HomeMy WebLinkAboutCC 2026-03-10 Agenda PackageCITY COUNCIL MEETING
AGENDA SUMMARY
Tuesday, March 10, 2026, 5:00 p.m.
In person at:
Arroyo Grande City Council Chamber
215 E. Branch Street, Arroyo Grande, CA 93420
AND via Zoom at:
https://arroyogrande-org.zoom.us/webinar/register/WN_NRsyFrUIQ_6179_iBTyDVA
Please click the link above to register to join the Zoom Meeting
This City Council meeting is being conducted in a hybrid in-person/virtual format. Please be advised that while
the City will endeavor to ensure these remote participation methods are available, the City does not guarantee
that they will be technically feasible or work all the time. Further, the City reserves the right to terminate these
remote participation methods (subject to Brown Act restrictions) at any time and for any reason. Members of
the public may participate and provide public comment on agenda items during the meeting in person at the
location identified above, by joining the Zoom meeting, or by submitting written public comments to the Clerk of
the Council at publiccomment@arroyogrande.org. Meetings will be broadcast live on Channel 20 and streamed
on the City’s Website.
CLOSED SESSION: 5:00 P.M.:
1. CALL TO ORDER
2. ROLL CALL
3. FLAG SALUTE
4. PUBLIC COMMENT ON CLOSED SESSION ITEMS
5. CLOSED SESSION
The City Council will recess to a closed session for the following and will report any reportable action at the
City Council Regular meeting at 6:00 p.m.:
a) PUBLIC EMPLOYEE PERFORMANCE EVALUATION:
Pursuant to Government Code Section 54957 (b)(1)
Title: City Manager
b) CONFERENCE WITH LABOR NEGOTIATORS:
Pursuant to Government Code Section 54957.6
Agency Negotiator: City Attorney Isaac Rosen
Title: City Manager
6. ADJOURNMENT
REGULAR MEETING 6:00 P.M.
1.CALL TO ORDER
2.ROLL CALL
3.MOMENT OF REFLECTION
4.FLAG SALUTE
5.AGENDA REVIEW
5.a Closed Session Announcements
City Attorney Rosen will announce any reportable action from the following meeting:
March 10, 2026
a) PUBLIC EMPLOYEE PERFORMANCE EVALUATION:
Pursuant to Government Code Section 54957 (b)(1)
Title: City Manager
b) CONFERENCE WITH LABOR NEGOTIATORS:
Pursuant to Government Code Section 54957.6
Agency Negotiator: City Attorney Isaac Rosen
Title: City Manager
5.b Ordinances read in title only
Recommended Action:
Move that all ordinances presented at the meeting shall be read by title only and all further
readings be waived.
6.SPECIAL PRESENTATIONS
6.a Honorary Proclamation Recognizing March 23-27, 2026 as "Government Finance
Professionals Week"
6.b City Manager Communications
(DOWNING)
Recommended Action:
Receive correspondence/comments as presented by the City Manager and Provide
direction, as necessary.
7.CITY COUNCIL REPORTS
None.
Reports are made during the Second Council Meeting each month.
8.COMMUNITY COMMENTS AND SUGGESTIONS
This public comment period is an invitation to members of the community to present issues,
thoughts, or suggestions on matters not scheduled on this agenda. Comments should be limited to
those matters that are within the jurisdiction of the City Council. Members of the public may provide
public comment in-person or remotely by registering and joining the Zoom meeting utilizing the link
provided below. Once in the meeting, please use the “raise hand” feature to indicate your desire to
provide public comment.
Click the link below to register to join the webinar: https://arroyogrande-
org.zoom.us/webinar/register/WN_NRsyFrUIQ_6179_iBTyDVA
•
Page 2 of 87
After registering, you will receive a confirmation email containing information about joining
the webinar.
•
Please be advised that while the City will endeavor to ensure these remote participation methods are
available, the City does not guarantee that they will be technically feasible or work all the time.
Further, the City reserves the right to terminate these remote participation methods (subject to
Brown Act restrictions) at any time and for any reason. Please attend in person or submit your
comment via email to the City Clerk by 2:00 p.m. the day of the meeting to have it included as part of
the record.
The Brown Act restricts the Council from taking formal action on matters not published on the
agenda. In response to your comments, the Mayor or presiding Council Member may:
Direct City staff to assist or coordinate with you.•
A Council Member may state a desire to meet with you.•
It may be the desire of the Council to place your issue or matter on a future Council
agenda.
•
Please adhere to the following procedures when addressing the Council:
Comments should be limited to 1 minute or less.•
Your comments should be directed to the Council as a whole and not directed to individual
Council members.
•
Slanderous, profane or personal remarks against any Council Member or member of the
audience shall not be permitted.
•
9.CONSENT AGENDA
The following routine items listed below are scheduled for consideration as a group. The
recommendations for each item are noted. Any member of the public who wishes to comment on
any Consent Agenda item may do so at this time. Any Council Member may request that any item be
withdrawn from the Consent Agenda to permit discussion or change the recommended course of
action. The City Council may approve the remainder of the Consent Agenda on one motion.
9.a Approval of Minutes
(MATSON)
Recommended Action:
Approve the minutes of the Regular City Council Meeting of February 24, 2026, as
submitted.
9.b Cash Disbursement Ratification
(VALENTINE)
Recommended Action:
Review and ratify the attached listing of cash disbursements for the period of February 1
through February 15, 2026.
9.c Statement of Investment Deposits for January 2026
Page 3 of 87
(VALENTINE)
Recommended Action:
Receive and file the attached report listing investment deposits of the City of Arroyo Grande
as of January 31, 2026, as required by Government Code Section 53646(b).
9.d Northern Cities Management Agency (NCMA) Technical Group Strategic Plan
(ROBESON)
Recommended Action:
Receive and file the 2025 NCMA Technical Group Strategic Plan (Plan).
10.PUBLIC HEARINGS
None.
11.BUSINESS ITEMS
11.a Discussion of the Purchase of State Water
(ROBESON)
Recommended Action:
1) Discuss and direct staff to proceed with the preparation of a ballot measure (and draft
language) to repeal Measure A, as approved in the November 6, 1990 General Municipal
Election, and authorize the City of Arroyo Grande to participate in the California State
Water Project, to be placed on a future municipal ballot, for consideration at a future City
Council meeting; and
2) Find that providing direction to staff to proceed with preparing a ballot measure for the
purchase of State Water is not a project subject to the California Environmental Quality Act
(“CEQA”) because it has no potential to result in either a direct, or reasonably foreseeable
indirect, physical change in the environment. (State CEQA Guidelines, §§ 15060, subd.
(c)(2)-(3), 15378).
11.b Risk Management Annual Report
(GARCIA)
Recommended Action:
Receive and file the Risk Management Annual Report.
11.c 2026 Omnibus Municipal Code Cleanup Ordinance
(MATSON)
Recommended Action:
1) Introduce an Ordinance amending Section 1.01.010 (General Provisions), and various
sections of Chapter 13.26 of Title 13 (Encroachment Permits) of the Arroyo Grande
Municipal Code (AGMC); and
2) Find that the Ordinance is not subject to the California Environmental Quality Act
(“CEQA”) because these efforts have no potential to result in either a direct, or reasonably
foreseeable indirect, physical change in the environment. (State CEQA Guidelines, §§
15060 (c)(2) and (3), 15378).). Alternatively, the organizational changes made by the
amendments to Title 1, and Title 13 of the AGMC by this Ordinance are not a project under
CEQA because such changes constitute organizational or administrative activities of a
Page 4 of 87
government that will not result in direct or indirect physical changes in the environment.
(State CEQA Guidelines § 15378(b)(5).)
12.COUNCIL COMMUNICATIONS
Any Council Member may ask a question for clarification, make an announcement, or report briefly
on his or her activities. In addition, subject to Council policies and procedures, Council Members
may request staff to report back to the Council at a subsequent meeting concerning any matter or
request that staff place a matter of business on a future agenda. Any request to place a matter of
business for original consideration on a future agenda requires the concurrence of at least two other
Council Members.
13.ADJOURNMENT
All staff reports or other written documentation, including any supplemental material distributed to a
majority of the City Council within 72 hours of a regular meeting, relating to each item of business on
the agenda are available for public inspection during regular business hours in the City Clerk’s office,
300 E. Branch Street, Arroyo Grande. If requested, the agenda shall be made available in
appropriate alternative formats to persons with a disability, as required by the Americans with
Disabilities Act. To make a request for disability-related modification or accommodation, contact the
Legislative and Information Services Department at 805-473-5400 as soon as possible and at least
48 hours prior to the meeting date.
This agenda was prepared and posted pursuant to Government Code Section 54954.2 Agenda
reports can be accessed and downloaded from the City’s website at www.arroyogrande.org If you
would like to subscribe to receive email or text message notifications when agendas are posted, you
can sign up online through the “Notify Me” feature.
City Council Meetings are streamed live on the City’s Website and recorded for replay on Arroyo
Grande’s Government Access Channel 20.
Page 5 of 87
OF
HONORARY PROCLAMATION
RECOGNIZING MARCH 23-27, 2026
AS "GOVERNMENT FINANCE PROFESSIONALS WEEK"
WHEREAS, the California Society of Municipal Finance Officers (CSMFO) is the state's leading professional
organization dedicated to promoting excellence in financial management for California's local governments;
and
WHEREAS, government finance professionals serve cities, counties, special districts, and joint powers
authorities by ensuring transparency, accountability, and responsible stewardship of public funds; and
WHEREAS, these professionals play a critical role in managing complex budgets, complying with state and
federal laws, maintaining accurate financial reporting in compliance with government accounting
standards, administering utility rate processes and enterprise funds; and supporting long-term financial
sustainability; and
WHEREAS, California's financial landscape-shaped by Proposition 13, Proposition 218, the Gann
Appropriations Limit, CalPERS pension obligations, and fluctuating economic conditions-requires expert
analysis and sound financial leadership; and
WHEREAS, finance professionals work diligently, often behind the scenes, to provide critical information
that enables informed policy decisions and ensures the delivery of essential public services; and
WHEREAS, recognizing Government Finance Professionals Week helps highlight the dedication, integrity,
and professionalism of these essential public servants.
NOW, THEREFORE BE IT RESOLVED, that I, Caren Ray Russom, Mayor of the City of Arroyo Grande, do
hereby designate March 23-27, 2026, as "Government Finance Professionals Week," and encourage all
residents to recognize and appreciate the hard work and contributions of the City of Arroyo Grande's finance
professionals who serve our community. �-p.oy 0 � �------ Q IN WITNESS WHEREOF, I have hereunto set my hand and caused the Seal
of the City of Arroyo Grande to be affixed this 10th day of March 2026.
CAREN RAY RUSSOM, MAYOR
0 1) >-INCORPORATED �
I-0 o rn
"1C JULY10,1911 *
C',ql.lFQ'f{\�,t-
Item 6.a.
Page 6 of 87
1 Item 9.a.
ACTION MINUTES
REGULAR MEETING OF THE CITY COUNCIL
February 24, 2026, 6:00 p.m.
Hybrid City Council Chamber/Virtual Zoom Meeting
215 East Branch Street, Arroyo Grande
Council Members Present: Mayor Caren Ray Russom, Mayor Pro Tem
Jamie Maraviglia, Council Member Jim
Guthrie, Council Member Kate Secrest,
Council Member Aileen Loe
Staff Present: City Clerk Jessica Matson, City Attorney Isaac
Rosen, City Manager Matthew Downing,
Assistant City Manager/Public Works Director
Bill Robeson, Community Development
Director Brian Pedrotti, Planning Manager
Andrew Perez, City Engineer Shannon
Sweeney, Chief of Police Dave Culver,
Human Resources Officer Ashley Garcia,
Public Works Manager Mike Robles,
Executive Assistant Elizabeth Vega, FCFA
Battalion Chief Ryan Bird, Deputy City
Clerk/Communications Coordinator Julie
Hawkins
This meeting was conducted in a hybrid in-person/virtual format.
_____________________________________________________________________
1. CALL TO ORDER
Mayor Ray Russom called the Regular City Council Meeting to order at 6:00 p.m.
2. ROLL CALL
City Clerk Matson took roll call.
3. MOMENT OF REFLECTION
4. FLAG SALUTE
Mayor Ray Russom led the flag salute.
5. AGENDA REVIEW
5.a Closed Session Announcements
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CITY COUNCIL REGULAR MEETING MINUTES
FEBRUARY 24, 2026
PAGE 2
2 Item 9.a.
None.
5.b Ordinances read in title only
None.
6. SPECIAL PRESENTATIONS
6.a Honorary Proclamation Recognizing March 2026 as "Women's History Month"
Mayor Ray Russom presented the Proclamation recognizing March 2026 as "Women's History
Month." Anita Shower, San Luis Obispo County Commission on Status of Women and Girls,
accepted the Proclamation.
No action was taken on this Item.
6.b Introduction of Public Works Manager Mike Robles
Assistant City Manager/Public Works Director Robeson introduced Public Works Manager Mike
Robles and highlighted his educational background and professional skills. Public Works
Manager Robles addressed the Council.
No action was taken on this item.
6.c Recognition of Annual Employee Award Recipients
City Manager Downing introduced the City’s annual employee awards recipients: Senior
Accounting Clerk Susie Velasquez, Five Cities Fire Authority Administrative Operations Manager
Tricia Meyers, Executive Assistant Elizabeth Vega, Battalion Chief Ryan Bird, City Engineer
Shannon Sweeney, Deputy City Clerk/Communications Coordinator Julie Hawkins, and Senior
Engineer John Benedetti.
No action was taken on this item.
6.d City Manager Communications
City Manager Downing provided updates regarding the recruitment for Utilities Manager
following the upcoming retirement of Shane Taylor following a 38-year career with the City;
recruitments for Police Officer and Police Trainees; FCFA Strategic Plan effort and current
survey; Fact Check Central webpage on the City's website; and the current vacancy on
SLOCOG’s Citizen Transportation Advisory Committee (CTAC).
No action was taken on this item.
7. CITY COUNCIL REPORTS
The City Council provided brief reports from the following committee, commission, board, or other
subcommittee meetings that they attended as the City’s appointed representative.
7.a MAYOR RAY RUSSOM:
1. Audit Committee
Page 8 of 87
CITY COUNCIL REGULAR MEETING MINUTES
FEBRUARY 24, 2026
PAGE 3
3 Item 9.a.
2. California Joint Powers Insurance Authority (CJPIA)
3. Five Cities Fire Authority JPA Board
4. San Luis Obispo County Mayor's Meeting
5. South San Luis Obispo County Sanitation District (SSLOCSD)
6. Other
7.b MAYOR PRO TEM MARAVIGLIA:
1. Five Cities Fire Authority JPA Board
2. Visit SLO CAL Advisory Board
3. Other
7.c COUNCIL MEMBER GUTHRIE:
1. Central Coast Community Energy (CCCE) Policy Board
2. Integrated Waste Management Authority Board (IWMA)
3. REACH Economic Development Roundtable
4. Other
7.d COUNCIL MEMBER SECREST:
1. Air Pollution Control District (APCD)
2. Homeless Services Oversight Council (HSOC)
3. South County Chambers of Commerce Governmental Affairs Committee
4. Other
7.e COUNCIL MEMBER LOE:
1. Council of Governments/Regional Transit Authority (SLOCOG/SLORTA)
2. County Water Resources Advisory Committee (WRAC)
3. Zone 3 Water Advisory Board
4. Mayor's Meeting
8. COMMUNITY COMMENTS AND SUGGESTIONS
Mayor Ray Russom invited public comment. Speaking from the public was Alexandria Davis, Lauren
Sligh, Lincoln Sligh, Marcy Betita. No further public comments were received.
9. CONSENT AGENDA
Page 9 of 87
CITY COUNCIL REGULAR MEETING MINUTES
FEBRUARY 24, 2026
PAGE 4
4 Item 9.a.
Mayor Ray Russom asked the Council if there were any questions or any items to be pulled from the
consent agenda for further discussion. There were none.
Mayor Ray Russom invited public comment. No public comments were received.
Council Member Loe commented on the completion of the Traffic Way Bridge Replacement Project and
success of the Buy Local Program.
Moved by Council Member Guthrie
Seconded by Council Member Secrest
Approve Consent Agenda Items 9.a. through 9.e., with the recommended courses of action.
AYES (5): Council Member Guthrie, Council Member Secrest, Council Member Loe, Mayor Pro Tem
Maraviglia, and Mayor Ray Russom
Passed (5 to 0)
9.a Approval of Minutes
Approved the minutes of the Regular City Council Meeting of February 10, 2026, as submitted.
9.b Cash Disbursement Ratification
Reviewed and ratified the attached listing of cash disbursements for the period of January 16
through January 31, 2026.
9.c Accept Traffic Way Bridge Replacement Project, PW 2023-02
1) Adopted a Resolution accepting the project improvements as constructed by Granite
Construction Company in accordance with the plans and specifications for the Traffic Way
Bridge Replacement Project, PW 2023-02; and
2) Directed staff to file a Notice of Completion.
9.d James Way Sewer Easement Vacation
1) Adopted a Resolution ordering the vacation of a Sewer Easement at James Way; and
2) Found that Adopting a Resolution Vacating the Sewer Easement at 1281 James Way is not a
project subject to the California Environmental Quality Act (“CEQA”) because it has no potential
to result in either a direct, or reasonably foreseeable indirect, physical change in the
environment. (State CEQA Guidelines, §§ 15060, subd. (b)(2)-(3), 15378.);
9.e Monthly Water Supply & Demand Update
Received and filed the Monthly Water Supply and Demand Update.
10. PUBLIC HEARINGS
None.
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CITY COUNCIL REGULAR MEETING MINUTES
FEBRUARY 24, 2026
PAGE 5
5 Item 9.a.
11. BUSINESS ITEMS
11.a San Luis Obispo Council of Governments (SLOCOG) Transportation Expenditure Plan
Assistant City Manager/Public Works Director Robeson introduced the Item and representatives
from San Luis Obispo Council of Governments (SLOCOG). Kendall Flint, SLOCOG consultant,
presented and responded to questions from Council.
Mayor Ray Russom invited public comment. Speaking from the public was Eric Justeson. No
further public comments were received.
Council discussion ensued regarding the potential to become a self-help county. Mayor Ray
Russom expressed concerns with the lack of protections for south county funds.
Moved by Mayor Pro Tem Maraviglia
Seconded by Council Member Secrest
Adopted a Resolution approving the San Luis Obispo Council of Governments (SLOCOG) Final
Draft Transportation Expenditure Plan (Plan) and authorized SLOCOG to use the City’s logo on
website and informational materials.
AYES (4): Mayor Pro Tem Maraviglia, Council Member Secrest, Council Member Guthrie, and
Council Member Loe
NOES (1): Mayor Ray Russom
Passed (4 to 1)
11.b Study Session to Consider the Preliminary Public Review Draft General Plan
Community Development Director Pedrotti introduced the Item and consultant. Michael
Gibbons, Mintier Harnish consultant, presented the Public Review Draft. Director Pedrotti
commented on the project schedule and next steps.
Director Pedrotti summarized the comments received from the public following the publishing of
the Agenda and responded to questions from Council.
City Manager Downing responded to questions from Council.
Mayor Ray Russom invited public comment. Speaking from the public was Joel Fishbein, Eric
Justeson, Trish Wilson, Peter Williamson. No further public comments were received. Director
Pedrotti, City Engineer Sweeney, and City Manager Downing responded to questions from the
public. Mayor Ray Russom addressed public questions.
City Manager Downing addressed public interest in tennis and pickleball courts and the current
Soto Sports Complex Strategic Plan effort.
Page 11 of 87
CITY COUNCIL REGULAR MEETING MINUTES
FEBRUARY 24, 2026
PAGE 6
6 Item 9.a.
Council discussion ensued regarding comments received during the review process. Director
Pedrotti, Planning Manager Perez, and City Manager Downing responded to questions from
Council.
City Council took a brief break from 8:16 pm - 8:23 pm.
Council discussion continued.
City Council took a brief break due to technical difficulties from 8:51 pm - 9:05 pm.
Council discussion continued including programming that encourages intergenerational care;
creating a goal to have non-toxic environments; encouraging childcare and daycare facilities;
enhancing programming for youth and younger families; more policy implementation specific to
youth and younger families; and evaluating recreation programs to include seniors and families.
Council directed staff to review the plan for statements reflecting services for seniors and look
for opportunities to include other populations.
Council also discussed the potential population growth and having the right infrastructure and
funding to support the growth; opportunities for community gardens expanding; a proximity
policy for parks; having a transportation strategy to accommodate any population increase;
developing agriculture mitigation; residential building improvements; increasing opportunities for
affordable-middle housing like incentives or expedited processes, pre-approved plans, or super
bonuses for density; surveillance technology oversight; reassessing agriculture as an economic
driver; creation of a policy disallowing data centers; de-incentivizing stagnancy for land or areas
sitting and not being used.
Mayor Ray Russom made a motion to continue the meeting to 11:15 pm and continue Item 11c
to a date uncertain. Council Member Guthrie seconded the motion. The motion passed by
unanimous voice vote.
Council directed staff as follows:
Topic Council Decision
Focus Area Boundary should include all property area Yes
Characterize property as open space/undeveloped
instead of agriculture
Yes
Density modified to eliminate Low Density and include mix
use (Policy LU-10.2)
Yes
Sport Field moved from Frederick property to other
location (PRCS-A)
Yes
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CITY COUNCIL REGULAR MEETING MINUTES
FEBRUARY 24, 2026
PAGE 7
7 Item 9.a.
Reduce 20% open space requirement for N. Fair Oaks
Focus Area (LU-20)
Flexibility on total open space
%
Creek Trail Count towards Open Space /Parks and not be
developed while active agriculture use
Yes
Add connector road from Valley Road to Grand Ave (Table
7-5) if properties developed
Yes-not while active agriculture
is ongoing
Specify Class I Multi-Use Path along Creek S of Fair Oaks
Ave (LU-20) and not build while active agriculture in use
Yes
Revise to not create unnecessary burdens for property
owners interested in converting from agricultural to urban
uses on parcels with an agriculture land use designation
(LU-8.3 and LU 8.4)
Keep 8.3 and 8.4
Emphasize Camp AG and Tabernacle in Natural and
Cultural Resources Element (Policy NCR-4.9)
Yes
High-Speed Broadband Internet (SAF-1.6 and SAF-X)
(Describe as a community service in PRCS)
Yes
Address noise generated at neighborhood level as part of
NOI-D
Yes
High-Speed Internet (PRCS) Yes
New Sports Complex (PRCS-1) Support-remove specifics (i.e.
pickleball) from PRCS-1.2
Childcare Facilities (PRCS-5) Yes
Abandon level of service metric Maintain level of service
Include Arroyo Grande High School in Policy C-5.9 as a
traffic generator
Yes
Economic Development Element more permissive of
expanding commercial and light industrials opportunities
(ED-1.6)
Yes
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CITY COUNCIL REGULAR MEETING MINUTES
FEBRUARY 24, 2026
PAGE 8
8 Item 9.a.
Identify opportunities for City to generate revenue beyond
grants/loans (policy ED-3)
Yes
Concern that Policy ED-2.6 could deter commercial
development; incorporate metrics to indicate balanced
growth
No-support staff's position
Tennis Courts (PRCS) Soto Strategic Plan
Pickleball Courts (PRCS) Soto Strategic Plan
More robust policy on urban forestry (PRCS) No-support staff's position
Traffic inducing growth and encouraging policies to
allocate right-of-way to multimodal transportation types
No-support staff's position
New Organic Land Management Policy Yes
Open Space and Recreation % - "Double Dipping" No-does not belong in General
Plan
Dedicated transportation funding No
Commit to fixing pedestrian connections No
Intergenerational Programs No
Agriculture conversion in-lieu fee Yes
Maintain adequate road conditions in state of good repair Yes
Support youth and family similar to the document's
support of seniors
Yes
Community gardens - do not limit to public spaces No-already addressed
Proximity policy for parks - 10-minute walk No
Add City administrative support in PRCS No
Strong transportation strategy to accommodate growth No
Stronger language on regional partnerships for
transportation improvements
No-existing
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CITY COUNCIL REGULAR MEETING MINUTES
FEBRUARY 24, 2026
PAGE 9
9 Item 9.a.
LU-3.11 - Eliminate Modify to read “support high
quality residential design and
contribute to neighborhood
character”
LU-4.4 - remove residential No
LU-6.2 - soften/potentially eliminate to not overburden
new mixed-use projects
Yes-eliminate
Consider new residential development types as
implementation strategy
Yes
Increasing opportunity for missing middle housing Review with Housing Element
Minimum density requirements Review with Housing Element
“Super-bonuses” for additional density Review with Housing Element
Public disclosure and council approval of new surveillance
technology
No-consider administrative
policy
Economic Development Element to not be so heavy
agriculture/incorporate other major employers and sectors
Yes-call out working regionally
on economic development
Do not support data centers No
ED-1.12 – de-incentivizing property stagnancy No
11.c Study Session on Efforts to Redevelop East Grand Avenue
This Item was continued to a date uncertain.
12. COUNCIL COMMUNICATIONS
Council Member Loe provided information on SLOCOG's Project in Shell Beach/Avila Beach.
13. ADJOURNMENT
There being no further business to come before the City Council, Mayor Ray Russom adjourned the
meeting at 11:02 pm.
_________________________
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CITY COUNCIL REGULAR MEETING MINUTES
FEBRUARY 24, 2026
PAGE 10
10 Item 9.a.
Caren Ray Russom, Mayor
_________________________
Jessica Matson, City Clerk
Page 16 of 87
Item 9.b.
MEMORANDUM
TO: City Council
FROM: Nicole Valentine, Director of Administrative Services
BY: Megan Schotborgh, Finance Manager
SUBJECT: Cash Disbursement Ratification
DATE: March 10, 2026
RECOMMENDATION:
Review and ratify the attached listing of cash disbursements for the period of February 1
through February 15, 2026.
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
There is a $3,242,332.12 fiscal impact for the period of February 1 through February 15,
2026, that includes the following items:
Accounts Payable Checks $2,746,746.85
Payroll & Benefit Checks $495,585.27
BACKGROUND:
Cash disbursements are made weekly based on the submission of all required documents
supporting the invoices submitted for payment. Prior to payment, Administrative Services
staff review all disbursement documents to ensure that they meet the approval
requirements adopted in the Municipal Code and the City’s Purchasing Policies and
Procedures Manual.
ANALYSIS OF ISSUES:
The attached listing represents the cash disbursements required for normal and usual
operations during the period. The disbursements are a ccounted for in the FY 2025-26
budget.
ALTERNATIVES:
The following alternatives are provided for the Council’s consideration:
1. Approve staff’s recommendation;
2. Do not approve staff’s recommendation; or
3. Provide other direction to staff.
Page 17 of 87
Item 9.b.
City Council
Cash Disbursement Ratification
March 10, 2026
Page 2
ADVANTAGES:
The Administrative Services Department monitors payments of invoices for
accountability, accuracy, and completeness using standards approved by the City
Council.
Invoices are paid in a timely manner to establish goodwill with merchants.
Discounts are taken where applicable.
DISADVANTAGES:
There are no disadvantages identified in this recommendation.
ENVIRONMENTAL REVIEW:
Ratifying the cash disbursements is not a project subject to the California Environmental
Quality Act (“CEQA”) because it has no potential to result in either a direct, or reasonably
foreseeable indirect, physical change in the environment. (State CEQA Guidelines, §§
15060, subd. (c)(2)-(3), 15378.)
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted at City Hall and on the City’s website in accordance with
Government Code Section 54954.2.
ATTACHMENTS:
1. February 1 through February 15, 2026 – Accounts Payable Check Register
2. February 6, 2026 – Payroll & Benefit Check Registers
Page 18 of 87
City of Arroyo Grande
INV GROUP PUBLICATION LIST
Report generated: 02/25/2026 14:04
User:mschotborgh
Program ID: appdwarr
Page 1
INV GROUP RANGE:020126 TO 021526 DATES: 07/01/25 TO 06/30/26
ACCOUNT
VENDOR NAME AMOUNT
100 1033 CHANGE CASH-SPECIAL RECREATION
PETTY CASH 300.00
100 1111 ACCOUNTS RECEIVABLE - FCFA
HEALTH AND HUMAN RESOURCE CTR 49.41
LIEBERT, CASSIDY, WHITMORE 2,350.80
100 1202 INVENTORY-GAS & OIL
CA DEPT OF TAX & FEE ADMIN 414.00
JB DEWAR, INC 4,301.21
100 2206 DEPOSITS-COMMERCIAL BLDG.
ONE TIME PAY 52.00
100 2208 DEPOSITS-SMIP
CA ST DEPT OF CONSERVATION 641.15
100 2223 DEPOSITS--STATE GREEN BLDG STD
CALIFORNIA BUILDING STANDARDS 464.40
100 2231 STATE SB 1186 FEE
DIVIS. OF THE STATE ARCHITECT -4,904.10
10004000 4050 BUSINESS LICENSE TAX
DIVIS. OF THE STATE ARCHITECT 5,449.00
10004000 4203 PARKING FINES
SLO COUNTY AUDITOR-CONTROLLER 853.50
10004000 4354 PARK USER FEES
ONE TIME PAY -31.00
10004000 4605 SPEC.INT.CLASSES
DOMINGUEZ, ROJEAN 80.00
ONE TIME PAY 348.50
10004000 4801 OTHER REVENUE
CA ST DEPT OF CONSERVATION -32.06
10014001 5201 SUPPLIES-OFFICE
AMAZON CAPITAL SERVICES -43.48
GRAND AWARDS, INC 15.23
10014002 5301 ADVERTISING
NEW TIMES 1,045.00
10014002 5303 CONTRACTUAL SERVICES
CRISP IMAGING 5,921.12
10014003 5319 SERVICES-MISCELLANEOUS
BROADCAST MUSIC INC 459.00
10014099 5132 DENTAL INSURANCE
DELTA DENTAL 2,518.72
10014099 5133 VISION INSURANCE
VISION SERVICE PLAN 604.54
10014101 5201 SUPPLIES-OFFICE
AMAZON CAPITAL SERVICES 17.55
10014101 5303 CONTRACTUAL SERVICES
TOWNSEND PUBLIC AFFAIRS INC 5,500.00
TRIPEPI SMITH 3,027.50
10014101 5319 SERVICES-MISCELLANEOUS
AMAZON CAPITAL SERVICES -41.91
10014101 5504 PUBLIC RELATIONS
AMAZON CAPITAL SERVICES 248.46
BRISCO MILL & LUMBER YARD 25.32
CONWAY-PEARSON, MARGARET 135.20
MINER'S ACE HARDWARE, INC 66.11
Attachment 1
Page 19 of 87
City of Arroyo Grande
INV GROUP PUBLICATION LIST
Report generated: 02/25/2026 14:04
User: mschotborgh
Program ID: appdwarr
Page 2
INV GROUP RANGE:020126 TO 021526 DATES: 07/01/25 TO 06/30/26
ACCOUNT
VENDOR NAME AMOUNT
10014102 5255 SPECIAL DEPARTMENT SUPPLIES
BOONE PRINTING & GRAPHICS INC 597.26
BURDINE PRINTING 500.15
10014102 5602 MAINTENANCE-OFFICE EQUIPMENT
FLEXTG LLC 155.64
10014120 5303 CONTRACTUAL SERVICES
ROBERT HALF 3,947.13
10014140 5303 CONTRACTUAL SERVICES
EVERON LLC 3,790.41
SDI PRESENCE LLC 2,181.14
SOFTWARE SOLUTIONS TEAM 2,325.00
10014140 5602 MAINTENANCE-OFFICE EQUIPMENT
AMAZON CAPITAL SERVICES 27.07
10014145 5147 EMPLOYEE ASSISTANCE PROGRAM
HEALTH AND HUMAN RESOURCE CTR 197.64
10014145 5208 POSTAGE/MAILING
PITNEY BOWES, INC 535.21
10014145 5313 FIVE CITIES FIRE AUTHORITY
FIVE CITIES FIRE AUTHORITY 770,488.88
10014145 5401 UTILITIES
CHARTER COMMUNICATIONS 58.44
CITY OF GROVER BEACH 119.58
PACIFIC GAS & ELECTRIC CO 10,817.40
SOCALGAS 240.39
SOUTH SLO COUNTY SANIT DIST 149.76
10014145 5403 TELECOMMUNICATIONS
AT&T 60.72
10014145 5503 MEMBERSHIPS & SUBSCRIPTIONS
LEAGUE OF CALIFORNIA CITIES 8,237.00
10014145 5553 RENT-BUILDINGS & LAND
ATLAS PERFORMANCE INDUSTRIES I 4,200.00
10034201 5201 SUPPLIES-OFFICE
AMAZON CAPITAL SERVICES 388.74
10034201 5255 SPECIAL DEPARTMENT SUPPLIES
AMAZON CAPITAL SERVICES 299.39
10034201 5303 CONTRACTUAL SERVICES
ATC SEQUOIA LLC 142.57
PARAMOUNT CLEANERS 24.00
RICHETTI COMPLETE WATER 16.50
10034201 5315 PRE-EMPLOYMENT PHYSICALS
CENTRAL COAST EVALUATION SVCS 3,000.00
10034201 5403 TELECOMMUNICATIONS
AT&T 303.48
CHARTER COMMUNICATIONS 199.98
10034201 5501 TRAVEL/CONFERENCE/TRAINING
CPCA - CA POLICE CHIEFS ASSN 200.00
TARGETSOLUTIONS LEARNING, LLC 1,140.46
10034201 5503 MEMBERSHIPS & SUBSCRIPTIONS
CPCA - CA POLICE CHIEFS ASSN 170.00
10034201 5601 MAINTENANCE-VEHICLES
BOB'S EXPRESS WASH 13.00
10034201 5608 GAS & OIL
Attachment 1
Page 20 of 87
City of Arroyo Grande
INV GROUP PUBLICATION LIST
Report generated: 02/25/2026 14:04
User: mschotborgh
Program ID: appdwarr
Page 3
INV GROUP RANGE:020126 TO 021526 DATES: 07/01/25 TO 06/30/26
ACCOUNT
VENDOR NAME AMOUNT
JB DEWAR, INC 266.72
10034201 5615 JANITORIAL SERVICES
BRENDLER JANITORIAL SERVICE 500.00
10034203 5272 PROTECTIVE/SAFETY CLOTHING
APPLIED TECHNOLOGY GROUP INC 969.51
SKAGGS PUBLIC SAFETY UNIFORMS 256.65
10034203 5303 CONTRACTUAL SERVICES
PARAMOUNT CLEANERS 325.75
10034203 5601 MAINTENANCE-VEHICLES
BOB'S EXPRESS WASH 195.00
TOM'S AUTO SERVICE 116.00
10034203 5608 GAS & OIL
JB DEWAR, INC 1,161.60
10034204 5303 CONTRACTUAL SERVICES
FLEXTG LLC 359.22
PARAMOUNT CLEANERS 105.00
PHOENIX GROUP 274.24
TRANSUNION RISK 100.00
10034204 5601 MAINTENANCE-VEHICLES
BOB'S EXPRESS WASH 78.00
FIGUEROA'S TIRES 140.00
SANTA MARIA MOTORCYCLES LLC 3,000.84
TOM'S AUTO SERVICE 319.39
10034204 5606 MAINTENANCE-RADIO COMM.
APPLIED TECHNOLOGY GROUP INC 168.55
10034204 5607 MAINTENANCE-COMPUTER SOFTWARE
MAVERICK DATA SYSTEMS 500.00
10034204 5608 GAS & OIL
JB DEWAR, INC 345.43
10044420 5143 UNIFORM ALLOWANCE
PRUDENTIAL OVERALL SUPPLY 192.06
10044420 5255 SPECIAL DEPARTMENT SUPPLIES
CALIHOUSE OF THREADS 137.96
10044420 5303 CONTRACTUAL SERVICES
GREENVALE TREE COMPANY 4,790.00
SOUTH COUNTY SANITARY SVC, INC 458.18
SWRCB-DWOCP 60.00
THE TORO COMPANY 986.70
UNITED STAFFING ASSOC. 3,481.05
10044420 5603 MAINTENANCE-MACH & EQUIP
H & M GOPHER CONTROL 247.93
10044420 5605 MAINTENANCE-GROUNDS
ARROYO GRANDE IN BLOOM INC 600.00
BRISCO MILL & LUMBER YARD 78.91
MINER'S ACE HARDWARE, INC 58.69
NOBLE SAW, INC 285.29
10044420 5608 GAS & OIL
JB DEWAR, INC 412.17
10044421 5201 SUPPLIES-OFFICE
BOONE PRINTING & GRAPHICS INC 295.26
10044421 5602 MAINTENANCE-OFFICE EQUIPMENT
DE LAGE LANDEN FINANCIAL SVCS 459.21
Attachment 1
Page 21 of 87
City of Arroyo Grande
INV GROUP PUBLICATION LIST
Report generated: 02/25/2026 14:04
User: mschotborgh
Program ID: appdwarr
Page 4
INV GROUP RANGE:020126 TO 021526 DATES: 07/01/25 TO 06/30/26
ACCOUNT
VENDOR NAME AMOUNT
10044424 5251 SUPPLIES-RECREATION CLASSES
ST JOHN'S LUTHERAN CHURCH 1,050.00
10044424 5252 SUPPLIES-RECREATION EVENTS
MERCIER, RICK 370.28
RICK'S VENDING 2,403.38
10044424 5351 SERVICES-CLASSES
CASTRO, ANGELICA 199.50
CINOWALT, KATHLEEN J 83.20
CUDDY, GAYLE 431.20
DIGIOIA, DEE 382.20
FIVE CITIES DUPLICATE BRIDGE 1,725.50
HONEYCUTT, MADISON 96.00
MANGIARDI, HEIDY 1,987.30
MAULE, TAMMY L CROSS 159.60
NELSON, NICCOLA 470.40
THE AGILE MIND 29.75
YOUTH EVOLUTION BASKETBALL 3,264.10
10054301 5255 SPECIAL DEPARTMENT SUPPLIES
AMAZON CAPITAL SERVICES 2,930.81
10054301 5273 SMALL TOOLS
MINER'S ACE HARDWARE, INC 16.30
10054301 5303 CONTRACTUAL SERVICES
WALLACE GROUP A CALIF CORP 6,054.95
10054301 5601 MAINTENANCE-VEHICLES
BOB'S EXPRESS WASH 13.00
INTERSTATE BATTERIES OF CENTRA 149.95
10054301 5608 GAS & OIL
JB DEWAR, INC 49.65
10054305 5143 UNIFORM ALLOWANCE
PRUDENTIAL OVERALL SUPPLY 124.10
10054305 5255 SPECIAL DEPARTMENT SUPPLIES
CALIHOUSE OF THREADS 137.96
KIMBALL MIDWEST 312.47
MINER'S ACE HARDWARE, INC 54.31
10054305 5303 CONTRACTUAL SERVICES
ASBURY ENVIROMENTAL SVCS 143.94
10054307 5201 SUPPLIES-OFFICE
BOONE PRINTING & GRAPHICS INC 57.62
10054307 5303 CONTRACTUAL SERVICES
CHARTER COMMUNICATIONS 92.51
DAVEY RESOURCE GROUP INC 2,500.00
SP MAINTENANCE SERVICES, INC 7,342.50
10054307 5402 POWER
PACIFIC GAS & ELECTRIC CO 22,641.10
10054308 5143 UNIFORM ALLOWANCE
PRUDENTIAL OVERALL SUPPLY 106.48
10054308 5255 SPECIAL DEPARTMENT SUPPLIES
CALIHOUSE OF THREADS 137.96
10054308 5303 CONTRACTUAL SERVICES
BREZDEN PEST CONTROL, INC 259.00
JD ELECTRIC 180.00
PRUDENTIAL OVERALL SUPPLY 320.58
Attachment 1
Page 22 of 87
City of Arroyo Grande
INV GROUP PUBLICATION LIST
Report generated: 02/25/2026 14:04
User: mschotborgh
Program ID: appdwarr
Page 5
INV GROUP RANGE:020126 TO 021526 DATES: 07/01/25 TO 06/30/26
ACCOUNT
VENDOR NAME AMOUNT
SOUTH COUNTY SANITARY SVC, INC 720.91
10054308 5604 MAINTENANCE-BUILDINGS
MINER'S ACE HARDWARE, INC 28.24
10054308 5608 GAS & OIL
JB DEWAR, INC 190.27
10054308 5615 JANITORIAL SERVICES
BRENDLER JANITORIAL SERVICE 1,135.00
10054330 5143 UNIFORM ALLOWANCE
PRUDENTIAL OVERALL SUPPLY 72.90
10054330 5273 SMALL TOOLS
LAWSON PRODUCTS, INC 302.88
10054330 5303 CONTRACTUAL SERVICES
WATERBOYS PLUMBING 675.00
10054330 5605 MAINTENANCE-GROUNDS
BSN SPORTS, LLC 363.22
CENTRAL COAST SOD INC 148.70
MINER'S ACE HARDWARE, INC 119.28
SITEONE LANDSCAPE SUPPLY LLC 677.61
10054330 5608 GAS & OIL
JB DEWAR, INC 158.36
110 2110 DENTAL INSURANCE
DELTA DENTAL 8,028.42
110 2113 LIFE INSURANCE
STANDARD INSURANCE CO 3,020.45
110 2117 DEFERRED COMPENSATION
ICMA RETIREMENT CORP PLAN ID 1 2,062.48
ICMA RETIREMENT CORP, PLAN ID 26,523.94
110 2119 VISION INSURANCE
VISION SERVICE PLAN 2,092.52
12014118 5313 FIVE CITIES FIRE AUTHORITY
FIVE CITIES FIRE AUTHORITY 256,829.62
21454550 5606 MAINTENANCE-RADIO COMM.
DORMAN HYDRO-SEEDING 7,150.00
21654560 5304 PROFESSIONAL SERVICES
RAINSCAPE 484.37
21754560 5355 PARKWAY MAINTENANCE-TR 1769
PACIFIC GAS & ELECTRIC CO 14.15
21954560 5304 PROFESSIONAL SERVICES
RAINSCAPE 1,201.41
22064303 5143 UNIFORM ALLOWANCE
PRUDENTIAL OVERALL SUPPLY 130.76
22064303 5201 SUPPLIES-OFFICE
BOONE PRINTING & GRAPHICS INC 57.62
22064303 5255 SPECIAL DEPARTMENT SUPPLIES
CALIHOUSE OF THREADS 137.96
22064303 5273 SMALL TOOLS
BRISCO MILL & LUMBER YARD 253.42
22064303 5303 CONTRACTUAL SERVICES
B & B OVERHEAD DOOR CO., INC 275.00
CA ST DEPT OF CORRECTIONS 1,447.23
HARVEY'S HONEY HUTS 106.08
JD ELECTRIC 340.00
Attachment 1
Page 23 of 87
City of Arroyo Grande
INV GROUP PUBLICATION LIST
Report generated: 02/25/2026 14:04
User: mschotborgh
Program ID: appdwarr
Page 6
INV GROUP RANGE:020126 TO 021526 DATES: 07/01/25 TO 06/30/26
ACCOUNT
VENDOR NAME AMOUNT
SP MAINTENANCE SERVICES, INC 7,342.50
TRAFFIC MANAGEMENT PRODUCTS IN 526.48
22064303 5601 MAINTENANCE-VEHICLES
BACK ON THE ROAD AUTOMOBILE 122.15
BOB'S EXPRESS WASH 15.00
22064303 5603 MAINTENANCE-MACH & EQUIP
CSC OF SANTA MARIA 381.40
22064303 5608 GAS & OIL
JB DEWAR, INC 169.70
22064303 5613 MAINTENANCE-STREETS & BRIDGES
BRISCO MILL & LUMBER YARD 97.84
BURKE AND PACE OF AG, INC 340.16
MINER'S ACE HARDWARE, INC 301.92
STATEWIDE SAFETY & SIGNS INC 32.59
TRAFFIC MANAGEMENT PRODUCTS IN 342.55
24014150 5301 ADVERTISING
COMMUNE COMMUNICATIONS CORP 18,750.00
24014150 5504 PUBLIC RELATIONS
MONARCH BOOKS 550.25
286 4301 INTEREST
COMPUTERSHARE CORP TRUST -84.45
28614103 5802 DEBT- INTEREST PAYMENT
COMPUTERSHARE CORP TRUST 74,480.15
35055556 7001 CONSTRUCTION
HARVEY'S HONEY HUTS 965.39
35055679 5504 PUBLIC RELATIONS
AMAZON CAPITAL SERVICES 70.71
BRAND CREATIVE 970.78
BURDINE PRINTING 85.24
PHANTOM PEAKS MEDIA LLC 100.00
35055679 7001 CONSTRUCTION
GRANITE CONSTRUCTION CO 996,942.90
35055679 7501 DESIGN & SURVEY
CONSOR NORTH AMERICA INC 19,148.54
35505080 7501 DESIGN & SURVEY
NORTH COAST ENGINEERING INC 39,690.00
61204000 4751 UTILITY BILLING
CITY OF GROVER BEACH 191.04
61254610 5143 UNIFORM ALLOWANCE
PRUDENTIAL OVERALL SUPPLY 103.28
61254610 5255 SPECIAL DEPARTMENT SUPPLIES
CALIHOUSE OF THREADS 137.95
61254610 5303 CONTRACTUAL SERVICES
WALLACE GROUP A CALIF CORP 2,610.30
61254610 5402 POWER
PACIFIC GAS & ELECTRIC CO 3,738.78
61254610 5555 BANK CHARGES
DATAPROSE LLC 276.92
61254610 5608 GAS & OIL
JB DEWAR, INC 164.48
61254610 5610 MAINTENANCE-LINES & PUMPS
FAMCON PIPE AND SUPPLY INC 249.89
Attachment 1
Page 24 of 87
City of Arroyo Grande
INV GROUP PUBLICATION LIST
Report generated: 02/25/2026 14:04
User: mschotborgh
Program ID: appdwarr
Page 7
INV GROUP RANGE:020126 TO 021526 DATES: 07/01/25 TO 06/30/26
ACCOUNT
VENDOR NAME AMOUNT
640 2301 DEPOSIT RENTERS
ONE TIME PAY REFUND 631.11
64054710 5208 POSTAGE/MAILING
DATAPROSE LLC 3,673.96
64054710 5303 CONTRACTUAL SERVICES
DATAPROSE LLC 800.00
GSI WATER SOLUTIONS 18,718.35
TRIPEPI SMITH 1,606.25
64054710 5310 WATER TREATMENT SERVICES
ABALONE COAST ANALYTICAL INC 70.00
64054710 5555 BANK CHARGES
DATAPROSE LLC 1,107.68
64054711 5402 POWER
PACIFIC GAS & ELECTRIC CO 2,526.78
64054712 5143 UNIFORM ALLOWANCE
PRUDENTIAL OVERALL SUPPLY 209.08
64054712 5255 SPECIAL DEPARTMENT SUPPLIES
CALIHOUSE OF THREADS 137.96
64054712 5273 SMALL TOOLS
MINER'S ACE HARDWARE, INC 61.95
64054712 5402 POWER
PACIFIC GAS & ELECTRIC CO 7,835.67
64054712 5601 MAINTENANCE-VEHICLES
BOB'S EXPRESS WASH 29.00
FIGUEROA'S TIRES 980.14
TOM'S AUTO SERVICE 58.00
64054712 5604 MAINTENANCE-BUILDINGS
CREATIVE FENCE CO. 1,297.91
64054712 5608 GAS & OIL
JB DEWAR, INC 379.48
64054712 5610 MAINTENANCE-LINES & PUMPS
CALPORTLAND CONSTRUCTION 1,143.24
FAMCON PIPE AND SUPPLY INC 15,823.41
ICONIX WATERWORKS (US) INC 1,003.02
TROESH RECYCLING, INC 694.62
760 2304 DEPOSITS-SEWER SVC CHG-S.D.
SOUTH SLO COUNTY SANIT DIST 271,030.43
760 2305 DEPOSIT-SEWER HOOKUPS-S.D.
SOUTH SLO COUNTY SANIT DIST 11,001.55
TOTAL 2,746,746.85
** END OF REPORT - Generated by Megan Schotborgh **
Attachment 1
Page 25 of 87
.
General Fund 433,595.67 5101 Salaries Full time 277,229.05
Streets Fund 21,145.26 5101 Volunteer Employee Retirement -
Sewer Fund 17,744.12 5102 Salaries Part-Time - PPT 10,733.86
Water Fund 23,100.22 5103 Salaries Part-Time - TPT 3,726.31
495,585.27 5105 Salaries OverTime 9,672.72
5106 Salaries Strike Team OT -
5107 Salaries Standby 2,239.72
5108 Holiday Pay 32,115.70
5109 Sick Pay 3,544.47
Administrative Services -5110 Annual Leave Buyback -
Information Services -5111 Vacation Buyback -
Community Development -5112 Sick Leave Buyback -
Police 7,386.25 5113 Vacation Pay 3,438.69
Public Works - Maintenance 1,249.74 5114 Comp Pay 3,312.66
Public Works - Enterprise 559.94 5115 Annual Leave Pay 8,652.77
Recreation - Administration 476.79 5116 Salaries - Police FTO -
Recreation - Special Events -5121 PERS Retirement 41,484.64
9,672.72 5122 Social Security 26,706.48
5123 PARS Retirement 209.35
5126 State Disability Ins.4,534.69
5127 Deferred Compensation 2,062.48
5131 Health Insurance 58,843.01
5132 Dental Insurance 2,873.28
5133 Vision Insurance 737.04
5134 Life Insurance 368.59
5135 Long Term Disability 493.84
5137 Leave Payouts -
5142 Unemployment Insurance -
5143 Uniform Allowance 134.56
5144 Car Allowance 1,022.50
5146 Council Expense -
5147 Employee Assistance -
5148 Boot Allowance -
5149 Motor Pay 8.86
5150 Bi-Lingual Pay 175.00
5151 Cell Phone Allowance 1,265.00
495,585.27
OVERTIME BY DEPARTMENT:
CITY OF ARROYO GRANDE
DEPARTMENTAL LABOR DISTRIBUTION
PAY PERIOD
01/16/2026-01/29/2026
2/6/2026
BY FUND BY ACCOUNT
Attachment 2
Page 26 of 87
Item 9.c.
MEMORANDUM
TO: City Council
FROM: Nicole Valentine, Director of Administrative Services
BY: Megan Schotborgh, Finance Manager
SUBJECT: Statement of Investment Deposits for January 2026
DATE: March 10, 2026
RECOMMENDATION:
Receive and file the attached report listing investment deposits of the City of Arroyo
Grande as of January 31, 2026, as required by Government Code Section 53646(b).
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
There is no funding impact on the City related to these reports. However, the City does
receive interest revenue based on the interest rate of the investments. Little to no future
staff time is projected.
BACKGROUND:
The Administrative Services department has historically submitted to the City Council a
monthly report providing the following information:
1. Type of investment.
2. Financial institution (bank, savings and loan, broker, etc.).
3. Date of maturity.
4. Principal amount.
5. Rate of interest.
6. Current market value for all securities having a maturity of more than 12 months.
7. Relationship of the monthly report to the annual statement of investment policy.
ANALYSIS OF ISSUES:
This report represents the City’s investments as of January 31, 2026, and includes all
investments managed by the City. As of January 31, 2026, the investment portfolio
complied with all State laws and the City’s investment policy.
Page 27 of 87
Item 9.c.
City Council
Statement of Investment Deposits for January 2026
March 10, 2026
Page 2
ALTERNATIVES:
The following alternatives are provided for the Council’s consideration:
1. Approve staff’s recommendation to receive and file the attached report listing the
investment deposits;
2. Do not approve staff’s recommendation; or
3. Provide other direction to staff.
ADVANTAGES:
Safety of principal is the foremost objective of the City. Investments are undertaken in a
manner that seeks to ensure the preservation of capital in the overall portfolio .
DISADVANTAGES:
Some level of risk is present in any investment transaction. Losses could be incurred due
to market price changes, technical cash flow complications such as the need to withdraw
a non-negotiable Time Certificate of Deposit early, or even the default of an issuer. To
minimize such risks, diversification of the investment portfolio by institution and by
investment instruments are being used as much as is practical and prudent.
ENVIRONMENTAL REVIEW:
The Statement of Investment Deposits is not a project subject to the California
Environmental Quality Act (“CEQA”) because it has no potential to result in either a direct,
or reasonably foreseeable indirect, physical change in the environment. (State CEQA
Guidelines, §§ 15060, subd. (c)(2)-(3), 15378).
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted at City Hall and on the City’s website in accordance with
Government Code Section 54954.2.
ATTACHMENTS:
1. Portfolio Summary: January 31, 2026
Page 28 of 87
CITY OF ARROYO GRANDE
Portfolio Summary
January 31, 2026
Investments Principal Value
Current Market
Value
Interest
Rate Date of Purchase Term Maturity Date
% of
Portfolio
Local Agency Investment Fund 9,685,006.55$ 9,685,006.55$ 3.931%39.493%
Certificates of Deposit
Pacific Premier Bank 249,000.00 249,000.00 3.680%February 21, 2025 12 mos February 21, 2026 1.011%
Live Oak Banking Company Inc 249,000.00 249,000.00 3.150%May 26, 2022 48 mos May 26, 2026 1.011%
UBS Bank USA 249,000.00 249,000.00 0.900%July 21, 2021 60 mos July 21, 2026 1.011%
Toyota Financial Savings Bank 248,000.00 248,000.00 0.950%July 22, 2021 60 mos July 22, 2026 1.007%
Chartway Federal Credit Union 248,000.00 248,000.00 5.250%July 28, 2023 60 mos July 28, 2026 1.007%
California Credit Union Glendale 243,000.00 243,000.00 5.450%October 26, 2023 36 mos October 26, 2026 0.987%
Alliant Credit Union 248,000.00 248,000.00 5.500%November 15, 2023 36 mos November 16, 2026 1.007%
Capital One Bank USA 248,000.00 248,000.00 1.250%December 8, 2021 60 mos December 8, 2026 1.007%
Bank United NA 249,000.00 249,000.00 1.350%December 8, 2021 60 mos December 8, 2026 1.011%
Paragon Bank TN 245,000.00 245,000.00 4.050%March 19, 2025 24 mos March 19, 2027 0.995%
Discover Bank 246,000.00 246,000.00 3.200%May 18, 2022 60 mos May 19, 2027 0.999%
United Teletech Financial Credit Union 248,000.00 248,000.00 5.100%November 8, 2023 48 mos November 8, 2027 1.007%
Medallion Bank UT 249,000.00 249,000.00 4.000%March 14, 2025 36 mos March 14, 2028 1.011%
Amerant Bank NA 245,000.00 245,000.00 4.050%March 28, 2025 36 mos March 28, 2028 0.995%
Freedom Northwest Credit Union 249,000.00 249,000.00 4.000%March 28, 2025 36 mos March 28, 2028 1.011%
Morgan Stanley Bank 244,000.00 244,000.00 4.650%April 6, 2023 60 mos April 6, 2028 0.991%
Maine Savings Federal Credit Union 249,000.00 249,000.00 4.800%July 21, 2023 60 mos July 21, 2028 1.011%
SkyOneFederal Credit Union 249,000.00 249,000.00 3.900%October 25, 2024 48 mos October 25, 2028 1.011%
Merrick Bank UT 249,000.00 249,000.00 4.000%March 19, 2025 48 mos March 19, 2029 1.011%
Bank Hapoalim BM New York 244,000.00 244,000.00 4.500%May 21, 2024 60 mos May 21, 2029 0.991%
Morgan Stanley Private Bank 244,000.00 244,000.00 4.650%May 22, 2024 60 mos May 22, 2029 0.901%
Goldman Sachs Bank USA 245,000.00 245,000.00 4.000%March 18, 2025 60 mos March 18, 2030 0.905%
BMW Bank NA Salt Lake 245,000.00 245,000.00 4.000%May 16, 2025 48 mos May 16, 2029 0.995%
Texas Exchange Bank Crowley 249,000.00 249,000.00 4.000%May 23, 2025 48 mos May 23, 2029 1.011%
Security First Bk Lincoln Neb 245,000.00 245,000.00 3.950%July 3, 2025 48 mos July 3, 2030 0.995%
Synchrony Bank 245,000.00 245,000.00 3.600%October 24, 2025 60 mos October 24, 2030 0.995%
Institution for Svgs Newbury 249,000.00 249,000.00 3.650%October 28, 2025 60 mos October 28, 2030 1.011%
Total Certificates of Deposit 6,670,000.00 6,670,000.00 26.905%
Attachment 1
Page 29 of 87
CITY OF ARROYO GRANDE
Portfolio Summary
January 31, 2026
Investments Principal Value
Current Market
Value
Interest
Rate Date of Purchase Term Maturity Date
% of
Portfolio
Agency Bonds
Federal Home Loan Bank 999,500.00 997,100.00 0.800%March 17, 2021 60 mos March 10, 2026 4.058%
Federal Home Loan Bank 994,396.00 985,910.00 2.400%March 17, 2021 72 mos March 29, 2027 4.037%
Federal Home Loan Bank 500,000.00 497,700.00 3.375%May 17, 2022 60 mos May 17, 2027 2.030%
Federal Agriculture Mortgage Corp 495,174.00 499,940.00 3.580%October 28, 2024 36 mos October 7, 2027 2.010%
Federal Agriculture Mortgage Corp 2,029,036.00 2,062,120.00 4.650%May 17, 2024 60 mos April 26, 2029 8.237%
Total Agency Bonds 5,018,106.00 5,042,770.00 20.372%
Municipal Bonds
California State GO Various Purp Bond 491,810.00$ 499,145.00$ 2.500%May 12, 2022 47 mos April 1, 2026 1.997%
California State Taxable GO Unlimited 1,256,116.00 1,336,743.80 3.500%November 1, 2023 53 mos April 1, 2028 5.100%
California State Taxable GO Unlimited 525,935.25 549,372.25 2.500%December 19, 2024 57 mos October 1, 2029 2.135%
Total Municipal Bonds 2,273,861.25 2,385,261.05 9.232%
Treasury Obligations
U.S. Treasury Z-2026 Series 984,728.00 990,510.00 1.100%December 6, 2021 53 mos May 31, 2026 3.998%
Total Treasury Obligations 984,728.00 990,510.00 3.998%
TOTAL INVESTMENTS 24,631,701.80$ 24,773,547.60$ 100.000%
Attachment 1
Page 30 of 87
Item 9.d.
MEMORANDUM
TO: City Council
FROM: Bill Robeson, Assistant City Manager/Director of Public Works
BY: Shannon Sweeney, City Engineer
SUBJECT: Northern Cities Management Agency (NCMA) Technical Group
Strategic Plan
DATE: March 10, 2026
RECOMMENDATION:
Receive and file the 2025 NCMA Technical Group Strategic Plan (Plan).
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
None.
BACKGROUND:
The Northern Cities Management Area (NCMA) is comprised of the cities of Arroyo
Grande, Grover Beach, and Pismo Beach, as well as the Oceano Community Services
District/ The NCMA has a history of cooperative management of shared water resources.
The Northern Cities initiated collaborative management of the Santa Maria Groundwater
Basin (SMGB) in 1983 with the development of the Agreement Regarding Management
of the Arroyo Grande Groundwater Basin. In 1997, the SMGB became subject to litigation ,
and the 2005 Stipulation established the NCMA (in addition to two other management
areas, the Nipomo Mesa Management Area, primarily the Nipomo area; and the Twitchell
Management Authority, primarily in Santa Maria ) under court oversight.
The NCMA Technical Group is responsible for meeting the monitoring and reporting
requirements associated with the Stipulation and continues to work together to manage
groundwater and surface water supplies for a population of approximately 46,000
residents and hundreds of thousands of visitors each ye ar.
In 2025, the NCMA Technical Group completed an update to its strategic plan. The
strategic plan builds on prior plans finalized in 2014 and 2020, and is the result of a series
of strategic planning workshops that occurred over the past year. Workshops were held
with members of the Technical Group and executive management from each NCMA
member agency. The purpose of the plan is to articulate the group’s mission, align the
Page 31 of 87
Item 9.d.
City Council
Northern Cities Management Agency (NCMA) Technical Group Strategic Plan
March 10, 2026
Page 2
goals of the member agencies, and guide future initiatives that maintain and enhan ce
sustainable groundwater management.
ANALYSIS OF ISSUES:
The NCMA Technical Group Strategic Plan is a document that guides the multi-agency
collaboration by defining the group’s mission and documenting the many roles and
responsibilities of NCMA stakeholders. The NCMA Technical Group’s mission is to
“preserve and enhance the sustainability, quality, and affordability of water supplies for
the Northern Cities Area through science-based groundwater management, supply
reliability, cooperative management, adaptive management, proactive monitoring, and
cost-effective supplies.”
To translate mission into action, the Plan describes three primary objectives:
1. Enhance water supply reliability;
2. Support effective water resource management; and
3. Conduct effective outreach and regional coordination.
These objectives are met through core tasks, which include:
Quarterly monitoring of water levels and water quality;
Preparation of the annual groundwater monitoring report ;
Annual collaboration with agricultural representatives, and
Sustained internal/external engagement.
The Plan identifies and prioritizes strategic initiatives that achieve the primary objectives.
A weighting and scoring process was completed collaboratively by the Technical Group
to prioritize strategic initiatives according to four criteria:
Reliability & sustainability;
Enhanced management;
Cost effectiveness; and
Ease of implementation.
This weighting and ranking process is intended to be flexible and adaptive as conditions
change, providing a framework for the Technical Group to prioritize and implement the
highest-priority initiatives as time and budgets allo w. An implementation plan is included
to outline required actions, participants, estimated budgets, and timeframes for each
initiative.
ALTERNATIVES:
The following alternatives are provided for the Council’s consideration:
1. Receive and file the Plan; or
2. Provide other direction to staff.
Page 32 of 87
Item 9.d.
City Council
Northern Cities Management Agency (NCMA) Technical Group Strategic Plan
March 10, 2026
Page 3
ADVANTAGES:
The NCMA Strategic Plan defines the purpose of the Technical Group and will guide
efforts over the next five years as its member agencies seek to maintain and enhance
regional collaboration on water resources management and deliver safe, reliable, and
affordable water to their communities.
DISADVANTAGES:
There are no disadvantages identified at this time.
ENVIRONMENTAL REVIEW:
The NCMA Strategic Plan is exempt from CEQA on the basis that it can be seen with
certainty that there is no possibility that the activity in question may have a significant
effect on the environment. (State CEQA Guidelines, § 15061, subd. (b)(3).) The
development of the Plan itself will have no effect on the environment, and environmental
review will be conducted for each of the projects identified in this Plan, if necessary.
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted at City Hall and on the City’s website in accordance with
Government Code Section 54954.2.
ATTACHMENTS:
1. NCMA Strategic Plan
Page 33 of 87
NORTHERN CITIES MANAGEMENT AREA TECHNICAL GROUP
Strategic Plan
DECEMBER 2025
Prepared for:
City of Arroyo Grande
City of Grover Beach
Oceano Community Services District
City of Pismo Beach
ATTACHMENT 1
Page 34 of 87
ACKNOWLEDGEMENTS
The Northern Cities Management Area Strategic Plan was prepared through a cooperative effort
of the Northern Cities Management Area Technical Group:
Shannon Sweeney, PE,
City Engineer
Shane Taylor, Utilities
Manager
Gregory Ray, PE, Public
Works Director / City
Engineer
Peter Brown, General
Manager
Rosemarie Gaglione,
PE, Director of Public
Works
Additional contribution was provided by:
David O’Rourke, PG,
CHG, PE
Michael McAlpin, PG
Jim Garing, PE Nate Page, PG, CHG Sam Schaefer, PE
Facilitated By:
Michael Steele, PE
Kendall Stahl, PE
Jeffery Szytel, PE
Page 35 of 87
DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | i
TABLE OF CONTENTS
1.0 Introduction and Purpose ................................................................................................ 1
2.0 Background ..................................................................................................................... 1
3.0 Mission and Responsibilities ............................................................................................ 2
4.0 Objectives of the NCMA TG ............................................................................................ 3
5.0 Ongoing Initiatives ........................................................................................................... 4
6.0 Strategic Initiatives .......................................................................................................... 5
7.0 Implementation Plan ........................................................................................................ 8
Appendix A Boundary Maps ................................................................................................. A
Appendix B Related Organizations and Initiatives ................................................................ B
LIST OF TABLES
Table 1: Evaluation Criteria and Weighting Factors .................................................................... 4
Table 2: Evaluation Criteria and Weighting Factors .................................................................... 5
Table 3: Qualitative Evaluation Criteria and Score Descriptions ................................................. 5
Table 4: NCMA TG Key Strategies and Scoring ......................................................................... 7
Table 5: Implementation Plan ..................................................................................................... 9
Table 6: Related Organizations .................................................................................................. D
Table 7: Related Initiatives ......................................................................................................... D
LIST OF FIGURES
Figure 1: NCMA Agency Service Area Map ............................................................................... B
Figure 2: SMGB Management Area Boundary Map ................................................................... C
Page 36 of 87
DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | 1
1.0 Introduction and Purpose
The Northern Cities Management Area (NCMA) Technical Group (NCMA TG) developed the
NCMA TG Strategic Plan (Strategic Plan) for the purpose of providing the NCMA TG with:
➢ A Mission Statement to guide future initiatives;
➢ A framework for communicating water resource goals; and
➢ A formalized Work Plan for the next 10 years
The first NCMA TG Strategic Plan was finalized in 2014. The plan was then updated in 2020. This
2025 update was developed over a series of strategic planning sessions and NCMA TG meetings.
2.0 Background
The Northern Cities, comprised of the Oceano Community Services District and the cities of
Arroyo Grande, Grover Beach and Pismo Beach, have a long history of cooperative management
of shared water resources, and continue to actively work together to manage groundwater and
surface water supplies for a population of approximately 46,000 residents and hundreds of
thousands of visitors each year. The service areas for each of the Northern Cities are shown in
Appendix A. The Northern Cities initiated collaborative management of the Santa Maria
Groundwater Basin (SMGB) in 1983, with the development of the Agreement Regarding
Management of the Arroyo Grande Groundwater Basin (Gentlemen’s Agreement). The
Gentlemen’s Agreement defined the safe yield for the Northern Cities portion of the SMGB and
allocated the available water to the urban and agricultural users.
In 1997, the SMGB became subject to litigation and in 2002 the Northern Cities, the Northern
Landowners, and Other Parties entered into a Settlement Agreement, which reaffirmed the
Gentlemen’s Agreement. Subsequently, the Northern Cities and other Parties entered into the
2005 Stipulation, which formally divided the SMGB into three management areas: the Northern
Cities Management Area (NCMA); the Nipomo Mesa Management Area (NMMA); and the Santa
Maria Valley Management Area (SMVMA). The boundaries of each of the management areas are
shown in Appendix A. The Superior Court of California later adopted the Stipulation in its January
25, 2008 Judgment After Trial (Judgment). On November 21, 2012, the California Court of Appeal
(Sixth Appellate District) upheld the Superior Court’s Judgment. The California Supreme Court
later refused to hear the case – upholding the Appellate Court’s decision.
The Stipulation requires that each Management Area develop a monitoring program that must
include data collection and monitoring sufficient to determine land and water uses within the
management area, sources of supply to meet those uses, groundwater conditions including
groundwater level and quality, the amount and disposition of Developed Water supplies, and the
amount and disposition of other sources of water supply. This information must be presented to
the Court in an annual report that summarizes the results of the monitoring program, changes in
Page 37 of 87
DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | 2
groundwater supplies and any threats to groundwater supplies. In 2009, the Northern Cities
formed the Northern Cities Management Area Technical Group (NCMA TG), comprised of
technical staff from each of the agencies and selected consultants, to coordinate their efforts for
the monitoring program and the annual report.
As part of their collaborative management, the Northern Cities split the costs for the monitoring
program, the annual report and staff extension services, based upon each agency’s percentage
of the groundwater basin safe yield. The NCMA TG’s operating budget for these tasks is
approximately $315,000 per year. The overall annual budget varies year by year based upon the
different initiatives pursued by the NCMA TG.
In addition to the preparation of the Annual Report, the NCMA TG works collaboratively with the
other jurisdictions and regional groups to manage water supplies within southern San Luis Obispo
County. Roles and responsibilities within the NCMA are defined in Section 3.0 and Appendix B
outlines the NCMA TG’s relationship with the related agencies, groups, committees,
organizations, agreements and initiatives. In coordination with the other regional groups and on
its own, the NCMA TG actively pursues opportunities to enhance the sustainability of water supply
resources within the NCMA.
3.0 Mission and Responsibilities
The NCMA TG exists to help guide ongoing initiatives and to capture the requirements outlined
in the Gentlemen’s Agreement, Settlement Agreement and the Stipulation.
NCMA Mission Statement
Preserve and enhance the sustainability, quality, and affordability of water supplies for the
Northern Cities Area by:
➢ Managing groundwater resources using science-based approaches
➢ Enhancing supply reliability
➢ Advancing the legacy of cooperative water resources management
➢ Promoting adaptive management
➢ Protecting water quality and supply through proactive monitoring
➢ Maintaining cost-effective water supplies
NCMA Roles and Responsibilities
A list of various parties and their respective responsibilities in the management of water resources
in the Northern Cities Management Area include:
Agricultural Representatives
• Meet with NCMA Technical Group to collaborate on basin management
Page 38 of 87
DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | 3
Legal Counsel
• Work under the direction of the NCMA agencies
• Protect NCMA water rights and advance NCMA legal interests
• Develop legal frameworks for regional collaboration between NCMA agencies
NCMA Agency Governing Bodies and Executive Leadership
• Engage the public
• Lead policy direction
• Strengthen regional partnerships
NCMA Technical Group
• Represent NCMA agencies
• Meet court-mandated monitoring and reporting requirements
• Perform technical analysis and develop solutions to relevant issues
• Proactively evaluate and recommend sustainable management practices
Public
• Inform NCMA agency priorities
• Elect NCMA agency governing bodies
San Luis Obispo County
• Enforce stipulation in areas outside the NCMA agencies’ service areas
• Collect and provide monitoring data for NCMA monitoring program
Santa Clara County Superior Court
• Enforce the Santa Maria River Valley Groundwater Basin Stipulation and Judgement
• Arbitrate disagreements between stipulating parties
4.0 Objectives of the NCMA TG
Through the strategic planning process, the NCMA TG identified several key objectives to guide
future efforts. These objectives include:
1. Enhance Water Supply Reliability
o Develop coordinated response plan for seawater intrusion and other supply
emergencies
o Support implementation of projects and initiatives that increase water supply
reliability
o Prepare the Northern Cities for prolonged drought conditions
o Adaptively manage pumping from the groundwater basin in response to changing
conditions
o Mitigate threats to groundwater sustainability
Page 39 of 87
DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | 4
2. Support Effective Water Resource Management
o Effectively manage water resources through conjunctive use and other strategies
o Encourage collaboration between technical/legal/managerial teams
o Abide by the legal/regulatory groundwater management requirements
o Support understanding of current and historic groundwater conditions to inform
water resources initiatives
3. Conduct Effective Outreach and Regional Coordination
o Maintain effective cooperation and information sharing to further the objectives of
the NCMA agencies
o Reinforce the role of the NCMA TG as the recognized technical expert for water
resources within the Northern Cities Management Area
5.0 Ongoing Initiatives
The NCMA TG leads multiple ongoing initiatives that are required regularly by the Stipulation and
Judgement or are recurring in nature. These initiatives form the foundation of the NCMA TG’s
work and are summarized in Table 1.
Table 1: Evaluation Criteria and Weighting Factors
NCMA TG Regular Initiatives Description
Quarterly Monitoring
Quarterly monitoring of water level and water quality in
the NCMA Sentry/Monitoring Wells. Includes continuous
water level and water quality monitoring using pressure,
Electroconductivity (EC) and temperature transducers.
Annual Report
Development of an Annual Report on groundwater
conditions within the NCMA, as required by the
Stipulation and Judgment for the Santa Maria
Groundwater Basin.
NCMA & Agricultural
Representatives Collaboration
Prepare and deliver Annual presentation to the NCMA
agricultural representatives on the findings from the last
NCMA Annual Report as well as updates on current
groundwater and surface water related projects.
Maintain Internal and External
Engagement
Maintain Executive Management engagement with TG
and support Agency outreach to the public on NCMA
priorities.
Page 40 of 87
DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | 5
6.0 Strategic Initiatives
In addition to completing ongoing initiatives, the NCMA TG regularly seeks to identify strategic
initiatives that further the objectives of the NCMA TG, in alignment with its mission and
responsibilities. The NCMA TG utilized a weighted qualitative ranking process to develop and
guide these priorities. Building on initiatives and criteria from previous strategic plans, the NCMA
TG developed a list of potential initiatives to consider during the evaluation process and
developed four (4) criteria to score and rank the initiatives. Weighting factors were determined for
each evaluation criteria as detailed in Table 2 based on alignment with the NCMA TG’s mission,
responsibilities, and objectives.
Table 2: Evaluation Criteria and Weighting Factors
Evaluation Criteria Weighting Factor
Reliability and Sustainability 4
Enhanced Management 3
Cost Effectiveness 2
Ease of Implementation 2
Each of the initiatives was scored on a scale from one (low score) to three (high score) on each
evaluation criteria, guided by the descriptions in Table 3.
Table 3: Qualitative Evaluation Criteria and Score Descriptions
Evaluation
Criteria 1 (Low Score) 2 (Middle Score) 3 (High Score)
Reliability and
Sustainability
Implementation may
not significantly add to
sustainability or
reliability of water
resources; initiative
benefits may be a
challenge to maintain
in perpetuity.
Anticipated to provide
sustained benefits to
the basin with ongoing
maintenance and/or
effort.
Anticipated to provide
sustained benefits to
the basin and be easy
to maintain once set
into motion.
Enhanced
Management
Maintains existing
management
tools/strategies.
Augments existing
management
tools/strategies.
Introduces new
management
tools/strategies.
Page 41 of 87
DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | 6
Evaluation
Criteria 1 (Low Score) 2 (Middle Score) 3 (High Score)
Cost
Effectiveness
Lower benefit to cost
ratio anticipated –
often may include
creation of new
resources or physical
infrastructure with
significant investment.
Balanced benefit to
cost ratio anticipated –
significant monetary
investment may be
required, but effort
anticipated to result in
equally significant
benefits.
Higher benefit to cost
ratio anticipated –
benefits easily
outweigh the monetary
costs
Ease of
Implementation
Complex – many
stakeholders and/or
significant uncertainty
requiring considerable
effort to overcome;
implementation
timeline of multiple
years.
Intermediate –
challenges anticipated
to be navigable mostly
with existing
resources;
implementation
timeline of months to a
few years.
Easy – minimal outside
stakeholders;
implementation
timeline of months.
The combination of the initiative score for each criteria and
the weighting factors were then utilized to develop a score
and prioritized rank for each initiative, as shown in Table 4
(and in the spreadsheet embedded in the blue box to the
right). Prioritization of key strategies is envisioned to be
dynamic and change over time. It is recommended that the
NCMA TG review and update strategic initiatives and their
respective scoring periodically, especially in the context of
future significantly changed conditions.
Scoring and Ranking
Spreadsheet
(Click icon below in digital versions)
Initiative Scoring
and Ranking.xlsx
Page 42 of 87
DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | 7
Table 4: NCMA TG Key Strategies and Scoring
Weighting Factor 4 3 2 2
Ranking Strategic Initiative Description Key Objective
Reliability
and
Sustainability
Enhanced
Management
Cost
Effectiveness
Ease of
Implementation Total
Planned
Implementation
Timeline
1 Implement Management
Agreement
Adopt Management Agreement Update and Adaptive
Groundwater Management Plan
Support Effective Water
Resource Management
3 3 3 2 31 Short Term
(0-5 Years)
2 Groundwater Model
Management Scenarios
Utilize model to simulate regional groundwater
management scenarios
Support Effective Water
Resource Management
2 3 3 3 29 Short Term
(0-5 Years)
3 Intertie Plan Complete Intertie Plan for NCMA Enhance Water Supply
Reliability
2 3 2 3 27 Short Term
(0-5 Years)
4 Supplemental Water
Supply Projects
Explore/implement cost-effective supplemental water
supply project(s)
Enhance Water Supply
Reliability
3 3 1 1 25 Long Term
(5+ Years)
5 NCMA Legal Strategy Develop legal strategy to protect NCMA rights Enhance Water Supply
Reliability
3 2 2 1 24 Short Term
(0-5 Years)
6 Conjunctive Use Plan Develop a Conjunctive Use Plan to optimize use of
available groundwater storage including Advanced Water
Purification Facility projects that can recharge the basin
Support Effective Water
Resource Management
2 2 2 2 22 Short Term
(0-5 Years)
6 NCMA Managerial/Legal
Framework for
Development Review
Improve managerial & legal coordination on new
development outside the NCMA Agencies’ service areas
Conduct Effective Outreach
and Regional Coordination
2 2 2 2 22 Short Term
(0-5 Years)
8 Decommission
Monitoring Well
Decommission the damaged OCSD Yellow monitoring
well to protect against potential contamination
Support Effective Water
Resource Management
2 1 2 3 21 Short Term
(0-5 Years)
9 Water Quality Data Expand water quality base to include all NCMA water
quality data
Support Effective Water
Resource Management
1 2 2 3 20 Short Term
(0-5 Years)
9 Groundwater Dashboard Develop real-time groundwater dashboard Support Effective Water
Resource Management
1 2 2 3 20 Short Term
(0-5 Years)
9 Construct Monitoring
Well
Complete an additional deeper monitoring well in the
Cienga Valley
Support Effective Water
Resource Management
2 2 1 2 20 Short Term
(0-5 Years)
12 Infrastructure Resiliency
Analysis
Prepare an Infrastructure Resiliency Analysis Conduct Effective Outreach
and Regional Coordination
2 1 2 2 19 Long Term
(5+ Years)
12 Develop Full Basin
Groundwater Model
Complete Phase 2 groundwater model for the SMGB Support Effective Water
Resource Management
1 3 1 2 19 Long Term
(5+ Years)
14 Stormwater Capture
Feasibility Study
Complete a Stormwater Capture Feasibility Study Enhance Water Supply
Reliability
1 2 2 2 18 Long Term
(5+ Years)
Page 43 of 87
DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | 8
7.0 Implementation Plan
Utilizing the ranked and grouped initiatives, the NCMA TG developed an implementation plan for
the key strategies. Included in the implementation plan are the required actions to complete each
initiative, key participants, an estimated budget and an implementation time frame. Table 5
includes the details for the Implementation Plan developed by the NCMA TG.
The short-term time frame designation refers to initiatives that could be completed within 5 years.
Nine (9) initiatives were identified as short-term initiatives, potentially implemented within the next
0-5 years. The long-term time frame refers to initiatives that are expected to take longer than 5
years to implement. Five (5) initiatives were identified as long-term initiatives.
Costs are typically shared for strategic NCMA TG initiatives in the same way as ongoing annual
costs. These costs are typically divided between agencies according to their current share of
groundwater allocation for urban use. The current share of allocation by agency is:
• Arroyo Grande – 31%
• Grover Beach – 32%
• Oceano Community Services District – 21%
• Pismo Beach – 16%
It is recommended that the agencies review this implementation plan at least annually, ideally
prior to each agency’s budget setting process, and update the plan based on the most recent
available information.
Page 44 of 87
DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | 9
Table 5: Implementation Plan
Ranking Strategic Initiative Description Key Objective Implementation
Term Required Actions Participants Estimated
NCMA Budget
1 Implement Management
Agreement
Adopt Management Agreement
Update and Adaptive Groundwater
Management Plan
Support Effective Water
Resource Management
Short Term (0-5
Years)
1. Finalize Agreement
2. Approve Agreement
NCMA agencies, Managers,
Legal Counsel
Previously
Budgeted
2 Groundwater Model
Management Scenarios
Utilize model to stimulate regional
groundwater management scenarios
Support Effective Water
Resource Management
Short Term (0-5
Years)
1. Scope scenario
2. Evaluate scenario NCMA agencies $25,000/year
3 Intertie Plan Complete Intertie Plan for NCMA Enhance Water Supply
Reliability
Short Term (0-5
Years)
1. Develop RFP(s)
2. Hire consultant
3. Update existing hydraulic models
4. Develop intertie model
5. Develop agreements
6. Design intertie upgrades
7. Construct intertie upgrades
NCMA agencies,
SLOCFC&WCD $43,000
4 Supplemental Water
Supply Projects
Explore/implement cost-effective
supplemental water supply projects
Enhance Water Supply
Reliability
Long Term (5+
Years)
1. Complete Design
2. Obtain permits
3. Construction
NCMA agencies,
SLOCFC&WCD, RWQCB,
CDPH, CCC, DWR,
TBD
5 NCMA Legal Strategy Develop legal strategy to protect
NCMA rights
Enhance Water Supply
Reliability
Short Term (0-5
Years)
1. Update summary of legal history
2. Legal counsel develops strategy
3. Conduct as-needed technical
analysis and groundwater modeling
NCMA TG and Managers,
Legal Counsel
$30,000 plus
NCMA Legal
Counsel Time
6 Conjunctive Use Plan
Develop a Conjunctive Use Plan to
optimize use of available groundwater
storage including Advanced Water
Purification Facility projects that can
recharge the basin
Support Effective Water
Resource Management
Short Term (0-5
Years)
1. Develop RFP
2. Hire Consultant
3. Develop Conjunctive Use Plan
NCMA agencies, Managers,
SLOCFC&WCD $128,000
6
NCMA Managerial/Legal
Framework for
Development Review
Improve managerial & legal
coordination on new development
outside the NCMA Agencies’ service
areas
Conduct Effective
Outreach and Regional
Coordination
Short Term (0-5
Years)
1. Evaluate current managerial/legal
framework
2. Develop revised framework for
managerial/legal coordination
NCMA TG and Managers,
Legal Counsel
In-Kind NCMA
Agency Staff
Time
8 Decommission
Monitoring Well
Decommission damaged OCSD
Yellow monitoring well to protect
against potential contamination
Enhance Water Supply
Reliability
Short Term (0-5
Years)
1. Develop RFP (Construction
Management)
2. Hire Contractor
3. Decommission monitoring well
NCMA TG $28,000
9 Water Quality Data Expand water quality base to include
all NCMA water quality data
Support Effective Water
Resource Management
Short Term (0-5
Years)
1. Contract Work
2. Develop expansion plan
3. Expand water quality data
NCMA agencies,
SLOCFC&WCD, Ag
Representatives
$38,000
9 Groundwater Dashboard Develop real-time groundwater
dashboard
Support Effective Water
Resource Management
Short Term (0-5
Years)
1. Compile data and create
dashboard NCMA agencies $15,000
Page 45 of 87
DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | 10
Ranking Strategic Initiative Description Key Objective Implementation
Term Required Actions Participants Estimated
NCMA Budget
9 Construct Monitoring
Well
Complete additional deeper monitoring
well in the Cienga Valley
Support Effective Water
Resource Management
Long Term (5+
Years)
1. Develop RFP (Design/Planning)
2. Planning/Design new monitoring
well
3. Hire Contractor
4. Install new monitoring well
NCMA agencies,
SLOCFC&WCD $638,000
12 Develop Full Basin
Groundwater Model
Complete Phase 2 Groundwater Model
for the SMGB
Support Effective Water
Resource Management
Long Term (5+
Years)
1. Define model objectives
2. Identify funding
3. Potential interim steps
4. RFP(s)
NCMA agencies, NMMA
agencies, SMVMA agencies,
SLOCFC&WCD
$319,000
12 Infrastructure Resiliency
Analysis
Prepare an Infrastructure Resiliency
Analysis
Conduct Effective
Outreach and Regional
Coordination
Long Term (5+
Years)
1. Develop RFP
2. Hire consultant
3. Compile data and analyze
4. Prioritize vulnerabilities and
opportunities
5. Define terms and agreements
6. Prepare infrastructure Resiliency
analysis TM summarizing results
NCMA agencies,
SLOCFC&WCD, Zone 3 $51,000
14 Stormwater Capture
Feasibility Study
Complete a Stormwater Capture
Feasibility Study
Enhance Water Supply
Reliability
Long Term (5+
Years)
1. Develop RFP
2. Hire Consultant
3. Prepare Stormwater Capture
Feasibility Study
NCMA agencies $128,000
Page 46 of 87
Boundary Maps
Strategic Plan
Northern Cities Management Area Technical Group | A
Appendix A Boundary Maps
A
Page 47 of 87
Boundary Maps
Strategic Plan
Northern Cities Management Area Technical Group | B
Figure 1: NCMA Agency Service Area Map
Page 48 of 87
Boundary Maps
Strategic Plan
Northern Cities Management Area Technical Group | C
Figure 2: SMGB Management Area Boundary Map
Page 49 of 87
Related Organizations and Initiatives
Strategic Plan
Northern Cities Management Area Technical Group | B
Appendix B Related Organizations
and Initiatives
B
Page 50 of 87
Related Organizations and Initiatives
Strategic Plan
Northern Cities Management Area Technical Group | D
Descriptions of related organizations and a description of their relationship with the NCMA TG are summarized in Table 6.
Table 6: Related Organizations
Related Agencies, Groups,
Committees, Organizations,
Agreements, and Initiatives
Description Northern Cities
Participants Relationship to NCMA TG
Nipomo Mesa Management Area
Technical Group (NMMA TG) Technical group tasked with monitoring and reporting on groundwater conditions in the NMMA. None Monitoring party for the neighboring
NMMA
Twitchell Management Authority Management group tasked with monitoring and reporting of groundwater conditions in the Santa Maria Valley
Management Area (SMVMA). None Monitoring party for the SMVMA
SLO County San Luis Obispo County N/A County Government for the NCMA
SLOCFC&WCD District to provide water resource management and flood control services including studies, programs, and
weather and hydrological data collection and compilation. N/A Manages NCMA surface water
supplies
SLOCFC&WCD Zone 3 District to fund operation of the Lopez Project. All Northern Cities Related organization in which the
Northern Cities participate
SLOCFC&WCD Zone 1/1A District to fund enhanced maintenance and operation efforts of the Arroyo Grande and Los Berros Channels
within Zone 1/1A.
OCSD, Arroyo Grande,
Grover Beach
Related organization that the some of
Northern Cities participate in
Water Resource Advisory
Committee (WRAC)
Advisory Board to advise the County Board of Supervisors concerning all policy decisions related to the water
resources of the SLO County Flood Control & Water Conservation District. All Northern Cities Related organization that the Northern
Cities participate in
Regional Water Management
Working Group (RWMG)
Management group to develop and implement the Integrated Regional Water Resources Management Plan
Update. All Northern Cities Related organization that the Northern
Cities participate in
Central Coast Water Authority
(CCWA)
Joint powers authority responsible for the operation and maintenance of the Polonio Pass WTP and the Coastal
Branch Pipeline. None
Wholesale water provider that treats
and delivers SWP water to SLO
County and its SWP sub-contractors
Arroyo Grande Creek Watershed
MOU
Memorandum of Understanding (MOU) amongst 14 agencies to develop recommendations to fund programs
and develop policies for the maintenance, protection, and enhancement of the Arroyo Grande Watershed and
the creeks within the Watershed including the approximate eighty-six (86) square mile area downstream of the
Lopez Lake Dam, and including but not limited to, Arroyo Grande, Los Berros, Newsome Springs, Corbett
Canyon/Tally Ho, Tar Springs, and Meadow Creeks and sub-watersheds (collectively the "Watershed"), and to
recommend specific roles and responsibilities to implement those programs and policies
All Northern Cities Related organization that the Northern
Cities participate in
LAFCO
Local Agency Formation Commission with the power to "approve or disapprove with or without amendment,
wholly, partially, or conditionally" proposals concerning the formation of cities and special districts and other
changes of jurisdiction or organization of local government agencies.
None
Commission with authority over local
agency annexations and other
changes of jurisdiction
Coastal San Luis RCD Resource Conservation District that offers a variety of programs to assist farmers, ranchers, landowners and
other watershed users in improving and protecting soil and water resources. None RCD which boundary includes the
NCMA
Arroyo Grande Creek Habitat
Conservation Plan (HCP)
Planning documents required as part of an application for an incidental take permit. HCP under the Endangered
Species Act provides a framework for people to complete projects while conserving at-risk species of plants and
animals. The Arroyo Grande Creek HCP is necessary to comply with the Endangered Species Act and is a
prerequisite of a State-required amendment to Lopez Projects water rights permit.
All Northern Cities, via
Zone 3
Related to long-term sustainability of
the Northern Cities surface water
supply from Zone 3
Page 51 of 87
Related Organizations and Initiatives
Strategic Plan
Northern Cities Management Area Technical Group | D
There are multiple initiatives throughout the region that align with the NCMA TG’s objectives.
The NCMA TG has a long history of collaborative water supply management and aims to
support related initiatives as appropriate for the benefit of regional water supply and its users.
Related initiatives and their lead agencies or organizations are summarized in Table 7.
Table 7: Related Initiatives
No. Initiative Lead Organization/Agency
1
Construction of an advanced water
purification facility for indirect potable
reuse
Pismo Beach
2 Implementation of the Nipomo
Supplemental Water Project Nipomo Community Services District
Page 52 of 87
Item 11.a.
MEMORANDUM
TO: City Council
FROM: Matthew Downing, City Manager
Bill Robeson, Assistant City Manager/Director of Public Works
SUBJECT: Discussion of the Purchase of State Water
DATE: March 10, 2026
RECOMMENDATION:
1) Discuss and direct staff to proceed with the preparation of a ballot measure (and draft
language) to repeal Measure A, as approved in the November 6, 1990 General Municipal
Election, and authorize the City of Arroyo Grande to participate in the California State
Water Project, to be placed on a future municipal ballot, for consideration at a future City
Council meeting; and
2) Find that providing direction to staff to proceed with preparing a ballot measure for the
purchase of State Water is not a project subject to the California Environmental Quality
Act (“CEQA”) because it has no potential to result i n either a direct, or reasonably
foreseeable indirect, physical change in the environment. (State CEQA Guidelines, §§
15060, subd. (c)(2)-(3), 15378).
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
This item is identified on the Council Goals Workplan for Fiscal Years 2025-27. There is
no fiscal impact resulting from the discussion of these issues.
BACKGROUND:
The voters of Arroyo Grande approved Measure “A” in the November 6, 1990, General
Municipal Election. (Resolution No. 24321) Measure “A” requires an affirmative vote of
the voters of Arroyo Grande before the City of Arroyo Grande is authorized to participate
in the California State Water Project. Specifically, Measure “A” states that the City “shall
not participate, in any way, including but not limited to, the expenditure or commitment of
any funds, in the California State Water Project without an affirmative vote of the majority
of the voters voting upon such a measure.” (Resolution No. 23832)
1 http://ag-lfiche-2016/WebLink/DocView.aspx?id=1485&dbid=0&repo=ArroyoGrande
2 http://ag-lfiche-2016/WebLink/DocView.aspx?id=1534&dbid=0&repo=ArroyoGrande
Page 53 of 87
Item 11.a.
City Council
Discussion of the Purchase of State Water
March 10, 2026
Page 2
In June 2014, staff presented updated comprehensive strategies to address the City's
long-term water supply needs to the City Council. The primary objectives of the
recommendations were to address long-term projected water demand through increased
water conservation measures, protect existing water supply by pursuing initial studies for
a recycled water project, and coordinate with neighboring jurisdictions to manage the
overall water supply. City Council directed staff to establish a Water Shortage Emergency
Plan, and on August 26, 20143, the City Council directed staff to prepare a contingency
water emergency ordinance. Ordinance No. 6694 was adopted on February 10, 2015.
On May 26, 20155, the City Council declared a Stage 1 Water Shortage Emergency and
implemented water restrictions and regulations to residential and irrigation water services.
On May 10, 20166, in response to the on-going drought conditions, a water supply and
demand report was presented to the City Council. This report requested direction
regarding future water supply options including the potential for the purchase of State
water. The Council directed staff to prepare language for consideration of a ballot
measure in November 2016 that would, if approved by the voters, allow for the purchase
of State water under water emergency conditions.
On June 28, 20167, City Council adopted a Resolution placing a measure on the
November 8, 2016 ballot as follows:
Measure E-16
“Shall the City of Arroyo Grande be authorized to purchase water from the State
Water Project to supplement the City’s existing water supplies during local water
emergencies declared by the Arroyo Grande City Council”?
Measure E-16 was passed by the voters by 86.42%.
Between 2016 and 2024, City staff evaluated its water supply and demand several times.
The 2021 Water Supply Alternatives Study Update8 referenced and summarized previous
work.
3 https://www.arroyogrande.org/AgendaCenter/ViewFile/Agenda/_08262014-414?html=true
4http://weblink.arroyogrande.org/WebLink/ElectronicFile.aspx?docid=130367&dbid=0&repo=ArroyoGrand
e
5 https://www.arroyogrande.org/AgendaCenter/ViewFile/Agenda/_05262015-552?html=true
6 https://www.arroyogrande.org/AgendaCenter/ViewFile/Agenda/_05102016-711?html=true
7 https://www.arroyogrande.org/AgendaCenter/ViewFile/Agenda/_06282016-736?html=true
8 https://pub-arroyogrande.escribemeetings.com/filestream.ashx?DocumentId=332?
Page 54 of 87
Item 11.a.
City Council
Discussion of the Purchase of State Water
March 10, 2026
Page 3
On April 9, 2024,9 the City Council discussed the City’s current water supply, the Central
Coast Blue Recycled Water Project (CCB), and future resources. Council directed staff
to:
1. Bring back an item to exit the cost-sharing agreement for the CCB Project;
2. Continue researching water supply alternatives with the JPA;
3. Complete a new water supply alternatives study as soon as possible;
4. Look into doing a rate study analysis; and
5. Bring back an item to Council for placement of a measure on the November 2024
ballot for the purchase of State Water (Attachment 1).
On May 14, 202410, the City Council reviewed the City’s W ater Supply Evaluation and
discussed proceeding with a ballot initiative to allow the future purchase of water from the
State Water Project outside of local water emergencies declared by the City Council. At
that time, the City Council directed staff to withdraw from the Central Coast Blue (CCB)
Regional Recycled Water Authority Joint Powers Agreement and proceed with the Water
Master Plan and Water Utility Plan updates. The Council also directed staff to defer a
State Water ballot measure until 2026 due to adequate water supply at the time, and
inadequate time to educate voters on the need before the November 5, 2024 , election
(Attachment 2).
Council Goals Workplan
In the current Council Goals workplan for Fiscal Year 2025 -27, under the Council Goal of
“Achieve Water Resilience,” the Council has directed staff to bring forward a State
Water ballot measure for consideration for the November 2026 election, with the
subtasks as listed below:
2.1a Meet with the Department of Public Works at the County of San Luis Obispo to
begin discussion surrounding purchasing some allocated State Water
2.1b If directed by Council, issue an RFP for a Consultant to evaluate the feasibility of
the State Water Ballot Measure
2.1c Award bid to consultant and begin public outreach and community messaging
regarding a potential State Water Ballot Measure
2.1d Seek Council approval on placing a November Ballot Measure
Regarding subtasks 2.1b and 2.1c, staff have already reviewed the legal process to
accomplish a ballot measure in the Background and Analysis of Issues sections of the
staff report. Legal analysis regarding contractual agreements would be done later,
depending on the Council's decision. Operational/infrastructure feasibility exists through
the City’s current water system. Although the City is not a State Water Project (SWP)
contractor, a blend of State Water (and Lopez water) flows through our water system to
9https://pub-arroyogrande.escribemeetings.com/Meeting.aspx?Id=c2b11d15-49f3-4bcf-a783-
3e8a5adda85c&lang=English&Agenda=Agenda&Item=30&Tab=attachments
10https://pub-arroyogrande.escribemeetings.com/Meeting.aspx?Id=c07851c7-01b1-4928-ae00-
457a33d43fd6&lang=English&Agenda=Agenda&Item=25&Tab=attachments
Page 55 of 87
Item 11.a.
City Council
Discussion of the Purchase of State Water
March 10, 2026
Page 4
other SWP contractors, such as Pismo and Oceano. No upgrades or new connections
are necessary.
Unless directed by the Council to retain consultant services, staff will develop a public
outreach and community messaging strategy.
ANALYSIS OF ISSUES:
The City’s water supply is projected to meet demand for the next three (3) calendar years;
however, due to the declining levels of the Lopez reservoir, and the improved but
uncertain condition of the Santa Maria Groundwater Basin, it would be prudent to plan for
a supplemental water supply.
At the November 6, 1990, General Municipal Election, the voters of Arroyo Grande
approved Measure “A,” as stated below, which stipulates that an affirmative vote of the
voters of Arroyo Grande is required before the City of Arroyo Grande is authorized to
participate in the California State Water Project:
Measure “A”
“Shall an affirmative vote of the voters of Arroyo Grande be required before the
City of Arroyo Grande is authorized to participate in the California State Water
Project?”
Furthermore, the full text of Measure A stated that the City of Arroyo Grande shall not
participate, in any way, including, but not limited to, the expenditure or commitment of any
funds, in the California State Water project without an affirmative vote of the majority of
the voters voting on such a measure. The full text of Measure “A” is as follows:
“The People of the City of Arroyo Grande do hereby ordain as follows:
Section #1. The City of Arroyo Grande shall not participate, in any way, including
but not limited to the expenditure or commitment of any funds, in the California
State Water Project without an affirmative vote of the majority of the voters voting
upon such a measure.
Section #2. This ordinance shall not be amended nor repealed without a vote
of the voters of Arroyo Grande.”
Aligned with the FY 2025-27 Council Goals to “Achieve Water Resilience” and in
accordance with the Municipal Code, staff is requesting direction from Council on whether
or not to proceed with the preparation of a potential State Water ballot measure to allow
the City to participate in the California State Water Project outside of declared water
emergencies (and draft language) to be placed on a future municipal ballot, for
consideration at a future City Council meeting.
Page 56 of 87
Item 11.a.
City Council
Discussion of the Purchase of State Water
March 10, 2026
Page 5
ALTERNATIVES:
The following alternatives are provided for the Council’s consideration:
1. Direct staff to proceed with the preparation of a State Water ballot measure (and
draft language) to be placed on a future municipal ballot, for consideration at a
future City Council meeting;
2. Direct staff to not proceed with the preparation of a State Water ballot measure at
this time; or
3. Provide other direction to staff.
ADVANTAGES:
Declining levels at Lopez Reservoir and uncertainty regarding the long -term
reliability of the Santa Maria Groundwater Basin highlight the need to evaluate
additional water supply options. Securing State Water as a supplemental supply
would allow the City to take a proactive approach to long-term water reliability.
Access to State Water outside of declared emergencies would provide greater
operational flexibility than the current structure under Measure E -16, which limits
purchases to periods of locally declared water emergencies.
A supplemental water supply would diversify the City’s overall water portfolio and
improve water supply reliability.
DISADVANTAGES:
Participation in the State Water Project is uncertain and may require substantial
long-term financial commitments that have not yet been fully analyzed or publicly
disclosed, creating fiscal uncertainty.
Development and placement of a ballot measure would require significant staff
time and public outreach.
If the measure does not pass, the City may exp end resources without advancing
a supplemental water supply strategy.
ENVIRONMENTAL REVIEW:
Providing direction to staff to proceed with preparing a ballot measure for the purchase of
State Water is not a project subject to the California Environmental Qu ality Act (“CEQA”)
because it has no potential to result in either a direct, or reasonably foreseeable indirect,
physical change in the environment. (State CEQA Guidelines, §§ 15060, subd. (c)(2)-(3),
15378).
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted at City Hall and on the City’s website in accordance with
Government Code Section 54954.2.
ATTACHMENTS:
1. April 9, 2024, City Council Meeting Minutes
2. May 14, 2024, City Council Meeting Minutes
Page 57 of 87
ATTACHMENT 1
Page 58 of 87
ATTACHMENT 1
Page 59 of 87
ATTACHMENT 1
Page 60 of 87
ATTACHMENT 1
Page 61 of 87
ATTACHMENT 1
Page 62 of 87
ATTACHMENT 1
Page 63 of 87
ATTACHMENT 2
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ATTACHMENT 2
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ATTACHMENT 2
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ATTACHMENT 2
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ATTACHMENT 2
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ATTACHMENT 2
Page 69 of 87
Item 11.b.
MEMORANDUM
TO: City Council
FROM: Ashley Garcia, Human Resources Officer
SUBJECT: Risk Management Annual Report
DATE: March 10, 2026
RECOMMENDATION:
Receive and file the Risk Management Annual Report.
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
Costs of the general liability program, property program, crime insurance, and workers’
compensation program premiums are included in the biennial budget. The City’s share of
risk pool costs for coverage by the California Joint Powers Insurance Authority (CJPIA)
are calculated based on City payroll and loss experience. The City’s five-year insurance
expenditure history is shown below in Table 1.
Table 1: Five-Year Insurance Expenditure History
Coordination with CJPIA on Risk Management programs and training accounts for
approximately 15% of the Human Resources Officer’s time. The Legislative & Information
Services team also assists with third-party claim intake, estimated at 8 hours per month.
Designated representatives from each City department also serve on the Safety
Committee, which meets monthly.
BACKGROUND:
The City of Arroyo Grande Risk Management Program includes policies, programs,
insurance, and risk pool coverage to minimize the City’s risk exposures from employee
injury claims, third-party liability claims, or property loss.
Insurance Type FY 2021-22 FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26
General Liability 653,220 621,631 707,270 752,518 847,834
Property Insurance 65,572 71,591 87,455 100,323 82,777
Crime Insurance 1,471 2,415 5,717 2,752 4,603
Workers Comp 604,344 672,557 717,373 653,492 531,202
Total 1,324,607 1,368,194 1,517,815 1,509,085 1,466,416
Page 70 of 87
Item 11.b.
City Council
Risk Management Annual Report
March 10, 2026
Page 2
The CJPIA is the City’s provider of Risk Management services. Services provided include
coverage for Workers’ Compensation, General Liability, and Property Insurance claims.
In addition, CJPIA works closely with the City’s Human Resources Officer to review and
develop the City’s Risk Management programs and policies with the goal of mitigating
any risk exposure to the City and implementing cost-controlling techniques.
CJPIA acts as the City’s agent in claims processing and litigation and provides the City
with regulatory safety training to meet Occupational Safety and Health Administration
(OSHA) requirements, as well as best practice and development training. In addition to
this direct support and coordination with the City, CJPIA evaluates trends in claims
exposure across the pool and develops programs for its members.
ANALYSIS OF ISSUES:
The City’s Risk Management program focuses on identifying, evaluating, and addressing
loss exposures through various mitigation and preventive services. The program areas
include Workers’ Compensation, General Liability, Property Program, and Crime
Insurance.
Workers’ Compensation
This program is designed to ensure employee safety and to reduce employee injury
through proactive activities including:
Safety Policies and Programs
Staff training as required by OSHA to improve safe work practices
Regularly scheduled workplace safety and risk assessments and safety meetings
Prompt reporting of all workplace injuries that include documented investigations
and root cause analysis
Recurring Safety Committee Meetings to review injuries, safety training
requirements and progress, and site safety inspections; and
Working with the CJPIA and Athens Administrators for claims administration and
case management.
General Liability Program
This program includes identifying areas of risk exposure for the City and developing or
maintaining programs that will minimize or mitigate liability exposure. General liability
encompasses any claim against the City including but not limited to vehicle accidents;
slip, trips and falls; sewage backup; and errors and omissions.
Historically, the City has worked with Carl Warren & Company for general liability claims
administration and case management. Effective January 1, 2026, CJPIA transitioned
liability claim administration to Athens Administrators. To assist with continuity o f services
and minimize disruption, CJPIA was also able to secure the transition of Carl Warren
personnel to Athens Administrators.
Page 71 of 87
Item 11.b.
City Council
Risk Management Annual Report
March 10, 2026
Page 3
The City already works with Athens Administrators for Workers’ Compensation claim
administration, and this existing relationship is expected to support a seamless transition
and continued consistency in claims handling and risk management services.
Property Program
This program focuses on managing risk associated with the City’s real property, including
buildings, furniture and equipment, contractor’s equipment, vehicles, the property of
others while in care of the city, and buildings under construction.
Crime Insurance
This program covers financial losses due to dishonest acts, theft, or fraud involving
employees or third parties. It also includes faithful performance, depositor’s forgery,
money and securities crime, computer fraud, funds transfer fraud, money orders , and
counterfeit money coverages.
Risk Assessment/LossCAP Program
With the goal of minimizing the City’s risk exposure, CJPIA conducts thorough risk
management evaluations. The City was last evaluated in December 2024, and staff has
been working to implement recommended improvements since that time, including:
City policies and programs
Contractual language and insurance requirements
Public facilities such as sidewalks, streets, parks, and buildings, and
Training programs and procedures
Staff is committed to working with CJPIA to conduct regular risk management
assessments on the recommended best practice schedule of every three years.
Reporting and Claims History
Since payroll and loss experience drives the City’s costs of coverage with CJPIA, it is
helpful to regularly review status reports for both Workers’ Compensation and General
Liability claims provided by CJPIA. The overview reports summarize the claims history
over a five-year period, the category or cause of the claim, cost centers, and a comparison
to other agencies of a comparable size. The five-year claims history is used in calculating
the City’s premiums, which allows staff to anticipate costs for upcoming fiscal years. The
City’s claims are reviewed by the City’s Human Resources Officer, Risk Manager from
CJPIA, and the members of the Executive Team to learn from and identify areas of
concentration to minimize future exposure.
Annual Report
The City Council’s investment in infrastructure improvements, coupled with a commitment
to Risk Management, supports staff efforts to update policies and programs, which will
continue to reduce or mitigate the City’s liability in claims and litigation.
Page 72 of 87
Item 11.b.
City Council
Risk Management Annual Report
March 10, 2026
Page 4
1. Workers’ Compensation: City of Arroyo Grande is averaging about 21 workers’
compensation claims per year. Specifically,
Sprains/strains are the most common type of injury.
55% of all recent Workers’ Compensation costs are tied to just 6 claims.
Overall costs of claims are above pool average, boosted by police and fire
claims.
Police and fire claims are driving workers’ compensation costs yet remain
consisted with CJPIA pool members’ public safety department experience.
Recreation and public works departments have a lower claim rate compared
with the rest of the risk pool.
To prevent workplace injury, staff engages in frequent safety-related training.
In 2025, 268 participants were reached with in-person classroom training, 31
participated in an online class, and 3 attended multi-day academies.
After a hiatus during the pandemic, the City reinstated the Safety Committee in
early-2025, bringing together representatives from each department monthly.
In 2025, the Committee met nine times. Accomplishments of the Committee
include:
o Updating all City building evacuation maps,
o Replacing fire extinguishers and first aid kits at every facility,
o Conducting frequent workplace safety inspections,
o Creating an annual safety training plan,
o Checking in on the status of Risk Management Evaluation
implementation items, and
o Updating the Emergency Action Plan.
2. General Liability Program: The City had 35 total liability claims for program year
2024-2025, with 34% of the claims received related to streets, roads, and related
public infrastructure. City staff and CJPIA continue to manage and defend the City
to limit its exposure. Specifically,
Overall costs of claims are better than the pool average.
Slips, Trips, and Falls are the most common type of claim.
Vehicle-related claims are the next most common claim.
Public safety has performed very well, with very few liability claims compared
with the risk pool.
The City continues to leverage CJPIA services to support organizational risk management
compliance, including training, ergonomics, functional area-specific academies for staff
to learn best practices, and reviewing policies and procedures. The City’s focused
investment in infrastructure improvements, completion of sidewalk inspections, and ADA
self-evaluation all contribute to reducing our liability risk. Staff continue to implement Risk
Management Evaluation recommendations and have allocated budget resources for one-
time CIP safety improvements.
Page 73 of 87
Item 11.b.
City Council
Risk Management Annual Report
March 10, 2026
Page 5
ALTERNATIVES:
The following alternatives are provided for the Council’s consideration:
1. Staff’s recommendation; or
2. Provide other direction to staff.
ADVANTAGES:
Strengthens governance and oversight, promotes transparency, helps align risk exposure
with capital planning, identifies emerging risks, supports fiscal responsibility, and
encourages an organizational culture of safety.
DISADVANTAGES:
Sensitivity of public disclosure may create unnecessary concern rather than
demonstrating mitigation efforts and overall risk management strategies.
ENVIRONMENTAL REVIEW:
Receiving the Risk Management Annual Report is not a project subject to the California
Environmental Quality Act (“CEQA”) because it has no potential to result in either a direct,
or reasonably foreseeable indirect, physical change in the environment. (State CEQA
Guidelines, §§ 15060, subd. (c)(2)-(3), 15378.)
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted at City Hall and on the City’s website in accordance with
Government Code Section 54954.2.
Page 74 of 87
Item 11.c.
MEMORANDUM
TO: City Council
FROM: Jessica Matson, Director of Legislative & Information Services/
City Clerk
SUBJECT: 2026 Omnibus Municipal Code Cleanup Ordinance
DATE: March 10, 2026
RECOMMENDATION:
1) Introduce an Ordinance amending Section 1.01.010 (General Provisions), and various
sections of Chapter 13.26 of Title 13 (Encroachment Permits) of the Arroyo Grande
Municipal Code (AGMC); and
2) Find that the Ordinance is not subject to the California Environmental Quality Act
(“CEQA”) because these efforts have no potential to result in either a direct, or reasonably
foreseeable indirect, physical change in the environment. (State CEQA Guideli nes, §§
15060 (c)(2) and (3), 15378).). Alternatively, the organizational changes made by the
amendments to Title 1, and Title 13 of the AGMC by this Ordinance are not a project
under CEQA because such changes constitute organizational or administrative a ctivities
of a government that will not result in direct or indirect physical changes in the
environment. (State CEQA Guidelines § 15378(b)(5).)
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
There is no impact on financial and personnel resources, as this is an administrative
“cleanup” of certain sections of the AGMC.
BACKGROUND:
In 2009, the City undertook a major restructuring of City departments as part of the Fiscal
Year 2009-10 Budget process.
The City Clerk maintains a running list of Municipal Code provisions that are known to be
outdated or obsolete, or that contain typographical errors. In the interest of efficient use
of staff time and financial resources, these non -substantive changes are intended to be
gathered into an omnibus ordinance along with other amendments not warranting stand -
alone ordinances and presented to Council once per year.
Page 75 of 87
Item 11.c.
City Council
2026 Omnibus Municipal Code Cleanup Ordinance
March 10, 2026
Page 2
ANALYSIS OF ISSUES:
Staff have reviewed various sections of the Municipal Code for consistency with current
operations. The proposed Ordinance (Attachment 1) provides amendments to Sections
1.01.010, 13.26.010, 13.26.020, 13.26.030, 13.26.040, 13.26.050, and 13.26.060.
The proposed amendment in Title 1 includes:
Amending the office where the adopted Arroyo Grande Municipal Code is filed to
the office of the City Clerk due to the reorganization in 2009 .
The proposed amendments in Title 13 include:
Adding “or authorized agent” after each reference to the department director , to be
consistent with current practice.
Removing 13.26.0101 E. and G. regarding requirements when submitting an
encroachment permit application to be consistent with the current application
process.
Amending language in 13.26.010 to be consistent with current practice.
Updating the title of the “financial services director” to “administrative services
director.”
ALTERNATIVES:
The following alternatives are provided for the Council’s consideration:
1. Staff’s recommendation;
2. Modify and introduce the Ordinance; or
3. Provide other direction to staff.
ADVANTAGES:
The advantage of the proposed Ordinance ensures Code consistency with current City
organizational structure and practices.
DISADVANTAGES:
No disadvantages are identified.
ENVIRONMENTAL REVIEW:
The proposed Ordinance would make administrative updates to Title 1 and Title 13 of the
AGMC, and is not subject to the California Environmental Quality Act (“CEQA”) because
these amendments have no potential to result in either a direct, or reasonably foreseeable
1https://library.municode.com/ca/arroyo_grande/codes/code_of_ordinances?nodeId=COOR_TIT13PUWO
_CH13.26ENPE_13.26.010AP
Page 76 of 87
Item 11.c.
City Council
2026 Omnibus Municipal Code Cleanup Ordinance
March 10, 2026
Page 3
indirect, physical change in the environment. (State CEQA Guidelines, §§ 15060 (c)(2)
and (3), 15378). Alternatively, the organizational changes made by the amendments to
Title 1, and Title 13 of the AGMC by this Ordinance are not a project under CEQA because
such changes constitute organizational or administrative activities of a government tha t
will not result in direct or indirect physical changes in the environment. (State CEQA
Guidelines § 15378(b)(5).)
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted at City Hall and on the City’s website in accordance with
Government Code Section 54954.2.
ATTACHMENTS:
1. Proposed Ordinance
2. Redlined Version of Proposed Ordinance
Page 77 of 87
ATTACHMENT 1
ORDINANCE NO.
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARROYO
GRANDE AMENDING SECTION 1.01.010 OF TITLE 1 (GENERAL
PROVISIONS), AND VARIOUS SECTIONS OF CHAPTER 13.26 OF
TITLE 13 (ENCROACHMENT PERMITS) OF THE ARROYO GRANDE
MUNICIPAL CODE
WHEREAS, in June 2009, the City Council adopted the Fiscal Year 2009-10 Budget
which affected organizational changes that occurred as a result of a major restructuring
of City departments; and
WHEREAS, staff have reviewed various sections of the Municipal Code for consistency
with current operations; and
WHEREAS, the City Council now desires to amend Sections 1.01.010, 13.26.010,
13.26.020, 13.26.030, 13.26.040, 13.26.050, and 13.26.060 of the Arroyo Grande
Municipal Code as described below.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE DOES
ORDAIN AS FOLLOWS:
SECTION 1. Recitals. The recitals above are true and correct and are incorporated
herein by reference and adopted as findings by the City Council.
SECTION 2. CEQA Compliance. The City Council finds that the recommended actions
to make administrative amendments in Title 1, and Title 13 of the Arroyo Grande
Municipal Code (“AGMC”) are not subject to the California Environmental Quality Act
(“CEQA”) because these efforts have no potential to result in either a direct, or
reasonably foreseeable indirect, physical change in the environment. (State CEQA
Guidelines, §§ 15060 (c)(2) and (3), 15378). Alternatively, the organizational changes
made by the amendments to Title 1, and Title 13 of the AGMC by this Ordinance are not
a project under CEQA because such changes constitute organizational or administrative
activities of a government that will not result in direct or indirect physical changes in the
environment. (State CEQA Guidelines § 15378(b)(5).)
SECTION 3. Amendment. Section 1.01.010, Adoption, of the Arroyo Grande Municipal
Code is hereby amended to read in its entirety as follows:
1.01.010 - Adoption.
There is hereby adopted the "Arroyo Grande Municipal Code", as compiled, edited and
published by Matthew Bender & Co, Inc., Charlottesville, Virginia, a copy of which is on
file in the office of the City Clerk and incorporated herein by this reference.
SECTION 4. Amendment. Section 13.26.010, Application, of the Arroyo Grande
Municipal Code is hereby amended to read in its entirety as follows:
Page 78 of 87
ORDINANCE NO.
PAGE 2
Section. 13.26.010 Application.
Any person desiring to encroach upon, or to cause, allow or make any encroachment
into the public right-of-way must first obtain a permit to do so. Applicants shall file an
application with the director of public works or authorized agent to obtain a permit. The
application shall be in the form prescribed by the city, and shall have the following
information (as applicable):
A. Location of the encroachment;
B. The reason or necessity for encroachment;
C. Estimated time to begin and complete the work or placement of an encroachment;
D. Plans and specifications covering the encroachment as may be required by the city;
E. Length of time encroachment will be kept in place;
F. Each permit shall expressly state, and the permittee shall agree, that in all cases a
minimum sidewalk width of five feet shall be kept clear of any obstruction at all times;
G. Name, address and phone number of the person responsible for maintaining the
encroachment during the term of the encroachment;
H. Other information as may be required by the director of public works or authorized
agent.
All terms and conditions of this chapter shall be incorporated by reference into any
permit issued by the city.
SECTION 5. Amendment. Section 13.26.020, Approval/conditional approval, of the
Arroyo Grande Municipal Code is hereby amended to read in its entirety as follows:
Section 13.26.020 Approval/conditional approval.
Upon receiving an application to encroach upon the public right-of-way, the director of
public works or authorized agent shall issue, conditionally issue or deny it. If the
application is approved, or conditionally approved, the public works director or
authorized agent shall cause the deposit, if any, to be paid into the city treasury and/or
such surety bond, if any, to be deposited with the administrative services director, and
shall issue a written permit authorizing the encroachment. The permit shall include all of
the conditions required by this code and any conditions set by the public works director
or authorized agent. In the event that application is denied, any deposit made or bond
submitted in connection therewith shall be forthwith returned to the applicant. An
applicant, if dissatisfied with the denial or with any condition attached to an approval,
may appeal the decision pursuant to Section 1.12.010 of this code.
SECTION 6. Amendment. Section 13.26.030, Fee, of the Arroyo Grande Municipal
Code is hereby amended to read in its entirety as follows:
13.26.030 - Fee.
A fee for encroachment permits shall be established by resolution of the city council and
shall be paid to the city at the time of issuance or renewal of any encroachment permit.
Public utility companies operating under franchise agreement with the city may pay
annually for permit fees or provide a deposit in advance of the estimated amount of
permit applications subject to an agreement approved by the director of public works or
authorized agent.
Page 79 of 87
ORDINANCE NO.
PAGE 3
SECTION 7. Amendment. Section 13.26.040, Length of time valid, of the Arroyo
Grande Municipal Code is hereby amended to read in its entirety as follows:
13.26.040 - Length of time valid.
Encroachment permits shall be issued for a specific length of time, which shall not
exceed a reasonable time necessary as determined by the director of public works or
authorized agent. In the absence of any prior agreement to the contrary, no cause shall
be necessary to be shown or proven for the city council to modify, revise or revoke any
encroachment permit or deny an original or renewal request. Utility companies will not
be required to have a current permit to conduct any maintenance that does not req uire
any cutting of concrete or asphalt and/or excavation.
SECTION 8. Amendment. Section 13.26.050, Cleaning/sweeping, of the Arroyo
Grande Municipal Code is hereby amended to read in its entirety as follows:
13.26.050 - Cleaning/sweeping.
Permittees shall be required to clean/sweep that portion of the right-of-way encroached
upon. Unless authorized by the director of public works or authorized agent, no material
or debris shall be allowed to remain in the right-of-way.
SECTION 9. Amendment. Section 13.26.060, Security deposit, of the Arroyo Grande
Municipal Code is hereby amended to read in its entirety as follows:
13.26.060 - Security deposit.
Unless waived by the director of public works or authorized agent, a deposit shall be
required prior to the issuance of an encroachment permit involving construction in the
street right-of-way. The deposit shall be either cash, cashier's check, certified check,
certificate of deposit, surety bond issued by a company authorized to do business in the
state, or other form acceptable to the public works director. The director of public works
or authorized agent shall set the amount of the deposit based on potential damage to
public property which may be caused by the project or which will result if the project is
not completed. All deposits shall remain in force for a period of one year from the date
of expiration of the encroachment permit, at which time the administrative services
director shall be authorized and directed to return the cash deposit or bond or othe r
security posted by the permittee to the permittee. The amount returned will no t include
any interest, unless required by prior agreement or law.
SECTION 10. Savings Clause. Neither the adoption of this Ordinance nor the repeal
of any other ordinance of this City shall in any manner affect the prosecution for
violations of ordinances, which violations were committed prior to the effective date
hereof, nor be construed as a waiver of any penalty or the penal provisions applicable
to any violation thereof.
SECTION 11. Severability. If any section, subsection, subdivision, sentence, clause,
phrase, or portion of this Ordinance is, for any reason, held to be invalid or
unconstitutional by the decision of any court of competent jurisdiction, such decision shall
not affect the validity of the remaining portions of this Ordinance. The City Council hereby
declares that it would have adopted this Ordinance and each section, subsection,
subdivision, sentence, clause, phrase, or portion thereof irrespective of the fact that any
Page 80 of 87
ORDINANCE NO.
PAGE 4
one or more sections, subsections, subdivisions, sentences, clauses, phrases, or
portions thereof be declared invalid or unconstitutional.
SECTION 12: Effective Date. This Ordinance shall take effect and be in full force and
effect thirty (30) days after its passage.
SECTION 13: City Clerk’s Certification. The City Clerk shall certify to the adoption of
this Ordinance and cause the same to be posted at the duly designated posting
places within the City and published once within fifteen (15) days after passage and
adoption as required by law; or, in the alternative, the City Clerk may cause to be
published a summary of this Ordinance and post a certified copy of the text of this
Ordinance in the Office of the City Clerk five (5) days prior to the date of adoption
of this Ordinance, and, within fifteen (15) days after adoption, the City Clerk shall
cause to be published the aforementioned summary and shall post a certified copy
of this Ordinance, together with the vote for and against the same, in the Office of
the City Clerk.
On motion of Council Member , seconded by Council Member ,
and on the following roll call vote to wit:
AYES:
NOES:
ABSENT:
the foregoing Ordinance was adopted this day of ,
2026.
Page 81 of 87
ORDINANCE NO.
PAGE 5
CAREN RAY RUSSOM, MAYOR
ATTEST:
JESSICA MATSON, CITY CLERK
APPROVED AS TO CONTENT:
MATTHEW DOWNING, CITY MANAGER
APPROVED AS TO FORM:
ISAAC ROSEN, CITY ATTORNEY
Page 82 of 87
ATTACHMENT 2
ORDINANCE NO.
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARROYO
GRANDE AMENDING SECTION 1.01.010 OF TITLE 1 (GENERAL
PROVISIONS), AND VARIOUS SECTIONS OF CHAPTER 13.26 OF
TITLE 13 (ENCROACHMENT PERMITS) OF THE ARROYO GRANDE
MUNICIPAL CODE
WHEREAS, in June 2009, the City Council adopted the Fiscal Year 2009-10 Budget
which affected organizational changes that occurred as a result of a major restructuring
of City departments; and
WHEREAS, staff have reviewed various sections of the Municipal Code for consistency
with current operations; and
WHEREAS, the City Council now desires to amend Sections 1.01.010, 13.26.010,
13.26.020, 13.26.030, 13.26.040, 13.26.050, and 13.26.060 of the Arroyo Grande
Municipal Code as described below.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE DOES
ORDAIN AS FOLLOWS:
SECTION 1. Recitals. The recitals above are true and correct and are incorporated
herein by reference and adopted as findings by the City Council.
SECTION 2. CEQA Compliance. The City Council finds that the recommended actions
to make administrative amendments in Title 1, and Title 13 of the Arroyo Grande
Municipal Code (“AGMC”) are not subject to the California Environmental Quality Act
(“CEQA”) because these efforts have no potential to result in either a direct, or
reasonably foreseeable indirect, physical change in the environment. (State CEQA
Guidelines, §§ 15060 (c)(2) and (3), 15378). Alternatively, the organizational changes
made by the amendments to Title 1, and Title 13 of the AGMC by this Ordinance are not
a project under CEQA because such changes constitute organizational or administrative
activities of a government that will not result in direct or indirect physical changes in the
environment. (State CEQA Guidelines § 15378(b)(5).)
SECTION 3. Amendment. Section 1.01.010, Adoption, of the Arroyo Grande Municipal
Code is hereby amended to read in its entirety as follows:
1.01.010 - Adoption.
There is hereby adopted the "Arroyo Grande Municipal Code", as compiled, edited and
published by Matthew Bender & Co, Inc., Charlottesville, Virginia, a copy of which is on
file in the office of administrative services the City Clerk and incorporated herein by this
reference.
SECTION 4. Amendment. Section 13.26.010, Application, of the Arroyo Grande
Municipal Code is hereby amended to read in its entirety as follows:
Page 83 of 87
ORDINANCE NO.
PAGE 2
Section. 13.26.010 Application.
Any person desiring to encroach upon, or to cause, allow or make any encroachment
into the public right-of-way must first obtain a permit to do so. Applicants shall file a
written an application with the director of public works or authorized agent to obtain a
permit. The application shall be in the form prescribed by the city, and shall have the
following information (as applicable):
A. Location of the encroachment;
B. The reason or necessity for encroachment;
C. Estimated time to begin and complete the work or placement of an encroachment;
D. Plans and specifications covering the encroachment as may be required by the city;
E. Estimated cost of repairing damage to the road or other public property caused by
the encroachment;
F. Length of time encroachment will be kept in place;
G. Each permit shall expressly provide that any personal property placed upon the
sidewalk pursuant to the permit shall extend no further along the sidewalk than the
exterior limits of the merchant's place of business;
H. Each permit shall expressly state, and the permittee shall agree, that in all cases a
minimum sidewalk width of five feet shall be kept clear of any obstruction at all times;
I. Name, address and phone number of the person responsible for maintaining the
encroachment during the term of the encroachment;
J. Other information as may be required by the director of public works or authorized
agent.
All terms and conditions of this chapter shall be incorporated by reference into any
permit issued by the city.
SECTION 5. Amendment. Section 13.26.020, Approval/conditional approval, of the
Arroyo Grande Municipal Code is hereby amended to read in its entirety as follows:
Section 13.26.020 Approval/conditional approval.
Upon receiving an application to encroach upon the public right-of-way, the director of
public works or authorized agent shall issue, conditionally issue or deny it. If the
application is approved, or conditionally approved, the public works director or
authorized agent shall cause the deposit, if any, to be paid into the city treasury and/or
such surety bond, if any, to be deposited with the financial administrative services
director, and shall issue a written permit authorizing the encroachment. The permit shall
include all of the conditions required by this code and any conditions set by the public
works director or authorized agent. In the event that application is denied, any deposit
made or bond submitted in connection therewith shall be forthwith returned to the
applicant. An applicant, if dissatisfied with the denial or with any condition attached to
an approval, may appeal the decision pursuant to Section 1.12.010 of this code.
SECTION 6. Amendment. Section 13.26.030, Fee, of the Arroyo Grande Municipal
Code is hereby amended to read in its entirety as follows:
Page 84 of 87
ORDINANCE NO.
PAGE 3
13.26.030 - Fee.
A fee for encroachment permits shall be established by resolution of the city council and
shall be paid to the city at the time of issuance or renewal of any encroachment permit.
Public utility companies operating under franchise agreement with the city may pay
annually for permit fees or provide a deposit in advance of the estimated amount of
permit applications subject to an agreement approved by the director of public works or
authorized agent.
SECTION 7. Amendment. Section 13.26.040, Length of time valid, of the Arroyo
Grande Municipal Code is hereby amended to read in its entirety as follows:
13.26.040 - Length of time valid.
Encroachment permits shall be issued for a specific length of time, which shall not
exceed a reasonable time necessary as determined by the director of public works or
authorized agent. In the absence of any prior agreement to the contrary, no cause shall
be necessary to be shown or proven for the city council to modify, revise or revoke any
encroachment permit or deny an original or renewal request. Utility companies will not
be required to have a current permit to conduct any maintenance that does not require
any cutting of concrete or asphalt and/or excavation.
SECTION 8. Amendment. Section 13.26.050, Cleaning/sweeping, of the Arroyo
Grande Municipal Code is hereby amended to read in its entirety as follows:
13.26.050 - Cleaning/sweeping.
Permittees shall be required to clean/sweep that portion of the right -of-way encroached
upon. Unless authorized by the director of public works or authorized agent, no material
or debris shall be allowed to remain in the right-of-way.
SECTION 9. Amendment. Section 13.26.060, Security deposit, of the Arroyo Grande
Municipal Code is hereby amended to read in its entirety as follows:
13.26.060 - Security deposit.
Unless waived by the director of public works or authorized agent, a deposit shall be
required prior to the issuance of an encroachment permit involving construction in the
street right-of-way. The deposit shall be either cash, cashier's check, certified check,
certificate of deposit, surety bond issued by a company authorized to do business in the
state, or other form acceptable to the public works director. The director of public works
or authorized agent shall set the amount of the deposit based on potential damage to
public property which may be caused by the project or which will result if the project is
not completed. All deposits shall remain in force for a period of one year from the date
of expiration of the encroachment permit, at which time the financial administrative
services director shall be authorized and directed to return the cash deposit or bond or
other security posted by the permittee to the permittee. The amount returned will no t
include any interest, unless required by prior agreement or law.
SECTION 10. Savings Clause. Neither the adoption of this Ordinance nor the repeal
of any other ordinance of this City shall in any manner affect the prosecution for
violations of ordinances, which violations were committed prior to the effective date
Page 85 of 87
ORDINANCE NO.
PAGE 4
hereof, nor be construed as a waiver of any penalty or the penal provisions applicable
to any violation thereof.
SECTION 11. Severability. If any section, subsection, subdivision, sentence, clause,
phrase, or portion of this Ordinance is, for any reason, held to be invalid or
unconstitutional by the decision of any court of competent jurisdiction, such decision shall
not affect the validity of the remaining portions of this Ordinance. The City Council hereby
declares that it would have adopted this Ordinance and each section, subsection,
subdivision, sentence, clause, phrase, or portion thereof irrespective of the fact that any
one or more sections, subsections, subdivisions, sentences, clauses, phrases, or
portions thereof be declared invalid or unconstitutional.
SECTION 12: Effective Date. This Ordinance shall take effect and be in full force and
effect thirty (30) days after its passage.
SECTION 13: City Clerk’s Certification. The City Clerk shall certify to the adoption of
this Ordinance and cause the same to be posted at the duly designated posting
places within the City and published once within fifteen (15) days after passage and
adoption as required by law; or, in the alternative, the City Clerk may cause to be
published a summary of this Ordinance and post a certified copy of the text of this
Ordinance in the Office of the City Clerk five (5) days prior to the date of adoption
of this Ordinance, and, within fifteen (15) days after adoption, the City Clerk shall
cause to be published the aforementioned summary and shall post a certified copy
of this Ordinance, together with the vote for and against the same, in the Office of
the City Clerk.
On motion of Council Member , seconded by Council Member ,
and on the following roll call vote to wit:
AYES:
NOES:
ABSENT:
the foregoing Ordinance was adopted this day of ,
2026.
Page 86 of 87
ORDINANCE NO.
PAGE 5
CAREN RAY RUSSOM, MAYOR
ATTEST:
JESSICA MATSON, CITY CLERK
APPROVED AS TO CONTENT:
MATTHEW DOWNING, CITY MANAGER
APPROVED AS TO FORM:
ISAAC ROSEN, CITY ATTORNEY
Page 87 of 87