The URL can be used to link to this page

Home My WebLink AboutTC Agd Pkt 2021-11-17 TOWN OF TIBURON Tiburon Town Hall 1505 Tiburon Boulevard Tiburon, CA 94920 Tiburon Town Council November 17, 2021 Regular Meeting 5:00 P.M. TIBURON TOWN COUNCIL AGENDA CORONAVIRUS (COVID-19) ADVISORY NOTICE Consistent with Government Code section 54953(e), the Town Council meeting will not be physically open to the public and all Council Members will be teleconferencing into the meeting. To maximize public safety while still maintaining transparency and public access, members of the public can access the meeting by following the meeting live at: Audio/Video Webinar: https://us06web.zoom.us/j/87197519746 Webinar ID: 871 9751 9746 Call-in Number: +1 669 900 6833 Access Code: 871 9751 9746 Instructions for providing public comment live during the meeting using Zoom are linked on the Town’s website and to this agenda. Members of the public may provide public comment by sending comments to the Town Clerk by email at comments@townoftiburon.org. Comments received prior to the start of the Council meeting will be distributed electronically to the Town Council and posted on the Town’s website. Comments received after the start time of the Council meeting, but prior to the close of public comment period for an item, will then be read into the record, with a maximum allowance of 3 minutes per individual comment, subject to the Mayor’s discretion. All comments read into the record should be a maximum of 500 words, which corresponds to approximately 3 minutes of speaking time. If a comment is received after the agenda item is heard but before the close of the meeting, the comment will still be included as a part of the record of the meeting but will not be read into the record. Any member of the public who needs accommodations should email or call the Town Clerk who will use their best efforts to provide reasonable accommodations to provide as much accessibility as possible while also maintaining public safety in accordance with the Town’s procedure for resolving reasonable accommodation requests. All reasonable accommodations offered will be listed on the Town’s website at www.townoftiburon.org. REGULAR MEETING – 5:00 P.M. CALL TO ORDER AND ROLL CALL Councilmember Fredericks, Councilmember Ryan, Vice Mayor Welner, Mayor Thier ORAL COMMUNICATIONS Persons wishing to address the Town Council on subjects not on the agenda may do so at this time. Please note however, that the Town Council is not able to undertake extended discussion or action on items not on the agenda. Matters requiring action will be referred to the appropriate Commission, Board, Committee or staff for consideration or placed on a future Town Council meeting agenda. Please limit your comments to three (3) minutes. CLOSED SESSION 1. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION Initiation of litigation pursuant to Government Code Section 54956.9(d)(4): (One potential case) 2. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION Significant exposure to litigation pursuant to Paragraph (2) of Subdivision (d) of Government Code Section 54956.9: (One potential case) Claims filed by Yema Khalif and Hawi Awash on January 25, 2021 on file with the Town Clerk’s Office ANNOUNCEMENT OF ACTION TAKEN IN CLOSED SESSION, IF ANY CONSENT CALENDAR All items on the Consent Calendar may be approved by one motion of the Town Council unless a request is made by a member of the Town Council, public or staff to remove an item for separate discussion and consideration. If you wish to speak on a Consent Calendar item, please seek recognition by the Mayor and do so at this time. CC-1. Town Council Minutes – Adopt minutes for October 28, 2021 Town Council special meeting (Department of Administrative Services) CC-2. Town Council Minutes – Adopt minutes for November 3, 2021 Town Council special and regular meetings (Department of Administrative Services) CC-3. 4916 Ranch Road – Adopt ordinance prezoning 4916 Ranch Road to RO-2 (Residential Open) zoning district (Community Development Department) PUBLIC HEARINGS PH-1. Municipal Code Amendments – Consider amendments to Chapter 26 (Solid Waste Storage, Collection and Disposal) of the Town’s Municipal Code related to the implementation of SB 1383 that would enable the Town to require and enforce provisions of SB 1383 – Introduction and first reading of ordinance (Department of Public Works) DISCUSSION ITEMS D-1. Town Council Retreat – Review of Capital Projects List and Prioritization for FY 2022 D-2. Town Council Retreat – Review of American Rescue Plan Funding, Review of Town Proposed Expenditures for Reimbursement, Review of Allowed Expenditures for Funding, TOWN COUNCIL REPORTS TOWN MANAGER REPORT ADJOURNMENT GENERAL PUBLIC INFORMATION ASSISTANCE FOR PEOPLE WITH DISABILITIES In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the Town Clerk at (415) 435- 7377. Notification 48 hours prior to the meeting will enable the Town to make reasonable arrangements to ensure accessibility to this meeting. AVAILABILITY OF INFORMATION Copies of all agenda reports and supporting data are available for viewing and inspection at Town Hall and at the Belvedere-Tiburon Library located adjacent to Town Hall. Agendas and minutes are posted on the Town’s website, www.townoftiburon.org. Upon request, the Town will provide written agenda materials in appropriate alternative formats, or disability-related modification or accommodation, including auxiliary aids or services, to enable individuals with disabilities to participate in public meetings. Please send a written request, including your name, mailing address, phone number and brief description of the requested materials and preferred alternative format or auxiliary aid or service at least 5 days before the meeting. Requests should be sent to the Office of the Town Clerk at the above address. PUBLIC HEARINGS Public Hearings provide the general public and interested parties an opportunity to provide testimony on these items. If you challenge any proposed action(s) in court, you may be limited to raising only those issues you or someone else raised at the Public Hearing(s) described later in this agenda, or in written correspondence delivered to the Town Council at, or prior to, the Public Hearing(s). TIMING OF ITEMS ON AGENDA While the Town Council attempts to hear all items in order as stated on the agenda, it reserves the right to take items out of order. No set times are assigned to items appearing on the Town Council agenda. Page 1 of 2 Tiburon Town Council Minutes #20-2021 DRAFT October 28, 2021 TOWN COUNCIL SPECIAL MEETING DRAFT MINUTES Consistent with Government Code section 54953(e), councilmembers attended this meeting by teleconference. Members of the public were invited to participate in the meeting by live-streaming the meeting on the Town’s website and submitting comments to comments@townoftiburon.org to be included in the public record for the meeting. SPECIAL MEETING – 4:00 P.M. Mayor Thier called the special meeting of the Tiburon Town Council to order at 4:00 p.m. on Wednesday, October 28, 2021. CALL TO ORDER AND ROLL CALL PRESENT: COUNCILMEMBERS: Fredericks, Ryan, Thier, Welner ABSENT: COUNCILMEMBERS: One Vacant Seat PRESENT: EX OFFICIO: Town Manager Chanis, Town Attorney Stock, Director of Community Development Tasini, Director of Administrative Services Creekmore, Town Clerk Stefani ORAL COMMUNICATIONS There were none. ACTION ITEMS AI-1. Pilot Late Night Ferry Service Program – Review and consider approval to the Draft Term Sheet for an Agreement to provide a Town contribution in an amount not to exceed $298,000 over a two-year period for a pilot late night ferry service. Public comment was received by: Richard Snyder and Diane Lynch believed AC Ventures should contribute more to the subsidy. Stephanie Fermin of Destination Tiburon spoke in favor of the proposal. MOTION: To adopt the Draft Term Sheet, as amended. Moved: Thier, seconded by Ryan VOTE: AYES: Fredericks, Ryan, Thier, Welner ABSENT: One Vacant Seat CC-1 DR A F T Page 2 of 2 Tiburon Town Council Minutes #20-2021 DRAFT October 28, 2021 AI-2. Sustainability Element in General Plan – Consider directing staff to work with General Plan Update consultant to develop a scope and cost proposal to add a separate Sustainability Element to the General Plan. Public comment was received by Sanna Thomas and Pat Goss, who both spoke in favor of adding a separate Sustainability Element to the General Plan. MOTION: To direct staff to work with the General Plan update consultant to develop a scope and cost proposal to add a separate Sustainability Element to the Town’s General Plan. Moved: Welner, seconded by Thier VOTE: AYES: Fredericks, Ryan, Thier, Welner ABSENT: One Vacant Seat CLOSED SESSION CONFERENCE WITH LABOR NEGOTIATORS Town designated representatives: (Director of Administrative Services Suzanne Creekmore, Town Manager Greg Chanis) Employee organization: (Tiburon Police Officers Association and Service Employees International Union) ANNOUNCEMENT OF ACTION TAKEN IN CLOSED SESSION, IF ANY No reportable action. ADJOURNMENT There being no further business before the Town Council of the Town of Tiburon, Mayor Thier adjourned the meeting at 6:00 p.m. HOLLI THIER, MAYOR TOWN OF TIBURON ATTEST: LEA STEFANI, TOWN CLERK DR A F T Page 1 of 3 Tiburon Town Council Minutes #21-2021 DRAFT November 3, 2021 TOWN COUNCIL SPECIAL & REGULAR MEETINGS DRAFT MINUTES Consistent with Government Code section 54953(e), councilmembers attended this meeting by teleconference. Members of the public were invited to participate in the meeting by live-streaming the meeting on the Town’s website and submitting comments to comments@townoftiburon.org to be included in the public record for the meeting. SPECIAL MEETING – 4:45 P.M. Mayor Thier called the special meeting of the Tiburon Town Council to order at 4:45 p.m. on Wednesday, November 3, 2021. PRESENTATION P-1. Mayor’s Proclamation – The Bungalow Kitchen by Michael Mina Grand Opening ADJOURNMENT – to regular meeting REGULAR MEETING – 5:00 P.M. Mayor Thier called the regular meeting of the Tiburon Town Council to order at 5:00 p.m. on Wednesday, November 3, 2021. CALL TO ORDER AND ROLL CALL PRESENT: COUNCILMEMBERS: Fredericks, Ryan, Thier, Welner ABSENT: COUNCILMEMBERS: One Vacant Seat PRESENT: EX OFFICIO: Town Manager Chanis, Town Attorney Stock, Director of Community Development Tasini, Director of Administrative Services Creekmore, Town Clerk Stefani ORAL COMMUNICATIONS Councilmember Fredericks requested a future agenda item for the Town Council to consider commenting on redistricting together as a Council or alternatively, she recommended the Council members consider writing individual letters on the matter. PRESENTATION P-1. California Senator McGuire – Senator McGuire will present on current activities at theState Senate and answer questions from the Council. CC-2 DR A F T Page 2 of 3 Tiburon Town Council Minutes #21-2021 DRAFT November 3, 2021 P-2. Destination Tiburon – Tiburon Trolley CONSENT CALENDAR CC-1. Town Council Minutes – Adopt minutes for October 20, 2021 Town Council special and regular meetings (Department of Administrative Services) CC-2. Investment Summary – Adopt investment summary for month ending September 30, 2021 (Department of Administrative Services) CC-3. Teleconference Meetings – Adopt resolution that would allow the Town to continue to operate virtual board meetings in accordance with AB 361 (Department of Administrative Services) CC-4. Special Vacancy on Town Boards & Commissions – Announce special vacancy on the Heritage & Arts Commission (Department of Administrative Services) CC-5. 2022 Various Streets Project Design/Engineering – Award design contract for 2022 Various Streets Project to Pavement Engineering Incorporated (PEI) (Department of Public Works) MOTION: To adopt Consent Calendar Items No. 1-5, as written. Moved: Fredericks, seconded by Thier VOTE: AYES: Fredericks, Ryan, Thier, Welner ABSENT: One Vacant Seat ACTION ITEMS AI-1. Purchase & Sale Agreement – Consider approval of purchase and sales agreement to acquire real property owned by Richardson Bay Sanitation District for $600,000 and authorization of the Town Manager to execute the Agreement (Office of the Town Manager) MOTION: To approve the Purchase and Sales Agreement and authorize the Town Manager to execute the agreement once finalized. Moved: Thier, seconded by Welner VOTE: AYES: Fredericks, Ryan, Thier, Welner ABSENT: One Vacant Seat PUBLIC HEARINGS PH-1. 4916 Ranch Road – Consider adoption of an ordinance that would prezone four unincorporated parcels of property located near 4916 Ranch Road to Residential Open (RO-2) zone – Introduction and first reading of ordinance (Community Development Department) DR A F T Page 3 of 3 Tiburon Town Council Minutes #21-2021 DRAFT November 3, 2021 Public comment was received by Jacqueline Bos, applicant, who spoke in support of the proposal. MOTION: To introduce the ordinance and read by title only, waiving further readings, and to schedule for adoption at the next regular meeting of the Town Council. Moved: Thier, seconded by Ryan Mayor Thier read “An Ordinance of the Town Council of the Town of Tiburon Prezoning Certain Unincorporated Territory Located At and In Vicinity of 4916 Ranch Road (Assessor Parcel No. 038-053-17, 038-061-14, 038-061-30 and 038-061-27) Located Within the Tiburon Planning Area and Town of Tiburon Sphere of Influence to RO-2 (Residential Open) Zoning District”. VOTE: AYES: Fredericks, Ryan, Thier, Welner ABSENT: One Vacant Seat TOWN COUNCIL REPORTS Councilmember Fredericks reported that a public hearing would take place on Friday 11/5 to set the rates on the San Francisco to Angel Island ferry route. TOWN MANAGER REPORT None. ADJOURNMENT There being no further business before the Town Council of the Town of Tiburon, Mayor Thier adjourned the meeting at 5:50 p.m. HOLLI THIER, MAYOR TOWN OF TIBURON ATTEST: LEA STEFANI, TOWN CLERK DR A F T TOWN OF TIBURON PAGE 1 OF 2 STAFF REPORT To: Mayor and Members of the Town Council From: Department of Community Development Subject: Recommendation to Approve final adoption of Ordinance No. ____: Adoption of an ordinance prezoning certain unincorporated territory located at and in the vicinity of 4916 Ranch Road to RO-2 (Residential Open) zoning district; Assessor Parcel Nos. 038-053-17, 038-061-14, 038-061-30 and 038-061-27916 Ranch Road (Assessor Parcel No. 038-142-02) Reviewed By: _________ Greg Chanis, Town Manager ________ Benjamin Stock, Town Attorney SUMMARY Adopt the attached Ordinance for the prezoning of the property located at 4916 Ranch Road currently within an unincorporated territory to RO-2 (Residential Open) RECOMMENDED ACTION(S) 1. Motion to adopt Ordinance and waive any further readings. BACKGROUND The Town Council passed first reading of this ordinance following a public hearing on November 3, 2021, waiving any further readings. The Town Council received a staff and applicant presentation, and public comment. After closing the public hearing, the Town Council voted 4-0, to waive additional readings and set the ordinance for adoption at the next regular meeting of the Council. The item now comes before the Town Council for final approval and adoption. This is a consent calendar item. The Council’s motion to adopt this item on the consent calendar will constitute a motion to confirm the waiver of second reading from the previous meeting and adopt the ordinance. Each Councilmember’s vote on the motion to approve this item on the consent calendar will constitute the equivalent of a roll call vote and will be recorded within the ordinance. Should any Councilmember choose to vote differently on this item than other items (if any) on the consent calendar, then the vote on this item should be taken separately from other items appearing on the Consent Calendar such that individual votes may be properly recorded. TOWN OF TIBURON 1505 Tiburon Boulevard Tiburon, CA 94920 Town Council Meeting November 17, 2021 Agenda Item: CC-3 Town Council Meeting November 17, 2021 TOWN OF TIBURON PAGE 2 OF 2 ANALYSIS On November 3, 2021, the Town Council held a public hearing to consider an ordinance to prezone the property located at 4916 Ranch Road. The Town Council found that the prezoning is consistent with the General Plan and any other plans, will not be detrimental to the public health, safety and welfare of the town and is consistent with the Municipal Code. FINANCIAL IMPACT Staff anticipates no significant fiscal impact to the Town. Beginning with the effective fiscal year of annexation, base property tax revenue will be credited to the Town in an amount equal to 29.5 percent of base property tax revenue held in the County General Fund. This is based on a master agreement with the County of Marin that has been in place since the 1990s. ENVIRONMENTAL REVIEW The prezoning action is considered a “project” under the California Environmental Quality Act (CEQA). Approval of this prezoning application is exempt from the California Environmental Quality Act (CEQA) as outlined in section 15061 (b)(3), which provides that a project is exempt if “[t]he activity is covered by the common sense exemption that CEQA applies only to projects, which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.” Here, as the prezoning will not include any new development and will only assign a residential zoning designation that is consistent with the existing use of the subject area and with the Tiburon General Plan land use designation, the prezoning application will not have a significant effect on the environment. Project level environmental review will be necessary for new development proposal associated with individual parcels. RECOMMENDATION Staff recommends that the Town Council: 1. Move to waive a second reading of Ordinance No.____ and adopt the ordinance. Exhibit(s): 1. Draft Ordinance No. ______ Prepared By: Dina Tasini, Director of Community Development EXHIBIT 1 Exhibit 1 TIBURON TOWN COUNCIL Draft Ordinance No. XXX N.S., adopted xxxxxxx, 2021 1 ORDINANCE NO. XXX N.S. AN ORDINANCE OF THE TOWN COUNCIL PREZONING CERTAIN UNINCORPORATED TERRITORY LOCATED AT AND IN VINICITY OF 4916 RANCH ROAD (ASSESSOR PARCEL NO. 038-053-17, 038-061-14, 038-061-30 and 038-061-27) LOCATED WITHIN THE TIBURON PLANNING AREA AND TOWN OF TIBURON SPHERE OF INFLUENCE TO RO-2 (RESIENTIAL OPEN) ZONING DISTRICT 4916 RANCH ROAD ASSESSOR PARCEL NO. 038-053-17, 038-061-14, 038-061-30 and 038-061-27 The Town Council of the Town of Tiburon does ordain as follows: SECTION 1. RECITALS. 1. The Town of Tiburon is in receipt of an application (File #PZ2021-001), filed by Jacqueline Bos and Eric McCrath Revocable Living Trust, owner of the subject properties, to prezone four parcels (APN 038-053-17, 038-061-14, 038-061-30 and 038-061-27), in a total of 10.45 acres, located at and in vicinity of 4916 Ranch Road within the unincorporated portion of the Town of Tiburon Sphere of Influence and Tiburon Planning Area. 2. On September 8, 2021, the Planning Commission held a duly noticed and advertised public meeting, after receiving public testimony, voted to recommend that the Town Council approve the prezoning for reasons set forth in Planning Commission Resolution No. 2021-005. 3. The Town Council held one or more duly noticed public hearings at which testimony was received and considered from interested persons. The Town Council also received and considered the report and recommendations of the Planning Commission. SECTION 2: FINDINGS. 1. The Town Council finds that the prezoning application is exempt from the California Environmental Quality Act (CEQA) as outlined in section 15061 (b)(3), which provides that a project is exempt if “[t]he activity is covered by the common sense exemption that CEQA applies only to projects, which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.” Here, as the prezoning will not include any new development and will only assign a residential zoning designation that is consistent with the existing use of Exhibit 1 TIBURON TOWN COUNCIL Draft Ordinance No. XXX N.S., adopted xxxxxxx, 2021 2 the subject area and with the Tiburon General Plan land use designation, the prezoning application will not have a significant effect on the environment. Project level environmental review will be necessary for new development proposal associated with individual parcels. 2. The prezoning application generally meets the application and submittal requirements contained in Section 16-68. The Town may exercise its discretion to consider the appropriateness of the prezoning request as it relates to the annexation to the Town. The prezoning application has been initiated by the landowner, as allowed by the code, and otherwise meets the application requirements of TMC 16-68.050(A)(1), and has been duly noticed. 3. The Town Council finds that prezoning the subject properties to RO-2 (Residential Open) zoning district is consistent with the Tiburon General Plan 2020 and other applicable plans of the Town (TMC § 16-68.050(A)(2)). The subject area is designated “M” Medium Density Residential in the Tiburon General Plan 2020 Land Use Diagram. This land use category is reserved for properties with typical zoning district of RO-2 (Residential Open). Prezoning the subject area to RO-2 is in close alignment with “M” Medium Density Residential land use category, the general plan’s intended use of the subject area, and it is consistent with the applicable policies contained in Tiburon General Plan 2020. 4. The Town Council finds that the prezoning of the subject properties to RO-2 (Residential Open) zoning district will not be detrimental to the public health, safety, or welfare of the town and is consistent with TMC § 16-68.050(A)(3). The proposed prezoning is compatible with the existing use of adjacent properties in the vicinity and with the Town’s long-term, intended use of adjacent properties, as reflected in the General Plan Land Use Diagram. The existing use of the subject area is single-family residential, which is consistent with uses permitted in the RO-2 zone. The regulations of the RO-2 zone are designed to promote and encourage the maintenance of a suitable environment for low-density, single-family development on lots larger than those typically found in the R-1 zone. The RO-2 zone conforms with the General Plan’s land use designation (M) medium density residential, which will implement the goals and policies of the General Plan. Future development on each parcel is required to be compatible with existing land uses, development standards and identified constraints through the Site Plan and Architectural Review Process. The proposed prezoning to RO-2 will not be detrimental to the public health, safety, or welfare of the town. SECTION 3. APPROVAL OF PREZONING. The approximately 10.45 acres of land (Assessor Parcel No. 038-053-17, 038-061-14, 038-061-30 and 038-061-27), as shown on attached Exhibit “A”, is hereby prezoned to RO-2 (Residential Open) Zoning District. Exhibit 1 TIBURON TOWN COUNCIL Draft Ordinance No. XXX N.S., adopted xxxxxxx, 2021 3 SECTION 4. SEVERABILITY. If any section, subsection, sentence, clause or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of the court of competent jurisdiction, such section, subsection, sentence, clause or phrase shall be deemed severable and shall not affect the validity of the remaining portions of the Ordinance. The Town Council of the Town of Tiburon hereby declares that it would have passed this Ordinance, any section, subsection, sentence, clause or phrase thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases may be declared invalid or unconstitutional. SECTION 5. EFFECTIVE DATE. This Ordinance shall take effect and be in force thirty (30) days after the date of passage and before the expiration of fifteen (15) days after its passage a copy of the ordinance shall be published with the names of the members voting for and against it at least once in a newspaper of general circulation published in the Town of Tiburon. /// /// /// This Ordinance was introduced at a meeting of the Town Council held on November 3, 2021 and was adopted at a regular meeting of the Town Council of the Town of Tiburon on November 17, 2021, by the following vote: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: _______________________ HOLLI THIER, MAYOR TOWN OF TIBURON ATTEST: __________________________ LEA STEFANI, TOWN CLERK Exhibit A: Legal Description and Boundary Map TOWN OF TIBURON PAGE 1 OF 4 STAFF REPORT To: Mayor and Members of the Town Council From: Department of Public Works Subject: Consider Proposed Modifications to the Town’s Solid Waste Storage, Collection and Disposal Ordinance, which are Necessitated by Changes in State Law Related to the Solid Waste Industry (SB 1383) Reviewed By: _________ Greg Chanis, Town Manager ________ Benjamin Stock, Town Attorney SUMMARY Council will be considering approval of the 1st reading of a proposed Municipal Code change to the Town’s Solid Waste Storage, Collection and Disposal Ordinance which is necessitated by changes in State law related to the solid waste industry (SB 1383), and direct staff to place the Ordinance on the consent calendar for adoption at the December 1, 2021 meeting. RECOMMENDED ACTION(S) Staff recommends that the Town Council: 1. Take public comment on this item. 2. Review the Draft Ordinance and direct any desired changes. 3. If appropriate following deliberation, proceed with the introduction and reading of the Proposed Ordinance. The procedure would be to move to read the ordinance by title only, waiving any additional readings, and introduce the Ordinance. Pass the reading by roll call vote. If reading is passed, the Ordinance will return for adoption on a future regular meeting consent calendar. The ordinance would take effect 30 days after adoption. BACKGROUND Senate Bill 1383, the Short-lived Climate Pollutant: Organic Waste Methane Emissions Reduction Act of 2016 (SB 1383) required CalRecycle to develop regulations to reduce organics in landfills as a source of methane by 2030. To comply with the requirements of SB 1383 and CalRecycle regulations, jurisdictions must adopt ordinances or other enforcement mechanisms to accomplish the goal of reducing organic materials delivered to landfills. Reducing organics in landfills reduces the production of methane a harmful greenhouse gas. Adoption of appropriately enforceable ordinance changes is required by January 1, 2022, but enforcement isn’t required until January 1, 2024. A local jurisdiction’s failure to enact and undertake all SB 1383 responsibilities may result in fines of up to $10,000 per day. TOWN OF TIBURON 1505 Tiburon Boulevard Tiburon, CA 94920 Town Council Meeting November 17, 2021 Agenda Item PH-1 Town Council Meeting November 17, 2021 TOWN OF TIBURON PAGE 2 OF 4 SB 1383 is the successor to AB 341 and AB 1826 and builds upon previous regulations to lower the disposal of organic waste sent to landfills. The goals of SB 1383 organics diversion are largely two-fold: the first goal is to directly reduce the emissions of short-lived climate pollutants and subsequently help mitigate the effects of climate change. Landfilling organic waste leads to anaerobic breakdown of that material which creates short-lived climate pollutants and potent greenhouse gases such as methane. Reducing methane and other similar short-lived climate emissions is paramount in combating the impacts of climate change and air pollution. The second goal of SB 1383 is to recover edible food from disposal to combat food insecurity in California. SB 1383 requires a 20% increase in the recovery of currently disposed edible food by 2025 statewide. Adopting this ordinance is necessary to contribute to the health and welfare of the community and environment, address food insecurity, divert organics from landfills and meet regulatory requirements. Senate Bill 1383 contains numerous requirements which have already begun to go into effect. The bill, which can be summed up as a requirement to divert food waste from being landfilled, is necessitating operational changes and capital improvements including where solid waste is hauled, expansion and modification of existing solid waste facilities, and new programs such as food waste recovery, education, and enforcement. The new regulations require the Town to update its Municipal Code, and eventual compliance will be facilitated by an amendment to the franchise agreement between the Town and Mill Valley Refuse Service (MVRS). In the coming months, Town staff and their consultant will be reviewing MVRS scheduled Base Year Rate Review which sets rates to cover the costs of providing solid waste service to the community. ANALYSIS Staff will provide the Town Council with an oral presentation on the municipal code update, which is provided in a format ready for adoption (Exhibit 2). In summary, SB 1383 requires all jurisdictions through the State to update their municipal codes to enable jurisdictions to enforce the following new requirements, which are incorporated in the presented municipal code update: • Universal service for organic waste diversion, including single-family and multi-family homes and all businesses; • Penalties for non-compliant businesses (under the organics recycling requirements, the requirement to have right-size containers, provide educational material, donate edible food for those generators required to do so, and subscribe to collection service); • Penalties for haulers, including the self-haul sector, for not diverting organic material according to the requirements; • Penalties for regulated entities for not providing adequate reporting (this includes edible food recovery organizations); • Investigation of complaints of non-compliance by members of the public or other entities; • Contamination monitoring via annual route audits for every route and a representative portion of customers; Town Council Meeting November 17, 2021 TOWN OF TIBURON PAGE 3 OF 4 • A defined “waiver” system similar to the existing exemption system for AB 1826, except that organic materials generation thresholds are lower (10 gallons or less for customers below 2 cubic yards of solid waste service, and 20 gallons or less for customers at or above 2 cubic yards); physical space limitations also make businesses eligible for a waiver; • Inspection of businesses subject to waiver, and re-inspection on a prescribed basis (every 5 years); and • Enforcement of CALGreen construction and demolition debris recycling requirements and container design requirements; and the Model Water Efficient Landscape Ordinance, Title 23, Division 2, Chapter 2.7 of the California Code of Regulations. The proposed ordinance update enables the Town to require and enforce provisions of SB 1383. The ordinance update does not address other requirements on jurisdictions which CalRecycle will be enforcing including recordkeeping, contamination monitoring, waiver approvals, recovered organic waste product procurement target attainment, and outreach and education. Town staff may return to Council later with more detail on the requirements as well as the resources that may be needed to meet those requirements. Local jurisdictions are also required to: • Ensure that collection containers provided by the haulers are correctly color coded and used for the specified materials. • Develop and implement an edible food recovery program that recovers edible food from designated commercial edible food generators for human consumption. • Review requests for and approve commercial waivers for those that meet the requirements. • Ensure that contamination monitoring is conducted. • Procure recycled content paper and recovered organic waste products (i.e., compost, mulch, biomass, and renewable natural gas) at levels prescribed by the state annually. • Ensure that education and outreach is conducted to all affected parties including generators, haulers, facilities, and edible food recovery organizations. • Perform capacity planning covering 15 years for organic waste diversion from landfills. • Keep specified records and report implementation efforts. • Meet CalGreen and Model Water Efficient Landscape Ordinance (MWELO) requirements. The Town of Tiburon and regulated entities (with the exception of Tier 2 commercial edible food generators) need to comply with nearly all SB 1383 requirements by January 1, 2022 with the significant exception that enforcement actions do not need to commence until January 1, 2024. More information regarding SB 1383 can be found online at www.calrecycle.ca.gov/organics/slcp/. CLIMATE IMPACT Reducing organics in landfills reduces the production of methane, a harmful greenhouse gas. Town Council Meeting November 17, 2021 TOWN OF TIBURON PAGE 4 OF 4 FISCAL IMPACT The financial impact to the Town of implementing California Senate Bill 1383 may be significant. Staff is in the process of evaluating the requirements and costs of other aspects of SB 1383 and is expected to return to Council at a later date to discuss the cost of these and other SB 1383 requirements. The cost to the Town of adopting the ordinance, however, is negligible. ENVIRONMENTAL REVIEW Staff has preliminarily determined that adoption of this item is statutorily exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to Section 15378 of the CEQA Guidelines in that it does not constitute a project under CEQA, and if it were found to constitute a project, it would be exempt pursuant to the general rule set forth in CEQA Guidelines Section 15061 (b)(3). RECOMMENDATION Staff recommends that the Town Council: Receive the Staff Report and Presentation, hear any public comment and: 1. Review the Draft Ordinance and direct any desired changes. 2. If appropriate following deliberation, proceed with the introduction and reading of the Proposed Ordinance. The procedure would be to move to read the ordinance by title only, waiving any additional readings, and introduce the Ordinance. Pass the reading by roll call vote. If reading is passed, the Ordinance will return for adoption on the December 1, 2021 meeting consent calendar. The ordinance would take effect 30 days after adoption. Exhibit(s): 1. Exhibit 1 – Draft Ordinance -Redline 2. Exhibit 2 – Draft Ordinance-Clean Prepared By: David Eshoo, Associate Engineer EXHIBIT 1 Chapter 26 - SOLID WASTE STORAGE, COLLECTION AND DISPOSAL[3] Sections: Footnotes: ‐‐‐ (3) ‐‐‐ Editor's note— Ord. No. 530 N.S., §§ 1, 2, adopted July 6, 2011, repealed the former Ch. 26, §§ 26-1— 26-19, and enacted a new Ch. 26 as set out herein. The former Ch. 26 pertained to refuse and garbage and derived from Ord. No. 43, arts. 1—8. Article I. - In General 26-1 - Definitions. For purposes of this chapter, the following words, phrases and terms shall have the meanings set forth by this section unless a different meaning is clearly intended by the use or context of the word, phrase or term: (a) “Act” means the California Integrated Waste Management Act of 1989 (commencing with Section 40000 of the Public Resources Code), as amended, including but not limited to, the Jobs and Recycling Act of 2011 (AB 341), SB 1016 (Chapter 343, Statutes of 2008 [Wiggins, SB 1016]), the Mandatory Commercial Organics Recycling Act of 2014 (AB 1826), and the Short-Lived Climate Pollutants Bill of 2016 (SB 1383), and as implemented by the regulations of CalRecycle. “Authorized collector” means such persons, firms or corporations collecting and delivering for disposal, recycling or processing solid waste (other than solid waste generated by a permitted building project) originating in the town and doing so under a contract, permit or franchise agreement with the town .shall mean any person, firm or corporation that the town has authorized by contract to collect and transport solid waste through the streets, alleys or public ways of the town “CCR” means the California Code of Regulations. CCR references in this Chapter are preceded with a number that refers to the relevant Title of the CCR (e.g., “14 CCR” refers to Title 14 of CCR). “Collection” means to take physical possession of solid waste at, and remove from, the place of generation for transport to a solid waste facility or other recovery activity. "Commercial property" refers to all properties that are not included in the definition of "residential property" or "mixed-use property," with the exception of town-owned property. “Commercial business” or “Commercial” means a firm, partnership, proprietorship, joint-stock company, corporation, or association, whether for-profit or nonprofit, strip mall, industrial facility, or a multi-family dwelling, or as otherwise defined in 14 (CCR) Section 18982(a)(6). A multi-family dwelling that consists of fewer than (5) or more dwelling units is not “Commercial”, for the purposes of this Chapter. “Commercial edible food generator” means a tier one or a tier two commercial edible food generator as defined in 14 CCR Section 18982(a)(73) and (a)(74). Food recovery organizations and food recovery services are not commercial edible food generators. “Community composting” means any activity that composts green material, agricultural material, food material, and vegetative food material, alone or in combination, and the total amount of feedstock and compost on-site at any one time does not exceed 100 cubic yards and 750 square feet, as specified in 14 CCR Section 17855(a)(4); or, as otherwise defined by 14 CCR Section 18982(a)(8). "Construction and demolition debris" or "C&D" means used or discarded materials resulting from construction, renovation, remodeling, repair, demolition, excavation or construction clean-up operations on any pavement or structure. "Container" or "collection container" means, for the purpose of this Chapter, any bin, box or cart used for the purpose of holding solid waste for collection. “Debris box” means any ten (10) to forty (40) cubic yard container, or any compactor provided by a solid waste generator, placed in the public right-of-way, on town property, private property, or elsewhere in the service area, which is procured by a solid waste generator for their use in the collection of their solid waste. Debris boxes are serviced by means of lifting the entire container, including all contents, onto a designated collection vehicle. "Designated collection location" means the place where an authorized collector has contracted with either the local governing body or a private entity to pick up source-separated, recyclable materials. This location will customarily be the curbside of a residential neighborhood or the service alley of a commercial (or multi-family) enterprise. “Designee” means an entity that the town contracts with or otherwise arranges to carry out any responsibilities of this chapter, as authorized in 14 CCR Section 18982(a)(15). A designee may be a government entity, a hauler, a private entity, or a combination of those entities. "Disposal facility" means any facility (including a transfer station) licensed by the State of California, and the local jurisdiction in which it is located, to receive solid waste. "Dispose" or "dispose of" means the final disposition of solid waste at solid waste facility permitted for disposal. “Diversion” means activities reducing or eliminating the amount of solid waste from solid waste disposal, and which return these materials to use in the form of raw materials for new, reused, or reconstituted products, which meet the quality standards necessary for commercial use, or for other purposes of reuse. “Dwelling unit” means one (1) or more rooms with internal access between all rooms, which provide complete independent living facilities for at least one (1) family, including provisions for living, sleeping, eating, cooking, bathing, and sanitary facilities. Cooking facilities for purposes of this chapter shall be defined as any combination of the following: sink, refrigerator, cupboard and/or storage, stove, oven (including microwave and convection). “Edible food” means food intended for human consumption, or as otherwise defined in 14 CCR Section 18982(a)(18). For the purposes of this ordinance or as otherwise defined in 14 CCR Section 18982(a)(18), “edible food” is not solid waste if it is recovered and not discarded. Nothing in this chapter or in 14 CCR, Division 7, Chapter 12 requires or authorizes the recovery of edible food that does not meet the food safety requirements of the California Retail Food Code. “Enforcement action" means an action of the town to address non- compliance with this ordinance including, but not limited to, issuing administrative notices, citations, fines, penalties, or using other remedies. “Enforcement agency” means an entity with the authority to enforce part or all of this chapter as specified herein. Employees and agents of an enforcement agency may carry out inspections and enforcement activities pursuant to this chapter. Nothing in this chapter authorizing an entity to enforce its terms shall require that entity to undertake such enforcement except as agreed to by that entity and the town. The town is an enforcement agency for all Sections of this chapter. The town may choose to additionally delegate enforcement responsibility for certain sections, to other public entities, including the Marin Hazardous and Solid Waste Joint Powers Authority (Zero Waste Marin) and the County of Marin (County). “Exempt waste” means biohazardous or biomedical waste, hazardous waste, medical waste, regulated radioactive waste, waste that is volatile, corrosive, or infectious, waste treatment or processing sludge, contaminated soil and dirt, contaminated concrete, contaminated asphalt, automobiles, automobile parts, boats, boat parts, boat trailers, internal combustion engines, lead-acid batteries, any matter or materials which are not acceptable for disposal at a solid waste landfill as defined in AB 939 and subsequent legislation, and those wastes under the control of the Nuclear Regulatory Commission. “Food Recovery” means actions to collect and distribute food for human consumption that otherwise would be disposed, or as otherwise defined in 14 CCR Section 18982(a)(24). “Food recovery organization” means an entity that engages in the collection or receipt of edible food from commercial edible food generators and distributes that edible food to the public for food recovery either directly or through other entities or as otherwise defined in 14 CCR Section 18982(a)(25), including, but not limited to: A food bank as defined in Section 113783 of the Health and Safety Code; A nonprofit charitable organization as defined in Section 113841 of the Health and Safety code; and, A nonprofit charitable temporary food facility as defined in Section 113842 of the Health and Safety Code. “Food recovery service” means a person or entity that collects and transports edible food from a commercial edible food generator to a food recovery organization or other entities for food recovery, or as otherwise defined in 14 CCR Section 18982(a)(26). A food recovery service is not a commercial edible food generator for the purposes of this chapter and implementation of 14 CCR, Division 7, Chapter 12 pursuant to 14 CCR Section 18982(a)(7). “Food waste” means food scraps and trimmings and other putrescible waste that result from food production, preparation, cooking, storage, consumption or handling. Food waste includes but is not limited to meat, fish and dairy waste, fruit and vegetable waste and grain waste. Food waste does not include exempt waste. “Garbage” means all non-recyclable packaging and other waste attributed to normal activities of a service unit. Garbage must be generated by and at the service unit wherein the garbage is collected. Garbage does not include recyclable materials, organic materials, debris from construction and demolition, large items, e-waste, universal waste, hazardous waste, household hazardous waste or exempt waste. "Garbage" means and includes any and all garbage, debris, refuse, putrescible and non-putrescible debris, grass or weed cuttings, tree and brush trimmings, roofing, construction and demolition wastes, and all other waste materials such as metal, glass, crockery, sweepings, paper, wood, clothing, packaging materials, ashes, wrappings, containers, cartons and similar articles, but does not mean and excludes the following: Recyclables placed in an approved recycling container, hazardous waste and hazardous materials, household hazardous waste, green waste and sewage. “Garbage Container” has the same meaning as “Gray Container” in 14 CCR Section 18982(a)(28) and shall be used for the purpose of storage and collection of Landfill Container Waste. “Generators” for the purpose of this Chapter, means a person or entity, including commercial generators and residential generators, that is responsible for the initial creation of organic materials, or as otherwise defined as “organic waste generator” in 14 CCR Section 18982(a)(48). “Hauler” means a person who collects material from a generator and delivers it to a reporting entity, end user, or a destination outside of the state. “Hauler” includes public contract haulers, authorized collectors, food waste self-haulers, and self-haulers. A person who transports material from reporting entity to another person is a transporter, not a hauler. "Green can" means any receptacle provided by collector for the periodic collection of green waste. "Green waste" means and includes any and all plant matter that is compostable, and includes grass, shrub, bush and weed clippings, tree trimmings and cuttings (not exceeding three inches in diameter), and food waste, in each case to the extent compostable, but does not mean and excludes dirt, rocks, any other material that is not plant, tree or food waste, any plant waste greater than three inches in diameter, and any other item expressly excluded from time to time as collectible green waste on collector's website. "Hazardous waste" or "hazardous materials" means any waste materials or mixture of wastes defined as such pursuant to the Resource Conservation and Recovery Act, 42 U.S.C. sections 6901 et Formatted: p0 Formatted: p0 Formatted: Font: Formatted: Indent: First line: 0" seq., the Comprehensive Environmental Response, Compensation and Liability Act ("CERCLA"), 42 U.S.C. sections 9601 et seq., and the California Health and Safety Code sections 25110.02, 25115 or 25117, and all future amendments to any of the same or regulations promulgated under any of the same, or as defined by the Environmental Protection Agency, the California Environmental Protection Agency, and the California Integrated Waste Management Board, or any of them. Where there is a conflict in the definitions employed by two or more agencies having jurisdiction over hazardous waste or solid waste, the term "hazardous waste or materials" shall be construed to have the broader, more encompassing definition. "Hazardous waste" or "hazardous materials" does not mean or include household hazardous waste. "Household hazardous waste" means materials that the collectorauthorized collector may designate from time to time as eligible for curbside pick-up but inappropriate for collection with regular pick-up and that are commonly generated by residential customers. Examples include, without limitation, consumer electronic waste, including computers, monitors, printers and cell phones, latex paint, used motor oil, oil filters, common household batteries (but not car batteries), fluorescent lightbulbs under four feet in length, and nonempty aerosol cans. “Inspection” means a site visit where a jurisdiction or its designee or designated entity, reviews records, containers, and an entity’s collection, handling, recycling, or disposal of solid waste or edible food handling to determine if the entity is complying with requirements set forth in this ordinance, or as otherwise defined in 14 CCR Section 18982(a)(35). "Mixed-use property" means properties that contain both living units and commercial or nonliving units. "Multifamily unitsdwelling" means dwellings that (i) include four five or more individual living units and (ii) receive and pay collectorauthorized collector's invoices as a single, collective bill. “Organics Container” has the same meaning as “Green Container” in 14 CCR Section 18982(a)(29) and shall be used for the purpose of storage and collection of Source Separated Organic Waste. “Organic material” or "Oorganic Wwaste" means solid wastes containing material originated from living organisms and their metabolic waste products, including but not limited to food waste, green material, landscape and pruning waste, organic textiles and carpets, lumber, wood, paper products, printing and writing paper, manure, biosolids, digestate, and sludges or as otherwise defined in 14 CCR Section 18982(a)(46). “Organic material processing facility” means any facility selected by the authorized collector that is approved by the town, or specifically designated by the town, operated and legally permitted for the purpose of receiving and processing organic materials. "Person" means any person or persons, firm, association, corporation, or other entity acting as principal, agent or officer, servant or employee, for themselves or for any other person, firm, or corporation. "Premises" includes a tract or parcel of land with or without habitable buildings or appurtenant structures. (CCR, Section 17225.50) For purposes of this chapter the word premises includes residential and commercial uses of the land, whether owned, leased, rented or subrented, including every dwelling house, dwelling unit, apartment house or multiple-dwelling building, trailer or mobile home park, store, restaurant, rooming house, hotel, motel, office building, department store, manufacturing, processing or assembling shop or plant, warehouse and every other place or premises where any person resides, or any business is carried on or conducted within the town. “Prohibited container contaminants” means (1) discarded materials placed in the designated recyclables container that are not identified as acceptable source separated recyclables for the town’s designated recyclables collection container; (2) discarded materials placed in the designated organic materials collection container that are not identified as acceptable source separated organic materials for the town’s designated organic materials collection container; and (3) discarded materials placed in the garbage container that are acceptable source separated recyclables and/or source separated organic materials to be placed in town’s designated organic materials collection container and/or designated recyclables collection container and, and (4) exempt waste placed in any container. "Recyclable (source separated) materials" means any material designated to be separated from the waste stream for purposes of recycling (adapted from PRC, Section 41951). This designation shall be made by the town and the authorized collector based on good public practice, ability to receive an acceptable economic return, and feasibility of separating the material from the waste stream at the point of collection. Recyclable materials are currently limited to paper, glass, cardboard, plastics, ferrous metal, and aluminum. "Recyclables" means materials that are reused or processed or in the future will be reused or processed into a form suitable for reuse through reprocessing or remanufacture, consistent with the requirements of AB 939, as may be amended from time to time, and specifically means paper, newsprint, printed matter, pasteboard, paper containers, cardboard, glass, aluminum, plastics, beverage containers, compostable materials, including green waste, materials designated as recyclables by the California Integrated Waste Management Board or other agency with jurisdiction, and other recyclable materials, in each case to the extent listed as acceptable for recycling on collector's website from time to time. "Recycling" means the process of collecting, sorting, cleansing, treating and reconstituting materials that would otherwise become garbage and returning them for use or reuse in the form of raw materials for new, used or reconstituted products which meet the quality standard necessary to be used in the marketplace. Recycling does not include transformation as defined in Public Resources Code § 40201. (CCR, Title 14, Section 17225.54)"Recycling" means the collection and processing of any recyclables outside of the premises from which such materials have derived. “Recyclable Materials Container” has the same meaning as “Blue Container” in 14 CCR Section 18982(a)(5) and shall be used for the purpose of storage and collection of Source Separated Recyclable Materials. “Remote Monitoring” means the use of mechanical or electronic devices to identify the types of materials in Recycling Containers, Compost Containers, and/or Landfill Containers for purposes of identifying the quantity of materials in containers (level of fill) and/or presence of Prohibited Container Contaminants. “Residential” means, for the purposes of this chapter, any premise consisting of between one (1) and four (4) dwelling units, and onsite domestic uses accessory to these dwelling units. A multi-family dwelling that consists of fewer than five (5) dwelling units is “Residential”, for the purposes of this Chapter. “Restaurant” means an establishment primarily engaged in the retail sale of food and drinks for on- premises or immediate consumption, or as otherwise defined in 14 CCR Section 18982(a)(64). “SB 1383” means Senate Bill 1383 of 2016 approved by the Governor on September 19, 2016, which added Sections 39730.5, 39730.6, 39730.7, and 39730.8 to the Health and Safety Code, and added Chapter 13.1 (commencing with Section 42652) to Part 3 of Division 30 of the Public Resources Code, establishing methane emissions reduction targets in a Statewide effort to reduce emissions of short-lived climate pollutants as amended, supplemented, superseded, and replaced from time to time. “SB 1383 Regulations” or “SB 1383 Regulatory” means or refers to, for the purposes of this ordinance, the Short-Lived Climate Pollutants: Organic Waste Reduction regulations developed by CalRecycle and adopted in 2020 that created 14 CCR, Division 7, Chapter 12 and amended portions of regulations of 14 CCR and 27 CCR. “Self-haul” means a person who hauls solid waste, organic waste or recovered material they have generated to another person. Self-hauler also includes a person who back-hauls waste, or as otherwise defined in 14 CCR Section 18982(a)(66). “Back-haul” means generating and transporting organic Formatted: p0 Formatted: Font: materials to a destination owned and operated by the generator using the generator’s own employees and equipment, or as otherwise defined in 14 CCR Section 189881(a)(66)(A). "Single-family unit" means a dwelling that is not a multifamily unit as defined above (i.e., a dwelling that includes three or fewer individual units or an individual unit on a residential property which property does not receive and pay collectorauthorized collector's invoices as a single, collective bill). "Solid waste" has the same meaning as defined in Public Resources Code Section 40191, which defines solid waste as all putrescible and nonputrescible solid and semisolid wastes, including garbage, recyclable materials, organic materials, demolition and construction wastes, bulky waste, discarded home and industrial appliances, manure, vegetable or animal solid or semisolid wastes, and other discarded solid and semisolid wastes with the exception that Solid Waste does not include any of the following wastes: (1) Hazardous waste, as defined in the Public Resources Code Section 40141, (2) Radioactive waste regulated pursuant to the State Radiation Control Law (Chapter 8 (commencing with Section 114960) of Part 9 of Division 104 of the Health and Safety Code) and (3) Medical waste regulated pursuant to the State Medical Waste Management Act (Part 14 (commencing with Section 117600) of Division 104 of the Health and Safety Code). Untreated medical waste shall not be disposed of in a Solid Waste landfill, as defined in Public Resources Code Section 40195.1. Medical waste that has been treated and deemed to be Solid Waste shall be regulated pursuant to Division 30 of the Public Resources Code. Recyclable materials and organic materials are a part of solid waste. "Solid waste" means all garbage, recyclables and green waste and as otherwise defined in Public Resources Code section 40191 and "garbage" as defined in Health and Safety Code section 6406 (except that in no event shall solid waste include hazardous waste, hazardous materials or household hazardous waste). “Solid waste collection service” means collection of solid waste originating in the town, by a persons, firms or corporations, and doing so under a contract or franchise agreement with the town. “Solid waste facility” means a solid waste transfer or processing station including Material Recovery Facilities, a composting facility, a gasification facility, a transformation facility, an Engineered Municipal Solid Waste conversion facility, and a disposal facility. Solid waste facility additionally includes a solid waste operation that may be carried out pursuant to an enforcement agency notification, as provided in regulations adopted by CalRecycle, or otherwise set forth in the Act. “Source separate” means the process of removing recyclable materials and organic materials from solid waste at the place of generation, prior to collection, and placing such materials into separate containers designated for recyclable materials and organic materials, or as otherwise defined in 14 CCR Section 17402.5(b)(4). “Source reduction” means any action which causes a net reduction in the generation of solid waste. Source reduction includes, but is not limited to, reducing the use of nonrecyclable materials, replacing disposable materials and products with reusable materials and products, reducing packaging, reducing the amount of yard wastes generated, establishing garbage rate structures with incentives to reduce the amount of wastes that generator produce, and increasing the efficiency of the use of paper, cardboard, glass, metal, plastic, and other materials. Source reduction does not include steps taken after the material becomes solid waste or actions which would impact air or water resources in lieu of land, including, but not limited to, transformation "Storage container" means portable enclosed storage units for temporary on-site storage. “Supermarket” means a full-line, self-service retail store with gross annual sales of two million dollars ($2,000,000), or more, and which sells a line of dry grocery, canned goods, or nonfood items and some perishable items, or as otherwise defined in 14 CCR Section 18982(a)(71). “Tier one commercial edible food generator” means a commercial edible food generator that is one of the following as defined in 14 CCR Section 18982(a): (a) Supermarkets with gross annual sales of $2,000,000 or more (b) Grocery store with a total facility size equal to or greater than 10,000 square feet. Formatted: p0 Formatted: Font: (c) Food service provider, which means an entity primarily engaged in providing food services to institutional, governmental, commercial, or industrial locations of others based on contractual arrangements with these types of organizations. (d) Wholesale food vendor, which means a business or establishment engaged in the merchant wholesale distribution of food, where food (including fruits and vegetables) is received, shipped, stored, prepared for distribution to a retailer, warehouse, distributor, or other destination. (e) Food distributor, which means a company that distributes food to entities including, but not limited to, supermarkets and grocery stores. “Tier two commercial edible food generator” means a commercial edible food generator that is one of the following: (a) Restaurant with 250 or more seats, or a total facility size equal to or greater than 5,000 square feet. (b) Hotel with an on-site food facility and 200 or more rooms. (c) Health facility with an on-site food facility and 100 or more beds. (d) Large venue, which means a permanent venue facility that annually seats or serves an average of more than 2,000 individuals within the grounds of the facility per day of operation of the venue facility. For purposes of this ordinance and implementation of 14 CCR, Division 7, Chapter 12, a venue facility includes, but is not limited to, a public, nonprofit, or privately owned or operated stadium, amphitheater, arena, hall, amusement park, conference or civic center, zoo, aquarium, airport, racetrack, horse track, performing arts center, fairground, museum, theater, or other public attraction facility. For purposes of this ordinance and implementation of 14 CCR, Division 7, Chapter 12, a site under common ownership or control that includes more than one large venue that is contiguous with other large venues in the site, is a single large venue. (e) Large event, which means an event, including, but not limited to, a sporting event or a flea market, that charges an admission price, or is operated by a local agency, and serves an average of more than 2,000 individuals per day of operation of the event, at a location that includes, but is not limited to, a public, nonprofit, or privately owned park, parking lot, golf course, street system, or other open space when being used for an event.. (f) A state agency with a cafeteria with 250 or more seats or total cafeteria facility size equal to or greater than 5,000 square feet. (g) A local education agency facility with an on-site food facility. Local education agency means a school district, charter school, or county office of education that is not subject to the control of city or county regulations related to Solid Waste, or as otherwise defined in 14 CCR Section 18982(a)(40). “Town manager” means the town manager of the town of Tiburon, or their designee. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-2 - Purpose of chapter. The purpose of this chapter is to prevent actual or potential public health hazards and nuisances by the regulation of the accumulation, collection and disposal of solid waste and the licensing of persons engaged therein. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-3 - Disposal of solid waste generally. It is unlawful for any person to keep, deposit, bury or dispose of any solid waste in or upon any private property, public street, alley, sidewalk, gutter, park, upon the banks of any stream or creek in the town, or in or upon any of the waters thereof except as provided in this chapter. Every person having the obligation of the disposal of solid waste as provided in this chapter shall dispose of the same only through the collectorauthorized collector or as may be expressly permitted by this chapter. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-4 - Duty of owner, occupant, etc., to subscribe to solid waste collection service. (a) Every tenant, lessee or occupant of any premises within the town shall have the solid waste collection service by the collectorauthorized collector at least once each week, and shall pay the collectorauthorized collector for said service at the monthly rates provided therefore. (b) A mandatory obligation is imposed on each responsible person occupying any premise to separate and recycle all recyclable material and organic materials from the garbage generated on the premise. Generators shall place source separated organic materials, including food waste, in the organic materials collection container; place source separated recyclable materials in the recyclable material collection container; and place garbage in the approved garbage collection container. Generators shall not place prohibited container contaminants into the garbage collection container, organic materials collection container or recyclable material collection container. (c) The authorized collector shall give written notice to the town manager of the address of any occupied premise within the town which is not subscribing to the solid waste collection service provided by the authorized collector. (d) Generators shall provide or arrange for access during all inspections and investigations (with the exception of a private residential dwelling unit) and cooperate with the town manager or authorized collector during such inspections and investigations as described in Section 26-10. (e) Nothing in this chapter limits the right of any person to donate, sell, or otherwise remove their recyclable materials so long as the removal otherwise complies with this Chapter. (f) Organic materials may be fed to animals on the premises where such organic materials is produced, provided that the premises are always kept in a sanitary condition to the satisfaction of the town manager; and provided further that the keeping and feeding of such animals shall at all times conform to the applicable regulations of those entities governing the same now in force or which thereafter may be enacted or promulgated. (a)(g) Organic materials may be used in on-site composting or community composting, pursuant to 14 CCR Section 18984.9(c), provided that such operation conforms to the applicable regulations of those entities governing the same now in force or which thereafter may be enacted or promulgated. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-4.1 -Residential generator requirements. Except for residential generators that meet the self-hauler requirements in section 26-4.4, Eeach residential generator shall subscribe to a level of solid waste collection service with the authorized collector for Garbage Container, Recyclable Container and Organics Container in sizesthat is sufficient to handle the volume of garbage, recyclable material, and organic materials generated or accumulated on the premises and comply with requirements of those collection services. 26-4.2 -Commercial generator requirements. Commercial generators shall comply with the following requirements. (a) Each commercial generator, including all multi-family dwellings that consist of five dwelling units or more, large events and large venues shall be responsible for compliance with the requirements of this Section. (b) Except for commercial generators that obtain a waiver or that meet the self-hauler requirements in section 26-4.4 , Eeach commercial generator shall subscribe to a level of service with a authorized collector for a Garbage Container, Recyclable Materials container and Organics Container. Container sizes shall bethat is sufficient to handle the volume of garbage, recyclable materials and organic materials generated or accumulated on the premises. Additionally, each commercial generator shall ensure the proper separation of solid waste, as established by the authorized collector, by placing each type of material in the designated collection containers, and ensuringe that employees, contractors, volunteers, customers, visitors, and other persons on-site conduct proper source separation of solid waste. (c) Supply and allow access to adequate number, size, and location of Garbage Containers, Recyclable Materials Containers and Organics Containerscollection containers with sufficient labels or colors, conforming with requirements of this section, for employees, contractors, tenants, and customers, consistent with the solid waste collection service. (d) Annually provide information to employees, contractors, tenants, and customers about organic materials recovery requirements and about proper sorting of solid waste. (e) Provide educational information before, or within, fourteen (14) days of occupation of the premises to new tenants that describes requirements to keep source separated organic materials and source separated recyclable materials separate from garbage (when applicable) and the location of collection containers and the rules governing their use at each property. (f) Accommodate and cooperate with the authorized collector’s remote monitoring or other program for inspection of the contents of containers for prohibited container contaminants, to evaluate generator’s compliance. (g) If a commercial generator self-hauls, the commercial generator shall meet the self-haul requirements in Section 26-4.4 of this Chapter. Commercial generators, excluding multi-family dwellings consisting of five (5) or more dwelling units, shall also comply with the following additional requirements. (h) Provide containers for the collection of source separated organic materials and source separated recyclable materials in all indoor and outdoor areas where garbage disposal containers are provided for customers, for materials generated onsite. Such containers do not need to be provided in restrooms. If a commercial generator does not generate any of the materials that would be collected in one type of collection container, then it is not required to provide that type of container in all areas where disposal collection containers are provided for customers. Pursuant to 14 CCR Section 18984.9(b), the indoor and outdoor containers shall have either: (1) A body or lid that is gray or black for collection of garbage, blue for collection of recycling, and green for collection of organic materials. A commercial generator is not required to replace functional containers, including containers purchased prior to January 1, 2022, that do not comply with the requirements of the subsection prior to the end of the useful life of those containers, or prior to January 1, 2036, whichever comes first or;. (2) Container labels that include language or graphic images, or both, indicating the primary material accepted and the primary materials prohibited in that container, or containers with imprinted text or graphic images that indicate the primary materials accepted and Formatted: Font: Bold primary materials prohibited in the container. Pursuant 14 CCR Section 18984.8, the container labeling requirements are required on new containers commencing January 1, 2022. (i) To the extent practical through education, training, inspection, and/or other measures, prohibit employees from placing materials in a container not designated for those materials per the solid waste collection service. (j) Periodically inspect organic materials, recycling, and garbage containers for contamination and inform employees if containers are contaminated and of the requirements to keep contaminants out of those containers pursuant to 14 CCR Section 18984.9(b)(3). (k) Commercial generators that are commercial edible food generators, as defined in Section 26-1, shall comply with commercial edible food generator requirements, pursuant to Section 26-8. 26-4.3 -Waivers. (a) Pursuant to 14 CCR Section 18984.11, the town may grant waivers to commercial businesses for physical space limitations and/or de minimis volumes. Commercial businesses seeking a waiver shall submit their request in a form specified by the town manager. After reviewing the waiver request, and after an on-site review, if applicable, the town manager may either approve or deny the following waiver requests. (1) De Minimis Waivers: The town may waive a commercial business’ obligation to comply with some or all the requirements of Section 6.12.080 26-4.2 if the commercial business meets the following requirements: (i) Submit an application specifying the type of waiver requested and provide documentation as described below. (ii) Provide documentation that either: a) The commercial business receives two or more cubic yards of weekly solid waste collection service (including garbage, recyclable material and organic materials) and disposed organic materials comprises less than 20 gallons per week of the business’ total weekly solid waste volume; or b) The commercial business receives less than two cubic yards of weekly solid waste collection service (including garbage, recyclable material and organic materials) and disposed organic materials comprises less than 10 gallons per week of the business’ total weekly solid waste volume. c) For the purposes of subsections a) and b) above, weekly solid waste collection shall be the sum of weekly garbage collection container volume, recyclable material collection container volume and organic materials collection container volume, measured in cubic yards. (iii) Notify the town if circumstances change such that volume of commercial business’ organic materials placed in collection containers exceeds threshold required for waiver, in which case waiver will be rescinded. (iv) Provide written verification of eligibility for de minimis waiver every five years if the town has approved de minimis waiver. (2) Physical Space Waivers: The town may waive a commercial business’ obligations (including multi-family dwellings) to comply with some or all of the recyclable materials Formatted: Numbered + Level: 2 + Numbering Style: 1, 2, 3, … + Start at: 1 + Alignment: Left + Aligned at: 0.75" + Indent at: 1" and/or organic materials collection service requirements if the town has evidence from its own staff, a hauler, licensed architect, or licensed engineer demonstrating that the premises lacks adequate space for the collection containers required for compliance with the collection service requirements. A commercial business or property owner may request a physical space waiver through the following process: (i) Submit an application form specifying the type(s) of collection services for which they are requesting a waiver from mandatory collection service. (ii) Provide documentation that the premises lacks adequate space for the approved recyclable materials collection containers and approved organic materials collection containers including documentation from its authorized collector, licensed architect, or licensed engineer. (iii) Provide written verification to the town that it is still eligible for physical space waiver every five years if the town has approved application for a physical space waiver. 26-4.4 -Self-haul. (a) Self-haulers shall haul their source separated recyclable materials to a facility that recovers those materials; and haul their source separated organic materials to a solid waste facility, operation, activity, or property that processes or recovers source separated organic materials. (b) Self-haulers that are commercial businesses shall keep a record of the amount of organic materials delivered to each solid waste facility, operation, activity, or property that processes or recovers organic materials; this record shall be subject to inspection by the town. The records shall include the following information: (1) Delivery receipts and weight tickets from the entity accepting the waste. If the material is transported to an entity that does not have scales on-site or employs scales incapable of weighing the self-hauler’s vehicle in a manner that allows it to determine the weight of materials received, the self-hauler is not required to record the weight of material but shall keep a record of the entities that received the organic materials. (2) The amount of material in cubic yards or tons transported by the generator to each entity. (3) At the request of the town or authorized collector, complete and retain on-site a self-hauling form certifying that all self-hauling activities will be completed in accordance with this chapter or any other applicable law or regulation. A copy of such form shall be completed and remitted annually to the town. 26-5 - Storage receptacles; accumulation. It is unlawful to place or permit to remain any solid waste except in a suitable covered container supplied by the collectorauthorized collector as set forth in this chapter. (a) (a) CollectorAuthorized collector shall provide suitable and sufficient collection receptacles containers for purchase or rent by any person or entity having a duty to subscribe to solid waste collection service under this chapter. (b) (b) The specific nature of the required receptacles collection containers shall be established as from time to time approved by the town and the collectorauthorized collector. (b)(c) Generators shall arrange for a size, quantity and collection frequency of collection containers to adequately store all solid waste generated in connection with the premise between the times designated for collection service. The town shall have the right to review the number and size of such collection containers to evaluate the adequacy of capacity provided for each type of collection service and to review the separation and containment of materials. Generators Formatted: Numbered + Level: 3 + Numbering Style: i, ii, iii, … + Start at: 1 + Alignment: Right + Aligned at: 1.38" + Indent at: 1.5" shall adjust service levels for their collection services as requested by the town in order to meet the standards set forth in this chapter. (c)(d) (c) All solid waste shall be placed in collection containersreceptacles constructed of metal or an approved plastic material and type that is watertight, nonabsorbent, animal resistant, durable, easily cleanable, equipped with handles, and has tight-fitting covers such that the collection containers hold the solid waste without spillage and leakage, escape of odors or access of flies to the contents thereof. (d)(e) (d) No person owning or occupying any building, lot or premises shall allow any solid waste to accumulate or remain in or upon the building, lot or premises in a manner in violation of this chapter or that otherwise creates a public nuisance. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-5.16 - Receptacle location. Except as expressly provided by this section, no solid waste collection containersreceptacle other than those owned or rented by the town shall be placed or kept in or on any public street, sidewalk, footpath, or any public place whatsoever, but shall be maintained on the premises in a location and manner so as not to be visible from the public street. Notwithstanding the foregoing, solid waste collection containersreceptacles may be placed on the day(s) and in the designated collection locations designated by the collectorauthorized collector for removal and emptying of said receptaclescollection containers, but shall be removed within twenty-four hours of the day of collection. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-5.27 - Improper use of public solid waste receptacles. It is unlawful for any person to place or cause to be placed in any public receptacle owned by the town and located upon public streets or in public places any refuse solid waste originating within or upon any private property. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-68 - Transportation of solid waste in town. (a) No solid waste shall be removed and carried on and along the streets and alleys of the town, unless the same is carried, conveyed or hauled in conveyances so constructed as to be dustproof, and so arranged as not to permit dust or other matter to sift through or fall upon the streets and alleys. The contents of such conveyances shall be further protected with appropriate covers so as to prevent the same from being blown upon the streets, alleys and adjacent lands. (b) No wet garbagesolid waste shall be removed and carried on or along any street or alley of the town, unless the same is transported in watertight containers with proper covers so that the garbage shall not be offensive, and every such container shall be kept clean and such garbage solid waste shall be so loaded that none of it shall fall, drip or spill to or on the ground, sidewalk or pavement. (c) Every truck used in the collection or removal of solid waste shall be kept well painted and clean inside and out; and the name of the contract agent authorized collector and the truck number shall be prominently displayed on each truck. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-79 - Emergency removal of solid waste. Nothing in this chapter shall be deemed to prohibit the town from removing and hauling any solid waste considered by the town manager to undermine the health, safety or welfare of the public. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-8- Commercial edible food generator requirements. (a) Tier one commercial edible food generators must comply with the requirements of this section January 1, 2022, and Tier two commercial edible food generators must comply commencing January 1, 2024, pursuant to 14 CCR Section 18991.3. (b) Large venue or large event operators not providing food services, but allowing for food to be provided by others, shall require food facilities operating at the large venue or large event to comply with the requirements of this section, commencing January 1, 2024. (c) Commercial edible food generators shall comply with the following requirements: (1) Arrange to recover the maximum amount of edible food that would otherwise be disposed. (2) Contract with or enter into a written agreement with food recovery organizations or food recovery services for: (a) the collection of edible food for food recovery; or (b) acceptance of the edible food that the commercial edible food generator self-hauls to the food recovery organization for food recovery. (3) Shall not intentionally spoil edible food that is capable of being recovered by a food recovery organization or a food recovery service. (4) Allow the town’s designated enforcement entity or designated third party enforcement entity to access the premises and review records pursuant to 14 CCR Section 18991.4. (5) Keep records that include the following information, or as otherwise specified in 14 CCR Section 18991.4: (i) A list of each food recovery service or organization that collects or receives its edible food pursuant to a contract or written agreement established under 14 CCR section 18991.3(b). (ii) A copy of all contracts or written agreements established under 14 CCR section 18991.3(b). (iii) A record of the following information for each of those food recovery services or food recovery organizations: a) The name, address and contact information of the food recovery service or food recovery organization. b) The types of food that will be collected by or self-hauled to the food recovery service or food recovery organization. c) The established frequency that food will be collected or self-hauled. d) The quantity of food, measured in pounds recovered per month, collected or self-hauled to a food recovery service or food recovery organization for food recovery. (d) Nothing in this Chapter shall be construed to limit or conflict with the protections provided by the California Good Samaritan Food Donation Act of 2017, the Federal Good Samaritan Act, or share table and school food donation guidance pursuant to Senate Bill 557 of 2017 (approved by the Governor of the State of California on September 25, 2017, which added Article 13 [commencing with Section 49580] to Chapter 9 of Part 27 of Division 4 of Title 2 of the Education Code, and to amend Section 114079 of the Health and Safety Code, relating to food safety, as amended, supplemented, superseded and replaced from time to time). 26-9 - Food recovery organization and food recovery services requirements. (a) Food recovery services collecting or receiving edible food directly from commercial edible food generators, via a contract or written agreement established under 14 CCR Section 18991.3(b), shall maintain the following records, or as otherwise specified by 14 CCR Section 18991.5(a)(1): (1) The name, address, and contact information for each commercial edible food generator from which the service collects edible food. (2) The quantity in pounds of edible food collected from each commercial edible food generator per month. (3) The quantity in pounds of edible food transported to each food recovery organization per month. (4) The name, address, and contact information for each food recovery organization that the food recovery service transports edible food to for food recovery. (b) Food recovery organizations collecting or receiving edible food directly from commercial edible food generators, via a contract or written agreement established under 14 CCR Section 18991.3(b), shall maintain the following records, or as otherwise specified by 14 CCR Section 18991.5(a)(2): (1) The name, address, and contact information for each commercial edible food generators from which the organization receives edible food. (2) The quantity in pounds of edible food received from each commercial edible food generator per month. (3) The name, address, and contact information for each food recovery service that the organization receives edible food from for food recovery. (c) Food recovery organizations and food recovery services that have their primary address physically located in the town and contract with or have written agreements with one or more commercial edible food generators pursuant to 14 CCR Section 18991.3(b) shall annually report to the town it is located in the total pounds of edible food recovered in the previous calendar year from the tier one and tier two commercial edible food generators they have established a contract or written agreement with pursuant to 14 CCR Section 18991.3(b) no later than April 1. (a)(d) In order to support edible food recovery capacity planning assessments or other studies conducted by the county, town, special district that provides solid waste collection services, or its designated entity, food recovery services and food recovery organizations operating in the town shall provide information and consultation to the town, upon request, regarding existing, or proposed new or expanded, food recovery capacity that could be accessed by the town and commercial edible food generators. A food recovery service or food recovery organization contacted by the town shall respond to such request for information within 60 days unless a shorter timeframe is otherwise specified by the town. 26-10 -– Administration, inspections and enforcement of chapter. (a) (a) The town manager shall make such rules and interpretation of the terms of this chapter not inconsistent with the provisions of this chapter as may be necessary, reasonable and proper to effect the proper expedient, economical and efficient collection and removal of solid waste by the collectorauthorized collector (b) The town, authorized collector, or designee is authorized to conduct any inspections, remote monitoring, or other investigations as reasonably necessary to further the goals of this chapter, subject to applicable laws. This may include inspections and investigations, at random or otherwise, of any collection container, collection vehicle load, or transfer, processing, or disposal facility to confirm compliance with this chapter, subject to applicable laws. This section does not allow entry in a private residential dwelling unit for inspection. For the purposes of inspecting collection containers for compliance, the town or authorized collector may conduct container inspections for prohibited container contaminants using remote monitoring, and generators shall accommodate and cooperate with the remote monitoring. (c) A person subject to the requirements of this chapter shall provide or arrange for access during all inspections (with the exception of a private residential dwelling unit) and shall cooperate with the town or authorized collector during such inspections and investigations. Such inspections and investigations may include confirmation of proper placement of materials in containers, inspection of edible food recovery activities, review of required records, or other verification or inspection to confirm compliance with any other requirement of this chapter. Failure to provide or arrange for: (i) access to the premises; (ii) installation and operation of remote monitoring equipment, if a remote monitoring program is adopted; or (iii) access to records for any inspection or investigation is a violation of this chapter and may result in penalties. (d) Any records obtained by the town, authorized collector, or designee, during inspections, investigations, remote monitoring and other reviews shall be subject to the requirements and applicable disclosure exemptions of the California Public Records Act as set forth in Government Code Section 6250 et seq. (e) The town, authorized collector or designee shall accept written complaints from persons regarding an entity that may be potentially non-compliant with this chapter and/or the SB 1383 Regulations. (f) A violation of any provision of this chapter shall constitute an infraction and will be grounds for issuance of a nNotice of vViolation and assessment of an administrative citation and penalty by the town’s enforcement officer or its designated enforcement agency. (g) Enforcement actions under this chapter are issuance of a notice of violation and assessment of an administrative citation and assessment of a fine. The town’s procedures on imposition of administrative citations and fines as contained in Municipal Code Chapter 31 shall govern the imposition, enforcement, collection, and review of administrative citations and fines issued to enforce this chapter and any rule or regulation adopted pursuant to this chapter. Any section of this chapter may be enforced by the tTown of Tiburon or, if agreed to, by its designated enforcement agency. (h) A violation may be punishable by: Formatted a. A fine of one hundred dollars for a first violation; b. A fine of two hundred dollars for a second violation of the same provision of this code within any twelve consecutive month period; c. A fine of five hundred dollars for each additional violation of the same provision of this code within any twelve consecutive-month period. Any citation issued after the issuance of a third citation or violation of the same provision of this code within any twelve consecutive-month period may be charged as a misdemeanor pursuant to the provisions of Chapter 31 of this code. (i) The town or designated enforcement agency may issue a nNotice of viViolation requiring compliance within 60 days or sooner of issuance of the notice. (j) Absent compliance by the respondent within the deadline set forth in the nNotice of vViolation, the town or designated enforcement agency shall commence an action to impose penalties, via an administrative citation and fine, pursuant to the town’s standard procedures or the standard procedures of its designated enforcement agency. (a) The remedies provided in this chapter shall be cumulative and not exclusive and Other any remedies allowed by law may be used, including civil action or prosecution as a misdemeanor or infraction, in the sole discretion of the town attorney. The town may pursue civil actions in the California courts to seek recovery of unpaid administrative citations, and fines. The town may choose to delay court action until such time as a sufficiently large number of violations, or cumulative size of violations exist such that court action is a reasonable use of town staff and resources. (k) (l) (b) It is unlawful for any person to violate any provision or to fail to comply with any of the requirements of this chapter. A violation of this chapter may be charged and prosecuted as either an infraction or misdemeanor or pursuant to chapter 31 of this Code, in the sole discretion of the town attorney. Each separate day or any portion thereof on which a violation occurs or is committed, continued or permitted shall be deemed to constitute a separate offense punishable as herein provided. (Ord. No. 530 N.S., § 2, 7-6-2011) Article II. - Collection 26-11 - Town contracts for collection services; renewal of contract. The town council may, with or without having invited bids therefore, enter into a contract with any responsible person or entity to be the collectorauthorized collector under this chapter. The term of such contract, rates of collection and other provisions of such contract shall be as provided by resolution of the town council. Where such a contract has been entered into between the town and a contractor for the collection, removal and disposal of solid waste, and such contractor shall have satisfactorily performed such contract, the town council, without inviting bids or proposals therefore and without giving notice of its intention to do so, may, either prior to or after the expiration of such contract, extend or renew the same for such a period and on such terms and conditions as the town council shall provide by resolution. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-12 - Terms and conditions of contract. The contract shall contain the following provisions: (a) (a) The collectorauthorized collector shall be required to dispose of all solid waste at appropriate disposal facilities satisfactory to the town. Formatted: Left, Numbered + Level: 1 + NumberingStyle: a, b, c, … + Start at: 1 + Alignment: Left + Alignedat: 0.25" + Indent at: 0.5" (b) The town’s authorized collector providing residential, commercial, or industrial organic materials collection services to generators within the town’s boundaries shall meet the following requirements and standards as a condition of approval of a contract, agreement, or other authorization with the town to collect organic materials: (1) Through written notice to the town annually on or before January 1, 2022, identify the facilities to which they will transport organic materials including facilities for source separated recyclable materials and source separated organic materials. (2) Transport source separated recyclable materials and source separated organic materials to a facility, operation, activity, or property that recovers organic materials as defined in 14 CCR, Division 7, Chapter 12, Article 2. (1)(3) Obtain approval from the town to haul organic materials, unless it is transporting source separated organic materials to a community composting site or lawfully transporting construction and demolition debris in a manner that complies with 14 CCR Section 18989.1. (b)(c) (b) The collectorauthorized collector shall comply with all applicable federal, state and local laws, as they may be amended from time to time, in performance of the contract. (c)(d) (c) The collectorauthorized collector shall be required to make provisions for collection and disposal of household hazardous waste. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-13 - Duty of collectorauthorized collector; regulation and supervision of collection. The collectorauthorized collector shall provide garbage pickupsolid waste collection service to all persons situated within the town; provided, that payment for service is made. The town council may establish standard regulations for the methods of collection of garbage solid waste service charges, including the enforcement thereof. The town manager shall supervise the collection and removal of all garbage, rubbish and refusesolid waste by the garbage collectorauthorized collector. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-14 - Responsibility and liability of collectorauthorized collector; liability insurance required. The collectorauthorized collector shall be considered as and shall be an independent contractor and shall be responsible to the town for the result of his work to be done, but shall act under his own directions as to the manner of performing this work; and he shall keep himself and all of his employees insured against all liability under state workmen's and employees insurance, compensation and safety laws and against public liability and property damage (including all such liability for use or operation of motor vehicles used in the performance of work hereunder). Such public liability insurance shall be in a form and manner and to the extent satisfactory to the town. Evidence of such insurance shall be filed with the town annually. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-15 - Performance bond required of collectorauthorized collector. Prior to execution of any contract authorizing any person or entity to act as the collectorauthorized collector under this chapter, said person or entity shall file with the town a bond for the faithful performance of the contract in the sum of one hundred thousand dollars. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-16 - Exclusive rights of collectorauthorized collector. (a) An award of a contract under this chapter shall confer upon the person to whom the contract is awarded the exclusive right to serve as collectorauthorized collector under this chapter during the terms of the contract, to collect, transport and dispose of solid waste, subject only to such exceptions as are specifically set forth in this chapter or the town's contract with collectorauthorized collector. All provisions of this chapter applicable to the collectorauthorized collector shall constitute and be a part of any contract awarded hereunder. (b) Nothing in this chapter shall preclude an occupant, renter, or owner of property in the town to regularly dispose of their solid waste either personally or through the uncompensated services of another, in either case at a county-operated disposal facility. (c) No person, other than the collectorauthorized collector or persons authorized under subsection (b) of this section, shall remove paper, glass, cardboard, plastic, used motor oil, ferrous metal, aluminum, or other recyclable materials which have been segregated source separated from solid waste materials and placed at a designated collection location for residential curbside collection for the purposes of collection and recycling. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-17 - Rates and charges. The collectorauthorized collector shall charge every user of solid waste collection service, at rates established pursuant to the contract between the town and the collectorauthorized collector. Such rates shall be subject to change in accordance with said contract. The collectorauthorized collector shall use reasonable efforts to set rates so as to fairly distribute the costs of solid waste collection service between users thereof according to the extent of their usage. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-18 - Establishment of routes and time for collection. The collectorauthorized collector shall establish routes, days and hours for collection of solid waste and may change the same from time to time. When such routes, days and hours are established or changed, the same shall be filed with the town manager. (Ord. No. 530 N.S., § 2, 7-6-2011) Formatted: Left, Indent: Left: 0.01" EXHIBIT 2 Chapter 26 - SOLID WASTE STORAGE, COLLECTION AND DISPOSAL[3] Sections: Footnotes: --- (3) --- Editor's note— Ord. No. 530 N.S., §§ 1, 2, adopted July 6, 2011, repealed the former Ch. 26, §§ 26-1—26-19, and enacted a new Ch. 26 as set out herein. The former Ch. 26 pertained to refuse and garbage and derived from Ord. No. 43, arts. 1—8. Article I. - In General 26-1 - Definitions. For purposes of this chapter, the following words, phrases and terms shall have the meanings set forth by this section unless a different meaning is clearly intended by the use or context of the word, phrase or term: (a) “Act” means the California Integrated Waste Management Act of 1989 (commencing with Section 40000 of the Public Resources Code), as amended, including but not limited to, the Jobs and Recycling Act of 2011 (AB 341), SB 1016 (Chapter 343, Statutes of 2008 [Wiggins, SB 1016]), the Mandatory Commercial Organics Recycling Act of 2014 (AB 1826), and the Short-Lived Climate Pollutants Bill of 2016 (SB 1383), and as implemented by the regulations of CalRecycle. “Authorized collector” means such persons, firms or corporations collecting and delivering for disposal, recycling or processing solid waste (other than solid waste generated by a permitted building project) originating in the town and doing so under a contract, permit or franchise agreement with the town . “CCR” means the California Code of Regulations. CCR references in this Chapter are preceded with a number that refers to the relevant Title of the CCR (e.g., “14 CCR” refers to Title 14 of CCR). “Collection” means to take physical possession of solid waste at, and remove from, the place of generation for transport to a solid waste facility or other recovery activity. “Commercial business” or “Commercial” means a firm, partnership, proprietorship, joint-stock company, corporation, or association, whether for-profit or nonprofit, strip mall, industrial facility, or a multi-family dwelling, or as otherwise defined in 14 (CCR) Section 18982(a)(6). A multi-family dwelling that consists of fewer than (5) or more dwelling units is not “Commercial”, for the purposes of this Chapter. “Commercial edible food generator” means a tier one or a tier two commercial edible food generator as defined in 14 CCR Section 18982(a)(73) and (a)(74). Food recovery organizations and food recovery services are not commercial edible food generators. “Community composting” means any activity that composts green material, agricultural material, food material, and vegetative food material, alone or in combination, and the total amount of feedstock and compost on-site at any one time does not exceed 100 cubic yards and 750 square feet, as specified in 14 CCR Section 17855(a)(4); or, as otherwise defined by 14 CCR Section 18982(a)(8). "Construction and demolition debris" or "C&D" means used or discarded materials resulting from construction, renovation, remodeling, repair, demolition, excavation or construction clean-up operations on any pavement or structure. "Container" or "collection container" means, for the purpose of this Chapter, any bin, box or cart used for the purpose of holding solid waste for collection. “Debris box” means any ten (10) to forty (40) cubic yard container, or any compactor provided by a solid waste generator, placed in the public right-of-way, on town property, private property, or elsewhere in the service area, which is procured by a solid waste generator for their use in the collection of their solid waste. Debris boxes are serviced by means of lifting the entire container, including all contents, onto a designated collection vehicle. "Designated collection location" means the place where an authorized collector has contracted with either the local governing body or a private entity to pick up source-separated, recyclable materials. This location will customarily be the curbside of a residential neighborhood or the service alley of a commercial (or multi-family) enterprise. “Designee” means an entity that the town contracts with or otherwise arranges to carry out any responsibilities of this chapter, as authorized in 14 CCR Section 18982(a)(15). A designee may be a government entity, a hauler, a private entity, or a combination of those entities. "Dispose" or "dispose of" means the final disposition of solid waste at solid waste facility permitted for disposal. “Diversion” means activities reducing or eliminating the amount of solid waste from solid waste disposal, and which return these materials to use in the form of raw materials for new, reused, or reconstituted products, which meet the quality standards necessary for commercial use, or for other purposes of reuse. “Dwelling unit” means one (1) or more rooms with internal access between all rooms, which provide complete independent living facilities for at least one (1) family, including provisions for living, sleeping, eating, cooking, bathing, and sanitary facilities. Cooking facilities for purposes of this chapter shall be defined as any combination of the following: sink, refrigerator, cupboard and/or storage, stove, oven (including microwave and convection). “Edible food” means food intended for human consumption, or as otherwise defined in 14 CCR Section 18982(a)(18). For the purposes of this ordinance or as otherwise defined in 14 CCR Section 18982(a)(18), “edible food” is not solid waste if it is recovered and not discarded. Nothing in this chapter or in 14 CCR, Division 7, Chapter 12 requires or authorizes the recovery of edible food that does not meet the food safety requirements of the California Retail Food Code. “Enforcement action" means an action of the town to address non- compliance with this ordinance including, but not limited to, issuing administrative notices, citations, fines, penalties, or using other remedies. “Enforcement agency” means an entity with the authority to enforce part or all of this chapter as specified herein. Employees and agents of an enforcement agency may carry out inspections and enforcement activities pursuant to this chapter. Nothing in this chapter authorizing an entity to enforce its terms shall require that entity to undertake such enforcement except as agreed to by that entity and the town. The town is an enforcement agency for all Sections of this chapter. The town may choose to additionally delegate enforcement responsibility for certain sections, to other public entities, including the Marin Hazardous and Solid Waste Joint Powers Authority (Zero Waste Marin) and the County of Marin (County). “Exempt waste” means biohazardous or biomedical waste, hazardous waste, medical waste, regulated radioactive waste, waste that is volatile, corrosive, or infectious, waste treatment or processing sludge, contaminated soil and dirt, contaminated concrete, contaminated asphalt, automobiles, automobile parts, boats, boat parts, boat trailers, internal combustion engines, lead-acid batteries, any matter or materials which are not acceptable for disposal at a solid waste landfill as defined in AB 939 and subsequent legislation, and those wastes under the control of the Nuclear Regulatory Commission. “Food Recovery” means actions to collect and distribute food for human consumption that otherwise would be disposed, or as otherwise defined in 14 CCR Section 18982(a)(24). “Food recovery organization” means an entity that engages in the collection or receipt of edible food from commercial edible food generators and distributes that edible food to the public for food recovery either directly or through other entities or as otherwise defined in 14 CCR Section 18982(a)(25), including, but not limited to: A food bank as defined in Section 113783 of the Health and Safety Code; A nonprofit charitable organization as defined in Section 113841 of the Health and Safety code; and, A nonprofit charitable temporary food facility as defined in Section 113842 of the Health and Safety Code. “Food recovery service” means a person or entity that collects and transports edible food from a commercial edible food generator to a food recovery organization or other entities for food recovery, or as otherwise defined in 14 CCR Section 18982(a)(26). A food recovery service is not a commercial edible food generator for the purposes of this chapter and implementation of 14 CCR, Division 7, Chapter 12 pursuant to 14 CCR Section 18982(a)(7). “Food waste” means food scraps and trimmings and other putrescible waste that result from food production, preparation, cooking, storage, consumption or handling. Food waste includes but is not limited to meat, fish and dairy waste, fruit and vegetable waste and grain waste. Food waste does not include exempt waste. “Garbage” means all non-recyclable packaging and other waste attributed to normal activities of a service unit. Garbage must be generated by and at the service unit wherein the garbage is collected. Garbage does not include recyclable materials, organic materials, debris from construction and demolition, large items, e-waste, universal waste, hazardous waste, household hazardous waste or exempt waste. “Garbage Container” has the same meaning as “Gray Container” in 14 CCR Section 18982(a)(28) and shall be used for the purpose of storage and collection of Landfill Container Waste. “Generators” for the purpose of this Chapter, means a person or entity, including commercial generators and residential generators, that is responsible for the initial creation of organic materials, or as otherwise defined as “organic waste generator” in 14 CCR Section 18982(a)(48). “Hauler” means a person who collects material from a generator and delivers it to a reporting entity, end user, or a destination outside of the state. “Hauler” includes public contract haulers, authorized collectors, food waste self-haulers, and self-haulers. A person who transports material from reporting entity to another person is a transporter, not a hauler. "Hazardous waste" or "hazardous materials" means any waste materials or mixture of wastes defined as such pursuant to the Resource Conservation and Recovery Act, 42 U.S.C. sections 6901 et seq., the Comprehensive Environmental Response, Compensation and Liability Act ("CERCLA"), 42 U.S.C. sections 9601 et seq., and the California Health and Safety Code sections 25110.02, 25115 or 25117, and all future amendments to any of the same or regulations promulgated under any of the same, or as defined by the Environmental Protection Agency, the California Environmental Protection Agency, and the California Integrated Waste Management Board, or any of them. Where there is a conflict in the definitions employed by two or more agencies having jurisdiction over hazardous waste or solid waste, the term "hazardous waste or materials" shall be construed to have the broader, more encompassing definition. "Hazardous waste" or "hazardous materials" does not mean or include household hazardous waste. "Household hazardous waste" means materials that the authorized collector may designate from time to time as eligible for curbside pick-up but inappropriate for collection with regular pick-up and that are commonly generated by residential customers. Examples include, without limitation, consumer electronic waste, including computers, monitors, printers and cell phones, latex paint, used motor oil, oil filters, common household batteries (but not car batteries), fluorescent lightbulbs under four feet in length, and nonempty aerosol cans. “Inspection” means a site visit where a jurisdiction or its designee or designated entity, reviews records, containers, and an entity’s collection, handling, recycling, or disposal of solid waste or edible food handling to determine if the entity is complying with requirements set forth in this ordinance, or as otherwise defined in 14 CCR Section 18982(a)(35). "Mixed-use property" means properties that contain both living units and commercial or nonliving units. "Multifamily dwelling" means dwellings that (i) include five or more individual living units and (ii) receive and pay authorized collector's invoices as a single, collective bill. “Organics Container” has the same meaning as “Green Container” in 14 CCR Section 18982(a)(29) and shall be used for the purpose of storage and collection of Source Separated Organic Waste. “Organic material” or "Organic Waste" means solid wastes containing material originated from living organisms and their metabolic waste products, including but not limited to food waste, green material, landscape and pruning waste, organic textiles and carpets, lumber, wood, paper products, printing and writing paper, manure, biosolids, digestate, and sludges or as otherwise defined in 14 CCR Section 18982(a)(46). “Organic material processing facility” means any facility selected by the authorized collector that is approved by the town, or specifically designated by the town, operated and legally permitted for the purpose of receiving and processing organic materials. "Person" means any person or persons, firm, association, corporation, or other entity acting as principal, agent or officer, servant or employee, for themselves or for any other person, firm, or corporation. "Premises" includes a tract or parcel of land with or without habitable buildings or appurtenant structures. (CCR, Section 17225.50) For purposes of this chapter the word premises includes residential and commercial uses of the land, whether owned, leased, rented or subrented, including every dwelling house, dwelling unit, apartment house or multiple-dwelling building, trailer or mobile home park, store, restaurant, rooming house, hotel, motel, office building, department store, manufacturing, processing or assembling shop or plant, warehouse and every other place or premises where any person resides, or any business is carried on or conducted within the town. “Prohibited container contaminants” means (1) discarded materials placed in the designated recyclables container that are not identified as acceptable source separated recyclables for the town’s designated recyclables collection container; (2) discarded materials placed in the designated organic materials collection container that are not identified as acceptable source separated organic materials for the town’s designated organic materials collection container; and (3) discarded materials placed in the garbage container that are acceptable source separated recyclables and/or source separated organic materials to be placed in town’s designated organic materials collection container and/or designated recyclables collection container and, and (4) exempt waste placed in any container. "Recyclable (source separated) materials" means any material designated to be separated from the waste stream for purposes of recycling (adapted from PRC, Section 41951). This designation shall be made by the town and the authorized collector based on good public practice, ability to receive an acceptable economic return, and feasibility of separating the material from the waste stream at the point of collection. Recyclable materials are currently limited to paper, glass, cardboard, plastics, ferrous metal, and aluminum. "Recycling" means the process of collecting, sorting, cleansing, treating and reconstituting materials that would otherwise become garbage and returning them for use or reuse in the form of raw materials for new, used or reconstituted products which meet the quality standard necessary to be used in the marketplace. Recycling does not include transformation as defined in Public Resources Code § 40201. (CCR, Title 14, Section 17225.54)“Recyclable Materials Container” has the same meaning as “Blue Container” in 14 CCR Section 18982(a)(5) and shall be used for the purpose of storage and collection of Source Separated Recyclable Materials. “Remote Monitoring” means the use of mechanical or electronic devices to identify the types of materials in Recycling Containers, Compost Containers, and/or Landfill Containers for purposes of identifying the quantity of materials in containers (level of fill) and/or presence of Prohibited Container Contaminants. “Residential” means, for the purposes of this chapter, any premise consisting of between one (1) and four (4) dwelling units, and onsite domestic uses accessory to these dwelling units. A multi-family dwelling that consists of fewer than five (5) dwelling units is “Residential”, for the purposes of this Chapter. “Restaurant” means an establishment primarily engaged in the retail sale of food and drinks for on- premises or immediate consumption, or as otherwise defined in 14 CCR Section 18982(a)(64). “SB 1383” means Senate Bill 1383 of 2016 approved by the Governor on September 19, 2016, which added Sections 39730.5, 39730.6, 39730.7, and 39730.8 to the Health and Safety Code, and added Chapter 13.1 (commencing with Section 42652) to Part 3 of Division 30 of the Public Resources Code, establishing methane emissions reduction targets in a Statewide effort to reduce emissions of short-lived climate pollutants as amended, supplemented, superseded, and replaced from time to time. “SB 1383 Regulations” or “SB 1383 Regulatory” means or refers to, for the purposes of this ordinance, the Short-Lived Climate Pollutants: Organic Waste Reduction regulations developed by CalRecycle and adopted in 2020 that created 14 CCR, Division 7, Chapter 12 and amended portions of regulations of 14 CCR and 27 CCR. “Self-haul” means a person who hauls solid waste, organic waste or recovered material they have generated to another person. Self-hauler also includes a person who back-hauls waste, or as otherwise defined in 14 CCR Section 18982(a)(66). “Back-haul” means generating and transporting organic materials to a destination owned and operated by the generator using the generator’s own employees and equipment, or as otherwise defined in 14 CCR Section 189881(a)(66)(A). "Single-family unit" means a dwelling that is not a multifamily unit as defined above (i.e., a dwelling that includes three or fewer individual units or an individual unit on a residential property which property does not receive and pay authorized collector's invoices as a single, collective bill). "Solid waste" has the same meaning as defined in Public Resources Code Section 40191, which defines solid waste as all putrescible and nonputrescible solid and semisolid wastes, including garbage, recyclable materials, organic materials, demolition and construction wastes, bulky waste, discarded home and industrial appliances, manure, vegetable or animal solid or semisolid wastes, and other discarded solid and semisolid wastes with the exception that Solid Waste does not include any of the following wastes: (1) Hazardous waste, as defined in the Public Resources Code Section 40141, (2) Radioactive waste regulated pursuant to the State Radiation Control Law (Chapter 8 (commencing with Section 114960) of Part 9 of Division 104 of the Health and Safety Code) and (3) Medical waste regulated pursuant to the State Medical Waste Management Act (Part 14 (commencing with Section 117600) of Division 104 of the Health and Safety Code). Untreated medical waste shall not be disposed of in a Solid Waste landfill, as defined in Public Resources Code Section 40195.1. Medical waste that has been treated and deemed to be Solid Waste shall be regulated pursuant to Division 30 of the Public Resources Code. Recyclable materials and organic materials are a part of solid waste. “Solid waste collection service” means collection of solid waste originating in the town, by a persons, firms or corporations, and doing so under a contract or franchise agreement with the town. “Solid waste facility” means a solid waste transfer or processing station including Material Recovery Facilities, a composting facility, a gasification facility, a transformation facility, an Engineered Municipal Solid Waste conversion facility, and a disposal facility. Solid waste facility additionally includes a solid waste operation that may be carried out pursuant to an enforcement agency notification, as provided in regulations adopted by CalRecycle, or otherwise set forth in the Act. “Source separate” means the process of removing recyclable materials and organic materials from solid waste at the place of generation, prior to collection, and placing such materials into separate containers designated for recyclable materials and organic materials, or as otherwise defined in 14 CCR Section 17402.5(b)(4). “Source reduction” means any action which causes a net reduction in the generation of solid waste. Source reduction includes, but is not limited to, reducing the use of nonrecyclable materials, replacing disposable materials and products with reusable materials and products, reducing packaging, reducing the amount of yard wastes generated, establishing garbage rate structures with incentives to reduce the amount of wastes that generator produce, and increasing the efficiency of the use of paper, cardboard, glass, metal, plastic, and other materials. Source reduction does not include steps taken after the material becomes solid waste or actions which would impact air or water resources in lieu of land, including, but not limited to, transformation "Storage container" means portable enclosed storage units for temporary on-site storage. “Supermarket” means a full-line, self-service retail store with gross annual sales of two million dollars ($2,000,000), or more, and which sells a line of dry grocery, canned goods, or nonfood items and some perishable items, or as otherwise defined in 14 CCR Section 18982(a)(71). “Tier one commercial edible food generator” means a commercial edible food generator that is one of the following as defined in 14 CCR Section 18982(a): (a) Supermarkets with gross annual sales of $2,000,000 or more (b) Grocery store with a total facility size equal to or greater than 10,000 square feet. (c) Food service provider, which means an entity primarily engaged in providing food services to institutional, governmental, commercial, or industrial locations of others based on contractual arrangements with these types of organizations. (d) Wholesale food vendor, which means a business or establishment engaged in the merchant wholesale distribution of food, where food (including fruits and vegetables) is received, shipped, stored, prepared for distribution to a retailer, warehouse, distributor, or other destination. (e) Food distributor, which means a company that distributes food to entities including, but not limited to, supermarkets and grocery stores. “Tier two commercial edible food generator” means a commercial edible food generator that is one of the following: (a) Restaurant with 250 or more seats, or a total facility size equal to or greater than 5,000 square feet. (b) Hotel with an on-site food facility and 200 or more rooms. (c) Health facility with an on-site food facility and 100 or more beds. (d) Large venue, which means a permanent venue facility that annually seats or serves an average of more than 2,000 individuals within the grounds of the facility per day of operation of the venue facility. For purposes of this ordinance and implementation of 14 CCR, Division 7, Chapter 12, a venue facility includes, but is not limited to, a public, nonprofit, or privately owned or operated stadium, amphitheater, arena, hall, amusement park, conference or civic center, zoo, aquarium, airport, racetrack, horse track, performing arts center, fairground, museum, theater, or other public attraction facility. For purposes of this ordinance and implementation of 14 CCR, Division 7, Chapter 12, a site under common ownership or control that includes more than one large venue that is contiguous with other large venues in the site, is a single large venue. (e) Large event, which means an event, including, but not limited to, a sporting event or a flea market, that charges an admission price, or is operated by a local agency, and serves an average of more than 2,000 individuals per day of operation of the event, at a location that includes, but is not limited to, a public, nonprofit, or privately owned park, parking lot, golf course, street system, or other open space when being used for an event.. (f) A state agency with a cafeteria with 250 or more seats or total cafeteria facility size equal to or greater than 5,000 square feet. (g) A local education agency facility with an on-site food facility. Local education agency means a school district, charter school, or county office of education that is not subject to the control of city or county regulations related to Solid Waste, or as otherwise defined in 14 CCR Section 18982(a)(40). “Town manager” means the town manager of the town of Tiburon, or their designee. 26-2 - Purpose of chapter. The purpose of this chapter is to prevent actual or potential public health hazards and nuisances by the regulation of the accumulation, collection and disposal of solid waste and the licensing of persons engaged therein. 26-3 - Disposal of solid waste generally. It is unlawful for any person to keep, deposit, bury or dispose of any solid waste in or upon any private property, public street, alley, sidewalk, gutter, park, upon the banks of any stream or creek in the town, or in or upon any of the waters thereof except as provided in this chapter. Every person having the obligation of the disposal of solid waste as provided in this chapter shall dispose of the same only through the authorized collector or as may be expressly permitted by this chapter. 26-4 - Duty to subscribe to solid waste collection service. (a) Every tenant, lessee or occupant of any premises within the town shall have the solid waste collection service by the authorized collector at least once each week, and shall pay the authorized collector for said service at the monthly rates provided therefore. (b) A mandatory obligation is imposed on each responsible person occupying any premise to separate and recycle all recyclable material and organic materials from the garbage generated on the premise. Generators shall place source separated organic materials, including food waste, in the organic materials collection container; place source separated recyclable materials in the recyclable material collection container; and place garbage in the approved garbage collection container. Generators shall not place prohibited container contaminants into the garbage collection container, organic materials collection container or recyclable material collection container. (c) The authorized collector shall give written notice to the town manager of the address of any occupied premise within the town which is not subscribing to the solid waste collection service provided by the authorized collector. (d) Generators shall provide or arrange for access during all inspections and investigations (with the exception of a private residential dwelling unit) and cooperate with the town manager or authorized collector during such inspections and investigations as described in Section 26-10. (e) Nothing in this chapter limits the right of any person to donate, sell, or otherwise remove their recyclable materials so long as the removal otherwise complies with this Chapter. (f) Organic materials may be fed to animals on the premises where such organic materials is produced, provided that the premises are always kept in a sanitary condition to the satisfaction of the town manager; and provided further that the keeping and feeding of such animals shall at all times conform to the applicable regulations of those entities governing the same now in force or which thereafter may be enacted or promulgated. (g) Organic materials may be used in on-site composting or community composting, pursuant to 14 CCR Section 18984.9(c), provided that such operation conforms to the applicable regulations of those entities governing the same now in force or which thereafter may be enacted or promulgated. 26-4.1 -Residential generator requirements. Except for residential generators that meet the self-hauler requirements in section 26-4.4, each residential generator shall subscribe to a level of solid waste collection service with the authorized collector for Garbage Container, Recyclable Container and Organics Container in sizes sufficient to handle the volume of garbage, recyclable material, and organic materials generated or accumulated on the premises and comply with requirements of those collection services. 26-4.2 -Commercial generator requirements. Commercial generators shall comply with the following requirements. (a) Each commercial generator, including all multi-family dwellings that consist of five dwelling units or more, large events and large venues shall be responsible for compliance with the requirements of this Section. (b) Except for commercial generators that obtain a waiver or that meet the self-hauler requirements in section 26-4.4 , each commercial generator shall subscribe to a level of service with a authorized collector for a Garbage Container, Recyclable Materials container and Organics Container. Container sizes shall be sufficient to handle the volume of garbage, recyclable materials and organic materials generated or accumulated on the premises. Additionally, each commercial generator shall ensure the proper separation of solid waste, as established by the authorized collector, by placing each type of material in the designated collection containers, and ensuring that employees, contractors, volunteers, customers, visitors, and other persons on-site conduct proper source separation of solid waste. (c) Supply and allow access to adequate number, size, and location of Garbage Containers, Recyclable Materials Containers and Organics Containers with sufficient labels or colors, conforming with requirements of this section, for employees, contractors, tenants, and customers, consistent with the solid waste collection service. (d) Annually provide information to employees, contractors, tenants, and customers about organic materials recovery requirements and about proper sorting of solid waste. (e) Provide educational information before, or within, fourteen (14) days of occupation of the premises to new tenants that describes requirements to keep source separated organic materials and source separated recyclable materials separate from garbage (when applicable) and the location of collection containers and the rules governing their use at each property. (f) Accommodate and cooperate with the authorized collector’s remote monitoring or other inspection of the contents of containers for prohibited container contaminants, to evaluate generator’s compliance. (g) If a commercial generator self-hauls, the commercial generator shall meet the self-haul requirements in Section 26-4.4 of this Chapter. Commercial generators, excluding multi-family dwellings consisting of five (5) or more dwelling units, shall also comply with the following additional requirements. (h) Provide containers for the collection of source separated organic materials and source separated recyclable materials in all indoor and outdoor areas where garbage disposal containers are provided for customers, for materials generated onsite. Such containers do not need to be provided in restrooms. If a commercial generator does not generate any of the materials that would be collected in one type of collection container, then it is not required to provide that type of container in all areas where disposal collection containers are provided for customers. Pursuant to 14 CCR Section 18984.9(b), the indoor and outdoor containers shall have either: (1) A body or lid that is gray or black for collection of garbage, blue for collection of recycling, and green for collection of organic materials. A commercial generator is not required to replace functional containers, including containers purchased prior to January 1, 2022, that do not comply with the requirements of the subsection prior to the end of the useful life of those containers, or prior to January 1, 2036, whichever comes first or; (2) Container labels that include language or graphic images, or both, indicating the primary material accepted and the primary materials prohibited in that container, or containers with imprinted text or graphic images that indicate the primary materials accepted and primary materials prohibited in the container. Pursuant 14 CCR Section 18984.8, the container labeling requirements are required on new containers commencing January 1, 2022. (i) To the extent practical through education, training, inspection, and/or other measures, prohibit employees from placing materials in a container not designated for those materials per the solid waste collection service. (j) Periodically inspect organic materials, recycling, and garbage containers for contamination and inform employees if containers are contaminated and of the requirements to keep contaminants out of those containers pursuant to 14 CCR Section 18984.9(b)(3). (k) Commercial generators that are commercial edible food generators, as defined in Section 26-1, shall comply with commercial edible food generator requirements, pursuant to Section 26-8. 26-4.3 -Waivers. (a) Pursuant to 14 CCR Section 18984.11, the town may grant waivers to commercial businesses for physical space limitations and/or de minimis volumes. Commercial businesses seeking a waiver shall submit their request in a form specified by the town manager. After reviewing the waiver request, and after an on-site review, if applicable, the town manager may either approve or deny the following waiver requests. (1) De Minimis Waivers: The town may waive a commercial business’ obligation to comply with some or all the requirements of Section 26-4.2 if the commercial business meets the following requirements: (i) Submit an application specifying the type of waiver requested and provide documentation as described below. (ii) Provide documentation that either: a) The commercial business receives two or more cubic yards of weekly solid waste collection service (including garbage, recyclable material and organic materials) and disposed organic materials comprises less than 20 gallons per week of the business’ total weekly solid waste volume; or b) The commercial business receives less than two cubic yards of weekly solid waste collection service (including garbage, recyclable material and organic materials) and disposed organic materials comprises less than 10 gallons per week of the business’ total weekly solid waste volume. c) For the purposes of subsections a) and b) above, weekly solid waste collection shall be the sum of weekly garbage collection container volume, recyclable material collection container volume and organic materials collection container volume, measured in cubic yards. (iii) Notify the town if circumstances change such that volume of commercial business’ organic materials placed in collection containers exceeds threshold required for waiver, in which case waiver will be rescinded. (iv) Provide written verification of eligibility for de minimis waiver every five years if the town has approved de minimis waiver. (2) Physical Space Waivers: The town may waive a commercial business’ obligations (including multi-family dwellings) to comply with some or all of the recyclable materials and/or organic materials collection service requirements if the town has evidence from its own staff, a hauler, licensed architect, or licensed engineer demonstrating that the premises lacks adequate space for the collection containers required for compliance with the collection service requirements. A commercial business or property owner may request a physical space waiver through the following process: (i) Submit an application form specifying the type(s) of collection services for which they are requesting a waiver from mandatory collection service. (ii) Provide documentation that the premises lacks adequate space for the approved recyclable materials collection containers and approved organic materials collection containers including documentation from its authorized collector, licensed architect, or licensed engineer. (iii) Provide written verification to the town that it is still eligible for physical space waiver every five years if the town has approved application for a physical space waiver. 26-4.4 -Self-haul. (a) Self-haulers shall haul their source separated recyclable materials to a facility that recovers those materials; and haul their source separated organic materials to a solid waste facility, operation, activity, or property that processes or recovers source separated organic materials. (b) Self-haulers that are commercial businesses shall keep a record of the amount of organic materials delivered to each solid waste facility, operation, activity, or property that processes or recovers organic materials; this record shall be subject to inspection by the town. The records shall include the following information: (1) Delivery receipts and weight tickets from the entity accepting the waste. If the material is transported to an entity that does not have scales on-site or employs scales incapable of weighing the self-hauler’s vehicle in a manner that allows it to determine the weight of materials received, the self-hauler is not required to record the weight of material but shall keep a record of the entities that received the organic materials. (2) The amount of material in cubic yards or tons transported by the generator to each entity. (3) At the request of the town or authorized collector, complete and retain on-site a self-hauling form certifying that all self-hauling activities will be completed in accordance with this chapter or any other applicable law or regulation. A copy of such form shall be completed and remitted annually to the town. 26-5 - Storage receptacles; accumulation. It is unlawful to place or permit to remain any solid waste except in a suitable covered container supplied by the authorized collector as set forth in this chapter. (a) Authorized collector shall provide suitable and sufficient collection containers for purchase or rent by any person or entity having a duty to subscribe to solid waste collection service under this chapter. (b) The specific nature of the required collection containers shall be established as from time to time approved by the town and the authorized collector. (c) Generators shall arrange for a size, quantity and collection frequency of collection containers to adequately store all solid waste generated in connection with the premise between the times designated for collection service. The town shall have the right to review the number and size of such collection containers to evaluate the adequacy of capacity provided for each type of collection service and to review the separation and containment of materials. Generators shall adjust service levels for their collection services as requested by the town in order to meet the standards set forth in this chapter. (d) All solid waste shall be placed in collection containers constructed of metal or an approved plastic material and type that is watertight, nonabsorbent, animal resistant, durable, easily cleanable, equipped with handles, and has tight-fitting covers such that the collection containers hold the solid waste without spillage and leakage, escape of odors or access of flies to the contents thereof. (e) No person owning or occupying any building, lot or premises shall allow any solid waste to accumulate or remain in or upon the building, lot or premises in a manner in violation of this chapter or that otherwise creates a public nuisance. 26-5.1- Receptacle location. Except as expressly provided by this section, no solid waste collection containers other than those owned or rented by the town shall be placed or kept in or on any public street, sidewalk, footpath, or any public place whatsoever, but shall be maintained on the premises in a location and manner so as not to be visible from the public street. Notwithstanding the foregoing, solid waste collection containers may be placed on the day(s) and in the designated collection locations authorized collector for removal and emptying of said collection containers, but shall be removed within twenty-four hours of the day of collection. 26-5.2 - Improper use of public solid waste receptacles. It is unlawful for any person to place or cause to be placed in any public receptacle owned by the town and located upon public streets or in public places any solid waste originating within or upon any private property. 26-6 - Transportation of solid waste in town. (a) No solid waste shall be removed and carried on and along the streets and alleys of the town, unless the same is carried, conveyed or hauled in conveyances so constructed as to be dustproof, and so arranged as not to permit dust or other matter to sift through or fall upon the streets and alleys. The contents of such conveyances shall be further protected with appropriate covers so as to prevent the same from being blown upon the streets, alleys and adjacent lands. (b) No solid waste shall be removed and carried on or along any street or alley of the town, unless the same is transported in watertight containers with proper covers so that the garbage shall not be offensive, and every such container shall be kept clean and such solid waste shall be so loaded that none of it shall fall, drip or spill to or on the ground, sidewalk or pavement. (c) Every truck used in the collection or removal of solid waste shall be kept well painted and clean inside and out; and the name of the authorized collector and the truck number shall be prominently displayed on each truck. 26-7 - Emergency removal of solid waste. Nothing in this chapter shall be deemed to prohibit the town from removing and hauling any solid waste considered by the town manager to undermine the health, safety or welfare of the public. 26-8- Commercial edible food generator requirements. (a) Tier one commercial edible food generators must comply with the requirements of this section January 1, 2022, and Tier two commercial edible food generators must comply commencing January 1, 2024, pursuant to 14 CCR Section 18991.3. (b) Large venue or large event operators not providing food services, but allowing for food to be provided by others, shall require food facilities operating at the large venue or large event to comply with the requirements of this section, commencing January 1, 2024. (c) Commercial edible food generators shall comply with the following requirements: (1) Arrange to recover the maximum amount of edible food that would otherwise be disposed. (2) Contract with or enter into a written agreement with food recovery organizations or food recovery services for: (a) the collection of edible food for food recovery; or (b) acceptance of the edible food that the commercial edible food generator self-hauls to the food recovery organization for food recovery. (3) Shall not intentionally spoil edible food that is capable of being recovered by a food recovery organization or a food recovery service. (4) Allow the town’s designated enforcement entity or designated third party enforcement entity to access the premises and review records pursuant to 14 CCR Section 18991.4. (5) Keep records that include the following information, or as otherwise specified in 14 CCR Section 18991.4: (i) A list of each food recovery service or organization that collects or receives its edible food pursuant to a contract or written agreement established under 14 CCR section 18991.3(b). (ii) A copy of all contracts or written agreements established under 14 CCR section 18991.3(b). (iii) A record of the following information for each of those food recovery services or food recovery organizations: a) The name, address and contact information of the food recovery service or food recovery organization. b) The types of food that will be collected by or self-hauled to the food recovery service or food recovery organization. c) The established frequency that food will be collected or self-hauled. d) The quantity of food, measured in pounds recovered per month, collected or self-hauled to a food recovery service or food recovery organization for food recovery. (d) Nothing in this Chapter shall be construed to limit or conflict with the protections provided by the California Good Samaritan Food Donation Act of 2017, the Federal Good Samaritan Act, or share table and school food donation guidance pursuant to Senate Bill 557 of 2017 (approved by the Governor of the State of California on September 25, 2017, which added Article 13 [commencing with Section 49580] to Chapter 9 of Part 27 of Division 4 of Title 2 of the Education Code, and to amend Section 114079 of the Health and Safety Code, relating to food safety, as amended, supplemented, superseded and replaced from time to time). 26-9 - Food recovery organization and food recovery services requirements. (a) Food recovery services collecting or receiving edible food directly from commercial edible food generators, via a contract or written agreement established under 14 CCR Section 18991.3(b), shall maintain the following records, or as otherwise specified by 14 CCR Section 18991.5(a)(1): (1) The name, address, and contact information for each commercial edible food generator from which the service collects edible food. (2) The quantity in pounds of edible food collected from each commercial edible food generator per month. (3) The quantity in pounds of edible food transported to each food recovery organization per month. (4) The name, address, and contact information for each food recovery organization that the food recovery service transports edible food to for food recovery. (b) Food recovery organizations collecting or receiving edible food directly from commercial edible food generators, via a contract or written agreement established under 14 CCR Section 18991.3(b), shall maintain the following records, or as otherwise specified by 14 CCR Section 18991.5(a)(2): (1) The name, address, and contact information for each commercial edible food generators from which the organization receives edible food. (2) The quantity in pounds of edible food received from each commercial edible food generator per month. (3) The name, address, and contact information for each food recovery service that the organization receives edible food from for food recovery. (c) Food recovery organizations and food recovery services that have their primary address physically located in the town and contract with or have written agreements with one or more commercial edible food generators pursuant to 14 CCR Section 18991.3(b) shall annually report to the town it is located in the total pounds of edible food recovered in the previous calendar year from the tier one and tier two commercial edible food generators they have established a contract or written agreement with pursuant to 14 CCR Section 18991.3(b) no later than April 1. (d) In order to support edible food recovery capacity planning assessments or other studies conducted by the county, town, special district that provides solid waste collection services, or its designated entity, food recovery services and food recovery organizations operating in the town shall provide information and consultation to the town, upon request, regarding existing, or proposed new or expanded, food recovery capacity that could be accessed by the town and commercial edible food generators. A food recovery service or food recovery organization contacted by the town shall respond to such request for information within 60 days unless a shorter timeframe is otherwise specified by the town. 26-10 – Administration, inspections and enforcement of chapter. (a) The town manager shall make such rules and interpretation of the terms of this chapter not inconsistent with the provisions of this chapter as may be necessary, reasonable and proper to effect the proper expedient, economical and efficient collection and removal of solid waste by the authorized collector (b) The town, authorized collector, or designee is authorized to conduct any inspections, remote monitoring, or other investigations as reasonably necessary to further the goals of this chapter, subject to applicable laws. This may include inspections and investigations, at random or otherwise, of any collection container, collection vehicle load, or transfer, processing, or disposal facility to confirm compliance with this chapter, subject to applicable laws. This section does not allow entry in a private residential dwelling unit for inspection. For the purposes of inspecting collection containers for compliance, the town or authorized collector may conduct container inspections for prohibited container contaminants using remote monitoring, and generators shall accommodate and cooperate with the remote monitoring. (c) A person subject to the requirements of this chapter shall provide or arrange for access during all inspections (with the exception of a private residential dwelling unit) and shall cooperate with the town or authorized collector during such inspections and investigations. Such inspections and investigations may include confirmation of proper placement of materials in containers, inspection of edible food recovery activities, review of required records, or other verification or inspection to confirm compliance with any other requirement of this chapter. Failure to provide or arrange for: (i) access to the premises; (ii) installation and operation of remote monitoring equipment, if a remote monitoring program is adopted; or (iii) access to records for any inspection or investigation is a violation of this chapter and may result in penalties. (d) Any records obtained by the town, authorized collector, or designee, during inspections, investigations, remote monitoring and other reviews shall be subject to the requirements and applicable disclosure exemptions of the California Public Records Act as set forth in Government Code Section 6250 et seq. (e) The town, authorized collector or designee shall accept written complaints from persons regarding an entity that may be potentially non-compliant with this chapter and/or the SB 1383 Regulations. (f) A violation of any provision of this chapter shall constitute an infraction and will be grounds for issuance of a notice of violation and assessment of an administrative citation and penalty by the town’s enforcement officer or its designated enforcement agency. (g) Enforcement actions under this chapter are issuance of a notice of violation and assessment of an administrative citation and assessment of a fine. The town’s procedures on imposition of administrative citations and fines as contained in Municipal Code Chapter 31 shall govern the imposition, enforcement, collection, and review of administrative citations and fines issued to enforce this chapter and any rule or regulation adopted pursuant to this chapter. Any section of this chapter may be enforced by the town of Tiburon or, if agreed to, by its designated enforcement agency. (h) A violation may be punishable by: a. A fine of one hundred dollars for a first violation; b. A fine of two hundred dollars for a second violation of the same provision of this code within any twelve consecutive month period; c. A fine of five hundred dollars for each additional violation of the same provision of this code within any twelve consecutive-month period. Any citation issued after the issuance of a third citation or violation of the same provision of this code within any twelve consecutive-month period may be charged as a misdemeanor pursuant to the provisions of Chapter 31 of this code. (i) The town or designated enforcement agency may issue a notice of violation requiring compliance within 60 days or sooner of issuance of the notice. (j) Absent compliance by the respondent within the deadline set forth in the notice of violation, the town or designated enforcement agency shall commence an action to impose penalties, via an administrative citation and fine, pursuant to the town’s standard procedures or the standard procedures of its designated enforcement agency. (k) The remedies provided in this chapter shall be cumulative and not exclusive and any remedies allowed by law may be used, including civil action or prosecution as a misdemeanor or infraction, in the sole discretion of the town attorney. The town may pursue civil actions in the California courts to seek recovery of unpaid administrative citations, and fines. The town may choose to delay court action until such time as a sufficiently large number of violations, or cumulative size of violations exist such that court action is a reasonable use of town staff and resources. (l) Each separate day or any portion thereof on which a violation occurs or is committed, continued or permitted shall be deemed to constitute a separate offense punishable as herein provided. Article II. - Collection 26-11 - Town contracts for collection services; renewal of contract. The town council may, with or without having invited bids therefore, enter into a contract with any responsible person or entity to be the authorized collector under this chapter. The term of such contract, rates of collection and other provisions of such contract shall be as provided by resolution of the town council. Where such a contract has been entered into between the town and a contractor for the collection, removal and disposal of solid waste, and such contractor shall have satisfactorily performed such contract, the town council, without inviting bids or proposals therefore and without giving notice of its intention to do so, may, either prior to or after the expiration of such contract, extend or renew the same for such a period and on such terms and conditions as the town council shall provide by resolution. 26-12 - Terms and conditions of contract. The contract shall contain the following provisions: (a) The authorized collector shall be required to dispose of all solid waste at appropriate disposal facilities satisfactory to the town. (b) The town’s authorized collector providing residential, commercial, or industrial organic materials collection services to generators within the town’s boundaries shall meet the following requirements and standards as a condition of approval of a contract, agreement, or other authorization with the town to collect organic materials: (1) Through written notice to the town annually on or before January 1, 2022, identify the facilities to which they will transport organic materials including facilities for source separated recyclable materials and source separated organic materials. (2) Transport source separated recyclable materials and source separated organic materials to a facility, operation, activity, or property that recovers organic materials as defined in 14 CCR, Division 7, Chapter 12, Article 2. (3) Obtain approval from the town to haul organic materials, unless it is transporting source separated organic materials to a community composting site or lawfully transporting construction and demolition debris in a manner that complies with 14 CCR Section 18989.1. (c) The authorized collector shall comply with all applicable federal, state and local laws, as they may be amended from time to time, in performance of the contract. (d) The authorized collector shall be required to make provisions for collection and disposal of household hazardous waste. (Ord. No. 530 N.S., § 2, 7-6-2011) 26-13 - Duty of authorized collector; regulation and supervision of collection. The authorized collector shall provide solid waste collection service to all persons situated within the town; provided, that payment for service is made. The town council may establish standard regulations for the methods of collection of solid waste service charges, including the enforcement thereof. The town manager shall supervise the collection and removal of all solid waste by the authorized collector. 26-14 - Responsibility and liability of authorized collector; liability insurance required. The authorized collector shall be considered as and shall be an independent contractor and shall be responsible to the town for the result of his work to be done, but shall act under his own directions as to the manner of performing this work; and he shall keep himself and all of his employees insured against all liability under state workmen's and employees insurance, compensation and safety laws and against public liability and property damage (including all such liability for use or operation of motor vehicles used in the performance of work hereunder). Such public liability insurance shall be in a form and manner and to the extent satisfactory to the town. Evidence of such insurance shall be filed with the town annually. 26-15 - Performance bond required of authorized collector. Prior to execution of any contract authorizing any person or entity to act as the authorized collector under this chapter, said person or entity shall file with the town a bond for the faithful performance of the contract in the sum of one hundred thousand dollars. 26-16 - Exclusive rights of authorized collector. (a) An award of a contract under this chapter shall confer upon the person to whom the contract is awarded the exclusive right to serve as authorized collector under this chapter during the terms of the contract, to collect, transport and dispose of solid waste, subject only to such exceptions as are specifically set forth in this chapter or the town's contract with authorized collector. All provisions of this chapter applicable to the authorized collector shall constitute and be a part of any contract awarded hereunder. (b) Nothing in this chapter shall preclude an occupant, renter, or owner of property in the town to regularly dispose of their solid waste either personally or through the uncompensated services of another, in either case at a county-operated disposal facility. (c) No person, other than the authorized collector or persons authorized under subsection (b) of this section, shall remove paper, glass, cardboard, plastic, used motor oil, ferrous metal, aluminum, or other recyclable materials which have been source separated from solid waste materials and placed at a designated collection location for residential curbside collection for the purposes of collection and recycling. 26-17 - Rates and charges. The authorized collector shall charge every user of solid waste collection service, at rates established pursuant to the contract between the town and the authorized collector. Such rates shall be subject to change in accordance with said contract. The authorized collector shall use reasonable efforts to set rates so as to fairly distribute the costs of solid waste collection service between users thereof according to the extent of their usage. 26-18 - Establishment of routes and time for collection. The authorized collector shall establish routes, days and hours for collection of solid waste and may change the same from time to time. When such routes, days and hours are established or changed, the same shall be filed with the town manager. TOWN OF TIBURON PAGE 1 OF 4 STAFF REPORT To: Mayor and Members of the Town Council From: Department of Public Works Subject: Update on the Fiscal Year 2021-2022 Capital Improvement Plan and Review of 5 Year Capital Improvement Plan Projects. Reviewed By: _________ Greg Chanis, Town Manager ________ Benjamin Stock, Town Attorney SUMMARY Council will receive a status update on the approved Fiscal Year 2021-2022 Capital Improvement Program, and review projects included in the 5-Year Capital Improvement Plan included in the adopted FY 2022 Budget. RECOMMENDED ACTION(S) Staff recommends that the Town Council: Receive the Staff Report and Presentation, hear any public comment and: 1. Provide feedback/direction to staff on the approved projects in the CIP. BACKGROUND Due to the current pandemic, the in-person Town Council staff retreat to discuss the CIP prior to adoption was not scheduled. At the retreats, Town Council and staff discuss the General Fund reserves, current capital projects, and the Town’s Capital Improvement Plan (CIP). Accordingly, this staff report and accompanying presentation will cover the following: • Update Council on CIP Projects that are currently underway. • Review the Five-Year CIP Projects (Exhibit 1). ANALYSIS Current Capital Projects Underway Fiscal Year 2021-22 Pavement Maintenance & Rehabilitation This project is the annual pavement maintenance program. The program performs maintenance activities such as slurry seal and asphalt overlay as recommended in the town's pavement management program. Streets and treatments are determined annually. This is part of the commitment made by Council to fund roadways to increase the Pavement Condition Index (PCI) TOWN OF TIBURON 1505 Tiburon Boulevard Tiburon, CA 94920 Town Council Meeting November 17, 2021 Agenda Item DI-1 Town Council Meeting November 17, 2021 TOWN OF TIBURON PAGE 2 OF 4 in Tiburon. Town Council approved the design contract with PEI on November 3, 2021. Design is anticipated to be completed in January 2022, advertised for bids in February 2022, and constructed in Summer 2022. Del Mar Safe Pathways to School The Project will install improvements intended to improve pedestrian safety at the following intersections: Howard Drive and Hilary Drive, Howard Drive and Rowley Circle, Rowley Circle and Geldert Court, Hilary Drive and Rowley Circle, Avenida Miraflores and Hilary Drive, Avenida Miraflores and Felipa Court. Improvements vary by intersection, and include improved pavement striping, markings, and signage; curb ramps; pedestrian bulb outs; and median refuge islands. The project is 100% funded by a grant from the Transportation Authority of Marin Safe Pathways to School funding program. The design is currently pending a final review from staff. The project will be put out to bid in January 2022 and construction will follow as weather permits. Hawthorne Undergrounding Resurfacing Because of the extensive trenching required as part of the currently underway Hawthorne Utility Undergrounding Project, a significant portion of the street will require restoration. This presents an opportunity for the Town to resurface the entire street by contributing the cost difference between patching and fully resurfacing the street. Locations include Hilary Drive, Palmer Court and the upper parts of Rock Hill Drive. Current Town undergrounding policy also provides that projects on the CIP list will receive a pavement overlay. This includes Hawthorne Drive and the lower part of Rock Hill Drive. Resurfacing of streets with a PCI of 20 or less are paid for solely by the Town which includes part of Hawthorne Drive. The remainder of the street segments are on a cost share basis where the trench restoration costs are put toward the overlay, with the remainder paid by the Town. This project is currently under construction and resurfacing will be completed in Spring 2022. Annual Pedestrian and Bicycle Improvements Various pedestrian improvements. Includes improvements identified in 2016 Bicycle/Pedestrian Master Plan: Improve midblock crossing on Tiburon Boulevard 161' west of Juanita, improve path between Esperanza Street & Vistazo West Street, Tiburon Ridge Trail gap closures, improve trail at Las Lomas Lane & Centro West Street, and priority curb ramp replacements. Town Staff currently is in contract with a contractor to improve the path between Esperanza Street & Vistazo West Street. The improvements will include repairing the exiting stairs and pathway and adding a bicycle runnel along the edge of the stairs to easily transport bicycles up and down the stairs. This project is anticipated to be completed by the end of the year. Storm Drain Maintenance & Rehabilitation The Storm Drain Replacement Project consists of repair or replacement of storm drain pipes. The purpose of the construction is to replace or repair damaged and worn-out storm drain lines and to bring those lines up to an appropriate capacity, preferably the 25-year storm capacity. Staff is currently putting together a list of storm drain pipes that will be included for design this winter with construction to being in Summer 2022. Railroad Marsh Basin Rehabilitation In 2016 the Town completed a three-year project to remove biomass as an alternative to a much more expensive dredging project. This project helped to maintain the detention capabilities of Railroad Marsh at a cost of about $40,000 per year. The Town continues to do in-house Town Council Meeting November 17, 2021 TOWN OF TIBURON PAGE 3 OF 4 maintenance to the detention basin, but cattail biomass has grown significantly since the last cutting. The Town entered into an agreement with Harrison Engineering in February 2021 to develop a 5-year maintenance plan. Design is currently 100% complete and Harrison Engineering is currently working on getting all necessary state and water board permits in place. Construction scheduled to begin in Summer 2022 to remove cattails and silt from detention basins. Town Hall HVAC Rehabilitation This project replaces the HVAC system in Town Hall. Seven of the eight mechanical/electrical components are over their median service life. Improvements are needed to bring the system in compliance with current code and accommodate changes in the floor plan. Recently, Staff have replaced the sensors, controllers, outside air dampers and one condenser fan. Despite this, the system is still working poorly with some staff bringing in portable heaters and others opening windows. The Town entered into an agreement with GHD, Inc. in March 2021 to design the plans for the new HVAC system. GHD has been asked to design using an all-electric system to reduce the carbon footprint. The design is 95% complete. Once design is complete, we will need to adjust future funding based on probable cost of installation. Elephant Rock Rehabilitation The pier at Elephant Rock was built in 1961. It was declared structurally unsafe in 1985 and rehabilitated in 1986. On December 11, 1995 the pier was damaged in a storm. It was rebuilt in 1999. Some elements such as the timber piles beneath the walkway structure date from the 1986 rehabilitation and are now over 30 years old. A preliminary structural evaluation was completed in 2016. The following aspects were observed and need to be addressed: • Deteriorating wood members; especially the posts supported by concrete footing. • Corroding post and beam brackets. • Corroding fasteners. • Cantilevered tube steel and supported bracket with extensive corrosion. • Improper joist hangers for skewed conditions and improper protective finish. • Spalling concrete with exposed reinforcing steel at the rock formation. Staff met with Moffatt and Nichol Consultants last month to discuss two separate proposals: Proposal 1: Immediate repairs to the walkway railing on the concrete ramp - to be constructed as soon as possible. Staff has executed an agreement to begin the design work for this limited scope of work. Construction anticipated to begin early next year. Proposal 2: Larger project of reconstructing the pier and superstructure. Moffatt and Nichol are currently working on this proposal and will submit for review by staff and Town Council in December. 5-Year Capital Improvement Plan Public Works has developed and routinely updates a long-range list of capital projects that staff believes must be completed to maintain public infrastructure and safety (Exhibit 1). This five-year Capital Improvement Plan was approved by Council as part of the adopted Fiscal Year 2022 Budget. Staff will provide additional information on these projects during the presentation for this item at the Council meeting. Town Council Meeting November 17, 2021 TOWN OF TIBURON PAGE 4 OF 4 FISCAL IMPACT Staff anticipates no direct fiscal impact to the Town as the current CIP has been adopted. CLIMATE IMPACT Staff anticipates no direct climate impact to the Town. ENVIRONMENTAL REVIEW Staff has preliminarily determined that adoption of this item is statutorily exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to Section 15378 of the CEQA Guidelines in that it does not constitute a project under CEQA, and if it were found to constitute a project, it would be exempt pursuant to the general rule set forth in CEQA Guidelines Section 15061 (b)(3). RECOMMENDATION Staff recommends that the Town Council: Receive the Staff Report and Presentation, hear any public comment and: 1. Provide feedback/direction to staff on projects in the CIP. Exhibit(s): 1. Five Year CIP Prepared By: David Eshoo, Associate Engineer Patrick Kerslake, Superintendent of Public Works EXHIBIT 1 Project 2021-22 2022-23 2023-24 2024-25 2025-26 Five Year Total Pavement Maintenance & Rehabilitation 1,085,500$ 1,547,500$ 997,500$ 1,447,500$ 997,500$ 6,075,500$ Paradise Drive Stabilization -$ 290,000$ -$ -$ -$ 290,000$ Greenwood Beach Road Class III Bikeway 10,000$ -$ -$ -$ -$ 10,000$ Del Mar Safe Routes to School 354,208$ -$ -$ -$ -$ 354,208$ Hawthorne Resurfacing 364,237$ -$ -$ -$ -$ 364,237$ Brick Crosswalk Rehabilitation -$ 70,000$ -$ -$ -$ 70,000$ Main Street Seawall -$ 185,000$ -$ -$ -$ 185,000$ Brick Sidewalk Installation -$ 40,000$ 150,000$ -$ -$ 190,000$ Annual Pedestrian Improvements 25,000$ 25,000$ 25,000$ 25,000$ 25,000$ 125,000$ Annual Bicycle Improvements 25,000$ 25,000$ 25,000$ 25,000$ 25,000$ 125,000$ Storm Drain Maintenance & Rehabilitation 50,000$ 350,000$ 50,000$ 350,000$ 50,000$ 850,000$ ORT Culvert Rehabilitation 30,000$ 125,000$ -$ -$ -$ 155,000$ Beach Road Drainage Improvements -$ 120,000$ 590,000$ -$ -$ 710,000$ Railroad Marsh Basin Rehabililitation 75,200$ 60,000$ 60,000$ -$ -$ 195,200$ Corporation Yard Rehabilitation -$ 115,000$ 371,000$ 4,156,500$ 4,156,500$ 8,799,000$ Town Hall HVAC Rehabilitation 323,000$ -$ -$ -$ -$ 323,000$ Greenwood Beach Restoration -$ -$ -$ -$ -$ -$ Elephant Rock Rehabilitation 167,400$ 80,000$ 900,000$ -$ -$ 1,147,400$ Open Space Trailhead Improvements 46,200$ -$ -$ -$ -$ 46,200$ Tether Park Tennis Court Rehabilitation 21,300$ -$ -$ -$ -$ 21,300$ Lyford Tower Repairs 15,000$ -$ -$ -$ -$ 15,000$ Recreation Building Transfer Switch 25,000$ -$ -$ -$ -$ 25,000$ Improve Town Condominiums 60,000$ -$ -$ -$ -$ 60,000$ Hawthorne Undergrounding -$ -$ -$ -$ -$ -$ Total 2,677,045$ 3,032,500$ 3,168,500$ 6,004,000$ 5,254,000$ 20,136,045$ Five Year Capital Improvement Plan Projects TOWN OF TIBURON PAGE 1 OF 4 STAFF REPORT To: Mayor and Members of the Town Council From: Department of Administrative Services Subject: Presentation on American Rescue Plan Funding Reviewed By: _________ Greg Chanis, Town Manager ________ Benjamin Stock, Town Attorney SUMMARY Council will hear a presentation from staff regarding the American Rescue Plan and the State and Local Fiscal Recovery Funds authorized by the legislation. RECOMMENDED ACTION(S) 1. No action related to this item. BACKGROUND Program Overview and Allocation Information The American Rescue Plan Act (ARP) provides for $350 billion in State and Local Fiscal Recovery Funds (SLFRF) to respond to the COVID-19 public health emergency, or its negative economic impacts. The SLFRF provide funding for a variety of critical projects/programs, and includes: • $195 billion for states • $130 billion for local governments, including counties, cities, and smaller local governments (This is where Tiburon fits in) • $20 billion for tribal governments • $4.5 billion for territories Per the ARP, every City and Town in the country will receive an allocation from SLFRF based on population. Tiburon’s allocation is set at $2,173,086. A copy of the allocations for every City /Town in CA attached as Exhibit 1. The Town’s allocation will be provided in 2 tranches, each representing half of the total allocation. On July 16, 2021, the Town received the 1st tranche, totaling $1,086,543. A copy of the deposit notice from the State is attached as Exhibit 2. The funds have been placed in a newly created Restricted Reserve Fund for ease of tracking, and we expect the 2nd tranche to be distributed in July 2022. TOWN OF TIBURON 1505 Tiburon Boulevard Tiburon, CA 94920 Town Council Meeting November 17, 2021 Agenda Item: DI-2 Town Council Meeting November 17, 2021 TOWN OF TIBURON PAGE 2 OF 4 Compliance and Reporting The SLFRF program is being administered by the US Department of Treasury (DOT), and they have produced several guidance documents which provide an orientation to recipients’ compliance responsibilities and the DOT’s expectations and recommended best practices where appropriate under the SLFRF Program. These documents include the DOT Interim Final Rule (Exhibit 3) and the DOT Compliance and Reporting Guidance for the SLFRF program (Exhibit 4). Tiburon is categorized as a local government under the SLFRF. This category is further broken down by population size, with Tiburon classified as a Non-Entitlement Unit of Government, or NEU, within this category. This is important when reviewing the various rules/regulations associated with the ARP as there are significant differences in reporting requirements depending on the classification of the entity. As an NEU, the Town will be required to submit annual financial reports detailing ARP expenditures. The first of these reports will be due by April 30, 2022, with subsequent annual reports due by April 30 each year. Program Timelines The Town may use SLFRF funds to cover eligible costs incurred during the period that begins on March 3, 2021 and ends on December 31, 2024, as long as the award funds for the obligations incurred by December 31, 2024 are expended by December 31, 2026. ANALYSIS Eligible Uses of Funds Recipients may use SLFRF award funds to provide assistance to households, businesses, and individuals within the eligible use categories described in Treasury’s Interim Final Rule for costs that those households, businesses and individuals incurred prior to March 3, 2021. For example, 1. Public Health/Negative Economic Impacts: Recipients may use SLFRF award funds to provide assistance to households – such as rent, mortgage, or utility assistance – for costs incurred by the household prior to March 3, 2021, provided that the recipient State, territorial, local or Tribal government did not incur the cost of providing such assistance prior to March 3, 2021. 2. Premium Pay: Recipients may provide premium pay retrospectively for work performed at any time since the start of the COVID-19 public health emergency. Such premium pay must be “in addition to” wages and remuneration already received and the obligation to provide such pay must not have been incurred by the recipient prior to March 3, 2021. 3. Revenue Loss: Treasury’s Interim Final Rule gives recipients broad latitude to use funds for the provision of government services to the extent of reduction in revenue. While calculation of lost revenue begins with the recipient’s revenue in the last full fiscal year prior to the COVID-19 public health emergency and includes the 12-month period ending December 31, 2020, use of funds for government services must be forward looking for costs incurred by the recipient after March 3, 2021. 4. Investments in Water, Sewer, and Broadband: Recipients may use SLFRF award funds to make necessary investments in water, sewer, and broadband. Recipients may use SLFRF award funds to cover costs incurred for eligible projects planned or started prior to March Town Council Meeting November 17, 2021 TOWN OF TIBURON PAGE 3 OF 4 3, 2021, provided that the project costs covered by the SLFRF award funds were incurred after March 3, 2021. Revenue Loss (Category 3 above) SLFRF that fall into Category 3 (Revenue Loss) provide recipients with the most flexibility with regards to how they can be used, as recipients may use SLFRF for the provision of “government services” to the extent of the reduction in revenue experienced due to the COVID-19 public health emergency. The term “government services” includes very broad and flexible uses of revenue recoupment funds outside the standard eligibility requirements outlined in the other categories listed above. For example, government services can include, but are not limited to, maintenance or pay-go funded building of infrastructure, including roads; modernization of cybersecurity, including hardware, software, and protection of critical infrastructure; health services; environmental remediation; school or educational services; and the provision of police, fire, and other public safety services. The Interim Final Rule (Exhibit 3) includes the methodology for calculating Revenue Loss, which can be found on pages 14-16 of Exhibit 3. Using this methodology, staff now believes that most, if not all, of the Town’s allocation of SLFRF will fall into the Revenue Loss category, giving the Town maximum flexibility in expending the funds. The Table below summarizes staff’s preliminary calculations related to Revenue Loss, however, it is important to note the ARP requires recipients to measure Revenue Loss over 4 time periods based on calendar years (2020-2023). As a result, we only have ‘actuals’ data for the first period (Calendar Year 2020). 1/1/20- 12/31/20 1/1/21- 12/31/21 1/1/22- 12/31/22 1/1/23- 12/31/2023 12,062,543 12,724,776 13,423,366 14,160,309 (11,386,529) (12,011,649)(12,671,089)(13,366,732) 676,014 713,127 752,277 793,577 676,014 1,389,140 2,141,418 2,934,995Cumulative Estimated Total revenue Loss Differential (Revenue Loss) 12 Month Actuals ARP Revenue Loss Measurement Periods 12 Month Estimates Counterfactual Revenue Prior Council Authorization of SLFRF Expenditures The Town’s SLFRF allocation is $2,173,086, however, prior to tonight’s meeting, Council has authorized the following expenditures from SLFRF. • Completion of a Broadband Strategic Plan- $93,450 • Contribution to The Ranch- $54,880 • Contribution to County led homelessness initiative- $40,270 These items total $188,600. In addition, Council has expressed interest in earmarking $298,000 of SLFRF to provide support for a pilot Late Night Ferry Program. Assuming this expenditure occurs, the total amount of SLFRF committed by Council totals $486,600. This would leave a balance of $1,686,486 in unexpended SLFRF. Town Council Meeting November 17, 2021 TOWN OF TIBURON PAGE 4 OF 4 FINANCIAL IMPACT Staff anticipates no direct fiscal impact to the Town related to this presentation. CLIMATE IMPACT Staff has determined this action will have no direct climate impact to Tiburon. ENVIRONMENTAL REVIEW Staff has preliminarily determined that adoption of this item is statutorily exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to Section 15378 of the CEQA Guidelines in that it does not constitute a project under CEQA, and if it were found to constitute a project, it would be exempt pursuant to the general rule set forth in CEQA Guidelines Section 15061 (b)(3). RECOMMENDATION No action related to this item. Exhibit(s): 1. California City/Town SLFRF Allocations 2. Receipt for 1st Tranche of SLFRF Funds 3. DOT Interim Final Rule 4. DOT Compliance and Reporting Guidance Prepared By: Greg Chanis, Town Manager EXHIBIT 1 State Allocation Alabama $356,382,822.00 Alaska $43,189,176.00 Arizona $226,731,767.00 Arkansas $216,225,138.00 California $1,218,261,277.00 Colorado $265,396,436.00 Connecticut $202,744,874.00 Delaware $90,583,517.00 District of Columbia $0.00 Florida $1,416,425,123.00 Georgia $861,827,586.00 Hawaii $46,191,175.00 Idaho $107,940,808.00 Illinois $742,179,391.00 Indiana $432,551,280.00 Iowa $221,737,821.00 Kansas $167,352,563.00 Kentucky $324,203,207.00 Louisiana $315,493,318.00 Maine $119,223,764.00 Maryland $528,963,161.00 Massachusetts $385,056,772.00 Michigan $644,291,475.00 Minnesota $376,932,399.00 Mississippi $268,046,958.00 Missouri $450,143,657.00 Montana $86,377,829.00 Nebraska $111,189,720.00 Nevada $150,738,524.00 New Hampshire $112,208,773.00 New Jersey $578,121,375.00 New Mexico $126,089,079.00 New York $774,248,894.00 North Carolina $705,384,207.00 North Dakota $53,174,975.00 Ohio $843,726,939.00 Oklahoma $238,432,979.00 Oregon $248,351,580.00 Pennsylvania $983,008,128.00 Rhode Island $58,146,731.00 South Carolina $435,125,080.00 South Dakota $65,246,504.00 Tennessee $438,055,590.00 Texas $1,386,117,819.00 Utah $186,820,600.00 Vermont $58,788,245.00 Virginia $633,753,549.00 Washington $442,823,871.00 West Virginia $162,490,814.00 Wisconsin $411,577,691.00 Wyoming $47,790,929.00 American Samoa $5,071,819.00 Guam $17,599,913.00 Northern Mariana Islands $5,447,789.00 Puerto Rico $124,849,699.00 Virgin Islands $11,164,890.00 TOTAL $19,530,000,000.00 EXHIBIT 2 EXHIBIT 4 ADDENDUM State and Local Fiscal Recovery Funds Compliance and Reporting Guidance As announced on September 30, 2021 Treasury has extended the deadline for submission of the first Project and Expenditure Reports, which were originally due on October 31, 2021, as follows:  For States, U.S. territories, metropolitan cities and counties, and Tribal Governments, the report will now be due on January 31, 2022 and will cover the period between award date and December 31, 2021.  For non-entitlement units of government (NEUs), the Project and Expenditure report will now be due on April 30, 2022 and will cover the period between award date and March 31, 2022. Further instructions will be provided at a later date, including updates to this Compliance and Reporting guidance as well as a user guide to assist recipients to gather and submit the information through Treasury’s Portal. States and territories should continue to submit the monthly NEU/Non-UGLG distribution information through Treasury’s Portal. June 24, 2021 Version: 1.1 Coronavirus State and Local Fiscal Recovery Funds Guidance on Recipient Compliance and Reporting Responsibilities On March 11, 2021, the American Rescue Plan Act was signed into law, and established the Coronavirus State Fiscal Recovery Fund and Coronavirus Local Fiscal Recovery Funds, which together make up the Coronavirus State and Local Fiscal Recovery Funds (“SLFRF”) program. This program is intended to provide support to State, territorial, local, and Tribal governments in responding to the economic and public health impacts of COVID-19 and in their efforts to contain impacts on their communities, residents, and businesses. This guidance provides additional detail and clarification for each recipient’s compliance and reporting responsibilities under the SLFRF program, and should be read in concert with the Award Terms and Conditions, the authorizing statute, the SLFRF implementing regulation, and other regulatory and statutory requirements, including regulatory requirements under the Uniform Guidance (2 CRF Part 200). Please see the Assistance Listing in SAM.gov under assistance listing number (formerly known as CFDA number), 21.027 for more information. Please Note: This guidance document applies to the SLFRF program only and does not change nor impact reporting and compliance requirements for the Coronavirus Relief Fund (“CRF”) established by the CARES Act. This guidance includes two parts: Part 1: General Guidance This section provides an orientation to recipients’ compliance responsibilities and the U.S. Department of the Treasury’s (“Treasury”) expectations and recommends best practices where appropriate under the SLFRF Program. A. Key Principles……………………..……………………………………………………. P. 3 B. Statutory Eligible Uses…………………………………………………………………. P. 3 C. Treasury’s Rulemaking……………………………………………………….………… P. 4 D. Uniform Guidance (2 CFR Part 200)……………..…………………………………… P. 6 E. Award Terms and Conditions………………………………...………………………... P. 10 Part 2: Reporting Requirements This section provides information on the reporting requirements for the SLFRF program. A. Interim Report…...…………………………………………………………………...…. P. 13 B. Project and Expenditure Report…………….…………………………………...……. P. 15 C. Recovery Plan Performance Report..………………..……………………….….…… P. 23 Appendix 1: Expenditure Categories…………………………………………………….…… P. 31 Appendix 2: Evidenced-Based Intervention Additional Information…………………….…. P. 33 Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 2 Part 1: General Guidance This section provides an orientation on recipients’ compliance responsibilities and Treasury’s expectations and recommended best practices where appropriate under the SLFRF program. Recipients under the SLFRF program are the eligible entities identified in sections 602 and 603 of the Social Security Act as added by section 9901 of the American Rescue Plan Act of 2021 (the “SLFRF statute”) that receive a SLFRF award. Subrecipients under the SLFRF program are entities that receive a subaward from a recipient to carry out the purposes (program or project) of the SLFRF award on behalf of the recipient. Recipients are accountable to Treasury for oversight of their subrecipients, including ensuring their subrecipients comply with the SLFRF statute, SLFRF Award Terms and Conditions, Treasury’s Interim Final Rule, and reporting requirements, as applicable. A. Key Principles There are several guiding principles for developing your own effective compliance regimes: • Recipients and subrecipients are the first line of defense, and responsible for ensuring the SLFRF award funds are not used for ineligible purposes, and there is no fraud, waste, and abuse associated with their SLFRF award; • Many SLFRF-funded projects respond to the COVID-19 public health emergency and meet urgent community needs. Swift and effective implementation is vital, and recipients must balance facilitating simple and rapid program access widely across the community and maintaining a robust documentation and compliance regime; • SLFRF-funded projects should advance shared interests and promote equitable delivery of government benefits and opportunities to underserved communities, as outlined in Executive Order 13985, On Advancing Racial Equity and Support for Underserved Communities Through the Federal Government; and • Transparency and public accountability for SLFRF award funds and use of such funds are critical to upholding program integrity and trust in all levels of government, and SLFRF award funds should be managed consistent with Administration guidance per Memorandum M-21-20 and Memorandum M-20-21. B. Statutory Eligible Uses As a recipient of an SLFRF award, your organization has substantial discretion to use the award funds in the ways that best suit the needs of your constituents – as long as such use fits into one of the following four statutory categories: 1. To respond to the COVID-19 public health emergency or its negative economic impacts; 2. To respond to workers performing essential work during the COVID-19 public health emergency by providing premium pay to such eligible workers of the recipient, or by providing grants to eligible employers that have eligible workers who performed essential work; 3. For the provision of government services, to the extent of the reduction in revenue of such recipient due to the COVID–19 public health emergency, relative to revenues collected in the most recent full fiscal year of the recipient prior to the emergency; and 4. To make necessary investments in water, sewer, or broadband infrastructure. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 3 Treasury adopted an Interim Final Rule to implement these eligible use categories and other restrictions on the use of funds under the SLFRF program.1 It is the recipient’s responsibility to ensure all SLFRF award funds are used in compliance with these requirements. In addition, recipients should be mindful of any additional compliance obligations that may apply – for example, additional restrictions imposed upon other sources of funds used in conjunction with SLFRF award funds, or statutes and regulations that may independently apply to water, broadband, and sewer infrastructure projects. Recipients should ensure they maintain proper documentation supporting determinations of costs and applicable compliance requirements, and how they have been satisfied as part of their award management, internal controls, and subrecipient oversight and management. C. Treasury’s Rule Treasury’s Interim Final Rule details recipients’ compliance responsibilities and provides additional information on eligible and restricted uses of SLFRF award funds and reporting requirements. Your organization should review and comply with the information contained in Treasury’s Interim Final Rule, and any subsequent final rule when building appropriate controls for SLFRF award funds. 1. Eligible and Restricted Uses of SLFRF Funds. As described in the SLFRF statute and summarized above, there are four enumerated eligible uses of SLFRF award funds. As a recipient of an award under the SLFRF program, your organization is responsible for complying with requirements for the use of funds. In addition to determining a given project’s eligibility, recipients are also responsible for determining subrecipient’s or beneficiaries’ eligibility and must monitor use of SLFRF award funds. To help recipients build a greater understanding of eligible uses, Treasury’s Interim Final Rule establishes a framework for determining whether a specific project would be eligible under the SLFRF program, including some helpful definitions. For example, Treasury’s Interim Final Rule establishes: • A framework for determining whether a project “responds to” a “negative economic impact” caused by the COVID-19 public health emergency; • Definitions of “eligible employers”, “essential work,” “eligible workers”, and “premium pay” for cases where premium pay is an eligible use; • A definition of “general revenue” and a formula for calculating revenue lost due to the COVID-19 public health emergency; • A framework for eligible water and sewer infrastructure projects that aligns eligible uses with projects that are eligible under the Environmental Protection Agency’s Drinking Water and Clean Water State Revolving Funds; and • A framework for eligible broadband projects designed to provide service to unserved or underserved households, or businesses at speeds sufficient to enable users to generally meet household needs, including the ability to support the simultaneous use of work, education, and health applications, and also sufficiently robust to meet increasing household demands for bandwidth. Treasury’s Interim Final Rule also provides more information on four important restrictions on use of SLFRF award funds: recipients may not deposit SLFRF funds into a pension fund; recipients that are States or territories may not use SLFRF funds to offset a reduction in net tax revenue caused by the recipient’s change in law, regulation, or administrative 1 Treasury’s Interim Final Rule is effective as of May 17, 2021, and public comments are due July 16, 2021. This guidance may be clarified consistent with the final rule. https://www.govinfo.gov/content/pkg/FR-2021-05-17/pdf/2021-10283.pdf Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 4 interpretation; and, recipients may not use SLFRF funds as non-Federal match where prohibited. In addition, the Interim Final Rule clarifies certain uses of SLFRF funds outside the scope of eligible uses, including that recipients generally may not use SLFRF funds directly to service debt, satisfy a judgment or settlement, or contribute to a “rainy day” fund. Recipients should refer to Treasury’s Interim Final Rule for more information on these restrictions. 2. Eligible Costs Timeframe. Your organization, as a recipient of an SLFRF award, may use SLFRF funds to cover eligible costs that your organization incurred during the period that begins on March 3, 2021 and ends on December 31, 2024, as long as the award funds for the obligations incurred by December 31, 2024 are expended by December 31, 2026. Costs for projects incurred by the recipient State, territorial, local, or Tribal government prior to March 3, 2021 are not eligible, as provided for in Treasury’s Interim Final Rule. Recipients may use SLFRF award funds to provide assistance to households, businesses, and individuals within the eligible use categories described in Treasury’s Interim Final Rule for costs that those households, businesses and individuals incurred prior to March 3, 2021. For example, a. Public Health/Negative Economic Impacts: Recipients may use SLFRF award funds to provide assistance to households – such as rent, mortgage, or utility assistance – for costs incurred by the household prior to March 3, 2021, provided that the recipient State, territorial, local or Tribal government did not incur the cost of providing such assistance prior to March 3, 2021. b. Premium Pay: Recipients may provide premium pay retrospectively for work performed at any time since the start of the COVID-19 public health emergency. Such premium pay must be “in addition to” wages and remuneration already received and the obligation to provide such pay must not have been incurred by the recipient prior to March 3, 2021. c. Revenue Loss: Treasury’s Interim Final Rule gives recipients broad latitude to use funds for the provision of government services to the extent of reduction in revenue. While calculation of lost revenue begins with the recipient’s revenue in the last full fiscal year prior to the COVID-19 public health emergency and includes the 12-month period ending December 31, 2020, use of funds for government services must be forward looking for costs incurred by the recipient after March 3, 2021. d. Investments in Water, Sewer, and Broadband: Recipients may use SLFRF award funds to make necessary investments in water, sewer, and broadband. Recipients may use SLFRF award funds to cover costs incurred for eligible projects planned or started prior to March 3, 2021, provided that the project costs covered by the SLFRF award funds were incurred after March 3, 2021. Any funds not obligated or expended for eligible uses by the timelines above must be returned to Treasury, including any unobligated or unexpended funds that have been provided to subrecipients and contractors. For the purposes of determining expenditure eligibility, Treasury’s Interim Final Rule provides that “incurred” has the same meaning given to “financial obligation” in 2 CFR § 200.1. 3. Reporting. Generally, recipients must submit one initial interim report, quarterly or annual Project and Expenditure reports which include subaward reporting, and in some cases annual Recovery Plan reports. Treasury’s Interim Final Rule and Part 2 of this guidance provide more detail around SLFRF reporting requirements. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 5 Assistance Listing The Assistance Listing for the Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) was published May 28, 2021 on SAM.gov under Assistance Listing Number (“ALN”), formerly known as CFDA Number, 21.027. The assistance listing includes helpful information including program purpose, statutory authority, eligibility requirements, and compliance requirements for recipients. The ALN is the unique 5-digit number assigned to identify a federal assistance listing, and can be used to search for federal assistance program information, including funding opportunities, spending on USASpending.gov, or audit results through the Federal Audit Clearinghouse. To expedite payments and meet statutory timelines Treasury issued initial payments under an existing ALN, 21.019, assigned to the CRF. If you have already received funds or captured the initial number in your records, please update your systems and reporting to reflect the new ALN 21.027 for the SLFRF program. Recipients must use ALN 21.027 for all financial accounting, subawards, and associated program reporting requirements for the SLFRF awards. D. Uniform Administrative Requirements The SLFRF awards are generally subject to the requirements set forth in the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, 2 CFR Part 200 (the “Uniform Guidance”). In all instances, your organization should review the Uniform Guidance requirements applicable to your organization’s use of SLFRF funds, and SLFRF-funded projects. Recipients should consider how and whether certain aspects of the Uniform Guidance apply. The following sections provide a general summary of your organization’s compliance responsibilities under applicable statutes and regulations, including the Uniform Guidance, as described in the 2020 OMB Compliance Supplement Part 3. Compliance Requirements (issued August 18, 2020). Note that the descriptions below are only general summaries and all recipients and subrecipients are advised to carefully review the Uniform Guidance requirements and any additional regulatory and statutory requirements applicable to the program. 1. Allowable Activities. Each recipient should review program requirements, including Treasury’s Interim Final Rule and the recipient’s Award Terms and Conditions, to determine and record eligible uses of SLFRF funds. Per 2 CFR 200.303, your organization must develop and implement effective internal controls to ensure that funding decisions under the SLFRF award constitute eligible uses of funds, and document determinations. 2. Allowable Costs/Cost Principles. As outlined in the Uniform Guidance at 2 CFR Part 200, Subpart E regarding Cost Principles, allowable costs are based on the premise that a recipient is responsible for the effective administration of Federal awards, application of sound management practices, and administration of Federal funds in a manner consistent with the program objectives and terms and conditions of the award. Recipients must implement robust internal controls and effective monitoring to ensure compliance with the Cost Principles, which are important for building trust and accountability. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 6 SLFRF Funds may be, but are not required to be, used along with other funding sources for a given project. Note that SLFRF Funds may not be used for a non-Federal cost share or match where prohibited by other Federal programs, e.g., funds may not be used for the State share for Medicaid.2 Treasury’s Interim Final Rule and guidance and the Uniform Guidance outline the types of costs that are allowable, including certain audit costs. For example, per 2 CFR 200.425, a reasonably proportionate share of the costs of audits required by the Single Audit Act Amendments of 1996 are allowable; however, costs for audits that were not performed, or not in accordance with 2 CFR Part 200, Subpart F are not allowable. Please see 2 CFR Part 200, Subpart E regarding the Cost Principles for more information. a. Administrative costs: Recipients may use funds for administering the SLFRF program, including costs of consultants to support effective management and oversight, including consultation for ensuring compliance with legal, regulatory, and other requirements.3 Further, costs must be reasonable and allocable as outlined in 2 CFR 200.404 and 2 CFR 200.405. Pursuant to the SLFRF Award Terms and Conditions, recipients are permitted to charge both direct and indirect costs to their SLFRF award as administrative costs. Direct costs are those that are identified specifically as costs of implementing the SLFRF program objectives, such as contract support, materials, and supplies for a project. Indirect costs are general overhead costs of an organization where a portion of such costs are allocable to the SLFRF award such as the cost of facilities or administrative functions like a director’s office.45 Each category of cost should be treated consistently in like circumstances as direct or indirect, and recipients may not charge the same administrative costs to both direct and indirect cost categories, or to other programs. If a recipient has a current Negotiated Indirect Costs Rate Agreement (NICRA) established with a Federal cognizant agency responsible for reviewing, negotiating, and approving cost allocation plans or indirect cost proposals, then the recipient may use its current NICRA. Alternatively, if the recipient does not have a NICRA, the recipient may elect to use the de minimis rate of 10 percent of the modified total direct costs pursuant to 2 CFR 200.414(f). b. Salaries and Expenses: In general, certain employees’ wages, salaries, and covered benefits are an eligible use of SLFRF award funds. Please see Treasury’s Interim Final Rule for details. 3. Cash Management. SLFRF payments made to recipients are not subject to the requirements of the Cash Management Improvement Act and Treasury’s implementing regulations at 31 CFR part 205 or 2 CFR 200.305(b)(8)-(9). As such, recipients can place funds in interest-bearing accounts, do not need to remit interest to Treasury, and are not limited to using that interest for eligible uses under the SLFRF award. 4. Eligibility. Under this program, recipients are responsible for ensuring funds are used for eligible purposes. Generally, recipients must develop and implement policies and procedures, and record retention, to determine and monitor implementation of criteria for 2 See 42 CFR 433.51 and 45 CFR 75.306. 3 Recipients also may use SLFRF funds directly for administrative costs to improve efficacy of programs that respond to the COVID-19 public health emergency. 31 CFR 35.6(b)(10). 4 2 CFR 200.413 Direct Costs. 5 2 CFR 200.414 Indirect Costs. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 7 determining the eligibility of beneficiaries and/or subrecipients. Your organization, and if applicable, the subrecipient(s) administering a program on behalf of your organization, will need to maintain procedures for obtaining information evidencing a given beneficiary, subrecipient, or contractor’s eligibility including a valid SAM.gov registration. Implementing risk-based due diligence for eligibility determinations is a best practice to augment your organization’s existing controls. 5. Equipment and Real Property Management. Any purchase of equipment or real property with SLFRF funds must be consistent with the Uniform Guidance at 2 CFR Part 200, Subpart D. Equipment and real property acquired under this program must be used for the originally authorized purpose. Consistent with 2 CFR 200.311 and 2 CFR 200.313, any equipment or real property acquired using SLFRF funds shall vest in the non-Federal entity. Any acquisition and maintenance of equipment or real property must also be in compliance with relevant laws and regulations. 6. Matching, Level of Effort, Earmarking. There are no matching, level of effort, or earmarking compliance responsibilities associated with the SLFRF award. SLFRF funds may only be used for non-Federal match in other programs where costs are eligible under both SLFRF and the other program and use of such funds is not prohibited by the other program. 7. Period of Performance. Your organization should also develop and implement internal controls related to activities occurring outside the period of performance. For example, each recipient should articulate each project’s policy on allowability of costs incurred prior to award or start of the period of performance. All funds remain subject to statutory requirements that they must be used for costs incurred by the recipient during the period that begins on March 3, 2021, and ends on December 31, 2024, and that award funds for the financial obligations incurred by December 31, 2024 must be expended by December 31, 2026. Any funds not used must be returned to Treasury. 8. Procurement, Suspension & Debarment. Recipients are responsible for ensuring that any procurement using SLFRF funds, or payments under procurement contracts using such funds are consistent with the procurement standards set forth in the Uniform Guidance at 2 CFR 200.317 through 2 CFR 200.327, as applicable. The Uniform Guidance establishes in 2 CFR 200.319 that all procurement transactions for property or services must be conducted in a manner providing full and open competition, consistent with standards outlined in 2 CFR 200.320, which allows for non-competitive procurements only in circumstances where at least one of the conditions below is true: the item is below the micro-purchase threshold; the item is only available from a single source; the public exigency or emergency will not permit a delay from publicizing a competitive solicitation; or after solicitation of a number of sources, competition is determined inadequate.6 Recipients must have and use documented procurement procedures that are consistent with the standards outlined in 2 CFR 200.317 through 2 CFR 200.320. The Uniform Guidance requires an infrastructure for competitive bidding and contractor oversight, including maintaining written standards of conduct and prohibitions on dealing with suspended or debarred parties. Your organization must ensure adherence to all applicable local, State, and federal procurement laws and regulations. 9. Program Income. Generally, program income includes, but is not limited to, income from fees for services performed, the use or rental or real or personal property acquired under Federal awards and principal and interest on loans made with Federal award funds. Program income does not include interest earned on advances of Federal funds, rebates, credits, discounts, or interest on rebates, credits, or discounts. Recipients of SLFRF funds 6 2 CFR 200.320(c)(1)-(3) and (5) Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 8 should calculate, document, and record the organization’s program income. Additional controls that your organization should implement include written policies that explicitly identify appropriate allocation methods, accounting standards and principles, compliance monitoring checks for program income calculations, and records. The Uniform Guidance outlines the requirements that pertain to program income at 2 CFR 200.307. Treasury intends to provide additional guidance regarding program income and the application of 2 CFR 200.307(e)(1), including with respect to lending programs. 10. Reporting. All recipients of federal funds must complete financial, performance, and compliance reporting as required and outlined in Part 2 of this guidance. Expenditures may be reported on a cash or accrual basis, as long as the methodology is disclosed and consistently applied. Reporting must be consistent with the definition of expenditures pursuant to 2 CFR 200.1. Your organization should appropriately maintain accounting records for compiling and reporting accurate, compliant financial data, in accordance with appropriate accounting standards and principles. In addition, where appropriate, your organization needs to establish controls to ensure completion and timely submission of all mandatory performance and/or compliance reporting. See Part 2 of this guidance for a full overview of recipient reporting responsibilities. 11. Subrecipient Monitoring. SLFRF recipients that are pass-through entities as defined under 2 CFR 200.1 are required to manage and monitor their subrecipients to ensure compliance with requirements of the SLFRF award pursuant to 2 CFR 200.332 regarding requirements for pass-through entities. First, your organization must clearly identify to the subrecipient: (1) that the award is a subaward of SLFRF funds; (2) any and all compliance requirements for use of SLFRF funds; and (3) any and all reporting requirements for expenditures of SLFRF funds. Next, your organization will need to evaluate each subrecipient’s risk of noncompliance based on a set of common factors. These risk assessments may include factors such as prior experience in managing Federal funds, previous audits, personnel, and policies or procedures for award execution and oversight. Ongoing monitoring of any given subrecipient should reflect its assessed risk and include monitoring, identification of deficiencies, and follow-up to ensure appropriate remediation. Accordingly, your organization should develop written policies and procedures for subrecipient monitoring and risk assessment and maintain records of all award agreements identifying or otherwise documenting subrecipients’ compliance obligations. 12. Special Tests and Provisions. Treasury has set a deadline of July 16, 2021, for receipt of public comment on its Interim Final Rule and will adopt a final rule responding to these comments. In addition, Treasury may add clarifications to the implementing guidance. Across each of the compliance requirements above, Treasury described some best practices for development of internal controls. The table below provides a brief description and example of each best practice. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 9 Table 1: Internal controls best practices Best Practice Written policies and procedures Description Formal documentation of recipient policies and procedures Example Documented procedure for determining worker eligibility for premium pay Written standards of conduct Formal statement of mission, values, principles, and professional standards Documented code of conduct / ethics for subcontractors Risk-based due diligence Pre-payment validations conducted according to an assessed level of risk Enhanced eligibility review of subrecipient with imperfect performance history Risk-based compliance monitoring Ongoing validations conducted according to an assessed level of risk Higher degree of monitoring for projects that have a higher risk of fraud, given program characteristics Record maintenance and retention Creation and storage of financial and non-financial records. Storage of all subrecipient payment information. E. Award Terms and Conditions The Award Terms and Conditions of the SLFRF financial assistance agreement sets forth the compliance obligations for recipients pursuant to the SLFRF statute, the Uniform Guidance, and Treasury’s Interim Final Rule. Recipients should ensure they remain in compliance with all Award Terms and Conditions. These obligations include the following items in addition to those described above: 1. SAM.gov Requirements. All eligible recipients are also required to have an active registration with the System for Award Management (SAM) (https://www.sam.gov). To ensure timely receipt of funding, Treasury has stated that Non-entitlement Units of Government (NEUs) who have not previously registered with SAM.gov may do so after receipt of the award, but before the submission of mandatory reporting.7 2. Recordkeeping Requirements. Generally, your organization must maintain records and financial documents for five years after all funds have been expended or returned to Treasury, as outlined in paragraph 4.c. of the Award Terms and Conditions. Treasury may request transfer of records of long-term value at the end of such period. Wherever practicable, such records should be collected, transmitted, and stored in open and machine-readable formats. Your organization must agree to provide or make available such records to Treasury upon request, and to any authorized oversight body, including but not limited to the Government Accountability Office (“GAO”), Treasury’s Office of Inspector General (“OIG”), and the Pandemic Relief Accountability Committee (“PRAC”). 3. Single Audit Requirements. Recipients and subrecipients that expend more than $750,000 in Federal awards during their fiscal year will be subject to an audit under the Single Audit Act and its implementing regulation at 2 CFR Part 200, Subpart F regarding audit requirements.8 Recipients and subrecipients may also refer to the Office of 7 See flexibility provided in https://www.whitehouse.gov/wp-content/uploads/2021/03/M_21_20.pdf. 8 For-profit entities that receive SLFRF subawards are not subject to Single Audit requirements. However, they are subject to other audits as deemed necessary by authorized governmental entities, including Treasury, the GAO, the PRAC and the Treasury’s OIG. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 10 Management and Budget (OMB) Compliance Supplements for audits of federal funds and related guidance and the Federal Audit Clearinghouse to see examples and single audit submissions. 4. Civil Rights Compliance. Recipients of Federal financial assistance from the Treasury are required to meet legal requirements relating to nondiscrimination and nondiscriminatory use of Federal funds. Those requirements include ensuring that entities receiving Federal financial assistance from the Treasury do not deny benefits or services, or otherwise discriminate on the basis of race, color, national origin (including limited English proficiency), disability, age, or sex (including sexual orientation and gender identity), in accordance with the following authorities: Title VI of the Civil Rights Act of 1964 (Title VI) Public Law 88-352, 42 U.S.C. 2000d-1 et seq., and the Department's implementing regulations, 31 CFR part 22; Section 504 of the Rehabilitation Act of 1973 (Section 504), Public Law 93-112, as amended by Public Law 93-516, 29 U.S.C. 794; Title IX of the Education Amendments of 1972 (Title IX), 20 U.S.C. 1681 et seq., and the Department's implementing regulations, 31 CFR part 28; Age Discrimination Act of 1975, Public Law 94-135, 42 U.S.C. 6101 et seq., and the Department implementing regulations at 31 CFR part 23. In order to carry out its enforcement responsibilities under Title VI of the Civil Rights Act, Treasury will collect and review information from recipients to ascertain their compliance with the applicable requirements before and after providing financial assistance. Treasury’s implementing regulations, 31 CFR part 22, and the Department of Justice (DOJ) regulations, Coordination of Non-discrimination in Federally Assisted Programs, 28 CFR part 42, provide for the collection of data and information from recipients (see 28 CFR 42.406). Treasury may request that recipients submit data for post-award compliance reviews, including information such as a narrative describing their Title VI compliance status. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 11 Part 2: Reporting Guidance There are three types of reporting requirements for the SLFRF program. • Interim Report: Provide initial overview of status and uses of funding. This is a one-time report. See Section A, page 13. • Project and Expenditure Report: Report on projects funded, expenditures, and contracts and subawards over $50,000, and other information. See Section B, page 15. • Recovery Plan Performance Report: The Recovery Plan Performance Report (the “Recovery Plan”) will provide information on the projects that large recipients are undertaking with program funding and how they plan to ensure program outcomes are achieved in an effective, efficient, and equitable manner. It will include key performance indicators identified by the recipient and some mandatory indicators identified by Treasury. The Recovery Plan will be posted on the website of the recipient as well as provided to Treasury. See Section C, page 23. Table 2: Reporting requirements by recipient type Recipient Interim Report Project and Expenditure Report Recovery Plan Performance Report States, U.S. territories, metropolitan cities and counties with a population that exceeds 250,000 residents By August 31, 2021, with expenditures by category By October 31, 2021, and then 30 days after the end of each quarter By August 31, 2021, and annually thereafter by July 31 10 Metropolitan cities and counties with a population below 250,000 residents which received more than $5 million in SLFRF funding thereafter9 Not required Tribal Governments Metropolitan cities and counties with a population below 250,000 residents which received less than $5 million in SLFRF funding By October 31, 2021, and then annually thereafter11 NEUs Not required The remainder of this document describes these reporting requirements. A users’ guide will be provided with additional information on how and where to submit required reports. 9 Interim Final Rule Page 111 10 Interim Final Rule page 112 11 Interim Final Rule Page 111 Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 12 Comparison to reporting for the CRF This guidance does not change the reporting or compliance requirements pertaining to the CRF. Reporting and compliance requirements for the SLFRF are separate from CRF reporting requirements. Changes from CRF to SLFRF include: • Project, Expenditure, and Subaward Reporting: The SLFRF reporting requirements leverage the existing reporting regime used for CRF to foster continuity and provide many recipients with a familiar reporting mechanism. The data elements for the Project and Expenditure Report will largely mirror those used for CRF, with some minor exceptions noted in this guidance. The users’ guide will describe how reporting for CRF funds will relate to reporting for the SLFRF. • Timing of Reports: CRF reports were due within 10 days of each calendar quarter. SLFRF quarterly reporting will be due 30 days from quarter end. • Program and Performance Reporting: The CRF reporting did not include any program or performance reporting. To build public awareness and accountability and allow Treasury to monitor compliance with eligible uses, some program and performance reporting is required. A. Interim Report States, U.S. territories, metropolitan cities, counties, and Tribal governments are required to submit a one-time interim report with expenditures12 by Expenditure Category from the date of award to July 31, 2021. The recipient will be required to enter obligations13 and expenditures and, for each, select the specific expenditure category from the available options. See Appendix 1 for Expenditure Categories (EC). 1. Required Programmatic Data Recipients will also be required to provide the following information if they have or plan to have expenditures in the following Expenditure Categories. a. Revenue replacement (EC 6.114): Key inputs into the revenue replacement formula in the Interim Final Rule and estimated revenue loss due to the Covid-19 public health emergency calculated using the formula in the Interim Final Rule as of December 31, 2020. • Base year general revenue (e.g., revenue in the last full fiscal year prior to the public health emergency) • Fiscal year end date • Growth adjustment used (either 4.1 percent or average annual general revenue growth over 3 years prior to pandemic) • Actual general revenue as of the twelve months ended December 31, 2020 • Estimated revenue loss due to the Covid-19 public health emergency as of December 31, 2020 • An explanation of how revenue replacement funds were allocated to government services (Note: additional instructions and/or template to be provided in users’ guide) 12 For purposes of reporting in the SLFRF portal, an expenditure is the amount that has been incurred as a liability of the entity (the service has been rendered or the good has been delivered to the entity). 13 For purposes of reporting in the SLFRF portal, an obligation is an order placed for property and services, contracts and subawards made, and similar transactions that require payment. 14 See Appendix 1 for the full Expenditure Category (EC) list. References to Expenditure Categories are identified by “EC” followed by numbers from the table in Appendix 1. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 13 In calculating general revenue and the other items discussed above, recipients should use audited data if it is available. When audited data is not available, recipients are not required to obtain audited data if substantially accurate figures can be produced on an unaudited basis. Recipients should use their own data sources to calculate general revenue, and do not need to rely on revenue data published by the Census Bureau. Treasury acknowledges that due to differences in timing, data sources, and definitions, recipients’ self-reported general revenue figures may differ from those published by the Census Bureau. Recipients may provide data on a cash, accrual, or modified accrual basis, provided that recipients are consistent in their choice of methodology throughout the covered period and until reporting is no longer required. Recipients’ reporting should align with their own financial reporting. In calculating general revenue, recipients should exclude all intergovernmental transfers from the federal government. This includes, but is not limited to, federal transfers made via a State to a locality pursuant to the CRF or SLFRF. To the extent federal funds are passed through States or other entities or intermingled with other funds, recipients should attempt to identify and exclude the federal portion of those funds from the calculation of general revenue on a best-efforts basis. Consistent with the broad latitude provided to recipients to use funds for government services to the extent of reduction in revenue, recipients will be required to submit a description of services provided. This description may be in narrative or in another form, and recipients are encouraged to report based on their existing budget processes and to minimize administrative burden. For example, a recipient with $100 in revenue replacement funds available could indicate that $50 were used for law enforcement operating expenses and $50 were used for pay-go building of sidewalk infrastructure. As discussed in the Interim Final Rule, these services can include a broad range of services but may not be used directly for pension deposits or debt service. Reporting requirements will not require tracking the indirect effects of Fiscal Recovery Funds, apart from the restrictions on use of Fiscal Recovery Funds to offset a reduction in net tax revenue. In addition, recipients must indicate that Fiscal Recovery Funds were not used to make a deposit in a pension fund. b. Distributions to NEUs -States and territories only (EC 7.4): Information on SLFRF distributions to eligible NEUs. Each State and territory will be asked to provide an update on distributions to individual NEUs, including whether the NEU has (1) received funding; (2) declined funding and requested a transfer to the State under Section 603(c)(4) of the Act; or (3) not taken action on its funding. States and territories should be prepared to report on their information, including the following: • NEU name • NEU DUNS number • NEU Taxpayer Identification Number (TIN) • NEU Recipient Number (a unique identification code for each NEU assigned by the State to the NEU as part of the request for funding) • NEU contact information (e.g., address, point of contact name, point of contact email address, and point of contact phone number) • NEU authorized representative name and email address • Initial allocation and, if applicable, subsequent allocation to the NEU (before application of the 75 percent cap) • Total NEU reference budget (as submitted by the NEU to the State as part of the request for funding) Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 14 • Amount of the initial and, if applicable, subsequent allocation above 75 percent of the NEU’s reference budget which will be returned to Treasury • Payment amount(s) • Payment date(s) For each eligible NEU that declined funding and requested a transfer to the State under Section 603(c)(4), the State must also attach a form signed by the NEU, as detailed in the Guidance on Distributions of Funds to Non-Entitlement Units of Local Government. States with “weak” minor civil divisions (i.e., Illinois, Indiana, Kansas, Missouri, Nebraska, North Dakota, Ohio, and South Dakota) should also list any minor civil divisions that the State deemed ineligible. B. Project and Expenditure Report All recipients are required to submit Project and Expenditure Reports. 1. Quarterly Reporting The following recipients are required to submit quarterly Project and Expenditure Reports: • States, U.S. territories, and Tribal governments • Metropolitan cities and counties that received more than $5 million in SLFRF funding For these recipients, the initial quarterly Project and Expenditure Report will cover two calendar quarters from the date of award to September 30, 2021 and must be submitted to Treasury by October 31, 2021. The subsequent quarterly reports will cover one calendar quarter and must be submitted to Treasury within 30 calendar days after the end of each calendar quarter. Quarterly reports are not due concurrently with applicable annual reports. The table below summarizes the quarterly report timelines: Report Year Quarter Period Covered Due Date 1 2021 2 and 3 Award Date – September 30 October 31, 2021 2 2021 4 October 1 – December 31 January 31, 2022 3 2022 1 January 1 – March 31 April 30, 2022 4 2022 2 April 1 – June 30 July 31, 2022 5 2022 3 July 1 – September 30 October 31, 2022 6 2022 4 October 1 – December 31 January 31, 2023 7 2023 1 January 1 – March 31 April 30, 2023 8 2023 2 April 1 – June 30 July 31, 2023 9 2023 3 July 1 – September 30 October 31, 2023 10 2023 4 October 1 – December 31 January 31, 2024 11 2024 1 January 1 – March 31 April 30, 2024 12 2024 2 April 1 – June 30 July 31, 2024 13 2024 3 July 1 – September 30 October 31, 2024 14 2024 4 October 1 – December 31 January 31, 2025 15 2025 1 January 1 – March 31 April 30, 2025 16 2025 2 April 1 – June 30 July 31, 2025 17 2025 3 July 1 – September 30 October 31, 2025 18 2025 4 October 1 – December 31 January 31, 2026 19 2026 1 January 1 – March 31 April 30, 2026 20 2026 2 April 1 – June 30 July 31, 2026 Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 15 Report Year Quarter Period Covered Due Date 21 2026 3 July 1 – September 30 October 31, 2026 22 2026 4 October 1 – December 31 March 31, 2027 2. Annual Reporting The following recipients are required to submit annual Project and Expenditure Reports: • Metropolitan cities and counties that received less than $5 million in SLFRF funding. • NEUs. To facilitate reporting, each NEU will need a NEU Recipient Number. This is a unique identification code for each NEU assigned by the State to the NEU as part of its request for funding. For these recipients, the initial Project and Expenditure Report will cover from the date of award to September 30, 2021 and must be submitted to Treasury by October 31, 2021. The subsequent annual reports will cover one calendar year and must be submitted to Treasury by October 31. The table below summarizes the report timelines: Report Period Covered Due Date 1 Award Date – September 30, 2021 October 31, 2021 2 October 1, 2021 – September 30, 2022 October 31, 2022 3 October 1, 2022 – September 30, 2023 October 31, 2023 4 October 1, 2023 – September 30, 2024 October 31, 2024 5 October 1, 2024 – September 30, 2025 October 31, 2025 6 October 1, 2025 – September 30, 2026 October 31, 2026 7 October 1, 2026 – December 31, 2026 March 31, 2027 3. Required Information The following information will be required in Project and Expenditure Reports: a. Projects: Provide information on all SLFRF funded projects. Projects are new or existing eligible government services or investments funded in whole or in part by SLFRF funding. For each project, the recipient will be required to enter the project name, identification number (created by the recipient), project expenditure category (see Appendix 1), description, and status of completion. Project descriptions must describe the project in sufficient detail to provide understanding of the major activities that will occur, and will be required to be between 50 and 250 words. Projects should be defined to include only closely related activities directed toward a common purpose. In particular, recipients should review the Required Programmatic Data described below and define their projects at a sufficient level of granularity to report these metrics for a reasonably specific activity or set of activities in each project. Note: For each project, the recipient will be asked to select the appropriate Expenditure Category based on the scope of the project (see Appendix 1). Projects should be scoped to align to a single Expenditure Category. For select Expenditure Categories, the recipient will also be asked to provide additional programmatic data (described further below). b. Expenditures: Once a project is entered the recipient will be able to report on the project’s obligations and expenditures. Recipients will be asked to report: • Current period obligation • Cumulative obligation • Current period expenditure • Cumulative expenditure Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 16 c. Project Status: Once a project is entered the recipient will be asked to report on project status each reporting period, in four categories: • Not Started • Completed less than 50 percent • Completed 50 percent or more • Completed d. Project Demographic Distribution: Recognizing the disproportionate impact of the pandemic-related recession on low-income communities, recipients must report whether certain types of projects15 are targeted to economically disadvantaged communities, as defined by HUD’s Qualified Census Tract.16 Recipients will be asked to identify whether or not the project is serving an economically disadvantaged community. To minimize the administrative burden on recipients while ensuring that this important aspect of program performance is tracked, recipients may assume that the funds for a project count as being targeted towards economically disadvantaged communities if the project funds are spent on: • A program or service is provided at a physical location in a Qualified Census Tract (for multi-site projects, if a majority of sites are within Qualified Census Tracts); • A program or service where the primary intended beneficiaries live within a Qualified Census Tract; • A program or service for which the eligibility criteria are such that the primary intended beneficiaries earn less than 60 percent of the median income for the relevant jurisdiction (e.g., State, county, metropolitan area, or other jurisdiction); or • A program or service for which the eligibility criteria are such that over 25 percent of intended beneficiaries are below the federal poverty line. Recipients may use reasonable estimates to determine if a project meets one of these criteria, including identifying the intended beneficiaries of a program or service in terms of income characteristics, geographic location, or otherwise estimating the beneficiaries of a program based on its eligibility criteria. Recipients do not need to track information on each individual beneficiary to make the determination of whether or not the project is serving an economically disadvantaged community. If a recipient is unable to measure economic characteristics of the primary intended beneficiaries of a program or service due to data limitations or for other reasons, that program or service may not be counted as targeted to economically disadvantaged communities. Treasury recognizes that in some circumstances, recipients may fund eligible programs or services that benefit economically disadvantaged communities but may lack adequate data to assess conclusively that such a program or service is targeted to economically disadvantaged communities based on the criteria described above. e. Subawards: Each recipient shall also provide detailed obligation and expenditure information for any contracts and grants awarded, loans issued, transfers made to other government entities, and direct payments made by the recipient that are greater than or equal to $50,000. 15 Specifically recipients must report this information for projects in the Expenditure Categories that are marked with “^” in the expenditure category listing in Appendix 1 of this guidance 16 HUD defines as a QCT as having “50 percent of households with incomes below 60 percent of the Area Median Gross Income (AMGI) or have a poverty rate of 25 percent or more.” To view median income area for their jurisdiction, recipients may visit the U.S. Census website on median incomes and select the geography for their jurisdiction and relevant unit of measurement (household or individual) for the project. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 17 Recipients do not also need to submit separate monthly subaward reports to FSRS.gov as required pursuant to the 2 CFR Part 170, Appendix A award term regarding reporting subaward and executive compensation, which is included in the SLFRF Award Terms and Conditions. Treasury will submit this reporting on behalf of recipients using the $50,000 reporting threshold, timing, and data elements discussed in this guidance. If recipients choose to continue reporting to FSRS.gov in addition to reporting directly to Treasury on these funds, they may do so and will be asked to notify Treasury as part of their quarterly submission. In general, recipients will be asked to provide the following information for each Contract, Grant, Loan, Transfer, or Direct Payment greater than or equal to $50,000: • Subrecipient identifying and demographic information (e.g., DUNS number and location) • Award number (e.g., Award number, Contract number, Loan number) • Award date, type, amount, and description • Award payment method (reimbursable or lump sum payment(s)) • For loans, expiration date (date when loan expected to be paid in full) • Primary place of performance • Related project name(s) • Related project identification number(s) (created by the recipient) • Period of performance start date • Period of performance end date • Quarterly obligation amount • Quarterly expenditure amount • Project(s) • Additional programmatic performance indicators for select Expenditure Categories (see below) Aggregate reporting is required for contracts, grants, transfers made to other government entities, loans, direct payments, and payments to individuals that are below $50,000. This information will be accounted for by expenditure category at the project level. As required by the 2 CFR Part 170, Appendix A award term regarding reporting subaward and executive compensation, recipients must also report the names and total compensation of their five most highly compensated executives and their subrecipients’ executives for the preceding completed fiscal year if (1) the recipient received 80 percent or more of its annual gross revenues from Federal procurement contracts (and subcontracts) and Federal financial assistance subject to the Transparency Act, as defined at 2 CFR 170.320 (and subawards), and received $25,000,000 or more in annual gross revenues from Federal procurement contracts (and subcontracts) and Federal financial assistance subject to the Transparency Act (and subawards), and (2) if the information is not otherwise public. In general, most SLFRF Recipients are governmental entities with executive salaries that are already disclosed, so no additional information must be reported. The recipient is responsible for the subrecipients’ compliance with registering and maintaining an updated profile on SAM.gov. f. Civil Rights Compliance: Treasury will request information on recipients’ compliance with Title VI of the Civil Rights Act of 1964 on an annual basis. This information may include a narrative describing the recipient’s compliance with Title VI, along with other questions and assurances. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 18 g. Required Programmatic Data (other than infrastructure projects): For all projects listed under the following Expenditure Categories (see Appendix 1), the information listed must be provided in each report. 1. Payroll for Public Health and Safety Employees (EC 1.9): • Number of government FTEs responding to COVID-19 supported under this authority 2. Household Assistance (EC 2.1-2.5): • Brief description of structure and objectives of assistance program(s) (e.g., nutrition assistance for low-income households) • Number of individuals served (by program if recipient establishes multiple separate household assistance programs) • Brief description of recipient’s approach to ensuring that aid to households responds to a negative economic impact of Covid-19, as described in the Interim Final Rule 3. Small Business Economic Assistance (EC 2.9): • Brief description of the structure and objectives of assistance program(s) (e.g., grants for additional costs related to Covid-19 mitigation) • Number of small businesses served (by program if recipient establishes multiple separate small businesses assistance programs) • Brief description of recipient’s approach to ensuring that aid to small businesses responds to a negative economic impact of COVID-19, as described in the Interim Final Rule 4. Aid to Travel, Tourism, and Hospitality or Other Impacted Industries (EC 2.11-2.12): • If aid is provided to industries other than travel, tourism, and hospitality (EC 2.12), a description of pandemic impact on the industry and rationale for providing aid to the industry • Brief narrative description of how the assistance provided responds to negative economic impacts of the COVID-19 pandemic • For each subaward: o Sector of employer (Note: additional detail, including list of sectors to be provided in a users’ guide) o Purpose of funds (e.g., payroll support, safety measure implementation) 5. Rehiring Public Sector Staff (EC 2.14): • Number of FTEs rehired by governments under this authority 6. Education Assistance (EC 3.1-3.5): • The National Center for Education Statistics (“NCES”) School ID or NCES District ID. List the School District if all schools within the school district received some funds. If not all schools within the school district received funds, list the School ID of the schools that received funds. These can allow evaluators to link data from the NCES to look at school-level demographics and, eventually, student performance.17 17 For more information on NCES identification numbers see https://nces.ed.gov/ccd/districtsearch/ (districts) and https://nces.ed.gov/ccd/schoolsearch/ (schools). Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 19 7. Premium Pay (both Public Sector EC 4.1 and Private Sector EC 4.2): • List of sectors designated as critical to the health and well-being of residents by the chief executive of the jurisdiction, if beyond those included in the Interim Final Rule (Note: a list of sectors will be provided in the forthcoming users’ guide). • Number of workers to be served • Employer sector for all subawards to third-party employers (i.e., employers other than the State, local, or Tribal government) (Note: a list of sectors will be provided in the forthcoming users’ guide). • For groups of workers (e.g., an operating unit, a classification of worker, etc.) or, to the extent applicable, individual workers, for whom premium pay would increase total pay above 150 percent of their residing State’s average annual wage, or their residing county’s18 average annual wage, whichever is higher, on an annual basis: o A brief written narrative justification of how the premium pay or grant is responsive to workers performing essential work during the public health emergency. This could include a description of the essential workers’ duties, health or financial risks faced due to COVID-19, and why the recipient government determined that the premium pay was responsive to workers performing essential work during the pandemic. This description should not include personally identifiable information; when addressing individual workers, recipients should be careful not to include this information. Recipients may consider describing the workers’ occupations and duties in a general manner as necessary to protect privacy. 8. Revenue replacement (EC 6.1): Under the Interim Final Rule, recipients calculate revenue loss using data as of four discrete points during the program: December 31, 2020, December 31, 2021, December 31, 2022, and December 31, 2023. Revenue loss calculated as of December 31, 2020 will be reported in the Interim Report, as described above. For future calculation dates, revenue loss will be reported only in the Quarter 4 reports due January 31, 2022, January 31, 2023, and January 31, 2024. Reporting on revenue loss should include: • General revenue collected over the past 12 months as of the most recent calculation date, as outlined in the Interim Final Rule (for example, for the January 31, 2022 report, recipients should provide 12 month general revenue as of December 31, 2021); • Calculated revenue loss due to the Covid-19 public health emergency; and • An explanation of how the revenue replacement funds were allocated to government services (note: additional instructions and/or template to be provided in user guide). In calculating general revenue and the revenue loss due to the COVID-19 public health emergency, recipients should follow the same guidance as described above for the Interim Report. h. Required Programmatic Data for Infrastructure Projects (EC 5): For all projects listed under the Water, Sewer, and Broadband Expenditure Categories (see Appendix 1), more detailed project-level information is required. Each project will be required to report expenditure data as described above, but will also report the following information: 18 County means a county, parish, or other equivalent county division (as defined by the Census Bureau). See 31 CFR 35.3. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 20 1. All infrastructure projects (EC 5): • Projected/actual construction start date (month/year) • Projected/actual initiation of operations date (month/year) • Location (for broadband, geospatial location data) • For projects over $10 million: a. A recipient may provide a certification that, for the relevant project, all laborers and mechanics employed by contractors and subcontractors in the performance of such project are paid wages at rates not less than those prevailing, as determined by the U.S. Secretary of Labor in accordance with subchapter IV of chapter 31 of title 40, United States Code (commonly known as the “Davis-Bacon Act”), for the corresponding classes of laborers and mechanics employed on projects of a character similar to the contract work in the civil subdivision of the State (or the District of Columbia) in which the work is to be performed, or by the appropriate State entity pursuant to a corollary State prevailing-wage-in-construction law (commonly known as “baby Davis-Bacon Acts”). If such certification is not provided, a recipient must provide a project employment and local impact report detailing: The number of employees of contractors and sub-contractors working on the project; The number of employees on the project hired directly and hired through a third party; The wages and benefits of workers on the project by classification; and Whether those wages are at rates less than those prevailing.19 Recipients must maintain sufficient records to substantiate this information upon request. b. A recipient may provide a certification that a project includes a project labor agreement, meaning a pre-hire collective bargaining agreement consistent with section 8(f) of the National Labor Relations Act (29 U.S.C. 158(f)). If the recipient does not provide such certification, the recipient must provide a project workforce continuity plan, detailing: How the recipient will ensure the project has ready access to a sufficient supply of appropriately skilled and unskilled labor to ensure high-quality construction throughout the life of the project; How the recipient will minimize risks of labor disputes and disruptions that would jeopardize timeliness and cost-effectiveness of the project; and How the recipient will provide a safe and healthy workplace that avoids delays and costs associated with workplace illnesses, injuries, and fatalities; Whether workers on the project will receive wages and benefits that will secure an appropriately skilled workforce in the context of the local or regional labor market; and Whether the project has completed a project labor agreement. c. Whether the project prioritizes local hires. d. Whether the project has a Community Benefit Agreement, with a description of any such agreement. 19 As determined by the U.S. Secretary of Labor in accordance with subchapter IV of chapter 31 of title 40, United States Code (commonly known as the “Davis-Bacon Act”), for the corresponding classes of laborers and mechanics employed on projects of a character similar to the contract work in the civil subdivision of the State (or the District of Columbia) in which the work is to be performed. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 21 2. Water and sewer projects (EC 5.1-5.15): • National Pollutant Discharge Elimination System (NPDES) Permit Number (if applicable; for projects aligned with the Clean Water State Revolving Fund) • Public Water System (PWS) ID number (if applicable; for projects aligned with the Drinking Water State Revolving Fund) 3. Broadband projects (EC 5.16-5.17): • Speeds/pricing tiers to be offered, including the speed/pricing of its affordability offering • Technology to be deployed • Miles of fiber • Cost per mile • Cost per passing • Number of households (broken out by households on Tribal lands and those not on Tribal lands) projected to have increased access to broadband meeting the minimum speed standards in areas that previously lacked access to service of at least 25 Mbps download and 3 Mbps upload o Number of households with access to minimum speed standard of reliable 100 Mbps symmetrical upload and download o Number of households with access to minimum speed standard of reliable 100 Mbps download and 20 Mbps upload • Number of institutions and businesses (broken out by institutions on Tribal lands and those not on Tribal lands) projected to have increased access to broadband meeting the minimum speed standards in areas that previously lacked access to service of at least 25 Mbps download and 3 Mbps upload, in each of the following categories: business, small business, elementary school, secondary school, higher education institution, library, healthcare facility, and public safety organization o Specify the number of each type of institution with access to the minimum speed standard of reliable 100 Mbps symmetrical upload and download; and o Specify the number of each type of institution with access to the minimum speed standard of reliable 100 Mbps download and 20 Mbps upload i. Distributions to NEUs -States and territories only (EC 7.4): Information on SLFRF distributions to eligible NEUs. Each State and territory will be asked to provide an update on distributions to individual NEUs, including whether the NEU has (1) received funding; (2)declined funding and requested a transfer to the State under Section 603(c)(4) of the Act; or (3) not taken action on its funding. States and territories should be prepared to report on their information, including the following: • NEU name • NEU DUNS number • NEU Taxpayer Identification Number (TIN) • NEU Recipient Number (a unique identification code for each NEU assigned by the State to the NEU as part of the request for funding) • NEU contact information (e.g., address, point of contact name, point of contact email address, and point of contact phone number) • NEU authorized representative name and email address • Initial allocation and, if applicable, subsequent allocation to the NEU (before application of the 75 percent cap) • Total NEU reference budget (as submitted by the NEU to the State as part of the request for funding) • Amount of the initial and, if applicable, subsequent allocation above 75 percent of the NEU’s reference budget which will be returned to Treasury • Payment amount(s) • Payment date(s) Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 22 For each eligible NEU that declined funding and requested a transfer to the State under Section 603(c)(4), the State must also attach a form signed by the NEU, as detailed in the Guidance on Distributions of Funds to Non-Entitlement Units of Local Government. States with “weak” minor civil divisions (i.e., Illinois, Indiana, Kansas, Missouri, Nebraska, North Dakota, Ohio, and South Dakota) should also list any minor civil divisions that the State deemed ineligible. j. NEU Documentation (NEUs only): Each NEU will also be asked to provide the following information with their first report submitted by October 31, 2021: • Copy of the signed award terms and conditions agreement (which was signed and submitted to the State as part of the request for funding) • Copy of the signed assurances of compliance with Title VI of the Civil Rights Act of 1964 (which was signed and submitted to the State as part of the request for funding) • Copy of actual budget documents validating the top-line budget total provided to the State as part of the request for funding C. Recovery Plan Performance Report States, territories, metropolitan cities, and counties with a population that exceeds 250,000 residents will also be required to publish and submit to Treasury a Recovery Plan performance report (“Recovery Plan”). Each Recovery Plan must be posted on the public-facing website of the recipient by the same date the recipient submits the report to Treasury. This reporting requirement includes uploading a link to the publicly available document report along with providing data in the Treasury reporting portal. The Recovery Plan will provide the public and Treasury information on the projects recipients are undertaking with program funding and how they are planning to ensure program outcomes are achieved in an effective, efficient, and equitable manner. While this guidance outlines some minimum requirements for the Recovery Plan, each recipient is encouraged to add information to the plan they feel is appropriate to provide information to their constituents on efforts they are taking to respond to the pandemic and promote economic recovery. Each jurisdiction may determine the general form and content of the Recovery Plan, as long as it includes the minimum information determined by Treasury. Treasury will provide a recommended template but recipients may modify this template as appropriate for their jurisdiction. The Recovery Plan will include key performance indicators identified by the recipient and some mandatory indicators identified by Treasury. The initial Recovery Plan will cover the period from the date of award to July 31, 2021 and must be submitted to Treasury by August 31, 2021. Thereafter, the Recovery Plan will cover a 12-month period and recipients will be required to submit the report to Treasury within 30 days after the end of the 12-month period (by July 31). The table below summarizes the report timelines: Annual Report Period Covered Due Date 1 Award Date – July 31, 2021 August 31, 2021 2 July 1, 2021 – June 30, 2022 July 31, 2022 3 July 1, 2022 – June 30, 2023 July 31, 2023 4 July 1, 2023 – June 30, 2024 July 31, 2024 5 July 1, 2024 – June 30, 2025 July 31, 2025 6 July 1, 2025 – June 30, 2026 July 31, 2026 7 July 1, 2026 – December 31, 2026 March 31, 2027 Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 23 The Recovery Plan will include, at a minimum, the following information: 1. Executive Summary Provide a high-level overview of the jurisdiction’s intended and actual uses of funding including, but not limited to: the jurisdiction’s plan for use of funds to promote a response to the pandemic and economic recovery, key outcome goals, progress to date on those outcomes, and any noteworthy challenges or opportunities identified during the reporting period. 2. Uses of Funds Describe in further detail your jurisdiction’s intended and actual uses of the funds, such as how your jurisdiction’s approach would help support a strong and equitable recovery from the COVID-19 pandemic and economic downturn. Describe any strategies employed to maximize programmatic impact and effective, efficient, and equitable outcomes. Given the broad eligible uses of funds and the specific needs of the jurisdiction, please also explain how the funds would support the communities, populations, or individuals in your jurisdiction. Your description should address how you are promoting each of the following, to the extent they apply: a. Public Health (EC 1): As relevant, describe how funds are being used to respond to COVID-19 and the broader health impacts of COVID-19 and the COVID-19 public health emergency. b. Negative Economic Impacts (EC 2): As relevant, describe how funds are being used to respond to negative economic impacts of the COVID-19 public health emergency, including to households and small businesses. c. Services to Disproportionately Impacted Communities (EC 3): As relevant, describe how funds are being used to provide services to communities disproportionately impacted by the COVID-19 public health emergency. d. Premium Pay (EC 4): As relevant, describe the approach, goals, and sectors or occupations served in any premium pay program. Describe how your approach prioritizes low-income workers. e. Water, sewer, and broadband infrastructure (EC 5): Describe the approach, goals, and types of projects being pursued, if pursuing. f. Revenue Replacement (EC 6): Describe the loss in revenue due to the COVID-19 public health emergency and how funds have been used to provide government services. Where appropriate, recipients should also include information on your jurisdiction’s use (or planned use) of other federal recovery funds including other programs under the American Rescue Plan such as the Emergency Rental Assistance, Housing Assistance, and so forth, to provide broader context on the overall approach for pandemic recovery. 3. Promoting equitable outcomesDescribe efforts to promote equitable outcomes, including how programs were designed with equity in mind. Please include in your description how your jurisdiction will consider and measure equity at the various stages of the program, including: a. Goals: Are there particular historically underserved, marginalized, or adversely affected groups that you intend to serve within your jurisdiction? b. Awareness: How equal and practical is the ability for residents or businesses to become aware of the services funded by the SLFRF? c. Access and Distribution: Are there differences in levels of access to benefits and services across groups? Are there administrative requirements that result in disparities in ability to complete applications or meet eligibility criteria? Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 24 d. Outcomes: Are intended outcomes focused on closing gaps, reaching universal levels of service, or disaggregating progress by race, ethnicity, and other equity dimensions where relevant for the policy objective? Treasury encourages uses of funds that promote strong, equitable growth, including racial equity. Please describe how your jurisdiction’s planned or current use of funds prioritizes economic and racial equity as a goal, names specific targets intended to produce meaningful equity results at scale, and articulates the strategies to achieve those targets. In addition, please explain how your jurisdiction’s overall equity strategy translates into the specific services or programs offered by your jurisdiction in the following Expenditure Categories: a. Negative Economic Impacts (EC 2): assistance to households, small businesses, and non-profits to address impacts of the pandemic, which have been most severe among low-income populations. This includes assistance with food, housing, and other needs; employment programs for people with barriers to employment who faced negative economic impacts from the pandemic (such as residents of low-income neighborhoods, minorities, disconnected youth, the unemployed, formerly incarcerated people, veterans, and people with disabilities); and other strategies that provide disadvantaged groups with access to education, jobs, and opportunity. b. Services to Disproportionately Impacted Communities (EC 3): services to address health disparities and the social determinants of health, build stronger neighborhoods and communities (e.g., affordable housing), address educational disparities (e.g., evidence-based tutoring, community schools, and academic, social-emotional, and mental health supports for high poverty schools), and promote healthy childhood environments (e.g., home visiting, child care). The initial report must describe efforts to date and intended outcomes to promote equity. Each annual report thereafter must provide an update, using qualitative and quantitative data, on how the recipients’ approach achieved or promoted equitable outcomes or progressed against equity goals during the performance period. Please also describe any constraints or challenges that impacted project success in terms of increasing equity. In particular, this section must describe the geographic and demographic distribution of funding, including whether it is targeted toward traditionally marginalized communities. For the purposes of the SLFRF, equity is defined in the Executive Order 13985 On Advancing Racial Equity and Support for Underserved Communities Through the Federal Government, as issued on January 20, 2021. 4. Community EngagementPlease describe how your jurisdiction’s planned or current use of funds incorporates written, oral, and other forms of input that capture diverse feedback from constituents, community-based organizations, and the communities themselves. Where relevant, this description must include how funds will build the capacity of community organizations to serve people with significant barriers to services, including people of color, people with low incomes, limited English proficient populations, and other traditionally underserved groups. 5. Labor Practices Describe workforce practices on any infrastructure projects being pursued (EC 5). How are projects using strong labor standards to promote effective and efficient delivery of high-quality infrastructure projects while also supporting the economic recovery through strong employment opportunities for workers? For example, report whether any of the following practices are being utilized: project labor agreements, community benefits agreements, prevailing wage requirements, and local hiring. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 25 6. Use of Evidence The Recovery Plan should identify whether SLFRF funds are being used for evidence-based interventions20 and/or if projects are being evaluated through rigorous program evaluations that are designed to build evidence. Recipients must briefly describe the goals of the project, and the evidence base for the interventions funded by the project. Recipients must specifically identify the dollar amount of the total project spending that is allocated towards evidence-based interventions for each project in the Public Health (EC 1), Negative Economic Impacts (EC 2), and Services to Disproportionately Impacted Communities (EC 3) Expenditure Categories.21 Recipients are exempt from reporting on evidence-based interventions in cases where a program evaluation is being conducted. Recipients are encouraged to use relevant evidence Clearinghouses, among other sources, to assess the level of evidence for their interventions and identify evidence-based models that could be applied in their jurisdiction; such evidence clearinghouses include the U.S. Department of Education’s What Works Clearinghouse, the U.S. Department of Labor’s CLEAR, and the Childcare & Early Education Research Connections and the Home Visiting Evidence of Effectiveness clearinghouses from Administration for Children and Families, as well as other clearinghouses relevant to particular projects conducted by the recipient. In such cases where a recipient is conducting a program evaluation in lieu of reporting the amount of spending on evidence-based interventions, they must describe the evaluation design including whether it is a randomized or quasi-experimental design; the key research questions being evaluated; whether the study has sufficient statistical power to disaggregate outcomes by demographics; and the timeframe for the completion of the evaluation (including a link to completed evaluation if relevant).22 Once the evaluation has been completed, recipients must post the evaluation publicly and link to the completed evaluation in the Recovery Plan. Once an evaluation has been completed (or has sufficient interim findings to determine the efficacy of the intervention), recipients should determine whether the spending for the evaluated interventions should be counted towards the dollar amount categorized as evidence-based for the relevant project. For all projects, recipients may be selected to participate in a national evaluation, which would study their project along with similar projects in other jurisdictions that are focused on the same set of outcomes. In such cases, recipients may be asked to share information and data that is needed for the national evaluation. Recipients are encouraged to consider how a Learning Agenda, either narrowly focused on SLFRF or broadly focused on the recipient’s broader policy agenda, could support their overarching evaluation efforts in order to create an evidence-building strategy for their jurisdiction.23 Appendix 2 contains additional information on evidence-based interventions for the purposes of the Recovery Plan. 20As noted in Appendix 2, evidence-based refers to interventions with strong or moderate levels of evidence. 21 Of note, recipients are only required to report the amount of the total funds that are allocated to evidence-based interventions in the areas of Public Health, Negative Economic Impacts, and Services to Disproportionately Impacted Communities that are marked by an asterisk in Appendix 1: Expenditure Categories. 22 For more information on the required standards for program evaluation, see OMB M-20-12. 23 For more information on learning agendas, please see OMB M-19-23 Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 26 7. Table of Expenses by Expenditure CategoryPlease include a table listing the amount of funds used in each Expenditure Category (See Appendix 1). The table should include cumulative expenses to date within each category, and the additional amount spent within each category since the last annual Recovery Plan. 8. Project InventoryList the name and provide a brief description of all SLFRF funded projects. Projects are new or existing eligible government services or investments funded in whole or in part by SLFRF funding. For each project, include the project name, funding amount, identification number (created by the recipient and used thereafter in the quarterly Program and Expenditure Report), project Expenditure Category (see Appendix 1), and a description of the project which includes an overview of the main activities of the project, the approximate timeline, primary delivery mechanisms and partners, if applicable, and intended outcomes. Include a link to the website of the project if available. This information will provide context and additional detail for the information reported quarterly in the Project and Expenditure Report. For infrastructure investment projects (EC 5), project-level reporting will be more detailed, as described for the Project and Expenditure Report above. Projects in this area may be grouped by Expenditure Category if needed, with further detail (such as the specific project name and identification number) provided in the Project and Expenditure Report. For infrastructure projects, descriptions should note how the project contributes to addressing climate change. 9. Performance Report The Recovery Plan must include key performance indicators for the major SLFRF funded projects undertaken by the recipient. The recipient has flexibility in terms of how this information is presented in the Recovery Plan, and may report key performance indicators for each project, or may group projects with substantially similar goals and the same outcome measures. In some cases, the recipient may choose to include some indicators for each individual project as well as crosscutting indicators. Performance indicators should include both output and outcome measures. Output measures, such as number of students enrolled in an early learning program, provide valuable information about the early implementation stages of a project. Outcome measures, such as the percent of students reading on grade level, provide information about whether a project is achieving its overall goals. Recipients are encouraged to use logic models24 to identify their output and outcome measures. While the initial report will focus heavily on early output goals, recipients must include the related outcome goal for each project and provide updated information on achieving these outcome goals in annual reports. In cases where recipients are conducting a program evaluation for a project (as described above), the outcome measures in the performance report should be aligned with those being evaluated in the program. To support their performance measurement and program improvement efforts, recipients are permitted to use funds to make improvements to data or technology infrastructure and data analytics, as well as program evaluations. 10. Required Performance Indicators and Programmatic Data While recipients have discretion on the full suite of performance indicators to include, a number of mandatory performance indicators and programmatic data must be included. These are necessary to allow Treasury to conduct oversight as well as understand and aggregate program outcomes across recipients. This section provides an overview of the mandatory performance indicators and programmatic data. This information may be included in each recipient’s Recovery Plan as they determine most appropriate, including combining with the 24 A logic model is a tool that depicts the intended links between program investments and outcomes, specifically the relationships among the resources, activities, outputs, outcomes, and impact of a program. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 27 section above, but this data will also need to be entered directly into the Treasury reporting portal. Below is a list of required data for each Expenditure Category: a. Household Assistance (EC 2.2 & 2.5) and Housing Support (EC 3.10-3.12): • Number of people or households receiving eviction prevention services (including legal representation) • Number of affordable housing units preserved or developed b. Negative Economic Impacts (EC 2): • Number of workers enrolled in sectoral job training programs • Number of workers completing sectoral job training programs • Number of people participating in summer youth employment programs c. Education Assistance (EC 3.1-3.5): • Number of students participating in evidence-based tutoring programs25 d. Healthy Childhood Environments (EC 3.6-3.9): • Number of children served by childcare and early learning (pre-school/pre-K/ages 3-5) • Number of families served by home visiting The initial report should include the key indicators above. Each annual report thereafter should include updated data for the performance period as well as prior period data, and a brief narrative adding any additional context to help the reader interpret the results and understand the any changes in performance indicators over time. To the extent possible, Treasury also encourages recipients to provide data disaggregated by race, ethnicity, gender, income, and other relevant factors. 11. Ineligible Activities: Tax Offset Provision (States and territories only)The following information is required for Treasury to ensure SLFRF funding is not used for ineligible activities. In each reporting year, States and territories will report certain items related to the Tax Offset Provision 31 CFR 35.8, as detailed below. As indicated in the Interim Final Rule, Treasury is seeking comment on reporting requirements related to the Tax Offset Provision, including ways to better rely on information already produced by States and territories and to minimize burden. The terms “reporting year,” “baseline,” “covered change,” “net reduction in total spending,” and “tax revenue” are defined in the Interim Final Rule, 31 CFR 35.3. For purposes of calculating a net reduction in total spending, total spending for the fiscal year ending 2019 should be reported on an inflation-adjusted basis, consistent with the Interim Final Rule, 31 CFR 35.3. Similarly, for purposes of calculating baseline, tax revenue for the fiscal year 2019 should be reported on an inflation-adjusted basis, consistent with the Interim Final Rule, 31 CFR 35.3. For purposes of reporting actual tax revenue and calculating tax revenue for the fiscal year ending 2019,26 (a) if available, recipients should report information using audited financials and (b) recipients may provide data on a cash, accrual, or modified accrual basis, but must be consistent in their approach across all reporting periods. Similarly, for purposes of calculating 25 For more information on evidence-based tutoring programs, refer to the U.S. Department of Education’s 2021 ED COVID-19 Handbook (Volume 2), which summarizes research on evidence-based tutoring programs (see the bottom of page 20.26 Tax revenue for fiscal year ending 2019 is relevant for calculating the recipient’s baseline. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 28 a net reduction in total spending, recipients should report data using audited financials where available. a. Revenue-reducing Covered Changes: For each reporting year, a recipient must report the value of covered changes that the recipient predicts will have the effect of reducing tax revenue in a given reporting year (revenue-reducing covered changes), similar to the way it would in the ordinary course of its budgeting process. The value of these covered changes may be reported based on estimated values produced by a budget model, incorporating reasonable assumptions, that aligns with the recipient government’s existing approach for measuring the effects of fiscal policies, and that measures relative to a current law baseline. The covered changes may also be reported based on actual values using a statistical methodology to isolate the change in year-over-year revenue attributable to the covered change(s), relative to the current law baseline prior to the change(s). Estimation approaches should not use dynamic methodologies that incorporate the projected effects of the policies on macroeconomic growth. In general and where possible, reported values should be produced by the agency of the recipient government responsible for estimating the costs and effects of fiscal policy changes. Recipients must maintain records regarding the identification and predicted effects of revenue-reducing covered changes. b. Baseline Revenue: Baseline has the meaning defined in the Interim Final Rule, 31 CFR 35.3. Whether the revenue-reducing covered changes are in excess of the de minimis. Recipients must determine whether the aggregate value of the revenue-reducing covered changes in the reporting year is less than one percent of baseline revenue. c. Actual Tax Revenue: Actual tax revenue means the actual tax revenue received by the recipient government in the reporting year. Tax revenue has the meaning defined in the Interim Final Rule, 31 CFR 35.3. d. Reduction in Net Tax Revenue: The reduction in net tax revenue is equal to baseline revenue minus actual tax revenue in each reporting year. If this value is zero or negative, there is no reduction in net tax revenue. e. Any revenue-increasing covered changes: A recipient must report the value of covered changes that have had or that the recipient predicts will have the effect of increasing tax revenue in a given reporting year (revenue-increasing covered changes), similar to the way it would in the ordinary course of its budgeting process. The value of these covered changes may be reported based on estimated values produced by a budget model, incorporating reasonable assumptions, that aligns with the recipient’s existing approach for measuring the effects of fiscal policies, and that measures relative to a current law baseline. The covered changes may also be reported based on actual values using a statistical methodology to isolate the change in year-over-year revenue attributable to the covered change(s), relative to the current law baseline prior to the change(s). Estimation approaches should not use dynamic methodologies that incorporate the projected effects of the policies on macroeconomic growth. In general and where possible, reporting should be produced by the agency of the recipient responsible for estimating the costs and effects of fiscal policy changes. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 29 Recipients should maintain records regarding revenue-reducing covered changes and estimates of such changes. f. Net reduction in total spending, and tables of specific spending cuts: Recipients must report on spending cuts. To calculate the amount of spending cuts that are available to offset a reduction in tax revenue, the recipient must first consider whether there has been a reduction in total net spending, excluding Fiscal Recovery Funds (net reduction in total spending). As in the Interim Final Rule, 35 CFR 35.3, net reduction in total spending is measured as the recipient government’s total spending for a given reporting year excluding Fiscal Recovery Funds, subtracted from its total spending for its fiscal year ending in 2019, adjusted for inflation using the Bureau of Economic Analysis’s Implicit Price Deflator for the gross domestic product of the United States. If that subtraction yields a positive value, there has been a net reduction; if it yields zero or a negative value, there has not been a net reduction. If there has been no net reduction in total spending, a recipient will have no spending cuts to offset a reduction in net tax revenue. Next, a recipient must determine and aggregate the value of spending cuts in each “reporting unit,” as defined below. For each reporting unit, the recipient must report (1) the amount of the reduction in spending in the reporting unit relative to its inflation-adjusted FY 2019 level, (2) the amount of any Fiscal Recovery Funds spent in the reporting unit, and (3) the amount by which the reduction in spending exceeds the Fiscal Recovery funds spent in the reporting unit. If a recipient has not spent amounts received from the Fiscal Recovery Funds in a reporting unit, the full amount of the reduction in spending counts as a covered spending cut and may be included in aggregate spending cuts. If the recipient has spent amounts received from the Fiscal Recovery Funds, such amounts generally would be deemed to have replaced the amount of spending cut, and only reductions in spending above the amount of Fiscal Recovery Funds spent on the reporting unit would be eligible to offset a reduction in net tax revenue. Only such amounts above the amount of Fiscal Recovery Funds spent on the reporting unit should be included in the aggregate of spending cuts. To align with existing reporting and accounting, the Interim Final Rule considers the department, agency, or authority from which spending has been cut and whether the recipient government has spent amounts received from the Fiscal Recovery Funds on that same department, agency, or authority. Recipients may also choose to report at a more granular sub-department level. Recipients are encouraged to define and report spending in departments, sub-departments (e.g., bureaus), agencies, or authorities (each a “reporting unit”) in a manner consistent with their existing budget process and should, to the extent possible, report using the same reporting unit in each reporting year. For example, if a State health department maintains separate budgets for different units (e.g., medical and public health units), those units may be reported and considered separately. Spending cuts must be reported relative to FY 2019 spending levels, adjusted for inflation, and excluding Fiscal Recovery Funds from reporting year spending levels. Recipients should maintain records regarding spending cuts. As discussed in the Interim Final Rule, in order to help ensure governments use Fiscal Recovery Funds in a manner consistent with the prescribed eligible uses and do not use Fiscal Recovery Funds to indirectly offset a reduction in net tax revenue resulting from a covered change, Treasury will monitor changes in spending throughout the covered period. Evasions of the Tax Offset Provision may be subject to recoupment. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 30 Appendix 1: Expenditure Categories The Expenditure Categories (EC) listed below must be used to categorize each project as noted in Part 2 above. The term “Expenditure Category” refers to the detailed level (e.g., 1.1 COVID-10 Vaccination). When referred to as a category (e.g., EC 1) it includes all Expenditure Categories within that level. 1: Public Health 1.1 COVID-19 Vaccination ^ 1.2 COVID-19 Testing ^ 1.3 COVID-19 Contact Tracing 1.4 Prevention in Congregate Settings (Nursing Homes, Prisons/Jails, Dense Work Sites, Schools, etc.)* 1.5 Personal Protective Equipment 1.6 Medical Expenses (including Alternative Care Facilities) 1.7 Capital Investments or Physical Plant Changes to Public Facilities that respond to the COVID-19 public health emergency 1.8 Other COVID-19 Public Health Expenses (including Communications, Enforcement, Isolation/Quarantine) 1.9 Payroll Costs for Public Health, Safety, and Other Public Sector Staff Responding to COVID-19 1.10 Mental Health Services* 1.11 Substance Use Services* 1.12 Other Public Health Services 2: Negative Economic Impacts 2.1 Household Assistance: Food Programs* ^ 2.2 Household Assistance: Rent, Mortgage, and Utility Aid* ^ 2.3 Household Assistance: Cash Transfers* ^ 2.4 Household Assistance: Internet Access Programs* ^ 2.5 Household Assistance: Eviction Prevention* ^ 2.6 Unemployment Benefits or Cash Assistance to Unemployed Workers* 2.7 Job Training Assistance (e.g., Sectoral job-training, Subsidized Employment, Employment Supports or Incentives)* ^ 2.8 Contributions to UI Trust Funds 2.9 Small Business Economic Assistance (General)* ^ 2.10 Aid to Nonprofit Organizations* 2.11 Aid to Tourism, Travel, or Hospitality 2.12 Aid to Other Impacted Industries 2.13 Other Economic Support* ^ 2.14 Rehiring Public Sector Staff 3: Services to Disproportionately Impacted Communities 3.1 Education Assistance: Early Learning* ^ 3.2 Education Assistance: Aid to High-Poverty Districts ^ 3.3 Education Assistance: Academic Services* ^ 3.4 Education Assistance: Social, Emotional, and Mental Health Services* ^ 3.5 Education Assistance: Other* ^ 3.6 Healthy Childhood Environments: Child Care* ^ 3.7 Healthy Childhood Environments: Home Visiting* ^ 3.8 Healthy Childhood Environments: Services to Foster Youth or Families Involved in Child Welfare System* ^ Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 31 3.9 Healthy Childhood Environments: Other* ^ 3.10 Housing Support: Affordable Housing* ^ 3.11 Housing Support: Services for Unhoused Persons* ^ 3.12 Housing Support: Other Housing Assistance* ^ 3.13 Social Determinants of Health: Other* ^ 3.14 Social Determinants of Health: Community Health Workers or Benefits Navigators* ^ 3.15 Social Determinants of Health: Lead Remediation ^ 3.16 Social Determinants of Health: Community Violence Interventions* ^ 4: Premium Pay 4.1 Public Sector Employees 4.2 Private Sector: Grants to Other Employers 5: Infrastructure27 5.1 Clean Water: Centralized Wastewater Treatment 5.2 Clean Water: Centralized Wastewater Collection and Conveyance 5.3 Clean Water: Decentralized Wastewater 5.4 Clean Water: Combined Sewer Overflows 5.5 Clean Water: Other Sewer Infrastructure 5.6 Clean Water: Stormwater 5.7 Clean Water: Energy Conservation 5.8 Clean Water: Water Conservation 5.9 Clean Water: Nonpoint Source 5.10 Drinking water: Treatment 5.11 Drinking water: Transmission & Distribution 5.12 Drinking water: Transmission & Distribution: Lead Remediation 5.13 Drinking water: Source 5.14 Drinking water: Storage 5.15 Drinking water: Other water infrastructure 5.16 Broadband: “Last Mile” projects 5.17 Broadband: Other projects 6: Revenue Replacement 6.1 Provision of Government Services 7: Administrative 7.1 Administrative Expenses 7.2 Evaluation and Data Analysis 7.3 Transfers to Other Units of Government 7.4 Transfers to Non-entitlement Units (States and territories only) *Denotes areas where recipients must identify the amount of the total funds that are allocated to evidence-based interventions (see Use of Evidence section above for details) ^Denotes areas where recipients must report on whether projects are primarily serving disadvantaged communities (see Project Demographic Distribution section above for details) 27 Definitions for water and sewer Expenditure Categories can be found in the EPA’s handbooks. For “clean water” expenditure category definitions, please see: https://www.epa.gov/sites/production/files/2018-03/documents/cwdefinitions.pdf. For “drinking water” expenditure category definitions, please see: https://www.epa.gov/dwsrf/drinking-water-state-revolving-fund-national-information-management-system-reports. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 32 Appendix 2: Evidenced-Based Intervention Additional Information What is evidence-based? For the purposes of the SLFRF, evidence-based refers to interventions with strong or moderate evidence as defined below: Strong evidence means the evidence base that can support causal conclusions for the specific program proposed by the applicant with the highest level of confidence. This consists of one or more well-designed and well-implemented experimental studies conducted on the proposed program with positive findings on one or more intended outcomes. Moderate evidence means that there is a reasonably developed evidence base that can support causal conclusions. The evidence base consists of one or more quasi-experimental studies with positive findings on one or more intended outcomes OR two or more non-experimental studies with positive findings on one or more intended outcomes. Examples of research that meet the standards include: well-designed and well-implemented quasi- experimental studies that compare outcomes between the group receiving the intervention and a matched comparison group (i.e., a similar population that does not receive the intervention). Preliminary evidence means that the evidence base can support conclusions about the program’s contribution to observed outcomes. The evidence base consists of at least one non- experimental study. A study that demonstrates improvement in program beneficiaries over time on one or more intended outcomes OR an implementation (process evaluation) study used to learn and improve program operations would constitute preliminary evidence. Examples of research that meet the standards include: (1) outcome studies that track program beneficiaries through a service pipeline and measure beneficiaries’ responses at the end of the program; and (2) pre- and post-test research that determines whether beneficiaries have improved on an intended outcome. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 33 Revision Log Version Date Published Summary of changes 1.0 June 17, 2021 Initial publication 1.1 June 24, 2021 • Pg. 12, removed references to “summary” level with respect to reporting by Expenditure Categories in the Interim Report to avoid confusion. • Pg. 13, revised the coverage period end date for the Interim Report from June 30, 2021 to July 31, 2021 to align with the IFR. • Pg. 13, removed references to “summary” level with respect to reporting by Expenditure Categories in the Interim Report to avoid confusion. • Pg. 31, removed references to “summary level” with respect to Expenditure Categories in Appendix 1 to avoid confusion. Coronavirus State and Local Fiscal Recovery FundsCompliance and Reporting Guidance 34 EXHIBIT 3