Tustin — 2025-06-03

1.\nCONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION Significant exposure to litigation pursuant to Government Code §\n54956.9(d)(2): (2 cases)

2.\nCONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION Initiation of litigation pursuant to Government Code § 54956.9(d)(4): (2\ncases)

3.\nCONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION –\nSignificant exposure to litigation pursuant to Government Code §\n54956.9(d)(2): (1 case) – related to the fire at the North Hangar owned by\nthe Navy and the release of hazardous materials therefrom

4.\nLIABILITY CLAIM - [Government Code § 54956.95] Claimant: The Center\nfor Toxicology and Environmental Health, L.L.C Agency claimed against:\nCity of Tustin

5.\nCONFERENCE WITH REAL PROPERTY NEGOTIATORS – Government\nCode § 54956.8: (1 case)\nA.\nProperty Address/Description APN 430-481-13, 430-481-14, 430481-15 Agency City of Tustin City Negotiators Aldo E. Schindler, City\nManager; Nicole Bernard, Assistant City Manager; Brian Moncrief,\nDeputy City Manager; Ryan Swiontek, Deputy Director of Real\nProperty; Kenneth Piguee, Real Property Manager Negotiating\nParties Mariners Church Under Negotiation Price and Terms of\nPayment

10.\nADOPTION OF FISCAL YEAR 2025-2026 BUDGET AND GANN\nAPPROPRIATION LIMIT As directed by the City Council at the May 20,\n2025 budget workshop, the Proposed Biennial Operating Budget and\nCapital Improvement Program for Fiscal Years 2025-2026 and 2026-2027,\nreflect the objectives of the 10-year Fiscal Sustainability Strategy\nnecessary for the City to achieve its goal of operating with a structurally\nbalanced budget. The Proposed Budget allocates resources to support\nthe City Council’s priorities and maintains a 20% General Fund Reserve\nlevel for Fiscal Years 2025-2026 and 2026-2027.\nRecommendation: Staff recommends that the City Council: 1. Adopt\nResolution No. 25-45, Adopting the first year (Fiscal Year 2025-2026) of\nthe 2025-2027 Biennial Budget and Related Documents for Fiscal Year\n2025-2026; 2. Select the price factor for adjusting the Fiscal Year 20252026 GANN Appropriation Limit; 3. Adopt Resolution No. 25-41 setting the\nappropriation limit for the Fiscal Year 2025-2026 at $131,615,075; 4.\nAdopt Tustin Housing Authority Resolution No. 25-03, Adopting the\nHousing Authority Budget for Fiscal Year 2025-2026; and 5. Adopt\nResolution No. 25-39, Updating the Citywide Salary Schedule and the\nPosition Control Schedule consistent with the Proposed Budget for Fiscal\nYear 2025-2026. RESOLUTION NO. 25-45 A RESOLUTION OF THE\nCITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, ADOPTING\nTHE FIRST YEAR (FISCAL YEAR 2025-2026) OF THE 2025-2027\nBIENNIAL BUDGET AND RELATED DOCUMENTS FOR FISCAL YEAR\n2025-2026 RESOLUTION NO. 25-41 A RESOLUTION OF THE CITY\nCOUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, DETERMINING\nAND ADOPTING AN APPROPRIATION LIMIT FOR THE FISCAL YEAR\n2025-2026 IN ACCORDANCE WITH ARTICLE XIII B OF THE\nCONSTITUTION OF THE STATE OF CALIFORNIA, AND SECTION 7910\nOF THE GOVERNMENT CODE TUSTIN HOUSING AUTHORITY\nRESOLUTION NO. 25-03 A RESOLUTION OF THE TUSTIN HOUSING\nAUTHORITY OF THE CITY OF TUSTIN, CALIFORNIA, ADOPTING THE\nHOUSING AUTHORITY BUDGET FOR THE FISCAL YEAR 2025-2026\nRESOLUTION NO. 25-39 A RESOLUTION OF THE CITY COUNCIL OF\nTHE CITY OF TUSTIN, CALIFORNIA, UPDATING THE CITYWIDE\nSALARY SCHEDULE AND THE POSITION CONTROL SCHEDULE\nFiscal Impact: The proposed budget for Fiscal Year 2025-2026 allocates\nresources to support delivery of citywide public services and maintains a\n20% General Fund Reserve level for Fiscal Years 2025-2026 and 20262027.

3.\nRATIFICATION OF PAYROLL AND DEMANDS The City Council has\napproved the use of Government Code Section 37208 to expedite the\npayment of City of Tustin obligations that are in accordance with the\napproved budget or continued operations authorizations.\nRecommendation: It is recommended that the City Council approve\nPayroll in the amount of $1,046,371.36 and Demands in the amount of\n$5,969,536.75.

4.\nSECOND READING AND ADOPTION OF ORDINANCE NO. 1567 REPEAL TUSTIN CITY CODE PROVISIONS REGARDING BICYCLE\nREGISTRATIONS Adoption of Ordinance No. 1567 repeals bicycle\nregistration provisions in Tustin City Code sections 5400 - 5411.\nRecommendation: That the City Council have second reading by title only\nand adoption of Ordinance No. 1567. ORDINANCE NO. 1567 AN\nORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUSTIN\nREPEALING CHAPTER 4 OF ARTICLE 5 OF THE TUSTIN CITY CODE\nCONCERNING BICYCLE REGISTRATION. Fiscal Impact: There is no\nfiscal impact associated with this item.

5.\nAMENDMENT NO. 16 TO CONSULTANT SERVICES AGREEMENT\nWITH\nSO\nCAL\nSANDBAGS\nINC\nFOR\nPROPERTY\nMANAGEMENT/CARETAKER SERVICES AT TUSTIN LEGACY\nAmendment to existing Consultant Services Agreement with So Cal\nSandbags, Inc.\nRecommendation: It is recommended that the City Council authorize the\nCity Manager to execute Amendment No. 16 to the Consultant Services\nAgreement with So Cal Sandbags, Inc.Fiscal Impact: The cost of the\nConsultant Services Agreement will not exceed $528,000 in Fiscal Year\n2025-2026. The proposed budget for Fiscal Year 2025–2026 allocates\n$528,000 for Tustin Legacy property management, providing adequate\nfunding pending budget approval.

6.\nAWARD OF CONTRACT FOR CUSTODIAL MAINTENANCE SERVICES\nStaff is requesting the City Council award a contract for custodial\nmaintenance services at various City buildings and park restrooms to\nExecutive Facility Services, Inc. The contract will provide for all daily and\nperiodic custodial needs for Fiscal Years 2025-2027, with the option of\nthree (3), one-year extensions through June 30, 2030.\nRecommendation: It is recommended that the City Council award a\nCustodial Maintenance Services Contract to Executive Facility Services,\nInc., and authorize the Mayor and the City Clerk to execute the contract\ndocuments on behalf of the City.Fiscal Impact: The proposal submitted by\nExecutive Facility Services, Inc. includes an annual cost of $792,999.60\nbetween July 1, 2025 and June 30, 2026. Funding has been requested in\nthe Fiscal Year 2025-2026 Public Works Operating Budget. Future\ncontract price adjustments may be considered each year per the contract\nterms, which cannot exceed the annual Consumer Price Index.

7.\nCONDUCT PUBLIC HEARING TO CONSIDER THE LEVYING OF\nANNUAL ASSESSMENTS FOR THE TUSTIN LANDSCAPE AND\nLIGHTING DISTRICT FOR FISCAL YEAR 2025-2026 The Tustin\nLandscape and Lighting District Engineer’s Report was completed and\napproved by the City Council at their May 6, 2025, meeting. At that\nmeeting, the City Council declared its intention to levy annual\nassessments and set a public hearing for June 3, 2025. To levy the annual\nassessments, the City Council is required to conduct a public hearing and,\nprovided there is no majority protest, adopt Resolution No. 25-35\nconfirming the annual assessments for Fiscal Year 2025-2026.\nRecommendation: 1. Conduct a public hearing to receive testimony on the\nproposed levy of annual assessments for the Tustin Landscape and\nLighting District for Fiscal Year 2025-2026; and 2. Adopt Resolution No.\n25-35 confirming the annual assessments for Fiscal Year 2025-2026.\nRESOLUTION NO. 25-35 A RESOLUTION OF THE CITY COUNCIL OF\nTHE CITY OF TUSTIN, CALIFORNIA CONFIRMING THE LEVY OF\nANNUAL ASSESSMENTS FOR THE LANDSCAPE MAINTENANCE AND\nPUBLIC STREET LIGHTING EXPENSES IN THE TUSTIN RANCH AREA\nWITHIN THE BOUNDARIES OF THE TUSTIN LANDSCAPE AND\nLIGHTING DISTRICT FOR FISCAL YEAR 2025-2026 Fiscal Impact:\nLandscape maintenance and public street lighting expenses within the\nTustin Ranch area are recovered through the levy of the annual\nassessments for the Tustin Landscape and Lighting District and a General\nBenefit Contribution. The proposed Fiscal Year 2025-2026 budget is\n$931,800, with proposed assessments of $841,739, including City-paid\nassessments totaling $14,110.85 for parkland and facilities, which will be\npaid through the City's General Fund. The Engineer's Report calculates a\nGeneral Benefit Contribution of $90,061, which is also paid through the\nCity's General Fund operating budget.

8.\nCOMPASS AT RED HILL BY MERITAGE HOMES, INC. – A 73 UNIT\nCONDOMINIUM PROJECT The applicant, Meritage Homes, Inc., is\nrequesting approval to construct a residential development project that\nwould include 73 condominium units, four of which will be set aside as\naffordable units on approximately 3.4 acres site located at 13751 and\n13841 Red Hill Avenue. The Planning Commission held a public hearing\non May 13, 2025, and adopted Resolution Nos. 4526 and 4527,\nrecommending that the City Council approve the proposed project.\nRecommendation: That the City Council adopt Resolution 25-43\n(Attachment 7) approving Residential Allocation Reservation 2025-0001,\nDesign Review 2024-0014, Subdivision 2024-0005/Tentative Tract Map\nNo. 19361, Density Bonus Requests; and adopt Ordinance 1566\n(Attachment 8) approving Development Agreement 2024-0004.\nRESOLUTION NO. 25-43 A RESOLUTION OF THE CITY COUNCIL OF\nTHE CITY OF TUSTIN, CALIFORNIA, APPROVING RESIDENTIAL\nALLOCATION RESERVATION (RAR) 2025-0001, DESIGN REVIEW (DR)\n2024-0014, SUBDIVISION (SUB) 2024-0005/ TENTATIVE TRACT MAP\n(TTM) NO. 19361, DENSITY BONUS REQUEST TO CONSTRUCT A\nNEW RESIDENTIAL CONDOMINIUM DEVELOPMENT PROJECT THAT\nWOULD INCLUDE 73 RESIDENTIAL CONDOMINIUM UNITS IN NINE\nBUILDINGS, INCLUDING FOUR AFFORDABLE UNITS, ON\nAPPROXIMATELY 3.39 ACRES AT 13751 AND 13841 RED HILL\nAVENUE Fiscal Impact: There is no fiscal impact associated with this\nitem.

9.\nAPPROVAL OF ORDINANCE TO ADOPT 2025 FIRE HAZARD\nSEVERITY ZONE MAPS Government Codes 51178 and 51179 require\nthe California Department of Forestry and Fire Protection (CAL FIRE)\nOffice of the State Fire Marshal to identify fire hazard severity zones\n(FHSZ) and to transmit them to local agencies, which are then required to\ndesignate the fire hazard severity zones by ordinance. Cities must adopt\nthese maps with the designations within 120 days of receiving the\ntransmitted designations from CAL FIRE. On March 24, 2025, CAL FIRE\nissued a letter and published new maps identifying FHSZ within the Local\nResponsibility Area (LRA), including the City of Tustin. The State Fire\nMarshal identified the levels of fire hazards based on statewide criteria\nand the expected severity of fire hazards.\nRecommendation: Introduce and have the first reading by title only of\nOrdinance No. 1568 entitled: AN ORDINANCE OF THE CITY COUNCIL\nOF THE CITY OF TUSIN DESIGNATING MODERATE, HIGH, AND VERY\nHIGH FIRE HAZARD SEVERITY ZONES IN THE LOCAL\nRESPONSIBILITY AREAS IN ACCORDANCE WITH GOVERNMENT\nCODE SECTION 51179. ORDINANCE NO. 1568 AN ORDINANCE OF\nTHE CITY COUNCIL OF THE CITY OF TUSTIN DESIGNATING THE\nSTATE FIRE MARSHAL’S 2025 LOCAL RESPONSIBILITY AREA FIRE\nHAZARD SEVERITY ZONES AS REQUIRED BY CALIFORNIA LAW\nFiscal Impact: There is no fiscal impact associated with this item.