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HomeMy WebLinkAbout14. Public Hearing on Willow Drive CAD 2022-2 in Danville, DP 6747 Resolution 2024-020 and 2024-021Page 1 of 42 Item 14. DCENTRALSAN BOARD OF DIRECTORS POSITION PAPER MEETING DATE: JULY25, 2024 SUBJECT: HOLD A PUBLIC HEARING TO RECEIVE PUBLIC COMMENT ON THE WILLOW DRIVE CONTRACTUAL ASSESSMENT DISTRICT (CAD) 2022-2 IN DANVILLE, DISTRICTPROJECT6747 SUBMITTED BY: IF A MAJORITY OF RETURNED BALLOTS DO NOT OPPOSE THE ASSESSMENT, CONSIDER THE FOLLOWING: • ADOPT PROPOSED RESOLUTION 2024-020 CONFIRMING COMPLIANCE WITH CALIFORNIA CONSTITUTION, ARTICLE XIII D, SECTION 4 (PROPOSITION 218); • ADOPT PROPOSED RESOLUTION 2024-021 APPROVING THE ENGINEER'S REPORT, ASSESSMENTS, FINANCING PERIOD, AND INTEREST RATE TO BE CHARGED ON FINANCED ASSESSMENTS AND ORDERING THE IMPROVEMENTS; AND • AUTHORIZE THE GENERAL MANAGER TO EXECUTE AN AGREEMENT WITH WILLOW DRIVE CAD 2022-2 PARTICIPANTS INITIATING DEPARTMENT: STEPHANIE MYERS, ASSOCIATE ENGINEER ENGINEERING AND TECHNICAL SERVICES- THOMAS BRIGHTBILL, SENIOR ENGINEER PDS-RATES AND FEES REVIEWED BY: DANEA GEMMELL, PLANNING AND DEVELOPMENT SERVICES DIVISION MANAGER GREG NORBY, DEPUTY GM - ENGINEERING & OPERATIONS Roger S. Bailey General Manager ISSUE State law and District code requires that a public hearing must be held to consider objections and inquiries regarding the proposed assessment, the Resolution of Intention, the Engineer's Report, and any other comments regarding Willow Drive CAD 2022-2. July 25, 2024 Special Board Meeting Agenda Packet - Page 117 of 188 Page 2 of 42 BACKGROUND A group of property owners on Willow Drive in Danville have requested that Central San form a CAD for the purpose of financing a public sewer system that would benefit their parcels. The Board of Directors (Board) approved an updated CAD policy at the April 21, 2022 meeting Board Policy BP No. 010 (Contractual Assessment Districts). The CAD Program provides financial assistance to property owners so that they may extend the public sewer system to serve their properties. The project being considered for approval by the Board is the creation of a CAD to finance the extension of a sewer main to a neighborhood and connection to Central San's public sewer system. The Proposed Project There are seven parcels that would benefit from improvements provided by this CAD project. The Board adopted a Resolution of Intention to form a CAD on August 18, 2022. The subject sewer would include approximately 397 linear feet of eight -inch sewer main and appurtenant works and facilities that will serve seven parcels. A map showing the proposed boundary and the proposed sewer location is presented in Attachment 1. An Engineer's Report, which includes an estimate of the total project cost and estimated individual assessments, has been prepared and included as Attachment 2. A summary of project costs eligible for CAD financing from the report is provided as Attachment 3. On February 18, 2021, the Board approved a septic to sewer (S2S) financing program, which can cover the other costs necessary to complete the connection to the sewer for the participating properties. These include capacity fees, permits, inspection fees, and construction costs for the lateral and septic tank abandonment. These costs would also be eligible for financing under the S2S program. CAD Formation On June 20, 2024, the Board set a public hearing for July 25, 2024. This public hearing, the preparation of the Engineer's Report, and the notification and balloting process conform to the legal requirements for the formation of a voluntary CAD contained in the Streets and Highways Code and those portions of Proposition 218 applicable to voluntary CADs. Board Policy BP 010 allows participating property owners to finance their CAD fees by making annual payments for up to 10 years, including interest. I n order to continue the process for Willow Drive CAD 2022-2, the following actions are necessary: Hold a public hearing to: Consider public testimony on the Resolution of Intention and the Engineer's Report. Announce the tabulation of ballots submitted by owners of each affected parcel indicating approval or opposition to the proposed assessment. 2. If at the close of the hearing, the Board finds that the ballot opposition is insufficient, the following Resolutions may be considered and adopted: • Proposed Resolution 2024-020 confirming compliance with California Constitution, Article XI II D, Section 4. • Proposed Resolution 2024-021 approving the Engineer's Report, assessments, and ordering July 25, 2024 Special Board Meeting Agenda Packet - Page 118 of 188 Page 3 of 42 improvements. An agreement between the participating owners and Central San is needed to establish the rights and obligations of both parties. District Counsel has prepared such an agreement in which the owners agree to allow: Assessments being placed on their property tax bills and pay the assessments; Accept total responsibility for the design and construction of the sanitary sewer extension; require the contractor who is selected by the owners to maintain certain insurance coverage; accept total responsibility for the costs associated with the sanitary sewer extension, including interest for Central San financing; and Have the sanitary sewer extension constructed in accordance with Central San's standards. Central San will: • Finance the costs of the sanitary sewer extension utilizing CAD financing and lateral construction costs utilizing the existing S2S Financing Program; • Accept the work of the contractor, provided the work is done in accordance with Central San's standards; • Give owners an opportunity to pay off their assessments upfront or amortize their assessments on owners' property tax bills; • Record as liens on the participants' properties the obligation of each participant to pay assessments; and • Be reimbursed in full by receiving payments, including interest, for the total amount financed from owners over a 10-year period. The voluntary nature of the CAD program means that only property owners who choose to participate will have assessments placed on their property. These assessments may be paid in full, without interest, within a month of being established or may be financed with interest on the County property tax bill for up to 10 years. As previously set by the Board, the interest rate is 4.5 percent for FY 2023-24. California Environmental Quality Act (CEQA) At its August 18, 2022 meeting, the Board independently found this project is exempt from CEQA under CEQA Statute Section 21080.21 since it involves construction of a pipeline less than one mile in length in a public right-of-way. ALTERNATIVES/CONSIDERATIONS Continuing the public hearing to a later date or taking no action would delay the CAD proceedings, since the holding of a public hearing is required by State Law. FINANCIAL IMPACTS The total estimated costs for this project are $211,569 which includes estimated construction costs of $173,786. This money will be paid back to Central San within 10 years. Adequate funds are available for the project in the FY 2024-25 Capital Improvement Budget. COMMITTEE RECOMMENDATION The Engineering and Operations Committee reviewed this matter at its special meeting on July 15, 2024 and recommended holding the public hearing on July 25, 2024. July 25, 2024 Special Board Meeting Agenda Packet - Page 119 of 188 Page 4 of 42 RECOMMENDED BOARD ACTION Hold the public hearing. If a majority of the returned ballots do not oppose the assessment, consider the following: Adopt proposed Resolution No. 2024-020 confirming compliance with the California Constitution, Article XI I I D, Section 4; Adopt proposed Resolution No. 2024-021 approving the Engineer's Report, assessments, and ordering improvements; and Authorize the General Manager to execute an agreement with the Willow Drive CAD No. 2022-2 participants. Strategic Plan re -In GOAL ONE: Customer and Community Strategy 2 - Promote initiatives to advance affordable and equitable access to services ATTACHMENTS: 1. Boundary 2. Engineer's Report 3. Summary Cost 4. Proposed Resolution (Proposition 218) 5. Proposed Resolution (Engineer's Report) July 25, 2024 Special Board Meeting Agenda Packet - Page 120 of 188 Page 5 of 42 1 Boundary of Willow Dr. ATTACHMENT 1 Contractual Assessment District No_ 2022-2 map uate: m Alamo Detail \ Danville O V 95 *105 *115 110 120 125 * 135 O� yo,� Willow_Dir 01 6^ Glen-Al.ms_Dr Potential Participant I C Existing Sewer Structure 41 ETD G�1 U I Z t — — —Easement V _ Existing Sewer Main Ashley Ci< Potential CAD Sewer Main •:1 i � CAD Area 1777— ' 0 200 Attachment Note: Map Displayed in North American Datum of 1983 central .Sas1ofduW, §° edal oard eeting Agenda Packet Page 1211"bfaft Plane, Zone III FIPS O403, US Feet � Page 6 of 42 ATTACHMENT 2 ENGINEER'S REPORT WILLOW DRIVE CONTRACTUAL ASSESSMENT DISTRICT CAD 2022-2 (DISTRICT PROJECT NO. 6745) The undersigned respectfully submits the enclosed report as directed by the Board of Directors. Stephanie R-G. Myers (formerly Gronlund), PE, LS Engineer of Work PREPARED: JUNE 6, 2024 July 25, 2024 Special Board Meeting Agenda Packet - Page 122 of 188 Page 7 of 42 ENGINEER'S REPORT WILLOW DRIVE CONTRACTUAL ASSESSMENT DISTRICT CAD 2022-2 INTRODUCTION Stephanie Gronlund, Associate Engineer and Engineer of Work(a) for the project known hereinafter as the Willow Drive Contractual Assessment District (CAD 2022-2 or the CAD), makes this Engineer's Report, as directed by the Central Contra Costa Sanitary District (Central San) Board of Directors and pursuant to the provisions of the Contractual Assessments Chapter of the Municipal Improvement Act of 1911, California Streets and Highways Code Sections 5898.10 et seq. (the Act). Contractual assessment districts offer many of the benefits of traditional assessment districts to property owners with several small but important distinctions. The benefits include the ability for a group of property owners to collectively fund a larger project, thereby achieving economies of scale and lowering the cost to each property owner as well as the ability to finance the improvements over time with annual payments being placed on property tax bills. The voluntary nature of the program means that the contractual assessment district is not subject to the requirements of Proposition 218. Section 5898.31 of the Streets and Highways Code states Since contractual assessments on real property under this chapter are voluntary and imposed pursuant to an agreement with an assessed property owner, the Legislature finds and declares voluntary contractual assessments under this (a) The Engineer of Work oversees the activities of the CAD and should not to be confused with the civil engineer hired by the CAD specifically to design CAD facilities. Page 2 of 31 July 25, 2024 Special Board Meeting Agenda Packet - Page 123 of 188 Page 8 of 42 chapter are not assessments for the purposes of Articles Xlll C and Xlll D of the California Constitution and therefore the provisions of Articles Xlll C and Xlll D and Article 4.6 (commencing with Section 53750) of Chapter 4 of Part 1 of Division 2 of Title 5 of the Government Code are not applicable to voluntary contractual assessment districts levied pursuant to this chapter. SUMMARY OF IMPROVEMENTS The improvements (Improvements) which are the subject of this report and which may be financed through the use of the voluntary contractual assessment are briefly described as follows: Design and construction of approximately 397 linear feet of 8-inch sanitary sewer pipeline, together with appurtenant work and facilities located along Willow Drive in Danville, California There are seven unserved parcels that could directly connect to the Improvements and are eligible to become part of CAD 2022-2. A majority of the parcel owners are anticipated to participate and be assessed. No publicly owned parcels are located within the proposed CAD 2022-2 and, therefore, no publicly owned parcels will be connected to the Improvements. A map showing the boundary of CAD 2022-2, the location of the Improvements and the parcels that may benefit from the Improvements is shown in Exhibit A below. SUMMARY OF COSTS The total cost of the Improvements, referred to as the "maximum aggregate dollar amount of contractual assessments" by the Act, is estimated to be $211,569. A Page 3 of 31 July 25, 2024 Special Board Meeting Agenda Packet - Page 124 of 188 Page 9 of 42 breakdown of the total cost, including engineering, construction and Central San costs, is included as Exhibit B. Central San will provide the initial funding for the construction of the Improvements from its Sewer Construction Fund. Each year, Central San's Capital Improvement Budget allocates funds for voluntary contractual assessment districts such as CAD 2022-2. APPORTIONMENT OF COSTS Once the Improvements have been completed and the total cost of the Improvements and the number of participating property owners are known, the individual assessments will be calculated for each parcel. Since all parcels in the proposed CAD 2022-2 contain single family residences of similar size, it is reasonable that each parcel receives similar benefit from the Improvements; therefore, the total cost of the Improvements will be divided equally among each parcel within the proposed CAD. Owners who wish to join CAD 2022-2 have two options for payment: 1. Pay all of the assessment up front. Payment is due within 30 days of Central San's acceptance of the newly constructed sewer improvements and no interest is charged for this option. 2. Pay the assessment over 10 years including interest charged at a maximum of 4.5 percent per annum. Principal and interest charges will be placed on the annual property tax bills and Central San will have a statutory and contractual right to file a lien for any delinquent payments pursuant to Streets and Highway Section 5898.30. A property owner may finance only one owned parcel within CAD 2022-2 at any given time under this option. Page 4 of 31 July 25, 2024 Special Board Meeting Agenda Packet - Page 125 of 188 Page 10 of 42 CENTRAL SAN POLICIES Section 5898.22(c) of the Streets and Highways Code requires a statement of polices concerning contractual assessment districts. On January 7, 1999, Central San adopted Resolution 99-010, "Contractual Assessment District Policy." The policy set forth a number of requirements for forming a CAD including a minimum number of parcels, a minimum percentage of parcels having existing homes served by septic tank systems, and method for reimbursing CAD participants as other parcels connect to the Improvements. The policy has been revised and updated several times by the Board of Directors, most recently on February 1, 2018. The updated policy, now known as "BP 010 Contractual Assessment Districts", is hereby incorporated by reference and made a part of this report. The public official authorized to enter into voluntary contractual assessments on behalf of Central San is Roger S. Bailey, General Manager. Section 5898.22 (a)(4) of the Act requires a method for prioritizing requests from property owners "in the event that requests appear likely to exceed the authorization amount." Since all costs for the Improvements will be shared among participating property owners, it is not possible for requests to exceed the authorization amount in this CAD. THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) The design and construction of approximately 397 linear feet of 8-inch sanitary sewer pipeline, together with the appurtenant work, is an activity that Central San Staff has concluded is exempt from the California Environmental Quality Act (CEQA) under CEQA Statute 15061(b)(3), since it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. This certainty is based on Central San's past experience with numerous sewer construction projects of this nature, the relatively short distance involved on a lightly -traveled street, Page 5 of 31 July 25, 2024 Special Board Meeting Agenda Packet - Page 126 of 188 Page 11 of 42 and Central San's impact -limiting construction specifications. These specifications are standardized general and special conditions that are made part of the project bid documents to address environmental considerations, such as protecting trees and riparian areas, as well as compliance with applicable federal, state, county, district, municipal and local laws, ordinances, orders, and regulations. Approval of this project at a public hearing will establish the Board of Directors' independent finding that this project is exempt from CEQA. EXHIBITS This report includes the following exhibits: A. Approved Boundary Map B. Cost Estimate C. Assessment Roll D. List of Parcel Owner E. Assessment Numbers F. Funding and Acquisition Agreement Page 6 of 31 July 25, 2024 Special Board Meeting Agenda Packet - Page 127 of 188 Page 12 of 42 EXHIBIT A WILLOW DRIVE CONTRACTUAL ASSESSMENT DISTRICT CAD 2022-2 Page 7 of 31 July 25, 2024 Special Board Meeting Agenda Packet - Page 128 of 188 Page 13 of 42 EXHIBIT B WILLOW DRIVE CONTRACTUAL ASSESSMENT DISTRICT CAD 2022-2; SEVEN PARCELS COST ESTIMATE May 2024 ITEM Construction 397 feet of 8-inch sewer; street laterals (a); manholes, repaving Construction Contingency 15% Total Construction Cost Private Engineering Survey, Design, Construction Staking Other Agency Engineering/Permit Contingency AMOUNT $151,118 $22,668 $173,786 $17,000 $5,000 10% $2,200 Total Private Engineering Cost $24,200 Central San Services Plan Review $6,481 Construction Inspection $7,103 Total Central San Services Cost $13,584 TOTAL PROJECT COST $211,569 (Construction + Private Engineering + Central San Services) PROJECT COST PER PARCEL Based on Seven Parcels Participating (b) $30,224 (a) Street laterals are provided for initial CAD 2022-2 participants. Since these laterals benefit only the initial participants, the cost of the laterals is deducted from the calculation of the reimbursement fee charge to subsequent participants. (b) The final per -parcel cost is to be determined by actual project cost and number of participating parcels. Additional costs to property owners not included in the Improvements include connection fees (paid to Central San), septic tank abandonment fees (paid to Contra Costa County) and construction costs for a sewer lateral (paid to a contractor). A separate financing program is available for these other connection expenses. Page 8 of 31 July 25, 2024 Special Board Meeting Agenda Packet - Page 129 of 188 Page 14 of 42 EXHIBIT C WILLOW DRIVE CONTRACTUAL ASSESSMENT DISTRICT CAD 2022-2 ASSESSMENT ROLL # APN ASSESMENT AMOUNT IF PREPAID ANNUAL ASSESSMENT AMOUNT IF PAID FOR 10 YEARS ON TAX ROLL (a) 1 216-172-016 $ 30,224.14 $ 3,819.69 2 216-172-017 $ 30,224.14 $ 3,819.69 3 216-172-005 $ 30,224.14 $ 3,819.69 4 216-172-006 $ 30,224.14 $ 3,819.69 5 216-172-019 $ 30,224.14 $ 3,819.69 6 216-171-004 $ 30,224.14 $ 3,819.69 7 216-171-003 $ 30,224.14 $ 3,819.69 Final per -parcel amount will be based on final costs and number of participating parcels (a) Interest rate of a maximum of 4.5% per annum, annual payments Page 9 of 31 July 25, 2024 Special Board Meeting Agenda Packet - Page 130 of 188 EXHIBIT D WILLOW DRIVE CONTRACTUAL ASSESSMENT DISTRICT CAD 2022-2 LIST OF PARCEL OWNERS # APN PARCEL OWNERS SITE ADDRESS MAILING ADDRESS MAILING CITY STATE ZIP 1 216-172-016 TIMOTHY & MELISSA COATS 95 WILLOW DRIVE 95 WILLOW DRIVE DANVILLE CA 94526 2 216-172-017 JODY A & SUSAN M NAAS THE 105 WILLOW DRIVE 105 WILLOW DRIVE DANVILLE CA 94526 3 216-172-005 JEREMI M RICHARDS 115 WILLOW DRIVE 115 WILLOW DRIVE DANVILLE CA 94526 4 216-172-006 GLORIA J GRIFFITH THE 125 WILLOW DRIVE 125 WILLOW DRIVE DANVILLE CA 94526 5 216-172-019 RICHARD B & ELENA M MOORE THE 135 WILLOW DRIVE 135 WILLOW DRIVE DANVILLE CA 94526 6 216-171-004 GEORGE P KHOURY THE 120 WILLOW DRIVE 1150 MURRIETA BLVD 100 LIVERMORE CA 94550 7 216-171-003 GAVIN S LAUER & JENIFER L SABINS 110 WILLOW DRIVE 110 WILLOW DRIVE DANVILLE CA 94526 N:\EnvrSRV\CADS 2010+\2022-2 Willow Drive CAD\2_BOARD DOCs\2024-7-10 EandO\Attachment 2 - CAD 2022-2 Engr Report.docx Page 10 of 31 July 25, 2024 Special Board Meeting Agenda Packet - Page 131 of 188 Page 16 of 42 EXHIBIT F WILLOW DRIVE CONTRACTUAL ASSESSMENT DISTRICT 2022-2 FUNDING AND ACQUISITION AGREEMENT THIS AGREEMENT, dated 2024 (the "EFFECTIVE DATE"), is by and between Central Contra Costa Sanitary District ("CENTRAL SAN"), a sanitary district established pursuant to Health and Safety Code Section 6400 et seq., and a political subdivision of the State of California, and the persons who have signed this Agreement (each an "OWNER" and collectively the "OWNERS"), with respect to Contractual Assessment District 2022-2. WHEREAS, CENTRAL SAN will establish a contractual assessment district pursuant to the provisions of the Municipal Improvement Act of 1911, Chapter 29 of the Streets and Highways Code of California (the "ACT") to facilitate the private construction of certain sewer improvements and, among other things, the transfer of ownership from OWNERS to CENTRAL SAN upon completion of the improvements described in Exhibit F-1 attached hereto and by this reference incorporated herein (the "IMPROVEMENTS"); and WHEREAS, OWNERS are a group of private property owners, each of whom holds separate title to certain discrete and individually owned parcels of real property located within the contractual assessment district and, all of whom are presently utilizing septic systems to meet their wastewater disposal needs; and WHEREAS, an agreement is needed between OWNERS and CENTRAL SAN before CENTRAL SAN proceeds with the contractual assessment district; NOW, THEREFORE, in consideration of the mutual promises and covenants set forth herein, and for other valuable consideration, the sufficiency and receipt of which are hereby acknowledged, the parties hereto agree as follows: July 25, 2024 Special Board Meeting Agenda Packet - Page 132 of 188 Page 11 of 31 Page 17 of 42 Section 1. Recitals. Each of the parties hereto represent and warrant, each to the other, that the above recitals are true and correct. Section 2. Contractual Assessments. (a) Assessments will provide reimbursement to CENTRAL SAN. The financing for the IMPROVEMENTS will be provided by CENTRAL SAN making payments as described in Section 4(d), from its Sewer Construction Fund and, subsequently, collecting reimbursements for that financing from each OWNER, according to each OWNER's calculated share, by placing assessment(s), including interest charged at a maximum rate of 4.5 percent per annum on the unpaid balance, on each OWNER's individual property tax bill, over a ten-year period. The first charge will be placed on each OWNER's property tax bill in the first fiscal year following CENTRAL SAN' acceptance of the IMPROVEMENTS. The estimated amount of the assessments for each of the ten years is set forth on the schedule shown in Exhibit F-2, attached hereto and by this reference incorporated herein. The amount of the assessments is based upon each OWNER's agreed share of the estimated Project Cost set forth in Section 4(b) below, plus interest. Said schedule is based on estimated costs and is subject to change pursuant to Section 4(d)(4) of this AGREEMENT. Final assessments will be based on actual costs after acceptance of the IMPROVEMENTS by CENTRAL SAN. Participating public agencies will be assessed, but are not eligible for financing through CENTRAL SAN. (b) Assessment will be placed on OWNERS' property tax bills. Each OWNER who does not prepay their assessment in full during the time period allowed therefore agrees to assessments being placed on their property tax bills annually for ten years and agrees to pay the assessments so placed. If any individual OWNER fails to pay said assessment for any fiscal year that OWNER agrees that the assessment will become a lien against that individual OWNER's real property. (c) Assessment Prepayment. An OWNER may prepay the balance of remaining assessments in full at any time during the ten-year payment period. There will be no prepayment charge or penalty for such prepayment. July 25, 2024 Special Board Meeting Agenda Packet - Page 133 of 188 Page 12 of 31 Page 18 of 42 (d) Participants are limited to use of the ten-year annual assessment payment option for a single, owned parcel. If a person(s) owns two or more parcels in the same contractual assessment district or different contractual assessment districts, the person(s) may be a Participant for more than one parcel, but will be eligible for the annual assessment option for a single parcel only. The assessment for other parcels must be paid by the prepayment option. Section 3. OWNERS are Responsible for Construction. OWNERS agree to construct the IMPROVEMENTS in accordance with this AGREEMENT, and the improvement plans, and reasonably expect to complete IMPROVEMENTS, and request payment therefor, pursuant to Section 4 of this AGREEMENT within one (1) year of the . date of this AGREEMENT. Section 4. Completion of and Payment for IMPROVEMENTS. (a) Plans and Specifications and Insurance Requirements. OWNERS represent that they shall select a civil engineer and have said engineer prepare plans and specifications for IMPROVEMENTS and that IMPROVEMENTS shall be constructed by OWNERS in compliance with current CENTRAL SAN standards and other agency standards applicable to the construction of public improvements and in compliance with any applicable State or local law or regulation. OWNERS shall select their general contractors in a manner acceptable to CENTRAL SAN. The IMPROVEMENTS construction contract shall also expressly provide that standard mechanics lien provisions set forth in Civil Code Section 8400 et seq. shall apply to the contract for construction of IMPROVEMENT. Stop Notice provisions as set forth in California Civil Code Section 9350 et seq. shall not apply to the contract for construction of IMPROVEMENTS. (1) All contracts related to the construction of IMPROVEMENTS, and all change orders thereto, together with the plans and specifications therefor, shall be submitted to CENTRAL SAN for review and approval of the cost, and scope of work. CENTRAL SAN will submit to OWNERS a written approval or denial of any contract or change order (identifying the reasons therefore) within ten (10) working days after receipt by CENTRAL SAN of the contract or change order. The decision of CENTRAL SAN will be final. July 25, 2024 Special Board Meeting Agenda Packet - Page 134 of 188 Page 13 of 31 Page 19 of 42 (2) All contracts related to the construction of IMPROVEMENTS shall require OWNERS' contractors to purchase and maintain insurance continuously during the life of said contract as follows: (i) The contractor shall furnish OWNERS with certificates of insurance showing the type, amount, class of operations covered, effective dates and dates of expiration of policies. OWNERS shall furnish CENTRAL SAN with copies of said certificates in a form reasonably acceptable to CENTRAL SAN, no later than forty- eight hours prior to the OWNERS' contractor starting work on the IMPROVEMENTS. All of the policies of insurance so required to be purchased and maintained (or the certificates or other evidence thereof) shall expressly provide that such policies shall not be cancelable or otherwise subject to modification except after thirty (30) days prior written notice to the parties named as additional insureds in this Agreement (except in the case of cancellation for nonpayment of premium in which case cancellation shall not take effect until at least ten (10) days' notice has been given to the parties named as additional insureds in this Agreement by certified mail). All such insurance shall remain in effect during the course of the work and at all times thereafter, when the contractor may be correcting, removing, or replacing defective work. In addition, the insurance required herein (except for Workers' Compensation and Employer's Liability) shall name the OWNERS, CENTRAL SAN and their officers, directors, agents and employees as "additional insureds" under the policies and shall be primary, without right of contribution from insurance of CENTRAL SAN. Any umbrella liability policy or excess liability policy shall provide that if the underlying aggregate is exhausted, the excess coverage will drop down as primary insurance. The limits of insurance maintained by the contractor shall not limit contractor's liability under said contract. (ii) Workers' Compensation and Employer's Liability Insurance: The contractor shall carry Worker's Compensation and Employer's Liability Insurance having limits not less than those required by state statute (and federal statute, if applicable) and covering all persons employed in the conduct of the IMPROVEMENTS work (including the all states endorsement), together with employer's liability insurance coverage in the amount of at least One Million Dollars ($1,000,000). The contractor shall require each subcontractor engaged in the IMPROVEMENTS work to provide July 25, 2024 Special Board Meeting Agenda Packet - Page 135 of 188 Page 14 of 31 Page 20 of 42 substantially equivalent Workers' Compensation and Employer's Liability Insurance for its employees (iii) Commercial General Liability Insurance (Occurrence Form): The contractor shall carry commercial general liability insurance (occurrence form) having a combined single limit of not less than One Million Dollars ($1,000,000) per occurrence and annual aggregate for both bodily injury and property damage, providing coverage for, among other things, blanket contractual liability, premises, products/completed operations and personal and advertising injury coverage. The contractor shall require each subcontractor engaged in the IMPROVEMENTS work to carry substantially equivalent commercial general liability insurance. (iv) Automobile Liability Insurance: The contractor shall carry comprehensive automobile liability insurance having a combined single limit of not less than One Million Dollars ($1,000,000) per occurrence and annual aggregate, insuring the OWNERS' contractor against liability for claims arising out of ownership, maintenance, or use of any owned, hired or non -owned automobiles. The contractor shall require each subcontractor engaged in the IMPROVEMENTS work to carry substantially equivalent comprehensive automobile liability insurance. July 25, 2024 Special Board Meeting Agenda Packet - Page 136 of 188 Page 15 of 31 Page 21 of 42 (b) Project Cost. (1) Determination of Project Cost. Except as hereinafter provided, the Project Cost to be financed by CENTRAL SAN for the IMPROVEMENTS shall be determined by CENTRAL SAN and shall not exceed the reasonable cost thereof, including the reasonable cost of necessary appurtenant works and the costs of preparing plans and specifications, as well as the construction contracts and all costs of construction reasonably determined by CENTRAL SAN to be eligible under the ACT to be part of Project Cost, such as fees and costs incurred in obtaining permits, including any encroachment permits required by the appropriate jurisdiction Ofor installation of the IMPROVEMENTS through jurisdiction -owned street, licenses, the costs of change orders, engineering, and inspection fees and administrative charges constituting a part of IMPROVEMENTS. Project Cost shall not include costs attributable to OWNERS' overhead or profit, interest payments owing by OWNERS, or carrying costs for IMPROVEMENTS prior to its acquisition by CENTRAL SAN, or costs resulting from extraordinary conditions (such as shortened time for performance) set forth in any construction contract. As of the EFFECTIVE DATE of this AGREEMENT, OWNERS and CENTRAL SAN agree the estimated Project Cost is $211,569. (TWO HUNDRED ELEVEN THOUSADN FIVE HUNDRED SIXTY-NINE DOLLARS). (2) Substantiation. OWNERS shall provide to CENTRAL SAN all documentation substantiating the cost of IMPROVEMENTS reasonably requested by DISTRICT. (c) Inspection and Acceptance. (1) Inspection; Compliance with Regulations. All components of IMPROVEMENTS constructed under this AGREEMENT shall be inspected by CENTRAL SAN, pursuant to CENTRAL SAN's standards and policies. OWNERS shall provide CENTRAL SAN, prior to CENTRAL SAN's acceptance of any component of IMPROVEMENTS, with record drawings or similar documents in a form complying with applicable CENTRAL SAN requirements. July 25, 2024 Special Board Meeting Agenda Packet - Page 137 of 188 Page 16 of 31 Page 22 of 42 (2) Acceptance. When fully completed to the reasonable satisfaction of CENTRAL SAN, IMPROVEMENTS shall be accepted by CENTRAL SAN in accordance with applicable CENTRAL SAN policy. The documents described in Section 4(c)(1) of this AGREEMENT shall be delivered to CENTRAL SAN prior to CENTRAL SAN's acceptance of IMPROVEMENTS. IMPROVEMENTS shall not be accepted unless ready for use by CENTRAL SAN or the public, based on applicable CENTRAL SAN standards relating to construction of public improvements. However, neither CENTRAL SAN, nor any other public agency, shall accept liability, or responsibility, for any IMPROVEMENTS, or the maintenance thereof, until CENTRAL SAN has accepted the IMPROVEMENTS pursuant to this Section 4(c)(2). Any IMPROVEMENTS accepted by CENTRAL SAN shall be subject to a minimum one-year warranty from date of acceptance by CENTRAL SAN provided by the OWNERS' contract with their contractor; such guarantee to be assigned to CENTRAL SAN. (d) Payment of Project Cost. (1) Completed Improvement. At the time OWNERS request that CENTRAL SAN accept IMPROVEMENTS, OWNERS also may request in writing, on the Payment Request (PR) attached hereto as Exhibit F-3 and incorporated by reference herein, payment of the Project Cost for IMPROVEMENTS from CENTRAL SAN. (2) OWNERS may also request in writing that CENTRAL SAN pay a portion of the cost of work that constitutes less than a complete, discrete portion of IMPROVEMENTS as listed in Exhibit F-4. OWNER shall submit all supporting documentation required by CENTRAL SAN to support its payment requests. (i) Timing; Amount. OWNERS may submit no more than two (2) PRs per calendar month. Any payment requested, when added to all other funds previously requested by OWNERS pursuant to a PR, shall not exceed the total Project Cost for IMPROVEMENTS as estimated pursuant to Section 4(b)(1); provided, however, that the estimated amounts for portions of the IMPROVEMENTS, are not intended to be absolute limits on the actual cost of that portion, insofar as any cost July 25, 2024 Special Board Meeting Agenda Packet - Page 138 of 188 Page 17 of 31 Page 23 of 42 savings on a particular portion of the IMPROVEMENTS, may, at the option of CENTRAL SAN and subject to Section 4(b) of this AGREEMENT, be offset against costs in excess of those set forth in Exhibit F-4 for another portion of the IMPROVEMENTS. However, the aggregate total Project Cost for the IMPROVEMENTS shall not exceed the amount set forth in Exhibit F-4, attached hereto and incorporated herein by this reference, unless the CENTRAL SAN expressly agrees to such increased cost in writing. (ii) Documentation. Any PR submitted by OWNERS shall be properly executed and shall include all supporting documentation required by CENTRAL SAN. If required by CENTRAL SAN, OWNERS also shall record a Notice of Completion for the IMPROVEMENTS, and shall demonstrate to CENTRAL SAN that OWNERS' contractor(s) have provided final unconditional statutory lien releases for IMPROVEMENTS. (iii) Review of Payment Request. CENTRAL SAN will review each new or resubmitted PR and inform OWNERS in writing within ten (10) working days after receipt thereof of the reasons, if any, for its denial of all, or any portion, of the funds requested by the PR. OWNERS shall have the right to challenge the denial by submitting further documentation and/or to resubmit the PR within thirty (30) days after receipt of the denial. A resubmittal shall not be deemed a new PR for purposes of Section 4(d)(2)(i) of this AGREEMENT. The decision of CENTRAL SAN regarding a PR, or any resubmitted PR, shall be final. (iv) Payment. CENTRAL SAN will pay to OWNERS or to the OWNERS' contractor the amount approved in the PR within thirty (30) days after receipt of PR, or resubmittal of a PR, which is not denied by CENTRAL SAN as provided in Section 4(d)( 2)(iii). (v) Retention of a Portion of Payment. CENTRAL SAN will be entitled to retain five percent (5%) of the Project Cost until thirty-five (35) days after acceptance of IMPROVEMENTS by CENTRAL SAN. July 25, 2024 Special Board Meeting Agenda Packet - Page 139 of 188 Page 18 of 31 Page 24 of 42 (3) Portions of IMPROVEMENTS. OWNERS may submit a PR in accordance with the provisions of Section 4(d)(2) for portions of the IMPROVEMENTS described in Exhibit F-4. (4) Payment by CENTRAL SAN for any portion of work does not constitute acceptance of IMPROVEMENTS or responsibility for maintaining IMPROVEMENTS until ownership of IMPROVEMENTS is expressly accepted by CENTRAL SAN. Until CENTRAL SAN expressly accepts the IMPROVEMENTS, OWNERS retain ownership and shall maintain said IMPROVEMENTS. Under no circumstance shall payment by CENTRAL SAN for a portion of work be interpreted as CENTRAL SAN's acceptance of IMPROVEMENTS. (5) If OWNERS request payment for IMPROVEMENTS or discrete portions thereof, in an amount less than the budgeted amount as set forth in Exhibit F-4, for IMPROVEMENTS or any discrete portion thereof, the difference between the amount requested by OWNERS and the budgeted amount shall, at the option of CENTRAL SAN, be made available for portions of the IMPROVEMENTS, or discrete portions thereof. In the event any change of work order has resulted in an additional cost in excess of the aggregate of the amounts set forth in Exhibit F-4, which increases the total Project Cost, as approved by the CENTRAL SAN, CENTRAL SAN shall increase the amount of assessment for each OWNER by a proportionate share of the amount of the additional cost. (e) Payment of Excess Costs. OWNERS hereby agree to pay all costs of IMPROVEMENTS including any costs in excess of the aggregate estimated amounts set forth in Exhibit F-4 hereto. (f) Transfer of Ownership of the Improvements. Only the express acceptance of IMPROVEMENTS by CENTRAL SAN in accordance with Section 4(c)(2) shall constitute the transfer of ownership of IMPROVEMENTS from OWNERS to CENTRAL SAN. July 25, 2024 Special Board Meeting Agenda Packet - Page 140 of 188 Page 19 of 31 Page 25 of 42 Section 5. Reimbursement to Participants. The OWNERS who have signed this agreement have indicated that they will participate in the Assessment District and will be assessed. An owner(s) of a parcel within the boundaries of the assessment district who declines to participate in the assessment district (a "non- participating owner") will not be assessed. If, within twenty (20) years from the date CENTRAL SAN accepts the IMPROVEMENTS, a non -participating owner (or a subsequent owner of a non -participating owner's property) applies to connect the property to the IMPROVEMENTS, CENTRAL SAN will collect a reimbursement fee from that owner prior to issuance of a connection permit. During the ten-year period when annual assessments are being placed on some OWNERS' county property tax bills, reimbursement fees collected by CENTRAL SAN will be disbursed as follows: (1) the portion of collected fees allocable to each OWNER who has prepaid assessments in full will be disbursed directly to that OWNER; and (2) the portion of collected fees allocable to each OWNER whose annual assessments are being placed on the county tax bill at the time of such collection will be applied to the principal balance of unpaid assessments remaining. The portion of any reimbursement fees collected after the ten- year assessment period allocable to each OWNER will be disbursed directly to that OWNER. If any OWNER agrees to contribute a portion of the total final assessment amount in excess of the amount applicable to their own property in order to ensure construction of the IMPROVEMENTS by providing a subsidy to other participating OWNERS, and said excess contribution has been paid in full and is not subject to further annual assessments, CENTRAL SAN will disburse the portion of any reimbursement fees allocable to such excess contribution to that OWNER, whether or not that OWNER actually owns the parcel on which his/her participation in the CAD was based at the time the reimbursement fees are collected and disbursed. July 25, 2024 Special Board Meeting Agenda Packet - Page 141 of 188 Page 20 of 31 Page 26 of 42 Section 6. Indemnification and Hold Harmless. (a) INDEMNITY. OWNERs, severally but not jointly, shall hold harmless, indemnify and defend CENTRAL SAN, its officers, agents and employees from the liabilities as defined in this section. (i) The liabilities protected against are any liability or claim for damage of any kind allegedly suffered, incurred or threatened because of actions defined below, and including, but not limited to, personal injury, death, property damage, inverse condemnation, patent and/or copyright infringement, damages arising out of disputes as to licensing fees or the ownership of any land associated with the matters covered by this AGREEMENT, any and all damages arising from the imposition of regulatory fines imposed for the violation of local ordinances, administrative regulations, or the like, in connection with the work; or any combination of these and regardless of whether or not such liability, claim or damage was unforeseeable. (ii) The actions causing liability are any act or omission, whether active or passive negligence or any non -negligent conduct by indemnitor in connection with the matters covered by this AGREEMENT and attributed to OWNERS, contractor, subcontractor, material supplier, or any officer, agent or employee of one or more of them, including but not limited to, actions related to the construction, testing and connection of the IMPROVEMENTS and the ownership or use of real property for the purpose of constructing, testing and connecting the IMPROVEMENTS. (iii) Non -conditions: The promises and agreements in this Section are not conditioned or dependent upon whether or not CENTRAL SAN, as indemnitee, has prepared, supplied, accepted or approved any plan(s) or specification(s) in connection with this work, or subdivision, or has insurance or other indemnification covering any of these matters. (b) No provision of this AGREEMENT shall in any way limit OWNERS' responsibility for liability, loss, costs, or damages resulting from the operations of OWNERS, their agents, employees, or its contractors. Section 7. Annexation. If not already annexed, each owner agrees to be annexed to CENTRAL SAN. Signature of this agreement will constitute a request for CENTRAL SAN to proceed with annexation. Upon connection, each OWNER will be responsible to pay the fees for annexation established by CENTRAL SAN. July 25, 2024 Special Board Meeting Agenda Packet - Page 142 of 188 Page 21 of 31 Page 27 of 42 Section 8. Audit. CENTRAL SAN will have the right, upon reasonable prior notice and during normal business hours, to review OWNERS' books and records pertaining to costs and expenses incurred by OWNERS in constructing IMPROVEMENTS. The reasonable costs of any such review shall be borne by OWNERS. Section 9. No Relationship to Public Contract. The parties hereto agree that this AGREEMENT is for the acquisition of IMPROVEMENTS by CENTRAL SAN and is not, nor is it intended to be, a public construction contract. In performing this AGREEMENT, each OWNER is an independent contractor and not the agent of CENTRAL SAN. CENTRAL SAN owes no duty whatsoever to any engineer, architect, employee, contractor, or subcontractor of OWNERS, or agent of OWNERS. Section 10. Owners' Obligations. Nothing contained herein shall be construed as affecting OWNERS' duty to perform its obligations under other agreements relating to IMPROVEMENTS, all of which obligations are, and shall remain, independent of OWNERS' rights and obligations under this AGREEMENT. Section 11. Notices. Any notice, payment, or instrument required or permitted by this AGREEMENT to be given or delivered to either party shall be deemed to have been received when personally delivered or within seventy-two (72) hours following deposit of the same in any United States Post Office in California, postage prepaid, addressed as follows: July 25, 2024 Special Board Meeting Agenda Packet - Page 143 of 188 Page 22 of 31 Page 28 of 42 For OWNERS: Mr. Gavin Lauer (OWNERS' Representative) 110 Willow Drive Danville, CA 94526 CENTRAL SAN: Central Contra Costa Sanitary District ATTN: MR. THOMAS BRIGHTBILL 5019 Imhoff Place Martinez, CA 94553 Either party may change its address or addresses for delivery of notice by delivering written notice of the change of address to the other party. Section 12. Severability; Governing Law. If any part of this AGREEMENT is held to be illegal or unenforceable by a court of competent jurisdiction, the remainder of this AGREEMENT shall be given effect to the fullest extent reasonably possible. This AGREEMENT shall be governed, and the rights and duties (both procedural and substantive) of the parties shall be determined, by the laws of the State of California. Section 13. Successors and Assigns. This AGREEMENT shall be binding upon and inure to the benefit of the successors and assigns of the parties hereto. This AGREEMENT may not be assigned by OWNERS without the prior written consent of CENTRAL SAN. In connection with any such assignment for which consent of CENTRAL SAN is required, CENTRAL SAN may condition its consent upon the acceptability of the financial condition of the proposed assignee and upon any other factor that CENTRAL SAN deems relevant in the circumstances. Section 14. Limited Liability of CENTRAL SAN. CENTRAL SAN's acquisition of IMPROVEMENTS is not backed by the full faith and credit of CENTRAL SAN, but is limited solely to the funds available to CENTRAL SAN in the contractual assessment district, if any, as a result of the proceedings for formation of the contractual assessment district and confirmation of assessments. Any funds committed by CENTRAL SAN as a contribution, grant, subventions, or otherwise are not available for July 25, 2024 Special Board Meeting Agenda Packet - Page 144 of 188 Page 23 of 31 Page 29 of 42 the purposes of this AGREEMENT, unless and until assessments have been confirmed under proceedings for the contractual assessment district. No Board member, officer, official, employee, or agent of CENTAL SAN will incur any liability in his or her individual capacity to OWNERS or any other party by reason of their actions hereunder or execution hereunder. Section 15. Waiver. Failure by a party to insist upon the strict performance of any of the provisions of this AGREEMENT by the other party, or the failure by a party to exercise its rights upon the default of the other party, shall not constitute a waiver of the party's right to insist and demand strict compliance thereafter by the other party with the terms of this AGREEMENT. Section 16. Merger. This AGREEMENT, together with the Exhibits hereto, supersedes all prior agreements and representations concerning the subject matter hereof, whether written or oral, and contains the entire agreement of the parties respecting the matters covered hereby. No other agreement, statement, or promise made by any party or any employee, officer, or agent of any party with respect to any matters covered hereby that are not in writing and signed by all the parties to this AGREEMENT shall be binding. Section 17. Parties in Interest. Nothing in this AGREEMENT, expressed or implied, is intended to or shall be construed to confer upon or to give to any person or entity, other than CENTRAL SAN and OWNERS, any rights, remedies, or claims under or by reason of this AGREEMENT or any covenants, conditions, or stipulations hereof; and all covenants, conditions, promises, and agreements in this AGREEMENT contained by or on behalf of CENTRAL SAN or OWNERS shall be for the sole and exclusive benefit of CENTRAL SAN and OWNERS. Section 18. Attorneys' Fees. The prevailing party in any arbitration or lawsuit brought to interpret or enforce the terms of this AGREEMENT, or in any claims whether in contract, tort or otherwise, arising directly or indirectly out of this AGREEMENT or its performance, shall be entitled to recover its reasonable costs and attorneys' fees from the other party, and the court or arbitrator shall award such July 25, 2024 Special Board Meeting Agenda Packet - Page 145 of 188 Page 24 of 31 Page 30 of 42 attorneys' fees as an element of costs. For purposes of this provision, "prevailing party" shall include a party which dismisses an action for recovery hereunder in exchange for payment of the sum allegedly due, performance of covenants allegedly breached, or consideration substantially equal to the relief sought in the action or proceeding. "Prevailing party" shall not include any party who refuses an offer of compromise within ten (10) days of trial or arbitration of the matter, and fails to receive an award more favorable than the terms and conditions set forth in the offer of compromise, either in the amount of damages awarded or the type of relief granted. Section 19. Counterparts. This AGREEMENT may be executed in counterparts, each of which shall be deemed an original. Section 20. Amendments. Amendments to this AGREEMENT shall be made only by written instrument executed by each of the parties hereto. Section 21. Disclosure. It is the responsibility of each OWNER to notify a subsequent owner of their property about the existence of this Contractual Assessment District and that there may be an assessment against the property. IN WITNESS WHEREOF, the parties have executed this AGREEMENT as of the EFFECTIVE DATE. Central Contra Costa Sanitary District Roger S. Bailey General Manager July 25, 2024 Special Board Meeting Agenda Packet - Page 146 of 188 Page 25 of 31 Page 31 of 42 Owner: Timothy Coats Melissa Coats By: Jody A Naas, Trustee Susan M Naas, Trustee By: Jeremi M Richards By: Gloria J Griffith, Trustee By: Richard B Moore, Trustee Elena M Moore, Trustee By: George P Khoury, Trustee By: Gavin S Lauer Jenifer L Sabins Assessment Parcel No. 1 Assessment Parcel No. 2 Assessment Parcel No. 3 Assessment Parcel No. 4 Assessment Parcel No. 5 Assessment Parcel No. 6 Assessment Parcel No. 7 July 25, 2024 Special Board Meeting Agenda Packet - Page 147 of 188 Page 26 of 31 Page 32 of 42 EXHIBIT F-1 WILLOW DRIVE CONTRACTUAL ASSESSMENT DISTRICT 2022-2 DESCRIPTION OF THE IMPROVEMENTS Within the incorporated community of Danville, County of Contra Costa, State of California, the preparation of plans for and the construction and acquisition of sanitary sewer improvements to and along Willow Drive, including all design, surveying, soil and geotechnical engineering, plan check and inspection fees, and permit acquisition. July 25, 2024 Special Board Meeting Agenda Packet - Page 148 of 188 Page 27 of 31 Page 33 of 42 EXHIBIT F-2 WILLOW DRIVE CONTRACTUAL ASSESSMENT DISTRICT 2022-2 SCHEDULE OF ASSESSMENTS ASSESSMENT PARCEL NOS. 1 THROUGH 7 YEAR AMOUNT PER PARCEL (a) 1 $ 3,819.69 2 $ 3,819.69 3 $ 3,819.69 4 $ 3,819.69 5 $ 3,819.69 6 $ 3,819.69 7 $ 3,819.69 (a) Final amount will be based on final costs, number of participating parcels, ten annual payments and a maximum interest rate of 4.5% per annum. N:\EnvrSRV\CADS 2010+\2022-2 Willow Drive CAD\2_130ARD DOCs\2024-7-10 EandO\Attachment 2 - CAD 2022-2 Engr Report.dou Page 28 of 31 July 25, 2024 Special Board Meeting Agenda Packet - Page 149 of 188 Page 34 of 42 EXHIBIT F-3 WILLOW DRIVE CONTRACTUAL ASSESSMENT DISTRICT 2022-2 PAYMENT REQUEST FOR PROJECT EXPENSES The undersigned (OWNER) hereby requests payment in the total amount of $ for IMPROVEMENTS (as defined in the Funding and Acquisition Agreement, dated as of ) 2024 between CENTRAL SAN, with respect to Assessment District No. 2022-2, and OWNERS), or for a portion thereof (as described in Exhibit F-4 of that AGREEMENT) all as more fully described in the attached contractor's progress payment disbursement requisition. In connection with this request for payment, the undersigned hereby represents and warrants to DISTRICT as follows: 1. He (she) is a duly authorized agent of OWNERS, qualified to execute this request for payment on behalf of OWNERS and knowledgeable as to the matters set forth herein. 2. All costs of IMPROVEMENTS for which payment is requested hereby are actual costs and have not been inflated in any respect. The portion of IMPROVEMENTS for which payment is requested has not been the subject of any prior payment request submitted to CENTRAL SAN. 3. Supporting documentation (such as third party invoice with lien releases) is attached with respect to each cost for which payment is requested. N:\EnvrSRV\CADS 2010+\2022-2 Willow Drive CAD\2_130ARD DOCs\2024-7-10 EandO\Attachment 2 - CAD 2022-2 Engr Report.docx N:\EnvrSRV\CADS 2010+\2022-2 Willow Drive CAD\2_BOARD DOCs\2024-7-10 EandO\Attachment 2 - CAD 2022-2 Engr Report.docx Page 29 of 31 July 25, 2024 Special Board Meeting Agenda Packet - Page 150 of 188 Page 35 of 42 4. IMPROVEMENTS for which payment is requested were constructed in accordance with all applicable CENTRAL SAN standards and in accordance with the project plans and specifications. 5. OWNERS are in compliance with the terms and provisions of the Funding and Acquisition Agreement referenced above. Date: I hereby declare under penalty of perjury that the above representations, and warranties are true and correct. OWNERS: Authorized Representative of the Owners N:\EnvrSRV\CADS 2010+\2022-2 Willow Drive CAD\2_130ARD DOCs\2024-7-10 EandO\Attachment 2 - CAD 2022-2 Engr Report.docx N:\EnvrSRV\CADS 2010+\2022-2 Willow Drive CAD\2_130ARD DOCs\2024-7-10 EandO\Attachment 2 - CAD 2022-2 Engr Report.docx Page 30 of 31 July 25, 2024 Special Board Meeting Agenda Packet - Page 151 of 188 Page 36 of 42 EXHIBIT F-4 WILLOW DRIVE CONTRACTUAL ASSESSMENT DISTRICT 2022-2 DISCRETE PORTIONS OF IMPROVEMENT, BUDGETED AMOUNTS, AND SEQUENCE OF PAYMENT Plan preparation including private surveying and engineering, payment of other agency fees, and the acquisition of all plans, specifications, and reports. A PR for the work described in the preceding paragraph may be submitted after the final review for construction is performed by CENTRAL SAN. 2. Sanitary sewer facilities in Willow Drive in Danville, including the acquisition of the facilities. Five percent (5%) may be retained from Item 2 until CENTRAL SAN accepts the IMPROVEMENTS. CENTRAL SAN costs for plan check and inspection will be accounted for internally and remain part of the cost of IMPROVEMENTS. Budgeted amounts will be adjusted in accordance with final costs. N:\EnvrSRV\CADS 2010+\2022-2 Willow Drive CAD\2_130ARD DOCs\2024-7-10 EandO\Attachment 2 - CAD 2022-2 Engr Report.docx N:\EnvrSRV\CADS 2010+\2022-2 Willow Drive CAD\2_130ARD DOCs\2024-7-10 EandO\Attachment 2 - CAD 2022-2 Engr Report.docx Page 31 of 31 July 25, 2024 Special Board Meeting Agenda Packet - Page 152 of 188 Page 37 of 42 ATTACHMENT 3 SUMMARY OF SEWER MAIN EXTENSION COSTS THAT COULD BE FINANCED UNDER WILLOW DRIVE CAD 2022-2 Construction $173,786 Engineering $24,200 Central San Services $13,584 TOTAL $211,570 If the owners of all seven parcels agree to participate in CAD 2022-2, the estimated per -parcel cost would be $30,224. Financing is available which allows for any property owner to make annual payments for 10 years with 4.5% (fixed) interest, resulting in an annual per -parcel payment of $3,819.69. July 25, 2024 Special Board Meeting Agenda Packet - Page 153 of 188 Page 38 of 42 ATTACHMENT 4 RESOLUTION NO. 2024-020 A RESOLUTION OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT CONFIRMING COMPLIANCE WITH CALIFORNIA CONSTITUTION, ARTICLE XIII D, SECTION 4 WILLOW DRIVE CONTRACTUAL ASSESSMENT DISTRICT 2022-2 BE IT RESOLVED by the Board of Directors of the Central Contra Costa Sanitary District (Central San) as follows: THAT the Board of Directors set 2:30 p.m. on July 25, 2024, at the Central San Board Room, 5019 Imhoff Place, Martinez, California, as the time and place for a public hearing pursuant to California Constitution, Article XIII D, Section 4; and THAT pursuant to Article XIII D of the California Constitution, as amended by Proposition 218, commonly known as the "Right to Vote on Taxes Act," notice of the proposed assessment was provided to all owners of affected parcels within the proposed assessment district, which contained a ballot whereby each owner could indicate support or opposition to the proposed assessment; and THAT at the time and place for which notice was given, the Board of Directors conducted a public hearing, pursuant to California Constitution, Article XIII D, Section 4, and gave every person present an opportunity to comment on and object to the amount of the proposed assessment; and THAT the Board of Directors finds that less than a majority of parcel owners who returned ballots, weighted by financial obligation, opposed the proposed assessment. PASSED AND ADOPTED this 25th of July 2024 by the Board of Directors of Central San by the following vote: AYES: Members: NOES: Members: ABSENT: Members: Mariah N. Lauritzen President of the Board of Directors Central Contra Costa Sanitary District County of Contra Costa, State of California July 25, 2024 Special Board Meeting Agenda Packet - Page 154 of 188 Page 39 of 42 Central Contra Costa Sanitary District Resolution No. 2024-020 Page 2 of 2 COUNTERSIGNED: Katie Young, CPMC, CIVIC Secretary of the District Central Contra Costa Sanitary District County of Contra Costa, State of California Approved as to form: J. Leah Castella, Esq. Counsel for the District July 25, 2024 Special Board Meeting Agenda Packet - Page 155 of 188 Page 40 of 42 ATTACHMENT 5 RESOLUTION NO. 2024-021 A RESOLUTION OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT APPROVING THE ENGINEER'S REPORT, ASSESSMENT, AND FINANCING INTEREST RATE AND TERM, AND ORDERING IMPROVEMENT WILLOW DRIVE CONTRACTUAL ASSESSMENT DISTRICT 2022-2 WHEREAS This Board has taken a series of actions preliminary to ordering the improvement in the Willow Drive Contractual Assessment District (CAD) 2022-2, Central San, Contra Costa County. NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Central Contra Costa Sanitary District (Central San) as follows: THAT the Board of Directors adopted a map showing the boundaries of the land potentially benefited by the proposed improvement; and THAT the Board of Directors adopted its Resolution of Intention to order the improvement described therein under the Municipal Improvement Act of 1911, and directed Stephanie Gronlund, Associate Engineer, as the Engineer of Work for the Assessment District, to prepare the report required by Section 5989.22 of the Streets and Highways Code. The improvement is generally described as follows: Construction and installation of approximately 397 linear feet of sanitary sewer line, together with appurtenant work and facilities located in Willow Drive in Danville, California; and THAT after completion of construction of the improvements, Central San shall levy a contractual assessment upon participating parcels within the described Willow Drive CAD in accordance with the CAD Policy, and with the benefit received by each parcel of land, respectively, from the improvement; and THAT the Board of Directors called a public hearing on Willow Drive CAD 2022-2. Notice of the hearing was given by publication and by mailing to affected parcel owners, all according to the Municipal Improvement Act of 1911. Affidavits of publication were filed with the Secretary of the District; and THAT at the time and place for which notice was given, the Board of Directors conducted a public hearing pursuant to Section 5898.26 of the Streets and Highways Code, which included a summary of the Engineer's Report and gave every person present an opportunity to comment on and object to the proposed CAD, the improvements and the extent of the CAD; THAT the Board of Directors further finds that the total value of the ballots submitted opposing the proposed CAD did not exceed the value of the ballots submitted in favor of the CAD and therefore a majority protest does not exist; July 25, 2024 Special Board Meeting Agenda Packet - Page 156 of 188 Page 41 of 42 Central Contra Costa Sanitary District Resolution No. 2024-021 Page 2 of 3 THAT the documents and events described in paragraphs 1 to 4, inclusive, are stated here in tabular form, with their dates and, where appropriate, their numbers. All documents are now on file with Central San except as otherwise noted. Document or Event Date Resolution Number a. Resolution of Intention 8/18/2022 2022-059 b. Resolution Approving Boundary Map 8/18/2022 2022-060 c. Publication of Notice of Improvement 7/5/2024 and -- 7/11 /2024 THAT the Board of Directors approves the Engineer's Report and each component part of it, including each exhibit incorporated by reference in the report; and THAT the Board of Directors finds that the Engineer of Work in the Engineer's Report has fairly and properly apportioned the cost of the improvement to each parcel of land in the CAD in compliance with the agreement between the owners and in proportion to the special benefits derived by each parcel, in relationship to the entirety of the capital cost of the improvement. The Board of Directors hereby confirms and levies each individual assessment as stated in the Engineer's Report; and THAT the Board of Directors confirms an annual interest rate as approved by the Environmental Fees and Charges schedule, of 4.5 percent for assessments financed for up to 10 years on the County property tax bill; and THAT the Board of Directors orders the improvement described in paragraph 2 and as detailed in the Engineer's Report; and THAT according to Section 10603 of the Streets and Highways Code, the Board of Directors designates the Finance Manager to collect and receive payment of the assessments . PASSED AND ADOPTED this 25th of July 2024 by the Board of Directors of Central San by the following vote: AYES: Members: NOES: Members: ABSENT: Members: Mariah N. Lauritzen President of the Board of Directors Central Contra Costa Sanitary District County of Contra Costa, State of California July 25, 2024 Special Board Meeting Agenda Packet - Page 157 of 188 Page 42 of 42 Central Contra Costa Sanitary District Resolution No. 2024-021 Page 3 of 3 COUNTERSIGNED: Katie Young, CPMC, CIVIC Secretary of the District Central Contra Costa Sanitary District County of Contra Costa, State of California Approved as to form: J. Leah Castella, Esq. Counsel for the District July 25, 2024 Special Board Meeting Agenda Packet - Page 158 of 188