Fontana — 2024-05-14

CLOSED SESSION:\nA. 1:00 P.M. CLOSED SESSION\nA. 1. CONFERENCE WITH LABOR NEGOTIATOR PURSUANT 21-3006\nTO GOVERNMENT CODE SECTION 54957.6\nClass & Compensation Study Discussion\nCity Negotiator: Matt Ballantyne, City Manager and Rakesha\nVoss, Director of Human Resources and Risk Management.\n2. CONFERENCE WITH LEGAL COUNSEL - EXISTING\nLITIGATION\n(Gov. Code Section 54956.9(d)(1))\nName of Case: Catalyst - Fontana LLC v. City of Fontana, et\nal Case No. CIVSB2329401\n3. CONFERENCE WITH LEGAL COUNSEL – EXISTING\nLITIGATION\n(Gov. Code Section 54956.9(d)(1))\nName of Case: Planned Parenthood/Orange and San\nBernardino Counties, Inc. vs. City of Fontana

B. Adoption of Ordinance No.1949 (Second Reading), a 21-2993\nDevelopment Agreement with HS Fontana Retail, LLC\nAdoption of Ordinance No. 1949 on Second Reading, Pursuant to an\nExemption from the California Environmental Quality Act, Approving a\nDevelopment Agreement with HS Fontana Retail, LLC, concerning a retail\ncannabis business and Direct Staff to File a Notice of Exemption.

C. Purchase and Sale Agreement - Downtown Fontana 21-2955\nProperty\n1. Approve a Purchase and Sale Agreement for the purchase of property\nlocated at 16710 and 16726 Spring Street, more specifically described as\nAPNs #0191-161-13 and 0191-161-18.\n2. Authorize the City Manager to execute any documents necessary or\nappropriate to effectuate said approvals and/or agreement.

D. Award a Construction Contract for Public Works Concrete 21-2960\nMaintenance Project (PW-24-133-SB)\nApprove and authorize the City Manager to execute a construction contract\nwith We R Builders, Inc. from Glendale CA for the construction of the Public\nWorks Concrete Maintenance Project in the amount of $289,836.00 and\nauthorize a 10% contingency in the amount of $28,983.60

E. Adopt a Resolution for Projects Funded by the Road Repair 21-2968\nand Accountability Act SB 1\nAdopt Resolution No. 2024-019 of the City Council of the City of Fontana to\nincorporate projects funded by SB 1, the Road Repair and Accountability Act\nfor Fiscal Year 2024/2025.

F. Approve a Professional Services Agreement for 21-2986\nArchitectural Design Services for the Forge Studios and\nInnovation Lab Project (DE-24-160-SP)\n1. Approve and authorize the City Manager to execute a Professional\nServices Agreement in a not-to-exceed amount of $467,690.00 with\nDSEA, Inc. for Architectural Design Services for the Forge Studios and\nInnovation Lab Project, Request for Proposals DE-24-160-SP.\n2. Approve and authorize the City Manager to execute future individual\namendments to the Professional Services Agreement not exceeding\n$100,000.00 for the Forge Studios and Innovation Lab Project, Request\nfor Proposals DE-24-160-SP.\n3. Approve and authorize the City Manager to execute any and all utility\nagreements, utility easements, and any related items on behalf of the City\nof Fontana for the Forge Studios and Innovation Lab Project.

G. Approve a Task Order for Geotechnical Engineering and 21-2987\nMaterials Testing Services for the Downtown West Parking\nStructure Project.\n1. Approve and authorize the City Manager to execute a Task Order in a\nnot-to-exceed amount of $321,478.00 with Ninyo & Moore Geotechnical\nand Environmental Sciences Consultants, Inc. for Geotechnical\nEngineering and Material Testing Services for the Downtown West\nParking Structure Project, Request for Proposals SQ-87-DE-19-88.\n2. Approve and authorize the City Manager to execute future individual Task\nOrder Amendments not exceeding $100,000.00 for the Downtown West\nParking Structure Project.\n3. Approve and authorize the City Manager to execute any and all utility\nagreements, utility easements, and any related items on behalf of the City\nof Fontana for the Downtown West Parking Structure Project

H. Final Acceptance of Street, Storm Drain, Sewer, Traffic 21-2988\nSignal, and Signing & Striping Improvements on the\nsouthwest corner of South Highland Avenue and Mango\nAvenue for Tract No. 20441\n1. Accept as complete the street, storm drain, sewer, traffic signal, and\nsigning & striping improvements for Tract No. 20441 located on the\nsouthwest corner of South Highland Avenue and Mango Avenue.\n2. Adopt Resolution No. 2024-020 of the City Council of the City of Fontana\naccepting public sewers in Tract No. 20441 as part of the City sewer\nsystem.

I. Acceptance of Final Map for Tract No. 20512 21-2989\nApprove the Final Map for Tract No. 20512, located on the northeast corner\nof Citrus Avenue and Summit Avenue, and accept easements.

J. Approve a Bond Reduction for Tract No. 17041 - Lot 3 21-2990\n(In-tract Improvements) located within the Citrus Heights\nNorth Specific Plan (Shady Trails).\nApprove a reduction of the Faithful Performance Bond, Labor and Material\nBond, and the Warranty Bond posted by PLC Shady Trails LLC, a Delaware\nLimited Liability Company, for Tract 17041 - Lot 3 in-tract improvements\nconsisting of street, street light, storm drain, and sewer, located within the\nCitrus Heights North Specific Plan (Shady Trails).

K. Police Department Monthly Information Update 21-2995\nAccept the Police Department monthly information update for March 2024.

L. Final Acceptance of the Cypress Center and Knopf Center 21-3000\nTenant Improvements Project.\n1. Accept as complete the work performed by Fidelity Builders for the tenant\nimprovements to the Cypress and Knopf Center Project (PW-24-20-PW)\nand approve the final construction costs of $477,275.50.\n2. Authorize the Public Works Director to file a Notice of Completion and\nrelease the 5% retention.

M. Co-Sponsorship Application Cycle One (1) FY 2024/2025 21-3002\nReview and approve (17) Co-Sponsorships recommended for the first half of\nthe 2024/2025 fiscal year (July 2024 through June 2025) totaling $41,728 in\nin-kind support as recommended by the Parks, Community, and Human\nServices Commission.

A. Fiscal Year 2023-24 Third Quarter Budget Status Report 21-2997\nApprove the recommended Fiscal Year 2023-24 Third Quarter Budget\nadjustments.

B. American Rescue Plan Act Update 21-3004\nReceive update and approve revisions to the American Rescue Plan Act\n(ARPA) Expenditure Plan, including the leveraged projects.

C. Appeal No. 24-002 and Appeal No. 24-005: Requests to 21-2963\noverturn the Planning Commission’s March 19, 2024\ndecision approving Tentative Parcel Map No. 23-012 (TPM\nNo. 20710) and Design Review No. 22-064 along with the\ncertification of a Final Subsequent Environmental Report\nState Clearinghouse Number (SCH No. 2009091089) and\nadoption of a Mitigation, Monitoring, and Reporting\nProgram, for the consolidation of three parcels into one\nparcel and development of an industrial warehouse\nbuilding totaling approximately 881,826 square feet on\napproximately 40.01 acres located at 11115 Hemlock\nAvenue (APNs: 0237-131-25, 0237-131-26, and -27).\n1. Deny Appeal No. 24-002 and Appeal No. 24-005, thereby upholding the\nPlanning Commission’s decision on March 19, 2024, approving Tentative\nParcel Map No. 23-012 (TPM No. 20710) and Design Review No. 22-064\nalong with the certification of a Final Subsequent Environmental Report\n(FSEIR) State Clearinghouse Number (SCH No. 2009091089) and\nadoption of a Mitigation Monitoring and Reporting Program (MMRP) for\nthe consolidation of three parcels into one parcel and development of an\nindustrial warehouse building totaling approximately 881,826 square feet\non approximately 40.01 acres located at 11115 Hemlock Avenue (APNs:\n0237-131-25, 0237-131-26, and -27).\n2. Uphold the Planning Commission decision to certify the FSEIR, SCH No.\n2009091089, and adopt the MMRP and direct staff to file a Notice of\nDetermination.\nAPPELLANTS / APPEAL APPLICANTS:\nAppeal No. 24-002: Golden State Environmental Justice Alliance, PO Box\n79222, Corona, CA 92877\nAppeal No. 24-005: Adams Broadwell Joseph and Cardozo for Californians\nAllied for a Responsible Economy (CARE CA): 601 Gateway Boulevard Ste\n1000, South San Francisco, CA 94080

D. Master Case No. 22-143, Development Agreement (AGR) 21-2923\nNo. 24-002: An Ordinance of the City Council of the City of\nFontana, California, approving, pursuant to the certified\nFinal Subsequent Environmental Impact Report, a\nDevelopment Agreement with Prologis Exchange 11115\nHemlock Avenue LLC, providing for an extended\nentitlement timing and enhanced environmental measures\nfor an approved industrial commerce center development\nof approximately 881,826 square feet on approximately\n40.01 acres, and directing staff to File a Notice of\nDetermination.\nBased on the information in the staff report and subject to the findings,\nconclusions, and information in the staff report and presented in the public\nhearing, staff recommends that the City Council:\n1. Find that the project has been reviewed under a previously certified Final\nSubsequent Environmental Impact Report (State Clearinghouse No.\n2009091089), pursuant to Section 15162 through 15164 of the California\nEnvironmental Quality Act (CEQA) Guidelines and Section 8.10 of the\nCity of Fontana’s 2019 Local Guidelines for Implementing CEQA and that\nno further analysis is required, and direct staff to file a Notice of\nDetermination; and\n2. Read by title only and waive further reading of and introduce Ordinance\nNo. 1950, an Ordinance of the City Council of the City of Fontana,\npursuant to the certified Final Subsequent Environmental Impact Report\n(SCH 2009091089) for the project, approving Development Agreement\n(AGR) No. 24-002 between the City of Fontana and Prologis Exchange\n11115 Hemlock Avenue LLC, which provides for extended entitlement\ntiming and enhanced environmental measures for an approved industrial\ncommerce center development of approximately 881,826 square feet on\napproximately 40.01 acres.

E. Master Case No. 24-019 and Municipal Code Amendment 21-2924\nNo. 24-001: Fontana Municipal Code amendments to\nChapter 30 (Zoning and Development Code), pursuant to a\ncategorical exemption in accordance with CEQA\nGuidelines section 15060(c) and 15061(B)(3).\n1. Determine that this project is Categorically Exempt pursuant Sections\n15060(c), 15061(B)(3) (the “common-sense” exemption), and 15378 and\nSections No. 3.01, 3.22, and 10.59 of the 2019 Local Guidelines for\nImplementing CEQA, and direct staff to file a Notice of Exemption; and,\n2. Read by title only and waive further reading of and introduce Ordinance\nNo. 1951, an Ordinance of the City Council of the City of Fontana\napproving Master Case No. 24-019 and Municipal Code Amendment No.\n24-001 to amend multiple sections of Chapter 30 of the Fontana Zoning\nand Development Code, including amendments to sections 30-41, 30-43,\n30-80, 30-215, 30-217, 30-302.2, and 30-643 to remove references to the\nDevelopment Advisory Board; Sections 30-285 and 30-294 to correct\nnoticing verbiage related to Tentative Maps; Sections 30-362 through 30-\n370 and 30-378 through 30-380 to remove Form Based Code maximum\nlot dimensions and add language to allow common and public open\nspace for projects over two acres in the Form Base Code; Section 30-404\nto provide common open space amenity options; Section 30-467 to\nremove ADU owner occupancy requirements consistent with state law;\nand Section 30-530 to remove certain “all other” use categories permitted\nin industrial zoning districts; and the reading of the title constitutes the first\nthereof.

F. Public Hearing on Formation of Community Facilities 21-3001\nDistrict No. 113 (The Gardens Phase Two)\n1. Adopt Resolution No. 2024-022, of the City Council of the City of\nFontana of formation of the City of Fontana Community Facilities District\nNo. 113 (The Gardens Phase Two), authorizing the levy of a special tax\nwithin the community facilities district and establishing an appropriations\nlimit for the community facilities district.\n2. Adopt Resolution No. 2024-023, of the City Council of the City of\nFontana deeming it necessary to incur bonded indebtedness within the\nCity of Fontana Community Facilities District No. 113 (The Gardens\nPhase Two).\n3. Adopt Resolution No. 2024-024, of the City Council of the City of\nFontana calling special election for City of Fontana Community Facilities\nDistrict No. 113 (The Gardens Phase Two).\n4. Adopt Resolution No. 2024-025, of the City Council of the City of\nFontana declaring results of special election and directing the recording of\nnotice of special tax lien.\n5. Read by title only and waive further reading of and introduce Ordinance\nNo. 1952 levying special taxes within the City of Fontana Community\nFacilities District No. 113 (The Gardens Phase Two); and that the reading\nof the title constitutes the first reading thereof.\n6. Adopt Resolution No. 2024-026, of the City Council of the City of\nFontana authorizing the execution and delivery of Joint Community\nFacilities Agreements.\n7. Adopt Resolution No. 2024-027, of the City Council of the City of\nFontana authorizing the execution and delivery of a Letter of Credit\nAgreement and an Acquisition and Funding Agreement.

G. Public Hearing, Election, and Resolutions on Formation of 21-3003\nCommunity Facilities District No. 114M (Tract 20512)\nImmediately after conducting a Public Hearing on the formation of the City of\nFontana Community Facilities District No. 114M (the “District” or “Community\nFacilities District No. 114M”), staff recommends the City Council take the\nfollowing actions in the following order:\n1. Adopt Resolution No. 2024-028, Establishing the City of Fontana\nCommunity Facilities District No. 114M (the “Resolution of Formation”).\n2. Adopt Resolution No. 2024-029, Calling a Special Election and\nSubmitting to the Voters of Community Facilities District No. 114M a\nProposition with Respect to the Annual Levy of Special Taxes within\nCommunity Facilities District No. 114M to Pay the Costs of Certain\nServices to be Provided by Community Facilities District No. 114M and a\nProposition with Respect to the Establishment of an Appropriations Limit\nfor Community Facilities District No. 114M (the “Resolution Calling the\nElection”).\n3. Conduct the Special Election.\n4. Adopt Resolution No. 2024-030, Declaring the Results of the Special\nElection for Community Facilities District No. 114M on the Propositions\nwith Respect to (i) the Annual Levy of Special Taxes to Pay the Costs of\nCertain Services to be provided by Community Facilities District No. 114M\nand (ii) the establishment of an appropriations limit (the “Resolution\nDeclaring Election Results”).\n5. Conduct First Reading (Read title only, and waive further reading) of\nOrdinance No. 1953, Authorizing the Levy of a Special Tax within\nCommunity Facilities District No. 114M (the “Ordinance”).