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05-21-13 Searchable packet Table of Contents Agenda3 Proclamation for the Organization of Special Needs Families (OSF) Presidential Award No written materials9 Presentation by Hsinchu Sister City Committee regarding recent trip No written materials10 Kim Monack to present Army Photo of the Year of grandson at Memorial Park to the Mayor and City Council No written materials11 Approve the May 7 City Council minutes A - Draft Minutes12 Accept Accounts Payable for period ending April 19, 2013 A - Draft Resolution18 Treasurer's Investment and Budget Report for Quarter Ending March 2013 Staff Report27 A - Investment Portfolio29 B - Investments by Type30 C - Retiree Health Trust report32 D - General Fund Budget report37 Annual adoption of City Investment Policy Staff Report38 A - Draft Resolution39 B - Investment Policy40 Annual approval and renewal of the collection of existing storm drain fees at no increase in rates for fiscal year 2013-2014 Staff Report48 A - Draft Resolution50 OneBayArea Grant Application Resolution of Local Support Staff Report56 A - Draft Resolution58 Call for Projects for the Citys Guarantee share of the Transportation Development Act (TDA) Article 3 FY 2013/14 Program Staff Report62 A - Draft Resolution and Application64 B - Figure 2 Detail Map69 C - Figure 3 Detail Map70 2012 Surface Transportation Program (STP) Overlay Project Re -Bid, Project No. 2012-05 Staff Report71 1 Stevens Creek Corridor Park and Restoration Phase 2 award of construction contract, authorization of agreements and easement, acceptance of outside funding and appropriation of funds Staff Report73 A - Project Status Update, April 201380 B - Bid Summary84 C - Draft Agreement, Cupertino Sanitary District Sewer Main Relocation Cost Sharing Agreement85 D - Sample TFCA Funding Agreement90 E - Current Grants & Outside Funding98 F-1 - Legal Description and Plat Map for Grant of Easement to Cupertino Sanitary District99 F-2 - Legal Description and Plat Map for Quitclaim of Sanitary Sewer Easement101 First reading of an ordinance to consider amending section 14.12.120 of the Cupertino Municipal Code to condition the payment of a street tree fee only for those developments or projects subject to street improvement requirements as defined in Municipal Code Section 14.04 (Street Improvements) Staff Report103 A - Draft Ordinance104 B - Redline Version of Existing Ordinance106 2 AGENDA CUPERTINOCITYCOUNCIL~SPECIALMEETING SUCCESSORTOTHEREDEVELOPMENTAGENCY~REGULARMEETING 10350TorreAvenue,CommunityHallCouncilChamber Tuesday,May21,2013 6:00PM CITYCOUNCILMEETING ROLLCALL K6:00PM CLOSEDSESSION 1.Subject:WorkersCompensationClaim(GovtCodeSection54956.95);Claimant: AthenaMiller;AgencyClaimedAgainst:CityofCupertino PLEDGEOFALLEGIANCE K6:45PM ROLLCALL CEREMONIALMATTERSANDPRESENTATIONS :ProclamationfortheOrganizationofSpecialNeedsFamilies(OSF) 2.Subject PresidentialAward RecommendedAction:Presentproclamationtothe22Presidentialawardrecipients Nowrittenmaterials Page:Nowrittenmaterialsinpacket 3.Subject:PresentationbyHsinchuSisterCityCommitteeregardingrecenttrip RecommendedAction:Receivepresentation Nowrittenmaterials Page:Nowrittenmaterialsinpacket 3 Tuesday,May21,2013CupertinoCityCouncil SuccessortotheRedevelopmentAgency 4.Subject:KimMonacktopresentArmyPhotooftheYearofgrandsonatMemorial ParktotheMayorandCityCouncil RecommendedAction:Presentphoto Nowrittenmaterials Page:Nowrittenmaterialsinpacket POSTPONEMENTS ORALCOMMUNICATIONS Thisportionofthemeetingisreservedforpersonswishingtoaddressthecouncilon anymatternotontheagenda.Speakersarelimitedtothree(3)minutes.Inmostcases, Statelawwillprohibitthecouncilfrommakinganydecisionswithrespecttoamatter notlistedontheagenda. CONSENTCALENDAR Unlessthereareseparatediscussionsand/oractionsrequestedbycouncil,staffora memberofthepublic,itisrequestedthatitemsundertheConsentCalendarbeactedon simultaneously. :ApprovetheMay7CityCouncilminutes 5.Subject RecommendedAction:Approvetheminutes ADraftMinutes Page:12 6.Subject:AcceptAccountsPayableforperiodendingApril19,2013 RecommendedAction:AdoptResolutionNo.13037acceptingAccountsPayable forperiodendingApril19,2013 ADraftResolution Page:18 7.Subject:TreasurersInvestmentandBudgetReportforQuarterEndingMarch2013 RecommendedAction:Acceptthereport StaffReport AInvestmentPortfolio BInvestmentsbyType CRetireeHealthTrustreport DGeneralFundBudgetreport Page:27 4 Tuesday,May21,2013CupertinoCityCouncil SuccessortotheRedevelopmentAgency 8.Subject:AnnualadoptionofCityInvestmentPolicy RecommendedAction:AdoptResolutionNo.13038adoptingtheannualCity InvestmentPolicy StaffReport ADraftResolution BInvestmentPolicy Page:38 9.Subject:Annualapprovalandrenewalofthecollectionofexistingstormdrainfees atnoincreaseinratesforfiscalyear20132014 RecommendedAction:AdoptResolutionNo.13039approvingtherenewalofthe collectionofexistingstormdrainfeesatnoincreaseinratesforfiscalyear20132014 StaffReport ADraftResolution Page:48 10.Subject:OneBayAreaGrantApplicationResolutionofLocalSupport RecommendedAction:AdoptResolutionNo.13040authorizingthefilingofan applicationforfundingassignedtotheMetropolitanTransportationCommission (MTC),committinganynecessarymatchingfundsandstatingtheassuranceto completetheproject StaffReport ADraftResolution Page:56 11.Subject:CallforProjectsforthe"¯º¿¹ &»§¸§´º««!shareoftheTransportation DevelopmentAct(TDA)Article3FY2013/14Program RecommendedAction:AdoptResolutionNo.13041authorizingallocationofTDA Article3funding StaffReport ADraftResolutionandApplication BFigure2DetailMap CFigure3DetailMap Page:62 12.Subject:2012SurfaceTransportationProgram(STP)OverlayProjectReBid,Project No.201205 RecommendedAction:Approveanadditional$94,924.70inconstruction contingenciesforthe2012SurfaceTransportationProgram(STP)OverlayProject, ProjectNo.201205,foratotalcontractamountof$583,780.30 5 Tuesday,May21,2013CupertinoCityCouncil SuccessortotheRedevelopmentAgency StaffReport Page:71 SECONDREADINGOFORDINANCES PUBLICHEARINGS ORDINANCESANDACTIONITEMS 13.Subject:StevensCreekCorridorParkandRestorationPhase2Kawardof constructioncontract,authorizationofagreementsandeasement,acceptanceof outsidefundingandappropriationoffunds RecommendedAction:1.Authorizeawardofaconstructioncontracttothelow bidder,RobertA.Bothman,Inc.intheamountof$3,063,900.00includingthebase bidandbidalternatenumber1andwaivingofminorclericalerrors,andauthorizea constructioncontingencyallowanceof$380,000;2.AuthorizetheCityManagerto executeacostsharingagreementwithCupertinoSanitaryDistrictacceptinga contributionofupto$74,600;3.Authorizeacceptanceofa$95,000Transportation FundforCleanAirgrantandauthorizetheCityManagertoexecuteafunding agreement;4.Appropriateoutsidefundinginanamountof$383,600totheproject budgetasdescribedinthisreport;5.Appropriatecityfundingintheamountof $398,000totheprojectbudget;6.AuthorizetheCityManagertonegotiateand executeaconsultantservicesagreementwithSSALandscapeArchitectsfor constructionphaseservicesforanamountnottoexceed$195,000;7.Authorizethe dedicationofanewsanitarymainandcorrespondingeasementtoCupertino SanitaryDistricttoaccommodatesanitarysewermainrelocation StaffReport AProjectStatusUpdate,April2013 BBidSummary CDraftAgreement,CupertinoSanitaryDistrictSewerMainRelocationCost SharingAgreement DSampleTFCAFundingAgreement ECurrentGrants&OutsideFunding F1LegalDescriptionandPlatMapforGrantofEasementtoCupertinoSanitary District F2LegalDescriptionandPlatMapforQuitclaimofSanitarySewerEasement Page:73 6 Tuesday,May21,2013CupertinoCityCouncil SuccessortotheRedevelopmentAgency 14.Subject:Firstreadingofanordinancetoconsideramendingsection14.12.120ofthe CupertinoMunicipalCodetoconditionthepaymentofastreettreefeeonlyfor thosedevelopmentsorprojectssubjecttostreetimprovementrequirementsas definedinMunicipalCodeSection14.04(StreetImprovements) RecommendedAction:ConductthefirstreadingofOrdinanceNo.132111:An OrdinanceoftheCityCounciloftheCityofCupertinoamendingSection14.12.120 oftheCupertinoMunicipalCodetoconditiontheinstallationofstreettreesforonly thosedevelopmentsorprojectsthataresubjecttoconstructstreetimprovements StaffReport ADraftOrdinance BRedlineVersionofExistingOrdinance Page:103 REPORTSBYCOUNCILANDSTAFF ADJOURNMENT AdjourntoTuesday,May28at3:30p.m.forTeenCommissioninterviews,CityHall ConferenceRoomA,10300TorreAvenue,Cupertino,CA95014. 7 Tuesday,May21,2013CupertinoCityCouncil SuccessortotheRedevelopmentAgency SUCCESSORTOTHEREDEVELOPMENTAGENCYMEETING Canceledforlackofbusiness. The City of Cupertino has adopted the provisions of Code of Civil Procedure §1094.6; litigation challenging a final decision of the City Council/Redevelopment Agency must be brought within 90 days after a decision is announced unless a shorter time is required by State or Federal law. Any interested person, including the applicant, prior to seeking judicial review of the city council’s decision with respect to quasi-judicial actions, must first file a petition for reconsideration with the city clerk within ten days after the council’s decision. Any petition so filed must comply with municipal ordinance code §2.08.096. In compliance with the Americans with Disabilities Act (ADA), the City of Cupertino will make reasonable efforts to accommodate persons with qualified disabilities.If you require special assistance, please contact the city clerk’s office at 408-777-3223 at least 48 hours in advance of the meeting. Any writings or documents provided to a majority of the Cupertino City Council after publication of the packet will be made available for public inspection in the City Clerk’s Office located at City Hall, 10300 Torre Avenue, during normal business hours and in Council packet archives linked from the agenda/minutes page on the Cupertino web site. 8 CITYCOUNCILSTAFFREPORT Meeting:May21,2013 Subject:ProclamationfortheOrganizationofSpecialNeedsFamilies(OSF)Presidential Award NOWRITTENMATERIALSINPACKET 9 CITYCOUNCILSTAFFREPORT Meeting:May21,2013 Subject:PresentationbyHsinchuSisterCityCommitteeregardingrecenttrip. NOWRITTENMATERIALSINPACKET 10 CITYCOUNCILSTAFFREPORT Meeting:May21,2013 Subject:KimMonacktopresentArmyPhotooftheYearofgrandsonatMemorialPark totheMayorandCityCouncil NOWRITTENMATERIALSINPACKET 11 DRAFTMINUTES CUPERTINOCITYCOUNCIL SpecialMeeting Tuesday,May7,2013 CITYCOUNCILMEETING ROLLCALL At5:05p.m.MayorOrrinMahoneycalledtheSpecialCityCouncilmeetingtoorder. Present:MayorOrrinMahoney,ViceMayorGilbertWong,andCouncilmembersBarry Chang,MarkSantoro,andRodSinks.Absent:none. CLOSEDSESSION 1.Subject:ConferencewithlegalcounselInitiationofLitigation(GovtCodeSec. 54946.9(c))Onecase 2.Subject:ConferencewithlegalcounselSignificantExposuretoLitigation(Govt CodeSec.54946.9(b))Onecase 3.Subject:ConferencewithRealPropertyNegotiator(GovtCodeSec.54956.8). Property:PruneridgeAvenuebetweenWolfeandTantau,withtheexceptionofthat portionofPruneridgethatfrontsalongtheHamptons;Negotiatingparties:City Manager,CityAttorney,SpecialCounsel;Undernegotiation:Priceandterms At5:05p.m.Councilrecessedtoaclosedsession,andreconvenedinopensessionat 7:03p.m.MayorMahoneyannouncedthatitemnumberonewascanceled,foritem numbertwo,Councilheardareportandnoactionwastaken,andforitemnumber three,Councilobtainedabriefingandnoactionwastaken. PLEDGEOFALLEGIANCE At7:03p.m.MayorOrrinMahoneyreconvenedtheRegularCityCouncilmeetingand ledthePledgeofAllegiance. 12 Tuesday,May7,2013CupertinoCityCouncil SuccessortotheRedevelopmentAgency ROLLCALL Present:MayorOrrinMahoney,ViceMayorGilbertWong,andCouncilmembersBarry Chang,MarkSantoro,andRodSinks.Absent:none. CEREMONIALMATTERSANDPRESENTATIONS 4.Subject:ProclamationforVillageHarvest RecommendedAction:Presentproclamation MayorMahoneypresentedtheproclamationtoCraigDisirensandCouncilvieweda videoshowingtheorangeharvestoftheStocklmeirProperty. 5.Subject:ProclamationforFosterCareAppreciationMonth RecommendedAction:Presentproclamation NoonewaspresenttoreceivetheproclamationandMayorMahoneynoteditwould bemailedtotherecipient. 6.Subject:ProclamationtorecognizeandacknowledgePublicWorksWeekin Cupertino RecommendedAction:Presentproclamation MayorMahoneypresentedtheproclamationtoDirectorofPublicWorksTimm Borden. 7.Subject:ProclamationforTaiwaneseCulturalDay RecommendedAction:Presentproclamation MayorMahoneypresentedtheproclamationtoSophiaVolkelandYameiLee. 8.Subject:ProclamationforDestinationImaginationcompetitors RecommendedAction:Presentproclamation MayorMahoneypresentedproclamationstoArunBalaji,KeerthiLakshman,Muthu Panchanatham,andArunMommelittifromtheFlamingPanthersteamandSavita Balaji,ChetenaRamaiyer,andAgrimaSharmafromtheDiNamiteteam. 13 Tuesday,May7,2013CupertinoCityCouncil SuccessortotheRedevelopmentAgency 9.Subject:ProclamationforHepatitisBAwarenessMonth RecommendedAction:Presentproclamation MayorMahoneypresentedtheproclamationtoArcadiKolchakandSharanJohal. POSTPONEMENTS None ORALCOMMUNICATIONS CupertinoLibrarianMarkFinkshowedavideofeaturingsomeoftheresourcesand servicestheSantaClaraCountyLibraryDistrictprovidestothecommunity.Henoted thattheCupertinoLibrarywouldbesponsoringanenergizerstationattheCaliMill PlazaforBiketoWorkDay. LibraryCommissionerAnnieHogaveanupdateonthecurrentandupcoming activitiesattheCupertinoLibraryandtheCupertinoLibraryCommission.Someofthe activitiesinclude:growinganorganicgardenintheLibrarycourtyard,techtoolbar available,searchfornewPoetLaureate,workingwithCitystaffforasustainability speakerseries,FriendsoftheLibrarybooksale,andsponsoringaboothtosupportBike toWorkDay.ShenotedthatadditionalLibraryactivitiesarelistedintheCupertino Scenenewsletter. CONSENTCALENDAR WongmovedandChangsecondedtoapprovetheitemsontheConsentCalendaras recommended.Ayes:Chang,Mahoney,Santoro,Sinks,andWong.Noes:none.Abstain: none. 10.Subject:ApprovetheApril16CityCouncilminutes RecommendedAction:Approvetheminutes 11.Subject:AcceptAccountsPayableforperiodendingApril5,2013 RecommendedAction:AdoptResolutionNo.13033acceptingAccountsPayable forperiodendingApril5,2013 12.Subject:AcceptAccountsPayableforperiodendingApril12,2013 RecommendedAction:AdoptResolutionNo.13034acceptingAccountsPayable forperiodendingApril12,2013 14 Tuesday,May7,2013CupertinoCityCouncil SuccessortotheRedevelopmentAgency 13.Subject:AresolutionofintenttorenameSanJacintoRoadtoSanJuanRoad RecommendedAction:AdoptResolutionNo.13035declaringtheintenttorename SanJacintoRoadtoSanJuanRoadandsetapublichearingforJune4,2013 SECONDREADINGOFORDINANCES None PUBLICHEARINGS 14.Subject:CommunityDevelopmentBlockGrant(CDBG)funds,HumanService grants,andFY2013AnnualActionPlan RecommendedAction:Conductpublichearing;and1.AdoptResolutionNo.13036 approvingtheallocationsfortheuseofthe201314CDBGprogramandHuman Servicegrants;and2.ApprovetheFY201314AnnualActionPlanasrequiredby thefederalDepartmentofHousingandUrbanDevelopment(HUD) Description:Thisisthesecondoftworequiredpublichearingsregardinguseof 201314CDBGfunds,HumanServicegrantsandFY2013AnnualActionPlan WrittencommunicationsforthisitemincludedastaffPowerPointandSummaryof FundingAllocations. SeniorPlannerVeraGilreviewedthestaffreport. MayorMahoneyopenedthepublichearing. ThefollowingindividualsthankedCouncilforpastsupport,askedCouncilfornext FYsupport,andtalkedabouttheirorganization: BeatrizLopezfromSeniorAdultsLegalAssistance(SALA) SaronSavoy,ProgramManagerforHousingatWestValleyCommunity Services(WVCS) BoardChairStanBarkeyfromWVCS NickfromLiveOakAdultDayServicesonbehalfofExecutiveDirector Colleen Hudgen MayorMahoneyclosedthepublichearing. WongmovedandChangsecondedtoadoptResolutionNo.13036approvingthe allocationsfortheuseofthe201314CDBGprogramandHumanServicegrants.The motioncarriedunanimously. 15 Tuesday,May7,2013CupertinoCityCouncil SuccessortotheRedevelopmentAgency WongmovedandChangsecondedtoapprovetheFY201314AnnualActionPlan asrequiredbythefederalDepartmentofHousingandUrbanDevelopment(HUD). Themotioncarriedunanimously. ORDINANCESANDACTIONITEMS 15.Subject:ConsiderAmendmenttotheCountywideHouseholdHazardousWaste (HHW)Agreement RecommendedAction:Authorizestafftocontinueselectparticipationinthe CountywideHHWCollectionProgramthroughFY2015andapprovethe AmendmenttoSection6oftheAgreementforCountywideHouseholdHazardous WasteCollectionProgramforFY20132015torefundanyunusedHHWfeebalance totheCityofCupertino DirectorofPublicWorksTimmBordenreviewedthestaffreport. WongmovedandChangsecondedtoauthorizestafftocontinueselectparticipation intheCountywideHHWCollectionProgramthroughFY2015andapprovethe AmendmenttoSection6oftheAgreementforCountywideHouseholdHazardous WasteCollectionProgramforFY20132015torefundanyunusedHHWfeebalance totheCityofCupertino.Themotioncarriedunanimously. REPORTSBYCOUNCILANDSTAFF CityManagerDavidBrandtnotedthatsomeofthegeeseatMemorialParkroosted earlywhichslowsdowntheplantomanagethegeesewithdogs.Heexplainedthatthe contractorreassuredstaffthatparentsofroostinggeese½µ´ºflockwithnonroosting geesesothenonroostinggeesearestilleligibleforthedogprogram.Theroostingpairs wouldneedtobeavoideduntilthegoslingscanflypertheMigratoryBirdAct. Councilmembershighlightedtheactivitiesoftheircommitteesandvariouscommunity events. ADJOURNMENT At8:20p.m.,themeetingwasadjournedtoTuesday,May14beginningat12:00noon foraBudgetStudySession,CouncilChamber,10350TorreAvenue,Cupertino. ____________________________ GraceSchmidt,CityClerk 16 Tuesday,May7,2013CupertinoCityCouncil SuccessortotheRedevelopmentAgency Staffreports,backupmaterials,anditemsdistributedattheCityCouncilmeetingare availableforreviewattheCity"²«¸±¹Office,7773223,andalsoontheInternetat www.cupertino.org.ClickonAgendas&Minutes,thenclickontheappropriatePacket. MostCouncilmeetingsareshownliveonComcastChannel26andAT&TUverse Channel99andareavailableatyourconvenienceatwww.cupertino.org.Clickon Agendas&Minutes,thenclickArchivedWebcast.Videotapesareavailableatthe CupertinoLibrary,ormaybepurchasedfromtheCupertinoCityChannel,7772364. 17 18 19 20 21 22 23 24 25 26 ADMINISTRATIVE SERVICES DEPARTMENT CITY HALL 10 10300 TORRE AVENUE CUPERTINO, CA 95014-3255 TELEPHONE: (408) 777-3220 www.cupertino.org CITYCOUNCILSTAFFREPORT Meeting:May21,2013 Subject 3¸«§¹»¸«¸¹InvestmentandBudgetReportforQuarterEndingMarch2013 RecommendedAction Acceptthereport DiscussionandFiscalImpact (´¼«¹º³«´º¹ Themarketvalueandadjustedcostvalueofthe"¯º¿¹portfoliototaled$64.8millionat March31,2013.The¶µ¸º¬µ²¯µ¹Marchyieldof0.24%wasdownfromtheprevious ·»§¸º«¸¹andyearagoyieldsof0.26%.ThequarterlyfallreflectsthedeclineintheLAIF benchmarkyieldfrom0.33%inDecemberto0.29%inMarch.Thedecreasefromone yearagoreflectsashorteningoftheaveragematurityofthe"¯º¿¹portfolioastheCity increasedthemoreliquidLAIFportionoftheportfoliorosefrom1%to20%and decreasedtheTreasurynoteportionfrom84%to68%.ThelargerLAIFpositionis temporary.StaffispreparingtorepositiontheportfoliointoFederalagenciesandbank certificatesofdeposittopickupyieldandpreparefortheprojectedupturninratesin 2015. Theportfoliototalwas$9.6millionhigherthanlastquarter,mostlydueto$6million receivedinsemiannualsalesandpropertytaxes.Duringthequarter,$1millionof maturingTreasuriesand$4millionofthetaxesreceivedwereusedtopurchase$5 millionofnewTreasuries.TheremainingtaxandcashincreasewasinvestedinLAIFor keptinbankaccounts. Theretireehealthtrustmarketvalueincreasedto$13.4millionatMarch31,2013,up $2.7millionfromayearago,resultingfrom$1.75millionincontributionsand$0.95 millionininvestmentgains,foran8.86%returninthepastyear.Thetrustearned$0.6 millionduringthequarterfora4.81%return.Theportfoliohasearned8.63%annually sinceinceptionthirtythreemonthsago.Sinceinception,theCityhasdeposited$11.2 millionintothetrustandearned$2.2million. InvestmentsaretieredtoprovidesufficientcashflowstopayCityobligationsoverthe nextsixmonths.TheyareincompliancewithCityinvestmentpolicyandStatelaw. 27 Marketvaluesonindividualsecuritiesintheinvestmentportfolioareprovidedby WellsFargoBankInstitutionalTrustServicesusingvaluationsfromInteractiveData PricingandReferenceData,Inc. &«´«¸§²%»´ª!»ª«º1«¶µ¸º RevenuesforthethreequartersendinginMarch2013areup14.7%fromayearagoand trackingtoendtheyearapproximately$1.2millionaboveamendedbudgetlevels. Projecteddatashowstransientoccupancytax,chargesforservices,salestax,andother taxes,exceedingexpectationswhilepropertytax,utilitytax,licensesandpermits,and useofmoneyandproperty,arecominginbelowbudget.Salestaxesareprojectedto endup1.6%abovelastyearand6.7%abovebudgetasbusinesstobusinessgrowth tapersoff.Propertytaxeswillfinish21%higherthanprioryearbut2.2%belowbudget duetoassessedvaluegrowth,aonetimerefundofcountytaxadministrationcharges andaonetimestatepaybackoftaxesborrowedfromthecitythreeyearsago.Transient occupancytaxisexpectedtoendtheyear13.7%abovethebudgetedrevenueestimate and18.8%aboveprioryearasaresultofhighertax,occupancy,andaverageroomrates andtheopeningofanewhotelatmidyear.Chargesforservicerevenuesarealso trendinghigherthanprojectedasaresultofthestrongerthanexpectedgrowthin developmentactivitythisyear,butalsobecausethefeesfromsomeprojectswere budgetedunderlicensesandpermitsratherthanchargesforservices.Thishas contributedtolowerthananticipatedrevenuefromlicensesandpermits. ActualexpendituresforthethreequartersthroughMarch2013areup2.5%fromlast year,andareprojectedtoendtheyearwithapproximately$3.3million(8%)inbudget savingsmostlyduetosalaryandbenefitsavingsandcontractandcontingencysavings. AdministrativeServicesisprojectingsavingsinhumanresources,disaster preparedness,andcityclerkprograms.CommunityDevelopmentestimatessavingsin themidlongtermplanningprogram.PublicWorksforecastssavingsinengineering andfacilityrepairandmaintenance. TheAuditCommitteediscussedandacceptedthisreportonMay8,2013. _____________________________________ Preparedby:DavidWoo,DeputyTreasurer Reviewedby:CarolAtwood,CityTreasurer ApprovedforSubmissionby:DavidBrandt,CityManager Attachments:AInvestmentPortfolio BInvestmentsbyType,RateofReturn,andComplianceCharts CRetireeHealthTrustReport DGeneralFundBudgetReport 28 City of Cupertino Investment Portfolio March 31, 2013 ACTIVITY DATE COUPONYIELDADJUSTEDMATURITYMARKETUNREALIZED PURCHASEMATURITYDESCRIPTIONRATE To Maturity COSTVALUEVALUEPROFIT/LOSS SECURITIES MATURED 03/28/1103/15/13US Treasury Note 1.38%0.72%1,000,0001,000,0001,000,0000 SECURITIES PURCHASED 01/07/1309/30/14US Treasury Note 0.25%0.25%2,000,1362,000,0002,001,020884 01/07/1310/31/14US Treasury Note 0.25%0.25%3,000,0003,000,0003,001,2901,290 CITY PORTFOLIO CASH 03/31/13Wells Fargo - Workers Comp Checking28,51928,51928,5190 03/31/13Wells Fargo - Regular Checking2992992990 03/31/13Wells Fargo - Repurchase Agreements0.02%0.02%2,020,1292,020,1292,020,1290 2,048,9472,048,9472,048,9470 LAIF 03/31/13LAIF - State Pool0.29%0.29%12,604,65012,604,65012,604,6500 MONEY MARKET FUNDS 03/31/13Wells Fargo 100% Treasury0.00%0.00%6,120,3616,120,3616,120,3610 6,120,3616,120,3616,120,3610 US TREASURY SECURITIES 08/25/1103/31/13US Treasury Note 0.75%0.19%3,000,0003,000,0003,000,0000 05/06/1104/30/13US Treasury Note 0.63%0.57%1,000,0451,000,0001,000,390345 05/19/1106/15/13US Treasury Note 1.13%0.58%1,001,1281,000,0001,002,110982 09/26/1107/31/13US Treasury Note 0.38%0.20%2,001,1882,000,0002,001,800612 11/17/1108/31/13US Treasury Note 0.13%0.22%1,999,1762,000,0002,000,000824 03/28/1109/15/13US Treasury Note 0.75%0.96%999,0691,000,0001,002,8503,781 12/07/1110/31/13US Treasury Note 0.25%0.23%3,000,2893,000,0003,001,9801,691 01/24/1211/30/13US Treasury Note 0.25%0.22%3,000,6773,000,0003,001,9801,303 02/14/1212/31/13US Treasury Note 0.13%0.26%2,996,9933,000,0002,999,5202,527 02/14/1201/31/14US Treasury Note 0.25%0.26%2,999,8003,000,0003,002,4602,660 02/29/1202/28/14US Treasury Note 0.25%0.27%3,999,4284,000,0004,003,2803,852 05/14/1203/31/14US Treasury Note 0.25%0.25%2,999,9383,000,0003,002,2202,282 05/14/1204/30/14US Treasury Note 0.25%0.25%2,999,8713,000,0003,002,2202,349 06/25/1205/31/14US Treasury Note 0.25%0.30%999,4341,000,0001,000,7001,266 12/21/1206/30/14US Treasury Note 0.25%0.23%2,000,4492,000,0002,001,400951 12/21/1207/31/14US Treasury Note 0.13%0.24%1,997,0182,000,0001,997,880862 12/21/1208/31/14US Treasury Note 0.25%0.25%2,000,1312,000,0002,001,020889 01/07/1309/30/14US Treasury Note 0.25%0.25%2,000,1362,000,0002,001,020884 01/07/1310/31/14US Treasury Note 0.25%0.25%3,000,0003,000,0003,001,2901,290 43,994,76944,000,00044,024,12029,351 Total Managed Portfolio64,768,72764,773,95864,798,07829,351 Average Yield0.24% Average Length to Maturity (in years) 0.58 TRUST PORTFOLIO MONEY MARKET FUNDSKester Trust 03/31/13Wells Institutional Money Mkt Acct0.07%0.07%48,51248,51248,5120 BOND RESERVE PORTFOLIO Bond Delivery Cost Acct Goldman Sachs Financial Sq Money Mkt0.07%0.07%131313 Bond Lease Pymt AcctGoldman Sachs Financial Sq Money Mkt0.10%0.10%191919 Bond Reserve Acct Goldman Sachs Financial Sq Money Mkt0.09%0.09%1,588,6571,588,6571,588,6570 Total Bond Reserve Portfolio1,588,6891,588,6891,588,6890 29 LÝ;·;· ,ä ä¦; am;7 t©·Ez LAIF 20% Cash 3% Money Market 9% US Treasuries 68% Rate of Return Comparison 0.60% 0.50% 0.40% 0.30% 0.20% LAIF 0.10% Cupertino 0.00% 30 COMPLIANCE WITH INVESTMENT POLICY City of Cupertino March 31, 2013 CategoryStandardComment Treasury IssuesNo limitComplies US Agencies No limitComplies Medium Term Corporate Bonds30% with A ratingComplies LAIF$50 millionComplies Money Market Funds20%Complies Maximum MaturitiesUp to 5 yearsComplies Per Issuer Max10% (except for Treasuries and US Agencies)Complies Bankers Acceptances 180 days & 40%Complies Commercial Paper270 days & 25%Complies Negotiable Certificates of Deposit30%Complies Repurchase Agreements365 daysComplies Reverse Repurchase agreementsProhibitedComplies 31 32 33 34 35 36 General Fund Budget Report March 31, 2013 2012-2013YTD% YTD % YTD YTDYear-EndOver/ AmendedActualsActualsPYEstimateProjection(Under) Operating Revenues Sales Tax16,492,00013,911,79084%75%12,434,00017,602,0001,110,000 Property Tax14,762,0008,353,68857%61%9,008,00014,433,000(329,000) Transient Occupancy3,252,0002,610,47780%69%2,257,0003,697,000445,000 Utility Tax3,359,0002,246,20067%65%2,167,0003,143,000(216,000) Franchise Fees2,845,0001,256,79744%43%1,210,0002,837,000(8,000) Other Taxes1,558,0001,667,733107%74%1,146,0001,700,000142,000 Licenses and Permits4,346,0002,653,76461%76%3,301,0003,250,000(1,096,000) Use of Money & Property875,000473,78954%74%645,000650,000(225,000) Intergovernmental415,000202,23549%59%243,000426,00011,000 Charges for Services2,481,0383,201,854129%73%1,819,0003,800,0001,318,962 Fines & Forfeitures650,000351,28154%57%369,000629,000(21,000) Other Revenue100,000118,677119%40%40,000157,00057,000 Total Revenue51,135,03837,048,28572%68%34,639,00052,324,0001,188,962 Operating Expenditures Employee Compensation12,852,6198,923,67869%73%9,330,00011,850,000(1,003,000) Employee Benefits5,558,0783,736,80567%71%3,967,0005,150,000(408,000) Materials3,652,8842,291,08363%73%2,683,0003,556,000(97,000) Contract Services15,333,3459,108,46559%78%11,946,00013,532,000(1,801,000) Cost Allocation2,638,7701,979,18075%75%1,979,0002,639,0000 Capital Outlay & Sp Projects1,143,872502,87344%51%587,0001,126,000(18,000) Total Expenditures41,179,56826,542,08464%74%30,492,00037,853,000(3,327,000) Transfers In0000 Transfers Out (8,725,000)(6,543,750)75%75%(4,362,500)(8,725,000)0 Net Gain/(Loss)1,230,4703,962,451(215,500)5,746,0004,515,962 37 ADMINISTRATIVE SERVICES DEPARTMENT CITY HALL 10 10300 TORRE AVENUE CUPERTINO, CA 95014-3255 TELEPHONE: (408) 777-3220 www.cupertino.org CITYCOUNCILSTAFFREPORT Meeting:May21,2013 Subject AnnualadoptionofCityInvestmentPolicy RecommendedAction AdoptResolutionacceptingtheCityInvestmentPolicy Discussion TheCaliforniaGovernmentCoderequiresastatementofinvestmentpolicytobe reviewedandadoptedbytheCityCouncilonatleastanannualbasis.Thisstatement isintendedtoprovideguidelinesfortheprudentinvestmentofthe"¯º¿¹temporary idlecashandoutlinethepoliciesformaximizingtheefficiencyofthe"¯º¿¹cash managementsystem.TheultimategoalistoenhancetheeconomicstatusoftheCity whileprotectingitspooledcash. Nochangesareproposedforthis¿«§¸¹policy.TheAuditCommitteereviewedand acceptedthispolicyonMay8,2013. _____________________________________ Preparedby:DavidWoo,DeputyTreasurer Reviewedby:CarolA.Atwood,CityTreasurer ApprovedforSubmissionby:DavidBrandt,CityManager Attachments:A.DraftResolution B.InvestmentPolicy 38 RESOLUTIONNO. ARESOLUTIONOFTHECITYCOUNCILOFTHECITYOF ACCEPTINGTHECITYINVESTMENTPOLICY WHEREAS,theCityhasavailablefundstoinvestinaccordancewith ofsoundtreasury WHEREAS,theCityinvestsfundsinaccordancewithprovisionsof CodeSection53600; WHEREAS,theCaliforniaGovernmentCoderequiresastatementofinvestment policytobereviewedandadoptedbytheCityCouncilonatleastanannualbasis;and WHEREAS,the"¯º¿¹AuditCommitteereviewedandacceptedtheattachedCity InvestmentPolicyonMay8,2013. NOW,THEREFORE,BEITRESOLVEDthattheCityCounciloftheCityof acceptstheattachedCityInvestmentPolicydatedMay21,2013. PASSEDANDADOPTEDataregularmeetingoftheCityCounciloftheCity ofthis21stdayofMarch2013,bythefollowing VoteMembersoftheCity AYES: NOES: ABSENT: ABSTAIN: ATTEST: _____________________________________________ OrrinMahoney, GraceSchmidt,CityClerk 39 City of Cupertino Investment Policy May 21, 2013 POLICY Under authority granted by the City Council, the City Treasurer and Deputy Treasurer are responsible for investing the surplus funds of the City. The investment of the funds of the City of Cupertino is directed to the goals of safety, liquidity and yield. The authority governing investments for municipal governments is set forth in the California Government Code, Sections 53601 through 53659. The primary objective of the investment policy of the City of Cupertino is SAFETY OF PRINCIPAL. Investments shall be placed in those securities as outlined by type and maturity sector in this document. Effective cash flow management and resulting cash investment practices are recognized as essential to good fiscal management and control. The City’s portfolio shall be designed and managed in a manner responsive to the public trust and consistent with state and local law. Portfolio management requires continual analysis and as a result the balance between the various investments and maturities may change in order to give the City of Cupertino the optimum combination of necessary liquidity and optimal yield based on cash flow projections. SCOPE The investment policy applies to all financial assets of the City of Cupertino as accounted for in the Comprehensive Annual Financial Report (CAFR). Policy statements outlined in this document focus on the City of Cupertino’s pooled, surplus funds, but will also apply to all other funds under the City Treasurer’s span of control unless specifically exempted by statute or ordinance. This policy is applicable, but not limited to all funds listed below: General Fund Special Revenue Funds Capital Project Funds Enterprise Funds Internal Service Funds Trust and Agency Funds Any new fund unless specifically exempted Investments of bond proceeds shall be governed by the provisions of the related bond indentures and/or cash flow requirements and therefore may extend beyond the maturity limitations as outlined in this document. Other post employment benefit (OPEB) trust investments are governed by California Government Code Sections 53620 through 53622 and trust documents. The trust has discretionary investment authority. Mutual funds, exchange-traded funds, closed- end funds, and securities comprising equities, fixed income, cash equivalents, and cash, with maturities possibly extending beyond five years, are allowed investments for an OPEB trust. policy.docx c:\docume~1\kirstens\locals~1\temp\agendamanager\b - investment 40 City of Cupertino Investment Policy May 21, 2013 PRUDENCE The standard to be used by investment officials shall be that of a “prudent person” and shall be applied in the context of managing all aspects of the overall portfolio. Investments shall be made with judgment and care, under circumstances then prevailing, which persons of prudence, direction and intelligence exercise in the management of their own affairs, not for speculation, but for investment, considering the probable safety of their capital as well as the probable income to be derived. It is the City’s full intent, at the time of purchase, to hold all investments until maturity to ensure the return of all invested principal dollars. However, it is realized that market prices of securities will vary depending on economic and interest rate conditions at any point in time. It is further recognized that in a well-diversified investment portfolio, occasional measured losses are inevitable due to economic, bond market or individual security credit analysis. These occasional losses must be considered within the context of the overall investment program objectives and the resultant long-term rate of return. The City Treasurer and Deputy Treasurer, acting within the intent and scope of the investment policy and other written procedures and exercising due diligence, shall be relieved of personal responsibility and liability for an individual security’s credit risk or market price changes, provided deviations from expectations are reported in a timely manner and appropriate action is taken to control adverse developments. OBJECTIVES The primary objectives, in order of priority, of the City of Cupertino’s investment activities shall be: A.Safety of Principal Safety of principal is the foremost objective of the City of Cupertino. Each investment transaction shall seek to ensure that capital losses are avoided, whether from securities default, broker-dealer default or erosion of market value. The City shall seek to preserve principal by mitigating the two types of risk, credit risk and market risk. Credit risk, defined as the risk of loss due to failure of the issuer of a security, shall be mitigated by investing in investment grade securities and by diversifying the investment portfolio so that the failure of any one issuer does not unduly harm the City’s capital base and cash flow. 2 41 City of Cupertino Investment Policy May 21, 2013 Market risk, defined as market value fluctuations due to overall changes in the general level of interest rates, shall be mitigated by limiting the average maturity of the City’s investment portfolio (see maximum maturities) and structuring the portfolio based on historic and current cash flow analysis eliminating the need to sell securities prior to maturity and avoiding the purchase of long term securities for the sole purpose of short term speculation. B. Liquidity The City’s investment portfolio will remain sufficiently liquid to meet all operating requirements which might be reasonably anticipated and provide the City with adequate cash flows to pay its obligations over the next six months. Additionally, the portfolio should consist largely of securities with active secondary resale markets. C.Yield The City’s investment portfolio shall be designed with the objective of attaining a rate of return throughout budgetary and economic cycles, commensurate with Cupertino’s investment risk constraints and cash flow characteristics of the portfolio. MAXIMUM MATURITIES Maturities of investments will be selected based on liquidity requirements to minimize interest rate and maximize earnings. Investment of surplus funds shall comply with the maturity limits as set forth in the California Government Code 53600, et seq. Where this section does not specify a limitation on the term or remaining maturity at the time of the investment, no investment shall be made in any security that at the time of the investment has a term remaining to maturity in excess of five years, unless the Council has granted express authority to make that investment either specifically or as a part of an investment program approved by the Council no less than three months prior to the investment. Reserve funds may be invested in securities exceeding five years if the maturity of such investments is made to coincide as nearly as practicable with the expected use of the funds. PERFORMANCE EVALUATION Investment performance is continually monitored and evaluated by the City Treasurer. Investment performance statistics and activity reports are generated on a quarterly basis for presentation to the oversight (audit) committee, City Manager and City Council. 3 42 City of Cupertino Investment Policy May 21, 2013 Yield on the City’s investment portfolio is of secondary importance compared to the safety and liquidity objectives described above. The City’s investment portfolio shall be designed to attain a market average rate of return through economic cycles. The market average rate of return is defined as the average return on the Local Agency Investment Fund (assuming the State does not adversely affect LAIF’s returns due to budget constraints). Whenever possible, and consistent with risk limitations as defined herein and prudent investment principles, the Treasurer shall seek to augment return above the market average rate of return. DELEGATION OF AUTHORITY The Treasurer is responsible for investment management decisions and activities per City Council Resolution. The Treasurer shall designate a staff person as a liaison/deputy in the event circumstances require timely action and the Treasurer is not present. No officer or designee may engage in an investment transaction except as provided under terms of this policy and the procedures by the Treasurer and approved by the City Manager/Council. The Treasurer shall be responsible for all transactions undertaken and shall establish a system of controls to regulate the activities of subordinate officials. OVERSIGHT COMMITTEE An audit committee consisting of appropriate internal and external members, appointed by the City Council, shall be established to provide general oversight and direction concerning the policy related to management of the City’s investment pool and OPEB trust. The City Treasurer shall serve in a staff and advisory capacity.The committee shall meet at least quarterly to review policy changes, new legislation and portfolio status. ETHICS AND CONFLICTS OF INTEREST Officers and employees involved in the investment process shall refrain from personal business activity that conflicts with proper execution of the investment program, or impairs their ability to make impartial investment decisions. Additionally the City Treasurer and the Deputy Treasurer are required to annually file applicable financial disclosures as required by the Fair Political Practices Commission (FPPC). SAFEKEEPING OF SECURITIES To protect against fraud or embezzlement or losses caused by collapse of an individual securities dealer, all securities owned by the City shall be held in safekeeping by a third party custodian acting as agent for the City under the terms of a custody agreement. All trades executed by a dealer will settle delivery versus payment (DVP) through the City’s safekeeping agent. In order to verify investment holdings, an external auditor, on an annual basis, shall independently verify securities held in custody for the City. 4 43 City of Cupertino Investment Policy May 21, 2013 All exceptions to this safekeeping policy must be approved by the City Treasurer in written form and included in the quarterly report to City Council. INTERNAL CONTROL Separation of duties between the Treasurer’s function and Finance is designed to provide an ongoing internal review to prevent the potential for converting assets or concealing transactions. Wire transfers shall be approved prior to being submitted to the financial institution. Wire transfers initiated by the Treasury Section mustbe reconfirmed by the appropriate financial institution to non-treasury staff.Proper documentation obtained from confirmation and cash disbursement wire transfers is required for each investment transaction. Timely bank reconciliation is conducted to ensure proper handling of all transactions. Separation of duties, transaction approvals, security, and reconciliations shall be included in the wire, receipting, and account receivable processes. Transaction controls, notifications, and reports provided by financial institutions shall be used to help implement these controls. The investment portfolio and all related transactions are reviewed and balanced to appropriate general ledger accounts by Finance on a monthly basis. An independent analysis by an external auditor shall be conducted annually to review internal control, account activity, and compliance with policies and procedures. The analysis shall be reported to the audit committee. REPORTING The City Treasurer shall prepare a quarterly investment report, including a succinct management summary that provides a clear picture of the status of the current investment portfolio. The report will be prepared in a manner that will report all information required under this policy and the California Government Code. The Treasurer will submit the report to Council no later than the second regular council meeting, or approximately 45days following the end of the quarter covered by the report. Following its annual or interim adoption by the City Council, this investment policy shall be remitted to the California Debt and Investment Advisory Commission. QUALIFIED BROKER/DEALERS Minimum eligibility criteria for dealers/brokers include a minimum of $1 billion in assets and a minimum of five years in business. The registration status of all dealers is checked with the National Association of Securities Dealers. Dealers are required to acknowledge the receipt and review of the Statement of Investment Policy, to be familiar with the government code restrictions, and have experience with dealing with other municipal investors. Dealers are then selected on the basis of yields, services offered, 5 44 City of Cupertino Investment Policy May 21, 2013 and references obtained. They may be primary or secondary dealers. The financial institutions must submit a current annual audited financial statement to ascertain capital adequacy. COLLATERAL REQUIREMENTS Collateral is required for investments in certificates of deposit and repurchase agreements. In order to reduce market risk, the collateral level will be at least 102% of market value of principal and accrued interest. In order to conform with the provisions of the Federal Bankruptcy Code which provides for liquidation of securities held as collateral, the only securities acceptable as collateral shall be certificates of deposit, commercial paper, eligible banker’s acceptances, medium term notes or securities that are the direct obligations of, or are fully guaranteed as to principal and interest by, the United States or any agency of the United States. AUTHORIZED INVESTMENTS Investment of City funds is governed by the California Government Code Sections 53600 et seq. Within the context of the limitations, the following investments are authorized, as further limited herein: 1.United States Treasury Bills, Bonds, and Notes or those for which the full faith and credit of the United States are pledged for payment of principal and interest. There is no percentage limitation of the portfolio that can be invested in this category, although a five-year maturity limitation is applicable. 2.Obligations issued by the Government National Mortgage Association (GNMA), the Federal Farm Credit System (FFCB), the Federal Home Loan Bank Board (FHLB), the Federal National Mortgage Association (FNMA), the Student Loan Marketing Association (SLMA), and the Federal Home Loan Mortgage Association (FHLMC). There is no percentage limitation of the portfolio that can be invested in this category. A five-year maturity limitation is applicable. 3.Banker’s Acceptances (bills of exchange or time drafts drawn on and accepted by commercial banks) may not exceed 180 days to maturity or 40% of the cost value of the portfolio. 4.Local Agency Investment Fund (LAIF), which is a State of California managed investment pool, may be used up to the maximum permitted by California state law. Investment officers will review LAIF’s investment policy, investment mix, rate of return, etc. on a monthly basis. Investments detailed in items 5 through 10 are further restricted to percentage of the cost value of the portfolio in any one-issuer name to a maximum of 10%. The total value invested in any one issuer shall not exceed 5% of the issuers’ net worth. Again, a five-year maximum maturity limitation is applicable unless further restricted by this policy. 6 45 City of Cupertino Investment Policy May 21, 2013 5.Commercial paper ranked P1 by Moody’s Investor Services or A1+ by Standard & Poors, and issued by domestic corporations having assets in excess of $500,000,000 and having an AA or better rating on its long-term debentures as provided by Moody’s or Standard & Poors. Purchases of eligible commercial paper may not exceed 270 days to maturity nor represent more than 10% of the outstanding paper of the issuing corporation. Purchases of commercial paper may not exceed 25% of the cost value of the portfolio. 6.Negotiable Certificates of Deposits issued by nationally or state chartered banks,state or federal savings institutions,or state or federal credit unions. These institutions may use a private sector entity to assist in the placement of the certificates of deposit under the conditions specified by the Government Code.Purchases of Negotiable Certificates of Deposit may not exceed 30% of the cost value of the portfolio. A maturity limitation of five years is applicable. 7.Repurchase agreements that specify terms and conditions may be transacted with banks and broker dealers. The maturity of the repurchase agreements shall not exceed one year. The market value of the securities used as collateral for the repurchase agreements shall be monitored by the investment staff and shall not be allowed to fall below 102% of the value of the repurchase agreement. A PSA Master Repurchase Agreement is required between the City of Cupertino and the broker/dealer or financial institution for all repurchase agreements transacted. 8.Reverse repurchase agreements are not authorized. 9.Certificates of Deposit (time deposits), non-negotiable and collateralized in accordance with the California Government Code, may be purchased through banks,savings and loan associations,or credit unions. Within a limit of 30% of the cost value of the portfolio, these institutions may use a private sector entity to assist in the placement of the time deposits under the conditions specified by the Government Code. 10.Medium Term Corporate Notes issued by corporations organized and operating in the United States with a maximum maturity of five years may be purchased. Securities eligible for investment shall be rated A or better by Moody’s or Standard & Poor’s rating services. Purchase of medium term notes may not exceed 30% of the cost value of the portfolio. 11.Bonds issued by the local agency, including bonds payable solely out of the revenues from a revenue producing property owned, controlled or operated by the local agency or by a department, board, agency, or authority of the local agency. 12.Registered state warrants or treasury notes or bonds of this state, including bonds payable solely out of the revenues from a revenue producing property owned, controlled or operated by the state or by a department, board, agency or authority of the state. 7 46 City of Cupertino Investment Policy May 21, 2013 13.Bonds, notes, warrants or other evidences of indebtedness of any local agency within this state. 14.Various daily money market funds administered for or by trustees, paying agents and custodian banks contracted by the City of Cupertino may be purchased as allowed under State of California Government Code. Only funds holding U.S. Treasury obligations, Government agency obligations,or repurchase agreements collateralized by U.S. Treasury or Government agency obligationscan be utilized and may not exceed 20% of the cost value of the portfolio. 15.Ineligible investments are those that are not described herein, including but not limited to, common stocks and long term (over five years in maturity) notes and bonds are prohibited from use in this portfolio. It is noted that special circumstances arise that necessitate the purchase of securities beyond the five-year limitation. On such occasions, requests must be approved by City Council prior to purchase. DEPOSITS To be eligible to receive local agency money, a bank, savings association, federal association, or federally insured industrial loan company shall have received an overall rating of not less than “satisfactory” in its most recent evaluation by the appropriate federal financial supervisorial agency of its record of meeting the credit needs of California’s communities. INTEREST EARNINGS All moneys earned and collected from investments authorized in this policy shall be allocated monthly to various fund accounts based on the cash balance in each fund as a percentage of the entire pooled portfolio. POLICY REVIEW The City of Cupertino’s investment policy shall be adopted by resolution of the City Council on an annual basis. This investment policy shall be reviewed at least annually to ensure its consistency with the overall objectives of preservation of principal, liquidity and yield, and its relevance to current law and financial and economic trends. 8 47 PUBLIC WORKS DEPARTMENT CITY HALL 10 10300 TORRE AVENUE CUPERTINO, CA 95014-3255 TELEPHONE: (408) 777-3354 www.cupertino.org CITYCOUNCILSTAFFREPORT Meeting:May21,2013 Subject Annualapprovalandrenewalofthecollectionofexistingstormdrainfeesatno increaseinratesforfiscalyear20132014. RecommendedAction AdoptResolutionNo.13____. Discussion Since1992,theNonpointSourceProgram,mandatedbytheStateofCaliforniaandthe UnitedStatesEnvironmentalProtectionAgencyregulations,hasbeenfundedlocally fromastormdrainfeeappliedtoeachpropertyintheCity.Thefee,collectedbythe SantaClaraCountyTaxCollectoronbehalfoftheCity,issubjecttoannualreviewand approvalbytheCityCouncil. Theexistingstormdrainfeessupportthe"¯º¿¹Stateandfederallymandatedprograms andStatewaterqualitycontrolrequirements.Alsosupportedbythesefundsarethe operationandmaintenanceofstormdrainfacilities(totheextentnotcoveredby existingGeneralFundactivities),aportionoftheannualstreetsweepingcontract, fundingforregionalwatershedmonitoring,localpublicoutreachandeducation,litter reductionmeasuresandothercomplianceworkconductedonbehalfofthecitiesand agenciesbytheSantaClaraValleyUrbanRunoffPollutionPreventionProgram (SCVURPPP).TheCityisalsoresponsibleformandatoryinspectionsanddatatracking topreventillegalconnectionsanddischargestothe"¯º¿¹stormdrainsystemand impactstoStatewaters. Thefeeshaveremainedthesamesincetheywerefirstleviedin1992andnoincreaseis proposedatthistime.Theannualfeesforeachpropertycategoryareasfollows: CategoryRateperYear SingleFamily,Townhomes,Condominiums$12.00/premise Commercial/Industrial/Apartments$144.00/acre Unimproved/Recreation$36.00/acre 48 FiscalImpact Thefeeschedule,whenleviedonallpropertiesintheCityofCupertino,generates approximately$370,000.TheproposedprogrambudgetforFY20132014is approximately$507,000.Thebudgetedamountistheminimumnecessarytocomply withtheincreasinglystringentStateandFederalcleanwaterrequirements,higher municipal-§º¯µ´§²/µ²²»º§´º#¯¹©®§¸«$²¯³¯´§º¯µ´2¿¹º«³(NPDES)feesproposedbythe State,andanincreaseinSCVURPPPprogramcosts.Thedifferencebetweenthe budgetedamountandtherevenuefromfeesisproposedtocontinuetobesupportedby theGeneralFund. Anyincreaseinthecurrentfeeamountwouldbesubjecttotheballotelection provisionsofProposition218andnochangeisrecommendedatthistime;however,the nextGodbecommunitysurveyinearly2015willtestsupportforafeeincrease. SustainabilityImpact Thestormdrainagefee,whichhasbeeninplacesince1992,supportswaterpollution preventionandwaterconservation(NPDES)activities.Asignificantsustainability [1] benefitisthereduction(orelimination)ofpollutantdischargeswhichcoulddegrade localcreeksandthreatenthesupplyofcleanwater. _____________________________________ Preparedby:CheriDonnelly,EnvironmentalProgramsManager Reviewedby:TimmBorden,DirectorofPublicWorks ApprovedforSubmissionby:DavidBrandt,CityManager Attachments: ADraftResolution National Pollutant Discharge Elimination System (NPDES) is the name of the permit required of all municipalities that discharge rainwater into local creeks and other waters of the State. NPDES requirements are federally mandated by the Clean Water Act and regulated by the State’s Regional Water Quality Control Board (RWQCB) for the San Francisco Bay region. 49 RESOLUTION NO. 13- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CUPERTINO APPROVING THE RENEWAL AND COLLECTION OF THE EXISTING STORM DRAIN FEES AT NO INCREASE IN RATES FOR FISCAL YEAR 2013-2014 WHEREAS, the City Council of the City of Cupertino has previousl Municipal Code Chapter 3.36 for the purpose of meeting the City Stormwater Pollution Prevention and Management Program and establishing the authority for imposing and charging a storm drainage service charge; and WHEREAS, a report concerning the method of assessing an environm the Citys Stormwater ManagementProgram was prepared by the Director of Public Works pursuant to Section 3.36.080(B) of the Citys Municipal Code and filed with the City Clerk on May 1st, 2013. A report, entitled Engineers Report, Assessment of Fees for Stor Purposes Nonpoint Source Pollution Program, was prepared by the Director of Public Works and is dated May 8, 2013; and WHEREAS, the report, filed with the City Clerk, was available for public inspection and review twenty (20) days prior to this public hearing; and WHEREAS, the City Council of the City of Cupertino finds and det 1. After considering the report entitled Engineers Report, Assess Storm Drainage Purposes Nonpoint Source Pollution Program (included as Exhibit A) and the testimony received at this public hearing, the City Council rt and herein incorporates it in the resolution. 2. There is a need in the City for the continuation of a storm drai charge to cover the costs of the federally mandated program as h properties within the city will not otherwise contribute their fair share towards this program and without the availability of such storm drainage service char will be depleted. 3. The facts and evidence presented establish that there is a reaso relationship between the need for this fee and the impacts for which thi and that there is a reasonable relationship between the fees us 50 ResolutionNo.13- to be charged this fee. These relationships or nexuses are descre detail in the above referenced report. 4.The amounts of the fee for each category of property, as set for reasonable amounts as such fees are based on runoff coefficients Storm Drain Study. 5.It is further determined that each and every parcel of land contained in said report will, and has received a benefit offlood control fromthe storm drainage system and that the charges imposed herein on each such parcel are in confo such parcel has received as further described in the report. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City that: 1.Charge. The storm drainage service charge shall continue to be charge parcel within the city to cover the costs of the Citys federal and state requirements for Nonpoint Source Control and a Stormwater Management Program. 2. Use of Revenue. The revenue derived from said charge shall be used in connection with implementing and enforcing Chapters 3.36 of the Cupertino Municipal Code entitled Storm Drainage Service Charge and Chapter 9.18 entitled Stormwater Pollution Prevention and Watershed Protection. 3. Schedule of Charges. (a) Annual fees for each category of property will be assessed follows: Residential premises $ 12.00/parcel Apartment premises $ 144.00/acre Commercial/Industrial premises $ 144.00/acre Unimproved/Recreational $ 36.00/acre (b) The following public properties are exempt from, and shall the environmental fee: 2 51 ResolutionNo.13- Cupertino Sanitary District Santa Clara County Santa Clara Valley Water District Southern Pacific Transportation Company State of California The Santa Clara County Fire Department The City of Cupertino The Cupertino Union School District The Foothill-De Anza Community College District The Fremont Union High School District The Midpeninsula Regional Park District United States of America 4. Judicial Action to Challenge this Resolution. Any judicial action or proceeding to challenge, review, set aside, void, or annul this resolution from the date of its adoption. PASSED AND ADOPTED at a regular meeting of the City Council of the City of Cupertino this 21 day of May, 2013, by the following vote: st Vote Members of the City Council AYES: NOES: ABSENT: ABSTAIN: ATTEST: APPROVED: ________________________________ Grace Schmidt, City Clerk Orrin Mahoney, Mayor 3 52 ResolutionNo.13- EXHIBIT A ENGINEER'S REPORT ASSESSMENT OF FEES FOR STORM DRAINAGE PURPOSES NONPOINT SOURCE POLLUTION PROGRAM A.Program Description and Purpose The purpose of this assessment is to collect fees for funding the City of Cupertino's Nonpoint Source Pollution Program mandated by the Environmental Protection Agency (EPA). Regulations by the EPA and the State of California require cities to take specific actions to eliminate or control pollutants in waters of the State. The term "nonpoint source pollution" represents a process whereby pollutants, debris, sediment and chemicals which accumulate on streets, in neighborhoods, construction sites, parking lots and other exposed surfaces are washed off by rainfall and carried away by stormwater runoff(via drain inlets and pipes installed for flood control)into local creeks and the San Francisco Bay. Sources of these pollutants may include automobile exhaust andoil, pesticides, fertilizers, eroded soil, detergents, pet waste,paint, litter and other material carried through the storm drain system, without treatment, directly to the Bay. Many of these pollutants are hazardous to aquatic and human life. The City of Cupertino has implemented several mandated and optional programs to mitigate this problem. Among other activities, these programsinclude elimination of illegal discharges into storm drains, street sweeping, installation of trash capture devices inside drain inlets and curb screens to prevent litter from entering drain inlets, inspection and maintenance of storm drain structures, public educationat City eventsanda City and school district-wide third-grade creek education&field trip program. The State San Francisco Bay Regional Water Quality Control Board (Water Board) approvedthe MunicipalRegional Permit (MRP)on October 14, 2009. The permitwas issuedto 76 agenciesor co-permittees (including the City of Cupertino) which discharge storm water through drainage systems to the San Francisco Bay. TheMRP includesseveral mandated requirements that are beingphased inover five years. The Santa Clara Valley Urban Runoff Pollution Prevention Program (SCVURPPP) has hadto increase its co-permittee assessmentsto meet these requirements. The City must alsoinspectand clean itsdrain inlets and storm drainconveyance systemannually prior to the rainy season.With theseand various other MRP requirements on the horizon the City has hadto increase the NPS budget to ensure continuedcompliance.While Proposition 218 essentially prevents the City from increasing stormwater fees,it isimportant that the fees that have been inplacesince 1992continue to be collected. 4 53 ResolutionNo.13- B.Estimated Expenditures The total estimated budget to implement the required programs described above for fiscal year 2013-2014is approximately $507,768.The breakdown of costs is estimatedas follows: Countywide Program $140,000 Regional Watershed Monitoring State National Pollutant Discharge Elimination System (NPDES) Permit Fees Public Education, Public Awareness and Staff Training CA Stormwater Quality Association (CASQA) Guidance Manuals SCVURPP Program Fee -Collaborative Implementation of Permit Requirements Municipal Permit Compliance Policy Implementation Operations and Maintenance $160,000 Catch Basin Cleaning Street Sweeping On-call Spill Response City Public Education Awareness $50,000 Public Outreach Materials & Events Third-Grade Creek Education for Local Schools Support for High School Watershed and Creek Education Support for De Anza College and Community Environmental Education Local Programs $157,000 Administration and Ordinance Revisions Annual Reports to State SF Bay Water Board Database Administration Illegal Discharge Detection & Elimination Investigation and Enforcement Industrial/Commercial Inspection andEnforcement Program Construction Site Inspection and Control Program New Development Implementation ofLow Impact Development (LID) Trash Management Requirements and Litter Abatement _______ TOTAL $507,000 C.Revenue and Assessment Revenues generated to fund this program are based on a factorcalculated from the City's Master Storm Drain Study runoff coefficients and average area of impervious surface per acre based on type of land-use development. The factor for each category is based on a comparison to an average residential parcel assigneda factor of one. 5 54 55 PUBLIC WORKS DEPARTMENT CITY HALL 10 10300 TORRE AVENUE CUPERTINO, CA 95014-3255 TELEPHONE: (408) 777-3354 www.cupertino.org CITY COUNCIL STAFF REPORT Meeting:May21,2013 Subject OneBayAreaGrantApplicationResolutionofLocalSupport. RecommendedAction AdoptResolutionNo.13____,authorizingthefilingofanapplicationforfunding assignedtotheMetropolitanTransportationCommission(MTC),committingany necessarymatchingfundsandstatingtheassurancetocompletetheproject. Discussion TheMTCsframeworkforprogrammingthe20132016SurfaceTransportationProgram (STP),CongestionMitigationandAirQuality(CMAQ)andTransportationAlternatives (TA)fundsiscalledthe OneBayAreaGrant!Program(OBAG).OBAGfundsforeach countyaredeterminedbytheMTC.TheOneBayAreaGrantProgramisanewfunding approachthatbetterintegratesthe¸«¯µ´¹federaltransportationprogramwith "§²¯¬µ¸´¯§¹climatelaw(SenateBill375,Steinberg,2008)andtheSustainable CommunitiesStrategy. SantaClaraCountyOBAGSTPfundsareofferedtolocalagenciesasCityRoad RehabilitationGuaranteefunds,whichmaybeusedinnonPriorityDevelopmentAreas (PDA).TheCityisguaranteed$735,000inSTPfunds.SantaClaraCountyOBAG CMAQfundsareofferedtolocalagenciesforCityCompleteStreetsGuaranteefunds whichmaybeusedinnon/# ¹ andCompetitiveCompleteStreetsprojectswhich mustbelocatedin/# ¹orhaveproximateaccessto/# ¹ SantaClaraCounty OBAGTAfundsareofferedtolocalagenciesforCompetitiveCompleteStreetsprojects whichmustbelocatedin/# ¹orhaveproximateaccesstoaPDA. Thefollowingcriteriamustbemetinordertobeconsideredforfunding,regardlessof thetransportationimprovementcategoryorfundsource. AGeneralPlanHousingElementadoptedandcertifiedbytheCalifornia DepartmentofHousingandCommunityDevelopmentfor200714Regional HousingNeedAllocation(RHNA)priortoJanuary31,2013;and AnadoptedCompleteStreetspolicyresolutionnolaterthanJanuary31,2013or proofofaGeneralPlancompliantwiththeCompleteStreetsActof2008. 56 Cupertinohasmettheabovecriteria.Additionally,aResolutionofLocalSupportis requiredinordertoapplyforfunding. Afterreviewingthesubmittedprojectsforeligibilityandthenscoringthecompetitive (nonguarantee)projects,VTAwillsolicitBoardapprovalandthensubmittheirlistof recommendedprojectstoMTC. CitystaffsubmittedtwoOBAGprojectapplicationsfor53 ¹consideration.Forthe STPguaranteefunds,theStevensCreekBoulevardOverlayProjectwouldinstall rubberizedasphaltoverlayalongStevensCreekBoulevardbetweenHighway85and DeAnzaBoulevard,andwouldusethe"¯º¿¹allocated$735,000.Thetotalprojectcost is$1,200,000. Forthecompetitivegrant,theMontaVistaSidewalkInstallationProjectwouldinstall newsidewalksalongByrneAvenue,OrangeAvenue,PasadenaAvenueandLomita Avenue,andincludeaneighborhoodandschoolengagementcampaigntopromote safetyandalternativemodesharecommuting.TheCityhasrequested$1,650,000in discretionaryCMAQfundingforthisproject.Thetotalcostofthisprojectis$1,865,000. InitiallyscoringreceivedfromVTAstaffindicatesthatthisprojecthasnotscoredhigh enoughtobefundedatthistime. ItisrecommendedthattheCityCounciladopttheattachedResolutionofLocal Support,whichwillallowtheCitytoreceiveitsshareofSTPguaranteefundsandthe CMAQdiscretionaryfunds,shouldtheVTABoardapprovetheseprojects. FiscalImpact Federallyfundedprojectsrequireaminimum11.47%localmatch.Tothatend,theCity willbecontributing$465,000towardtheStevensCreekBoulevardOverlayProjectasa projectearmarkfromtheannualPavementManagementProgram,and$215,000would berequestedtowardstheMontaVistaSidewalkInstallationProjectfromthe201415 GeneralFundCIP,shouldtheprojectbeapproved. _____________________________________ Preparedby:DavidStillman,SeniorCivilEngineer Reviewedby:TimmBorden,DirectorofPublicWorks ApprovedforSubmissionby:DavidBrandt,CityManager Attachments: AKDraftResolution 57 1$2.+43(.--. tv ARESOLUTIONOFTHECITYCOUNCILOFTHECITYOFCUPERTINO AUTHORIZINGTHEFILINGOFANAPPLICATIONFORFUNDINGASSIGNEDTOMTC ANDCOMMITTINGANYNECESSARYMATCHINGFUNDSANDSTATINGTHE ASSURANCETOCOMPLETETHEPROJECT WHEREAS,theCityofCupertino(hereinreferredtoasAPPLICANT)issubmittingan applicationtotheMetropolitanTransportationCommission(MTC)for$2,385,000infunding assignedtotheMTCforprogrammingdiscretion,includingbutnotlimitedtofederal fundingadministeredbytheFederalHighwayAdministration(FHWA)suchasSurface TransportationProgram(STP)funding,CongestionMitigationandAirQualityImprovement (CMAQ)fundingand/orTransportationAlternatives(TA)funding(hereincollectively referredtoasREGIONALDISCRETIONARYFUNDING)fortheStevensCreekBoulevard OverlayProjectandtheMontaVistaSidewalkInstallationProject(hereinreferredtoas PROJECT)fortheOneBayAreaGrantProgram(hereinreferredtoasPROGRAM);and WHEREAS,theMovingAheadforProgressinthe21CenturyAct(PublicLaw112 st 141,July6,2012)andanyextensionsorsuccessorlegislationforcontinuedfunding (collectively,MAP21)authorizevariousfederalfundingprogramsincluding,butnotlimited totheSurfaceTransportationProgram(STP)(23U.S.C.§133),theCongestionMitigationand AirQualityImprovementProgram(CMAQ)(23U.S.C.§149)andtheTransportation AlternativesProgram(TA)(23U.S.C.§213);and WHEREAS,statestatutes,includingCaliforniaStreetsandHighwaysCode182.6and 182.7providevariousfundingprogramsfortheprogrammingdiscretionoftheMetropolitan PlanningOrganization(MPO)andtheRegionalTransportationPlanningAgency(RTPA); and WHEREAS,pursuanttoMAP21,andanyregulationspromulgatedthereunder, eligibleprojectsponsorswishingtoreceivefederalfundsforaprojectshallsubmitan applicationfirstwiththeappropriateMPOforreviewandinclusionintheMPOs TransportationImprovementProgram(TIP);and WHEREAS,MTCistheMPOandRTPAfortheninecountiesoftheSanFranciscoBay region;and 58 Resolution No. 13- WHEREAS MTChasadoptedaRegionalProjectFundingDeliveryPolicy(MTC ResolutionNo.3606,revised)thatsetsoutproceduresgoverningtheapplicationanduseof federalfunds;and WHEREAS,APPLICANTisaneligiblesponsorforREGIONALDISCRETIONARY FUNDING;and WHEREAS,aspartoftheapplicationforREGIONALDISCRETIONARYFUNDING, MTCrequiresaresolutionadoptedbytheresponsibleimplementingagencystatingthe following: 1.thecommitmentofanyrequiredmatchingfundsofatleast11.47%;and 2.thatthesponsorunderstandsthattheREGIONALDISCRETIONARYFUNDINGis fixedattheprogrammedamount,andthereforeanycostincreasecannotbe expectedtobefundedwithadditionalREGIONALDISCRETIONARYFUNDING; and 3.thattheprojectwillcomplywiththeprocedures,deliverymilestonesandfunding deadlinesspecifiedintheRegionalProjectFundingDeliveryPolicy(MTC ResolutionNo.3606,revised);and 4.theassuranceofthesponsortocompletetheprojectasdescribedintheapplication, andifapproved,asincludedinMTCsfederalTransportationImprovement Program(TIP);and 5.thattheprojectwillcomplywithallprojectspecificrequirementsassetforthinthe PROGRAM;and 6.thattheproject(transitonly)willcomplywithMTCResolutionNo.3866,revised, whichsetsforththerequirementsof,3"¹TransitCoordinationImplementation Plantomoreefficientlydelivertransitprojectsintheregion. NOW,THEREFORE,BEITRESOLVEDthattheAPPLICANTisauthorizedtoexecute andfileanapplicationforfundingforthePROJECTforREGIONALDISCRETIONARY FUNDINGunderMAP21forcontinuedfunding;andbeitfurther RESOLVEDthattheAPPLICANTbyadoptingthisresolutiondoesherebystatethat: 1.APPLICANTwillprovide$680,000inmatchingfunds;and 2.APPLICANTunderstandsthattheREGIONALDISCRETIONARYFUNDINGfor theprojectisfixedattheMTCapprovedprogrammedamount,andthatanycost increasesmustbefundedbytheAPPLICANTfromotherfunds,andthat 2 59 Resolution No. 13- APPLICANTdoesnotexpectanycostincreasestobefundedwithadditional REGIONALDISCRETIONARYFUNDING;and 3.APPLICANTunderstandsthefundingdeadlinesassociatedwiththesefundsand willcomplywiththeprovisionsandrequirementsoftheRegionalProjectFunding DeliveryPolicy(MTCResolutionNo.3606,revised)andAPPLICANThas,andwill retaintheexpertise,knowledgeandresourcesnecessarytodeliverfederally fundedtransportationprojects,andhasassigned,andwillmaintainasinglepoint ofcontactforallFHWAfundedtransportationprojectstocoordinatewithinthe agencyandwiththerespectiveCongestionManagementAgency(CMA),MTC, CaltransandFHWAonallcommunications,inquiresorissuesthatmayarise duringthefederalprogramminganddeliveryprocessforallFHWAfunded transportationprojectsimplementedbyAPPLICANT;and 4.PROJECTwillbeimplementedasdescribedinthecompleteapplicationandinthis resolutionand,ifapproved,fortheamountapprovedbyMTCandprogrammedin thefederalTIP;and 5.APPLICANTandthePROJECTwillcomplywiththerequirementsassetforthin MTCprogrammingguidelinesandprojectselectionproceduresforthe PROGRAM;and 6.APPLICANT(foratransitprojectonly)agreestocomplywiththerequirementsof ,3"¹TransitCoordinationImplementationPlanassetforthinMTCResolution 3866,revised;andthereforebeitfurther RESOLVEDthatAPPLICANTisaneligiblesponsorofREGIONALDISCRETIONARY FUNDINGfundedprojects;andbeitfurther RESOLVEDthatAPPLICANTisauthorizedtosubmitanapplicationforREGIONAL DISCRETIONARYFUNDINGforthePROJECT;andbeitfurther RESOLVEDthatthereisnolegalimpedimenttoAPPLICANTmakingapplicationsfor thefunds;andbeitfurther RESOLVEDthatthereisnopendingorthreatenedlitigationthatmightinanyway adverselyaffecttheproposedPROJECT,ortheabilityofAPPLICANTtodeliversuch PROJECT;andbeitfurther 3 60 Resolution No. 13- RESOLVEDthatAPPLICANTauthorizesitsExecutiveDirector,GeneralManager,or designeetoexecuteandfileanapplicationwithMTCforREGIONALDISCRETIONARY FUNDINGforthePROJECTasreferencedinthisresolution;andbeitfurther RESOLVEDthatacopyofthisresolutionwillbetransmittedtotheMTCin conjunctionwiththefilingoftheapplication;andbeitfurther RESOLVEDthattheMTCisrequestedtosupporttheapplicationforthePROJECT describedintheresolutionandtoincludethePROJECT,ifapproved,inMTCsfederalTIP PASSEDANDADOPTEDataregularmeetingoftheCityCounciloftheCityofCupertino this21dayofMay,2013,bythefollowingvote: st VoteMembersoftheCityCouncil AYES: NOES: ABSENT: ABSTAIN: ATTEST:APPROVED: ________________________________ GraceSchmidt,CityClerkOrrinMahoney,Mayor 4 61 PUBLIC WORKS DEPARTMENT CITY HALL 10 10300 TORRE AVENUE CUPERTINO, CA 95014-3255 TELEPHONE: (408) 777-3354 www.cupertino.org CITYCOUNCILSTAFFREPORT Meeting:May21,2013 Subject CallforProjectsforthe"¯º¿¹ &»§¸§´º««!shareoftheTransportationDevelopment Act(TDA)Article3FY2013/14Program. RecommendedAction AdoptResolutionNo.13_____,authorizingallocationofTDAArticle3funding. Discussion TheMetropolitanTransportation"µ³³¯¹¹¯µ´¹,3"¹TransportationDevelopment Act(TDA)Article3ProgramisadministeredbytheSantaClaraValleyTransportation Authority(VTA)andprovidesfundingforCountywideBicycleandPedestrian programs.EachFiscalYear,thelocalagenciesaregiventheopportunitytoparticipate inthecallforprojectstoaccesstheavailablegrantfunds.Theguaranteedshareofthe TDAArticle3fundsarebasedonpopulationprojectionsandfundscarriedforward frompreviousyears."»¶«¸º¯´µ¹shareforFY2013/14is$113,703.Thefundsmaybe bankedforuptotwoyears,plusoneyeartoprogramfunds.Anyfundsnot programmedbytheendofthe3yearareredistributedtothecountywideTDApool rd forthefollowingfiscalyear. Foreligibilityfortheguaranteeshare,constructionprojectsmust haveenvironmentalclearance, haveanauthorizingresolution,and becompletedpriortoJune30,2016. Inresponsetothecurrentcallforprojects,thePublicWorksDepartmentrecently submittedfor53 ¹considerationthedesignandconstructionofaportionofthe McClellanRoadSidewalkConstructionProjectPhase1&2.Thisprojectwillprovide sidewalks,curbsandguttersthatwillclosecriticalsidewalkgapsalongMcClellanRoad betweenByrneAvenueandMiraVistaLane(seeAttachmentsB&C). 62 ThisreportrequeststhattheCityCouncilendorseusing"»¶«¸º¯´µ¹guaranteedshare ofTDAArticle3fundstoprovidefundingtowardthedesignandconstructionofa portionoftheMcClellanRoadSidewalkConstructionProject.Withthe"µ»´©¯²¹ endorsementandadoptionoftheresolution,theCitycanreceiveitsshareofTDAfunds andapplythemtowardsthisproject. FiscalImpact TDAArticle3isaprogramthatreimbursescitiesfortheincurredcostsofapproved projects.TheVTAestimatestheCitywillreceivefundsintheamountof$113,703from theCityGuaranteeFundapportionment.Newgrantrevenueisapositivefiscalimpact. _____________________________________ Preparedby:ErwinChing,AssociateCivilEngineer Reviewedby:TimmBorden,DirectorofPublicWorks ApprovedforSubmissionby:DavidBrandt,CityManager Attachments: DraftResolutionandApplication A- Figure2DetailMap B- Figure3DetailMap C- 63 1$2.+43(.--. tv ARESOLUTIONOFTHECITYCOUNCILOFTHECITYOFCUPERTINO APPROVINGTHEREQUESTTOTHEMETROPOLITANTRANSPORTATION COMMISSIONFORANALLOCATIONOFTRANSPORTATIONDEVELOPMENT ACTARTICLE3PEDESTRIANANDBICYCLEPROJECTFUNDING FORFISCALYEAR2013/14 WHEREAS,Article3oftheTransportationDevelopmentAct(TDA),Public UtilitiesCode(PUC)Section99200etseq.,authorizesthesubmissionofclaimstoa regionaltransportationplanningagencyforthefundingofprojectsexclusivelyforthe benefitand/oruseofpedestriansandbicyclists;and WHEREAS,theMetropolitanTransportationCommission(MTC),asthe regionaltransportationplanningagencyfortheSanFranciscoBayregion,hasadopted MTCResolutionNo.875,Revised,entitled 3¸§´¹¶µ¸º§º¯µ´DevelopmentAct,Article 3,Pedestrian/Bicycle/¸µ°«©º¹ !whichdelineatesproceduresandcriteriaforsubmission ofrequestsfortheallocationof 3# Articlev!funding;and WHEREAS,MTCResolutionNo.875,Revised,requiresthatrequestsforthe allocationofTDAArticle3fundingbesubmittedaspartofasingle,countywide coordinatedclaimfromeachcountyintheSanFranciscoBayregion;and WHEREAS,theCITYOFCUPERTINOdesirestosubmitarequesttoMTCfor theallocationofTDAArticle3fundstosupporttheprojectsdescribedinAttachmentB tothisresolution,whicharefortheexclusivebenefitand/oruseofpedestriansand/or bicyclists;now,therefore,beit RESOLVED,thattheCITYOFCUPERTINOdeclaresitiseligibletorequestan allocationofTDAArticle3fundspursuanttoSection99234ofthePublicUtilities Code,andfurthermore,beit RESOLVED,thatthereisnopendingorthreatenedlitigationthatmight adverselyaffecttheprojectorprojectsdescribedinAttachmentBtothisresolution,or thatmightimpairtheabilityoftheCITYOFCUPERTINOtocarryouttheproject;and furthermore,beit RESOLVED,thattheCITYOFCUPERTINOatteststotheaccuracyofand approvesthestatementsinAttachmentAtothisresolution;andfurthermore,beit 64 RESOLVED,thatacertifiedcopyofthisresolutionanditsattachments,andany accompanyingsupportingmaterialsshallbeforwardedtothecongestionmanagement agency,countywidetransportationplanningagency,orcountyassociationof governments,asthecasemaybe,ofSANTACLARACOUNTYforsubmissiontoMTC aspartofthecountywidecoordinatedTDAArticle3claim. PASSEDANDADOPTEDataregularmeetingoftheCityCounciloftheCityof Cupertinothis21dayofMay,2013,bythefollowingvote: st VoteMembersoftheCityCouncil AYES: NOES: ABSENT: ABSTAIN: ATTEST:APPROVED: ________________________________ GraceSchmidt,CityClerkOrrinMahoney,Mayor 65 Resolution No. 13-______ Attachment A Re:Request to the Metropolitan Transportation Commission for the Allocation of Fiscal Year 2013/14 Transportation Development Act Article 3 Pedestrian/Bicycle Project Funding Findings Page 1 of 1 CITY OF CUPERTINO 1. That the is not legally impeded from submitting a request to the Metropolitan Transportation Commission for the allocation of Transportation Development Act (TDA) Article 3 funds, nor CITY OF CUPERTINO is the legally impeded from undertaking the project(s) described in “Attachment B” of this resolution. CITY OF CUPERTINO 2. That the has committed adequate staffing resources to complete the project(s) described in Attachment B. 3. A review of the project(s) described in Attachment B has resulted in the consideration of all pertinent matters, including those related to environmental and right-of-way permits and clearances, attendant to the successful completion of the project(s). 4. Issues attendant to securing environmental and right-of-way permits and clearances for the projects described in Attachment B have been reviewed and will be concluded in a manner and on a schedule that will not jeopardize the deadline for the use of the TDA funds being requested. 5. That the project(s) described in Attachment B comply with the requirements of the California Environmental Quality Act (CEQA, Public Resources Code Sections 21000 et seq.). 6. That as portrayed in the budgetary description(s) of the project(s) in Attachment B, the sources of funding other than TDA are assured and adequate for completion of the project(s). 7. That the project(s) described in Attachment B are for capital construction and/or design engineering; and/or for the maintenance of a Class I bikeway which is closed to motorized traffic; and/or for the purposes of restriping Class II bicycle lanes; and/or for the development or support of a bicycle safety education program; and/or for the development of a comprehensive bicycle and/or pedestrian facilities plan, and an allocation of TDA Article CITY OF CUPERTINO 3 funding for such a plan has not been received by the within the prior five fiscal years. 8. That the project(s) described in Attachment B which are bicycle projects have been included in a detailed bicycle circulation element included in an adopted general plan, or included in an adopted comprehensive bikeway plan (such as outlined in Section 2377 of the California Bikeways Act, Streets and Highways Code section 2370 et seq.). 9. That any project described in Attachment B that is a “Class I Bikeway,” meets the mandatory minimum safety design criteria published in Chapter 1000 of the California Highway Design Manual. 10. That the project(s) described in Attachment B are ready to commence implementation during the fiscal year of the requested allocation. CITY OF CUPERTINO 11. That the agrees to maintain, or provide for the maintenance of, the project(s) and facilities described in Attachment B, for the benefit of and use by the public. 66 Resolution No. 13-______ Attachment B Page 1 of 1 TDA Article 3 Project Application Form Fiscal Year of this Claim: Applicant: 2013/2014 City of Cupertino Contact person: David Stillman Mailing Address: 10300 Torre Avenue, Cupertino, California E-Mail Address: davids@cupertino.org Telephone: (408)777-3249 Secondary Contact (in event primary not available) E-Mail Address: Telephone: Short Title Description of Project: McClellan Road Sidewalk Construction Project Phase 1 & 2 Amount of claim: $113,703 Functional Description of Project: Phase 1 Design and construct approximately 450 lf of sidewalk along the south side of McClellan Road between Tressler Court and Stevens Creek Bridge and from Stevens Creek Bridge to Club House Lane. Phase 2 Design approximately 125 lf of sidewalk improvements along the north side of McClellan Road west of Byrne Avenue. Financial Plan: List the project elements for which TDA funding is being requested (e.g., planning, environmental, engineering, right-of-way, construction, inspection, contingency, audit). Use the table below to show the project budget. Include prior and proposed future funding of the project. If the project is a segment of a larger project, include prior and proposed funding sources for the other segments. Project Elements:Phase 1 planning, environmental, engineering, Phase 2 planning, environmental, engineering, right-of-way Funding Source All Prior FYs Application FY Next FY Following FYs Totals TDA Article 3-Phase 1 $0$42,700$31,800$0$74,500 TDA Article 3-Phase 2$0$39,203$0$0$39,203 list all other sources: 1. 2. 3. 4. $0$81,903$31,800$0$113,703 Totals Project Eligibility: YES?/NO? A. Has the project been approved by the claimant's governing body? (If "NO," provide the approximate date approval is No. anticipated). Anticipated by 5/31/13 B. Has this project previously received TDA Article 3 funding? If "YES," provide an explanation on a separate page. No C. For "bikeways," does the project meet Caltrans minimum safety design criteria pursuant to Chapter 1000 of the California N/A Highway Design Manual? (Available on the internet via: http://www.dot.ca.gov). D. Has the project been reviewed by a Bicycle Advisory Committee? (If "NO," provide an explanation). No.Pedestrian project E. Has the public availability of the environmental compliance documentation for the project (pursuant to CEQA) been Phase 1-Yes evidenced by the dated stamping of the document by the county clerk or county recorder? (required only for projects that Phase 2-No include construction). F. Will the project be completed before the allocation expires? Enter the anticipated completion date of project (month and Yes. year) Anticipated completion December 2014 G. Have provisions been made by the claimant to maintain the project or facility, or has the claimant arranged for such Yes maintenance by another agency? (If an agency other than the Claimant is to maintain the facility provide its name: Claimant will maintain) 67 68 McClellan Ranch Park Deep Cliff Golf Course Location Map FIGURE 2 Legend / P ÄÅ P 85 Proposed Sidewalk McClellan Rd Phase 1 ! Sidewalk Construction Project 1 in = 50 ft Picture Location 01020304050 Map by:MD Date: 4/9/2013 McClellan_Sidewalk_GRANT Feet Aerial Photo Date: 2011 69 N N ! ! Monta Vista High School Location Map FIGURE 3 Legend / P ÄÅ P 85 Proposed Sidewalk McClellan Rd Phase 2 ! Sidewalk Construction Project 1 in = 30 ft Picture Location 0102030 Utility Pole Map by:MD Date: 4/9/2013 McClellan_Sidewalk_GRANT_v2 ADA Ramps Feet Aerial Photo Date: 2011 70 PUBLIC WORKS DEPARTMENT CITY HALL 10 10300 TORRE AVENUE CUPERTINO, CA 95014-3255 TELEPHONE: (408) 777-3354 www.cupertino.org CITY COUNCIL STAFF REPORT Meeting: May 21, 2013 Subject 2012 Surface Transportation Program (STP) Overlay Project Re-Bid, Project No. 2012-05. Recommended Action Approve an additional $94,924.70 in construction contingencies for the 2012 Surface Transportation Program (STP) Overlay Project, Project No. 2012-05, for a total contract amount of $583,780.30. Discussion On October 2, 2012, Council awarded a construction contract to O’Grady Paving, Inc. for the 2012 STP Overlay Project for approximately $489,000 (including contingency). The scope of this work included base bid work of approximately $389,000 and a contingency of $100,000 to complete as much alternate work as possible. To fully utilize the remainder of STP funding, a total of approximately $584,000 is needed. These dollars include $500,000 from the STP program, $65,000 in required local match and $19,000 of ineligible expenses that occurred in the railroad right-of-way on Bubb Road. If this request to increase the contingency is approved, a total of approximately $84,000 will be expended from the remaining Pavement Management Account budget for 2012-13. Project funding allocations will be as follows: Amount Total Project Cost$583,780.30 Less Non-Participating Costs (City Expense) ($19,000.00) Total Participating Costs $564,780.30 City Portion of Participating Costs (11.47%) ($64,780.30) STP Reimbursement of Participating Costs (88.53%) $500,000.00 The City’s contractor, O’Grady Paving, Inc. has completed the majority of work under the base bid of this project. This work has included the overlay of Bubb Road from McClellan Road to Stevens Creek Boulevard. An alternate bid item included in O’Grady’s contract remains incomplete on Wolfe Road near the I-280 interchange. Approval of the additional construction contingency will allow a portion of this work to be completed. The work on Wolfe Road will be coordinated with potential pavement work for the future Apple 2 development. 1 71 Fiscal Impact Sufficient funds in the Pavement Maintenance Account (Acct No. 270-9450-9300) are available to cover this expenditure. _____________________________________ Prepared by: Jo Anne Johnson, Engineering Technician Reviewed by: Timm Borden, Director of Public Works Approved for Submission by: David Brandt, City Manager Attachments: 2 72 PUBLIC WORKS DEPARTMENT CITY HALL 10 10300 TORRE AVENUE CUPERTINO, CA 95014-3255 TELEPHONE: (408) 777-3354 www.cupertino.org CITYCOUNCILSTAFFREPORT Meeting:May21,2013 Subject StevensCreekCorridorParkandRestorationPhase2Kawardofconstructioncontract, authorizationofagreementsandeasement,acceptanceofoutsidefundingandappropriationof funds. RecommendedActions 1.Authorizeawardofaconstructioncontracttothelowbidder,RobertA.Bothman,Inc.in theamountof$3,063,900.00includingthebasebidandbidalternatenumber1and waivingofminorclericalerrors,andauthorizeaconstructioncontingencyallowanceof $380,000. 2.AuthorizetheCityManagertoexecuteacostsharingagreementwithCupertino SanitaryDistrictacceptingacontributionofupto$74,600. 3.Authorizeacceptanceofa$95,000TransportationFundforCleanAirgrantand authorizetheCityManagertoexecuteafundingagreement. 4.Appropriateoutsidefundinginanamountof$383,600totheprojectbudgetasdescribed inthisreport. 5.Appropriatecityfundingintheamountof$398,000totheprojectbudget. 6.AuthorizetheCityManagertonegotiateandexecuteaconsultantservicesagreement withSSALandscapeArchitectsforconstructionphaseservicesforanamountnotto exceed$195,000. 7.Authorizethededicationofanewsanitarymainandcorrespondingeasementto CupertinoSanitaryDistricttoaccommodatesanitarysewermainrelocation. Background TheStevensCreekCorridorParkandRestorationPhase2projectincludesanewbicycle pedestriantrailconnectionfromBlackberryFarmParktoStevensCreekBoulevard,widening andrestorationofStevensCreek,andavarietyofrelatedelementsandamenities.After adoptionoftheenvironmentalclearancedocumentsinSeptember2011,thedesignwasrefined andpermittingcommenced.BiddocumentswerepreparedearlythisyearandissuedinMarch tomeettheschedulerequiredbyoutsidegrantsandpermittingagencies.Astatusupdatewith additionalbackgroundinformationwasprovidedtotheCouncilinApril(seeAttachmentA). - 1 - 73 BidResults AnoticewasissuedonMarch22,2013,regardingtheopportunitytobidontheStevensCreek CorridorParkandRestorationPhase2projecttopotentialcontractorsandto¨»¯²ª«¸¹ exchangesandplanrooms.TheprojectwasadvertisedandpostedontheCitywebsite.During thebidphase,stafflearnedthatpotentialfirmswereexceptionallybusypreparingbidsforother largeprojects.Anaddendumwasissuedtoextendbiddingfortwoextraweeksbasedon feedbackfromplanholdersrequestingextratime.OnMay7,2013,constructionbidsforthe StevensCreekCorridorParkandRestorationPhase2projectwereopenedwiththefollowing results: BidderBidAmount RobertA.Bothman,Inc.SanJose,CA$3,038,900.00 Asinglebidwasreceived,fromRobertA.Bothman,Inc.(seeAttachmentB,BidSummary). Staffandourconstructionmanagementfirmreviewedthebiddocumentsandunitpricesand foundthemtobesubstantiallyinorderandasrequiredbythecontractspecifications.Aminor arithmeticandclericalerrorwerecontainedinthebidformandcanbewaivedbytheCity Council(aminoradditionerrorof$100inthetotalbasebid,andaclericalnumericerroronan extendedcostforonelineitem).Thebidwasapproximately30%higherthanthe«´¯´««¸¹ estimateof$2.34M. Staffbelievesthatseveralfactorsaffectedthebidoutcomeofthisproject.First,thesummertime schedulerequiredforconstructionputsthisprojectincompetitionwithotherprojectsbeingbid forthesametimeframe,suchasschools,othercreekandrestorationprojects,andallprojects thathavetoexecuteworkduringthesummerseasonanddrymonths.Second,theimproving economyhascausedthedemandforconstructiontoincrease.However,thesupplyofqualified contractorshasyettofullyreboundfromtheeconomicrecessionandincombinationwith increaseddemandforconstruction,thebiddingenvironmenthasbecomemuchlesscompetitive recently.Thirdly,theregulatoryagencieswereunabletoprovideprojectpermitsinatimely fashion.Thenecessaryfederalapprovalstook11monthstosecure,despiteexcellent applicationmaterialsandabeneficialprojectwhichtheagenciessupported.Thisdelaycaused theprojecttobebidlaterintothebusyspringseason,resultinginmorecompetitionwithother projects,andreducingthepossibleoptionsforrespondingtoahighbid. Lastly,avarietyofsourcesarereportingobservationsthattheconstructionmarketintheBay Areahasbecomeveryactiveandthatbidcostsareescalatingasavailabilityoffirmsis declining.Localprivatesectorconstructionhasparticularlyreboundedandhighquality, experiencedcontractorsthatcanexecuteaprojectofthiscomplexityhavebecomeselective aboutthepublicworktheyarewillingtopursue.Feedbackfromplanholdersafterthebid openingindicatesthatthepotentialgeneralcontractorswereexceptionallybusyandthatother largeandlesscomplexprojectswereavailable. - 2 - 74 Particularbiditemssignificantlyexceedingtheestimatedcostsincludedthecreekflow diversionsystemandearthwork.Thenecessarycreekdiversionisahighlyregulatedelement andisanuncommon,demandingtask.Forearthwork,thepricingwaslikelyaffectedbythe extremelylimitedsiteaccess,limitedstagingandhandlingareas,andtherequirementtokeep thegolfcourseinplay. Analysis&Budget Theadoptedprojectbudgetis$4.347M.Ofthattotal,$2.435Misfromgrantsandoutside sources. Sincethebudgetadoption,severaladditionalfundingsourcestotaling$383,600havebeen securedtowardprojectexpenses: $214,000HabitatConservationFundgrantKagreementexecuted $74,600CostSharecontributionfromCupertinoSanitaryDistrict,towardcoststo relocateasanitarysewermainKdraftagreementattached $95,000TransportationFundforCleanAir(TFCA)grantKpending [Note:TFCAfundingfortheprojecthasbeenapprovedintheSantaClaraValley TransportationAuthority(VTA)programforthisfiscalyearandendorsedbytheBay AreaAirQualityManagement#¯¹º¸¯©º¹BoardofDirectors;fundingagreementsare pending.] StaffrecommendsacceptingtheCupertinoSanitaryDistrictcostsharecontribution(see AttachmentC,draftagreement)andtheTFCAgrant(seeAttachmentD,samplefunding agreement,providedbyVTA).Thelowbidishigherthananticipated,andhigherthanthe currentadoptedbudgetcanaccommodate.However,withappropriationofthethreefunding sourcesnotedabovetotheproject,theshortfallreducesconsiderablyandtheneedfor supplementalcityfundingisreducedto$398,000,basedonawardofthebasebidprojectplus bidalternatenumber1. Staffrecommendsappropriatingnecessaryfunding,awardingaconstructioncontract,and proceedingwiththeproject,asthebestcourseofaction.Thelowbidder,RobertA.Bothman Inc.,isanexperiencedandcapablefirm.BothmansuccessfullyconstructedtheStevensCreek CorridorPhase1BimprovementsatBlackberryFarmParkin200809andbringsfamiliarity withthearea,andwithstaffandcommunityexpectations.Allregulatoryconstructionpermits havebeensuccessfullysecured,including:aU.S.ArmyCorpsofEngineerspermit;aNational MarineFisheriesService!¯µ²µ¯©§².¶¯´¯µ´addressingsteelhead;aCaliforniaDepartmentof FishandWildlifepermit(i.e.StreambedAlterationAgreement);aSanFranciscoBayRegional WaterQualityControlBoardpermit(i.e.WaterQualityCertificationperSection401ofthe CleanWaterAct);aCaliforniaStateWaterResoucesControlBoardPermitRegistration DocumentpackageincludingaStormwaterPollutionPreventionPlanandNoticeofIntent;a SantaClaraValleyWaterDistrictEncroachmentandConstructionpermit;andaStreamside Developmentpermit.TheSantaClaraValleyWaterDistricthasagreedtomanagethefish - 3 - 75 relocationeffort,whichtheyperformedveryprofessionallyforthePhase1project.Staffhas spentseveralyearssecuringgrantsfortheworkandnumerousgrantdeadlinesareatriskwith anydelaystotheproject. Thereisnotenoughtimetorebidthisyearandstillmeettheregulatoryagencyrequired windowforcreekdewateringandfishrelocation.Thealternatecourseofactionistorejectthe singlebidandtorebidtheprojectearlynextyear.Whilethereisthepossibilitythatbids couldbelowernextyear,theyverylikelycouldbehigherduetotheimprovingeconomy forcingconstructionmarketdemandtocontinue.Evenwithalowerbidnextyear,another possibilityisthatthelowbidderwouldbeafirmlessexperiencedthanthecurrentsingle bidder.Acriticaldrawbackofrebiddingnextyearisthatseveralofthegrantswhichfundthis projectwillsunsetinthefirsthalfof2014(seeExhibitE).Eachofthosegrantorswouldneedto authorizeadeadlineextensionandsuchextensionsarenotinhandnorguaranteed. BudgetSummary Theproposedbudgettoproceedwiththeprojectisnotedbelow. DesignFees$750,000 Environmental,Permitting,Services,Admin.340,000 ConstructionContract3,063,900 ConstructionChangeOrderAllowance,12.5%380,000 ConstructionManagement,Inspection,Testing330,000 ConstructionSupportdesignteam195,000 ProjectContingency70,000 TOTALPROJECTCOST:5,128,900 LessPriorAppropriations4,347,179 LessNewOutsideFunding/Grants383,600 FUNDINGNEEDEDTOPROCEED:398,121 Approximately$800,000hasbeenexpendedtodate,investedinbringingtheprojecttothis point.ShouldtheCouncilchoosetoproceed;staffwillseekefficienciesandopportunitiesto reducethecostofimplementingtheproject.Valueengineeringoptionswillbeexploredwith theconstructionmanagerandcontractortoidentifyfeasiblepossibilitiesforreducingthe contractcost.StaffwillprepareanamendmenttotheCIPtoreallocatefundstocoverthe additionalprojectexpenseshouldCityCouncilawardtheconstructioncontract. - 4 - 76 RelatedActions ConstructionSupport SeveralotheractionsareneedediftheCouncilshoulddecidetoproceedwiththeproject.A consultingservicesagreementisneededwithSSALandscapeArchitects,thedesignteamlead, toprovideconstructionsupportservices,suchassubmittalreviews,constructionprogress reviews,andpreparationofrecorddrawings.Therecommendedfeeforservicesisnottoexceed $195,000fortheSSALandscapeArchitectsandtheirsubconsultantteam(hydrological engineer,civilengineer,geotechnicalengineer,electricalengineer). ConstructionManagement ThelocallyknowledgeablebutinternationallyexperiencedGilbaneConstructionCompanyhas beenretainedastheconstructionmanagerfortheprojectafterconductingaqualifications basedselectionprocess.Thefirmisjustbeginningworkunderastartupservicesagreement withintheapprovalauthorityoftheDirectorofPublicWorks.Staffanticipatesreturningto CouncilinJulytoamendtheagreementtoincorporatethefullscopeoftestingandinspection thatwillberequired. SanitarySewerRelocation Theexistingts!sanitarysewermainwithintheBlackberryFarmGolfCourseontheeastsideof StevensCreekmustbemovedinordertowidenthecreek.Becausetherelocationprovidesfor anewandenhancedsanitarysewertoreplaceanaging50yearoldandmaintenanceintensive sewer,theCupertinoSanitaryDistrict(CuSD)hasagreedtoshareinthecostofinstallingthe newmain.AnassociatedactionisfortheCitytodedicatetoCuSDthenewmainandan easementforitsnewlocation,andforCuSDtoquitclaimtheexistingeasementwhichiswithin thewestsideofthe8and9holesofBlackberryFarmGolfCourse.Theproposedplatmaps thth andlegaldescriptionsfortheseactionsareprovidedasAttachmentsF1andF2. OptionalProjectAdditions AddAlternates Thebiddocumentsincluded3addalternateswhichwerenotapartofthebasebid.Theseadd alternateitemswerenotincludedinthebudget,butwereincorporatedintothebiddocuments todeterminepricing,shouldtheCityCouncilchoosetoincludethem.Theseitemsarenot necessarytotheproject,butwouldprovideenhancements.Theyareasfollows: ItemDescriptionBidPrice 1BackwaterArea$25,000 2WildlifeViewingStructure$18,000 3CustomProtectionFence$385,000 BidAlternate#1wouldaddabackwaterareaonthewestcreekbank,approximatelyopposite thepracticerangestructureonthegolfcourse.Itwouldimprovecreekchannelperformance - 5 - 77 duringstormflowsbyreducingscouranderosionforcesontheeastbank.Itwouldalso provideanadditionalhighflowrefugeareaforfishandhabitatcomplexityonthewestbank. Thisitemisrecommendedforinclusionintheprojectsinceitwillimprovethelongterm functionofthecreek.Itwouldbedifficultandmuchmoreexpensivetoinstallthisfeatureata latertimebecauseitinvolvesworkwithintheactivecreekchannelandwithincriticalhabitatfor steelhead.Newpermitsandanothercreekdiversionprocesswouldbeneeded.Thisfeatureis supportedbytheresourceagencies;thecurrentpermitsallowitsinclusioniftheCouncilshould choosetofundthiswork.Thebidpriceof$25,000isdeemedreasonableandisveryclosetothe costestimate.Staffrecommendsincludingthisitemintheprojectsinceitwillimprovethe channelperformance,isreasonablypriced,andwouldbeprohibitivelyexpensivetoundertake atalatertime. BidAlternate#2wouldprovideaprotectedvenuewheresmallgroupscouldobservewildlifeat theconfluenceofthecreekandthebackwater.Itisdesignedasarusticstructureusingwillow panelstoblendwiththecreeksidesetting.TheWildlifeViewingStructurewouldbeauseful amenity,anditsbidpriceof$18,000isdeemedagoodvalue.Howeveritcouldalsoeasilybe installedatalatertimeiftheCouncilsodesires. BidAlternate#3wouldupgradethetrailsidefencingalongtheedgeofthegolfcoursefrom chainlinkfencetodecorativemetalpanels;thefenceconfigurationwouldbeunchanged.The bidpricewashighat$385,000anddeemedtooexpensive.Staffrecommendsnotawardingthis purelyornamentalupgrade.Fencingupgradescouldbepursuedatalatertimeifdesired. Summary ThedesignandbiddingoftheStevensCreekCorridorParkandRestorationPhase2project havebeencompleted.Thecomplexmultitudeofpermitshasbeensecured,andanimpressive collectionofgrantfundingandotherpartneringagencieshavebeenengagedtoassistthis popularprojectinmovingforward.Staffrecommendstheprojectatthistimeandincreasing thebudgetwithacombinationofoutsideandCityfunds.Thisactionwillfullyleveragethe $2.819Mofoutsidefundingthathasbeencommittedtothisproject.Theprojectwilldeliveran importantrecreationalamenityandtraillinkforourcommunity,improvewaterquality, providecreekrestorationandhabitatenhancementbenefittingprotectedsteelheadanda varietyofwildlife,provideaneducationalexperienceforourschools,andcreateahealthierand morestablecreek. RecommendationRecap StaffrecommendsawardofaconstructioncontractfortheprojecttoRobertA.Bothman,Inc., includingthebasebidandbidalternatenumber1,authorizationofaconstructioncontingency allowance,appropriationofoutsideandcityfundingtotheprojectbudget,andrelatedactions describedinthisreport. - 6 - 78 SustainabilityImpact ImplementationoftheStevensCreekCorridorParkandRestorationPhase2projectwill supportthe©¯º¿¹sustainabilitygoals. FiscalImpact Therecommendedbudgetforthisprojectwillprovidefundingforimplementationandaddress therecommendedactions.Theanticipatedoperatingandmaintenancecostsoverthenextfive yearsfollowingcompletionoftheprojectarebetween$7,0008,000peryear. _____________________________________ Preparedby:GailSeeds,ParkRestorationandImprovementManager Reviewedby:TimmBorden,DirectorofPublicWorks ApprovedforSubmissionby:DavidBrandt,CityManager Attachments: AKProjectStatusUpdate,April2013 BKBidSummary CKDraftAgreement,CupertinoSanitaryDistrictSewerMainRelocationCostSharing Agreement DKSampleTFCAFundingAgreement EKCurrentGrants&OutsideFunding F1KLegalDescriptionandPlatMapforGrantofEasementtoCupertinoSanitaryDistrict F2KLegalDescriptionandPlatMapforQuitclaimofSanitarySewerEasement - 7 - 79 ATTACHMENT A PUBLIC WORKS DEPARTMENT CITY HALL 10 10300 TORRE AVENUE CUPERTINO, CA 95014-3255 TELEPHONE: (408) 777-3354 www.cupertino.org PROJECTSTATUSUPDATE StevensCreekCorridorParkandRestorationPhase2 April16,2013 TheStevensCreekCorridorParkandRestorationPhase2projectwillextendanewall weathertrailfromBlackberryFarmParktoStevensCreekBoulevard.Italsowill includecreekwideningandrestoration,anewpedestrianbridge,walkwayandparking lotrenovationsandnewcrosswalksattheStevensCreekBoulevard/PharLapDrive intersection. Duringaseriesofmeetingsin2011theCityCouncilprovideddirectionondesign featuresincludingtrailandbridgealignmentalternatives.InSeptember2011,theCity Counciladoptedenvironmentalclearancedocumentsforthisprojectinaccordancewith theCaliforniaEnvironmentalQualityAct(CEQA).Sincethen,theprojectteamhas workedwiththepermittingagencies,refinedthedesigndetails,preparedconstruction documents,andsubmittedallnecessarypermitapplications.Belowisanupdateonthe ¶¸µ°«©º¹statusandupcomingsteps. TrailAlignmentandFeatures ThenewtrailfromBlackberryFarmParknorthwardskirtstheedgeofthegolfcourse thenlinkstoanewpedestrianbridgethatcrossestotheStocklmeirsite.Withinthe Stocklmeirsitearefinedtrailalignmenthasbeendevelopedwhichisgenerallytoward theeasternportionofthesite.Itwasrefinedwithagencyinputandtomeetregulatory andgrantorcriteria,isconsistentwithCouncildirectionandtheCEQAdocuments,and balancesavarietyofgoals.Thelayoutprovidesclearancefromneighborstothewest, whileprotectingmaturenativetreesandallowingforabeneficialripariangreenbeltto supportahealthycreekandimprovedwildlifehabitat.Itwillskirtthenewbackwater featureandpreservethemajorityoftheorangeorchardintact.Thealignmentisalso intendedtoretainfutureopportunitiesassociatedwithimplementingthelegacyfarm conceptendorsedbytheCouncilin2009.Beyondtheorchard,thetrailcontinues northwardtotheexistingsidewalksandbridgeatStevensCreekBoulevard. Twogatheringareaswillbeprovided.OnewillbeattheStocklmeirsitenearthesouth endofthedriveway.Theotherwillbeasmallerareaatthesouthendofthenewtrail segmentneartheterminusoftheexistingtrail.Theseareaswillprovideaspotforsmall groupstogatherwithoutobstructingtrailusers. 80 TheprojectincludesanewcrosswalkacrossPharLapDriveandoneonStevensCreek BoulevardonthewestsideofPharLap.Thelattercrosswalkwillhaveinpavement flashinglightsthatareactivatedbypedestrianpushbuttons,similartothenearby crosswalkonStevensCreekBoulevardbythepostoffice.Signswithflashingbeacons andanewmedianislandwillbeprovidedforenhancedsafety. Wherethetrailislocatedonthegolfcourse,thetrailwillbeprotectedbyacurvedtop fencewithchainlinkmesh.Toprovideadditionalprotectiontothetrailwithinthe Stocklmeirsite,theprojectwillincludeprotectivenetfencingonthegolfcoursealong the8and9teeboxestohelppreventerrantballsfromleavingthecourse. thth Anupgradetothegolf©µ»¸¹«¹creeksidedrainagehasbeenaddedtotheproject,based oninputfromregulatorystaffandtomeetcurrentstandards.Theprojectwillremove severaldrainsalongthewestsideofthegolfcourse,whichcurrentlyflowuntreated intothecreek.Theywillbereplacedwithbioswalesthatwillprovidedesirable infiltrationandtwocreekfriendlyoutfallsthatwillbetterprotectcreekbanksand waterquality. A50yearoldsanitarysewermainthatrunsalongtheedgeofStevensCreekthrough thegolfcoursewillbemovedeastwardandreplacedaspartofthisproject.Staff contactedtheCupertinoSanitaryDistrict(CSD)regardingapartnershiponthiseffort, andCSDhasauthorizedacostsharingagreement.CSDhasalsopreparedthe documentsneededtoexecuteaneasementtocoverthenewlocationofthemain. CreekRestoration Thecreekrestorationdesignwillbecreatedusingthesamenaturalelementsthatwere usedinthePhase1project,suchasboulders,logs,andnativeplantings.Thefinalized designincludesthreepairsofbouldersteppools.Largeboulderswillbesetintothe channeltokeepthechannelgradeatthecorrectrestorationelevationwhilealso providingagentle,stablegradientforthenewstreamriffles.Thesteppoolshavelow elevationchangesandaredesignedtobe ¬¯¹®¬¸¯«´ª²¿ !Gapsbetweentheboulders willprovideavarietyofinstreampathwaysforaquaticwildlifetomoreeasilymove upstreamanddownstreamyearround. Thenewbackwaterareawillprovidevaluablehabitatcomplexityandanimportant refugeareaforaquaticwildlifeparticularlyduringhighflows.Concretechannellining andriprapbankprotectionwillberemovedfromhundredsoffeetalongtheeastbank ofthecreekchannel,andreplacedbyearthenbanksatgentlerslopesthatarevegetated withnativeplantings.Thechannelrestorationwillincludeaconsiderablenumberof logsandtreerootballsthatwillprovidebankstability,erosionprotection,andhabitat value. - 2 - 81 CentralCaliforniaCoaststeelhead,afederallyprotectedspecies,liveinthispartofthe creekandwereofspecialinterestintherestorationdesign.ThisportionofStevens Creekiswithintheboththespawningzoneandtheyearroundrearingzonefor juveniles.Therefinedchanneldesignwasevaluatedforitssuitabilityforadultand juvenilesteelheadusingastreamflowmodel.Theresultsindicatethatthecreek restorationwillresultinsignificantimprovementstotheexistingconditions.The amountofexcellenthabitatavailabletobothadultandjuvenilesteelheadisexpectedto increasesubstantiallyatallflowscenarios. BidDocumentsandScope Theprojectplanshavebeenfinalizedwiththerefinementsnotedabove.Thebid documentshavebeenpreparedandissuedforbiddinginaccordancewiththeschedule thatisrequiredbygrantagreementsandpermits,consistentwithappropriatewildlife ½¯´ªµ½¹ !Thebiddocumentscontaintheelementsdescribedinthisreport,items requiredbytheregulatoryagenciesandgrantors,andfeaturesneededforsafetyand codecompliance.Thebidpackagealsoincludesseveralbidalternateitemsthatmaybe includedatthediscretionofCouncil.Thebidalternateitemsare: 1.SecondaryBackwaterAreaKprovideasmallsecondarybackwater/bank wideningareaonthewestbank,approximatelyoppositethegolfrangepractice structure.Thisfeatureisrecommendedtoimprovethecreekchannel performanceduringstormflowsbyreducingscouranderosionforcesontheeast bank.Itwouldalsoprovidehighflowrefugeareaforfishandadditional riparianrestoration,wildlifevalueandhabitatcomplexity. 2.WildlifeViewingStructureKprovideavenueforwildlifeviewingonthewest creekbankattheconfluenceofthecreekandbackwater.Asmallstructurewill provideaquiet,offtrailvenueforobservingwildlife. 3.TrailProtectionFencingUpgradeKupgradethetrailsidechainlinkfenceonthe golfcoursetoamoredecorativedesign.Thisitemwouldprovideanaesthetic enhancement. Grant&FundingUpdate Severalpositivedevelopmentsinvolvingfurtheroutsidefundinghaveoccurredin recentmonths.First,aValleyTransportationAuthority(VTA) /¸µ°«©ºReadiness (´¯º¯§º¯¼«!grantincreasebecameavailableandwasauthorizedbytheCityCouncilon October16,2012;$7,000wasallocatedtothisproject.Second,astateHabitat ConservationFundgrantwasawardedtothisprojectintheamountof$214,000as reportedtotheCouncilinSeptember.Thisgrantwillreimbursecostsrelatingtocreek restorationandhabitatimprovements.ThegrantinvolvesuseofSanJoseConservation Corpsintheprojectandremovalofinvasivevegetation,thecostsforwhichwillbe coveredbythegrantawardaswillotheraspectsoftherestorationwork. - 3 - 82 Third,theCupertinoSanitaryDistrictBoardauthorizedexecutionofacostsharing agreementforrelocationofthesanitarymain,asdescribedabove.TheSanitary #¯¹º¸¯©º¹contributiontothisprojectwillbeupto$74,600.Lastly,staffappliedfora competitive 3¸§´¹¶µ¸º§º¯µ´FundforClean ¯¸!(TFCA)grantfor$95,000.Our applicationwasapprovedbytheVTABoardonApril4,2013.Theprojectliststill requiresapprovalbytheBayAreaAirQualityManagementDistrict.Theoutcomeis notcertain,buttheprojectisfornoweligibletoreceiveTFCAfunding. BudgetUpdate TheCapitalImprovementProgram(CIP)adoptedinJune2012includedabudgetof $4,340,179forthisproject.Overhalftheamountcomesfromgrantsourcestotalingover $2.4million.Sincethen,theadditionalfundingsourcesnotedabovehavearrived.Staff planstorequestthattheCouncilappropriatetheconfirmedincomingmoniestothe projectbudgetafterbidresultsareknown,andadjustthebudgetaccordingly.The incomingmoniesareanticipatedtocoverthefinalizedprojectscopewiththevarious addedelementsandtoprovideasufficientcontingencyallowance,asisrecommended forcomplexworkofthistypeinawildlifesetting.Contingencymoniesthatarenot neededwouldbereleaseduponprojectcompletion. NextSteps BidswillbeopenedinearlyMay.StaffexpectstobringbidresultstotheCounciland recommendawardofaconstructioncontractonMay21,2013.Atthattime,theCouncil willalsodeterminewhetheranybidalternateitemsshouldbeincludedintheproject. Councilauthorizationofassociatedactionswillalsoberecommended,including: Authorizeaconstructionphaseservicesagreementwiththedesignteam Authorizeaconstructionmanagementservicesagreement Authorizegrantofaneweasementforthelocationofthenewsanitarymain Appropriatenewlysecuredmoniestotheprojectbudget Basedonthisschedule,constructionwouldbeginbyearlyJune.Creekchannel wideningwouldoccurduringthesummermonthsandbecompletedinOctober,with completionoftherestoftheprojectelementsthereafter. DesignandimplementationoftheStevensCreekCorridorParkandRestorationPhase2 projectwillfullysupportthe©¯º¿¹sustainabilitygoals. _____________________________________ Preparedby:GailSeeds,ParkRestorationandImprovementManager Reviewedby:KatyJensen,CapitalImprovementProgramManager Reviewedby:TimmBorden,DirectorofPublicWorksDepartment - 4 - 83 ATTACHMENT B CITY OF CUPERTINO PROJECT: STEVENS CREEK CORRIDOR PARK & RESTORATION PHASE 2 FILE NO: 92,069.02 BID OPENING: MAY 7, 2013, 2:00 P.M. ROBERT A. BOTHMAN - LOW APPARENT BID ITEMQUANTITYUNITDESCRIPTIONUNIT PRICEAMOUNT 11LSMOBILIZATION 211,552 211,552 21LSFIELD ENGINEERING & SURVEY WORK 22,000 22,000 31LSCREEK CHANNEL SURVEYING 10,000 10,000 41LSPUBLIC TRAFFIC 6,600 6,600 51LSSITE SECURITY & TEMP. FENCING 3,800 3,800 61LSTREE PROTECTION 37,000 37,000 71LSTEMPORARY GOLF PRACTICE STRUCTURE 15,000 15,000 81LSTEMPORARY CREEK DIVERSION 300,000 300,000 91LSTEMPORARY WATER POLLUTION CONTROL 24,000 24,000 101LSTEMPORARY EROSION CONTROL 7,000 7,000 111480LFFIBER ROLL 3.00 4,440 12135CYREMOVE & SALVAGE RIPRAP 30 4,050 13180CY 48 8,640 1460EAREMOVE TREE & CHIP 152 9,120 151LSSELECTIVE DEMOLITION 99,000 99,000 161LSSITE CLEARING 78,000 78,000 171LSINVASIVE PLANT REMOVAL 51,000 51,000 1810EASELECTIVE TREE REMOVAL FOR REUSE 1,030 10,300 1915CYSTRUCTURAL CAST-IN-PLACE CONCRETE - Bridge 2,500 37,500 201LSSTONE VENEER 19,700 19,700 211LSWOOD ACCESS GATES 5,030 5,030 22430LFGRAPE STAKE FENCE 26 11,180 2313EATALL SIGN POST 500 6,500 246EASHORT SIGN POST 320 1,920 251EAINFORMATION KIOSK 12,800 12,800 263EAMETAL BOLLARD 720 2,160 2710EASTREET SIGN 380 3,800 285EAPARKING SIGN 375 1,875 291EAWOOD BOLLARD 1,300 1,300 304EABENCH 1,325 5,300 312EAINSTALL BENCH FURNISHED BY CITY 1,075 2,150 325EAWHEEL STOP 160 800 336EAINSTALL TRASH RECEPTACLES 200 1,200 341LSELECTRICAL WORK 60,000 60,000 355,425CYCREEK EARTHWORK 10.00 54,250 36680CYCHANNEL BED FILL 20 13,600 37550CYTOP DRESSING FILL 67 36,850 381LSVEGETATED CRIB WALL 44,410 44,410 391LSEARTH MOVING 317,000 317,000 4039EAHABITAT & BANK PROTECTION LOGS 980 38,220 41117EA HABITAT & BANK PROTECTION ANCHOR BOULDERS 200 23,400 42115CYCHANNEL BED FILL - Buried Boulder Bank Protection 45 5,175 431LSBURIED BOULDER BANK PROTECTION 68,200 68,200 441LSWRAPPED FILL LIFTS 35,800 35,800 456EABOULDER STEP POOL 5,800 34,800 461LSDEWATERING 57,200 57,200 4780LFDRILLED CONCRETE PIERS 475 38,000 48910SF 2.00 1,820 497,110SFASPHALT PAVING 7.00 49,770 501,550SFASPHALT OVERLAY 3.00 4,650 5128,000SFPARKING LOT SEAL 0.21 5,880 5255LFASPHALT DIKE 54.00 2,970 53285LFCONCRETE CURB AND GUTTER - Street 34.00 9,690 54140LF 34.00 4,760 55490SF 8.00 3,920 562,500SF 6.00 15,000 57200SF 6 1,200 581LSCONCRETE MEDIAN ISLANDS WITH COBBLE 5,200 5,200 5910,180SFPERVIOUS CONCRETE TYPE 1 14.00 142,520 601,690SFPERVIOUS CONCRETE TYPE 2 (tree zone) 15.00 25,350 613,610SFPERVIOUS CONCRETE TYPE 3 (driveway) 14.00 50,540 621LSCONCRETE STAINING 2,000 2,000 63320SF 28 8,960 641,070SF 14 14,980 651LSINFORMAL TRAIL 1,700 1,700 661LSPARKING LOT STRIPING 4,150 4,150 671LSSTRIPING AND PAVEMENT MARKINGS - Roadway 13,600 13,600 68390LF 233 90,870 691LS 2,708 2,708 701LS 3,791 3,791 7130LF 60 1,800 72305LFGOLF TEE PROTECTION FENCE 175 53,375 7390LF 95 8,550 74120LF 85 10,200 751LSOUTFALL WITH ROCK SLOPE PROTECTION 3,600 3,600 7670LF 30 2,100 7790CYBIORETENTION SOIL 85 7,650 783EABIOSWALE CLEANOUT 165 495 793EABIOSWALE CATCH BASIN 500 1,500 8060CYBIOSWALE DRAIN ROCK 175 10,500 811EADRAINAGE INLET 500 500 821EANEW MANHOLE 7,100 7,100 832EAMODIFY EXISTING MANHOLE 850 1,700 84695LFSANITARY SEWER PIPING 95.00 66,025 851LSTEMPORARY BYPASS PUMPING 38,000.00 38,000 861LSPROVIDE FABRICATED BRIDGE 80,200 80,200 871LSINSTALL BRIDGE 20,100 20,100 881LSIRRIGATION SYSTEM 85,000 85,000 8945EAPLANT 15 GALLON NATIVE TREE 150.00 6,750 901,030EAINSTALL NATIVE PLANT WITH PROTECTION 100.00 103,000 91260EAINSTALL NATIVE PLANT WITH CLUSTER PROTECTION 90.00 23,400 92740EAINSTALL NATIVE PLANT 110.00 81,400 93360EAINSTALL NATIVE PLANT WITH STAKE 65.00 23,400 9415EAINSTALL ACORN TRIOS 110.00 1,650 9510EAINSTALL VINE AT FENCE 50.00 500 967EAPLANT BOX TREE 650 4,550 9713EAPLANT 15 GALLON TREE 300 3,900 9810EATRANSPLANT TREE 250 2,500 99220EAINSTALL WILLOW POLE 85.00 18,700 10039,850SFINSTALL HYDROSEED 0.20 7,970 10117,975SFINSTALL CREEK BANK HYDROSEED 0.20 3,595 1022,075SFINSTALL BIOSWALE HYDROSEED 0.20 415 10321,160SFINSTALL GOLF TURF SEEDING 0.15 3,174 1041LSINSTALL BOULDERS 7,800 7,800 1051LSINSTALL MULCH 2,500 2,500 10611EAINSTALL BOX TREE 650 7,150 1071LSHAND WATERING 7,500 7,500 1081LSPLANT MAINTENANCE 15,000 15,000 ALLOWANCES ADDITIONAL WATER QUALITY POLLUTION 109800AL 8,000 8,000 PREVENTION MEASURES $ 3,038,900 TOTAL BID PRICE«« BID ALTERNATE 1: BACKWATER AREA 25,000 BID ALTERNATE 2: WILDLIFE VIEWING STRUCTURE 18,000 BID ALTERNATE 3: CUSTOM PROTECTION FENCE 385,000 **Note, bid contained clerical error of $100.00. Bid proposal as 84 ATTACHMENT C DRAFT AGREEMENT Stevens Creek Corridor Park and Restoration Phase 2 Project Cupertino Sanitary District Sewer Main Relocation Cost Sharing Agreement This AGREEMENT is made and entered into on __________________, 2013, by and between the CITY of Cupertino (CITY) and the CUPERTINO SANITARY DISTRICT (CuSD), also referred to as Party or collectively as PARTIES. RECITALS 1. CITY and SANTA CLARA VALLEY WATER DISTRICT (SCVWD) entered into an agreement on July 23, 2004 to develop a master plan for the re-development of Blackberry Farm and Stevens Creek. This property extends along Stevens Creek between Stevens Creek Boulevard and McClellan Road and is called the Stevens Creek Corridor (SCC). It is owned by the CITY and DISTRICT. 2. The Stevens Creek Corridor Master Plan and mitigated negative declaration prepared pursuant to CEQA were completed in June 20, 2006 by CITY; and 3. CITY has completed, from the Stevens Creek Corridor Master Plan, a first phase of project improvements that included a pedestrian-bicycle trail, public amenities, the removal of barriers to fish passage, creek restoration and riparian and upland plantings, and the creation of freshwater wetland areas next to the creek; and 4. CITY identified a second phase project which includes an extension of the pedestrian-bicycle trail, additional public amenities, improvement of conditions for fish and wildlife, creek restoration and riparian and upland plantings, creation of a freshwater wetland area next to the creek, and relocation aration for the SCC Phase 2 Project on September 20, 2011; and 5. CITY desires to construct the improvements identified in the SCC Phase 2 Project, whichwill open to the public city-owned land north of Blackberry Farm Park along Stevens Creek, extend the Stevens Creek Trail to northward to Stevens Creek Boulevard, and provide a restored creek channel with good fish passage and steelhead rearing habitat, and a freshwater wetland area adjacent to the stream channel, to provide for creek restoration and protection of local wildlife and other benefits; and 6. The proposed creek restoration requires the relocation of the existing sanitary sewer main, and CuSD wishes to share the relocation costs with the City because it shares an interest in maintaining and promoting healthy creeks NOW THEREFORE, in consideration of and upon the terms and conditions hereinafter specified, the Parties agree as follows: 1.Project Description for Cost Sharing Agreement A portion of the SCC Phase 2 Project involves the relocation of a section of sanitary sewer main on the east side of Stevens Creek within Blackberry Farm Golf Course, between two existing manholes thth along the 8 and 9 golf holes The scope of the Sewer Relocation includes the installation of approximately 695 feet of HDPE pipe, one new manhole, and reconstruction of two Page 1 of 5 85 existing manholes. Upon completion and acceptance by CuSD board, the City plans to grant the new sanitary sewer main and corresponding utility easement the District. Because the Sewer Relocation benefits the community, the City, and CuSD, CuSD desires to share in the cost of the Sewer Relocation. The purpose of this Agreement is to provide the terms for cost sharing for the Sewer Relocation. 2. Project Manager CITY will be solely responsible for the implementation and construction of the SCC Phase 2 Project. CuSD will have no responsibility for implementation or construction of the SCC Phase 2 Project. Any consultants or contractors will be wholly City responsibility. 3. California Environmental Quality Act (CEQA) CITY has acted as the lead agency and project proponent as described by CEQA. A Mitigated Negative Declaration for the SCC Phase 2 Project was prepared and adopted by the CITY on September 20, 2011. 4. Outreach & Public Participation CITY will develop, implement and coordinate public information materials that inform the public of construction progress as City determines necessary, at its own expense. 5. Staff Support CuSD will provide limited staff support, as determined by CuSD, at no cost to CITY for coordination with CITY, including attending project team meetings, attending public meetings, reviewing documents and reviewing construction progress of project elements covered by this Agreement. 6. Payments A. CuSD will provide payments to the CITY for completion of the Sewer Relocation up to a ten total of seventy four thousand six hundred dollars ($74,600.00) as follows: (1) thousand dollars ($10,000) for general engineering costs; (2) one half of the total construction cost of the Sewer Relocation. B. City will invoice CuSD on completion of construction for the Sewer Relocation. C. CuSD will pay invoices from the CITY within 45 days. 7. Other Costs All staff costs, overhead and other similar expenses will be borne by the CITY or CuSD, whichever incurs the cost. CuSD agrees to prepare and pay for appropriate easement and quitclaim documents related to the sewer main relocation for City review and approval 8. DISTRICT Use of Park Facilities CuSD may use park facilities up to 4 times per year for meetings of less than 25 people at same rates charged to CITY staff and consistent with City policy regarding rental and use of City facilities. 9. Term of the Agreement Term of the Agreement will be for a period of 3 years from the effective date. 10. Assignability Without the written consent of the other, neither CITY nor CuSD will assign or transfer any interest in this Agreement or any of the obligations hereunder except to contractors or consultants Page 2 of 5 86 working directly for them. Any unauthorized attempt by CITY or CuSD to assign or transfer will be void and of no effect. 11. Indemnification In lieu of, and notwithstanding the pro rata risk allocation which might otherwise be imposed between the parties pursuant to Government Code Section 895.6, the parties agree that all losses or liabilities incurred by a party shall not be shared pro rata but instead the City and CuSD agree that pursuant to Government Code Section 895.4, each of the parties hereto shall fully indemnify and hold each of the other parties, their officers, board members, employees and agents, harmless from any claim, expense or cost, damage or liability imposed for injury (as defined by Government Code Section 810.8) occurring by reason of the negligent acts or omissions or willful misconduct of the indemnifying party, its officers, board members, employees or agents, under or in connection with or arising out of any work, authority or jurisdiction delegated to such party under this Agreement. No party, nor any officer, board member, employee or agent thereof shall be responsible for any damage or liability occurring by reason of the negligent acts or omissions or willful misconduct of other parties hereto, their officers, board members, employees or agents, under or in connection with or arising out of any work, authority or jurisdiction delegated to such other parties under this Agreement. 12. Nondiscrimination CITY and CuSD will not discriminate, in any way, against any person in connection with or related to the performance of this Agreement because he/she is a military veteran or because of a physical or mental disability (including HIV and AIDS), nor on the basis of race, color, religion, gender, national origin, ancestry, marital status, sexual orientation, age (over 40), medical condition (cancer) parental status, pregnancy, the exercise of family care leave rights, or political affiliation. 13. Termination A. Either CITY or CuSD has the right to terminate this Agreement, without cause, by giving not less than a three-month written notice of termination to the other PARTY. B. If either CITY or CuSD fails to perform any of its material obligations under this Agreement, in addition to all other remedies provided by law, the other PARTY may terminate this Agreement immediately upon written notice. C. The City Manager of CITY and the District Manager/Engineer of CuSD are empowered to terminate this Agreement on behalf of their respective agencies. D. In event of termination, CITY and CuSD will deliver to the other PARTY, upon request, copies of reports, documents, and other work performed by either PARTY under this Agreement. The cost of work performed under this Agreement up to and including the date of termination will be due and payable in proportion to the amount of work completed and in accordance with Provision II.5 (Payment). 14. Governing Law and Compliance with Laws CITY and CuSD agree that California law will govern this Agreement. In the performance of this Agreement CITY and CuSD will comply with all applicable laws, ordinances, codes and regulations of the federal, state, and local government. 15. Ownership of Materials A. All reports, documents, or other materials developed or discovered by either CITY or CuSD or any other person engaged directly or indirectly by them to perform the services required Page 3 of 5 87 hereunder will be and remain the mutual property of both PARTIES without restriction or limitation upon their use. CITY and DISTRICT will make available to the other PARTY such other records under its control as may be reasonably required for the PARTIES to perform under this Agreement. B. CITY and CuSD will maintain all documents and records produced under this Agreement for a minimum period of three years, of or any longer period required by law, from the date of termination or completion of this Agreement. 16. Notification Any and all notices or other communications required to be given hereunder will be deemed to have been delivered upon deposit in the United States mail, postage prepaid, addressed as specified below or as later amended in writing: CITY DISTRICT CITY of Cupertino Cupertino Sanitary District 10300 Torre Avenue 20863 Stevens Creek Blvd. Suite 100 Cupertino, CA 95014 Cupertino, California 95014 Attn.: City Manager Attn.: District Manager/Engineer 17. Successors and Assigns This Agreement, and all the terms, covenants, and conditions hereof, will apply to and bind the successors and assigns of the CITY and CuSD. 18. Signing by Counterpart This Agreement may be signed in counterpart and each signed document will constitute the whole as if a single document was signed by both PARTIES. 19. Venue In the event that suit is brought by either CITY or CuSD, each agrees that venue will be exclusively vested in the state courts of either the County of Santa Clara, or in the United States Court, Northern DISTRICT of California, in San Jose, California. 20. Disputes A. This Agreement requires that CITY and CuSD work together in good faith to achieve the intent of this Agreement. In the event that a dispute arises as to the proper interpretation of the respective obligations and responsibilities of the parties under this Agreement, or as to any other aspect of this Agreement, CITY and CuSD agree that they each will assign the appropriate individuals to meet and make good faith efforts to negotiate in order to arrive at a resolution of the dispute. B. If after employing this informal resolution process either CITY or CuSD may request an independent, mutually agreed upon mediator to facilitate further negotiation with the costs shared equally between each PARTY. However, nothing herein will prevent either CITY or CuSD from exercising any rights it may have to enforce the terms of this Agreement at law or in equity. 21. Waiver The CITY and CuSD agree that waiver by either PARTY of any breach or violation of any term or condition of this Agreement will not be deemed to a waiver of any other term of condition contained Page 4 of 5 88 herein or a waiver of any subsequent breach or violation of the same or any other term or condition. The acceptance by a PARTY of the performance of any work or services by the other PARTY will not be deemed to be a waiver of any term or condition of this Agreement. 22. Amendments This Agreement may be amended, upon mutual agreement of the City Manager of CITY and the District Manager/Engineer of the CuSD in writing. CITY OF CUPERTINO DISTRICT By: ___________________________ By: ___________________________ David Brandt John M.Gatto City Manager President of the Board of Directors Date___________________________ Date___________________________ ATTEST: ATTEST: ___________________________ ___________________________ City Clerk Secretary of the Board APPROVED AS TO FORM APPROVED AS TO FORM ___________________________ ___________________________ City Attorney District Counsel Page 5 of 5 89 ATTACHMENTD SAMPLETFCAFUNDINGAGREEMENT 90 91 92 93 94 95 96 97 ATTACHMENT E STEVENS CREEK CORRIDOR PARK & RESTORATION PHASE 2 Current Grants and Outside Funding Grant/Funding Source Amount Deadline Transportation Development Act Article 3 $ 103,179 June 2014 Environmental Enhancement & Mitigation Program 245,000 June 2014 California River Parkways 1,215,000 May 2014 Santa Clara Valley Water District, Trail & Open Space 285,000 Dec. 2015 Santa Clara Valley Water District, Environmental 565,000 Dec. 2015 Enhancement Implementation Santa Clara Valley Transportation Authority 22,000 June 2013 Project Readiness Initiative Cupertino Sanitary District Cost Share 74,600 3 years Habitat Conservation Fund 214,000 Mar. 2017 Transportation Fund for Clean Air (pending) 95,000 June 2015 TOTAL $ 2,818,779 98 99 100 101 102 PUBLICWORKSDEPARTMENT CITYHALL 1010300TORREAVENUE'CUPERTINO,CA950143255 TELEPHONE:(408)7773354www.cupertino.org CITYCOUNCILSTAFFREPORT Meeting:May21,2013 Subject Firstreadingofanordinancetoconsideramendingsection14.12.120oftheCupertino MunicipalCodetoconditionthepaymentofastreettreefeeonlyforthosedevelopmentsor projectssubjecttostreetimprovementrequirementsasdefinedinMunicipalCodeSection14.04 (StreetImprovements). RecommendedAction ConductthefirstreadingofOrdinanceNo.13_____. Discussion MunicipalCodesection14.12.120currentlyspecifiesthat $¼«¸¿¶«¸¹µ´½®µ©µ´¹º¸»©º¹ ¸«³µª«²¹ µ¸§²º«¸¹§´¿ª½«²²¯´ ©µ³³«¸©¯§²µ¸¯´ª»¹º¸¯§²¶¸µ¶«¸º¿ µ¸½®µ©µ´¹º¸»©º¹µ´§´¿»´¯³¶¸µ¼«ª²§´ªµ¸ ¶¸µ¶«¸º¿§¨»ºº¯´§¶»¨²¯©¹º¸««º½®«¸«§¶¶¸µ¼«ª¹º¸««ºº¸««¹¬¸µ³º®«,§¹º«¸2º¸««º3¸««+¯¹ºªµ´µº«¾¯¹º ¹®§²²¶§¿º®«¸«·»¯¸«ª¬«« ¶¸¯µ¸ºµº®«¯¹¹»§´©«µ¬§¨»¯²ª¯´¶«¸³¯º ¶«¸º®«-«½2º¸««º3¸««"µ¹º 2©®«ª»²« ¬µ¸º®«¶»¸©®§¹« ¶²§´º¯´§´ª³§¯´º«´§´©«µ¬º®«º¸««¹¨¿º®«"¯º¿ ! Thisamendmenttosection14.12.120wouldlimittherequirementforinstallationofstreettrees toonlythosedevelopmentsorprojectsthataresubjecttostreetimprovementrequirementsper Section14.04,andwhereapprovedstreettreesfromtheMasterStreetTreeListdonotexist. Anybuildingpermitthatdoesnotconstituteatleastatwentyfivepercentincreaseinfloorarea ofanexistingstructure,asdefinedspecificallyinsection14.04.230D,isexemptfromstreet improvementrequirementsandwouldalsonowbeexemptfromthestreettreefee. FiscalImpact: Nofiscalimpactisexpectedfromthisproposedordinanceamendment. _____________________________________ Preparedby:ChadMosley,SeniorEngineer Reviewedby:TimmBorden,DirectorofPublicWorks DavidBrandt,CityManager ApprovedforSubmissionby: Attachments: ADraftOrdinance BRedlineVersionofExistingOrdinance 103 ORDINANCENO.13 ANORDINANCEOFTHECITYCOUNCILOFTHECITYOFCUPERTINO AMENDINGSECTION14.12.120OFTHECUPERTINOMUNICIPALCODE TOCONDITIONTHEINSTALLATIONOFSTREETTREESFORONLY THOSEDEVELOPMENTSORPROJECTSTHATARESUBJECTTO CONSTRUCTSTREETIMPROVEMENTS THECITYCOUNCILOFTHECITYOFCUPERTINODOESHEREBY ORDAINASFOLLOWS: .Section14.12.120oftheCupertino Section1.CodeAmendment MunicipalCodeisherebyamendedtoreadasfollows: 14.12.120ConditionforDevelopmentorBuildingPermit. Everypersonwhoconstructs,remodelsoraltersanydwelling, commercialorindustrialpropertywhichissubjecttoChapter14.04ofthe CupertinoMunicipalCodetoinstallstreetimprovementsandwhere approvedstreettreesfromtheMasterStreetTreeListdonotexist,shall paytherequiredfee,priortotheissuanceofabuildingpermit,perthe NewStreetTreeCostSchedule,forthepurchase,plantingand maintenanceofthetreesbytheCity. Whenpublictreesaretoberemovedand/orplantedasaconditionofan approveddevelopmentorapprovedbuildingpermit,Sections14.12.140 and14.12.150ofthischaptershallnotapply. Allpublictreesshallbeprotectedagainstdamageduringconstruction operations.Thereshallbenostorageofmaterials,toolwashout,or vehicleparkingnearoruponpublictrees. .MunicipalCodesection Section2.StatementofPurpose 14.12.120currentlyspecifiesthat $¼«¸¿personwhoconstructs,remodels oraltersanydwelling,commercialorindustrialproperty,orwho constructsonanyunimprovedlandorpropertyabuttingapublicstreet whereapprovedstreettreesfromtheMasterStreetTreeListdonotexist shallpaytherequiredfee,priortotheissuanceofabuildingpermit,per theNewStreetTreeCostSchedule,forthepurchase,plantingand 104 Ordinance No. 13- maintenanceofthetreesbythe"¯º¿ !Thisamendmenttosection 14.12.120wouldlimittherequirementforinstallationofstreettreesto onlythosedevelopmentsorprojectsthataresubjecttoSection14.04to constructstreetimprovements,andwhereapprovedstreettreesfromthe MasterStreetTreeListdonotexist. .ShouldanyprovisionofthisOrdinance,orits Section3.Severability applicationtoanypersonorcircumstance,bedeterminedbyacourtof competentjurisdictiontobeunlawful,unenforceableorotherwisevoid,that determinationshallhavenoeffectonanyotherprovisionofthisOrdinanceor theapplicationofthisOrdinancetoanyotherpersonorcircumstanceand,tothat end,theprovisionshereofareseverable. Section4.EffectiveDate.ThisOrdinanceshalltakeeffectthirtydays afteradoptionasprovidedbyGovernmentCodeSection36937. Section5.Certification.TheCityClerkshallcertifytothepassageand adoptionofthisOrdinanceandshallgivenoticeofitsadoptionasrequiredby law.PursuanttoGovernmentCodeSection36933,asummaryofthisOrdinance maybepublishedandpostedinlieuofpublicationandpostingoftheentiretext. INTRODUCEDataregularmeetingoftheCupertinoCityCouncilthe 21stdayofMayandENACTEDataregularmeetingoftheCupertinoCity Councilthe_____dayof__________2013bythefollowingvote: MembersoftheCityCouncil Vote Ayes: Noes: Absent: Abstain: ATTEST:APPROVED: GraceSchmidt,CityClerkOrrinMahoney,Mayor 105 ORDINANCE NO. 13- AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CUPERTINO AMENDING SECTION 14.12.120 OF THE CUPERTINO MUNICIPAL CODE TO CONDITION THE INSTALLATION OF STREET TREES FOR ONLY THOSE DEVELOPMENTS OR PROJECTS THAT ARE SUBJECT TO CONSTRUCT STREET IMPROVEMENTS THE CITY COUNCIL OF THE CITY OF CUPERTINO DOES HEREBY ORDAIN AS FOLLOWS: Section 1. Code Amendment. Section 14.12.120 of the Cupertino Municipal Code is herebyamendedto read as follows: 14.12.120 Condition for Development or Building Permit. Every person who constructs, remodels or alters any dwelling, commercial or industrial property, which is subject to Chapter 14.04 of the Cupertino Municipal Code to install street improvementsor who constructs on any unimproved land or property abutting a public street and where approved street trees from the Master Street Tree List do not exist, shall pay the req fee, prior to the issuance of a building permit, per the New Str Tree Cost Schedule, for the purchase, planting and maintenance of the trees by the City. When public trees are to be removed and/or planted as a conditio of an approved development or approved building permit, Sections 14.12.140 and 14.12.150 of this chapter shall not apply. All public trees shall be protected against damage during construction operations.There shall be no storage of materials, tool washout, or vehicle parking near or upon public trees. Section 2. Statement of Purpose. Municipal Code section 14.12.120 currently specifies that Every person who constructs, remodels or alters any dwelling, commercial or industrial property, or wh constructs on any unimproved land or property abutting a public where approved street trees from the Master Street Tree List do 106 Ordinance No. 13- Page 2 shall pay the required fee, prior to the issuance of a building permit the New Street Tree Cost Schedule, for the purchase, planting an maintenance of the trees by the City. This amendment to section 14.12.120 would limit the requirement for installation of street trees to only those developments or projects that are subject to Section construct street improvements, and where approved street trees from the Master Street Tree List do not exist. Section 3.Severability. Should any provision of this Ordinance, or its application to any person or circumstance, be determined by a co competent jurisdiction to be unlawful, unenforceable or otherwis determination shall have no effect on any other provision of thi the application of this Ordinance to any other person or circumstance a end, the provisions hereof are severable. Section 4.Effective Date. This Ordinance shall take effect thirty days after adoption as provided by Government Code Section 36937. Section 5.Certification. The City Clerk shall certify to the passageand adoption of this Ordinance and shall give notice of its adoption law. Pursuant to Government Code Section 36933, a summary of th may be published and posted in lieu of publication and posting of the entire text. INTRODUCED at a regular meeting of the Cupertino City Council th 21st day of May and ENACTED at a regular meeting of the Cupertino City Council the _____day of __________ 2013 by the following vote: Vote Members of the City Council Ayes: Noes: Absent: Abstain: ATTEST: APPROVED: Grace Schmidt, City Clerk Orrin Mahoney, Mayor 107