................................................................................1,383.00 (A) Small Service 2-inch and less ....................................................................................$2,653.00 (B) Large Service more than 2-inch .................................................................................$3,715.00 3. METER INSTALLATION: Charges for meterlarge Meter installations by third parties, i.e. contractors, homeownersdevelopers, etc. 5/8 Inch to 2 Inch ....................................................................................................................$76.00 3 Inch to 6 Inch .......................................................................................................................228.00 8-inch to 12-inch Meters ....................................................................................................$3,235.00 4. FIRE HYDRANT: (A) Install New Hydrant without Lateral..........................................................................$2,830.00 (B) Install New Hydrant with Lateral .................................................................................9,785.00 (C) Relocation behind curb (up to 5 feet) ..........................................................................4,261.00 (A) Install new hydrant without lateral.............................................................................$2,552.00 (B) Install new hydrant with lateral ................................................................................$12,840.00 (C) Relocation behind curb (up to 5 feet) ........................................................................$6,841.00 Relocations more than 5 feet will require a New Lateralnew lateral and the existing Laterallateral will be disconnected and abandoned at the main. 5. TAPPING THE WATER MAIN FOR CONTRACTOR INSTALLED SERVICES: (A) Tap Water main for 2-inch Service ............................................................................$1,649.00 (B) Tap Water main for 4-inch Service ............................................................................$2,162.00 (C) Tap Water main for 6-inch Service ............................................................................$3,288.00 (D) Tap Water main for 8-inch Service ............................................................................$4,498.00 6. OTHER FEES: Per Hour The following fees will apply to utility work performed by outside contractors: (A) Engineering Fee ............................................................................................................$132.00 ATTACHMENT E WATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE W-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-2-201005-01-2015 Supersedes Sheet No. W-5-8 dated 7-6-20092-2010 Sheet No. W-5-8 (A) Engineering fee (per hour) ............................................................................................$151.00 (B) Utility inspection fee (per hour): i. Inspection Fee102.00during regular work hours (M-F 8 AM to 5 PM) ......................................................................................................................................$118.00 ii. Inspection during non-regular work hours................................................................$139.00 iii. Inspection during non-regular work hours for Customer’s convenience…………..$159.00 (C) Engineering and inspection for new 2-inch Service ..................................................$1,618.00 (D) Engineering and inspection for new 2-inch Service connected to larger Service ......$1,078.00 (E) Engineering and inspection for new 4-inch to 8-inch Service ...................................$2,426.00 (F) Engineering and inspection for new hydrant and Service ..........................................$2,426.00 (G) Engineering and inspection for abandonment of 2-inch and smaller Service ..............$809.00 (H) Engineering and inspection for abandonment of 3-inch and larger Service ..............$1,078.00 (I) Engineering and inspection for new 8-inch main (per linear foot) .................................$27.00 {End} ATTACHMENT E WASTEWATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE S-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No. S-5-1 dated 7-02-2010 Sheet No. S-5-1 A. GENERAL: 1. TERRITORY: This Rate Schedule applies anywhere the City of Palo Alto provides Wastewater Service. B. FEES: Plan review fees must be paid prior to permit approval by the Utilities Department. Construction or connection fees must be paid prior to the scheduling of any construction. Depending on material availability and scheduling constraints, Utility Service will be installed between 30 and 40 days following receipt of full payment. Regular work hours are 8 AM to 5 PM, Monday through Friday. Any work the City deems necessary to be performed during non-regular work hours shall be charged 1.15 times the stated fee to recover the overtime labor cost. These conditions include but are not limited to performing work on arterial streets, in business districts, in front of major commercial establishments, and near schools. Any work required to be performed during non-regular work hours where the work is scheduled at the Customer’s convenience shall be charged 1.25 times the stated fee to recover the overtime labor cost. All invoices are valid for 90 days from date of issuance. 1. PLAN REVIEW: New commercial building or remodeling permit valuation greater than $200,000 ........$2,316.00 New subdivision residential unit (Wastewater only) ................................................. $160.00/unit System extension 8-inch HDPE Wastewater main .......................................................... $22.00/ft 2. COLLECTION SYSTEM EXTENSION CHARGE: City standard 8-inch main ............................................................................................. $204.00/ft 3. CONNECTION CHARGES: 4-inch connection 6 feet and below ................................................................................$6,589.00 6-inch connection 6 feet and below ................................................................................$7,124.00 4-Inch lateral depth between 6 feet and 10 feet ..............................................................$8,225.00 6-inch lateral depth between 6 feet and 10 feet...............................................................$8,748.00 Rehabilitate existing lateral by pipe bursting ..................................................................$4,233.00 ATTACHMENT F WASTEWATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE S-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No. S-5-2 dated 7-02-2010 Sheet No. S-5-2 Sewer laterals over 25 feet in length will be charged for the additional footage at a rate of $106/Ln. Ft. for 4-inch connections and $110/Ln. Ft for 6-inch connections. Special arrangements must be made to provide for the cost of a connection larger than 6-inch. The City will estimate the cost which will serve as the basis for a Customer deposit. Upon receipt of this deposit the City will install the connection and the Customer shall pay the actual cost net of the deposit. 4. RELOCATION OF FACILITIES: Approved relocation of Service, and other facilities will be done at the cost of the person requesting the re-location. Payment of estimated cost is required before relocation work begins. 5. CAPACITY CHARGES: 4-inch connection with 5/8-inch Water Meter (WM) .....................................................$5,250.00 4-inch connection with 1-inch WM ..............................................................................$15,750.00 4- or 6-inch connection with 1-1/2-inch WM ...............................................................$31,668.00 6-inch connection with 2-inch WM ..............................................................................$94,500.00 6-inch and larger connection with 4-inch or larger WM ........................... By estimate at $210/FU Note: FU is fixture unit (1 FU = 15 gpd). If a Customer is upgrading the capacity of an existing Service, then the capacity Charge will be the difference between the new Service size and the existing Service size. C. OTHER REQUIREMENTS AND CONDITIONS 1. INSTALLATION: The City of Palo Alto installs all Wastewater Services unless directed otherwise and approved by City of Palo Alto Utilities Department. 2. SERVICE CHARGES: (A) Additional Service connections are available with payment of additional Service connection Charge as shown in Section B3. ATTACHMENT F WASTEWATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE S-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No. S-5-3 dated 7-02-2010 Sheet No. S-5-3 (B) Replacement of Service connections made necessary because of ordinary wear and deterioration will be made without Charge. Replacement due to inadequacy because of increased demand or load will be charged as a new connection. 3. INSTALLATION UNDER UNUSUAL CONDITIONS: (A) Any condition which, in the opinion of the Engineering Manager, Water-Gas-Wastewater will result in a cost higher than the Charges set forth in Section B above will be classified as unusual. The Charge for an unusual installation will be based on the Engineering Manager's estimate of the total costs of all materials, labor, and other costs incidental to the installation. (B) In the event Wastewater Service to a Premise is requested and insufficient capacity exists to provide such Service, the Applicant shall bear the total cost for flow monitoring the existing main to determine remaining capacity, design of new sewer main and construction cost for enlarging the collection system to accommodate serving the Applicant. The Engineering Manager, Water-Gas-Wastewater may require the Applicant to make arrangements for the design and construction of said expansion in accordance with City standards and specifications. Alternatively, the Engineering Manager, Water-Gas-Wastewater may elect for City forces or contractors to design and install respectively such facilities at the Applicant’s expense. 4. PUMPING PLANTS: Where pumping facilities are needed to drain Wastewater into the Wastewater collection system, the capital cost of construction of the pumping plant and the on-going plant operation and maintenance costs will be at the expense of the third parties, i.e. contractors, developers, etc. D. OTHER SERVICE CHARGES: 1. INSTALL MANHOLE: (A) Depth 6 feet and less ............................................................................................$10,743.00 (B) Depth more than 6 feet .........................................................................................$13,726.00 2. ABANDONMENT & DEMOLITION: ATTACHMENT F WASTEWATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE S-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No. S-5-4 dated 7-02-2010 Sheet No. S-5-4 (A) Sewer Lateral .........................................................................................................$2,753.00 3. INSTALL SEWER CLEANOUT ...................................................................................$2,109.00 4. OTHER SERVICE FEES: The following fees will apply to Utility work performed by outside contractors: (A) Engineering service fee (per hour) ............................................................................$151.00 (B) Inspection service fee (per hour): i. Inspection during regular work hours (M-F 8 AM to 5 PM) .................................$118.00 ii. Inspection during non-regular work hours ............................................................$139.00 iii. Inspection during non-regular work hours for Customer’s convenience .............$159.00 (C) Engineering and inspection for new lateral ............................................................$2,157.00 (D) Engineering and inspection for new main (per lineal foot) .........................................$34.00 (E) Engineering and inspection for new manhole ........................................................$2,696.00 (F) Engineering and inspection for lateral abandonment .............................................$1,348.00 {End} ATTACHMENT F WASTEWATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE S-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-2-201005-01-2015 Supersedes Sheet No. S-5-1 dated 7-06-200902-2010 Sheet No. S-5-1 A. GENERAL: 1. TERRITORY: Inside the incorporated limits ofThis Rate Schedule applies anywhere the City of Palo Alto and on land owned or leased by the City of Palo Altoprovides Wastewater Service. B. FEES: AllPlan review fees must be paid prior to permit approval by the Utilities Department. Construction or connection fees must be paid prior to the scheduling of any construction. Depending on material availability and scheduling constraints, utility service Utility Service will be installed between 30 and 40 days following receipt of full payment. Any work required to be done outside of Regular work hours are 8 AM to 5 PM, Monday through Friday. Any work the City deems necessary to be performed during non-regular work hours due to traffic, existing conditions or applicant’s requirements shall be charged at 1.515 times the stated fee. The following fees are regularly updated, therefore all billings to recover the overtime labor cost. These conditions include but are onlynot limited to performing work on arterial streets, in business districts, in front of major commercial establishments, and near schools. Any work required to be performed during non-regular work hours where the work is scheduled at the Customer’s convenience shall be charged 1.25 times the stated fee to recover the overtime labor cost. All invoices are valid for 90 days from date of billingissuance. 1. 1. PLAN REVIEW: New commercial building or remodeling permit valuation greater than $200,000 ........$2,316.00 New subdivision residential unit (Wastewater only) ................................................. $160.00/unit System extension 8-inch HDPE Wastewater main .......................................................... $22.00/ft 1.2. COLLECTION SYSTEM EXTENSION CHARGE: For City Standard 8" Main Charges Per Foot Wastewater Service Areas 1 & 2 .......................................................................................$119.00 Wastewater Service Areas City standard 8-inch main ............................................................................................. $204.00/ft 3 & 4 .............................................................................................................................................140.00 ATTACHMENT G WASTEWATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE S-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-2-201005-01-2015 Supersedes Sheet No. S-5-2 dated 7-06-200902-2010 Sheet No. S-5-2 2. CONNECTION CHARGES: 4-inch connection ............................................................................................................$5,876.00 6-inch connection ..............................................................................................................6,388.00 4-Inch lateral depth more than 6 feet but less than 10 feet ...............................................6,476.00 6-inch lateral depth more than 6 feet but less than 10 feet ...............................................7,332.00 4-inch connection 6 feet and below ................................................................................$6,589.00 6-inch connection 6 feet and below ................................................................................$7,124.00 4-Inch lateral depth between 6 feet and 10 feet ..............................................................$8,225.00 6-inch lateral depth between 6 feet and 10 feet...............................................................$8,748.00 Rehabilitate existing lateral by pipe bursting ..................................................................$4,233.00 Sewer laterals over 25 feet in length will be charged for the additional footage at a rate of $106/Ln. Ft. for 4-inch connections and $110/Ln. Ft for 6-inch connections. Special arrangements must be made to provide for the cost of a connection larger than six6-inch. The City will estimate the cost which will serve as the basis for a customerCustomer deposit. Upon receipt of this deposit the City will install the connection and the customerCustomer shall pay the actual cost net of the deposit. 34. RELOCATION OF FACILITIES: Approved relocation of serviceService, and other facilities will be done at the cost of the person requesting the re-location. DepositPayment of estimated cost is required before relocation work begins. After the City completes the work, a final billing based on actual costs will be sent to the person requesting the relocation of facilities. 45. CAPACITY CHARGES: 4-inch connection$10,500.00 for first 50 FU, $210 /FU additional with 5/8-inch Water Meter (WM) $5,250.00 4-inch connection with 1-inch WM ..............................................................................$15,750.00 4- or 6-inch connectionBy estimate at $210/FU with 1-1/2-inch WM $31,668.00 86-inch connection with 2-inch WM ............................................................................$94,500.00 6-inch and larger connection with 4-inch or larger WM ........................... By estimate at $210/FU ATTACHMENT G WASTEWATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE S-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-2-201005-01-2015 Supersedes Sheet No. S-5-3 dated 7-06-200902-2010 Sheet No. S-5-3 Note: FU is fixture unit (1 FU = 15 gpd). If a customerCustomer is upgrading the capacity of an existing serviceService, then the capacity chargeCharge will be the difference between the new serviceService size and the existing serviceService size. C. OTHER REQUIREMENTS AND CONDITIONS 1. 1INSTALLATION: The City of Palo Alto installs all Wastewater Services unless directed otherwise and approved by City of Palo Alto Utilities Department. 2. SERVICE CHARGES: (A) Additional serviceService connections are available with payment of additional serviceService connection chargeCharge as shown in Section B2B3. (B) Replacement of serviceService connections made necessary because of ordinary wear and deterioration will be made without chargeCharge. Replacement due to inadequacy because of increased demand or load will be charged as a new connection. 23. INSTALLATION UNDER UNUSUAL CONDITIONS: (A) Any condition which, in the opinion of the Engineering Manager, Water-Gas-Wastewater will result in a cost higher than the chargesCharges set forth in Section B above will be classified as unusual. The chargeCharge for an unusual installation will be based on the Engineering Manager's estimate of the total costs of all materials, labor, and other costs incidental to the installation. (B) In the event wastewater serviceWastewater Service to a premisePremise is requested and insufficient capacity exists to provide such serviceService, the applicantApplicant shall bear the total cost for flow monitoring the existing main to determine remaining capacity, design of new sewer main and construction cost for enlarging the collection system to accommodate serving the applicantApplicant. The Engineering Manager, Water-Gas-Wastewater may require the applicantApplicant to make arrangements for the design and construction of said expansion in accordance with City standards and specifications. Alternatively, the ATTACHMENT G WASTEWATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE S-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-2-201005-01-2015 Supersedes Sheet No. S-5-4 dated 7-06-200902-2010 Sheet No. S-5-4 Engineering Manager, Water-Gas-Wastewater may elect for City forces or contractors to design and install respectively such facilities at the applicantsApplicant’s expense. 34. PUMPING PLANTS: Where pumping facilities are needed to drain wastewaterWastewater into the wastewaterWastewater collection system, the capital cost of construction of the pumping plant and the on-going plant operation and maintenance costs will be at the expense of the developer.third parties, i.e. contractors, developers, etc. D. OTHER SERVICE CHARGES: 1. INSTALL MANHOLE: (A) Depth less than 6 feet .............................................................................................$6,011.00 (B) Depth more than 6 feet .............................................................................................7,889.00 (A) Depth 6 feet and less ............................................................................................$10,743.00 (B) Depth more than 6 feet .........................................................................................$13,726.00 2. ABANDONMENT & DEMOLITION: (A) Sewer Lateral .........................................................................................................$1,270.00 3. OTHER SERVICE FEES: (A) Sewer Lateral .........................................................................................................$2,753.00 3. INSTALL SEWER CLEANOUT ...................................................................................$2,109.00 4. OTHER SERVICE FEES: The following fees will apply to utilityUtility work performed by outside contractors: (A) Engineering Service Fee (Per Hour) .........................................................................$132.00 (A) Engineering service fee (per hour) ............................................................................$151.00 (B) Inspection Service Fee (Per Hour) .......................................... 102.00service fee (per hour): ATTACHMENT G WASTEWATER SERVICE CONNECTION FEES UTILITY RATE SCHEDULE S-5 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-2-201005-01-2015 Supersedes Sheet No. S-5-5 dated 7-06-200902-2010 Sheet No. S-5-5 i. Inspection during regular work hours (M-F 8 AM to 5 PM) .................................$118.00 ii. Inspection during non-regular work hours ............................................................$139.00 iii. Inspection during non-regular work hours for Customer’s convenience .............$159.00 (C) Engineering and inspection for new lateral ............................................................$2,157.00 (D) Engineering and inspection for new main (per lineal foot) .........................................$34.00 (E) Engineering and inspection for new manhole ........................................................$2,696.00 (F) Engineering and inspection for lateral abandonment .............................................$1,348.00 {End} ATTACHMENT G CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 05-01-2015 Supersedes Sheet No.C-1-1 dated 3-18-2013 Sheet No.C-1-1 UTILITY MISCELLANEOUS CHARGES UTILITY RATE SCHEDULE C-1 Customer Charges under this schedule, except for disconnection or restoration of Service for non-payment, may be added to the regular monthly Utilities bill of the Customer receiving the Service, and payment thereof will be subject to the Utilities Rules and Regulations regarding disconnection of Service for non- payment. All Charges related to disconnection or restoration for non-payment, are due and payable prior to the restoration of Utilities Service. Regular work hours are 8 AM to 5 PM, Monday through Friday. Charges During Charges After Regular Hours Regular Hours A. SERVICE CALLS AND OTHER SERVICE WORK: 1. Setting Electric Meter (for Water Meters see Utility Rate Schedule W-5, for Gas Meters see Utility Rate Schedule G-5) No Charge $300.00 2. Dispatch of CPAU staff to disconnect Service at Meters for non-payment of Utilities bill $147.00 Not applicable 3. Restoration of Service at Meters following disconnection for non-payment of Utilities bill $147.00 $300.00 4. Restoration of Electric Service at power pole following disconnection for non-payment of Utilities bill $294.00 $504.00 B. LABOR RATES PER HOUR PER PERSON: 1. Service provided during regular work hours $123.00 Not applicable 2. Service provided on overtime basis where the overtime is scheduled at the City's convenience. Not applicable $144.00 3. Service provided on overtime basis where the overtime is scheduled at the Customer's convenience. Not applicable $166.00 C. RETURNED PAYMENT FEES: See City of Palo Alto Municipal Fee Schedule. D. LATE PAYMENT CHARGE: Two percent (2%) of unpaid balance of Utilities Bill E. DEPOSITS: 1. Customer deposit for Meter accuracy test $0-300.00 Not applicable {End} ATTACHMENT H UTILITY MISCELLANEOUS CHARGES UTILITY RATE SCHEDULE C-1 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 3-18-201305-01-2015 Supersedes Sheet No.C-1-1 dated 7-1-2009 3-18-2013 Sheet No.C-1-1 UTILITY MISCELLANEOUS CHARGES UTILITY RATE SCHEDULE C-1 Customer chargesCharges under this schedule, except for disconnection or restoration of serviceService for non-payment, may be added to the regular monthly Utilities bill of the customerCustomer receiving the serviceService, and payment thereof will be subject to the Utilities Rules and Regulations regarding disconnection of serviceService for non-payment. All chargesCharges related to disconnection or restoration for non-payment, are due and payable prior to the restoration of Utilities service.Service. Regular work hours are 8 AM to 5 PM, Monday through Friday. Charges during During Charges After BusinessRegular Hours Business Regular Hours A. SERVICE CALLS AND OTHER SERVICE WORK: 1. Setting Electric Meter (for Water Meters see Utility Rate Schedule W-5, for Gas Meters see Utility Rate Schedule G-5) No Charge $300.00 $273.00 1.2. Dispatch of service personCPAU staff to disconnect serviceService at metersMeters for non-payment of Utilities bill $147.00 $109.00 Not applicable 2.3. Restoration of serviceService at metersMeters following disconnection for non-payment of Utilities bill $147.00 $300.00 $109.00 $273.00 3.4. Restoration of electric service Electric Service at power pole following disconnection for non-payment of Utilities bill $294.00 $504.00 $218.00 $436.00 Customer deposit for meter accuracy test (Rule 15) $0-300.00 Not applicable Note: Customer deposit for meter accuracy test will be refunded if tested meter is more than two percent (2%) over-registering, Deposit will be forfeit if tested meter registers within +/-2% (plus or minus two percent) accurate. B. LABOR RATES PER HOUR PER PERSON: B. LABOR RATES PER HOUR PER PERSON: 1. Service provided during normal workingregular work hours $123.00 $109.00 Not applicable 2. Service provided on overtime basis where the overtime is scheduled at the City's convenience. Not applicable $144.00 $128.00 ATTACHMENT I UTILITY MISCELLANEOUS CHARGES UTILITY RATE SCHEDULE C-1 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 3-18-201305-01-2015 Supersedes Sheet No.C-1-1 dated 7-1-2009 3-18-2013 Sheet No.C-1-1 3. Service provided on overtime basis where the overtime is scheduled at the customer'sCustomer's convenience. Not applicable $166.00 $147.00 C. RETURNED PAYMENT FEES: See City of Palo Alto Municipal Fee Schedule. D. LATE PAYMENT CHARGE: Two percent (2%) of unpaid balance of Utilities Bill E. DEPOSITS: 1. Customer deposit for Meter accuracy test $0-300.00 Not applicable {End} ATTACHMENT I PLAN REV FEES NEW SFR OR RES REMODEL NEW 1 EA NEW $848.00 NEW PLAN REV FEES NEW SUBDIVISION EACH SFR GAS ONLY NEW 1 EA NEW $348.00 NEW PLAN REV FEES NEW COMMERCIAL BLDG OR COMM REMODEL GAS ONLY NEW 1 EA NEW $2,316.00 NEW PLAN REV FEES SYSTEM EXTENSION 2" PE GAS MAIN NEW 1 FT NEW $12.00 NEW TYPE OF SERVICE SIZE WORK EFFECTIVE UNITS UNIT EXISTING CONNECTION RECOMMENDED PERCENT DESCRIPTION DATE MEASURE CHARGE CONNECTION INCREASE CHARGEIncludes Wages, Materials and Trenching MAIN 2"GAS SYSTEM EXTENSION 8/8/2008 1 FT $93.00 $173.00 86% SERVICE BORING 1"NEW SERVICE CONNECTION 8/8/2008 1 EA $2,766.00 $4,343.00 57% SERVICE BORING 2"NEW SERVICE CONNECTION 8/8/2008 1 EA $4,156.00 $5,250.00 26% SERVICE BORING 1" or 2" ADDITIONAL PIPE INSTALLATION FOR NEW SERVICE NEW 1 FT NEW $49.00 NEW SERVICE INSTALL 2" 2" PE PIPE INSTALLATION IN CONTRACTOR PROVIDED TRENCH NEW 1 FT NEW $60.00 NEW SERVICE TRENCHING 1" OR 2"NEW SERVICE CONNECTION NEW 1 EA NEW $5,976.00 NEW SERVICE PE PIPE RISER RELOCATION 8/8/2008 1 EA $834.00 $1,422.00 71% CURB METER SERVICE 1"CURB RISER RELOCATION ON EXIST. 1" PE PIPE 8/8/2008 1 EA $594.00 $796.00 34% CURB METER SERVICE ½" - 1"CURB RISER RELOCATION ON SAME ALIGNMENT OF EXISTING SERVICE 8/8/2008 1 EA $965.00 $1,274.00 32% CURB METER SERVICE ½" - 1"CURB RISER RELOCATION NEW SERVICE AND ALIGNMENT 8/8/2008 1 EA $1,408.00 $2,038.00 45% TAP MAIN 1"-2"TAP MAIN FOR CONTRACTOR INSTALLED SERVICE NEW 1 EA NEW $1,603.00 NEW TAP MAIN 4"-6"TAP MAIN FOR CONTRACTOR INSTALLED SERVICE NEW 1 EA NEW $2,212.00 NEW ADD METER UP TO 630 ADDITIONAL METER WITH NEW SERVICE CONNECTION 8/8/2008 1 EA $86.00 $529.00 515% ADD METER UP TO 630 ADDITIONAL METER ON EXISTING SERVICE CONNECTION 8/8/2008 1 EA $286.00 $1,193.00 317% METER - REGULATOR 250 CFH METER CHARGE INSTALLATION 8/8/2008 1 EA $347.00 $850.00 145% METER - REGULATOR 400 CFH METER CHARGE INSTALLATION 8/8/2008 1 EA $468.00 $961.00 105% METER - REGULATOR 630 CFH METER CHARGE INSTALLATION 8/8/2008 1 EA $697.00 $1,329.00 91% METER - REGULATOR 800 CFH METER CHARGE INSTALLATION NEW 1 EA NEW $1,781.00 NEW METER - REGULATOR 1000 CFH METER CHARGE INSTALLATION 8/8/2008 1 EA $1,665.00 $1,886.00 13% CURB METER 250 CFH METER CHARGE CURB INSTALLATION 8/8/2008 1 EA $813.00 $1,805.00 122% CURB METER 400 CFH METER CHARGE CURB INSTALLATION 8/8/2008 1 EA $934.00 $2,023.00 117% CURB METER 630 CFH METER CHARGE CURB INSTALLATION 8/8/2008 1 EA $975.00 $2,285.00 134% METER - COMMERCIAL 1500 CFH METER CHARGE INSTALLATION - ROTARY 8/8/2008 1 EA $1,735.00 $2,487.00 43% METER - COMMERCIAL 2000 CFH METER CHARGE INSTALLATION - ROTARY 8/8/2008 1 EA $1,999.00 $3,417.00 71% METER - COMMERCIAL 3000 CFH METER CHARGE INSTALLATION - ROTARY 8/8/2008 1 EA $2,140.00 $3,431.00 60% METER - COMMERCIAL 5000 CFH METER CHARGE INSTALLATION - ROTARY 8/8/2008 1 EA $2,983.00 $3,837.00 29% METER - COMMERCIAL 7000 CFH METER CHARGE INSTALLATION - ROTARY 8/8/2008 1 EA $3,625.00 $4,418.00 22% METER - COMMERCIAL 11,000 CFH METER CHARGE INSTALLATION - ROTARY 8/8/2008 1 EA $4,997.00 $11,405.00 128% METER - COMMERCIAL 16,000 CFH METER CHARGE INSTALLATION - ROTARY 8/8/2008 1 EA $6,300.00 $12,472.00 98% METER - COMMERCIAL 23,000 CFH METER CHARGE INSTALLATION - ROTARY NEW 1 EA NEW $14,760.00 NEW EVC COMMERCIAL ELECTRONIC VOLUME CORRECTOR SYSTEM 8/8/2008 1 EA $5,808.00 $5,808.00 0% AMR ERT DIAPHR METER UP TO 1000 ERT INSTALLATION 8/8/2008 1 EA $81.00 $155.00 91% AMR ERT ROTARY METER OVER 1500 ERT INSTALLATION 8/8/2008 1 EA $130.00 $208.00 60% VENT LINE FOR REG 3/4"VENT LINE INSTALLATION 8/8/2008 1 EA $108.00 $305.00 182% 2" BOLLARD 2"BOLLARD INSTALLATION 8/8/2008 1 EA $162.00 $339.00 109% 4" BOLLARD 4"BOLLARD INSTALLATION NEW 1 EA NEW $494.00 NEW ENGINEERING ENGINEERING SERVICE FEE FOR NON STANDARD CONNECTION RATES 8/8/2008 1 MANHR $132.00 $151.00 14% INSPECTIONS INSPECTION SERVICE FEE FOR NON STANDARD CONNECTION RATES 8/8/2008 1 MANHR $102.00 $118.00 16% INSPECTIONS INSPECTION OVERTIME SERVICE FEE AT CITY'S CONVENIENCE NEW 1 MANHR NEW $139.00 NEW INSPECTIONS INSPECTION OVERTIME SERVICE FEE AT CUSTOMER'S CONVENIENCE NEW 1 MANHR NEW $159.00 NEW OPERATIONS OPERATIONS SERVICE FEE FOR NON STANDARD CONNECTION RATES 8/8/2008 1 MANHR $109.00 $123.00 13% GAS SERVICE STANDARD CONNECTION FEES - UTILITY RATE SCHEDULE G-5 ATTACHMENT J PLAN REV FEES NEW SUBDIVISION EACH SFR WATER ONLY NEW 1 EA NEW $348.00 NEW PLAN REV FEES NEW COMMERCIAL BLDG OR COMM REMODEL WATER ONLY NEW 1 EA NEW $3,072.00 NEW PLAN REV FEES SYSTEM EXTENSION 8" HDPE WATER MAIN NEW 1 FT NEW $12.00 NEW EXISTING RECOMMENDED TYPE OF SERVICE SIZE WORK EFFECTIVE UNITS UNIT CONNECTION CONNECTION PERCENT DESCRIPTION DATE MEASURE CHARGES CHARGE INCREASE Includes Wages, Materials and Trenching MAIN 8"SYSTEM EXTENSION 8" HDPE WATER MAIN 8/8/2008 1 FT $111.00 $206.00 86% DOMESTIC, IRR OR FIRE 2"NEW SERVICE CONNECTION 8/8/2008 1 EA $5,681.00 $4,863.00 -14% DOMESTIC, IRR OR FIRE 4"NEW SERVICE CONNECTION 8/8/2008 1 EA $8,381.00 $7,156.00 -15% DOMESTIC, IRR OR FIRE 6"NEW SERVICE CONNECTION 8/8/2008 1 EA $9,379.00 $8,137.00 -13% DOMESTIC, IRR OR FIRE 8"NEW SERVICE CONNECTION NEW 1 EA NEW $9,469.00 NEW DOMESTIC, IRR OR FIRE 10"NEW SERVICE CONNECTION NEW 1 EA NEW $10,625.00 NEW FIRE INSTALL FIRE HYDRANT ONLY 8/8/2008 1 EA $2,830.00 $2,552.00 -10% FIRE 6"INSTALL FIRE HYDRANT & LATERAL 8/8/2008 1 EA $9,785.00 $12,840.00 31% FIRE 6"FIRE HYDRANT RELOCATION 8/8/2008 1 EA $4,261.00 $6,841.00 61% DOMESTIC/ IRRIGATION 2"ADD NEW SERVICE CONNECTING TO A LARGER SERVICE 8/8/2008 1 EA $2,383.00 $3,122.00 31% DOMESTIC/IRRIGATION 4"ADD NEW SERVICE CONNECTING TO A LARGER SERVICE 8/8/2008 1 EA $5,043.00 $4,449.00 -12% DOMESTIC/ IRRIGATION 6"ADD NEW SERVICE CONNECTING TO A LARGER SERVICE NEW 1 EA NEW $4,842.00 NEW TAP WATER MAIN 2"TAP WATER MAIN FOR 2" SERVICE NEW 1 EA NEW $1,649.00 NEW TAP WATER MAIN 4"TAP WATER MAIN FOR 4" SERVICE NEW 1 EA NEW $2,162.00 NEW TAP WATER MAIN 6"TAP WATER MAIN FOR 6" SERVICE NEW 1 EA NEW $3,288.00 NEW TAP WATER MAIN 8"TAP WATER MAIN FOR 8" SERVICE NEW 1 EA NEW $4,498.00 NEW ADD METER 5/8" - 2"ADDITIONAL METER ON NEW CONNECTION 8/8/2008 1 EA $321.00 $1,264.00 294% ADD METER 5/8" - 2"ADDITIONAL METER ON EXISTING CONNECTION 8/8/2008 1 EA $783.00 $1,866.00 138% DOMESTIC 5/8"x3/4"METER CHARGE INSTALLATION 8/8/2008 1 EA $222.00 $698.00 214% DOMESTIC 1"METER CHARGE INSTALLATION 8/8/2008 1 EA $276.00 $862.00 212% DOMESTIC 1-1/2"METER CHARGE INSTALLATION 8/8/2008 1 EA $492.00 $1,444.00 193% DOMESTIC 2"METER CHARGE INSTALLATION 8/8/2008 1 EA $601.00 $1,635.00 172% DOMESTIC 4"METER CHARGE INSTALLATION 8/8/2008 1 EA $2,429.00 $5,740.00 136% DOMESTIC 6"METER CHARGE INSTALLATION 8/8/2008 1 EA $4,138.00 $8,051.00 95% DOMESTIC 2"2 METER MANIFOLD INSTALLATION 8/8/2008 1 EA $612.00 $724.00 18% ANY TYPE 8"-12"INSPECT & ENG FOR METERS PURCH & INSTALL BY OTHERS NEW 24 MANHR NEW $3,235.00 NEW ANY TYPE 3/4" - 2"SERVICE DEMOLITION 8/8/2008 1 EA $952.00 $2,653.00 179% ANY TYPE 3" - 8"SERVICE DEMOLITION 8/8/2008 1 EA $1,383.00 $3,715.00 169% ENGINEER & INSPECT 2"INSPECT & ENG NEW 2" DOM/IRR SVC INSTALLED BY OTHERS NEW 12 MANHR NEW $1,618.00 NEW ENGINEER & INSPECT 2"INSPECT & ENG 2" DOM/IRR SVC TO FIRE SVC INSTALLED BY OTHERS NEW 8 MANHR NEW $1,078.00 NEW ENGINEER & INSPECT 4"-8"INSPECT & ENG FOR 4" OR LARGER SVC INSTALLED BY OTHERS NEW 18 MANHR NEW $2,426.00 NEW ENGINEER & INSPECT 6"INSPECT & ENG NEW FIRE HYDRANT & LAT INSTALLED BY OTHERS NEW 18 MANHR NEW $2,426.00 NEW ENGINEER & INSPECT 3/4" - 2"INSPECT & ENG ABAND UP TO 2" WATER SVC BY OTHERS NEW 6 MANHR NEW $809.00 NEW ENGINEER & INSPECT 3" - 8"INSPECT & ENG ABAND 3" & LARGER WATER SVC BY OTHERS NEW 8 MANHR NEW $1,078.00 NEW ENGINEER & INSPECT 8"INSPECT & ENGINEERING FOR NEW 8" MAIN INSTALLED BY OTHERS NEW 0.2 MANHR/FT NEW $27.00 NEW ENGINEERING ENGINEERING SERVICE FEE FOR NON STANDARD CONNECTION RATES 8/8/2008 1 MANHR $132.00 $151.00 14% OPERATIONS OPERATIONS SERVICE FEE FOR NON STANDARD CONNECTION RATES 8/8/2008 1 MANHR $109.00 $123.00 13% INSPECTIONS INSPECTION SERVICE FEE FOR NON STANDARD CONNECTION RATES 8/8/2008 1 MANHR $102.00 $118.00 16% INSPECTIONS INSPECTION OVERTIME SERVICE FEE AT CITY'S CONVENIENCE NEW 1 MANHR NEW $139.00 NEW INSPECTIONS INSPECTION OVERTIME SERVICE FEE AT CUSTOMER'S CONVENIENCE NEW 1 MANHR NEW $159.00 NEW WATER SERVICE STANDARD CONNECTION FEES - UTILITY RATE SCHEDULE W-5 ATTACHMENT J PLAN REV FEES NEW SUBDIVISION EACH SFR SEWER ONLY NEW 1 EA NEW $160.00 NEW PLAN REV FEES NEW COMMERCIAL BLDG OR COMM REMODEL SEWER ONLY NEW 1 EA NEW $2,316.00 NEW PLAN REV FEES SYSTEM EXTENSION 8" HDPE WASTEWATER MAIN NEW 1 FT NEW $22.00 NEW TYPE OF SERVICE SIZE WORK EFFECTIVE UNITS UNIT RECOMMENDED PERCENT DESCRIPTION DATE MEASURE CONNECTION INCREASE CHARGE Includes Wages, Materials and Trenching MAIN < 8' 8"COLLECTION SYSTEM EXTENSION 8/8/2008 1 FT $119.00 $204.00 71% LATERAL DEPTH < 6' 4"NEW LATERAL CONNECTION 8/8/2008 1 EA $5,876.00 $6,589.00 12% LATERAL DEPTH < 6' 6"NEW LATERAL CONNECTION 8/8/2008 1 EA $6,388.00 $7,124.00 12% LATERAL DEPTH > 6'4"NEW LATERAL CONNECTION 8/8/2008 1 EA $6,476.00 $8,225.00 27% LATERAL DEPTH > 6'6"NEW LATERAL CONNECTION 8/8/2008 1 EA $7,332.00 $8,748.00 19% LATERAL PIPE BURST 4" OR 6"REHABILITATE EXISTING LATERAL NEW 1 EA NEW $4,233.00 NEW MANHOLE DEPTH < 6'NEW MANHOLE INSTALLATION 8/8/2008 1 EA $6,011.00 $10,743.00 79% MANHOLE DEPTH > 6'NEW MANHOLE INSTALLATION 8/8/2008 1 EA $7,889.00 $13,726.00 74% NEW CLEANOUT 4" OR 6"NEW CLEANOUT INSTALLATION NEW 1 EA NEW $2,109.00 NEW DEMO LATERAL 4" OR 6"DEMOLITION AND ABANDONMENT 8/8/2008 1 EA $1,270.00 $2,753.00 117% ENGINEER & INSPECT 4" OR 6"INSPECT & ENG FOR NEW WASTEWATER LATERAL NEW 16 MANHR NEW $2,157.00 NEW ENGINEER & INSPECT 8"INSPECT & ENG FOR NEW 8" WASTEWATER MAIN NEW 0.25 MH/FT NEW $34.00 NEW ENGINEER & INSPECT INSPECT & ENG FOR NEW WASTEWATER MANHOLE NEW 20 MANHR NEW $2,696.00 NEW ENGINEER & INSPECT 4" OR 6"INSPECT & ENG FOR ABANDONMENT OF WASTEWATER SERVICE NEW 10 MANHR NEW $1,348.00 NEW ENGINEERING ENGINEERING SERVICE FEE FOR NON STANDARD CONNECTION RATES 8/8/2008 1 MANHR $132.00 $151.00 14% OPERATIONS OPERATIONS SERVICE FEE FOR NON STANDARD CONNECTION RATES 8/8/2008 1 MANHR $109.00 $123.00 13% INSPECTIONS INSPECTION SERVICE FEE FOR NON STANDARD CONNECTION RATES 8/8/2008 1 MANHR $102.00 $118.00 16% INSPECTIONS INSPECTION OVERTIME SERVICE FEE AT CITY'S CONVENIENCE NEW 1 MANHR NEW $139.00 NEW INSPECTIONS INSPECTION OVERTIME SERVICE FEE AT CUSTOMER'S CONVENIENCE NEW 1 MANHR NEW $159.00 NEW WASTEWATER SERVICE STANDARD CONNECTION FEES - UTILITY RATE SCHEDULE S-5 EXISTING CONNECTION CHARGES ATTACHMENT J CHARGED BY WORK PERFORMED BY WORK DESCRIPTION EFFECTIVE DATE QUANTITY UNIT MEASURE EXIST CHARGE DURING BUSINESS HOURS RECOMMENDED CHARGE DURING BUSINESS HOURS PERCENT INCREASE EXISTING CHARGE AFTER BUSINESS HOURS RECOMMENDED CHARGE AFTER BUSINESS HOURS PERCENNT INCREASE UTIL CUSTOMER SERVICE ELECTRIC OPERATIONS SETTING METER 3/18/2013 1 MANHR NO CHARGE NO CHARGE NO CHARGE $273.00 $300.00 10% UTIL CUSTOMER SERVICE ELECTRIC OPERATIONS DISPATCH OF SERVICE PERSON TO DISCONNECT SERVICE AT METERS FOR NON- PAYMENT 3/18/2013 1 MANHR $109.00 $147.00 35%NOT APPLICABLE NOT APPLICABLE NOT APPLICABLE UTIL CUSTOMER SERVICE ELECTRIC OPERATIONS RESTORATION OF SERVICE AT METERS FOLLOWING DISCONNECTION FOR NON- PAYMENT 3/18/2013 1 MANHR $109.00 $147.00 35%$273.00 $300.00 10% UTIL CUSTOMER SERVICE ELECTRIC OPERATIONS RESTORATION OF ELECTRIC SERVICE AT POWER POLE FOLLOWING DISCONNECTION FOR NON-PAYMENT 3/18/2013 2 MANHR $218.00 $294.00 35%$436.00 $504.00 16% CHARGED BY WORKED PERFORMED BY WORK DESCRIPTION EFFECTIVE DATE QUANTITY UNIT MEASURE EXISTING RATE RECOMMENDED RATE PERCENT INCREASE ELECTRIC/WGW OPERATIONS ELECTRIC/WGW OPERATIONS SERVICE PROVIDED DURING NORMAL BUSINESS HOURS 7/1/2002 1 RATE/HR/PERSON $109.00 $123.00 13% ELECTRIC/WGW OPERATIONS ELECTRIC/WGW OPERATIONS SERVICE PROVIDED ON OVERTIME BASIS (CITY'S CONVENIENCE)7/1/2002 1 RATE/HR/PERSON $128.00 $144.00 13% ELECTRIC/WGW OPERATIONS ELECTRIC/WGW OPERATIONS SERVICE PROVIDED ON OVERTIME BASIS (CUSTOMER'S CONVENIENCE)7/1/2002 1 RATE/HR/PERSON $147.00 $166.00 13% UTILITY MISCELLANEOUS CHARGES - UTILITY RATE SCHEDULE C-1 LABOR RATES PER HOUR PER PERSON - UTILITY RATE SCHEDULE C-1 ATTACHMENT J Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 2.00 $302.69 0.07 $10.59 20.00 $3,026.88 Administra Admin $31.57 $90.92 0.50 $45.46 0.01 $0.91 0.50 $45.46 TOTALS 2.50 $348.15 0.08 $11.50 20.50 $3,072.34 Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 Administra Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 Inspection I Util Inspector $41.06 $118.25 1.00 $118.25 1.00 $118.25 1.00 $118.25 1.00 $118.25 Operations Supervisor $64.14 $184.72 1.00 $184.72 2.00 $369.45 2.00 $369.45 0.50 $92.36 Sawcut Install/Rep $39.18 $112.84 1.00 $112.84 1.00 $112.84 1.00 $112.84 2.00 $225.68 Lead Heavy Eq O.$37.13 $106.93 6.00 $641.61 8.00 $855.48 9.00 $962.41 8.00 $855.48 Lead Inst Install/Rep L $42.76 $123.15 6.00 $738.89 8.00 $985.19 9.00 $1,108.34 8.00 $985.19 Inst/Rep Install/Rep $39.18 $112.84 6.00 $677.03 8.00 $902.71 9.00 $1,015.55 8.00 $902.71 Inst/Rep A.Install/Rep A.$33.23 $95.70 6.00 $574.21 8.00 $765.62 9.00 $861.32 8.00 $765.62 Paving Equip Oper $32.79 $94.44 1.50 $141.65 3.00 $283.31 3.00 $283.31 1.50 $141.65 Concrete Cement Finisher Lead $37.93 $109.24 1.50 $163.86 3.00 $327.72 3.00 $327.72 1.50 $163.86 Operations Admin $31.57 $90.92 0.50 $45.46 1.00 $90.92 1.00 $90.92 0.50 $45.46 TOTALS 32.00 $3,595.33 47.50 $5,008.28 51.50 $5,446.90 40.50 $4,493.06 Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 1.00 $151.34 1.00 $151.34 0.01 $1.51 Administra Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.01 $0.91 Inspection I Util Inspector $41.06 $118.25 3.00 $354.76 3.00 $354.76 0.10 $11.83 Operations Supervisor $64.14 $184.72 2.00 $369.45 3.00 $554.17 0.10 $18.47 Sawcut Install/Rep $39.18 $112.84 $0.00 $0.00 0.01 $1.13 Lead Heavy Eq O.$37.13 $106.93 10.00 $1,069.34 12.00 $1,283.21 0.20 $21.39 Lead Inst Install/Rep L $42.76 $123.15 10.00 $1,231.49 12.00 $1,477.79 0.20 $24.63 Inst/Rep Install/Rep $39.18 $112.84 10.00 $1,128.38 12.00 $1,354.06 0.20 $22.57 Inst/Rep A.Install/Rep A.$33.23 $95.70 10.00 $957.02 12.00 $1,148.43 0.20 $19.14 Paving Equip Oper $32.79 $94.44 3.00 $283.31 4.00 $377.74 0.10 $9.44 Concrete Cement Finisher Lead $37.93 $109.24 3.00 $327.72 3.00 $327.72 0.10 $10.92 Operations Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.01 $0.91 TOTALS 53.00 $5,963.73 63.00 $7,120.14 1.24 $142.85 PER EACH Hourly Wages Including benefits & Overhead TABLE 2 - ESTIMATED PERSONNEL HOURS & WAGES FOR WATER SERVICE INSTALLATION Effective 12/01/14 SUBDIVISION SFR MAIN EXTENSION COMM BLDG TABLE 1 - ESTIMATED PERSONNEL HOURS & WAGES FOR REVIEW OF PLAN SUBMITTALS FOR WATER PLAN REVIEW COSTS PER EACH PER LF 8" HDPE WATER MAIN LARGE DOMESTIC AND FIRE WATER SERVICES DIRECTIONALY BORE DOMESTIC, IRRIGATION AND FIRE WATER SERVICES Hourly Wages Including benefits & Overhead 4" HDPE 6" HDPE2" HDPEffective 12/01/14 2" CU TABLE 3 - ESTIMATED PERSONNEL HOURS & WAGES FOR LARGE SERVICE AND MAIN INSTALLATIONS 10" HDPE8" HDPE 8" MAIN PER FOOT Hourly Wages Including benefits & OverheadEffective 12/01/14 ATTACHMENT J Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 Administra Admin $31.57 $90.92 0.50 $45.46 1.00 $90.92 1.00 $90.92 0.50 $45.46 Inspection I Util Inspector $41.06 $118.25 $0.00 3.00 $354.76 3.00 $354.76 $0.00 Operations Supervisor $64.14 $184.72 0.50 $92.36 2.00 $369.45 2.00 $369.45 0.50 $92.36 Sawcut Install/Rep $39.18 $112.84 $0.00 $0.00 $0.00 $0.00 Lead Heavy Eq O.$37.13 $106.93 3.00 $320.80 4.00 $427.74 4.00 $427.74 2.00 $213.87 Lead Inst Install/Rep L $42.76 $123.15 3.00 $369.45 4.00 $492.60 4.00 $492.60 2.00 $246.30 Inst/Rep Install/Rep $39.18 $112.84 3.00 $338.52 4.00 $451.35 4.00 $451.35 2.00 $225.68 Inst/Rep A.Install/Rep A.$33.23 $95.70 3.00 $287.11 4.00 $382.81 4.00 $382.81 2.00 $191.40 Paving Equip Oper $32.79 $94.44 1.00 $94.44 1.00 $94.44 1.00 $94.44 1.00 $94.44 Concrete Cement Finisher Lead $37.93 $109.24 1.00 $109.24 1.00 $109.24 1.00 $109.24 1.00 $109.24 Operations Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 TOTALS 16.50 $1,854.17 25.50 $2,970.10 25.50 $2,970.10 12.50 $1,415.55 Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 Administra Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 Inspection I Util Inspector $41.06 $118.25 1.00 $118.25 1.00 $118.25 1.00 $118.25 1.00 $118.25 1.00 $118.25 1.00 $118.25 Operations Supervisor $64.14 $184.72 1.00 $184.72 1.00 $184.72 2.00 $369.45 3.00 $554.17 2.00 $369.45 3.00 $554.17 Sawcut Install/Rep $39.18 $112.84 $0.00 $0.00 $0.00 $0.00 1.00 $112.84 1.00 $112.84 Lead Heavy Eq O.$37.13 $106.93 $0.00 $0.00 $0.00 $0.00 3.00 $320.80 5.00 $534.67 Lead Inst Install/Rep L $42.76 $123.15 2.00 $246.30 2.00 $246.30 4.00 $492.60 5.00 $615.74 3.00 $369.45 5.00 $615.74 Inst/Rep Install/Rep $39.18 $112.84 2.00 $225.68 2.00 $225.68 4.00 $451.35 5.00 $564.19 3.00 $338.52 5.00 $564.19 Inst/Rep A.Install/Rep A.$33.23 $95.70 2.00 $191.40 2.00 $191.40 4.00 $382.81 5.00 $478.51 3.00 $287.11 5.00 $478.51 Paving Equip Oper $32.79 $94.44 $0.00 $0.00 $0.00 $0.00 1.00 $94.44 1.00 $94.44 Concrete Cement Finisher Lead $37.93 $109.24 $0.00 $0.00 $0.00 $0.00 1.00 $109.24 1.00 $109.24 Operations Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 TOTALS Totals 10.00 $1,208.62 10.00 $1,208.62 17.00 $2,056.72 38.50 $2,573.14 20.00 $2,362.35 38.50 $3,424.32 Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 0.50 $75.67 0.50 $75.67 2.00 $302.69 4.00 $605.38 1.00 $75.67 1.00 $151.34 1.00 $151.34 Administra Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $22.73 0.50 $45.46 0.50 $45.46 Inspection I Util Inspector $41.06 $118.25 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Operations Supervisor $64.14 $184.72 $0.00 $0.00 0.50 $92.36 0.50 $92.36 0.50 $0.00 0.50 $92.36 0.50 $92.36 Sawcut Install/Rep $39.18 $112.84 $0.00 1.00 $112.84 $0.00 1.00 $112.84 $0.00 1.00 $112.84 $0.00 Lead Heavy Eq O.$37.13 $106.93 $0.00 $0.00 11.00 $1,176.28 8.00 $855.48 $0.00 2.00 $213.87 $0.00 Lead Inst Install/Rep L $42.76 $123.15 2.00 $246.30 2.00 $246.30 11.00 $1,354.64 8.00 $985.19 2.00 $492.60 2.00 $246.30 1.00 $123.15 Inst/Rep Install/Rep $39.18 $112.84 $0.00 2.00 $225.68 11.00 $1,241.22 8.00 $902.71 2.00 $451.35 2.00 $225.68 1.00 $112.84 Inst/Rep A.Install/Rep A.$33.23 $95.70 $0.00 $0.00 11.00 $1,052.73 $0.00 $0.00 $0.00 $0.00 Paving Equip Oper $32.79 $94.44 $0.00 $0.00 4.00 $377.74 $0.00 $0.00 $0.00 $0.00 Concrete Cement Finisher Lead $37.93 $109.24 $0.00 2.00 $218.48 3.00 $327.72 3.00 $327.72 $0.00 2.00 $218.48 $0.00 Operations Admin $31.57 $90.92 $0.00 0.50 $45.46 0.50 $45.46 1.00 $90.92 0.50 $22.73 0.50 $45.46 $0.00 TOTALS Totals 3.00 $367.43 8.50 $969.88 54.50 $6,016.29 34.00 $4,018.05 6.50 $1,065.08 11.50 $1,351.79 4.00 $525.15 Effective 12/01/14 4" HDPE TAPPING MAIN FOR NEW WATER SERVICE Fire Hydrant Relocation Hourly Wages Including Benefits & Overhead 2" CU Hourly Wages Including benefits & Overhead Water Meter Relocation 2" HDPEffective 12/01/14 TABLE 4 - ESTIMATED PERSONNEL HOURS & WAGES FOR WATER SERVICES TAPPING A LARGER WATER SERVICE Effective 12/01/14 6" SERVICE TABLE 5 - ESTIMATED PERSONNEL HOURS & WAGES FOR WATER MAIN TAPPING 2" SERVICE 4" SERVICE 8" SERVICE 6" HDPE DEMO EXISTING WATER SERVICES DEMO 3/4" - 2" Install Fire Hydrant and Lateral Add 5/8" - 1" on new conn Add 5/8" - 1" on existing conn DEMO 3" - 8" TABLE 6 - ESTIMATED PERSONNEL HOURS & WAGES FOR OTHER WATER INSTALLATIONS WATER SERVICES Hourly Wages Including benefits & Overhead Install 1" x 3/4" U- branch for two 5/8" mtrs Install Fire Hydrant only ATTACHMENT J Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 0.50 $75.67 0.50 $75.67 1.00 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 Administra Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 Inspection I Util Inspector $41.06 $118.25 $0.00 $0.00 2.00 $236.51 2.00 $236.51 4.00 $473.01 4.00 $473.01 Inspection II Water Meter Supervisor $64.14 $184.72 0.50 $92.36 0.50 $92.36 1.00 $184.72 1.00 $184.72 4.00 $738.89 4.00 $738.89 Meter Set Meter Repair $31.73 $91.38 1.50 $137.07 1.50 $137.07 2.00 $182.76 2.00 $182.76 8.00 $731.06 10.00 $913.82 Operations Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 1.00 $90.92 1.00 $90.92 TOTALS Totals 3.50 $396.03 3.50 $396.03 7.00 $846.26 7.00 $846.26 18.50 $2,230.69 20.50 $2,413.45 Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 5.00 $756.72 2.00 $302.69 0.07 $10.59 15.00 $2,270.16 Administra Admin $31.57 $90.92 1.00 $90.92 0.50 $45.46 0.01 $0.91 0.50 $45.46 TOTALS 6.00 $847.64 2.50 $348.15 0.08 $11.50 15.50 $2,315.62 Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 2.00 $302.69 2.00 $302.69 2.00 $302.69 0.01 $1.51 0.00 $0.00 0.01 $1.51 Administra Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.01 $0.91 0.00 $0.00 0.01 $0.91 Inspection I Util Inspector $41.06 $118.25 2.00 $236.51 2.00 $236.51 2.00 $236.51 0.01 $1.18 0.01 $1.18 0.01 $1.18 Operations Supervisor $64.14 $184.72 1.00 $184.72 1.00 $184.72 1.00 $184.72 0.05 $9.24 0.01 $1.85 0.01 $1.85 Sawcut Install/Rep $39.18 $112.84 1.00 $112.84 1.00 $112.84 $0.00 0.20 $22.57 0.10 $11.28 $0.00 Lead Heavy Eq O.$37.13 $106.93 6.00 $641.61 7.00 $748.54 $0.00 0.20 $21.39 0.00 $0.00 0.00 $0.00 Lead Inst Install/Rep L $42.76 $123.15 6.00 $738.89 7.00 $862.04 2.00 $246.30 0.20 $24.63 0.10 $12.31 0.15 $18.47 Inst/Rep Install/Rep $39.18 $112.84 6.00 $677.03 7.00 $789.87 2.00 $225.68 0.20 $22.57 0.10 $11.28 0.15 $16.93 Inst/Rep A.Install/Rep A.$33.23 $95.70 6.00 $574.21 7.00 $669.92 $0.00 0.20 $19.14 0.10 $9.57 0.15 $14.36 Paving Equip Oper $32.79 $94.44 1.50 $141.65 1.50 $141.65 $0.00 0.10 $9.44 0.00 $0.00 $0.00 Concrete Cement Finisher Lead $37.93 $109.24 1.50 $163.86 1.50 $163.86 $0.00 0.10 $10.92 0.00 $0.00 0.00 $0.00 Operations Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.01 $0.91 0.00 $0.00 0.01 $0.91 TOTALS 34.00 $3,864.93 38.00 $4,303.56 10.00 $1,296.81 1.29 $144.41 0.42 $47.48 0.50 $56.62 Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 0.10 $15.13 0.10 $15.13 Administra Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.00 $0.00 0.00 $0.00 Inspection I Util Inspector $41.06 $118.25 2.00 $236.51 2.00 $236.51 2.00 $236.51 $0.00 $0.00 Operations Supervisor $64.14 $184.72 1.00 $184.72 1.00 $184.72 1.00 $184.72 0.01 $1.85 0.01 $1.85 Sawcut Install/Rep $39.18 $112.84 $0.00 $0.00 1.00 $112.84 $0.00 $0.00 Lead Heavy Eq O.$37.13 $106.93 $0.00 $0.00 8.00 $855.48 0.00 $0.00 0.00 $0.00 Lead Inst Install/Rep L $42.76 $123.15 2.00 $246.30 3.00 $369.45 8.00 $985.19 0.50 $61.57 1.00 $123.15 Inst/Rep Install/Rep $39.18 $112.84 2.00 $225.68 3.00 $338.52 8.00 $902.71 0.50 $56.42 1.00 $112.84 Inst/Rep A.Install/Rep A.$33.23 $95.70 2.00 $191.40 3.00 $287.11 8.00 $765.62 $0.00 $0.00 Paving Equip Oper $32.79 $94.44 $0.00 $0.00 2.00 $188.87 $0.00 $0.00 Concrete Cement Finisher Lead $37.93 $109.24 $0.00 $0.00 3.00 $327.72 1.00 $109.24 1.00 $109.24 Operations Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.00 $0.00 0.00 $0.00 TOTALS Totals 11.00 $1,326.87 14.00 $1,658.56 43.00 $4,801.91 2.11 $246.32 3.11 $365.32 4" compound meter 6" compound meter PLAN REVIEW COSTS TABLE 8 - ESTIMATED PERSONNEL HOURS & WAGES FOR REVIEW OF PLAN SUBMITTALS FOR GAS Hourly Wages Including benefits & OverheadEffective 12/01/14 TAPPING MAIN FOR NEW GAS CONNECTION TRENCHED SERVICE BOLLARDS WATER METER 1" water E-meter TABLE 9 - ESTIMATED PERSONNEL HOURS & WAGES FOR GAS SERVICE & MAIN INSTALLATIONS Hourly Wages Including Benefits & Overhead Hourly Wages Including Benefits & Overhead 4" BOLLARD TABLE 7 - ESTIMATED PERSONNEL HOURS & WAGES FOR WATER METER INSTALLATIONS 5/8" water E-meter TABLE 10 - ESTIMATED PERSONNEL HOURS & WAGES FOR OTHER GAS INSTALLATIONS 1"2" Effective 12/01/14 GAS SERVICES 1" 0R 2" CONNECTION ADDITIONAL FOOTAGE FOR SERVICES INSTALL 2" PE PIPE IN CONTRACTOR'S TRENCH 2" water E-meter Effective 12/01/14 1-1/2" water E-meter MAIN EXTENSION 4" OR 6" CONNECTION COMM BLDG PER EACH 1" 0R 2" SERVICE RISER RELOCATION 2" BOLLARD PER LFPER EACH PER EACH 2" MAIN PER FOOT Hourly Wages Including benefits & Overhead Effective 12/01/14 SFR SUBDIVISION SFR ATTACHMENT J Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 0.50 $75.67 Administra Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.10 $9.09 Inspection I Util Inspector $41.06 $118.25 2.00 $236.51 2.00 $236.51 2.00 $236.51 2.00 $236.51 2.00 $236.51 0.50 $59.13 Inspection II Gas Meter Supervisor $64.14 $184.72 0.50 $92.36 0.50 $92.36 0.50 $92.36 0.50 $92.36 0.50 $92.36 0.25 $46.18 Meter Set Gas Meter Tech $35.79 $103.08 1.50 $154.61 1.50 $154.61 2.00 $206.15 3.00 $309.23 3.00 $309.23 1.00 $103.08 Operations Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.10 $9.09 TOTALS 6.00 $725.75 6.00 $725.75 6.50 $783.78 7.50 $880.36 7.50 $880.36 2.45 $304.69 Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 0.50 $75.67 1.00 $151.34 0.10 $15.13 0.10 $15.13 Administra Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.10 $4.55 0.10 $4.55 Inspection I Util Inspector $41.06 $118.25 2.00 $236.51 2.00 $236.51 2.00 $236.51 0.50 $59.13 2.00 $236.51 $0.00 $0.00 Inspection II Gas Meter Supervisor $64.14 $184.72 1.00 $184.72 1.00 $184.72 1.00 $184.72 0.50 $92.36 1.00 $184.72 0.10 $18.47 0.10 $18.47 Meter Set Gas Meter Tech $35.79 $103.08 3.00 $309.23 3.00 $309.23 3.00 $309.23 1.00 $103.08 4.00 $412.30 0.25 $77.31 0.25 $77.31 Operations Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 $0.00 $0.00 TOTALS 8.00 $972.72 8.00 $972.72 8.00 $980.72 3.50 $421.16 9.00 $1,084.80 0.55 $115.46 0.55 $116.01 Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 2.00 $302.69 2.00 $302.69 2.00 $302.69 Administra Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 Inspection I Util Inspector $41.06 $118.25 2.00 $236.51 4.00 $473.01 4.00 $473.01 4.00 $473.01 4.00 $473.01 6.00 $709.52 6.00 $709.52 6.00 $709.52 Inspection II Gas Meter Supervisor $64.14 $184.72 1.00 $184.72 2.00 $369.45 2.00 $369.45 2.00 $369.45 2.00 $369.45 4.00 $738.89 4.00 $738.89 4.00 $738.89 Meter Set Gas Meter Tech $35.79 $103.08 4.00 $412.30 6.00 $618.45 6.00 $618.45 6.00 $618.45 6.00 $618.45 24.00 $2,473.80 24.00 $2,473.80 24.00 $2,473.80 Operations Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 TOTALS 9.00 $1,075.80 14.00 $1,703.17 14.00 $1,717.17 14.00 $1,703.17 14.00 $1,703.17 37.00 $4,352.82 37.00 $4,315.82 37.00 $4,315.82 ADDITONAL GAS METER(S) Effective 12/01/14 TABLE 11 - ESTIMATED PERSONNEL HOURS & WAGES FOR HOUSE DIAPHRAGM GAS METER INSTALLATIONS Hourly Wages Including Benefits & Overhead Effective 12/01/14 Effective 12/01/14 TABLE 13 - ESTIMATED PERSONNEL HOURS & WAGES FOR ROTARY GAS METER INSTALLATIONS GAS REGULATOR VENT LINE630 AMR ERTS 250 400 5000 11000 160007000 ON EXISTING SERVICE 1000 23000 ROTARY GAS METERS 1500 2000 3000 400 DIAPHRAGM GAS METERS 800 630 ON NEW SERVICE CURB DIAPHRAGM GAS METERSHourly Wages Including Benefits & Overhead Hourly Wages Including Benefits & Overhead 250 TABLE 12 - ESTIMATED PERSONNEL HOURS & WAGES FOR VAULT DIAPHRAGM GAS METER INSTALLATIONS DIAPHRAGM GAS METER ERT ROTARY GAS METER ERT ATTACHMENT J Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 1.00 $151.34 0.14 $21.19 15.00 $2,270.16 Administra Admin $31.57 $90.92 0.10 $9.09 0.01 $0.91 0.50 $45.46 TOTALS 1.10 $160.44 0.15 $22.10 15.50 $2,315.62 Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages Engineering Engineering $52.55 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 0.01 $1.51 1.00 $151.34 1.00 $151.34 1.00 $151.34 1.00 $151.34 0.50 $75.67 Administra Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.01 $0.91 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.00 $0.00 Inspection I Util Inspector $41.06 $118.25 1.00 $118.25 1.00 $118.25 1.00 $118.25 1.00 $118.25 0.10 $11.83 2.00 $236.51 1.00 $118.25 2.00 $236.51 5.00 $591.26 1.00 $118.25 Operations Supervisor $64.14 $184.72 1.00 $184.72 1.00 $184.72 2.00 $369.45 2.00 $369.45 0.10 $18.47 1.00 $184.72 1.00 $184.72 4.00 $738.89 6.00 $1,108.34 1.00 $184.72 Sawcut Install/Rep $39.18 $112.84 1.00 $112.84 1.00 $112.84 1.00 $112.84 1.00 $112.84 0.01 $1.13 1.00 $112.84 $0.00 $0.00 $0.00 $0.00 Lead Heavy Eq O.$37.13 $106.93 8.00 $855.48 9.00 $962.41 10.00 $1,069.34 11.00 $1,176.28 0.20 $21.39 2.50 $267.34 5.50 $588.14 12.00 $1,283.21 14.00 $1,497.08 4.00 $427.74 Lead Inst Install/Rep L $42.76 $123.15 8.00 $985.19 9.00 $1,108.34 10.00 $1,231.49 11.00 $1,354.64 0.20 $24.63 2.50 $307.87 5.50 $677.32 12.00 $1,477.79 14.00 $1,724.08 4.00 $492.60 Inst/Rep Install/Rep $39.18 $112.84 8.00 $902.71 9.00 $1,015.55 10.00 $1,128.38 11.00 $1,241.22 0.20 $22.57 1.00 $112.84 5.50 $620.61 12.00 $1,354.06 14.00 $1,579.74 4.00 $451.35 Inst/Rep A.Install/Rep A.$33.23 $95.70 8.00 $765.62 9.00 $861.32 10.00 $957.02 11.00 $1,052.73 0.20 $19.14 1.00 $95.70 5.50 $526.36 12.00 $1,148.43 14.00 $1,339.83 4.00 $382.81 Paving Equip Oper $32.79 $94.44 3.00 $283.31 3.00 $283.31 3.00 $283.31 3.00 $283.31 0.10 $9.44 $0.00 3.00 $283.31 10.00 $944.35 10.00 $944.35 3.00 $283.31 Concrete Cement Finisher Lead $37.93 $109.24 3.00 $327.72 3.00 $327.72 3.00 $327.72 3.00 $327.72 0.10 $10.92 1.00 $109.24 0.00 $0.00 8.00 $873.91 8.00 $873.91 0.00 $0.00 Operations Admin $31.57 $90.92 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.01 $0.91 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 0.50 $45.46 TOTALS 43.00 $4,778.09 47.00 $5,216.72 52.00 $5,840.06 56.00 $6,278.69 1.24 $142.85 14.00 $1,669.32 29.00 $3,240.98 74.00 $8,299.41 87.00 $9,900.86 22.00 $2,461.91 $145.04 $159.66 average:$179.86 average:$126.73 $93.80 Hourly Wages Employee Employee Function Title Using Rate 2.88 # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages # hours Wages Operations Overhead Underground Troubleman $51.04 $147.00 NO CHARGE 2.00 DOUBLE TIME $300.12 1.00 $147.00 NOT APPLICA BLE 1.00 $147.00 2.00 (DOUBLE TIME)$300.12 2.00 $293.99 4.00 (DOUBLE TIME)$504.28 TOTALS NO CHARGE 2.00 $300.12 1.00 $147.00 NOT APPLICA BLE 1.00 $147.00 2.00 $300.12 2.00 $293.99 4.00 $504.28 Hourly Wages Including Benefits & Overhead Effective 12/01/14 8" MAIN PER FOOT SEWER CLEANOUT NEW SEWER LATERALS < 6' TABLE 15 - ESTIMATED PERSONNEL HOURS & WAGES FOR SEWER LATERAL & MAIN INSTALLATIONS TABLE 14 - ESTIMATED PERSONNEL HOURS & WAGES FOR REVIEW OF PLAN SUBMITTALS FOR WASTEWATER NEW MANHOLE > 6' DEEP DEMO EXISTING LATERAL PIPE BURST LATERAL NEW MANHOLE < 6' DEEP4"6" Effective 12/01/14 PER LF NEW SEWER LATERALS > 6' < 10' 4" PLAN REVIEW COSTS Hourly Wages Including benefits & Overhead SUBDIVISION SFR MAIN EXTENSION COMM BLDG PER EACH Hourly Wages Including benefits & Overhead DURING BUSINESS AFTER BUSINESS DURING BUSINESS DISPATCH OF SERVICE PERSON TO DISCONNECTION SERVICE AT METERS FOR NON-PAYMENT PER EACH 6" Effective 12/01/14 HOURS HOURS HOURS HOURS AFTER BUSINESS HOURS AFTER BUSINESS DURING BUSINESS RESTORATION OF SERVICE AT METERS FOLLOWING DISCONNECTION FOR NON- PAYMENT SETTING ELECTRICAL METER TABLE 16 - ESTIMATED PERSONNEL HOURS & WAGES FOR SERVICE CALLS AND OTHER SERVICE WORK HOURSHOURS AFTER BUSINESSDURING BUSINESS RESTORATION OF ELECTRIC SERVICE AT POWER POLE FOLLOWING DISCONNECTION FOR NON-PAYMENT HOURS ATTACHMENT J Material List 1 Water 2" HDPE Water Service material #avg price 2" x 8 Tapping saddle 24710 $171.98 2" Corp stop 21003 $268.23 30' 2" HDPE SDR 9 pipe $100.00 Poly-cam series 914 transition fitting 24110 $123.08 2" angle meter stop 21014 $230.55 2" HDPE 90 24104 $63.72 Tracer wire 24150 $10.00 marker ball 28507 $8.85 Total $976.41 4" HDPE Water Service material #avg price 4" x 8" Tapping sleve 24711 $255.69 4" AVK gate valve w/ PE ends 24730 $697.37 30' of 4" HDPE SDR 11 pipe $150.00 Traffic valve box 20000 $24.27 Traffic valve box lid 20001 $16.95 Tracer wire 24150 $10.00 marker ball 28507 $8.85 4" flange HDPE transition $25.00 Total $1,188.13 material #avg price 6" HDPE Water Service 6" x 10" tapping sleve 24717 $312.33 6" AVK gate valve w/ PE ends 24731 $918.97 30' 6" HDPE SDR 11 pipe $240.00 Traffic valve box 24150 $24.27 Traffic valve box lid 28507 $16.95 Tracer wire 24150 $10.00 marker ball 28507 $8.85 6" flange HDPE transition $50.00 Total $1,581.37 material #avg price 8" HDPE Water Service 8" x 10" Tapping sleve 24718 $423.25 8" AVK gate valve w/ PE ends 24732 $1,501.20 8" HDPE SDR 11 pipe $350.00 Traffic valve box lid 24150 $24.27 Traffic valve box 28507 $16.95 Tracer wire 24150 $10.00 marker ball 28507 $8.85 8" flange HDPE transition $50.00 Total $2,384.52 ATTACHMENT J Material List 2 Water material # avg price 2" HDPE Fire service 2" x 8 Tapping saddle 24710 $171.98 2" Corp stop 21003 $268.23 30' 2" HDPE pipe $100.00 Poly-cam series 911 transition fitting 24105 $169.91 Tracer wire 24150 $10.00 marker ball 28507 $8.85 Total $728.97 material #avg price 2" HDPE connect to larger service 2" x 8 Tapping saddle 24710 $171.98 2" Corp stop 21003 $268.23 5' of 2" HDPE SDR 9 pipe $20.00 Poly-cam series 914 transition fitting 24110 $123.08 2" angle meter stop 21014 $230.55 2" HDPE 90 24104 $63.72 Tracer wire 24150 $10.00 marker ball 28507 $8.85 Total $896.41 material #avg price 4" HDPE connect to larger service 4" x 8" Tapping sleve 24711 $255.69 4" AVK gate valve w/ PE ends 24730 $697.37 5' of 4" HDPE SDR 11 pipe $25.00 Traffic valve box 20000 $24.27 Traffic valve box lid 20001 $16.95 Tracer wire 24150 $10.00 marker ball 28507 $8.85 4" flange HDPE transition $25.00 Total $1,063.13 8" Water Main material #avg price 8" main $12.00 Tracer wire 24150 $10.00 8" AVK gate valve w/ PE ends 24732 $8.60 Total $30.60 ATTACHMENT J Material List 3 Water 2" Water Tap 2" x 8 Tapping saddle 24710 $171.98 2" Corp stop 21003 $268.23 Total $440.21 4" Water Tap 4" x 8" Tapping sleve 24711 $255.69 4" AVK gate valve w/ PE ends 24730 $697.37 Total $953.06 6" Water Tap 6" x 10" tapping sleve 24717 $312.33 6" AVK gate valve w/ PE ends 24731 $918.97 Total $1,231.30 8"Water Tap 8" x 10" Tapping sleve 24718 $423.25 8" AVK gate valve w/ PE ends 24732 $1,501.20 Total $1,924.45 material # avg price Fire hydrant 6" x 10" tapping sleve 24717 $312.33 6" AVK gate valve w/ PE ends 24731 $918.97 30' 6" HDPE SDR 11 pipe $240.00 Traffic valve box 24150 $24.27 Traffic valve box lid 28507 $16.95 Tracer wire 24150 $10.00 marker ball 28507 $8.85 6" flange HDPE transition $50.00 Hydrant bury 27200 $164.73 AVK Fow-Guard II Breakaway $2,482.00 Hydrant 27302 $1,487.13 Total $5,715.23 ATTACHMENT J Material List 4 Water 5/8" Meter Water material #avg price 5/8" meter $146.50 1017 meter box and lid $48.31 2"FL x 2" FIP transition $95.00 3/4" x 2" bushing $12.00 Total $301.81 1" Meter Water material #avg price 1" meter $190.50 1120 meter box and lid $160.50 2"FL x 2" FIP transition $95.00 1" x 2" bushing $20.00 Total $466.00 1-1/2" Meter Water material #avg price 1-1/2" meter $443.00 1324 meter box and lid $60.00 1-1/2" x 2" flange $95.00 Total $598.00 2" Meter Water material #avg price 2" meter $592.00 1730 meter box and lid $197.00 Total $789.00 4" Meter Water material #avg price 4" meter 28014 $2,752.00 4" strainer 28026 $682.76 4" x 30" spool $75.00 Total $3,509.76 6" Meter Water material #avg price 6" meter 28016 $4,468.00 6" strainer 28026 $1,070.00 6" x 30" spool $100.00 Total $5,638.00 Install 1" x 3/4" U branch U branch 1"x3/4", 6-1/2"21110 $30.75 3/4" corp stop 21005 2 26.62 $53.24 2"FL x 2" FIP transition $95.00 1" x 2" bushing $20.00 $198.99 ATTACHMENT J Material List 5 Gas 1" PE Service material #avg price Tape Elect BLK 3/4" x 66' #37 38525 $3.44 Pipe PE 1" CTS 500' Coil 40701 70 $21.00 Plug BLK 3/4 41600 $36.40 Valve Meter BLK 3/4" Insulated 42998 $45.90 Riser Meter prebent 1-1/4" 43050 $15.74 1" coupling 45421 $11.50 Tee Steel Saddle 2 IPS x 1 CTS 45533 $119.62 Wire CU #10 sol HMW-PE 45 mil 45700 70 0.25 $17.50 Total $271.10 2" PE Service material # # units avg price avg price Tape Elect BLK 3/4" x 66' #37 38525 $3.44 Pipe PE 2" IPSW 500' Coil 40702 70 $68.00 Nipple BLK 2 x CL 41450 2 1.18 $2.36 Plug BLK 2 41604 $1.62 Tee BLK 2 41804 $6.87 Valve Meter BLK 2" Insulated 43005 $199.68 Riser Meter Prebent 2"x2" IPS 43057 $96.52 Tee Service 2" Weld Inlet 43108 $54.04 Valve PE Ball 2" IPS 45562 $222.53 Valve Box 2" x 28-42" w/CI Lid 45570 $59.02 Vavle Support for 2" PE Valve 45575 $6.87 Wire CU #10 sol HMW-PE 45 mil 45700 70 0.25 $17.50 Total $738.45 Relocate 1" PE Service Tape Elect BLK 3/4" x 66' #37 38525 $1.00 Pipe PE 1" CTS 500' Coil 40701 10 $3.00 Plug BLK 3/4 41600 $36.40 Valve Meter BLK 3/4" Insulated 42998 $45.90 Riser Meter prebent 1-1/4"43050 $15.74 1" coupling 45421 2 $23.00 Total $125.04 2" PE main Pipe PE 2" IPSW 500' Coil 40701 $1.00 Wire CU #10 sol HMW-PE 45 mil 45700 $0.25 Tape Elect BLK 3/4" x 66' #37 38525 $1.00 Valve PE Ball 2" IPS 45562 $1.00 Total $3.25 ATTACHMENT J Material List 5 Gas material # # units avg price avg price Additional diaphragm gas meter on service Nut Galv Swivel Sprague 1A 44207 $1.24 Manifold per meter 44601 $106.57 Total $107.81 2" Bollard 2" steel pipe 41516 $12.00 Cement Allcrete 5 Min. Set 60025 $81.00 Total $93.00 4" Bollard 4" steel pipe 41519 $48.00 Cement Allcrete 5 Min. Set 60025 $81.00 Total $129.00 44502 $39.38 44500 $92.15 250 meter Nipple BLK 3/4 x 3-1/2 41404 $0.84 Plug BLK 3/4 41600 $0.69 Tee BLK 3/4 41800 $1.05 Meter Gas House Class 250 44101 $93.39 Nut Galv Swivel Sprague 1A 44207 $1.24 Bend BLK Meter, Double, 4" x 6"44220 $4.59 Regulator Gas 3/4" Class 1 44300 $22.19 Total $123.99 400 meter Elbow BLK Reducing 1-1/2 x 3/4 41350 $3.66 Nipple BLK 3/4 x 3-1/2 41404 $0.84 Plug BLK 1-1/2 41603 $1.23 Swivel Galv 1-1/2" Female 44203 $5.91 Meter Gas House Class 400 44103 $193.03 Nut Galv Swivel Sprague #4 44209 $3.49 Bend BLK Meter, Double, 7" x 4, 2" rad 44220 $4.59 Regulator Gas 3/4" Class 1 44300 $22.19 Total $234.94 630 meter Elbow BLK Reducing 1-1/2 x 3/4 41350 $3.66 Nipple BLK 3/4 x 3-1/2 41404 $0.84 Plug BLK 1-1/2 41603 $1.23 Swivel Galv 1-1/2" Female 44203 $5.91 Meter Gas House Class 630 44118 $503.71 Nut Galv Swivel Sprague #4 44209 $3.49 Bend BLK Meter, Double, 7" x 4, 2" rad 44220 $4.59 Regulator Gas 3/4" Class 1 44300 $22.19 Total $545.62 AMR ERT DIAPHRAGM GAS METER AMR ERT ROTARY GAS METER ATTACHMENT J Material List 6 Gas 250 curb meter material # # units avg price avg price Nipple BLK 3/4 x 3-1/2 41404 $0.84 Plug BLK 3/4 41600 $0.69 Tee BLK 3/4 41800 $1.05 Meter Gas curb Class 250 44110 $323.65 Nut Galv Swivel Sprague 1A 44207 $1.24 Bend BLK Meter, Double, 4" x 6"44220 $4.59 Regulator Gas 3/4" Curb 44298 $500.68 Total $832.74 400 curb meter Elbow BLK Reducing 1-1/2 x 3/4 41350 $3.66 Nipple BLK 3/4 x 3-1/2 41404 $0.84 Plug BLK 1-1/2 41603 $1.23 Swivel Galv 1-1/2" Female 44203 $5.91 Meter Gas curb Class 400 44100 $530.27 Nut Galv Swivel Sprague #4 44209 $3.49 Bend BLK Meter, Double, 7" x 4, 2" rad 44220 $4.59 Regulator Gas 3/4" Curb 44298 $500.68 Total $1,050.67 630 curb meter Elbow BLK Reducing 1-1/2 x 3/4 41350 $3.66 Nipple BLK 3/4 x 3-1/2 41404 $0.84 Plug BLK 1-1/2 41603 $1.23 Swivel Galv 1-1/2" Female 44203 $5.91 Meter Gas House Class 750 44104 $783.92 Nut Galv Swivel Sprague #4 44209 $3.49 Bend BLK Meter, Double, 7" x 4, 2" rad 44220 $4.59 Regulator Gas 3/4" Class 1 44298 $500.68 Total $1,304.32 800 meter Elbow BLK Reducing 1-1/2 x 3/4 41350 $3.66 Nipple BLK 3/4 x 3-1/2 41404 $0.84 Plug BLK 1-1/2 41603 $1.23 Swivel Galv 1-1/2" Female 44203 $5.91 Meter Gas House 800 44104 $681.00 Nut Galv Swivel Sprague #4 44209 $3.49 Bend BLK Meter, Double, 7" x 4, 2" rad 44220 $4.59 Regulator Gas 1-1/2" body 44303 $199.78 Total $900.50 1000 meter Elbow BLK Reducing 1-1/2 x 3/4 41350 $3.66 Nipple BLK 3/4 x 3-1/2 41404 $0.84 Plug BLK 1-1/2 41603 $1.23 Swivel Galv 1-1/2" Female 44203 $5.91 Meter Gas House 1000 $786.64 Nut Galv Swivel Sprague #4 44209 $3.49 Bend BLK Meter, Double, 7" x 4, 2" rad 44220 $4.59 Regulator Gas 1-1/2" body 44303 $199.78 Total $1,006.14 ATTACHMENT J Material List 7 Gas material # # units avg price avg price 1500 rotary meter 44125 $959.78 Elbow, BLK Street Red 1-1/2x1-1/4" 41361 $6.69 Nipple BLK 1-1/4" x 3-1/2 41434 $2.57 Nipple BLK 1-1/2" x 2 41441 $1.19Nipple BLK 1-1/2" x 4-1/2 41446 $2.20 Cap Screw Hex 5/8" x 1-1/2" 43312 $0.43 Flange Reducing, 2"x1-1/2" FF 43320 $61.07 Gasket, 2"x1/16" Full Face 43350 $3.47 Filter Gas, 1-1/4" NPT 44315 $142.87 Regulator Gas 1-1/2", 1/2" orf 44324 $231.21 Total $1,411.48 2000 rotary meter 44126 $1,153.59 Cap BLK 2 41104 $2.31 Elbow, BLK Street 2" M/F 41365 $5.03 Nipple BLK 2 x 3-1/2 41453 $2.66 Nipple BLK 2 x 4-1/2 41455 $4.66 Nipple BLK 2"x3" Thrd 1 end 41490 $1.50 Tee Stl 2" Weld-end 41811 $21.28 Cap Screw Hex 5/8" x 1-1/2" 43312 $0.43Flange Reducing, 2"x1-1/2" FF 43320 $61.07 Flange 2" Lap Joint 43325 $8.37 Flange, 2" Stud End 43340 $34.78 Gasket, 2"x1/16" Full Face 43350 $3.47 Gasket, 2" 1/16" Ring 43355 $3.06 Filter Gas, 2" NPT 44317 $175.45 Regulator Gas 2" Screwed 44330 $235.92 Total $1,713.58 3000 rotary meter 44127 $1,153.59 Cap BLK 2 41104 $2.31 Elbow, BLK Street 2" M/F 41365 $5.03 Nipple BLK 2 x 3-1/2 41453 $2.66 Nipple BLK 2 x 4-1/2 41455 $4.66 Nipple BLK 2"x3" Thrd 1 end 41490 $1.50 Tee Stl 2" Weld-end 41811 $21.28 Cap Screw Hex 5/8" x 1-1/2" 43312 $0.43 Flange Reducing, 2"x1-1/2" FF 43320 $61.07 Flange 2" Lap Joint 43325 $8.37 Flange, 2" Stud End 43340 $34.78 Gasket, 2"x1/16" Full Face 43350 $3.47 Gasket, 2" 1/16" Ring 43355 $3.06 Filter Gas, 2" NPT 44317 $175.45 Regulator Gas 2" Screwed 44330 $235.92 Total $1,713.58 5000 rotary meter 44128 $1,573.41 Cap BLK 2 41104 $2.31 Elbow, BLK Street 2" M/F 41365 $5.03 Nipple BLK 2 x 3-1/2 41453 $2.66 Nipple BLK 2 x 4-1/2 41455 $4.66 Nipple BLK 2"x3" Thrd 1 end 41490 $1.50Tee Stl 2" Weld-end 41811 $21.28 Cap Screw Hex 5/8" x 1-1/2" 43312 $0.43 Flange Reducing, 2"x1-1/2" FF 43320 $61.07 Flange 2" Lap Joint 43325 $8.37 Flange, 2" Stud End 43340 $34.78 Gasket, 2"x1/16" Full Face 43350 $3.47 Gasket, 2" 1/16" Ring 43355 $3.06 Filter Gas, 2" NPT 44317 $175.45 Regulator Gas 2" Screwed 44330 $235.92 Total $2,133.40 ATTACHMENT J Material List 8 Gas material # # units avg price avg price 7000 rotary meter 44129 $2,154.35 Cap BLK 2 41104 $2.31 Elbow, BLK Street 2" M/F 41365 $5.03 Nipple BLK 2 x 3-1/2 41453 $2.66 Nipple BLK 2 x 4-1/2 41455 $4.66 Nipple BLK 2"x3" Thrd 1 end 41490 $1.50 Tee Stl 2" Weld-end 41811 $21.28 Cap Screw Hex 5/8" x 1-1/2" 43312 $0.43 Flange Reducing, 2"x1-1/2" FF 43320 $61.07 Flange 2" Lap Joint 43325 $8.37 Flange, 2" Stud End 43340 $34.78 Gasket, 2"x1/16" Full Face 43350 $3.47Gasket, 2" 1/16" Ring 43355 $3.06 Filter Gas, 2" NPT 44317 $175.45 Regulator Gas 2" Screwed 44330 $235.92 Total $2,714.34 11,0000 rotary meter Cap BLK 2 41104 $2.31 Elbow, BLK Street 2" M/F 41365 $5.03 Nipple BLK 2 x 3-1/2 41453 $2.66 Nipple BLK 2 x 4-1/2 41455 $4.66Nipple BLK 2"x3" Thrd 1 end 41490 $1.50Pipe Steel 2" Plain end 41516 $20.00Pipe Steel 3" Plain end 41518 $30.00Tee Stl 2" Weld-end 41811 $21.28Tee Stl 3x3x2 Weld-end 41812 $21.38 Cap Screw Hex 5/8" x 1-3/4" 43313 $0.43Flange Reducing, 3"x 2" Slip on 43322 $37.92Flange 2" Lap Joint 43325 $8.37Flange, 3" Lap Joint 43326 $9.97Flange, 2" Weld neck Flat face 43330 $14.64Flange, 3" Weld neck flat face 43331 $22.45Flane, 2" Stud end 43340 $34.78Flange, 3" Stud end 43341 $31.14Gasket, 3"x1/16" Full Face 43351 $2.70Gasket, 2" 1/16" Ring 43355 $3.06 Meter Gas Rotary, 11000 SCFH 44130 $2,557.65 Regulator Gas 2 ea 44332 $4,045.02 Filter Gas, 2" NPT 44317 $175.45 Total $7,052.40 16,0000 rotary meterCap BLK 2 41104 $2.31Elbow, BLK Street 2" M/F 41365 $5.03Nipple BLK 2 x 3-1/2 41453 $2.66Nipple BLK 2 x 4-1/2 41455 $4.66 Nipple BLK 2"x3" Thrd 1 end 41490 $1.50 Pipe Steel 2" Plain end 41516 $20.00 Pipe Steel 3" Plain end 41518 $30.00 Tee Stl 2" Weld-end 41811 $21.28 Tee Stl 3x3x2 Weld-end 41812 $21.38 Cap Screw Hex 5/8" x 1-3/4" 43313 $0.43 Flange Reducing, 3"x 2" Slip on 43322 $37.92 Flange 2" Lap Joint 43325 $8.37 Flange, 3" Lap Joint 43326 $9.97 Flange, 2" Weld neck Flat face 43330 $14.64Flange, 3" Weld neck flat face 43331 $22.45Flane, 2" Stud end 43340 $34.78Flange, 3" Stud end 43341 $31.14Gasket, 3"x1/16" Full Face 43351 $2.70Gasket, 2" 1/16" Ring 43355 $3.06 Meter Gas Rotary, 16000 SCFH 44152 $3,661.50 Regulator Gas 44332 $4,045.02 Filter Gas, 2" NPT 44317 $175.45 Total $8,156.25 23,000 rotary meterCap BLK 2 41104 $2.31Elbow, BLK Street 2" M/F 41365 $5.03Nipple BLK 2 x 3-1/2 41453 $2.66Nipple BLK 2 x 4-1/2 41455 $4.66Nipple BLK 2"x3" Thrd 1 end 41490 $1.50Pipe Steel 2" Plain end 41516 $20.00Pipe Steel 3" Plain end 41518 $30.00Tee Stl 2" Weld-end 41811 $21.28Tee Stl 3x3x2 Weld-end 41812 $21.38 Cap Screw Hex 5/8" x 1-3/4" 43313 $0.43Flange Reducing, 3"x 2" Slip on 43322 $37.92Flange 2" Lap Joint 43325 $8.37Flange, 3" Lap Joint 43326 $9.97Flange, 2" Weld neck Flat face 43330 $14.64 Flange, 3" Weld neck flat face 43331 $22.45 Flane, 2" Stud end 43340 $34.78 Flange, 3" Stud end 43341 $31.14 Gasket, 3"x1/16" Full Face 43351 $2.70 Gasket, 2" 1/16" Ring 43355 $3.06 Meter Gas Rotary, 23000 SCFH 44159 $5,949.79 Regulator Gas 44332 $4,045.02 Filter Gas, 2" NPT 44317 $175.45 Total $10,444.54 ATTACHMENT J Sewer Material List 9 4" lateral material # # units avg price avg price Box Sewer Cleanout Concrete 60000 $14.04 Lid Sewer Cleanout Marked Sewer 60001 $12.76 Band HDPE 1/16 4" 60002 $18.00 WYE 60003 $40.00 Bend 1/8 4" 60004 $18.00 Adapter Female 4" Cleanout 60009 $5.00 Cement Allcrete 5 Min. Set 60025 $40.67 Pipe SDR-17 butt fuse pipe 64214 40 3.96 $158.40 Saddle 8"X4" EF DR17 62500 $310.00 Total $616.87 6" lateral Box Sewer Cleanout Concrete 60000 $14.04 Lid Sewer Cleanout Marked Sewer 60001 $12.76 WYE 60005 $50.00 Bend 1/8 6"60007 $20.00 Adapter Female 4" Cleanout 60009 $5.00 Cement Allcrete 5 Min. Set 60025 $40.67 Pipe SDR-17 butt fuse pipe 64215 40 5.96 $238.40 Saddle 8"X6" EF DR17 62501 $320.00 Total $700.87 Sewer manhole < 6' deep mahole frame/cover 63002 $500.00 Lid Sewer manhole with tree 63010 $136.76 Cement Allcrete 5 Min. Set 60025 $40.67 48" base $200.00 5' - 48" manhole - rubber joint $350.00 48" to 24" MH reducer $200.00 Cement Allcrete 5 Min. Set 60025 $40.67 Total $1,468.10 Sewer manhole > 6' deep mahole frame/cover 63002 $500.00 Lid Sewer manhole with tree 63010 $136.76 Cement Allcrete 5 Min. Set 60025 $40.67 60" base $300.00 7' - 60" manhole - rubber joint $1,000.00 60" to 24" MH reducer $400.00 Cement Allcrete 5 Min. Set 60025 $40.67 Total $2,418.10 8" SS main per foot $11.00 Cleanout Box Sewer Cleanout Concrete 60000 $14.04 Lid Sewer Cleanout Marked Sewer 60001 $12.76 Band HDPE 1/16 4"60002 $18.00 WYE 60003 $40.00 Bend 1/8 4"60004 $18.00 Adapter Female 4" Cleanout 60009 $5.00 Cement Allcrete 5 Min. Set 60025 $40.67 Total $148.47 ATTACHMENT J Utility LABCDE Totals Service Pipe trench pave pipe sand Length Size, width width depth depth Qty.Unit Qty Unit Qty.Unit Qty.Unit Qty. Unit Qty Unit Ft In. In. In. In. In. Tons Price CY Price CY Price CY Price CY Price LF Price $108.90 $139.00 $139.00 $139.00 $20.24 $4.00 Gas service 4 1 36 48 30 27 0.40 $43.67 0.10 $13.56 $0.00 $0.00 1.00 $20.24 16 $64.00 $141.47 Boring 4 2 36 48 30 28 0.40 $43.67 0.10 $13.56 $0.00 $0.00 1.04 $20.99 16 $64.00 $142.22 Gas service trench 40 1&2 12 24 30 24 2.01 $218.35 0.49 $67.80 0.2 $27.80 0.3 $41.70 2.96 $59.97 68 $272.00 $687.62 Gas main trench 1 2 12 24 30 24 0.05 $5.46 0.01 $1.70 $0.00 $0.00 0.07 $1.50 2 $8.00 $16.65 Water Bore 4 2 36 48 30 28 0.40 $43.67 0.10 $13.56 0.2 $27.80 0.3 $41.70 1.04 $20.99 16 $64.00 $211.72 Water Service 30 4 18 30 36 36 1.88 $204.70 0.46 $63.57 0.2 $27.80 0.3 $41.70 5.00 $101.20 68 $272.00 $710.97 Trench 30 6 24 36 36 38 2.26 $245.64 0.55 $76.28 0.2 $27.80 0.3 $41.70 7.04 $142.43 68 $272.00 $805.85 30 8 24 36 36 40 2.26 $245.64 0.55 $76.28 0.2 $27.80 0.3 $41.70 7.41 $149.93 68 $272.00 $813.35 Water Main 1 8 24 36 36 40 0.08 $8.19 0.02 $2.54 $0.00 $0.00 0.25 $5.00 2 $8.00 $23.73 Sewer Lateral 30 4 24 36 60 60 2.26 $245.64 0.55 $76.28 0.2 $27.80 0.3 $41.70 11.11 $224.89 58 $232.00 $848.31 Trench < 6'30 6 24 36 60 62 2.26 $245.64 0.55 $76.28 0.2 $27.80 0.3 $41.70 11.48 $232.39 58 $232.00 $855.80 Sewer Lateral 30 4 36 48 80 86 3.01 $327.52 0.73 $101.71 0.2 $27.80 0.3 $41.70 23.89 $483.51 58 $232.00 $1,214.24 Trench > 6'30 6 36 48 80 86 3.01 $327.52 0.73 $101.71 0.2 $27.80 0.3 $41.70 23.89 $483.51 58 $232.00 $1,214.24 Sewer Lateral PB 4 4 36 48 30 28 0.40 $43.67 0.10 $13.56 0.2 $27.80 0.3 $41.70 1.04 $20.99 16 $64.00 $211.72 Sewer Manhole < 6'9 96 108 60 60 2.03 $221.08 0.49 $68.65 $0.00 $0.00 13.33 $269.87 32 $128.00 $687.59 Sewer Manhole > 6'10 108 120 84 84 2.51 $272.93 0.61 $84.76 $0.00 $0.00 23.33 $472.27 36 $144.00 $973.96 Sewer Main 1 8 36 48 60 66 0.10 $10.92 0.02 $3.39 $0.00 $0.00 0.61 $12.37 2 $8.00 $34.68 SERVICE TRENCH DIMENSIONS TRENCH, BACKFILL & RESTORATION AC, In PCC, In Curb & Gutter SAND SAW-CUT 46 Sidewalk, ft 5 TRENCHING & BACKFILLING COSTS ATTACHMENT J Utility LABCDE Totals Service Pipe trench pave pipe dirt Length Size, width width depth depth Qty. Unit Qty Unit Qty. Unit Qty. Unit Qty. Unit Ft In. In. In. In. In.CY Price CY Price CY Price CY Price CY Price $67.65 $67.65 $67.65 $67.65 $11.28 Gas service 4 1 36 48 30 27 0.40 $27.13 0.10 $6.60 $0.00 0.3 $20.30 1.00 $11.28 $65.30 Boring 4 2 36 48 30 28 0.40 $27.13 0.10 $6.60 $0.00 0.3 $20.30 1.04 $11.70 $65.72 Gas service trench 40 1&2 12 24 30 24 2.01 $135.64 0.49 $33.00 0.2 $13.53 $0.00 2.96 $33.42 $215.59 Gas main trench 1 8 24 36 36 40 0.08 $5.09 0.02 $1.24 $0.00 $0.00 0.25 $2.79 $9.11 Water Service Bore 4 2 36 48 30 28 0.40 $27.13 0.10 $6.60 0.2 $13.53 0.3 $20.30 1.04 $11.70 $79.25 Water Service 30 4 18 30 36 36 1.88 $127.16 0.46 $30.94 0.2 $13.53 0.3 $20.30 5.00 $56.40 $248.32 Trench 30 6 24 36 36 38 2.26 $152.59 0.55 $37.13 0.2 $13.53 0.3 $20.30 7.04 $79.38 $302.92 30 8 24 36 36 40 2.26 $152.59 0.55 $37.13 0.2 $13.53 0.3 $20.30 7.41 $83.56 $307.10 Water Main 1 8 24 36 36 40 0.08 $5.09 0.02 $1.24 $0.00 $0.00 0.25 $2.79 $9.11 Sewer Lateral 30 4 24 36 60 60 2.26 $152.59 0.55 $37.13 0.16 $10.82 0.3 $20.30 11.11 $125.33 $346.17 Trench < 6'30 6 24 36 60 62 2.26 $152.59 0.55 $37.13 0.17 $11.50 0.3 $20.30 11.48 $129.51 $351.03 Sewer Lateral 30 4 36 48 80 86 3.01 $203.46 0.73 $49.50 0.16 $10.82 0.3 $20.30 23.89 $269.47 $553.54 Trench > 6'30 6 36 48 80 86 3.01 $203.46 0.73 $49.50 0.17 $11.50 0.3 $20.30 23.89 $269.47 $554.22 Sewer Manhole < 6'9 96 108 60 60 2.03 $137.33 $0.00 $0.00 $0.00 13.33 $150.40 $287.73 Sewer Manhole > 6'10 108 120 84 84 2.51 $169.55 $0.00 $0.00 $0.00 23.33 $263.20 $432.75 Sewer Lateral PB 4 4 36 48 30 28 0.40 $27.13 0.10 $6.60 0.2 $13.53 0.3 $20.30 1.04 $11.70 $79.25 Sewer Main 1 8 36 48 60 66 0.10 $6.78 0.02 $1.65 $0.00 $0.00 0.61 $6.89 $15.33 AC, In PCC, In Curb & Gutter DIRT DISPOSAL CHARGES 5 Sidewalk, ft 46 SERVICE TRENCH DIMENSIONS OPEN TRENCH REMOVED MATERIALS WITHOUT CONTAMINATION ATTACHMENT J WGW Cost Multiplier based on FY 2015 Budget (E&O and Admin) GL Description Water Gas WWC Total WGW 30010 REGULAR SALARIES 2,471,049 2,733,089 1,793,701 6,997,839 30030 TEMPORARY SALARIES 71,710 78,068 35,997 185,775 30040 OVERTIME SALARIES 320,191 238,922 164,360 723,474 30050 NIGHT SHIFT PREMIUM 8,876 9,683 6,729 25,288 30110 FLSA CHARGES 643 701 487 1,831 30120 PREMIUM PAY - - - - 30130 MGMT EXCESS & PROF 17,520 19,350 12,330 49,200 30140 DISABILITY/WRKR COMP 179,813 78,488 69,080 327,381 30170 PAID LEAVE 558,588 617,212 404,081 1,579,881 30240 LONG TERM DISABILITY 8,865 12,902 5,848 27,615 30260 MEDICARE EMPLR CONTR 43,534 48,142 31,357 123,034 30290 PERS ALT MED REIMB 19,494 15,370 9,440 44,305 30370 RETIRE PREM PD BY C 201,650 451,282 117,161 770,093 30460 EMPL COMMUTE PROG - - - - 30470 MEDICAL STIPEND 10,014 3,394 9,278 22,686 30480 ER PENSION EXP SEIU 571,937 637,480 423,667 1,633,084 30481 ER PENSION EXP MGMT 8,822 8,822 7,492 25,136 30485 ER PENSION EXP UTLM 202,527 220,077 137,383 559,987 30500 ER MEDICAL SEIU 384,059 502,664 347,293 1,234,015 30501 ER MEDICAL MGMT 4,856 4,856 3,994 13,707 30505 ER MEDICAL UTLM 113,209 117,342 83,620 314,171 30510 ER DENTAL SEIU 53,331 63,956 43,407 160,695 30511 ER DENTAL MGMT 427 427 341 1,194 30515 ER DENTAL UTLM 13,243 13,914 8,124 35,281 30520 ER VISION SEIU 3,694 4,429 3,006 11,129 30521 ER VISION MGMT 30 30 24 83 30525 ER VISION UTLM 917 963 563 2,443 30990 BENEFITS ALLOCATION 16,113 33,628 16,814 66,555 39010 COST PLAN CHARGES 793,617 621,460 577,766 1,992,843 39020 MAIL SVC/ASD USE OLY 20,297 13,991 - 34,288 39040 PRNT SVC/ASD USE OLY 11,910 9,311 5,258 26,479 39080 VEHICLE EQPT MAINT S 158,452 182,223 211,336 552,012 39090 COMMUNICATIONS 73,116 186,105 83,788 343,008 39100 UTILITIES ADMINISTRA 1,336,930 1,483,976 1,014,506 3,835,412 39120 ENVIRONMENTAL DISPOS - 6,206 - 6,206 39130 ENVIRONMENTAL ADMIN - 7,433 - 7,433 39160 LIABILITY INSURANCE 16,052 18,983 14,040 49,076 39200 GF SVC PROV TO ENT F 3,692 55,061 4,429 63,182 39220 ENG&INSPC-PW SVC 5,841 6,112 11,679 23,632 39260 SURVEYING - PW SVC 7,788 - - 7,788 39270 GROUND MAINT-PW SRV 3,977 3,380 - 7,358 39390 STREET CUT FEES-INTE 42,834 54,330 93,433 190,596 39500 UTIL SVC PROV/OTHER 34,267 - - 34,267 39600 WATER SALES TO CITY 40,697 261 - 40,958 39610 ELECT SALES TO CITY 115,902 142 544 116,587 39630 REFUSE SALES TO CITY - - 9,958 9,958 39670 STORM DRAIN SALES TO 163 36 - 199 39700 LANDFILL CHRG TO CIT 231 8,369 2,376 10,976 39770 VEH REPLACEMNT ALLOC 163,216 191,220 144,064 498,500 Total Expense (30000-30990 & 39000-39990)8,114,097 8,763,789 5,908,754 22,786,641 Engineering & Operations FTE 35.56 40.91 26.32 102.79 Salaries (30000-30040)2,862,951 3,050,079 1,994,058 7,907,088 Total S&B & Allocated Chgs 8,114,097 8,763,789 5,908,754 22,786,641 Cost Multiplier 2.83                2.87                2.96                 2.88                    ATTACHMENT J COMPARISON OF BAY AREA UTILITY INSTALLATION FEES Installation Type Alameda County Redwood current Proposed EBAY MUD Water district Hayward Napa City WATER 2" water service $5,681.00 $4,863.00 $7,301.00 $4,050.00 $4,100.00 4" water service $8,381.00 $7,156.00 $4,725.00 6" fire service $9,379.00 $8,137.00 $5,210.00 8" fire service n/a $9,469.00 $5,550.00 new hydrant and lateral $9,785.00 $12,840.00 $13,796.00 $14,460.00 Eng & inspection for 2" svc n/a $1,618.00 Eng & inspection for hydrant & lat n/a $2,426.00 $3,012.00 demo 1" to 2" svc $952.00 $2,653.00 $1,463.00 $3,420.00 demo 3" to 12" svc $1,383.00 $3,715.00 $3,748.00 5/8" water meter $222.00 $698.00 $600.00 $330.00 $150.00 1" water meter $276.00 $862.00 $800.00 $440.00 $200.00 1-1/2" water meter $492.00 $1,444.00 $1,000.00 $730.00 $350.00 2" water meter $601.00 $1,635.00 $1,200.00 $660.00 $2,400.00 $450.00 4" water meter $2,429.00 $5,740.00 $4,760.00 $1,400.00 GAS (no comparisons available) 1" gas service $2,766.00 $4,343.00 2" gas service $4,156.00 $5,250.00 400CFH meter $468.00 $961.00 630 CFH meter $697.00 $1,329.00 WASTEWATER (most don't own lateral) 4" sewer latera $5,876.00 $6,589.00 6" sewer lateral $6,388.00 $7,124.00 Eng & inspection for new lateral n/a $2,157.00 $4,050.00 Palo Alto ATTACHMENT K Page 1 of 8 4 MEMORANDUM TO: UTILITIES ADVISORY COMMISSION FROM: UTILTIES DEPARTMENT DATE: December 10, 2014 SUBJECT: Staff Recommendation that the Utilities Advisory Commission Recommend that Council Adopt a Resolution Amending Water, Gas and Wastewater Connection and Capacity Fees and Miscellaneous Utility Charges (Utility Rate Schedules G-5, W-5, S-5 and C-1) REQUEST Staff requests that the Utilities Advisory Commission recommend that the City Council: 1.Adopt a resolution amending the following Utility Rate Schedules: W-5 (Water Service Connection Fees), G-5 (Gas Service Connection Fees), S-5 (Wastewater Service Connection Fees), and C-1 (Utility Miscellaneous Charges), effective April 1st, 2015. BACKGROUND The Utilities Department provides service connections to meet customers’ needs for new gas, water, wastewater and electric services. Service connection fees and service call fees are designed to recover costs that the Utilities Department incurs to provide installation, connection, inspection and engineering of new service connections, including labor, equipment and other associated charges. Service connection fees also cover all charges related to the installation, relocation or abandonment of gas, water and wastewater services, which include Utility plan review charges, meter and hydrant installations and other service installation and inspection costs. The proposed changes also add some new meter sizes to the existing capacity fee options for water and wastewater service. No increases are proposed to any existing capacity fees. The method used for recovering the costs is either: a single fee based on average conditions or an estimated cost based on unusual field conditions. Most service connection costs are recovered through the single fee methodology, with the single fees presented in the attached rate schedules W-5, G-5, S-5 and C-1. Unusual field conditions and the associated costs are determined by the Utilities Engineering Manager. The connection fees typically are a sum of the costs of labor, materials, equipment, overhead, street paving, meter costs (where applicable), and landfill dump charges. The last time a cost-of-service study of connection fees, excluding capacity fees, was performed by staff was in 2008. The water and wastewater capacity fees study was performed by Black ATTACHMENT L Page 2 of 8 and Veatch that same year. Both the connection fees and capacity fees increases were approved by Council in 2008 following the studies, with the phase-in of only the capacity fee increases in 2009 and 2010 to manage the impact of the increases to mainly developers of new residential single family and multi-family dwellings, and hotel construction (CMR: 227:08, CMR 222:09, and CMR: 214:10). Staff’s recent internal cost-of-service study of connection and service-related costs indicates that current fees do not fully recover the Utilities Department’s direct and indirect costs; therefore, an increase is necessary. Fees are developed to cover standard connections under basic assumptions. New items are added to the rate schedule to cover additional scenarios and changing conditions. However, engineering estimates are required to determine the appropriate fees for special requirements that arise occasionally. DISCUSSION Besides the changes proposed and described below, staff reviewed each of the attached rate schedules for clarity, making edits as needed to improve readability and ensure that defined terms used in Rule 2 (Definitions and Abbreviations) were properly capitalized in each rate schedule. All changes are shown in redline and attached. Water-Gas-Wastewater Connection Fees The proposed increases in water, gas, and wastewater connection fees are due to a combination of factors including higher labor rates, additional meter costs, and an increase in work time to reflect the actual time required to complete each job. The proposed water service connection fees increased on average of 87% with a decrease on average of 14% for domestic, irrigation and fire combined service connection charges; the proposed gas service connection fees increased on average 94%; and the proposed wastewater service connection fees increased on average 41%. The largest proposed fee increases are for meter installation charges for water and gas services. The current fees for domestic water and gas meter installations do not cover the material cost of the meter box and the new standard electronic water meter (E-meter), which was adopted in the 2013 Water, Gas, and Wastewater Utility Standards. They also do not cover the labor costs for setting or inspecting new meters on new or existing services. The proposed connection fee schedules will also recover utility plan review costs through the proposed addition of standardized utility plan review fees, along with engineering and inspection costs for a variety of utility work performed by outside contractors. Standardizing these fees will shorten the permit issuing process by eliminating the labor intensive estimation work that was done previously for water, gas and wastewater utility plan reviews and engineering and inspection work for unusual/large projects. In addition, new fees for tapping water and gas mains are proposed to be added to the connection fee schedules to provide an option to customers who prefer to use their own contractors for the service installation. Page 3 of 8 Per Palo Alto Municipal Code Titles 15 and 16 (Palo Alto Fire Code and Building Regulations), adopted in 2008, all new construction or renovation of one- and two-family dwellings is required to install automatic sprinkler systems. The proposed decreases in new water service connection fees, on average 14%, are due to combining domestic water, fire, and/or irrigation capability into one system. New customers will be charged, under the proposed fee schedule, for installing only one pipe servicing any purpose (fire, domestic or irrigation). Tables 1, 2, and 3 present summary of proposed changes to Gas, Water, and Wastewater Service Connection Fees, respectively. Page 4 of 8 Table 1 – Summary of Proposed Changes to Gas Service Standard Connection Fees (Attachment B – Utility Rate Schedule G-5) Rate Schedule Section and Title Reason(s) for Proposed Changes B.1 & B.2 Plan Review Fees New standardized fees to shorten processing time for permit issuance. Fees are based on estimated hours for plan review. Mainly used for commercial projects in excess of $200,000 and new subdivisions. B.3 Distribution System Extension Charge Increased labor rates and installation time B.4. Connection Charge for Service Installed on Existing Main - directionally bored connections Increased labor rates, material costs, and installation time B.4 Connection Charge for Service Installed on Existing Main - trenched connections and contractor provided trenches) Provides fee for when field conditions call for open -trench method, instead of directionally bored (trenchless) method Provides an option for customers who wish to have their contractor provide the trench for service installations by City staff B.5 Meter Charges Increased material costs and inclusion of actual labor costs for setting and inspection of meters B.5 4" Bollard New standard bollard size B.6 Additional meters on existing and new services Increased material costs and inclusion of actual labor costs for setting and inspection of meters B.7 Service Riser Relocation Increased labor rates and relocation time B.9 Tapping the gas main for contractor installed services Provides an option to customers in wanting to employ their own contractor for the service installation. City staff will perform tapping of live gas main. D.1 Engineering and Inspection Service Fees Increased labor rates. New standardized fees to shorten processing time for permit issuance. Page 5 of 8 Table 2 – Summary of Proposed Changes to Water Service Standard Connection Fees (Attachment D – Utility Rate Schedule W-5) Rate Schedule Section and Title Reason(s) for Proposed Changes B. 1 Plan Review Fees New standardized fees to shorten processing time for permit issuance. Fees are based on estimated hours for plan review. Mainly used for commercial projects in excess of $200,000 and new subdivisions. B.2 Distribution System Extension Charge New standard material and larger minimum diameter pipes for mains B.3 Service Connection Charges (for Domestic, Fire, & Irrigation) Combining of Domestic, Fire, and Irrigation for multiple purposes reduced required work hours and material costs for installation B.4 Meter Charges New standard electronic (E-meter) and compound meters and inclusion of actual labor costs for setting and inspection of meters B.5 Additional Meters on Connection New standard electronic (E-meter) and compound meters and inclusion of actual labor costs for setting and inspection of meters B.7 Capacity Fees New minimum fixture units are proposed to align meter size with customer-identified on-site current and future demand D.1 2-Meter Manifold Increased labor rates and material costs D.2 Service Abandonment Increased time for demolition due to unpredictable underground field conditions D.3 Meter Installation Standardized fee for engineering and inspection for large meter purchase and installation by other parties D.4 Hydrant Installation Increased installation time and material costs D.5 Tapping the water main for contractor installed services Provides an option to customers who want to employ their own contractor for the service installation. City staff will perform tapping of live water main. D.6 Engineering and Inspection Increased labor rates. New standardized fees to shorten processing time for permit issuance. Page 6 of 8 Table 3 – Summary of Proposed Changes to Wastewater Service Standard Connection Fees (Attachment F – Utility Rate Schedule S-5) Rate Schedule Section and Title Reason(s) for Proposed Changes B. 1 Plan Review Fees New standardized fees to shorten processing time for permit issuance. Fees are based on estimated hours for plan review. Mainly used for commercial projects in excess of $200,000 and new subdivision. B.2 Collection System Extension Charge Increased labor rates, material costs, and installation time B.3 Connection Charges Increased labor rates and material costs B.3 Connection Charges - Rehab Existing Lateral Provides option for customer with existing vitrified clay pipe and other laterals that can be rehabilitated by trenchless rehabilitation methods B.5 Capacity Fees No changes D.1 Install Manhole Increased labor rates, materials costs, and time for installation due to traffic congestion, night time work, and difficult underground field conditions D.2 Abandonment and Demolition Increase labor rates and time for demolition due to difficult underground field conditions D. 3 Install New Cleanout New standard fee for cleanout installation D.4 Engineering and Inspection Fees Increased labor rates. New standardized fees to shorten processing time for permit issuance. Capacity Fees No increases are proposed to any existing capacity fees, but some new meter size options are being added to align meter size with customer demand. A minimum number of fixture units is proposed for 4-inch and 6-inch water meters; currently no minimum is required. The proposed minimums offer an incentive for customers to accurately report the number of fixture units and to request meters that will supply their stated fixture units and corresponding gallons-per- minute of demand. The City installs water meters to match the customer’s demand as stated on the Customer Utility application/load sheet. Customers who want a large 4-inch or 6-inch compound meter will need to meet the proposed minimum number of fixture units on the application/load sheet or pay the capacity fee based on this minimum number of fixture units, with additional fixture units beyond the minimum number to be calculated at $125.00 per fixture unit. Utility Miscellaneous Charges (Attachment H – Utility Rate Schedule C-1) Utility Rate Schedule C-1 covers flat rate charges for service calls related to service disconnection and restoration for non-payment. In addition, labor rates per hour per person Page 7 of 8 for non-standard service work have been revised and the proposed rates are increasing 13% to reflect updated labor costs since 2002. The proposed service call flat rates are increasing 35 percent due to increases in pension and medical costs, market salary re-alignment, and additional infrastructure expenses since 2008. Connection Fees in Other Local Utilities The proposed fee changes for the water utility will be more in-line with other local utilities. Attachment K, Connection Fees Comparison 2014, shows some of the comparable water utility connection fees with other local utilities. There were no comparable gas utility connection fees and most local utilities do not own wastewater laterals. The proposed fee changes were developed in accordance with the Mitigation Fee Act (California Government Code Section 66000 – 66008), which governs water and wastewater utility connection and capacity charges. The Act sets forth notice and hearing procedures and requires that fees not exceed the estimated reasonable cost of providing the service for which the fee is imposed. Although the City’s gas connection fees and service call fees are not covered by the Act, the City has followed its procedural and substantive requirements with respect to these cost-based fees, for transparency and ease of administration. Government Code 66016 requires that prior to levying a new or increased fee or service charge, the City Council must hold at least one public meeting to listen to any oral or written presentations on the fees. If approved, the proposed fee changes will take effect on April 1, 2015, 60 days after the City Council adopts the resolution amending the fees, in accordance with Government Code Section 66017. RESOURCE IMPACT Based on the assumption that the fee changes will take effect in April 2015, the estimated increase in annual connection fee revenues is approximately $225,000 in the Gas Fund, $150,000 in the Water Fund, and $75,000 in the Wastewater Fund. POLICY IMPLICATIONS These recommendations do not represent a change in current City policies. ENVIRONMENTAL REVIEW The adoption of the resolution is statutorily exempt from the California Environmental Air Quality Act; under California Code of Regulations Title 14, Chapter 3, Section 15273(a), because CEQA does not apply to the modification, restructuring, or approval of rates and charges for the purpose of meeting operating expenses and obtaining funds for capital projects necessary to maintain service. AITACHMENTS Attachment A: Resolution to amend rate sched G-5, W-5, S-5, C-1effective04_01_2015 Attachment B: Rate Sched G-5 effective 04_01_2015 - Attachment C: Redline Rate Sched G-5 effective 04_01_2015 Attachment D: Rate Sched W-5 effective 04_01_2015 Attachment E: Redline Rate Sched W-5 effective 04_01_2015 Attachment F: Rate Sched S-5 effective 04_01_2015 Attachment G: Redline Rate Sched S-5 effective 04_01_2015 Attachment~: Rate Sched C-1effective04_01_2015 Attachment. I: Redline Rate Sched C-1 effective 04_01_2015 Attachment J: Backup Spreadsheets FY2014-2015 Attachment K: Connection fees comparison_2014 PREPARED BY: Tuan Nguyen, Engineer Silvia Santos, Senior Engineer Edward Wu, WGW Engineering Manager REVIEWED BY: T~ Assistant Director, U~ilities Engineering DEPARTMENT HEAD: VALE~ Director of Utilities Page 8 of 8 EXCERPTED DRAFT MINUTES OF THE DECEMBER 10, 2014 UTILITIES ADVISORY COMMISSION MEETING ITEM 1 (Original Agenda New Business Item 4): ACTION: Staff Recommendation that the Utilities Advisory Commission Recommend that Council Adopt a Resolution Amending Water, Gas and Wastewater Connection and Capacity Fees and Miscellaneous Utility Charges (Utility Rate Schedules G-5, W-5, S-5 and C-1) Tomm Marshall, Assistant Director for Engineering, said that it has been at least 5 years since the fees in question have been updated; therefore there may be a substantial increase. The fees are based on the time and materials it takes to recover the cost to do the work. Vice Chair Waldfogel said that he’d like to get a sense of before and after impact of the fees. He asked what the change is in the total cost due to the proposed change in fees for a homeowner. Marshall said that every service is different, but for a typical residential customer needing new gas, water, and sewer services, the cost would change from $13,700 to $17,400, a 27% increase. Chair Foster asked how long it has been since the fees were changed. Marshall replied at least 5 or 6 years. Commissioner Hall asked how these fees compare to those for other entities, such as PG&E for gas and other agencies for sewer, and if the other entities’ fees are based on time and materials too. Marshall said that on PG&E’s website, gas service fee schedule provides a range from $2,000 to $12,000 and it appears to be prepared by their Estimators on a case by case basis. He said that Palo Alto uses a fixed price. Commissioner Hall asked the same question for sewer. Marshall said that Palo Alto is different since the City owns the lower sewer laterals. For most of the other agencies, the customer owns the entire sewer lateral. Commissioner Hall asked if there would be a cost saving to the City if we transfer the ownership of the lower laterals to the customers. Marshall said that the City has evaluated the possibility but we received strong push back because the customers didn’t want to take on the additional cost. We may re- evaluate that option and go through the policy change process, after the laterals have been examined and/or repaired as a result of the cross-bore inspection program. Commissioner Hall asked what the excess length fee for gas services greater than 40 feet is, and who covers the additional trenching cost. Marshall said that it’s the incremental cost of boring to get to a distant meter location and that trenching is not usually needed. ATTACHMENT M Commissioner Eglash asked if there was a concern about customers who have been planning a project, but would suddenly be facing a large fee increase. He asked if the fee increase could be adopted, but be delayed until 2016, to allow adequate time for notices to customers. Marshall said that when fees change, the City sends a letter to those with projects on file and provides a 90-day notice during which they can pay the fees under the old rates. Commissioner Eglash asked if there are issues with this approach, for example, in the case of the project not being far enough along in the planning phase so that the fee estimate cannot be firmed up. Marshall said that generally, if there is a project on file, the City has already provided an estimate. Vice Chair Waldfogel asked if the fees could be based on labor costs and changed administratively so that they wouldn't have to wait for the lengthy review process to be updated. Marshall said that there was a legal issue for how these fees can be changed. Commissioner Cook asked if it could be setup for an annual automatic renewal approved by the City Manager. Senior Deputy City Attorney Jessica Mullan stated that the fees can't be automatically renewed, but most go through a public review and hearing process and it requires the Council’s approval. Vice Chair Waldfogel noted that the gas commodity rates are changed based on market conditions within a Council-established range and do not go back for Council approval each month. Mullan said that the applicable law is different for gas rates. Commissioner Hall noted that the fees show an encouragement for cost savings for folks with combined fire service and domestic water service, but it looks like there are actually two charges. Marshall replied that a residential customer can have one pipe to serve both fire and domestic water services. For commercial customers, it’s usually one larger pipe for fire service with a pipe tapped off from it for potable water service; therefore two charges would apply. ACTION: Commissioner Eglash made a motion to approve staff’s recommendation. Commissioner Cook seconded the motion. The motion carried unanimously (6-0 with Chair Foster, Vice Chair Waldfogel, Commissioners Cook, Eglash, Hall and Melton voting yes, and with Commissioner Chang absent). City of Palo Alto (ID # 5565) City Council Staff Report Report Type: Action Items Meeting Date: 3/2/2015 Summary Title: Establishment of an Office/R&D Annual Growth Limit - continuation Title: Discussion and Direction to Staff Regarding Establishment of an Office/R&D Annual Growth Limit (Continued from February 9, 2015) From: City Manager Lead Department: Planning and Community Environment Recommendation Staff recommends that the City Council discuss its objectives and issues associated with establishment of an annual limit on office/R&D development, and provide direction to staff regarding next steps which may include: 1. identifying alternative approaches or annual limits on office/R&D development that can be further defined and evaluated as part of the Comprehensive Plan Update process, for example: a. an annual limit of 35,000 or 50,000 net new square feet of office/R&D per year, with a competitive process for project approvals each year that applications exceed the limit; and/or b. slowing the pace of office/R&D development by imposing a more robust impact fee program. 2. Identifying zoning changes or requirements that can be considered for adoption on an interim basis until an annual limit or alternative approach to addressing the pace of office/R&D development can be adopted concurrent with the Comprehensive Plan Update. For example: a. requiring on-site parking, funding for a transportation management association, or other approaches to address traffic and parking demand associated with development; or b. a temporary reduction in allowable office densities (floor area ratio or FAR). Executive Summary One of the intriguing policy ideas that came up during the Comprehensive Plan workshops in the summer of 2014 was the idea that the City should somehow moderate or meter the pace of City of Palo Alto Page 1 non-residential development. The idea was to manage growth by having an annual limit on office development, rather than by relying on an overall multi-year cumulative “cap” on non- residential square footage like the one that the current Comprehensive Plan establishes for the Downtown (Program L-8) and the City (Policy L-8). This idea was advanced by staff as a concept worthy of exploration during the Comprehensive Plan Update. Then on December 8, 2014, the City Council directed staff to schedule a Council work session to give them an opportunity to consider and discuss the idea further. Tonight’s work session responds to this directive and this staff report focuses on a couple of big-picture questions, which could guide the Council’s discussion; Specifically:  What are the objectives of establishing an annual limit program, and are there various ways those objectives could be met?  What issues would have to be resolved to establish such a program? In addition, staff expects that the City Council will wish to discuss potential interim measures that can be pursued until an annual limit (or alternative approach) can be adopted. These interim measures could include new requirements for office/R&D development proposals (e.g. on-site parking, transportation management association funding, or a reduction in FAR unless affordable housing is included as part of a mixed use development.) Supporting information includes a memo (first prepared for the December 8, 2014 Council meeting) summarizing annual limit programs in three other jurisdictions, and another memo describing two datasets that are available to inform the Council’s discussion about the annual rate of office/R&D development over time. (See Attachments A and B) Background Please see Attachment A for background information regarding other jurisdictions with some form of annual growth limit on non-residential development. Attachment A also discusses the potential timing for establishment of an annual limit, and outlines some of the issues that would have to be resolved to put a limit in place. Please see Attachment B for background information regarding datasets available to characterize the pace of non-residential development over time in Palo Alto, as well as the sum total of pending (“pipeline”) development applications; It’s also important to recognize that increases in employment, which are credited with creating additional traffic and parking demand, are not directly proportional to new development of office/R&D. This is because there are other types of non-residential development that generate jobs (as explained in Attachment B) and, more importantly, the number of employees per square foot of existing building space fluctuates over time based on the economic climate and the demand for office space. The true relationship between jobs and square footage in Palo Alto will not be fully understood until the business registry is in place for one or two City of Palo Alto Page 2 business cycles. As noted in Attachment B, the City has approved significant medical uses which will come on line, related mostly to the Stanford Hospital Project, and have impacts in the coming years, although this report does not propose or discuss limits on such uses. This report also does not propose or discuss limits on housing development as such regulations can be legally problematic and staff was not directed to pursue these. Discussion Development and establishment of a growth management program with annual development restrictions will require careful consideration of program objectives, pros/cons, as well as the issues and mechanics of the program. Some initial thoughts on these topics are provided below for the Council’s consideration; What are the objectives of establishing an annual limit program, and are there various ways those objectives could be met? Attendees at the Comprehensive Plan workshops last summer expressed some frustration that the current Comprehensive Plan’s approach to growth management (i;e; an overall “cap” on non-residential development) has been ineffective at moderating the pace of growth and development in the robust economic recovery following the “great recession;” Based on this frustration and an examination of growth management strategies in use elsewhere in California, attendees suggested planning scenarios with a growth management program that moderated or metered the rate of development rather than the overall amount. This focus on the rate of development had its genesis in the impacts associated with increased employment in the City as experienced by Palo Alto residents. Impacts include traffic congestion/delay, parking demand, increased housing costs, and more. Additionally, an annual limit can be response to the ups and downs of the business cycle. Thus, the objective of an annual limit program would be to moderate the rate of non- residential development so as to reduce the rate of employment growth, reduce related impacts and allow for effective mitigation of residual impacts. Establishing an annual limit program could also ensure that the development approved under the program meets stringent requirements related to “good” planning and design, public benefit, etc., etc. Program objectives could be met by establishing an annual limit on square footage such as the one in San Francisco and Walnut Creek, or by establishing a limit on net new auto trips such as the one in Santa Monica. (All three examples are cited in Attachment A). Alternatively, this objective could be met by establishing new, stringent requirements on development, and/or by increasing the cost of development to better compensate for its impacts, for example by significantly adjusting housing and transportation impact City of Palo Alto Page 3 fees. (In theory, once the business registry is in place, the City could also consider ways to directly regulate new employment, but staff would need to do some additional research into the legal and implementation issues associated with this approach, as well as any comparable programs in other jurisdictions.) What issues would have to be resolved to establish such a program? As indicated in Attachment A, there are quite a number of issues that would need to be resolved if the City Council wished to adopt an annual limit on office/R&D development, not least of which would be to decide what the limit should be, and what procedures should be used to implement the limit on an annual basis. Staff has provided some initial thoughts on each below. What should the annual limit be? The data in Attachment B has been provided to inform this discussion and show that the rate of non-residential development in Palo Alto has varied over time. Specifically, if the Congestion Management Program (CMP) data is used, the annual rate of office/R&D development has been around 34,000 square feet per year if you look at the period from 2001-2015, about 67,000 square feet per year if you look at the period from 2008-2015, and about -2,800 square feet per year if you look at the period from 2001 to 2007 (because non-residential space was removed and replaced with housing in this period). The CMP data set separates office/R&D from other non-residential uses, including retail and medical office, and thus may provide a better basis for this discussion than the monitoring data which was initially presented in the August 29, 2014 Existing Conditions Report. (The August data set, which has been updated in Attachment B, presents the combined non-residential square footage within nine planning areas that are a legacy of the 1989 Citywide Study.) What should be the process and criteria for receiving and considering applications? Attachment A provides some explanation of the approaches in Walnut Creek, which uses a first-come-first served staff-implemented approach, and San Francisco, which has relied on their Planning Commission to decide between competing proposals using specific criteria in times when pending applications have exceeded the available allocation of square footage. Should there be a geographic component to the program? The City has historically monitored and regulated downtown Palo Alto separately from the rest of the City and should consider whether this continues to be a valuable practice. Should some areas of the City or types/sizes of projects be exempt? Walnut Creek exempts a business park where they would like development to occur from their program. Palo Alto does not have a comparable area where development is desired and where that development would not cause the impacts that the annual develop limit is intended to address. Nonetheless, the idea of exempting areas that are some distance City of Palo Alto Page 4 from residential areas could be explored further. Also, the idea of exempting small projects (less than 5,000 square feet?) could be explored as a way to protect the City’s reputation for supporting innovation and start-up businesses. Further, limited exemptions for vacant properties or highly under-utilized properties might be necessary in order to avoid legal challenges. Should unused allocations roll forward for some period of time? If the allocations were to roll forward indefinitely (as in San Francisco), there may be concerns as to whether the program objectives had been addressed. However, if unused allocations roll forward for at least several years (as in Walnut Creek), it would serve to level-out volatile economic upswings and downturns. How would applications already in the “pipeline” be handled? This would depend on how and when an annual limit is established and will require careful consideration. How would the City ensure continued conformance with the Permit Streamlining Act? We can look to San Francisco and Walnut Creek as models. In San Francisco, completed applications that did not receive an allocation under the annual limit are either continued to the next allocation period or denied, depending on the wishes of the applicant. What changes would be needed to the City’s Comprehensive Plan and zoning? Please see the Policy Implications section below for a brief overview. What would the potential impacts and benefits of the program be? As noted in the Timeline section below, conceptual approach(s) developed by the City Council will be reviewed to determine their potential fiscal and environmental impacts and benefits to the extent feasible. Timeline Adoption of an annual limit on office/R&D development would require considerable discussion and deliberations by the City Council and is likely to be controversial, requiring significant outreach to stakeholders and the community at large. Stanford University has already pointed out how the annual rate of development in the Research Park has fluctuated dramatically over time, and that opportunities would have been lost to Stanford and Palo Alto if an annual limit had constrained development in certain years. Because of the potential for controversy and the need for ample community input, staff assumes that the City Council would like to explore a couple of different approaches/annual limits, and that these would be defined in the first few months of 2015 and evaluated as part of the Comprehenisve Plan Update process. Next steps in the Comprehensive Plan Update process include a community “summit” in May 2015, preparation of a program-level environmental analysis (Draft EIR) and a fiscal study that can be used to inform community City of Palo Alto Page 5 discussions and decision making. The current schedule calls for completion and adoption of the Comprehensive Plan Update and concurrent zoning changes in the first part of 2016. Given this timeline, staff expects that the City Council will wish to discuss potential interim measures (such as those suggested earlier in this report) that can be pursued until an annual limit (or alternative approach) can be adopted. Resource Impact As noted above, adoption of an annual limit on office/R&D development would require considerable discussion and deliberations by the City Council. These deliberations in turn would require considerable staff support and analysis. Also, if a growth management program with an annual limit on office/R&D development is ultimately adopted, implementation of the program each year will require considerable staff time and time on the City Council’s agenda; The City may also wish to contract with a third party to conduct an independent review of competing proposals that seek an allocation under the annual limit. Larger fiscal impacts of a growth management program will have to be assessed carefully. At a minimum, the assessment will have to consider likely reductions in permit revenues and impact fees, potential longterm impacts to the City’s tax revenues and expenses, and a qualitative discussion of the impact on the City’s overall economic “climate;” The extent and nature of fiscal impacts will, of course, depend on the approach(es) that the City Council elects to consider, and the analysis can potentially be combined with a fiscal study of other policy choices inherent in the Comprehensive Plan Update. Planning staff is currently working with staff in the Administrative Services Department to define the scope of this study, which will have to look at expected revenues from commercial and residential property taxes, sales taxes and other sources, as well as the cost of services over time. Preparation of some kind of interim ordinance for the City Council’s consideration and adoption for the period during which an annual office/R&D limit (or other approach) is being analyzed, is potentially time consuming and resource intensive. Thus it may affect delivery of other priorities. Policy Implications If the City adopts a growth management program with an annual limit on office/R&D development, the program would effectively implement Comprensive Plan Policy B-1: “Use a variety of planning and regulatory tools, including growth limits, to ensure that business change is compatible with the needs of Palo Alto neighborhoods.” Nonetheless, it is likely that a new growth management program would require an amendment to the Comprehensive Plan as well as the City’s Municipal Code; The Comprehensive Plan amendment would likely modify or replace policies and programs that establish an overall “cap” on non-residential development in the Downtown (Program L-8) and the Citywide planning areas identified on Comprehensive Plan Map L-6 (Policy L-8), and would also have to City of Palo Alto Page 6 consider compatibility with policies like Policy B-9: “Encourage new businesses that meet the business and economic goals to locate in Palo Alto.” The Municipal Code amendment would have to establish the procedures and standards associated with the new growth management program. Environmental Review This work session is intended for City Council discussion and direction to staff. No final action will be taken and thus no review is required under the California Environmental Quality Act (CEQA). If the Council elects to proceed with establishment of an annual limit or another growth management program at some time in the future, that decision (in the form of implementing policies and regulations) will require CEQA review. Adoption of an interim ordinance or other temporary zoning requirement may also require environmental review depending on the duration and scope of the changes. The level and complexity of environmental review will depend on the nature of the program(s) and its potential to directly or indirectly stimulate a particular kind of development or focus development in a specific area. For example, limiting the development of office/R&D in Palo Alto could stimulate housing development if property owners see that as a way to increase the value of their property. Also, the City would have to consider whether limiting the development of office/R&D development in Palo Alto could focus additonal office/R&D development in adjacent communities.1 Attachments:  Attachment A: Memorandum Regarding Annual Limit on Office/R&D (PDF)  Attachment B: Comp. Plan Memo on Growth Trends (PDF)  Attachment C: Documents Received "At Places" at the January 26, 2015 City Council meeting (PDF)  Attachment D: Correspondence (PDF) 1 While CEQA does not require a lead agency to speculate where specfic impacts cannot be reasonably anticipated, the City would have to at least consider this question. City of Palo Alto Page 7 Attachment A CITY OF PALO ALTO MEMORANDUM TO: HONORABLE CITY COUNCIL FROM: CITY MANAGER & DIRECTOR OF PLANNING & COMMUNITY ENVIRONMENT AGENDA DATE: December 8, 2014 ID#: 5286 SUBJECT: COMPREHENSIVE PLAN UPDATE & ZONING CHANGES: ANNUAL LIMIT ON OFFICE/R&D DEVELOPMENT At the November 3, 2014 City Council meeting, a Councilmember asked whether the suggested Council work session regarding establishment of an annual limit on office/R&D could consider adoption of an annual limit as an interim ordinance. Subsequently, the same Councilmember also asked staff to provide information regarding other jurisdictions with annual office limits immediately, rather than as preparation for the January work session. This memo responds to both questions/requests and will be supplemented by additional staff analysis and a staff recommendation in advance of the January work session. Specifically, staff and the City Council will have to explore a number of issues when considering establishment of an annual limit on office/R&D development. At a minimum, these include the following: (1) what the annual limit should be; (2) what the process and criteria for receiving and considering applications should be (i.e. should applications be considered in the order received, or based on some criteria establishing preferences; what should those criteria be?); (3) whether there should be a geographic component to the program; (4) whether some areas of the City or types/sizes of projects should be exempt; (5) whether unused allocations should roll forward for some period of time; (6) how to handle applications already in the “pipeline-” (7) how to ensure continued conformance with the Permit Streamlining Act; (8) necessary changes to the City’s Comprehensive Plan and zoning; and (9) potential impacts and benefits. CAN THE COUNCIL CONSIDER AN ANNUAL OFFICE CAP AS AN INTERIM ORDINANCE? The short answer is yes, the Council could consider adoption of an annual cap on office/R&D development under the provision in State law (Government Code Section 65858) which allows cities to temporarily prohibit any uses that may be in conflict with a contemplated general plan, specific plan, or zoning proposal that the city is studying or intends to study within a reasonable time. To enact an interim ordinance, a 4/5 vote (8 votes) would be required, and the City Council would have to make legislative findings that there is a current and immediate threat to the public health, safety, or welfare, and that the approval of additional development would result in that threat to public health, safety, or welfare. An interim ordinance is effective for 45 days, after which it may be extended, but in no instance may it be in effect for over two years. An interim ordinance does not require review by the Planning and Transportation Commission and many are exempt from review under the California Environmental Quality Act (CEQA). This is because interim ordinances are temporary and many, in practice, perpetuate the status quo. To the extent this is not the case, additional review may be required. It should be noted again, however, that there are many complexities that would need to be resolved to establish an annual office limit, suggesting that considerable time and effort will be involved. Whether it’s adopted as an interim ordinance or concurrent with the Comprehensive Plan Update, an annual limit is also likely to cause concern by property owners in areas zoned for commercial use, resulting in the need for extended outreach, public hearings, and etc. Stanford University has already voiced its concerns about the effect that an annual office limit could have on the Research Park. WHAT OTHER JURISDICTIONS HAVE AN ANNUAL OFFICE CAP? Earlier this year, the City’s Comprehensive Plan consultants, Placeworks, gathered information regarding a number of growth management systems used by California jurisdictions to meter the amount or pace of non-residential development. They identified communities that, like Palo Alto, have some kind of cap on non-residential development (for example Cupertino), as well as communities that have attempted to cap residential development (for example Pleasanton). Page 2 December 2, 2014 Memo RE: Annual Limit on Office/R&D Placeworks identified Walnut Creek and Santa Monica as two jurisdictions that have implemented programs to govern the pace of non-residential development, and these programs are summarized below, along with the program in place in San Francisco. These three examples are presented for background information only, and are not intended as a recommendation to adopt one or more of these strategies. As the Placeworks staff observed, any program adopted in Palo Alto would need a high degree of customization to fit its unique local conditions. In addition, if a program is developed for Palo Alto, it would require careful legal analysis to ensure that it can operate effectively in tandem with the State’s Permit Streamlining Act and withstand legal challenge. Walnut Creek Walnut Creek has regulated commercial growth since 1985, when voters approved Measure H, a growth-control initiative that would have limited or prevented non-residential development until traffic congestion at major intersections improved. Measure H was a reaction to resident concerns about traffic and the construction in the late 1970s and early 1980s, when a number of large commercial office buildings in downtown Walnut Creek, primarily around the Walnut Creek BART station. A major local landowner sued the City, and the case eventually went to the California Supreme Court. In 1990, the Court ruled that Measure H was invalid because it functioned as a zoning ordinance but conflicted with the City’s adopted General Plan, which called for Walnut Creek to be a regional job and retail center. Although Measure H was invalidated, the City continued to regulate the amount of commercial and residential development allowed each year, acknowledging the residents’ desire to meter growth in Walnut Creek. In 1993, the City Council adopted a Growth Limitation Program that limited new commercial growth to 75,000 square feet per year, metered in increments of 150,000 square feet every 2 years, and was adopted for 10 years. The program helped the City to limit growth to 620,000 square feet of new commercial development in the first 10 years (1993-2003), and was extended through 2015 in the City’s 2005 General Plan Update. The Growth Limitation Program excludes the Shadelands Business Park.1 1. Does the system include an annual limit on non-residential approvals? If so, how is that set? Changed? Enforced? 1 City of Walnut Creek, Walnut Creek General Plan 2025, page 4-13. Available online at http://www.walnut- creek.org/citygov/depts/cd/planning/documents/general plan 2025.asp. Page 3 December 2, 2014 Memo RE: Annual Limit on Office/R&D Yes. The Walnut Creek Growth Management Program includes a cap of 75,000 commercial square feet/year metered in 2-year increments. Therefore allocations for 150,000 square feet of commercial development are available in each two year cycle. The cap is set in the General Plan (which incorporated an earlier Growth Limitation Program from the 1990s). It is enforced by the Planning Division. Staff tracks available allocation and a building permit cannot be issued unless an allocation is available. If the building permit is allowed to expire prior to construction, the allocation is revoked and returns to the pool. Unused allocations from one cycle are rolled over to the next cycle. Project applicants get credit for any existing commercial SF that would be demolished with construction of their project. 2. Does the system include a competitive point system pitting projects against each other? Are any categories of project exempted (e.g. certain type of industry, projects under 10k sf)? How much flexibility is there? There is no “beauty contest” type competition. Allocations are awarded on a first-come, first-served basis when the project planner deems a project application complete. Development in the Shadelands Business Park on the eastern edge of the City and specific types of Community Facilities are exempt from the Growth Management Program. Additionally, the Planning Manager can grant exemptions to larger, more complex projects so that their allocation can be reserved for longer than the 12-month period for which allocations are usually reserved. The system had a fair degree of flexibility built in – not in the cap, but rather in how it is calculated and implemented. Calculating the cap in 2-year increments of up to 150,000 sf offers some flexibility; as does carrying forward the unused allocation. In addition, the system allows project applicants to reserve allocations as soon as their application is deemed complete, with the possibility of having that reservation extended at the discretion of the Planning Manager for larger, more complex projects. Santa Monica Goal T19 in the Santa Monica Land Use and Circulation Element (LUCE) of the Santa Monica General Plan (adopted in 2010) is to “Create an integrated transportation and land use program that seeks to limit total peak period vehicle trips with a Santa Monica origin or destination to 2009 levels.” This goal is also known as the “No Net New Evening Peak Period Vehicle Trips” goal. The LUCE focuses not only on reducing vehicle trips, but also on encourage walking, bicycling and transit use, creating pedestrian-oriented neighborhoods, and reducing greenhouse gas emissions. The LUCE foresees the creation of a multi-modal transportation system and “identifies local strategies to manage trips, treating the entire City as an integrated Page 4 December 2, 2014 Memo RE: Annual Limit on Office/R&D transportation management system with aggressive requirements for trip reduction, transit enhancements, pedestrian and bike improvements, and shared parking. Transportation demand management (TDM) programs that reduce automobile travel demand and incentivize alternative modes such as carpool, vanpools, and shuttles, walking, bicycling, and shared parking are all encouraged.”2 The LUCE calls for the City to manage new trips from new development and reduce trips from existing major employers. New trips must be offset through the development of new transportation infrastructure providing alternatives to automobile travel, including public transit, bicycling, ridesharing, and walking. The LUCE also contains a list of transportation policies, projects, and programs that are necessary to accommodate projected growth with no net increase in PM peak hour vehicle trips through 2030. The LUCE identifies the establishment of fees as a tool to manage vehicle trips and increase alternative transportation options. The LUCE states that “New projects will be required to minimize the trips they generate and contribute fees to mitigate their new trips.” However, the LUCE also states that “To achieve the No Net New Trips goal, developers cannot be expected to have every project generate zero trips by itself;” rather, developers will pay mitigation fees that will fund capital improvement projects citywide, such that the net impact of each development project ultimately is zero. Fees will be used for improvements that benefit the City’s transportation system overall, such as additional buses to increase frequency, improved walking routes and new bike lanes.”3 The provision that the City as a whole will achieve no net new trips by 2030, but that individual projects will not be required to generate no net new trips, has created some confusion and concern among Santa Monica residents as the LUCE is implemented. 1. Does the system include an annual limit on non-residential approvals? If so, how is that set? Changed? Enforced? No. Santa Monica’s growth management program resembles a performance measure, rather than an annual limit, and the City is still developing the zoning ordinance that will implement the program set forth in its General Plan. 2 City of Santa Monica, Transportation Impact Fee Nexus Study (Final), April 2012. Page 1-3. Available online at http://www.smgov.net/uploadedFiles/Departments/PCD/Transportation/Developers/Santa-Monica-Nexus- Study.pdf 3 City of Santa Monica, Land Use and Circulation Element, July 2010. Page 4.0-12. Available online at http://www.smgov.net/uploadedFiles/Departments/PCD/Plans/General-Plan/Land-Use-and-Circulation- Element.pdf Page 5 December 2, 2014 Memo RE: Annual Limit on Office/R&D 2. Does the system include a competitive point system pitting projects against each other? Are any categories of project exempted (e.g. certain type of industry, projects under 10k sf)? How much flexibility is there? It does not appear that Santa Monica envisions projects competing against each other for allocations. Instead, projects that cannot achieve the “No Net New Trips” goal on their own can pay into a fund for investments that will offset their trips. San Francisco San Francisco’s Downtown Plan dates from 1985 and included the City’s first annual cap on office development, which was intended as a temporary measure. This original office cap was modified and extended by the voters when Proposition M was adopted in 1986. The annual growth limit is codified in Section 320-25 of the City’s Zoning Code and from time to time, the City’s Planning Commission has adopted implementing policies and procedures. 1. Does the system include an annual limit on approvals? If so, how is that set? Changed? Enforced? San Francisco has two office caps, one for small projects and one for larger ones. The “small” cap is 75,000 square feet per year and applies to projects between 25,000 and 50,000 square feet. The “large” cap is 875,000 square feet per year and applies to projects over 50,000 square feet. The two annual office limits were set by the voters and cannot be changed except with voter approval, although the Planning Commission has been able to adopt implementing policies and procedures as needed. Unused allocations roll forward indefinitely, and the annual cap has only been a constraint on development in periods like the dot com boom, when new office development proposals exceeded the available allocation. In the current tech boom, San Francisco is once again in this situation and the Planning Department has started discussions about policies and procedures to implement the annual limit. 2. Does the system include a competitive point system pitting projects against each other? Are there any categories of project exempted (e.g. certain type of industry, projects under 10k sf)? How much flexibility is there? Prop M itself did not include a competitive system, but the City Planning Commission has had to establish procedures to compare and select among projects when the number of projects exceed the available allocation. For example, in the 1990s, the City conducted a “beauty contest” in which large office projects competed with each other for the annual allocation. Each application was subject to analysis and environmental Page 6 December 2, 2014 Memo RE: Annual Limit on Office/R&D review, and the Planning Commission compared the projects to each other before approving one or more. Applicants whose projects were not approved had the choice to either request continuance to the next evaluation period, or to have their projects denied. The Planning Department has recently begun discussing implementation of a revised competitive process, which is expected to focus on “good planning” issues such as proximity to transit and housing displacement rather than aesthetics or public benefits. In fact, Prop M prohibits the City from considering monetary contributions in any competition, by stating that “Payments, other than those provided for under applicable ordinances, which may be made to a transit or housing fund of the City, shall not be considered.” Office projects less than 25,000 square feet are exempted from San Francisco’s annual limit, as are City projects. State, Federal, Port, and Redevelopment Agency projects are not exempt, and reduce the allocation available for private development projects. Page 7 December 2, 2014 Memo RE: Annual Limit on Office/R&D Attachment B - CITY OF PALO ALTO MEMORANDUM TO: HILLARY GITELMAN, Director, Planning & Community Environment FROM: ROLAND RIVERA, Land Use Analyst DEPARTMENT: PLANNING AND COMMUNITY ENVIRONMENT AGENDA DATE: January 26, 2015 ID#: 5404 SUBJECT: Background information and data sets associated with establishment of an annual limit on office/R&D development. Per your request, the following data analysis describes the data sets regarding non-residential development that are available to inform discussions of an “annual limit” on office/R&D. The analysis presents two data sets: one grew out of Policy L-8 of our current Comprehensive Plan and the other derives from Santa Clara County’s Congestion Management Program (CMP). Key element of the approved work program for the Comprehensive Plan Update involve establishing baseline conditions utilizing new development data and identifying a realistic growth rate for development through 2030. Understanding the details and some of the limitations of the Commercial Growth Limit specified in the Comprehensive Plan Policy L-8 data set may be useful in both endeavors. Another, more straightforward, data set is derived from the City’s annual report to the Santa Clara County Valley Transportation Authority (VTA). The CMP’s Annual Land Use Monitoring Report requires that Member Agencies provide the VTA with information on all development projects approved/entitled during the fiscal year. Please review the following background information and summaries on the data sets and let me know if you have any questions. Thank you. 1989 Citywide Study and the Comprehensive Plan Policy L-8 Data A Citywide Study adopted in 1989 was an important summation of the numerous planning studies that were undertaken by the City in the 1980's. The focus of these studies was to address non-residential development and ways to improve the provision of housing and the jobs/housing imbalance. At the time, the City was experiencing commercial growth but residential growth was very limited. The 1989 Citywide Study divided the City's non-residential areas into nine analysis areas (1989 Citywide Study Area Map), which were subsequently adopted as Map L-6 in the current Comprehensive Plan. The development potential for Palo Alto identified in the Citywide Study was 3,257,900 square feet; however, that development potential did not include some Planned Community zones and public facilities such as City Offices and the Veteran's Administration Hospital, which were termed “not- monitored areas.” In 1996, the City Council asked the Policy and Services Committee to study the issue of Citywide non- residential development "limit" for the nine analysis areas and determine how to incorporate thelimit into the Comprehensive Plan. On April 1996, the City Council approved the Policy and Services Committee's recommendation to include the Citywide Study's overall future development square footage within Policy L-8 and Program L-7 into the Comprehensive Plan. POLICY L-8: Maintain a limit of 3,257,900 square feet of new non-residential development for the nine planning areas evaluated in the 1989 Citywide Land Use and Transportation Study, with the understanding that the City Council may make modifications for specific properties that allow modest additional growth. Such additional growth will count towards the 3,257,900 maximum. PROGRAM L-7: Establish a system to monitor the rate of non-residential development and traffic conditions related to both residential and non-residential development at key intersections including those identified in the 1989 Citywide Study and additional intersections identified in the Comprehensive Plan EIR. If the rate of growth reaches the point where the citywide development maximum might be reached, the City will reevaluate development policies and regulations. Policy L-8 aims to "Maintain a limit of 3,257,900 square feet of new non-residential development for the nine planning areas evaluated in the 1989 Citywide Land Use and Transportation Study," and Program L- 7 implements Policy L-8 by establishing a system to monitor the rate of non-residential development in the areas identified in the 1989 Citywide Land Use and Transportation study. Importantly, Program L-7 calls for monitoring non-residential development within the nine planning area boundaries but does not distinguish between the different types of non-residential development within those areas. Attachment A presents the annual monitoring data for all types of non-residential development collected pursuant to Program L-7 from 1989 to the present and total square footages are shown below. In both cases, the non-residential square footage is net floor area and does not include floor area that replaces demolished floor area.1 Table 1, Non-Residential Development Potential in the Nine Planning Areas per Policy L-8 Development Potential per Comprehensive Plan Policy L-8 Net square feet increase 1989 to December 2014 for the nine planning areas* Remaining in Growth Monitoring Development Potential 3,257,900 1,400,367 1,857,533 *Non-Residential net change in square feet based on Planning Entitlements from 1989 -2014. Data excludes Mayfield Development Agreement Projects which demolishes approximately 323k of non-residential square feet and replaces 300k of demolished square feet into Stanford Research Park Source: Planning and Community Environment, December 22, 2014 As shown in Attachment A, when non-residential development projects currently in the entitlement process (“pipeline projects”) are included, an additional 139,524 non-residential square feet could be entitled or approved within the nine planning areas, affecting the totals as shown below. Table 2, Non-Residential Development Potential in the Nine Planning Areas per Policy L-8 with “Pipeline Projects” Development Potential After Citywide Study Net square feet increase 1989 to December 2014 for the nine planning areas including Pipeline Projects* Remaining in Growth Monitoring Development Potential 3,257,900 1,539,891 1,718,009 *Non-Residential net change in square feet based on Planning Entitlements from 1989 -2014 and current pipeline projects. Data excludes Mayfield Development Agreement Projects which demolishes approximately 323k of non-residential square feet and replaces 300k of demolished square feet into Stanford Research Park. Source: Planning and Community Environment, December 22, 2014 As noted before, there are areas within the nine planning areas that are considered “not monitored” including some Planned Community zones and public facilities. Approvals within the “not monitored” areas currently amount to approximately 1million square feet which includes expansion of the Veterans Administration Hospital, Palo Alto Medical Foundation, Stanford Cancer Research Center and other facilities identified as “not monitored” in Map L-6. One of these “not monitored” areas includes the Stanford University Medical Center (SUMC) facility. On June 6, 2011, Council amended Policy L-8 to include language exempting the Medical Center’s expansion from the policy and amended Map L-6 to expand the “not-monitored” area to be coterminous with the boundaries of the “Hospital District” zoning district. The 1.3 million square feet entitled SUMC expansion is not reflected in Attachment A or 1 Attachment A is an updated version of the Table 8-3 in the August 29, 2014 Existing Conditions Report. An error has been corrected in data for years 2001, 2008, 2012, and 2013 and “pipeline” information has been updated as described further later in this memo. Table 8-3 of the Existing Conditions Report because build-out and occupancy is expected in the future. If it had been included, the 1.3 million square feet SUMC expansion would be listed as ‘not-monitored’ in the year 2011, when the development agreement was approved. Assuming all pipeline projects are entitled, the net square feet increase within the last 27 years (1989- 2015) could be approximately 1.5 million square feet or an average annual increase of approximately 57,000 square feet per year. The following table details average annual non-residential growth within the nine planning areas. Table 3: Annual Average Non-Residential Growth within the Nine Planning Areas per Policy L-8 Years Total Non-Residential net square feet increase Average Annual Growth (total/# of years) 1989 – 2015 1,539,891 57,033 1989 – 2007 721,074 37,951 2008 – 2015 818,817 102,352 Source: Planning and Community Environment, December 22, 2014 Projects converting non-residential to residential uses, such as 901 San Antonio Ave, 901 and 1101 East Meadow Blvd, Hyatt Rickey’s (4219 El Camino Real), contributed to the significantly lower non- residential development from 1998-2007. Policy L-8, Program L-7, and Attachment A can inform discussions regarding the amount and pace of non-residential development, but there are significant limitations to the data which should be understood. First, as noted above, Policy L-8 and the monitoring program do not distinguish between various types of non-residential development, so the square footages presented include retail and medical offices as well as general office/R&D. Secondly, monitoring is limited to the nine planning areas as defined by Map L-6, and the City increasingly has seen some development outside of these areas. For example, the project at 441 Page Mill Road which will be considered by the City Council in January, falls outside of the nine planning areas and thus is not included in the “pipeline” numbers presented here. Source: Planning and Community Environment, December 22, 2014 The CMP dataset can inform the discussions regarding non-residential development, and does not have some of the disadvantages of the Policy L-8 data described above. The CMP dataset contains citywide development information, and is collected by fiscal year as opposed to calendar year. But it does provide useful information about different non-residential land use categories. Table 5, below summarizes the key points of the Policy L-8 and the CMP datasets. Table 5: Summary of Policy L-8 and CMP Datasets Policy L-8 Dataset CMP Dataset Timeline 1989-2014 plus 2015 pipeline projects FY 2001-FY 2014 plus 2015 pipeline projects Geography Nine Planning Areas as shown on Map L-6 Citywide Non-Residential Land Use Categories Total of all Non-Residential square footage Contains information on Different Non-Residential Land Use Categories (e.g. retail, office/R&D, Hotel, etc) Exemptions Areas within the nine planning areas that are considered “not monitored” including some Planned Community zones and public facilities. None Source: Planning and Community Environment, December 22, 2014 "U U B D I N F O U  # 20 1 3 M o n i t o r i n g a n d C o n f o r m a n c e Ex h i b i t 4 Pa g e 1 o f 1 AN N U A L L A N D - U S E M O N I T O R I N G S U M M A R Y Me m b e r A g e n c y : Ci t y o f P a l o A l t o Mo n i t o r i n g P e r i o d : 07 / 0 1 / 1 2 - 0 6 / 3 0 / 1 3 1 2 3 4 5 TA Z * L- U NU M B E R O F D W E L L I N G U N I T S NU M B E R O F CO M M E R C I A L / I N D U S T R I A L SQ U A R E F E E T NU M B E R O F A C R E S (Z o n i n g C h a n g e O n l y ) 3a 3b 3 c 4a 4 b 4 c 5a 5 b 5 c Nu m b e r Cl a s s Ap p r o v e d Re m o v e d Ne t A d d e d Ap p r o v e d Re m o v e d Ne t A d d e d Ap p r o v e d Re m o v e d Ne t A d d e d 42 9 C3 12 7 , 0 6 3 22 8 , 9 8 6 -1 0 1 , 9 2 3 43 1 C5 19 , 9 6 0 0 19 , 9 6 0 43 1 R2 2 0 2 43 7 C5 14 , 5 6 7 4, 5 8 8 9, 9 7 9 44 3 P3 31 3 5 3 24 6 7 8 66 7 5 45 8 C5 0 67 , 0 0 0 -6 7 , 0 0 0 45 8 M2 11 6 , 0 0 0 0 11 6 , 0 0 0 46 5 C3 0 1. 5 7 -1 . 5 7 46 5 P2 1. 5 7 0 1. 5 7 46 5 P2 51 , 9 4 8 0 51 , 9 4 8 46 6 R2 3 3 0 49 9 P1 2, 3 1 9 0 2, 3 1 9 51 4 M1 5, 6 7 2 1, 9 4 1 3, 7 3 1 51 7 R1 0 0. 6 2 -0 . 6 2 51 7 C2 3, 2 5 0 2, 5 2 2 72 8 0. 6 2 0 0. 6 2 52 0 C5 0 3, 2 0 0 -3 , 2 0 0 52 0 C6 22 , 9 5 7 0 22 , 9 5 7 52 2 C5 27 7 5 0 27 7 5 52 2 R1 1 0 1 52 7 P1 4, 1 3 2 0 4, 1 3 2 53 5 P2 0 50 , 0 0 0 -5 0 , 0 0 0 53 5 C6 50 , 0 0 0 0 50 , 0 0 0 CM P A n n u a l M o n i t o r i n g C o n f o r m a n c e R e q u i r e m e n t s Ju n e 2 0 1 3 Attachment D - Betten, Zariah From: ilyanep@gmail.com on behalf of Ilya Nepomnyashchiy <ilya@ilyanep.com> Sent: Monday, February 09, 2015 5:09 PM To: Council, City Subject: Comment on Agenda Item To the Palo Alto City Council: My name is Ilya Nepomnyashchiy, and I currently work in Downtown Palo Alto. I'm writing to comment on tonight's meeting agenda item #11, the action items discussed in staff report ID #5518. I would like to support approaches similar to that proposed by Palo Alto Forward. It seems that the desire of all residents and employees in Palo Alto is to reduce traffic, reduce the parking strain, reduce our environmental impact and preserve the beautiful neighborhood feeling that we all know and love in downtown. Unfortunately, a hard cap on new office space is not properly aligning incentives for these desires to be realized. Office space is more profitable for developers than, say, residential space, so a cap on office space development will simply ensure that office space is built at exactly the cap every year. Under such a cap, no consideration will be made as to where the employees in those new offices will be living or how they will be traveling to work. They will likely have to drive, causing traffic downtown, and park, causing a parking strain. However, this is a wonderful opportunity to align incentives and build a Palo Alto of the future. Instead of hard caps, we should use established or new metrics that measure new trips to these new offices. A new office space construction should either be able to show a reasonable amount of residential space included for the number of workers who will work there (either in the same building as a mixed-use development or nearby). This way, the neighborhood can continue to welcome new workers and new innovators while also giving them a place to live, rather than driving them to surrounding neighborhoods and even as far as Gilroy. As someone who is currently priced out of Palo Alto and forced to live in Mountain View, I strongly feel that this plan would ensure that new residences are commensurate with new office production, whereas a hard cap would not. Thank you for your time, Ilya Nepomnyashchiy 1                                                                                                                                                           Betten, Zariah From: Drenner, Kellie <kellie.drenner@sap.com> Sent: Monday, February 09, 2015 5:42 PM To: Council, City; Clerk, City; Holman, Karen; Keene, James; Gitelman, Hillary Subject: 2/9/15 - City of Palo Alto Council Meeting - Comments Attachments: SAP_Annual Growth Limit (3).pdf Dear Mayor Holman and the Members of the City Council: Please find attached comments in response to Agenda Item 11 – Discussion and Direction to Staff Regarding Establishment of an Office/R&D Annual Growth Limit. If you have any questions, do not hesitate to reach out to me. Best regards, Kellie Drenner Kellie Drenner Silicon Valley Marketing and Community Engagement SAP C – 408‐612‐9348 E – kellie.drenner@sap.com Follow SAP Silicon Valley on Twitter 1 SAP America 3410 Hillview Avenue Palo Alto, CA 94304 T +1 650.849.4000 F +1 650.849.4200 www.sap.com February 9, 2015 Mayor Holman and Members of the City Council City of Palo Alto 250 Hamilton Ave Palo Alto, CA 94301 RE: The Establishment of an Office/R&D Annual Growth Limit Dear Mayor Holman and the Members of the City Council: SAP has become aware of the discussion this evening about an annual growth limit and we want to write to express that we are concerned. While SAP does not have imminent plans to add square footage, this tool for controlling growth in the Research Park would have detrimental impacts by eliminating the predictability and certainty around how projects are handled in the Stanford Research Park. Until now, we have understood how to work within the existing zoning in our efforts to modernize our Palo Alto facilities when we have undertaken such efforts. SAP is highly motivated by the principles of sustainability, and so, we often invest in our real estate in order to improve our facilities' sustainable features. Having certainly that we can grow to accommodate such efforts or expand our Palo Alto presence is essential for our success in this City. Flexibility is critical if SAP and our fellow Research Park companies are to remain competitive and thriving here in Palo Alto. We respectfully request that you reconsider the proposed annual growth limits. Thank you for taking our point of view into account. Please feel free to discuss our concerns with us further. Sincerely, Dwain Christensen Head of Facilities – Bay Area Region Director of Workplace Strategies Global Facility Management - Americas SAP America – Palo Alto T: +1 650-320-3074 F: +1 650-433-5203     Betten, Zariah From: Alusic, Lorin <lorin.alusic@hp.com> Sent: Monday, February 09, 2015 3:46 PM To: Holman, Karen; Council, City Cc: Clerk, City; Keene, James; Gitelman, Hillary; jcunneen@calstrat.com Subject: HP Comments - 2/9/15 Agenda Item #11 - Office/R&D Growth Limits Attachments: HP_Comments_PA_Holman_OfficeGrowthLimits_2015_LH.pdf Dear Mayor Holman and Members of the City Council: Thank you for the opportunity to provide HP’s comments on the proposed office/R&D annual growth limit. Please find HP’s comments attached. While discussing the issue at tonight’s City Council meeting, please consider HP’s concerns. Should you have any questions about our comments or concerns, do not hesitate to contact me directly. Lorin Alusic Director, Western Region State and Local Government Relations Corporate Affairs lorin.alusic@hp.com M +1 202-256-9198 O +1 650-857-6099 Hewlett-Packard Company 3000 Hanover St. Palo Alto, CA 94304 USA 1 From: Hamilton Hitchings To: Council, City Cc: Keene, James Subject: Office Building Zoning Follow-on Thoughts Date: Tuesday, February 10, 2015 10:18:42 AM Dear City Council Members, Thank you for a thoughtful and productive dicussion on limiting office building development last night. I spoke strongly in favor of limiting office building development and enforcing zoning codes. After listening to everyone speak I have the following additional thoughts: 1. Exempt Stanford Research Park or at most make their zoning based on car trips per day. Most of the residents concerns including mine are primarily about downtown University and California areas and to a lesser extent the El Camino corridor. 2. Make a different limit for large office buildings and a separate one for small offices and businesses in order to help small businesses. 3. I worry that a 35,000 to 45,000 square foot limit per year for Palo Alto is still much too high, especially for large office buildings. 4. Tech job growth is limited by housing (not the ability to site office buildings) according to an economist who spoke recently at Palo Alto Forward 5. Prevent retail to office conversions somehow 6. I would strongly prefer a beauty contest over first come first serve for choosing office buildings as that would increase the quality of projects, something that has been sorely lacking. 7. Beauty contest criteria could be scorecarded according to the following criteria: * Whether they conform to ALL zoning rules * Their parking and traffic impacts * Their architectual appearance (so far very lacking in newer large projects. Note, the architectual review board, in my humble opinion, is currently failing the residents when approving these large, ugly, impactful office building projects). * Are they mixed use (especially if they provide apartments or space for small businesses) Hamilton Hitchings 212 Heather Lane, Palo Alto Duveneck Neighborhood 1-650-862-9657 (mobile) Betten, Zariah From: Rock, Steve Sent: Tuesday, February 10, 2015 10:56 AM To: Council, City Subject: cost/benefit office buildings Dear Folks, I was at the Office Building study session last night and did not speak. Some people stated that there were more monetary costs to the city (for services) for an office building than income from the taxes it produced. I think there are important additions to that. 1)SCHOOLS: While the city may have costs, (fire, police, road repair, etc.) the school district has no additional costs and lots of benefits in terms of taxes. In making your decisions it is very important to consider the impact on the school district. When I moved to Palo Alto 38 years ago it was claimed that the schools were excellent because of money from all the industry in Palo Alto. (That was before Prop 13, see below). So because of the jobs/housing imbalance Palo Alto had more school money per pupil. 2) PROP 13 altered the ratio between property tax from business/residential from 0.6/0.4 to 0.4/0.6 statewide. I don't know the numbers in Palo Alto. I read fairly recently that many businesses were able to grandfather their property tax back to 1978 levels by various real estate scams of keeping nominal ownership in the hands of the original owners or their descendents while the actual users of the property changed. Thus adjacent land was taxed at a very different rate. a) If you decide to limit office development, one consideration of where it is done should include where the taxes will be the greatest. b) Palo Alto should lobby the state to repeal Prop 13 regarding property tax on business property. RESIDENTIAL DEVELOPMENT At the meeting, several people spoke about building housing instead of commercial buildings. However, the original "rebellion" against development a year or so ago, involved senior HOUSING. Residential development creates traffic problems also as people leave their homes to go to work/school. It also decreases the amount of money per pupil in the school coffers. -Steve Stephen Rock 3872 Nathan Way Palo Alto CA 94303 ser84@columbia.edu 1