LOS Banos At Ihe Crossroads of CaliJiwnia

www.losbanos.org

AGENDA

CITY COUNCIL MEETING

CITY HALL COUNCIL CHAMBERS 520 J Street

Los Banos, California

JANUARY 21, 2015

If you require special assistance to attend or participate in this meeting, please call the City Clerk's Office @ (209) 827M 7000 at least 48 hours prior to the meeting.

The City of Los Banos complies with the Americans with Disabilities Act (ADA) of 1990. ****************

Sf requiere asistencla especial para alender 0 participar en esta junta por favor lIame a /a oficina de la Seeretaria de /a eludad a/ (209) 827-7000 a /0 menos de 48 haras previas de la junta.

La Guidad de Los Banos cumple con la Acta de Americanos con Deshabilidad (ADA) de 1990.

Any writings or documents provided to a majority of the City Council regarding any item on this agenda will be made available for public inspection at the meeting

and in the City Clerk's office located at City Hall, 520 J Street, Los Banos, California during normal business hours. In addition, such writings and documents may be posted

on the City's website at www.losbanos.org. ************

Cua/quier escritura 0 los documentos proporcionaron a una mayoria del Ayuntamiento respecto a cua/quier articulo en este orden del dia sera hecho disponible para la

inspecci6n publica en la reuni6n y en fa oficina de fa Secretaria de /a ciudad en City Hall, 520 J Street, Los Banos, California durante horas de oficina normales. Ademas, tales escrituras y los documentos

pueden ser anunciados en el website de la cludad en www./osbanos.org.

1. CLOSED SESSION. 6:00 PM (Members of the public may address the City Council on the following closed session items. Speakers are limited to a five (5) minute presentation. Detailed guidelines are posted on the Council Chamber informational table.)

A. Conference with Labor Negotiators, Pursuant to Government Code Section 54957.6, Agency Designated Representatives: City Manager Carrigan, City Attorney Vaughn, City Clerk/Human Resources Director Mallonee, Police Chief Brizzee, Finance Director Williams, Legal Counsel Tuffo; Employee Organizations: Los Banos Police Officers Association (LBPOA), Los Banos Police Sergeants Association (LBPSA), Los Banos Police Dispatchers/Community Services Officers Association (LBPDCSOA), Los Banos Fire Fighters Association (LBFFA).

Los Banos City Council Agenda - January 21, 2015 Page 1 of 3

2. CALL TO ORDER. 7:00 PM

3. PLEDGE OF ALLEGIANCE.

4. ROLL CALL: (City Council Members)

Faria _, Lewis _, Silveira _, Stonegrove _, Villalta_

5. CONSIDERATION OF APPROVAL OF AGENDA.

6. PUBLIC FORUM. (Members of the public may address the City Council Members on any item of public interest that is within the jurisdiction of the City Council; includes agenda and non-agenda items. No action will be taken on non-agenda items. Speakers are limited to a five (5) minute presentation. Detailed guidelines are posted on the Council Chamber informational table.)

7. CONSIDERATION OF APPROVAL OF CONSENT AGENDA. (Items on the Consent Agenda are considered to be routine and will be voted on in one motion unless removed from the Consent Agenda by a City Council Member.)

A. Check Register for #151140 - #151362 in the Amount of $1,083,675.33.

Recommendation: Approve the check register as submitted.

B. Second Quarter Investment Report for Fiscal Year 2014-2015.

Recommendation: Accept the report as submitted.

C. City Council Resolution No. 5635 - Authorizing the City Manager to Execute a Lease Agreement with Merced County Community Action Agency (MCCAA) for continued Use of the Los Banos Child Development Center.

Recommendation: Adopt the resolution as submitted.

8. PUBLIC HEARING. (If you challenge the proposed action as described herein in court, you may be limited to raising only those issues you or someone else raised at the public hearing described herein or in written correspondence delivered to the City at, or prior to, the public hearing.)

A. Public Hearing - To Receive Public Comment and Consideration of An Ordinance to Regulate Unattended Donation/Collection Boxes.

1) Ordinance No. 1126 - Adding Article 40 Chapter 3 to Title 9 of the Los Banos Municipal Code Relating to Unattended Donations Boxes.

(Second Reading & Adoption)

Recommendation: Receive staff report, open public hearing, receive public comment, close the public hearing, and adopt the ordinance as submitted.

Los Banos City Council Agenda - January 21, 2015 Page 20f3

9. CONSIDERATION OF THE ADOPTION OF CITY COUNCIL RESOLUTION NO. 5636 - ESTABLISHING A COMPLIMENTARY TICKET DISTRIBUTION POLICY.

Recommendation: Receive staff report and adopt the resolution as submitted.

10. ADVISEMENT OF PUBLIC NOTICES. (No Report)

11. CITY MANAGER REPORT.

12. CITY COUNCIL MEMBER REPORTS.

A. Scott Silveira

B. Elizabeth Stonegrove

C. Tom Faria

D. Deborah Lewis

E. Mayor Mike Villa Ita

13. ADJOURNMENT.

I hereby certify under penalty of perjury under the laws of the State of California, that the foregoing agenda was posted on the City Hall bulletin board not less than 72 hours prior to the meeting.

~(.~et2c.. f. ~efl. .. Lucille L. Mallonee, City Clerk Dated this 15th day of January 2015

Los Banos City Council Agenda January 21,2015 Page 3 of 3

01106/2015 $1,083,675.33 CK # 151140 -151362 Bank Reconciliation Checks by Date

User: sorozco

Printed: 01113/2015 - 1:19PM LOS Banos Cleared and Not Cleared Checks Print Void Checks

Check No Check Date

151140 12/31/2014 151141 12/3112014 151142 12/3112014 151143 12/31/2014 151144 12/31/2014 151145 12/3112014 151146 12/31/2014 151147 12/3112014 151148 12/3112014 151149 12/3112014 151150 12/3112014 151151 12/3112014 151152 12/31/2014 151153 12/3112014 151154 12/3112014 151155 12/31/2014 151156 12/3112014 151157 12/3112014 151158 12/31/2014 151159 12/31/2014 151160 12/3112014 151161 12/3112014 151162 12/31/2014 151163 12/3112014 151164 12/3112014 151165 12/31/2014 151166 12/31/2014 151167 12/31/2014 151168 12/3112014 151169 12/3112014 151170 12/3112014 151171 12/31/2014 151172 12/31/2014 151173 12/3112014 151174 12/31/2014 151175 12/31/2014 151176 12/31/2014 151177 12/3112014 151178 12/31/2014 151179 12/31/2014 151180 12/3112014 151181 12/31/2014 151182 12/31/2014 151183 12/31/2014

Name

A & A Portables Inc

Amerigas Propane, LP Anthony Gomes Aramark Unifonn Ser Inc AT&T

Dorothy June Baker Bruce's Tire Inc BSK Associates

Butler Web & Design

California Dairies Inc Corneast

Custom Locksmith & Alann Inc. Darrell Mello

Electrical Distributors Co. F astenal Company Ferguson Enterprises Inc DBA Groeniger & Company Edgar Godinez Heppner Precision Machine Ink & Stiches Graphics & Designs

JP's Services Liebert Cassidy Whitmore Los Banos Express Oil & Lube Lucas Business Systems Marfab Inc

Merced Chevrolet Inc. Merced Uniform & Accessories Napa Auto Parts The Office City OSE

Pinnacle Medical Group Radio Shack Accounts Rec Snap On Tools Sorensens True Value T erryberry Company LLC

Toscano Upholstery

Heriberto Mejia Pedro & Susana Gonzalez Steven Lovely Hannail Pooni Alexander and Natasha Reed Twila Salvador Debra Garcia WaIner Pineda Positive Changes

Module Void Amount

AP 105.75

AP 262.54

AP 1,650.00

AP 412.64

AP 691.56

AP 9.44 AP 816.81

AP 764.00

AP 594.00

AP 57.14

AP 196.44

AP 280.00

AP 150.00

AP 552.84

AP 148.52

AP 5,160.01

AP 1,370.00

AP 395.20

AP 93.94 AP 170.00

AP 563.50

AP 37.85 AP 54.51

AP 52.82

AP 690.45

AP 1,310.28

AP 190.40

AP 6.44

AP 43.57

AP 103.00

AP 21.59

AP 111.90

AP 576.17

AP 256.28

AP 35.00

AP 31.79 AP 31.79

AP 72.72

AP 80.91

AP 23.61

AP 69.99

AP 4.51

AP 18.15

AP 70.00

Check No Check Date Name Module Void Amount 151184 12/31/2014 Maria Rodriguez-Romero AP 100.00 151185 12/3112014 Jimmie Agamao AP 100.00 151186 12/31/2014 Sloan Realty-Richard Angel AP 100.00 151187 12/31/2014 Verizon Wireless AP 266.03 151188 12/3112014 Westside Water Conditioning AP 130.00 151189 12/3112014 Windecker Inc AP 1,369.29 151190 12/31/2014 Y cung's Air Conditioning AP 125.00 151217 12/3112014 AT&T AP 362.26 151218 12/3112014 Centro Print Solutions AP 271.59 151219 12/31/2014 DarraH Gargano AP 206.40 151220 12/31/2014 Government Finance Officers Association AP 435.00 151222 12/31/2014 Kagome AP 500.00 151223 12/31/2014 Los Banos Volunteer AP 2,000.00 151224 12/3112014 Los Banos Unified School District AP 190.02 151225 12/3112014 Merced County Auditor Controller AP 1,195.00 151226 12/31/2014 Memorial Hospital Los Banos AP 500.00 151227 12/3112014 Gerald "Obie" O'Brien AP 77.14 151228 12/3112014 Sarah Orozco AP 3,000.00 151229 12/31/2014 P G & E Company AP 84,001.08 151230 12/31/2014 Provost and Pritchard Engineering, Inc. AP 1,166.00 151231 12/3112014 State Water Resources Control Board AP 60.00 151232 12/31/2014 Law Offices of William A Vaughn AP 9,000.00 151233 1/5/2015 Afiae-Customer Service AP 95.81 151234 115/2015 Afiae-Customer Service AP 143.95 151235 115/2015 Afiae-Customer Service AP 41.26 151236 1/5/2015 Aflae-Customer Service AP 48.36 151237 1/5/2015 Bank of America AP 91,078.69 151238 115/2015 Bank of America AP 2,734.58 151239 115/2015 Bank of America AP 11,561.41 151240 1/5/2015 In Shape Health Clubs Inc AP 606.00 151241 1/512015 Los Banos Police Assn AP 2,077.00 151242 1/5/2015 MassMutual AP 1,332.40 151243 115/2015 MassMutual AP 4,992.00 151244 1/5/2015 Nationwide Retirement Solutions AP 1,665.00 151245 1/5/2015 Professional Fire Fighter AP 630.00 151246 115/2015 State Disbursement Unit AP 2,320.50 151247 1/5/2015 Vantagepoint Transfer Agents - 705827 AP 25.00 151248 1/5/2015 Vantagepoint Transfer Agents - 801838 AP 3,050.00 151249 1/512015 Vantagepont Transfer Agents - 306797 AP 455.00 151250 11712015 hiro Acosta AP 24.00 151251 11712015 David Darren Cole II AP 476.00 151252 11712015 Jesus Parras AP 24.00 151253 11712015 PERS - Public Employees AP 118,525.75 151254 11712015 Eduardo Solis AP 476.00 151255 11712015 South Bay Regional Training Consortium AP 482.00 151256 11712015 South Bay Regional Training Consortium AP 482.00 151257 11712015 Westamerica Bank - Cafeteria Plan AP 257,409.39 151259 1/8/2015 Bank of America AP 36.50 151260 119/2015 Alhambra AP 156.49 151261 1/9/2015 ABS Direct, Inc. AP 1,053.23 151262 1/9/2015 An American Plumbing AP 610.56 151263 1/9/2015 Ameripride Valley Unifonn Services Inc. AP 321.72 151264 1/9/2015 Anthony Gomes AP 567.81 151265 119/2015 Ararnark Uniform Ser Inc AP 807.65 151266 1/9/2015 AT&T AP 360.87 151267 11912015 AT&T AP 250.08 151268 1/9/2015 AT&T AP 62.00

Check No Check Date Name Module Void Amount 151269 1/9/2015 Dorothy June Baker AP 150.35 151270 119/2015 BJ's Consumers Choice AP 128.00 151271 1/9/2015 Bore11i Real Estate Service, Inc. AP 90.00 151272 1/9/2015 Bryce Consulting Inc. AP 150.00 151273 1/9/2015 BSK Associates AP 1,570.00 151274 119/2015 Fabian Berrelleza AP 500.00 151275 1/9/2015 California Dairies Inc AP 453.82 151276 119/2015 Cen-Cal Air AP 420.00 151277 1/9/2015 Chevron Usa Inc AP 78.12 151278 1/9/2015 Clark Pest Control Inc AP 238.00 151279 119/2015 Copy Shipping Solutions AP 1,017.18 151280 119/2015 CSMFO AP 75.00 151281 1/9/2015 Custom Locksmith & Alann Inc. AP 763.51 151282 119/2015 Jeanette Duarte AP 78.00 151283 1/9/2015 Electrical Distributors Co. AP 1,011.47 151284 119/2015 Employee Relations, Inc. AP 50.00 151285 1/9/2015 ABY MFG Group. Inc. AP 116.06 151286 119/2015 F S Rod Inc AP 2,628.54 151287 1/9/2015 Fanner Brothers Coffee AP 354.63 151288 1/9/2015 F astenal Company AP 588.20 151289 1/9/2015 Fast Track Car Wash AP 7.00 151290 119/2015 Federal Express AP 9.63 151291 1/9/2015 Ferrellgas, Inc. AP 48.05 151292 119/2015 Grainger Parts Operations AP 502.39 151293 119/2015 Helena Chemical Co Inc AP 495.18 151294 1/9/2015 Heppner Precision Machine AP 192.22 151295 1/9/2015 Hi Tech Emergency Vehicle Services, Inc AP 4,802.49 151296 119/2015 Holt of California AP 1,810.96 151297 1/9/2015 Home Depot AP 2,501.66 151298 1/9/2015 Home Depot AP 53.21 151299 119/2015 Interstate Truck Center, LLC AP 400.00 151300 1/9/2015 Johnnie's Cleaners AP 100.50 151301 1/9/2015 IP's Services AP 85.00 151302 119/2015 Key Seal Products, Inc. AP 301.97 151303 119/2015 Los Banos Express Oil & Lube AP 78.47 151304 1/9/2015 Marfab Inc AP 224.13 151305 1/9/2015 Matson Alann Co Inc AP 180.00 151306 119/2015 McNamara Sports Inc AP 4,573.07 151307 1/9/2015 Merced Chevrolet Inc. AP 110.38 151308 1/9/2015 Merced County Environmental Health AP 2,608.00 151309 1/9/2015 Merced Unifonn & Accessories AP 51.25 151310 1/9/2015 Napa Auto Parts AP 656.04 151311 119/2015 The Office City AP 222.28 151312 1/9/2015 OSE AP 81.62 151313 1/9/2015 Old Dominion Brush AP 887.61 151314 1/9/2015 Omega Industrial Supply Inc. AP 951.52 151315 119/2015 O'Rei11y Auto Parts AP 3,443.43 151316 1/9/2015 Pacheco Veterinary AP 773.00 151317 1/9/2015 Provost and Pritchard Engineering, Inc. AP 1,953.20 151318 1/9/2015 Purchase Power Inc AP 6,000.00 151319 1/9/2015 Pro Clean Supply AP 587.16 151320 1/912015 Protech Security & Electronics, Inc. AP 255.00 151321 119/2015 Radio Shack Accounts Rec AP 55.18 151322 119/2015 Ronny's Landscaping AP 34,931.01 151323 119/2015 Frank M Cantele AP 282.39 151324 1/9/2015 Save Mart Supennarkets AP 85.47 151325 119/2015 Angel H. Sauceda AP 420.00

Check No Check Date Name 151326 119/2015 Sherwin Williams Co 151327 119/2015 Sorensens True Value 151328 119/2015 Thomas Ochoa 151329 119/2015 Thomson Reuters (Tax & Accounting) Inc. 151330 119/2015 Tulare Firestone 151331 119/2015 Vavrinek, Trine, Day & Co., LLP

151332 1/912015 Windecker Inc 151333 1/9/2015 Zero Waste USA Inc. 151334 119/2015 Ascent Aviation Group, Inc. 151335 1/9/2015 Jairo Acosta 151336 119/2015 Richard A Blak Phd

151337 1/9/2015 Steve Carrigan 151338 1/9/2015 CSJVRMA

151339 1/9/2015 Marcelino Cortez 151340 119/2015 City of Los Banos Escrow Account 151341 1/912015 Cassandra Ann Helmrick 151342 1/9/2015 Aundre Garcia 151343 119/2015 Andrea Haro 151344 1/9/2015 Jason Hedden 151345 1/9/2015 Jason Hedden

151346 1/912015 Kristifer Hew 151347 1/9/2015 League of Calif Cities

151348 1/912015 Liebert Cassidy Whibnore 151349 119/2015 Los Banos Designated Local Authority 151350 1/912015 Lucille L Mallonee 151351 1/9/2015 Merced County Regional Waste Management Authority 151352 119/2015 Merced County Regional Waste Management Authority 151353 1/9/2015 Merced County Regional Waste Management Authority 151354 1/9/2015 Merced County Weights & Measures 151355 1/9/2015 O'Dell Engineering 151356 119/2015 Anthony Parker 151357 119/2015 Ronny's Landscaping 151358 1/9/2015 Michael Seeba 151359 1/9/2015 South Bay Regional Training Consortium 151360 1/9/2015 Michael G. Villalta 151361 1/9/2015 Dept of Housing & Community Development State NSP 151362 11912015 Walmart

Break in check sequence due to the following: Check # 151191 - 151216 (Payroll)

Check # 151221 (Payroll)

Check # 151258 (Payroll)

Module Void Amount AP 245.98

AP 694.18

AP 845.00

AP 245.43

AP 2,433.32

AP 3,360.00

AP 86.60

AP 356.00

AP 15,627.06

AP 36.00

AP 150.00

AP 1,140.16

AP 210,256.00

AP 160.00

AP 1,524.93

AP 47.00

AP 58.00

AP 5.50

AP 1,271.04

AP 195.00

AP 36.00

AP 11,736.00

AP 2,470.50

AP 2,371.60

AP 300.00

AP 2,517.67

AP 59,232.34

AP 6,206.36

AP 142.20

AP 20,240.00

AP 36.00

AP 5,231.73

AP 150.00

AP 110.00

AP 583.52

AP 23,468.00

AP 448.98

Total Void Check Count: 0

Total Void Check Amount: 0

Total Valid Check Count: 195

Total Valid Check Amount: 1,083,675.33

Total Check Count: 195

Total Check Amount: 1,083,675.33

rosBanos Agenda Staff Report

TO: Mayor & City Council Members

FROM: Martha Brazil, City Treasurer/Accountant~ DATE: January 21, 2015

SUBJECT: Acceptance of the Second Quarter Investment Report for 2014/2015

TYPE OF REPORT: Consent Agenda

Recommendation: To accept the quarterly investment report as submitted.

Background: The City of Los Banos follows its investment policy to assure that it invests all surplus inactive monies in a manner which ensures a maximum return consistent with safety on such investments while maintaining the integrity of such surplus and inactive funds. A quarterly investment report provides proof that City funds are invested in such a manner. It includes all investments except funds held by City's trustee. Funds held by trustee include bond reserve funds, deferred compensation plans and other post retirement benefit funds.

Fiscal Impact: Informational only, no fiscal impact.

Reviewed by:

Steve Carrigan, City Manager

Attachments: City of Los Banos Second Quarter 2014/2015 Investment Report

rosBanos In accordance with Government Code Section 53646 and the City of Los Banos Investment Policy, the following shall constitute the quarterly report of investment on behalf of the City of Los Banos:

Investment Balances As of December 31,2014

Amount Annual

Type of Investment Issuer Maturity Invested Percentage

Yield

LAIF (Local Agency State of Daily .267% Investment Fund) California $30,611,264. effective yield

Bonds, Treasury Money Staggered Market Funds and CD's Wells Fargo 11,637,276. .80% - 5.40% (Certificate of Deposits) 5 years

Money Market Funds Wells Fargo Daily 25,075. 0.03% School Project

Investment Balance: $42,273,615.

1 . As of the date of this report, the majority of the City of Los Banos funds are invested in the State of California Local Agency Investment Fund (LAIF), in accordance with section 16429.1 of the Governmental Code.

2. As of the date of this report, the remainder of the City of Los Banos' funds are deposited in Corporate Bonds, and various FDIC insured Certificates of Deposits held with Wells Fargo Securities, LLC. Therefore, as provided by Governmental Code Section 53646 (e) attached are the most recent statement(s) received by the City of Los Banos.

3. The portfolio of the City of Los Banos is in compliance with the City of Los Banos' Investment Policy.

4. The investment balances are reconciled monthly to the General Ledger by the Finance Department.

5. It is expected that the City will be able to meet its projected expenditure requirements for the next six months.

LAIF Regular Monthly Statement

Loc~1 Agcnq Innstmcnl Fund 1'.0. lIox 942809 Sacramento, CA 94209-000 I (916) 653-3001

CITY OF LOS BANOS

CITY TREASURER 520 J STREET LOS BANOS, CA 93635 Account Number:

Page 1 of 1

\\ \I \I .1 rc a.\ u rl' r. l':l. t! 0\ /p m i a .[;\ i fli aiL a~ p January 09, 2015

Tran hpl' Definitions December 2014 Statement

Account Summan'

Total Deposit:

Total Withdrawal:

0.00 Beginning Balance:

0.00 Ending Balance:

https:lllaifms.treasurer.ca.gov/RegularStatement.aspx

30,611,264.37

30,611.264.37

119/2015

PMIAAverage Monthly Effective Yields ------l----- .. -.. --... -. --.------ -c---.----- --.-.- ··---c- - - ---,·----·--T--·--- ..,.-- ---... --,-------------,.----- ...... .

. J~i~!~rl~i_l~nIJul!_,_i~IN~i~i 1977T5~770:5:660T5:66oT5.650f5.760i5:856··f-5.9301-ti:050Te.090i-ii:090T6.610:6:i30i C~~~----I·-~·--~-·- ---r--~-"---'--'--- -~ ~----- .. -.-.. "'t-··----- '_'0 ___ • __ •• _-- ·-·r---------~~- -·------j--------:-·---"·---r-----··--'---- --------; 197816.920 17.050 17.140 i 7.270 17.386 t 7.569 i 7.652 i 7.821 i 7.871 i 8.110 18.286 18.769 i ·1979\8.777T8.90418.820[9.082·1-9.046[9224;920219:528-rg·25919~S-i4i10~223i-io.2i81 '~-'----------'-----r--""'-'---~-"'-' ··-----·r--·---·· .,----------.-----,-------.-,------------,-.-.-..... --. ,1980110.980111.251 111.490 [11.480 112.017 11.798 ;10.20619.870 i 9.945 110.056110.426 [10.961 1 i9s1Ii6.987f1~686F1:i-30T11:475T-i2.-179Ti1.442112 .346Ti2~844: 12.059i1-2:397111.887-i11~4~ '1982'[ii~683 F 2 .044-i1-i.835I1i~773112.270ii1~9'94112 .23511-1-:909\11 .15i!ii:11-iTl0~704:10:40~i '198'3lio.251[9:887-' 9.688 -[9.S-6S--[9:527··i9.6oo-r-9Ts79:10:o761i0.202110 :i82jiD.i64· i10:227-[ "1984[10j1211-028o!10:382 [1 0.594['10:8431 11:i19[1i .355 F1.557[11:s97Ti1:68iF~474Ti1:o241 '~-"---"--'-'--i------'--!'--'--'-'----'! -------I-·-------r--.. ----- .~: -~---r--·'"----i -----··T----·'---j----·--r----~' 1985!10.579,lO.289110.118,10.025110.180, 9.743 ,9.65619.417 1,9.572 19.482:9.488 :9.371 J 198-61'9:252r9.090[,,8.958 i8.62-1T8.369T8~225T8:1Xi r 7.84417:512[7.586 F432 T7.439 i '-------')-·------1------·'" -r-'-·------,---.. -·-'-- ~'-T -----... ,-.j _ ..... -. ------~------"'·--'t -.---.~--, ---.,,--.--,----.---,-------'-- -:.------'

198717.36517.157: 7.205 i 7.04417.294: 7.289 i 7.464 ! 7.562 ! 7.712 i 7.82518.121 i 8.071 i ·1988i8~78-r8.050T7.945T7:940T7.815T7 ... 92-9-r8~S9r8245i8':3411s.397 -I 8.467T8~563i '1989":8:6981'8.77018.87018.992-[92271'9:20419.056-1"8:833 r8.80Ti a:77iTa·685T8T'64s1 .. -'·-T-··'------f~----·r-·-~---i---·'-"---··I---·----i------·--·-·-~--T--·-----I-~-·-r·---·-·--~-··-·-i-·-----i 1990,8.571 18.538 i 8.506 i 8.497 8.531,8.538 18.517 ,8.382 18.333 ,8.321 18.269 ,8.279 i ,···-'--·r------.. ··--·····----.. r·--···----,--·----'--:---.. ----r=---._--.. ~--.T-.. --·--···-·I'-~--r·-----r--~·--'

1991 i 8.164 ! 8.00217.77517.66617.374 i 7.169 i 7.098 i 7.072 i 6.859,6.71916.591 16.318 'I ~--'-'-T~-----i-'--------- .. :-~-·-i- .. --·-------·--;------·----' ·r,··-·----'---·---- ··-I-------r--'-----.. · "'-----1'-.---.---':-------' 1992,6.122 i 5.863 i 5.680 ! 5.692,5.379,5.323 i 5.235 [4.958 ,4.760 14.730 ,4.659 i 4.6471 '--.-'-~ .. -:----- -,--.---._-.--- -r--------·-r--·'---·---- i------'"' -----.----------~---.-.~'".--;----------;~- -·-"'~-T-.. --~r--· .. -------I------~"" ,199314.678 14.649 ,4.624 14.605 14.427 14.554 ! 4.438 14.472 14.430 ,4.380 14.365 14.384 I c1994T4~359T4:i76r4.248-i4:333T4~434T4.623r4:823T4.989is:i06T5:243 [s:3aoT 5.5281 .1~~~5r5:612r~!~?~~5.93~J~960J-":~~~ri~~'9.Li~~9!2]'5:9io15:~~~+S':784+~805T5'~7~~l 1996 i 5.698 [ 5.643 15.557 15.538 15.502 : 5.548 15.587 15.566 15.601 15.601 i 5.599 i 5.574 ! ;----'-.---.[---- T·--· .. ·-·---~--~--~---·I"-· .. ---~-r~·-.. --.. ·~·--f-~-----I-----'· .. -~T--~--[ .. "-"---·-.. -l--~-T·-'--'~·---f-------'l 1997

15.583 [5.575 [5.580 ,5.612 ,5.634 15.667 15.679 15.690 15.707 ,5.70515.715 15.744 i

1"998['5. 742\S':720T5'.680:5.672-[5.673 T5:671T5.652i,5.6S2is:639-15~557i5:492 TsT374[ '-·-· .. -----T-~--~---! ---·'~-"-----:--~'·"!·'-·-"·'-----~--f--------"r -_ .. ------ - ;.----.• --·"r-----------i - --"-----,-.-.-------.-!--- ---.. -----:---~--____; 199915.265 i 5.210,5.136 i 5.119 i 5.08615.095 i 5.17815.22515.274 i 5.391 i 5.484 :5.639 J' '-··--'"'·-r·-~----:---··~----·-!-----· -i .--'-' .. '--'-----:-~--'--- '''I''--'--'''-'---T-~-- --------.! ---·--~----';---------·-i-------------T----"---------i----.! .200015.760 i 5.824 i 5.851 [6.014 :6.190 [6.349 [6.443,6.505 :6.502 [6.517 :6.538 16.535, ,·------···T----'--:-,----T-----·--·----'T'------:-----·--'--- -T------·~--·-· .... ·---T---·--T· .. -.. -----·--·l---~---· T·-·---I-----.. ·-'~ ,200116.372 ! 6.169 15.976 15.760 i 5.328 14.958 1.4.635 14.502 ! 4.288 [3.785 ,.3.526 13.261 1 2'00213:068.12.967;2.861-[2.845

1''2.-7 40i2.687T2:7i4T2 :594i2:604-1-2~487"'2:301T 2 .201]

._ .... _ ...... _: __ • _______ .;._ •• ___ .. __ - .:--____ -.,,_,_, ___ , .,,--- -- -,- -_- ___ • __ "C --- ______ L _____ ._. --"'-"'-------- ---- -,----'----,.--.-~ -- ------. --~ .. -" ... ~-.--------,--~ ___ oJ

2003,2.10311.945 [1.904 11.858 i 1.769: 1.69711.653 i 1.63211.635 ! 1.596 t 1.572 i 1.545 i 2004:1:528,1 :440[i~474T1.445 [1.4261', .469]1:6041:672 ['1:771 ·;1 :890[2:003 T 2:1-341 2'o05,2~264:2~36aT2.542T2.724-f2:856i2.967T3.o83i3:179-;3:324-1':i:458 13:636 ["3:80s-1 c-"--~' --~ :------- .----: .. ---- .... - ----r--------·· '" ;"- ------- ------~--·" .. -·"--·-'· .. c --- ------- T'---""·----- --r·------· .. -.~.-.. --'."'--'- .-------------: -- -.---------,-----------'":

,2006,3.955 i 4.043 i 4.142 [4.305 i 4.563: 4.700: 4.8491

4.946 ! 5.023: 5.098 i 5.125,5.129 i 2'0075:156 '5: i81 1 s:214 -;5.222 TS.24ST5.250T5.255T5:253i5:231'i;:13-jT4:962T 4.8011

4.161 3.777!3.400r:i.072[2.894i2~787i2:779T2:774: 2.7092.5681"2.3-53! -2009; 2.046 ---------;,,-_._-----_. 2010' 0.558 ,.-.... -2011 0.538 ,0.512 ,-_ ...

2012 0.385 0.389 .... -

2013 0.300 0.286 -._--- _ ...

2014,0.244 0.236

',""-' ." .. ,---- - ,----- ---- --- ': ... ,-.-"---- -.. ~---- .--.-.-., -, i ,--- ---"'--- --:-.---.---.-.-... , ·1-----·-----:'-~ .. ··'-· -----1- ------~--,

1.822 1.607l1,~30.i 1.377,1~035 .10'925l~~7~0;~~~~6LO:611!0~~t)9j 0.547 0.588 0.560'(j.521l ,0,531 '0.513 ,~:500 0.480' 0.454 L?,4~2

0.413 ',0.448 0.381 0.408, 0.378 0.401 0.382 .,,- ------------ -, _._-

0.363 0.358 0.363 0.377 0.348 0.340 _!::.I .. _ .. !.C_ C=: 0.267 i 0.271 0.257; 0.266 0.244 0.260 0.246· 0.261

Wells Fargo Institutional Securities, lLC 400 CAPITOL MALL SACRAMENTO CA 95814

JUSTIN LEWIS 1-916-440-4135

""910 101345l 000" ,SOl' ,mnU,11%_OO031346 ' .. 88-0010 ,M"" "'ID2I'S P

Page 1 of 6

Your Investment Account(s) Statement Period

12101/2014 -12131/2014

CITY OF LOS BANOS

ATTN MARTHA BRAZIL

Account Value Summary USD

Account Number

This summary does not reflect the _______________________________ I1111 _______ value 01 unpriced securities.

Amount Last Amount This % Repurchase agreements are reflected Statement Period Statement Period Portfolio at par value.

Cash $ 0.00 $ 0.00 0% Money Market Mutual Funds 51,600.69 55,314.73 0% Bonds 11,645,347.38 11,581,960.91 100% Stocks 0.00 0.00 0% Total Account Value $ 11,696,948.07 $ 11,637,275.64 100%

Value Change Since Last Statement Period Percent Decrease Since Last Statement Period

$ 59,672.43

Value Last Year-End $ Percent Increase Since Last Year-End

Income Summary USD

This Period

1%

11,464,367.70 2%

Year-To-Oale

Interest $ 3,713.42 $ 232,253.84 0.00 0.70 0.00

Dividends/Capital Gains 0.00 Money Market Mutual Funds Dividends 0.62 Other 0.00

Income Total $ 3,714.04 $

Money Market Mutual Funds Summary USD

Description

Opening Balance Deposits and Other Additions Distributions and Other Subtractions Income Earned

Closing Balance

$

$

232,254.54

Amount

51,600.69 3,713.42

0.00 0.62

55,314.73

Important Information

This statement is provided to customers of Wells Fargo Institutional Securities, LlC ("WFIS"). Statements are provided monthly for accounts with transactions andlor security positions. WFIS accounts are carried and maintained by Wells Fargo Securities, LLC ("WFS"), which provides clearing and safekeeping services for WFIS. The account statement contains a list of securities held in safekeeping by WFS as of the statement date and provides details of purchase and sale transactions, the receipt and disbursement of cash and securities, and other activities relating to the account during the statement period.

For WFIS customers who choose to maintain a safekeeping account at Welfs Fargo Bank, N.A. ("Bank"), this statement is accompanied by a separate Bank safekeeping statement. The Bank safekeeping statement, if applicable, contains a list of securities held in safekeeping by the Bank as of the statement date.

Pricing: Security and brokered certificate of deposit ('CD") prices shown on the statement are obtained from independent vendors or internal pricing models. While we believe the prices are reliable, we cannot guarantee their accuracy. For exchange-listed securities, the price provided is the closing price at month end. For unlisted securities, it is the "bid" price at month end. The prices of COs that mature in one year or less are shown at last price traded. The price of CDs that mature in greater than one year and of other instruments that trade infrequently are estimated using similar securities for which prices are available. Prices on the statement may not necessarily be obtained when the asset is sold.

Brokered CD Pricing: Like bonds, brokered CDs are subject to price fluctuation and the value of a CO, if sold prior to maturity, may be less than at the time of its purchase. Significant loss of principal could result.

SIPC: WFIS and WFS are members of the Securities Investor Protection Corporation ("SIPC"). In the event of insolvency or liquidation 01 WFS, securities held in safekeeping at WFS are covered by SIPC against the loss, but nol investment risk, up to a maximum of $500,000 per customer, which includes a $250,000 limit on claims tor cash held in the account. SIPC protection does not provide any protection whatsoever against investment risk, including the loss of principal on an investment. This coverage does not apply to securities held in safekeeping by the Bank. Additional information about SIPC, including a SIPC brochure, may be obtained by visiting www.sipc.orgorbycaliingSIPCat 1-202-371-8300.

FINRA BrokerCheck Program: WFIS is a member of the Financial Industry Regulatory Authority (FINRA). Under its Brokercheck program, FINAA provides certain information regarding the disciplinary history of broker/dealers and their associated persons. Information can be obtained from the FINAA BrokerCheck program hotline number (1-800-289-9999) or the FINRA web site (www.finra.org). A brochure describing the FINRA BrokerCheck program wi!! be furnished upon written request.

Free Credit Balances: Any customer free credit balances may be used in the business of WFS subject to limitation of 17 CFR Section 240 § 15c(3)-3 under the Securities Exchange Act 011934. In the course of normal business operations, a customer has the right to receive delivery of the following: any free credit balances to which he or she is entitled, any fully paid securities to which he or she is entitled, and any securities purchased on margin upon full payment of indebtedness to WFS.

Equity Order Routing: WFIS introduces all equity orders to WFS. WFS will generally route equity and listed options orders taking into consideration among other factors, the quality and speed of execution, as well as the credits, cash or other payments it may receive from any exchange, broker-dealer or market center. This may not be true if a customer has directed or placed limits on any orders. Whenever possible, WFS will route orders in an attempt to obtain executions at prices equal or superior to the nationally displayed best bid or offer. WFS wilt also attempt to obtain the best execution regardless of any compensation it may receive. The nature and source of credits and payments WFS receives in connection with specific orders will be furnished to a customer upon request. WFS prepares quarterly reports describing its order routing practices for non-directed orders routed to a particular venue for execution. A printed copy of this report along with other compliance and regulatory information is available upon wriHen request or by visiting: https:/lwww.wellsfargo.com/co+m/securitiesJregulatory.

Equity Extended Hours Trading: See important information relating to equities trading before and atter regular trading hours at: www.welisfargo.com/com/securitiesJregulatory.

Equity Open Orders: Open orders wilt remain in effect unlit executed or canceled by you. Failure to cancel an open oreler may result in the transaction being executed for your account. WFS has no responsibility to cancel an open order at its own initiative.

Dividend Reinvestment: In any dividend reinvestment transaction, WFS acted as agent. Additional information regarding transactions of this nature will be furnished to a customer upon written reques!.

Account Transfers: A fee will be charged to customers transferring their existing WFIS account to another broker/dealer or any other financial institution.

Non-deposit Investment products recommended, offered or sold by WFIS, Including mutual funds, are not federally InSUred or guaranteed by or obligations of the Federal Deposit Insurance Corporation ("FDIC"), the Federal ReselVe System or any other agency; are not bank deposits; are not obligations of, or endorsed or guaranteed In any way by any bank or WFIS; and are subject to risk, Including the possible loss of principal, that may cause the value of the Investment and Investment return to fluctuate.

Page 2 of 6

When the Investment is sold, the value may be higher or lower than the amount originally Invested. WFIS and WFS are subsidiaries of Wells Fargo & Company, neither Is a bank or thrift, and they are separate from any other affiliated bank or thrift. WFIS and WFS are registered broker/dealers and members of FINRA. No affiliate of WFIS or WFS Is responsible for the securities sold by WFIS or WFS.

Mutual Funds: The distributor of Wells Fargo Advantage Funds is affiliated with WFIS and WFS. Mutual funds are sold by prospectus only. Please read the prospectus for further information including sales charges, deferred sates charges, withdrawal charges and management or other fees.

Financial Statements: WFIS financial statements are available upon request.

Trade Confirmations: Investment purchases and sales are subject to the terms and conditions stated on the trade confirmation relating to that transaction. tn the event of a conflict between the trade confirmat"lon and this statement, the trade confirmation will govern.

Listed Options: Commissions and other charges related to the execution of listed option transactions have been included in confirmations of such transactions that have been previously furnished and are available upon request. Promptly advise your WFIS sales representative of any material change in your investment objectives or financial situation.

Customer Complaints and Reporting Discrepancies: Customer complaints, statement reporting inaccuracies or discrepancies should be promptly reported in writing to:

Customer Service 608 Second Avenue South Suite 10000, MAC N9303-054 Minneapolis, MN 55402 wfscustomerservice@wellsfargo.com

Customers may also report complaints, inaccuracies or discrepancies by calling 1-800-645-3751, option 5. International callers should call 1-877-856-8878. To further protect their rights, including rights under the Securities Investor Protection Act, customers should also re-confirm in writing to the above address any oral communications with WFIS relating to the inaccuracies or discrepancies.

Eurodollar Deposits: Funds invested in a Eurodollar Deposit are held on deposit at the Bank's Grand Cayman Island branch, a foreign branch of the Bank. As an offshore deposit liability payable at the Bank's Grand Cayman Island branch, the deposits are subject to Grand Cayman Island laws, regulations and governmental actions regarding exchange controls, assets seizures and other restrictions. Deposits payable only outside the U.S. also have a lower priority than deposits payable at a U.S. branch in liquidation. In addition, deposits held in a foreign U.S. bank branch are not insured by the FDIC or otherwise guaranteed by the U.S. government or any of its agencies.

Page 3 of 6

CITY OF LOS BANOS Statement Ending: December 31 , 2014

Account Number:

Portfolio Holdings Security positions held with Wells Fargo Securities, LLC

Current Par I Market Market Original Par Security ID Description Maturity Date Coupon Original Par Price· Value Pledged** Callable

Bonds USD

74824XCR5 QUEENSBOROUGH NATIONAL B&T CO. 07/30/15 2.300% 100,000.000 101.2443 101,244.30 LOUISVILLE GA INT BEARING CER

TOF DEPOSIT 786580X96 SAFRA NAT'L BK NY INTEREST BEA 07/31/15 0.800% 245,000.000 100.4091 246,002.30

RING CERT OF DESPOSIT

14042E3S7 CAPITAL ONE NA MCLEAN VA INT B 08/25/15 2.000% 245,000.000 101.0387 247,544.82 EARING CERT OF DEPOSIT

140420MW7 CAPITAL ONE USA GLEN ALLEN VA 08/25/15 2.000% 245,000.000 100.9424 247,308.88 INT BEARING CERT OF DEPOSIT

59012YK71 MERRICK BANK INT BEARING CERT 08/31/15 1.250% 245,000.000 100.4763 246,166.94 OFDEP

773709AM2 ROCKLAND TRUST CO INTEREST BEA 03/28/16 2.050% 40,000.000 101.8707 40,748.28 RING CERT OF DEPOSIT

46176PAKl INVESTORS SVGS INT BEAR CERT 0 05/05/16 2.200% 100,000.000 101.9464 101,946.40 F DEPOSIT

73565NBD4 PORTAGE COUNTY BANK INT BEARIN 06/15/16 1.800% 130,000.000 102.0433 132,656.29 G CERT OF DEPOSIT

06279LCJl BANK INTERNET USA INTEREST BE 06/22116 1.900% 245,000.000 102.0547 250,034.02 ARING CERT OF DEPOSIT

344030EB3 FLUSHING SAVINGS BANK INT BEAR 06/29/16 1.900% 245,000.000 102.0804 250,096.98 ING CERT OF DEPOSIT

06425BBE8 BK OF THE PACIFIC INT BEAR CER 08/12/16 1.700% 245,000.000 102.1385 250,239.33 TOFDEPOSIT

133033DL1 CAMDEN NATIONAL BANK INTEREST 08/17/16 1.750% 245,000.000 102.1425 250,249.13 BEARING CERT OF DEPOSIT

52168UBNl LEADER BANK INT BEARING CERT 0 08/17/16 1.800% 245,000.000 102.1416 250,246.92 FDEP

924116AQ9 VERMILLION STATE BANK INT BEAR 08/31/16 1.500% 245,000.000 102.1617 250,296.17 ING CERT OF DEP

36962G2G8 GENERAL ELEC CAP CORP 02115/17 5.400% 1,150,000.000 108.5617 1,248,459.55 N 36962G5WO GENERAL ELEC CAP CORP 04/27/17 2.300% 1,500,000.000 102.4250 1,536,375.00 N 94974BFD7 WELLS FARGO & COMPANY 05/08/17 2.100% 300,000.000 101.6950 305,085.00 N 02006LFX6 ALLY BANK INTEREST BEARING CER 07/31/17 1.150% 245,000.000 99.1688 242,963.56

TOF DEP

29976DPYO EVERBANK FL INTEREST BEARING C 11/30/17 1.100% 125,000.000 100.2904 125,363.00 ERTOF DEP

89233P7EO TOYOTA MOTOR CREDIT CORP 01/10/18 1.375% 500,000.000 99.4685 497,342.50 N

\ lij9'r. '"'J<05l 0008 ,SO>7 U""2!I57105-OO1Y.l'J.1S '."as-ll010 ,.0"" 01102115 p

Page 4 of 6

CITY OF LOS BANOS Statement Ending: December 31, 2014

Account Number:

Portfolio Holdings (Continued) Security positions hetd with Wells Fargo Securities, LLC

Current Par I Market Market Original Par Security ID Description Maturity Date Coupon Original Par Price* Value PledgedH Callable

Bonds USD

46625HJG6 JPMORGAN CHASE & CO 01/25/18 1.800% 985,000.000 99.9222 984,233.67 N 060624XH1 BANK BARODA NY INTEREST BEAR IN 03/08/18 1.250% 245,000.000 99.0034 242,558.33

GCERTOFDEP 20451PDE3 COMPASS BANK INTEREST BEARING 09/04/18 1,950% 245,000.000 100.0044 245,010.78

CERT OF DEPOSIT 05568P5S2 BMW BK NORTH AMERICA INTEREST 10/11/18 2.050% 245,000.000 100.0379 245,092.86

BEARING CERTIFICATE OF DEPOSIT 36163CFS4 GE CAPITAL BANK INTEREST BEAR I 10/11/18 1.850% 245,000.000 100.0021 245,005.15

NG CERTIFICATE OF DEPOSIT 38147JMY5 GOLDMAN SACHS BK NY INTEREST B 10/16/18 2.050% 245,000.000 99.8718 244,685.91

EARING CERTIFICATE OF DEPOSIT

02587DVB1 AMERICAN EXPR CENTURION INTERE 10/17/18 2.100% 245,000.000 100.0083 245,020.34 ST BEARING CERT OF DEP

17284COY3 CIT BANK INTEREST BEARING CERT 10/17/18 2.000% 245,000.000 99.9722 244,931.89 OFDEP

319141BE6 FIRST BK HIGHLAND PK INTEREST 04/09/19 1.900% 245,000.000 98.9051 242,317.50 Y BEARING CERTIFICATE OF DEPOSIT

06740KGG6 BARCLAYS BANK INTEREST BEARING 04/15/19 1.900% 190,000.000 99.2997 188,669.43 CERTIFICATE OF DEPOSIT

89235MGW5 TOYOTA FINANCIAL SGS BK INTERE 04/17/19 1.900% 245,000.000 98.8785 242,252.33 ST BEARING CERTIFICATE OF DEPO SIT

884130AMO THIRD FEDERAL SAV&LOAN INTERES 04/19/19 1.800% 245,000.000 99.2511 243,165.20 T BEARING CERT OF DEP

856284Y81 ST BK INDIA NY INTEREST BEARIN 07/29/19 2.050% 245,000.000 98.9491 242,425.30 G CERTIFICATE

2546713DO DISCOVER BANK INTEREST BEARING 07/30/19 CERTIFICATE OF DEPOSIT

2.000% 245,000.000 98.9014 242,308.43

795450SCO SALLIE MAE BK INT BEAR CERT OF 07/30/19 2.050% 245,000.000 98.9455 242,416.48 DEPOSIT

87165HCF5 SYNCHRONY BANK INTEREST BEARIN 08/01/19 G CERTIFICATE OF DEPOSIT

2.050% 245,000.000 99.1532 242,925.34

02587CBK5 AMERICAN EXPRESS BK INTEREST B 09/18/19 EARING CERT OF DEP

2.100% 180,000.000 99.2070 178,572.60

CITY OF LOS BANOS Account Number:

Portfolio Holdings (Continued) Security positions held with Wells Fargo Securities, LLC

Current Par I Security 10 Description Maturity Date Coupon Original Par

Bonds USD

11,425,000.000

~See important information regarding security pricing on Page 2.

HTotal amount that is pledged to or held for another party or parties. Refer to the Pledge Detail Report for more information.

Daily Account Activity

Your investment transactions during this statement period.

Settlement / Transaction I Effective Trade Date Date Activity Security 10 Description Farl quantity

Income I Payment Activity USD

12/01/14 12/01/14 Interest

12/01/14 12/01/14 Interest

12/01/14 12/01/14 Interest

12/01/14 12/01(14 Interest

12/12/14 12/12114 Interest

12f15/14 12/15/14 Interest

12f15/14 12/15/14 Interest

12/17f14 12117114 Interest

12117114 12117/14 Interest

12122/14 12/22/14 Interest

12/29/14 12129114 Interest

12/30/14 12/30/14 Interest

Money Market Fund Activity

All transactions are traded at $1.00 per share

WF Adv 100% Treas S 8

*As of December 31,2014

USD

924116AQ9

59012YK71

29976DPYO

74824XCR5

06425BBE8

73565NBD4

344030EB3

52168UBN1

133033DL1

06279lCJ1

773709AM2

74824XCR5

VERMILLION STATE BANK tNT BEAR

MERRICK BANK INT BEARING CERT

EVERBANK FL INTEREST BEARING C

QUEENSBOROUGH NATIONAL B&T CO.

BK OF THE PACIFIC INT BEAR CER

PORT AGE COUNTY BANK lNT BEARrN

FLUSHING SAVINGS BANK INT BEAR

LEADER BANK INT BEARING CERT 0 CAMDEN NATIONAL BANK INTEREST

BANK INTERNET USA INTEREST BE

ROCKLAND TRUST CO INTEREST BEA

QUEENSBOROUGH NATIONAL B&T CO.

Dividend earned this period

0.62

Transaction Date Activity Principal Amount

Beginning Balance

I1B917 101'l-'~' 0008 I~O'., U'ln"~71<15·00031'l-'" 74!18.·0010 <4400 01,0<11, P

Market Price*

7 day* simple yield

0.000%

Price

Page 5 of 6 Statement Ending: December 31, 2014

Market Value

11,581,960.91

Principal Amount

30 day* simple yield

0.000%

Original Par Pledged'"

0.00

Income Amount

302.05

251.71

693.15

195.34

342.33

192.33

382.60

362.47

352.40

382.60

67.40

189.04

Callable

Debit I Credit Amount

302.05

251.71

693.15

195.34

342.33

192.33

382.60

362.47

352.40

382.60

67.40

189.04

Dividend Amount Balance

51,600.69

CITY OF LOS BANOS Account Number:

Money Market Fund Activity (Continued)

Alf transactions are traded at $1. 00 per share

Transaction Date Activit;t

12/01/14 Purchase 12/12/14 Purchase 12/15/14 Purchase 12/17/14 Purchase

12/22/14 Purchase 12/29/14 Purchase

12/30/14 Purchase 12/31/14 Dividend

Ending Balance

Princi~al Amount 1,442.25

342.33 574.93 714.87

382.60 67.40

189.04

Page 6 of 6 Statement Ending: December 31,2014

Dividend Amount Balance 53,042.94 53,385.27

53,960.20 54,675.07 55,057.67 55,125.07 55,314.11

0.62 55,314.73 55,314.73

Business Market Rate Public Funds Account number: • Decemberl,20l4-December3l,20l4. Pagel of3

0394851 AV 0.381 1468819

1111"11.111111111,11"111111""11111"1111111'111111111-1111111 CITY OF LOS BANOS SCHOOL PROJECT 520J ST LOS BANOS CA 93635-4240

Your Business and Wells Fargo

Questions?

Available by phone 24 hours a day, 7 days a week: 1-800-CALL-WELLS (1-800-225-5935)

TTY: 1-800-877-4833 Enespanol: 1-877-337-7454

Online: wellsfargo.com/biz

Write: Wells Fargo 8ank, N.A. (114) p.o. Box 6995 Portland, OR 97228-6995

Don't forget to notify us of your business travel plans to help avoid issues when using your Wells Fargo cards while traveling. It's easy to notify us online at wellsfargo.com/travelplan, through the Wells Fargo mobile app, or by calling the phone number on the back of your card.

Activity summary Beginning balance on 1211

Deposits/Credits

Withdrawals/Debits

Ending balance on 12/31

Average ledger balance this period

Interest summary Interest paid this statement

Average collected balance

Annual percentage yield earned

Interest earned this statement period

Interest paid this year

S25,074.73

0.64

- 0.00

$25,075.37

S25,074.73

SO.64

S25,074.73

0.03%

SO.64

S7.53

Account number:

CITY OF LOS BANOS SCHOOL PROJECT

California account terms and conditions apply

For Direct Deposit use

Routing Number (RTN): 121042882

For Wire Transfers use

Routing Number (RTN): 121000248

o o e c d N o

i z

~ z z z ~

~ z z z o "1 o o N

..

Account number: • December 1,2014· December 31,2014 • Page 2 of 3

Transaction history

Deposits! Date Description Credits

12/31 "w~,,=>~~~!~~,J:~¥!!l~~~~~,_v,~v'c~._.,_~~~,,_o,~~~V'_"_"_' u _ _ • ___ ._~ __ ~~~_, ___ ~ 0.64

Ending balance on 12/31

Totals $0.64

Withdrawals! Ending daily Debits balance

.• _ •...•••••••.• 25,02.",~? 25,075.37

$0.00

The Ending Daily Balance does not refJea any pending withdrawals or holds on deposited funds that may have been outstanding on YOUf account when your transactions posted. If you had insufficient available funds when a transaction posted, fees may have been assessed.

Monthly service fee summary

For a complete list of fees and detailed account information, please see the Wells Fargo Fee and Information Schedule and Account Agreement applicable to your account or talk to a banker. Go to wellsfargo.com/feefaq to find answers to common questions about the monthly service fee on your account.

Fee period ~2/01/2014 - 12/31/2014

How to avoid the monthly service fee Have any ONE of the following account requirements

• Minimum daily balance

• Average collected balance YOIYD

Standard mont~li'.,service fee $10.122 __

Minimum reqUired

$2,500.00 55,000.00

You paid $0.00

This fee period

525,074.73 0 525,075.00 0

Account number: I .• December 1, 2014-December 31 ,2014. Page 3 of3

General statement policies for Wells Fargo Bank

• Notice: Wells Fargo Bank, N.A. may furnish information about accounts belonging to individuals, including sole proprietorships, to consumer reporting agencies. If this applies to you, you have the right to dispute the accuracy· of information that we have reported by writing to us at: Overdraft Collections and Recovery, P.O. Box 5058, Portland, OR 97208-5058.

Account Balance Calculation Worksheet 1. Use the following worksheet to calculate your overall account balance.

2. Go through your register and mark each check. withdrawal,ATM transaction, payment, deposit or other credit listed on your statement. Be sure that your register shows any interest paid into your account and any service charges, automatic payments or ATM transactions withdrawn from your account during this statement period.

3. Use the chart to the right to list any deposits, transfers to your account, outstanding checks, ATM withdrawals, ATM payments or any other withdrawals (indudihg any from previous months) which are listed in your register but not shown on your statement.

ENTER A. The ending balance

shown on your statement. . . . ... . .. . . . . .. ...... $ ______ _

ADD B. Any deposits listed in your

register or transfers into your account which are not shown on your statement.

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CALCULATE THE SUBTOTAL (Add Parts A and B)

SUBTRACT C. The total outstanding checks and

TOTAL $ _____ _

withdrawals from the chart above.. . . . . . . . . . .. - s ______ _

CALCULATE THE ENDING BALANCE (Part A + Part B - Part C)

This amount should be the same as the current balance shown in your check register .............. .

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You must describe the spedfic information that is inaccurate or in dispute and the baSis for any dispute with supporting documentation. In the case of information that relates to an identity theft, you will need to provide us with an identity theft report.

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TO:

FROM:

DATE:

SUBJECT:

rosBanos Agenda Staff Report

Mayor Villa Ita an~ C~y Council Members

Sonya Williams~nce Director

January 21 , 2015

Authorize the City Manager to Execute a Lease Agreement with Merced County Community Action Agency (MCCAA) for Continued Use of the Los Banos Child Development Center

TYPE OF REPORT: Consent Agenda

Recommendation:

Staff recommends that the City Council authorize the City Manager to execute a Lease Agreement between the City of Los Banos as Lessor and the Merced County Community Action Agency Board as Lessee for continues use of the Los Banos Child Development Center.

Discussion:

MCCAA have been tenants of the Child Development Center since November 2007. The facility allows for MCCAA to provide State subsidized care for children of low income families, and can be occupied by up to 96 children. The contract expired at which time the month to month option was utilized to discuss property options, including the sale of the property. The sale of the property is not viable option at this time, therefore the City would like to continue to lease out the building. The proposed increase in the monthly lease payment was discussed and agreed upon with a representative from MCCAA.

Fiscal Impact:

The proposed lease agreement includes a monthly lease payment of $3,500 for a period of five years. The effective date of the lease is February 1, 2015 through January 31, 2020. In addition to the lease payment, MCCAA will pay 85% of water, sewer, refuse collection, pest control services, landscape maintenance, and monitored security system services. MCCAA is responsible for all costs associated with gas, electricity, and telephone services.

Reviewed by:

Steve Carrigan, City Manager

Attachments:

Resolution Lease Agreement

RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LOS BANOS AUTHORIZING THE CITY MANAGER TO EXECUTE A LEASE AGREEMENT WITH MERCED COUNTY COMMUNITY ACTION AGENCY (MCCAA) FOR CONTINUED USE OF THE LOS BANOS CHILD DEVELOPMENT CENTER

WHEREAS, the City of Los Banos is desirous of continued opportunities in early childhood education; and

WHEREAS, the Child Development Center was created to provide opportunities to the local community for affordable childhood education; and

WHEREAS, there has been presented to the City Council of the City of Los Banos a proposal to enter into a Leases Agreement with MCCAA for continued use of the Los Banos Child Development Center; and

WHEREAS, the City Council of the City of Los Banos authorizes the Director of Public Works to implement the terms of the Lease Agreement.

NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Los Banos that it does hereby authorize the City Manager to execute a Lease Agreement with MCCAA for continued use of the Los Banos Child Development Center, and authorize the Director of Public Works to implement the terms of the agreement.

The foregoing resolution was introduced at a regular meeting of the City Council of the City of Los Banos held on the 21 st day of January 2015 by Council Member who moved its adoption, which motion was duly seconded by Council Member and the Resolution adopted by the following vote:

AYES:

NOES:

ABSENT: APPROVED:

Michael Villalta, Mayor ATTEST:

Lucille L. Mallonee, City Clerk

LEASE AGREEMENT BETWEEN THE CITY OF LOS BANOS AS LESSOR AND THE

MERCED COUNTY COMMUNITY ACTION AGENCY BOARD AS LESSEE (the Child Development Center)

Preamble

THIS lEASE is entered into on January 1, 2015 by and between the CITY OF lOS BANOS, a California municipal corporation, (referred to in this lease as "lessor") and the MERCED COUNTY COMMUNITY ACTION AGENCY BOARD, a California nonprofit corporation (referred to in this lease as IILessee").

lessor for and in consideration of the rent to be paid by Lessee and of the covenants and provisions to be kept and performed by lessee under this lease, hereby leases to lessee and lessee agrees to lease from lessor, the following: the real property and improvements commonly known as the Child Development Center located at 1624 San luis Street, in the City of los Banos, County of Merced, California, ("Premises") consisting of approximately 8,500 sq. ft. +/- of indoor space (consisting of - four classrooms, kitchen, office spaces, staff lounge - not including the community recreation wing) and approximately 9,000 sq. ft. +/- of outdoor space (consisting of a playground and playground equipment).

ARTICLE 1. TERM OF LEASE

Section 1.01 Term. The term of this lease is five years and shall commence on February 1, 2015 ("Commencement Date"), and end on January 31, 2020 ("Term"), unless terminated earlier pursuant to the provisions of this lease.

Section 1.02. Holding Over. In the event lessee holds over and continues in possession of the Premises after expiration of the Original Term, lessee's continued occupancy of the Premises shall be considered a month-to-month tenancy subject to all the terms and conditions of this lease.

Section 1.03 Early Termination Option. lessee shall have the right to prematurely terminate this lease (the "Termination Option"), subject to the following terms and conditions:

a) lessee is no longer eligible for grant funding from the State of California, Department of Education as a source of funds for the payment of rent; and

b) lessee shall not be in default under this lease either on the date that Lessee exercises the Termination Option or on the designated Early Termination Date; and

c) lessee must give lessor no less than sixty days advance written notice of lessee's election to exercise this Termination Option ("lessee's Termination Notice"), time being of the essence; and

d) Upon exercise of the Termination Option, lessee shall pay lessor and early termination fee of $5,000.00 (the "Early Termination Fee"). The Early Termination Fee shall be payable in full with delivery of the lessee's Termination Notice. Rent shall thereafter be payable as scheduled through the Early Termination Date.

If lessee properly exercises this Termination Option, and performs all of its obligation through the Early Termination Date, then all Rent payable under this lease shall be paid through and apportioned as of

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the Early Termination Date, the Term of this Lease shall terminate as of the Early Termination Date, and neither party shall thereafter have any further rights or obligation accruing after said Early Termination Date, except those which by the provisions of this Lease expressly survive the expiration of the Lease term.

ARTICLE 2. RENT

Section 2.01. Rent. Lessee agrees to pay to Lessor during the term of this lease rent in the amount of $3,500 per month on the first day of each and every month, commencing on the first day of January 2015.

Section 2.02 Security Deposit. Lessor shall continue to hold the Security Deposit of $5,000.00 without liability for interest and as security for the performance by Lessee of Lessee's covenants and obligations under this Lease, it being expressly understood that Lessee shall not consider the Security Deposit an advance payment of rent or a measure of Lessor's damages in case of default. Unless otherwise provided by law or regulation, Lessor may comingle the Security Deposit with Lessor's other funds. Lessor may, from time to time, without prejudice to any other remedy, use the Security Deposit to the extent necessary to make good any arrearages of rent or to satisfy any other covenant or obligation of Lessee hereunder. Following any such application of the Security Deposit, Lessee shall pay to Lessor on demand the amount so applied in order to restore the Security Deposit to its original amount. If Lessee is not in default at the termination of this Lease, Lessor shall return the balance of the Security Deposit remaining after any such application to Lessee.

ARTICLE 3. USE OF PREMISES

Section 3.01. Permitted Use. During the term of this lease, Lessee shall use the Premises solely for the purpose of providing child care services and parent education meetings and uses ancillary thereto and for no other purpose without the prior written consent of Lessor which shall not be unreasonably withheld. Further, Lessee shall at all times be in compliance with the terms, conditions, requirements of any grant funding, related to the use of the premises, for funding received by Lessor for the construction of the premises including but not limited to CDBG and First Five Funding:

a) CDBG Application - Low-income Access. The CAAB (Community Action Agency Board) shall, throughout its tenancy in the Center, maintain the CDC's services to children from low­income families. (TIG benefit will not be less than 90% at all times)

NOTE: "Low-income families" are those families who live in households with household earnings of 80% or less of Merced County's median income.

b) First Five Agreement - "Provide services to programs, services and activities that will improve the health and well-being of children ages O-S". (Resolution 4388)

Section 3.02. Approvals and Licensing. If any license, permit, or other governmental authorization is required for the services and/or activities provided by Lessee in connection with the use or occupancy of the Premises or any portion of the Premises, Lessee shall procure and maintain said approvals and licenses throughout the term of this lease. Failure to procure an maintain sad approvals and licenses throughout the term of this lease shall be deemed a material breach of the lease. Lessee

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shall notify Lessor immediately upon suspension or revocation of any license, permit, or other governmental authorization.

Section 3.03. Compliance With Laws. Lessee shall, at Lessee's own cost and expense, comply with all statues, ordinances, regulation, and requirements of all governmental entities, both federal, state, county and municipal relating to any use and occupancy of the Premises, whether those statutes, ordinances, regulations, and requirements are now in force or are subsequently enacted. The violation of any such statue, ordinance, regulation, or requirement shall constitute grounds for termination of this lease by Lessor.

Section 3.04. Prohibited Uses. Lessee shall not use or permit the Premises or any portion of the Premises to be improved, developed, used or occupies in any manner or for any purpose that is in any way in violation of any valid law, ordinance, or regulation of any federal, state, county, or local governmental agency, body, or entity. Furthermore, Lessee shall not maintain, commit, or permit the maintenance or commission of any nuisance as now or hereafter defined by an statutory or decisional law applicable to the Premises or any part of the Premises.

Section 3.05. Access to Premises. Lessee, its officers, agents, employees, licensees, volunteers, and invites shall only have access to the premises between 5:00 a.m. and 10:00 p.m. of each day, except as otherwise permitted by Lessor in writing.

ARTICLE 4. UTILITIES

Section 4.01. Utilities. Lessor shall provide water, sewer, refuse collection, pest control services, landscape maintenance, and monitored security system to the entire property including the premises. Lessee shall reimburse Lessor the 85% of the cost of said utilities during the term of this lease. Lessor will bill the Lessee on a monthly basiS for utilities, and will provide backup documentation for all charges as requested. Lessee shall pay all amounts due within thirty days of the date of the invoice. Lessee shall establish gas, electricity and telephone services for the premises and shall pay for such service at its own cost and expense.

ARTICLE 5. MAINTENANCE ALTERATION AND REPAIRS

Section 5.01. Condition of Premises. Lessee accepts the Premises, as well as the Improvements located on the Premises, in their present condition and stipulates with Lessor that the Premises and Improvements are in good, clean, safe, and tenantable condition as of the date of this lease. Lessee further agrees with and represents to Lessor that the Premises have been inspected by Lessee, that it has received assurances acceptable to Lessee by means independent of Lessor or any Lessee as a result of its own inspection and investigation and not as a result of any representations made by Lessor or any agent of Lessor except those expressly set forth in this lease.

Section 5.02. Maintenance by Lessor. (al Lessor shall, at its own cost and expense, maintain in good condition and repair the structural elements of the Building and the electrical, plumbing, heating, ventilation, and air conditioning systems. For purposes of this section, "structural elements" shall mean the exterior roof, exterior walls, structural supports, and foundation of the Building. Lessor shall not be liable for any damages to Lessee or the Premises of Lessee resulting from Lessor's failure to make any repairs required by this section unless written notice of the need for those repairs has been given to Lessor by Lessee and Lessor has failed for a period of 30 days after receipt of the notice, unless

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prevented by causes not the fault of the Lessor, to make the needed repairs. Notwithstanding anything in this section to the contrary, Lessee shall promptly reimburse Lessor for the full cost of any repairs made pursuant to this section required because of the negligence or other fault, other than normal and proper use, of Lessee or its employees or agents. Lessor shall be responsible for maintaining the landscaping, parking lot, and all common areas.

(b) Lessor agrees to indemnify, defend, protect, and hold Lessee free and harmless from and against any liability, claims, or damages arising from or in connection with Lessor's failure to make any repairs required by this section to be made by Lessor or because of any negligence by Lessor in making any repairs required by this section to be made by Lessor.

Section 5.03. Maintenance by Lessee. Lessee shall provide professional interior janitorial services subject to the prior approval of Lessor as to the provider of said services. Lessee shall be responsible for monitoring and maintaining the cleanliness of all outdoor space used by Lessee. Lessee shall at its own cost and expense keep and maintain all portions of the Premises and all Improvements located on the Premises in good order and repair and in as safe and clean a condition as they were when received by Lessee form Lessor, reasonable wear and tear excepted. Lessee's obligation to repair shall specifically include necessary repairs to the interior walls, floor coverings, ceilings, painting and maintenance of interior walls, the playground equipment, the interior and exterior portions of all doors, signs, plate glass, for the Premises.

Section 5.04. Alterations and Liens. Lessee shall not make or permit any other person to make any alterations to the Premises or to any Improvements on the Premises without the prior written consent of Lessor. Lessor shall not unreasonably withhold this consent. Lessee shall keep the premises free and clear from any and all liens, claims, and demands for work performed, materials furnished, or operations conducted on the Premises at the instance or request of Lessee. Furthermore, any and all alterations, additions, improvements, and fixtures, except furniture and trade fixtures, made or placed in or on the Premises by Lessee or any other person shall on expiration or earlier termination of this lease, become the premises of Lessor and remain on the Premises. Lessor shall have the option, however, on expiration or termination of this lease, of requiring Lessee, at Lessee's sole cost and expense, to remove any or all such alterations, additions, improvements, or fixtures from the Premises.

Section 5.05. Inspection by Lessor. Lessee shall permit Lessor or Lessor's agents, representatives, or employees to enter the Premises at all reasonable times for the purpose of inspecting the Premises to determine whether Lessee is complying with the terms of this lease, for the purpose of doing other lawful acts that may be necessary to protect Lessor's interest in the Premises, or for the purpose of performing Lessor's duties under this lease.

ARTICLE 6. INDEMNITY AND INSURANCE

Section 6.01. Indemnification. Lessee shall defend, indemnify, and hold harmless injuries, suits, or judgments from any and all liability for any and all claims, losses, injuries, suits, or judgments filed or brought by any and all persons (including, without limitation, attorney's fees, disbursements and court costs) because of arising from, or resulting from, or in connection with the conduct by Lessee of any program, activity or service in, on or about the premises, or because of or arising from any negligent and or willful act or omission, its principals, officers, agents, employees, volunteers, or subcontractors, or in any way connected with the Premises or with any improvements or personal property on the Premises, or some condition of the Premises or some building or improvement on the Premises. The obligation of

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lessee imposed by this paragraph shall not apply to action or judgment solely attributable to one or more negligent acts or omissions or to willful or intentional misconduct of lessor, its principals, officers, agents, employees, volunteers or subcontractors.

Section 6.02. Public liability and Premises Damage Insurance. lessee shall, at its own cost and expense, procure and maintain during the entire term of this lease public liability insurance and premises damage insurance insuring lessor against loss or liability caused by or connected with lessee's occupation and use of the Premises under this lease in amounts not less than:

a) $1,000,000 for injury to or death of one or more persons as a result of anyone accident or incident; and

b) $1,000,000 for damage to or destruction of any property of others.

The insurance required under this section shall be issued by a responsible insurance company or companies authorized to do business in California and shall be in a form reasonably satisfactory to lessor. lessee shall within 10 days of the date of this lease, deposit with lessor a certificate showing that insurance to be in full force and effect.

Section 6.03. Cancellation Requirements. Each of the insurance policies shall be in a form reasonably satisfactory to lessor and shall carry and endorsement that, before changing or canceling any policy, the issuing insurance company shall give lessor at least 30 days' prior written notice. Duplicate originals or certificates of all such insurance policies shall be delivered to lessor.

ARTICLE 7. DEFAULT, ASSIGNMENT, AND TERMINATION

Section 7.01. Restriction Against Subletting or Assignment. lessee shall not encumber, assign, or otherwise transfer this lease, any right or interest in this lease, or any right or interest in the Premises or any of the Improvements that may now or hereafter be constructed or installed on the Premises without first obtaining the express written consent of lessor. Lessee shall not sublet the Premises or any part of the Premises or allow any other person, other than lessee's agents, servants, and employees, to occupy the Premises or any part of the Premises without the prior written consent of lessor. A consent by lessor to one assignment, one subletting, or one occupation of the Premises by another person shall not e deemed to be a consent to any subsequent assignment, subletting, or occupation of the Premises by another person. Any encumbrance, assignment, subletting without prior written consent of lessor, whether voluntary or involuntary, by operation of law or otherwise, is void and shall, at the option of lessor, terminate this lease. The consent of lessor to any assignment of lessee's interest in this lease or the subletting by lessee of the Premises or parts of the Premises shall not be unreasonably withheld.

Section 7.02. Default Defined. The occurrence of any of the following shall constitute a material default and breach of this lease by lessee:

a) Any failure by lessee to pay the rent or to make any other payment required to be made by lessee under this lease (when that failure continues for 3 days after written notice of the failure is given by lessor to lessee).

b) The abandonment or vacation of the Premises by lessee (the absence of lessee from or the failure by lessee to conduct business on the Premises for a period in excess of 14 consecutive days shall constitute an abandonment or vacation for purposes of this lease).

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c) A failure by Lessee to observe and perform any other provision of this lease to be observed or performed by Lessee, when that failure continues for 30 days after written notice of Lessee's failure is given by Lessor to Lessee; provided, however, that if the nature of that default is such that it cannot reasonably be cured within 30-day period, Lessee shall not be deemed to be in default if Lessee commences that cure within the 30-day period and thereafter diligently prosecutes it to completion.

d) The making by Lessee of any general assignment for the benefit of creditors; the filing by or against Lessee of a petition to have Lessee adjudged a bankrupt or of a petition for reorganization or arrangement under any law relating to bankruptcy (unless, in the case of a petition filed against Lessee, it is dismissed within 60 days); the appointment of a trustee or receiver to take possession of substantially all of Lessee's assets located at the Premises or of Lessee's interest in this lease, when possession is not restored to Lessee within 30 days; or the attachment, execution, or other judicial seizure of substantially all of Lessee's assets located at the Premises or of Lessee's interest in this lease, when that seizure is not discharged within 30 days.

Section 7.04 Lessor's Right to Continue Lease in Effect.

a) If Lessee breaches this lease and abandons the Premises before the natural expiration of the term of this lease, Lessor may continue this lease in effect by not terminating Lessee's right to possession of the Premises, in which event Lessor shall be entitled to enforce all its rights and remedies under this lease, including the right to recover the rent specified in this lease as it becomes due under this lease. For as long as Lessor does not terminate this lease, Lessee shall have the right to assign or sublease the Premises with the Lessor's written consent. Lessor shall not unreasonably withhold consent.

b) No act of Lessor, including but not limited to Lessor's entry on the Premises, efforts to relet the Premises, or maintenance of the Premises, shall be construed as an election to terminate this lease unless a written notice of that intention is given to Lessee or unless the termination of this lease is decreed by a court of competent jurisdiction.

Section 7.05. Lessor's Right to Relet. In the event Lessee breaches this lease, Lessor may enter on and relet the Premises or any part of the Premises to a third party or third parties for any term, at any rental, and on any other terms and conditions that Lessor in its sole discretion may deem advisable, and shall have the right to make alterations and repairs to the Premises. Lessee shall be liable for all of Lessor's costs in reletting, including but not limited to remodeling costs necessitated by any modifications made by Lessee and required for the reletting. In the event Lessor relets the premises, Lessee shall pay all rent due under and at the times specified in this lease, less any amount or amounts actually received by Lessorfrom the reletting.

Section 7.06. Lessor's Right to Cure Lessee Defaults. If Lessee breaches or fails to perform any of the covenants or provisions of this lease, Lessor may, but shall not be required to, cure Lessee's breach. Any sum expended by Lessor, with the then maximum legal rate of interest, shall be reimbursed by Lessee to Lessor with the next due rent payment under this lease.

Section 7.07. Cumulative Remedies. The remedies granted to Lessor in this Article shall not be exclusive but shall be cumulative and in addition to all remedies now or hereafter allowed by law or provided in this lease.

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ARTICLE 8. MISCELLANEOUS

Section 8.01. Discrimination Prohibited. Neither Lessee nor any officer, employee, or agent of Lessee shall discriminate in the employment of persons providing services on the premises in any facility the use of which is authorized by this Agreement on account of race, color, national origin, ancestry, religion, sex, physical handicap, or medical condition, in violation of any federal or state law.

Section 8.02. Force Majeure-Unavoidable Delays. If the performance of any act required by this lease to be performed by either Lessor or Lessee is prevented or delayed by reason of an act of God, strike, lockout, labor troubles, inability to secure materials, restrictive governmental laws or regulations, or any other cause except financial inability that is not the fault of the party required to perform the act, the time for performance of the act will be extended for a period equivalent to the period of delay, and performance of the act during the period of delay will be excused.

Section 8.03. Attorneys' Fees. If any litigation is commenced between the parties to this lease concerning the Premises, this lease, or the rights and duties of either in relation to the Premises or to this lease, the party prevailing in that litigation shall be entitled to, in addition to any other relief that may be granted in the litigation, a reasonable sum as and for its attorneys' fees in that litigation that are determined by the court in that litigation or in a separate action brought for that purpose.

Section 8.04. Notices. Except as otherwise expressly provided by law, any and all notices or other communications required or permitted by this lease or by law to be served on or given to either party to this lease by the other party to this lease shall be in writing and shall be deemed duly served and given when personally delivered to the party to whom they are directed, or in lieu of personal service, when deposited in the United States mail, first-class postage prepaid, addressed to:

Lessor City of Los Banos 520 J Street Los Banos, CA 93635

Lessee Merced County Community Action Agency 1748 Miles Court Merced, CA 95340

Either party, Lessor or Lessee, may change its address for the purpose of this section by giving written notice of that change to the other party in the manner provided in this section.

Section 8.05. Binding on Successors. This lease shall be binding on and shall insure to the benefit of the successors and assigns of Lessor and Lessee, but nothing in this section shall be construed as a consent by Lessor to any assignment of this lease or any interest therein by Lessee except as provided this lease.

Section 8.06. Partial Invalidity. If any provision of this lease is held by a court of competent jurisdiction to be either invalid, void, or unenforceable, the remaining provisions of this lease shall remain in full force and effect unimpaired by the holding.

Section 8.07. Sole and Only Agreement. This instrument constitutes the sole and only agreement between Lessor and Lessee respecting the Premises, the leasing of the Premises to Lessee, or the lease term created under this lease, and correctly sets forth the obligations of Lessor and Lessee to each other as of its date. Any agreements or representations respecting the Premises or their leasing by Lessor to Lessee not expressly set forth in this instrument are null and void.

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Section 8.08. Time of Essence. Time is expressly declared to be of the essence in this lease.

Section 8.09. No Partnership or Joint Venture. Nothing in this lease shall be construed to render Lessor in any way or for any purpose a partner, joint venturer, or associate in any relationship with Lessee other than that of Lessor and Lessee, nor shall this lease be construed to authorize either to act as agent for the other.

IN WITNESS, THEREOF, this agreement was executed by the parties thereto on the date set forth above.

[Signature block begins on next page]

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LESSEE: MERCED COUNTY COMMUNITY ACTION AGENCY BOARD,

BY: ______________ _

Carole Roberds, Board President

LESSOR: CITY OF LOS BANOS,

BY: -----------------Steve Carrigan, City Manager

ATIEST:

Lucille Mallonee, City Clerk

William A. Vaughn City Attorney

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LOS Banos Agenda Staff Report

TO: Mayor Villalta and Council Members

FROM: Stacy Souza Elms, Assistant Planner II ~

DATE: January 21,2015

SUBJECT: Donation/Collection Boxes Ordinance

TYPE OF REPORT: Public Hearing

Recommendation:

Staff Recommends that the City Council:

• Receive presentation of the staff report;

• Open the public hearing and receive public testimony;

• Consider testimony presented at the public hearing, the information in the staff report, and the recommendation of the Planning Commission;

• Adopt Ordinance No. 1126 adding Article 40 of Title 9, Chapter 3 of the Los Banos Municipal Code relating to unattended donation/collection boxes.

Background:

The proposed Ordinance came before the Los Banos City Council at the January 7, 2015 public hearing at which time the City Council waived the first reading or Ordinance No. 1126 and introduced the Ordinance by title. The City Council at the meeting approved to regulate the placement of unattended donation/collection boxes within the City of Los Banos.

Discussion:

Unattended donation boxes can be found throughout the city. The lack of regulations on unattended donation boxes has resulted in unwanted and negative impacts affecting the community of Los Banos. Code Enforcement staff has reported that unattended donation boxes have also become a target for scavengers and for illegal dumping, which is harmful to surrounding businesses. The mess resulting from scavenging and illegal dumping is not only unsightly and detrimental to surrounding businesses but has the potential for creating potential health and safety concems. It has also come to the attention of the City that donation boxes have been placed on private property without the property owner's consent.

Staff is unaware of any surrounding jurisdictions who have adopted ordinances to address the placement of donation boxes.

In July 2010, the state enacted Assembly Bill (AB) 918 which amended portions of the Welfare and Institutions Code (See Attachment A) in an effort to regulate unattended donation boxes, and to provide consumers information regarding how their donations would be used. The law required, among other disclosures, that unattended donation boxes provide a written display of the organization which benefits from the donation and whether or not it is a non-profit entity. Importantly, the law did not limit the ability of local municipalities to place further restrictions on the bins.

Ordinance Development

The significant provisions of the proposed Ordinance are outlined below:

• Permit. An administrative permit issued by the Community and Economic Development Department shall be required before placement on any property.

• Property Owner Consent. The permittee of the unattended donation box must have written consent of the owner of the real property on which the box will be placed.

• Permit Fee. Each initial application will be accompanied by a nonrefundable fee of $180 to cover the cost of analyzing and processing the initial application. Each renewal thereafter would be accompanied by a processing fee of $50.

• Renewal. Permit valid for one year, permittee must reapply for a renewal of the permit prior to expiration.

• Revocation and Nuisance Abatement. Failure to comply with the terms of the permit or other provisions of the code shall be grounds for revocation of the permit and require removal of the donation box.

• Location and Concentration and Zoning District.

Not allowed in residential districts. Limit to the number of boxes per parcel of real property. Not located within 400 feet of any other unattended donation box. Not placed on required parking spaces. Not placed in a location that would pose a traffic/visibility line of sight concern. Location of box would not impede bicycle or pedestrian traffic.

• Size. Standard size - for example not to exceed 4x4x6 without administrative approval.

• Maintenance. Must be in good condition and appearance, free of junk, garbage, trash, debris, and graffiti. Must be locked and secured and emptied at least once every 30 days.

• Appeal. Anyone in disagreement with the decision to grant or deny the application for Unattended Donation Boxes may appeal the decision to the City Manager within ten (10) days after receiving notice of decision from the Community & Economic Development.

Ordinance Implementation

Staff recommends that within a time period to be specified in the Ordinance, all persons having an unattended donation box on their property apply for a permit. Unattended donation boxes not having the required permit would be cited for action by Code Enforcement. Staff recommends this approach as the precise number and location of the boxes is unknown; therefore, allowing pre-existing uses to continue would make enforcement nearly impossible as the City would not be able to determine which donation boxes were placed prior to the adoption of the Ordinance.

Existing Collection Bin Locations

Business Name Address 1. Town & Country Liquor 1248 E. Pacheco Blvd. 2. Mi Barrio Food & Gas Mart 403 N. Mercey Springs Rd. 3. New Life Community Church 1230 Overland Avenue 4. Los Banos Donut Shop 609 W. Pacheco Blvd. 5. Papa Murphy's Take-n-Bake 603 Pacheco Blvd. 6. L&L Landscaping 1310 Ward Rd. 7. La Bodega Bay Furniture 2225 E. Pacheco Blvd. 8. EI Grullense, Jal. 1024 E. Pacheco Blvd. 9. Sherwood Grain 500 Mercey Springs Rd. 10. George Allen Construction *21520 HWV 152

*Outside City Limits

i

Reviewed by:

Steve Carrigan, City Manager

Attachments:

1. Ordinance No. 1126 2. Public Hearing Notice

ORDINANCE NO. 1126

AN ORDINANCE OF THE CITY OF LOS BANOS ADDING ARTICLE 40 CHAPTER 3 TO TITLE 9 OF THE LOS BANOS MUNICIPAL CODE RELATING TO UNATTENDED DONATION/COLLECTION BOXES

WHEREAS, The Planning Commission directed the Community Development Department to prepare a proposed ordinance to provide for regulation of unattended donation/collection boxes within the City of Los Banos;

WHEREAS, the Planning Commission conducted a duly noticed public hearing on the proposed ordinance on November 12, 2014 and December 10, 2014, at which time all individuals desiring to comment on the proposed ordinance were heard and on November 12, 2014 and on December 10, 2014 the Planning Commission recommended that the City Council adopt the proposed ordinance adding Article 40 to Chapter 3 Title 9 of the Los Banos Municipal Code;

WHEREAS, the City Council conducted a duly noticed public hearing on the recommended changes to the Zoning Code on January 7, 2015 and January 21, 2015 at which time all individuals desiring to comment on the proposed amendments were heard.

THE CITY COUNCIL OF THE CITY OF LOS BANOS DOES ORDAIN AS FOLLOWS:

Section 1. Article 40, "Regulation of Unattended Donation/Collection Boxes," is hereby added to Chapter 3 Title 9 of the Los Banos Municipal Code to read as follows:

Article 40. Regulation of Unattended Donation/Collection Boxes

9-3.4001 Purpose and Intent. 9-3.4002 Definitions. 9-3.4003 Permits. 9-3.4004 Renewal of Permits. 9-3.4005 Requirements and Maintenance. 9-3.4006 Revocation of Permits, Removal of Unattended Donation/Collection Boxes and Liability. 9-3.4007 Violation - Penalty. 9-3.4008 Appeal to City Manager. 9-3.4009 Administrative Fees. 9-3.4010 Exemption.

Sec. 9-3.4001 Purpose and Intent. The purpose of this Article is to regulate the placement of Unattended Donation/Collection Boxes within the City. The procedures and requirements of this Article are enacted to:

A. Promote the community'S health, safety, and welfare by regulating Unattended Donation/Collection Boxes for clothing or other salvageable personal property within the City;

B. Ensure that Unattended Donation/Collection Boxes do not pose a hazard to pedestrian and vehicular traffic;

C. Ensure that material is not allowed to accumulate outside of the Unattended Donation/Collection Boxes where it can be scattered by adverse weather conditions, animal contacts or human activities; and

D. Establish criteria that avoid attracting vermin, unsightliness, and public health hazard.

Sec. 9-3.4002 Definitions.

A. A "Commercial Fundraiser" is a person or corporation paid by a charity to raise money on the charity's behalf as defined in Govemment Code 12S99(a).

B. "Director" means Director of the Community Development Department or designee.

C. "Nonprofit organization" means an organization that is exempt from taxation pursuant to Section SOl(c)(3) or SOl(c)(4) ofthe United States Internal Revenue Code.

D. "Operator" means a person, entity, association or organization who places, maintains or operates Unattended Donation/Collection Box(es) to solicit the donation or collection of salvageable personal property.

E. "Permittee" means the Property Owner or Operator who is issued a permit authorizing the placement of Unattended Donation/Collection Box(es).

F. "Property Owner" means the person, entity, association or organization who owns the real property where the Unattended Donation/Collection Boxes are or are proposed to be located.

G. "Residential District" includes residential zoning districts as established pursuant to Title 9 Chapter 3 of this Code.

H. "Unattended Donation/Collection Box" means any unattended container, receptacle, or similar device that is located on any property within the City used for soliciting and collecting donations of clothing or other salvageable personal property. This term does not include recycle bins for the collection of recyclable materials governed or regulated by this Code.

Sec. 9-3.4003 Permits.

A. Unless otherwise exempt, it shall be unlawful and a public nuisance for any Property Owner or Operator to place, operate, maintain or allow Unattended Donation/Collection Box(es) on real property unless the Property Owner or Operator first obtains a permit pursuant to this Article and the Unattended Donation/Collection Box is placed, operated and maintained in accordance with all provisions in this Article.

B. One (1) permit application per parcel shall be completed and filed, listing all Unattended Donation/Collection Box locations on the parcel. The permit application shall be made on a form provided by the Director and shall include the following information:

I. The name, address, email, website (if available) and telephone number of the applicant;

2. The name, address, email, website (if available) and telephone number of the Operator of the Unattended Donation/Collection Box;

3. The name, address, email, website (if available) and telephone number of the Property Owner of the parcel on which each Unattended Donation/Collection Box is located;

4. The name, address, email, website (if available) and telephone number of the person who is responsible for maintaining each Unattended Donation/Collection Box;

5. A signed notarized statement from the property owner or the property owner's agent of the parcel consenting to the placement of the Unattended Donation/Collection Box on the property;

6. The marmer in which the donated items will be used, sold, disposed of; whether the donated items will be used for charitable purposes and if so, a description of those charitable purposes;

7. If the Operator will be soliciting donations for charitable purposes written proof sufficient to establish that the Operator who will utilize the Unattended Donation/Collection Box is qualified to solicit donations of salvageable personal property pursuant to California Welfare and Institutions Code section 148.3, as amended;

8. The outside dimensions of the Unattended Donation Box/Collection Box not to exceed 4ft by 4ft by 6ft;

9. The text of the disclosures that will be made on the Unattended Donation/Collection Box as required by Section 9-3.4005A(4) and (5); and

10. The physical address of the real property and a drawing sufficient to indicate the proposed location of the Unattended Donation/Collection Box on the real property, as well as the size of the proposed Unattended Donation /Collection Box( es).

C. Each application shall be accompanied by a nonrefundable fee in the amount established by Resolution of the City Council. This fee shall be in addition to any fee or tax imposed by the City pursuant to any other provision of this Code.

D. Applications shall be filed with the Director.

E. Within thirty (30) days of receiving a completed application, the Director shall issue a permit or deny the issuance of a permit.

F. The Director shall not issue a permit unless:

1. The Property Owner has submitted a complete and accurate application accompanied by the applicable fee;

2. The proposed Unattended Donation/Collection Box is in compliance with all the requirements of this Article; and

3. The proposed location and placement of the Unattended Donation/Collection Box on the real property is in compliance with all applicable zoning and building regulations; this municipal code; State laws; and will not impede pedestrian, bicycle, site distances on to adjacent streets or vehicular traffic.

G. If the Director denies an application the Director shall provide the applicant, in writing, the specific reasons for denial.

H. A permit issued hereunder shall be valid for a maximum of three Unattended Donation/Collection Boxes per parcel of property. Each parcel of property where an Unattended Donation/Collection Box is located shall have its own individual permit.

1. The term of the permit shall expire one year from the date of issuance.

J. No person or Operator to whom a permit has been issued shall transfer, assign, or convey such permit to another person or Operator.

K. Prior to expiration of the permit, the Permittee may voluntarily cancel the permit by notifying the Director in writing of the intent to cancel the permit. The permit shall become void upon the Director's receipt of a written notice of intent to cancel the permit.

Sec. 9-3.4004 Renewal of Permits.

A. A Permittee may apply for permit renewal by submitting to the Director, before the expiration of the permit, a renewal application and a non-refundable renewal fee in an amount set by Resolution of the City Council.

B. The Director shall either approve or deny the renewal of a permit within thirty (30) days of receipt of the complete renewal application and payment of the renewal fee.

C. The Director shall approve the renewal of a permit if he or she finds that no circumstances existed during the term of the permit, existed at the time of submission of an application for renewal, or existed at any time during the review of the application for renewal, that are inconsistent with any finding required for approval of a new permit as specified in Section 9-3.4003, or that would justiJY the revocation of the permit as specified in Section 9-3.4006.

Sec. 9-3.4005 Requirements and Maintenance.

A. The Permittee and Operator shall be individually and severally responsible for operating and maintaining, or causing to be operated and maintained, all Unattended Donation/Collection Boxes located in the City as follows:

I. Unattended Donation/Collection Boxes shall be maintained in good condition and appearance with no structural damage, holes, or visible rust, and shall be free of graffiti;

2. Unattended Donation/Collection Boxes shall be no more than 4ft by 4ft by 6ft;

3. Unattended Donation/Collection Boxes shall be locked or otherwise secured;

4. Unattended Donation/Collection Boxes shall contain the following contact information in two inch type visible from the front of each Unattended Donation/Collection Box: the name, address, email, and phone number of both the Permittee and Operator;

5. The front of every Unattended Donation/Collection Box shall display conspicuously a statement in at least two-inch font that either reads, "This collection box is owned and operated by a for-profit organization." or "This collection box is owned and operated by a nonprofit organization." For purposes of this Article, a commercial fundraiser shall be classified as a for­profit organization. The Unattended Donation/collection Box shall be marked clearly to identify the type of salvageable materials to be deposited.

(a) If the Unattended Donation/Collection Box is owned by a nonprofit organization, the front of the Unattended Donation/Collection Box shall also conspicuously display a statement describing the charitable cause that will benefit from the items donated.

(b) If the Unattended Donation/Collection Box is owned by a for-profit entity, the front of the Unattended Donation/Collection Box shall also conspicuously display a statement that reads "This collection is not tax deductible." If the Unattended Collection Box is owned and operated by a commercial fundraiser, the commercial fundraiser may post notice of collections to a charitable cause only on the sides of the box. This notice shall always be smaller in size than the for-profit entity's name and address and shall constitute only 25 percent of the notice space of the box.

6. The Permitee and Operator shall place a copy ofthe permit in a prominent and visible location in the front of the box in plain view for inspection by the public and City officials.

7. Unattended Donation/Collection Boxes shall be serviced and emptied as needed, but at least once per month, or within five (5) business days of a request by the Director.

B. The Permittee and Operator shall be individually and severally responsible for maintaining, or causing to be maintained, the area surrounding the Unattended Donation/Collection Boxes free of any junk, garbage, trash, debris or other refuse material.

C. The Permittee and Operator shall be individually and severally responsible for abating and removing all junk, garbage, trash, debris and other refuse material in the area surrounding the Unattended Donation/Collection Boxes within 24 hours of written or verbal notice from the City.

D. The Permittee and Operator shall be individually and severally responsible for all costs for abating and removing any junk, garbage, trash, debris and other refuse material from the area surrounding the Unattended Donation/Collection Boxes.

E. It shall be unlawful for any Property Owner or Operator to place an Unattended Donation/Collection Box in any Residential District.

F. No Unattended Donation/Collection Box location shall be placed within 400 feet from another Unattended Donation/Collection Box location.

G. No Unattended Donation/Collection Box shall be placed on required parking spaces, or within five (5') feet of the public right of way, or within any corner vision triangle, and shall not constitute a traffic hazard.

H. No more than three (3) Unattended Donation/Collection Boxes shall be placed on each parcel ofreal property.

I. Failure to maintain an Unattended Donation/Collection Box in accordance with this section is a public nuisance.

Sec. 9-3.4006 Revocation of Permit, Removal of Unattended Donation/Collection Boxes and Liability. The Director shall have the right to revoke any permit issued hereunder if any of the grounds to refuse issuance of the initial permit exists. In addition, the failure of the Permittee to comply with the provisions of this Article, or other provisions of this Code or other law, shall also constitute grounds for revocation of the permit. The Director shall provide a written notification to the Permittee stating the specific grounds for revocation. Upon revocation, the Unattended Donation/Collection Box shall be removed from the Permittee's real property within thirty (30) calendar days and, if not removed within this time period, the City may remove, store and dispose of the Unattended Donation/Collection Box at the Permittee's sole cost and expense. Upon revocation, a Permittee shall be prohibited from applying for a permit for a period of one year. Any violation of the provisions of this Article is a public nuisance subject to abatement pursuant to this Code or as otherwise permitted by law.

Sec. 9-3.4007 Violation - Penalty. In addition to any other remedy or penalty set forth in this Article or this Code, administrative penalties may be imposed pursuant to applicable provisions of Chapter 11 Title 4 of this Code against any responsible party, in violation of any of the provisions of this Article. Imposition, enforcement, collection and administrative review of administrative penalties imposed shall be conducted pursuant to Chapter 11 Title 4 of this Code. Nothing in this Article shall limit the City from using any remedy legally available for violations of this Article

Sec. 9-3.4008 Appeal to City Manager. Any person aggrieved by the decision rendered by the Director in granting or denying an application for a permit under this Article, or in revoking or refusing to renew a permit issued hereunder, may appeal the decision to the City Manager. The appeal shall be made by filing a written notice thereof with the City Clerk not later than ten (10) calendar days after receiving notice of the decision of the Director. The City Manager shall hold a hearing on the appeal within thirty (30) calendar days. The City Manager's decision shall be final.

Sec. 9-3.4009 Administrative Fees. The City council may by Resolution establish reasonable fees and deposits to defray the cost of processing applications, proposals and for the administration of this Ordinance.

Sec. 9-3.4010 Exemption. Unattended Donation/Collection Boxes located entirely within the interior of a building are exempt from the requirements of this Chapter.

Section 2. The provisions of this Article as enacted in this Ordinance shall apply to all unattended donation boxes located within the City of Los Banos as of the effective date of this Ordinance. All persons who have one or more Unattended Donation/Collection Boxes located on

their real property as of the effective date of this Ordinance shall have sixty (60) days from that date to file an application for a permit as provided for in this Article. Any person who has filed a timely application for a permit shall not be subject to the provisions of this Article relating to Unattended Donation/Collection Boxes until a permit is issued or denied to the applicant.

Section 3. To the extent that the terms and provisions of this Ordinance may be inconsistent or in conflict with the terms or conditions of any prior City ordinance, motion, resolution, rule or regulation governing the same subject, the terms of this Ordinance shall prevail with respect to the subject matter thereof and such inconsistent or conflicting provisions of prior ordinances, motions, resolutions, rules or regulations are hereby repealed.

Section 4. If any section, subsection, subdivision, paragraph, sentence, clause or phrase added by this Ordinance, or any part thereof, is for any reason held to be unconstitutional or invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the validity or effectiveness of the remaining portions of this Ordinance or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof irrespective of the fact that anyone or more subsections, subdivisions, paragraphs, sentences, clauses or phrases are declared unconstitutional, invalid or ineffective.

Section 5. This Ordinance shall go into effect and be in full force and operation thirty (30) days after its final passage and adoption. The City Clerk shall certiJY to the adoption of this Ordinance and cause the same to be posted and published once within fifteen days after passage and adoption as may be required by law; or, in the alternative the City Clerk may cause to be published a summary of this Ordinance and a certified copy of the text of this Ordinance shall be posted in the Office of the City Clerk five days prior to the date of adoption of this Ordinance; and, within fifteen days after adoption, the City Clerk shall cause to be published, the aforementioned summary and shall post a certified copy of this Ordinance, together with the vote for and against the same, in the Office of the City Clerk.

Introduced by Council Member Faria and seconded by Council Member Stonegrove on the 7'h day of January, 2015.

Passed on the __ day of ____ -', 2015 by the following vote:

AYES: Council Members NOES: ABSENT:

APPROVED:

Michael Villalta, Mayor

ATTEST:

Lucille L. Mallonee, City Clerk

LOS Banos COMMUNITY AND ECONOMIC DEVELOPMENT

DEPARTMENT

Date: December 26, 2014

Regarding: Notice of Public Hearing

Proposal: Proposed Ordinance - Donation/Collection Boxes

NOTICE IS HEREBY GIVEN THAT a Public Hearing will be held by the Los Banos City Council to consider adopting an ordinance to regulate unattended donation/collection boxes in an attempt to reduce or eliminate negative impacts of their use in the City of Los Banos.

The Los Banos Planning Commission held a public hearing on December 10, 2014 for the purpose of considering the above mentioned ordinance. At the completion of the public hearing, the Planning Commission recommended approval of the proposed ordinance for donation/collection boxes to the Los Banos City Council.

A PUBLIC HEARING on this matter will be held at the next scheduled meeting of the Los Banos City Council on Wednesday, January 7, 2015 at 7:00 p.m. in the Council Chambers of Los Banos City Hall located at 520 "J" Street. Questions regarding the above-referenced item may be directed to Stacy Souza Elms, Assistant Planner II, at City Hall or at (209) 827-7000, Ext.133.

Persons wishing to provide oral comments on the described proposal may do so at this meeting or may provide written comments on this matter prior to the public meeting. Written comments may be sent by U.S. Mail or hand delivered to the City of Los Banos City Hall at 520 "J" Street, Los Banos, California 93635. If no comments are received prior to or on the above date, it will be assumed that no comments are being offered. The public is also informed that should this matter, at some future date go to court, court testimony is limited to only those issues raised at the hearings per Government Code Section 65009.

THE CITY OF LOS BANOS

Stacy Souza Elms Assistant Planner II

LOS Banos Agenda Staff Report

TO: Mayor and City Council Members

FROM: Lucy Mallonee, City Clerk 9"'" William A. Vaughn, City Attorney

DATE: January 21, 2015

SUBJECT: Complimentary Ticket Distribution Policy

TYPE OF REPORT: Agenda

RECOMMENDATION

That the City Council adopts Resolution No. __ , approving a City Council Policy __ regarding distribution of complimentary tickets and passes pursuant to FPPC Regulation 18944.1.

BACKGROUND

The Fair Political Practices Commission ("FPPC") adopts regulations that implement the Political Reform Act ("Act"). Under the Act, gifts to a public official that exceed $50 in value are required to be reported on an official's annual Statement of Economic Interests (commonly known as a "Form 700") and an official may not accept gifts that exceed $440 from a single source in a calendar year (2013-2014).

Regulation 18944.1 describes the circumstances when the distribution of tickets or passes to a City Official does not result in a gift to the City Official who accepts the ticket or pass. FPPC Regulation 18944.1 provides that when a state or local agency distributes a ticket or pass (i.e., admission to a facility, event, show or performance for entertaiument, amusement, recreational or similar purposes) to an official of that agency and said official uses the ticket or pass, such ticket or pass does not have to be reported as a gift and is not subject to the annual gift limit if one or more of the following conditions apply:

I. The ticket or pass is provided to the official for an event at which the official performs a ceremonial role or function.

2. The ticket or pass is given gratuitously to an agency and is then distributed to an official or employee for his or her personal use, if all of the following apply:

a. The original source of the ticket or pass was not earmarked for use by particular agency officials; b. The agency determines in its sole discretion who may use the ticket or pass; and c. The distribution of the ticket or pass by the agency is made in accordance with an adopted policy, which permits distribution when it furthers a specific governmental or public purpose.

3. The agency obtains the ticket or pass: (i) pursuant to the terms of a contract for use of public property; (ii) because the agency controls the event or venue; or (iii) through purchase at fair market value and then distributes to an official for his or her use in accordance with an adopted policy, which permits distribution to accomplish a specific governmental or public purpose.

If a local agency wishes to take advantage of the exception to the gift rules identified under scenarios 2 or 3, above, the FPPC requires the legislative body of the local agency to adopt a written policy governing the distribution of "complimentary tickets or passes."

DISCUSSION

The Policy would apply to every officer, agent and employee of the City who is obligated to file an Annual Statement of Economic Interests ("FPPC Form 700") under state law or the City's current Conflict of Interest Code. In general, the Policy governs the distribution of all tickets or passes received by the City that provide admission to a facility, event, show, or performance for an entertainment, amusement, recreational or similar purpose.

Section 6 of the Policy identifies the permissible public purposes for distributing tickets or passes to City Officials. These public purposes include, for example, economic development, promotion of City-run community events or resources, encouraging or rewarding volunteer public service or achievement by City residents, and recognition of City employees. Additionally, the Policy also authorizes the distribution of tickets or passes to the family, including spouses and dependent children, of the City Official.

The Policy establishes the City Manager, or his designee, to serve as the Ticket Administrator. The Ticket Administrator is responsible for distributing complimentary tickets consistent with the Policy and documenting and use of complimentary tickets.

Note that the Policy does not apply to tickets provided to City Officials directly by third parties, and therefore those tickets must be disclosed on the FPPC Form 700.

FPPC Regulation 18944.1 also requires that the City document the distribution and use of complimentary tickets on FPPC Form 802 (Tickets Provided by Agency Report) ("FPPC Form 802"). FPPC Form 802 is also used to report admission to events for individuals who perform ceremonial roles. FPPC Form 802 requires identifying information regarding the agency, the organization distributing the tickets or passes, a description of the event, the officials and/or organizations or individuals receiving the complimentary tickets or passes, the number of tickets received, the face value of each ticket or pass, and the specific governmental or public purpose for which the distribution was made. The City must complete and post the FPPC Form 802 on its website within thirty (30) days of distributing the ticket or pass.

When this Policy is followed and a FPPC Form 802 is completed, City Officials are exempt from the gift limit and do not need to report the tickets or passes on the City Official's FPPC Form 700.

RESOLUTION NO. __

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LOS BANOS, CALIFORNIA, ESTABLISHING A

COMPLIMENTARY TICKET DISTRIBUTION POLICY

WHEREAS, from time to time, the City of Los Banos ("City") may receive complimentary tickets or passes from public and private entities and individuals, or pursuant to the City's co-sponsorship of an event, or may purchase tickets or passes for both public and private events for distribution to city officials, to further governmental and public purposes, such as the promotion of City businesses, resources, programs, facilities and intergovernmental relations; and

WHEREAS, Fair Political Practices Commission Regulation 18944.1 describes the circumstances in which the distribution of tickets or passes to a city official does not result in a gift to the city official who accepts such ticket or pass; and,

WHEREAS, in order not to be considered a gift to the city official any distribution of tickets and/or passes to, or at the behest of, City officials must be made pursuant to a duly adopted written policy governing the distribution of complimentary tickets or passes; and

WHEREAS, the City Council of the City of Los Banos wishes to establish a written policy setting forth procedures and guidelines regarding the distribution of complimentary tickets or passes.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Los Banos, California, as follows:

SECTION 1. That the Policy attached hereto as Exhibit A, and incorporated herein by this reference, as if fully set forth, entitled "Complimentary Ticket Distribution Policy" is approved.

SECTION 2. This resolution shall be effective immediately upon adoption.

SECTION 3. That the City Council of the City of Los Banos hereby directs the City Clerk to post the Ticket Policy in a prominent fashion on the City's website, consistent with the requirements of California Code of Regulations Section 18944.1.

The foregoing Resolution was introduced at a regular meeting of the City Council of the city of Los Banos held on this __ day of 2015, by Council person , who moved its adoption, which motion was duly seconded by Council person , and the Resolution was adopted by the following vote:

AYES:

NOES:

ABSENT:

Michael Villalta, Mayor

ATTEST:

Lucille L. Mallonee, City Clerk

Exhibit "A" to City Council Resolution No. -,----.,._ Policy Regarding Complimentary Ticket Distribution

POLICY REGARDING COMPLIMENTARY TICKET DISTRIBUTION

CITY OF LOS BANOS

Section 1. PURPOSE OF POLICY

The purpose of this policy is to establish a fair and equitable process for the distribution of complimentary tickets or passes provided to the City in compliance with the requirements of Section 18944. I of the Fair Political Practices Commission Regulations. This Policy is subject to the California Political Reform Act of 1974, Government Code § 81000, et seq. (the Political Reform Act) and the Fair Political Practices Commission ("FPPC") Regulations, Title 2, Division 6 of the California Code of Regulations, Sections 18110 et seq. (FPPC Regulations), as they now exist or may hereafter be added or amended.

Section 2. DEFINITIONS.

Unless otherwise expressly provided herein, words and terms used in this Policy shall have the same meaning as that ascribed to such words and terms in the Political Reform Act and the FPPC Regulations, as the same may from time to time be amended.

"Behest" shall mean an authoritative request.

"City" shall mean and include the City of Los Banos, and any other affiliated agency created or activated by the Los Banos City Council, and any departments, boards and commissions thereof.

"City Official" shall mean every officer, agent, and employee of the City who is obligated to file an Annual Statement of Economic Interests (FPPC Form 700) under state law or the City's current conflict of interest code.

"City Venue" shall mean and refer to any facility owned, controlled, or operated by the City.

"FPPC" shall mean and refer to the California Fair Political Practices Commission.

"Immediate family" shall mean and refer to the spouse and dependent children of the City Official. The term spouse includes registered domestic partners recognized by state law and dependent children shall mean a child, including an adoptive child or stepchild, of a City Official who is under 18 years old and who the City Official is entitled to claim as a dependent on his or her federal tax return.

"Family" means spouse, registered domestic partner, children and dependent children as defined in FPPC Regulation 18943.

"Policy" shall mean and refer to this Policy Regarding the Distribution of Complimentary Tickets and Passes Pursuant to FPPC Regulation 18944.1.

"Ticket" shall mean and refer to a "ticket or pass" as that term is defined in FPPC Regulation 18944.1, as amended from time to time, but which currently defines a "ticket or pass" as admission to a facility, event, show or performance for an entertainment, amusement, recreational, or similar purpose.

Section 3. APPLICATION OF POLICY.

A. This Policy applies to the distribution of all Tickets received by the City that provide admission to a facility, event, show, or performance for an entertainment, amusement, recreational or similar purpose.

B. This policy shall be applicable to every officer, agent, and employee of the City who is obligated to file an Annual Statement of Economic Interests (Form 700) under state law or the City's current Conflict ofInterest Code.

C. This Policy governs the distribution of complimentary Tickets received by the City that are either:

I. Gratuitously provided to the City by an outside source; 2. Acquired by the City by purchase for fair market value; 3. Acquired by the City as consideration pursuant to the terms of a contract for the use of a city venue or because the City controls the event; 4. Acquired and distributed by the City in any other manner.

D. This Policy does not apply to:

I. Any other item of value provided to the City or any City Official, regardless of whether received gratuitously or for which consideration is provided. 2. Tickets provided by sources other than the City. 3. A Ticket received by a City Official from the City where both the City Official and the City treat and report the value of the Ticket as income consistent with applicable state and federal income tax laws and the Ticket is reported as income pursuant to the provisions of this Policy. 4. Tickets distributed by the City for which the City receives reimbursement from the City Official shall not be subject to the disclosure provisions set forth herein.

E. Official Duties; Ceremonial Roles. A ticket provided to a City Official and one guest of the official at an event as described in Section 18942(12) at which the official performs a ceremonial role on behalf of the City is not a gift as long as the City Official complies with the posting and disclosure requirements as provided in this Policy.

Section 4. GENERAL PROVISIONS.

A. No Right to Tickets: The use of complimentary Tickets is a privilege extended by the City and not the right of any person to which the privilege may from time to time be extended.

B. Limitation on Transfer of Tickets: Tickets distributed to a City Official pursuant to this Policy shall not be transferred to any other person, except to members of such City Official's immediate family solely for their attendance at the event. If a City Official transfers a Ticket he or she has received from the City to another person (except as otherwise provided for herein), as opposed to returning the Ticket to the City for redistribution, then the value of the Ticket or Tickets he or she transfers shall constitute a gift to him or her and shall be reportable as provided by the regulations of the FPPC.

C. Prohibition Against Sale of or Receiving Reimbursement for Tickets: No person who receives a Ticket pursuant to this policy shall sell or receive reimbursement for the value of such Ticket.

D. This policy does not generally apply to political or non-profit fundraisers which are governed by FPPC Regulation 18946.4.

E. Tickets received or directed for use by a City Official not in conformance with this policy remain subject to separate disclosure requirements and the annual gift limit under the California Political Reform Act and related regulations unless otherwise exempted or excluded under state law.

Section 5. TICKET ADMINISTRATOR.

A. The City Council delegates the authority to the City Manager or his/her designee to be the Ticket Administrator for purposes of implementing the provisions of this Policy.

B. The Ticket Administrator shall have the authority, in his or her sole discretion, to establish procedures for the distribution of Tickets in accordance with this Policy. Such authority includes the power to distribute such a Ticket to the City Manager provided that doing so is otherwise consistent with this Policy. All requests for Tickets that fall within the scope of this Policy shall be made in accordance with the procedures established by the Ticket Administrator.

C. The Ticket Administrator shall determine the face value of Tickets distributed by the City for purposes of this Policy.

D. The Ticket Administrator, in his or her sole discretion, may revoke or suspend the Ticket privileges of any person who violates any provision of this Policy or the procedures established by the Ticket Administrator for the distribution of Tickets.

E. For the purpose of implementing this policy, and completing and posting the FPPC California Form 802, the Ticket Administrator shall be the "Agency Head."

Section 6. CONDITIONS UNDER WHICH TICKETS MAY BE DISTRIBUTED.

Subject to the provisions of this Policy, the Ticket Administrator may distribute complimentary Tickets to City Officials under anyone of the following conditions:

A. The City Official reimburses the City for the face value of the Ticket(s).

B. The City Official treats the Ticket( s) as income consistent with applicable federal and state income tax laws and the Ticket(s) are reported as income pursuant to the provisions of this Policy.

C. The distribution of the Ticket( s) to, or at the behest of, the City Official accomplishes or furthers one or more of the following governmental and/or public purposes:

1. Promotion of intergovernmental relations and/or cooperation and coordination of resources with other governmental agencies, including, but not limited to, attendance at an event with or by elected or appointed public officials from other jurisdictions, their staff members and their guests. 2. Promotion or fostering of economic or business development purposes on behalf of the City. 3. Promotion of City resources and/or facilities available to Los Banos residents. 4. Promotion of City-run, sponsored or supported community events, activities, or programs. 5. Promotion of special events under any City contract or agreement, including but not limited to sport and athletic events. 6. Promoting, supporting, and/or showing appreciation for programs or services rendered by charitable and non-profit organizations benefiting Los Banos residents .. 7. Promotion of City tourism on a local, state, national or worldwide scale. 8. Business retention or attraction on a local, state, national or worldwide scale. 9. Promotion of City recognition, visibility, andlor profile on a local, state, national or worldwide scale. 10. Encouraging Los Banos resident and business support for and attendance at local events. II. Attracting or rewarding volunteer public service. 12. Encouraging or rewarding significant academic, athletic, or public servIce achievements by Los Banos students, residents, businesses, or employees. 13. Recognizing or rewarding meritorious service by a City employee. 14. Encouraging, rewarding, or supporting general employee morale or retention. 15. Facilitating the attendance of a City Official at an event where the job duties of the City Official require his or her attendance at the event, for which the City Official may receive enough Tickets for each member of the City Official's Immediate Family. 16. As an incident to the above public purposes, allowing for the Immediate Family of the City Official to accompany the City Official to events to accomplish any of the purposes listed in this Policy.

Section 7. TICKETS DISTRIBUTED AT THE BEHEST OF A CITY OFFICIAL.

A. Only City Council Members and the City Manager shall have authority to behest Tickets.

B. Tickets shall be distributed at the behest of a City Official only for one or more public purposes set forth above.

C. If Tickets are distributed at the behest of a City Official, such City Official shall not use one of the Tickets so distributed to attend the event.

Section 8. OTHER BENEFITS.

A. The distribution of Tickets pursuant to this Policy shall not constitute a "gift" to the City Official receiving the Ticket; however, other benefits, such as food or beverage or other gifts provided to the City Official that are not part of the admission provided by the complimentary Ticket, will need to be accounted for as gifts.

B. If the City receives complimentary Tickets that are earmarked for particular City Officials, then the Tickets are considered gifts to that particular City Official. If these Tickets are not returned unused to the provider within thirty (30) days of receipt, then the City Official must comply with the applicable FPPC gift limit regulations and reporting regulations.

Section 9. POSTING AND DISCLOSURE REQUIREMENTS.

A. This Policy and Form 802 reports required by Section 18944.1 of the FPPC Regulations shall be posted on the City's website.

B. The distribution of Tickets pursuant to this Policy shall be documented by the preparation and certification of FPPC Form 802. Within thirty (30) calendar days of the distribution of a Ticket, the Ticket Administrator shall prepare and certify a Form 802 and shall forward it to the FPPC for posting on the FPPC website.

C. The City shall maintain the completed Form 802 as a public record, subject to inspection and copying as set forth in Government Code Section 81008(a).

D. Tickets distributed by the City for which the city receives reimbursement from the City official shall not be subject to the disclosure provisions set forth herein.

(Regulations of the Fair Political Practices Commission, Title 2, Division 6, California Code of

Regulations)

§ 18944.1. Gifts: Agency Provided Tickets or Passes.

For purposes of this regulation the terms "ticket" and "pass," as defined in Regulation

18946, apply solely to an admission to a facility, event, show, or performance for an

entertainment, amusement, recreational, or similar purpose provided by an agency to, or at the

behest of, an official of that agency, other than an admission provided to a school, college or

university district official, coach, athletic director, or employee to attend an amateur event

performed by students of that school, college, or university district or an admission identified in

Regulation 18942(a)(12).

(a)( 1) A ticket or pass is not subject to the provisions of this regulation, if the official

treats the ticket or pass as income consistent with applicable state and federal income tax laws

and the agency reports the distribution of the ticket or pass as income to the official in

compliance with the reporting provisions of subdivision (d) below.

(2) Any ticket or pass acquired by the agency under subdivision (b )(2) and distributed to

an official, other than an elected official or member of the legislative or governing body of the

agency, for the official's personal use, to support general employee morale, retention, or to

reward public service is deemed to serve a public purpose, and any tickets distributed to an

official for such purpose shall be reported as described under subdivision (d)(3). For purposes of

this paragraph, "personal use" means use by the official, his or her family, or no more than one

guest.

(b) The official will meet the burden under Section 82028 that equal or greater value has

been provided in exchange for the ticket or pass if the official reimburses the agency for the

ticket or if all of the following requirements are met:

(I) For a ticket or pass the agency receives from an outside source, other than as provided

in subdivision (b )(2):

(A) The ticket or pass is not earmarked by the outside source for use by the agency

official who uses the ticket or pass;

(B) The agency determines, in its sole discretion, who uses the ticket or pass.

(C) The distribution of the ticket or pass by the agency is made in accordance with a

policy adopted by the agency that incorporates all of the provisions of subdivision (c) below.

(2) For a ticket or pass the agency obtains (i) pursuant to the terms of a contract for use of

public property, (ii) because the agency controls the event (such as a state or county fair), or (iii)

by purchase at fair market value, the distribution ofthe ticket or pass is made in accordance with

a policy adopted by the agency that incorporates all of the provisions of subdivision (c) below.

(c) Agency TicketlPass Distribution Policy. Any distribution of a ticket or pass under this

regulation to, or at the behest of, an agency official must be made pursuant to a written agency

ticket distribution policy, duly adopted by the legislative or governing body of the agency or, if

none, the agency head that contains, at a minimum, all of the following:

(I) A provision setting forth the public purposes of the agency for which tickets or passes

may be distributed.

(2) A provision requiring that the distribution of any ticket or pass to, or at the behest of,

an agency official accomplish a stated public purpose of the agency.

(3) A provision prohibiting the transfer of any ticket received by an agency official

pursuant to the distribution policy except to members of the official's immediate family or no

more than one guest solely for their attendance at the event.

(d) Public Posting. A record of a ticket or pass distributed pursuant to this regulation,

must be completed, on a form provided by the Commission. The form must be maintained as a

public record, be subject to inspection and copying under Section 81008(a), and be forwarded to

the Commission for posting on its website.

(I) Except as provided in paragraphs (2) and (3) below, the information must include the

following:

(A) The name of the person receiving the ticket or pass;

(B) A description of the event;

(C) The date ofthe event;

(D) The face value ofthe ticket or pass;

(E) The number oftickets or passes provided to each person;

(F) If the ticket or pass is behested, the name ofthe official who behested the ticket; and

(0) A description of the public purpose under which the distribution was made or,

alternatively, that the ticket or pass was distributed as income to the official.

(2) If the ticket or pass is distributed to an organization outside the agency, the agency

shall post the name, address, description of the organization, and the number of tickets or passes

provided to the organization in lieu of posting the names of each individual from the

organization as otherwise required in paragraph (I) above;

(3) If the ticket or pass is distributed pursuant to subdivision (b) the agency may post the

name of the department or other unit of the agency and the number of tickets or passes provided

to the department or other unit in lieu of posting the name of the individual employee as

otherwise required in paragraph (l) above;

(e) The Commission recognizes the discretion of the legislative or governing body of an

agency or, if none, the agency head to determine whether the distribution of a ticket or pass

serves a legitimate public purpose of the agency, provided the determination is consistent with

state law.

(f) The provisions of this regulation apply only to the benefits the official receives that

are provided to all members of the public with the same class of ticket.

Note: Authority cited: Section 83112, Government Code. Reference: Section 82028,

Government Code.

HISTORY

I. Renumbering offormer section 18726.7 to section 18944.1 with amendment of section

heading filed 6-22-94; operative 6-22-94 (Register 94, No. 25).

2. Change without regulatory effect relocating section filed 11-17-94 pursuant to section 100,

title I, California Code of Regulations (Register 94, No. 46).

3. Amendment of first paragraph and subsections (a)-(b) and (d)-(e) filed 7-25-95; operative

7-25-95 pursuant to Government Code section 11343.4(d) (Register 95, No. 30).

4. Repealer and new section filed 1-8-2009; operative 2-7-2009. Submitted to OAL for filing

pursuant to Fair Political Practices Commission v. Office of Administrative Law, 3 Civil

COI0924, California Court of Appeal, Third Appellate District, nonpublished decision, April 27,

1992 (FPPC regulations only subject to 1974 Administrative Procedure Act rulemaking

requirements) (Register 2009, No.2).

5. Repealer of subsection (a), subsection relettering and amendment of newly designated

subsections (a)(l), (a)(2)(A)(iii)-(b), (c) and (e) filed 9-27-2010; operative 10-27-2010.

Submitted to OAL for filing pursuant to Fair Political Practices Commission v. Office of

Administrative Law, 3 Civil COI0924, California Court of Appeal, Third Appellate District,

nonpublished decision, April 27, 1992 (FPPC regulations only subject to 1974 Administrative

Procedure Act rulemaking requirements) (Register 2010, No. 40).

6. Amendment of section heading and section filed 1-23-2012. Pursuant to California Code of

Regulations, title 2, section 18313(e), FPPC has designated an effective date of 1-1-2012.

Submitted to OAL for filing pursuant to Fair Political Practices Commission v. Office of

Administrative Law, 3 Civil CO I 0924, California Court of Appeal, Third Appellate District,

nonpublished decision, April 27, 1992 (FPPC regulations only subject to 1974 Administrative

Procedure Act rulemaking requirements and not subject to procedural or substantive review by

OAL) (Register 2012, No.4).

Agency Report of: Ceremonial Role Events and Ticket/Pass Distributions A Public Document

~~--~------------------------------~----------1. Agency Name Date Stamp

Division, Department, or Region (If Applicable)

Designated Agency Contact (Name, Title)

Area Code/Phone Number E-mail

2. Function or Event Information Does the agency have a ticket policy? YesO NoD

Event Description ____ -::-.,.,--=-=--:--,-____ _ Provide TitlelExpfanation

Ticket(s)/Pass(es) provided by agency? Yes 0 No 0

Was ticket distribution made at the behest No 0 Yes 0 of agency official?

3. Recipients

For Official Use Only

o Amendment (Must provide explanation in Parl3.)

Date of Original Filing: --m"",,,,=.v::=­(Month. Day, Year)

Face Value of Each TickeVPass $ ________ _

Date(s) _~_---'

If no: ______ --;;===::-_____ _ Name of Source

If yes: _____ -;:::==_==,.,,-____ _ Official's Name (Last, First)

• Use Section A to identify the agency's department or unit. • Use Section B to identify an individual. • Use Section C to identify an outside organization

A. Name of Agency, Department or Unit Number of Ticket(s)1 Describe the public purpose made pursuant to the agency's policy Pass(ea)

B. Name of Individual Number of Ticket(s)1 Identify one of the following;

(Last. F,rst) Pass(es)

Ceremonial Role 0 Other D income 0 If checking "Ceremonial Role" or "Other' desctibe below

Ceremonial Role 0 Other 0 income 0 If checking '·Ceremonial Role" or "Other' describe below

C. Name of Outside Organization Number of Ticket(s)/ Oescribe the public purpose made pursuant to the agency's policy (include address and description) Pass(es)

.. 4. Venftcatton

I have read and understand FPPC Regulations 18944 1 and 18942. I have verified that the distribution set tanh above, is in accordance with the requirements

Signature of Agency Head or DeSignee Ptin/Name Title (Mon/fi. Day; Year)

Comment: --------------------------------==:---:-:-:-c_=: FPPC Form 802 (4112)

FPPC Toll-Free Helpline: 8661ASK-FPPC (8661275-7772)

Agency Report of: Ceremonial Role Events and Ticket/Pass Distributions

Galifornia 81l)1 Form

This form is for use by all state and local government agencies. The form identifies persons that receive admission tickets and passes and describes the public purpose for the distribution. This form was prepared by the Fair Political Practices Commission (FPPC) and is available at www.fppc.ca.gov.

General Information

FPPC Regulation 18944.1 sets out the circumstances under which an agency's distribution of tickets to entertainment events, sporting events, and like occasions would not result in a gift to individuals that attend the function. In general, the agency must adopt a policy which identifies the public purpose served in distributing the admissions. The Form 802 serves to detail each event and the public purpose of each ticket distribution. FPPC Regulation 18942 lists exceptions to reportable gifts, including ceremonial events, when listed on this form.

When the regulation procedures are followed, persons, organizations, or agencies who receive admissions are listed on a Form S02. Agency officials do not report the admissions on the official's Statement of Economic Interests, Form 700, and the value of the admission is not subject to the gift limit.

The Form 802 also informs the public as to whether the admissions were made at the behest of an agency official and whether the behested tickets were provided to an organization or to specific individuals.

Exception

This form is not required for admission provided to a school or university district official, coach, athletic director, or employee to attend an amateur event performed by students of that school or university.

Public Posting

This form must be maintained as a public document. A copy of all forms must be forwarded to the FPPC for posting on its website. E-mail delivery is preferred. E-mail: FormS02@fppc.ca.gov; Fax 916.322.0886; 428 J Street, Suite 620, Sacramento, CA 95814.

Forms must be sent to the FPPC as soon as possible. General business practice is no later than 45 days from the distribution.

A local agency may also also post the forms on its wesbite, but it is not required to do so.

Privacy Information Notice

Information requested by the FPPC is used to administer and enforce the Political Reform Act. Failure to provide

A Public Document

information may be a violation subject to administrative, criminal, or civil penalties. All reports are public records available for inspection and reproduction. Direct questions to FPPC's General Counsel.

Instructions

Part 1. Agency Identification:

List the agency's name. Provide a designated agency contact person, their phone number, and e-mail address. Mark the amendment box if changing any information on a previously filed form and include the date of the original filing.

Part 2. Function or Event Information:

Confirm that your agency has a policy for ticket distribution. Unless the the ceremonial role or income box in Part 3, Section B, is marked, this form is only applicable if your agency has a policy.

Complete all of the other required fields that identify the ticket value, description of event, date(s) and whether the ticket was provided by the agency or an outside source. If an agency official behests the tickets, the official's name is also required. Use the comment field or an attachment to explain in full.

Part 3. Ticket Recipients: This part identifies who uses the tickets. The identification requirements vary depending upon who received the tickets and are categorized into three sections. Each section must list the number of tickets received. Use the comment field or an attachment to explain in full.

Section A. Report tickets distributed to agency staff, other than an elected official or governing board member, pursuant to the agency's policy. It is not necessary to list each employee's name, but identify the uniVdepartment for which the employee works. The agency must describe the public purpose associated with the ticket distribution. A reference to the policy is permissible.

Section B. Report: 1) any agency official who performs a ceremonial role; 2) any agency official who reports the value as income; or 3) tickets used by elected officals and governing board members (including those distributed pursuant to the agency's policy).

Section C. Report tickets provided to an organization. The organization's name, an address (website uri is permissible), and a brief description of the public purpose are required.

FPPC Form 802 (4/12) FPPC Toll-Free Helpline: 866/ASK-FPPC (866/275-3772)

Agency Report of: Ceremonial Role Events and Ticket/Pass Distributions Continuation Sheet

A Public Document

Agency Name

3. Recipients • Use Section A to identify the agency's department or unit. • Use Section B to identify an individual. • Use Section C to identify an outside organization.

A. Name of Agency, Department or Unit Number of Ticket(s)f Pass(es)

B. Name of Individual Number of Ticket(s)1

(LaS( FH~t) Pass(es)

C. Name of Outside Organization Number of Ticket(s}/

(include address and description) Pass(es)

Describe the public purpose made pursuant to the agency's policy

Jdentify one of the following:

Ceremonial Role 0 Other 0 Income 0 If checkmg "Ceremonial Role" or "Othet' describe below

Ceremonial Role D Other 0 Income 0 If checkmg '-Ceremonial Role" or ·Other" describe below

Ceremonial Role 0 Other 0 Income 0 If checking "Ceremonial Role" or "O/het- describe below

Ceremonial Role 0 Other 0 Income 0 If checking "Ceremonial Role" or ·Other" describe below

.

Describe the public purpose made pursuant to the agency's policy

FPPC Form 802 (4/12) FPPC TolI·Free Helpline: 866/ASK-FPPC (866/275·7772)

(Regulations of the Fair Political Practices Commission, Title 2, Division 6, California Code of

Regulations)

§ 18946.4. Exception -- Valuation of Gifts: Attendance at Nonprofit or Political

Organization Fundraising Event.

This regulation establishes the value of a ticket, or admission by invitation, when the ticket or invitation to attend is to a fundraising event for a nonprofit or political organization.

(a) Nonprofit Fundraiser. Except as provided in subdivision (b), the value of a ticket or admission by invitation, to a fundraising event for a non-profit, tax-exempt organization that is not a committee covered by subdivision ( c) is determined as follows:

(1) When the ticket clearly states that a portion of the ticket price is a donation to the organization, or the organization provides information indicating the portion of the admission price that constitutes the donation, the value of the ticket is the nondeductible portion of the admission.

(2) Ifthere is no ticket, or other official information provided by the organization, indicating the value of the nondeductible portion of the admission, the value of the admission is the pro-rata share of the cost of any food, catering services, entertainment, and any other item provided to the official that is available to all guests attending the event, as determined under Regulation 18946.2 for invitation-only events. Any other specific benefit provided to the official at the event, such as golf green fees, is valued at fair market value.

(b) 501 (c)(3) Organization Fundraiser. When the event is a fundraising event for an organization exempt from taxation under Section 501 (c)(3) of the Internal Revenue Code, the organization may provide two tickets or invitations per event to an official that shall be deemed to have no value. Additional tickets or admissions by invitation provided to or controlled by the official and any tickets not provided directly by the 501 (c)(3) organization to the official are valued under subdivision (a) above.

(c) Political Fundraiser. For a ticket or invitation to attend a fundraising event for a committee defined in Section 82013(a), or a comparable committee regulated under federal law or the laws of another state, the committee or candidate may provide two tickets or invitations per event to an official that shall be deemed to have no value. Additional tickets or admissions by invitation provided to or controlled by the official and any tickets not provided directly by the committee or candidate to the official are valued under subdivision (a) above.

Note: Authority cited: Section 83112, Government Code. Reference: Sections 82028, 87207 and

89503, Government Code.

HISTORY

I. Renumbering of section 18726.8 to section 18946.4 with amendment of section heading, text and Note filed 1-25-93; operative 1-25-93 (Register 93, No.5).

2. Editorial correction deleting irrelevant History note (Register 94, No. 25).

3. Change without regulatory effect relocating section filed 11-17-94 pursuant to section 100, title I, California Code of Regulations (Register 94, No. 46).

4. Amendment of subsections (a)-(a)(2) and amendment of Note filed 5-2-2005; operative 5-2-2005 pursuant to Government Code section 11343.4 (Register 2005, No. 18).

5. Amendment of section heading and section filed 9-4-2008; operative 10-4-2008. Submitted to OAL for filing pursuant to Fair Political Practices Commission v. Office of Administrative Law,

3 Civil COl 0924, California Court of Appeal, Third Appellate District, nonpublished decision, April 27, 1992 (FPPC regulations only subject to 1974 Administrative Procedure Act rulemaking requirements) (Register 2008, No. 36).

6. Amendment of section heading, section and Note filed 1-23-2012. Pursuant to California Code of Regulations, title 2, section 18313(e), FPPC has designated an effective date of 1-1-2012. Submitted to OAL for filing pursuant to Fair Political Practices Commission v. Office of

Administrative Law, 3 Civil CO 10924, California Court of Appeal, Third Appellate District, nonpublished decision, April 27, 1992 (FPPC regulations only subject to 1974 Administrative Procedure Act rulemaking requirements and not subject to procedural or substantive review by OAL) (Register 2012, No.4).