HESPERIA CITY COUNCIL HOUSING AUTHORITY WATER DISTRICT  SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY  COMMUNITY DEVELOPMENT COMMISSION  Meeting Agenda Tuesday, November 5, 2024 Closed Session - 5:30 PM Regular Meeting - 6:30PM  City Council Chambers 9700 Seventh Ave., Hesperia CA, 92345 City Clerk's Office: (760)947-1007 City Council Members Larry Bird, Mayor Rebekah Swanson, Mayor Pro Tem Brigit Bennington, Council Member Cameron Gregg, Council Member Allison Lee, Council Member Rachel Molina, City Manager Pam K. Lee, City Attorney    6.  NOTE: In compliance with the Americans with Disability Act, if you need special assistance to participate in this meeting, please contact the City Clerk's Office at (760) 947-1007 or (760) 947-1026. Notification 48 hours prior to the meeting will enable the To leave a Public Comment by phone, call and leave a recorded message at (760) 947-1056 up to 5:30 pm on the day of the scheduled meeting. City Council meetings may be viewed live or after the event on the City's website at www.cthyotnespenaus.  City to make reasonable arrangements to ensure accessibility.    City Council  Meeting Agenda REGULAR MEETING AGENDA HESPERIA CITY COUNCIL SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY HESPERIA HOUSING. AUTHORITY HESPERIA COMMUNITY DEVELOPMENT COMMISSION HESPERIA WATER DISTRICT 97007 7th Avenue, Council Chambers, Hesperia, CA 92345  November 5, 2024  As a courtesy, please silence your cell phones and other electronic devices while the meeting is in  session. Thank you.  Prior to action of the Council, any member of the audience will have the opportunity to address the legislative body Individuals wishing to speak during General Public Comments or on a particular numbered. item must submit a speaker slip to the City Clerk with the agenda item noted. Speaker slips should be turned inj prior to the public comment, portion oft the agenda or before an agenda item is discussed. Comments will bel limited tot three minutes for General Public Comments, Consent Calendar items and New Business items. Comments are limited toi five In compliance with the Brown Act, the City Council may not discuss ort take action on non-agenda items or engage in question and answer: sessions with the public. The City Council may ask brief questions for clarification; provide areference to staff or other resources for factual information and direct staff to add an item to a subsequent  on any item listed ont the agenda, including those on the Consent Calendar.  minutes for Public Hearing items.  meeting.  CLOSED SESSION 5:30PM  Roll Call  Mayor Larry Bird Mayor Pro Tem Rebekah Swanson Council Member Brigit Bennington Council Member Cameron Gregg Council Member Allison Lee  Conference with Legal Counsel- - Potential Litigation: Government Code Section 54956.9(d)2  1. One (1) Case  Conference with Real Property Negotiators - Property Negotiations  Government Code Section - 54956.8  1. Negotiating Parties: City of Hesperia and Faith Lutheran Church of Hesperia  Location: APN: 0413-031-05 Under Negotiations: Price & Terms  CALL TO ORDER -6 6:30PM  A. B. City ofH Hesperia  Invocation  Pledge of Allegiance to the Flag  Page 1  Printed on 10/30/2024    City Council C.  Meeting Agenda  November 5, 2024  Roll Call  Mayor Larry Bird Mayor Pro Tem Rebekah Swanson Council Member Brigit Bennington Council Member Cameron Gregg Council Member. Allison Lee  D. E.  Agenda Revisions and Announcements by City Clerk Closed Session Reports by City Attorney  ANNOUNCEMENISIPRESENTATIONS  1. Presentation of Certificates of Recognition to the Hesperia Christian Patriots  Softball team for being named D8 Champions  GENERAL PUBLIC COMMENTS (For items and matters not listed on the agenda)  Individuals wishing to speak during General Public Comments or on a particular numbered. item are requestedto submit a speaker slip to the City Clerk with the agenda item noted. Speaker slips should be turned in prior to the public comment, portion oft thej joint agenda ork before an agenda item is discussed. Comments will be limited to three minutes for General Public Comments, Consent Calendar items and New Business items. Comments are In compliance with the Brown. Act, the City Council may not discuss or take action on non-agenda items or engage in question and answer: sessions with the public. The City Council may ask brief questions for clarification; provide ar reference to staff or other resources fori factual information and direct stafft to add ani item to a subsequent  limited to five minutes for Public Hearing items.  meeting.  JOINT CONSENT CALENDAR 1. Page 7  Consideration of the Draft Minutes from the Regular Meeting held Tuesday,  October 15, 2024. Recommended. Action:  Itis recommended that the City Council approve the Draft Minutes from the  Regular Meeting held Tuesday, October 15, 2024. Staff Person: Assistant City Clerk Erin Baum Attachments: Draft CCI Min 2024-10-15  2. Page 13  Consideration of the Draft Minutes from the Special Meeting held Tuesday,  October 15, 2024. Recommended. Action:  It_is recommended that the City Council approve the Draft Minutes from the  Special Meeting held Tuesday, October 15, 2024. Staff Person: Assistant City Clerk Erin Baum  City of Hesperia  Page 2  Printed on 10/30/2024    City Council  Meeting Agenda  November 5, 2024  Attachments: Draft Special CC Min 2024-10-15  3. Page 15  Consideration of the Draft Minutes from the Special Meeting held Tuesday,  October 22, 2024. Recommended. Action:  Itis recommended that the City Council approve the Draft Minutes from the  Special Meeting held Tuesday, October 22, 2024 Staff Person: Assistant City Clerk Erin Baum Attachments: Draft Special CC Min 2024-10-22 Community Development Commission - Water)  4. Page 17  Warrant Run Report (City - Successor Agency - Housing Authority  Recommended. Action:  Itis recommended that the Council/Board ratify the warrant run and payroll report for the City, Successor Agency to the Hesperia Community Redevelopment Agency, Hesperia Housing Authority, Community Development  Commission, and' Water District. Staff Person: Assistant City Manager Casey Brooksher Attachments: SR Warrant Run 11-5-2024  Attachment 1- Warrant Run  5. Page 19  Treasurer's Cash Report for the unaudited period ending July 31, 2024and an updated Treasurer's Cash Report for the unaudited period ending June 30,  2024.  Recommended. Action:  Itis recommended that the Council/Board accept the Treasurer's Cash Report for the City, Successor Agency to the Hesperia Community Redevelopment Agency, Hesperia Housing Authority, Community Development Commission,  and Water District.  Staff Person: Assistant City Manager Casey Brooksher Attachments: SR Treasurer's Report 11-5-2024  Attachments 1-5- July 2024 Treasurer Reports Attachments 6-10-, June 2024 Treasurer Reports  6. Page 37  American Rescue Plan Act (ARPA) Grant - Tamarisk Storm Water Basin  Rehabilitation Recommended Action:  Itis recommended that the City Council authorize the City Manager to award a contract with H L Hitchcock Construction to rehabilitate the Tamarisk Storm Water Basin to its original design in the amount of $ 602,650 and approve an additional 10% contingency in the amount of $60,2651 for a not-to-exceed  amount of $662,915.  City of Hesperia  Page3 3  Printed on 10/30/2024    City Council  Meeting Agenda  November 5, 2024  Staff Person: Director of Public Works/City Engineer Cassandra Sanchez Attachments: SRT Tamarisk Storm Water Basin 11-5-2024 American Rescue Plan Act (ARPA) Grant Contract Services - Leak Analysis  7. Page 39  Recommended Action:  Itis recommended that the City Council and Board of Directors of the Hesperia Water District authorize the City Manager to enter into an agreement with ASTERRA for the satellite scan of the City's water distribution system to identify non-apparent leaks, in the not-to-exceed amount of $350,000, which includes a  contingency of $30,000.  Staff Person: Director of Public Works/City Engineer Cassandra Sanchez Attachments: SRARPA Grant Contract Services Leak Analysis 11-5-2024  8. Page 41  American Rescue Plan Act (ARPA) Grant Equipment Procurement - Closed  Circuit Television Truck Recommended. Action:  Itisre recommended that the City Council and Board of Directors of the Hesperia Water District authorize the City Manager to enter into an agreement with Plumbers Depot for the purchase of one (1) closed-circuit television (CCTV)  inspection vehicle in the not-to-exceed amount of $481,008. Staff Person: Director of Public Works/City Engineer Cassandra Sanchez Attachments: SRARPA Grant Closed Circuit Television Truck 11-5-2024 American Rescue Plan Act (ARPA) Grant Service Line Replacement Project  9. Page 43  Recommended Action:  Itis recommended that the City Council and Board of Directors of the Hesperia Water District authorize the City Manager to enter into an agreement with Weka Inc. for the replacement of water service lines in the not-to-exceed amount of  $7,731,407, which includes a 10% contingency.  Staff Person: Director of Public Works/City Engineer Cassandra Sanchez Attachments: SRA ARPA Grant Service Line Replacement Project 11-5-2024  10. Page 45  Final Tract Map No. 20648-2 Recommended. Action:  Itis recommended that the City Council adopt Resolution No. 2024-56 approving Final Map No. 20648-2to create 4 additional residential lots in addition to the 20 residential lots and 1homeowners association (HOA) community lot with a remainder parcel previously approved on Final Map 20648-1 on approximately 15.61 gross acres to develop a portion of Tract 18989-1 Lot 26, Planning Area 17of the Tapestry Specific Plan (Applicant:  Silverwood Development Phase I, LLC).  Staff Person: Director of Public Works/City Engineer Cassandra Sanchez  City of Hesperia  Page 4  Printed on 10/30/2024    City Council  Meeting Agenda  November 5, 2024  Attachments: SRI Final Tract Map 20648-2 11-5-2024  Resolution 2024-56  Attachment: 2- Final Tract Map 20648-2  CONSENT ORDINANCES  WAIVE READING OF ORDINANCES  Approve the reading by title of all ordinances and declare that said titles whicha appear on the public agenda shall  be determined to have been read by title andi further reading waived.  11. Page 51  Amendments to Chapter 5.50of the Hesperia Municipal Code Related to  Medical Cannabis Business Licenses Recommended. Action:  Place on second reading and adopt by title waiving the text of Ordinance No. 2024-12 amending Chapter 5.50of the Hesperia Municipal Code relating to  medical cannabis business licenses. Staff Person: City Attorney Pam K. Lee  Attachments: SR Cannabis Business Licenses 10-15-2024  Ordinance 2024-12 Attachment: 2- ExhibitA  COUNCIL COMMITTEE REPORTS AND COMMENTS  The Council may report on their activities as appointed representatives of the City on various Boards and Committees and/or may make comments of general interest or report on theira activities as a representative oft the  City.  CITY MANAGERICITY ATTORNEVISTAFF REPORTS  The City Manager, City Attomey or staff may make announcements or reports concerning items ofi interest to the  Council and the public. ADJOURNMENT  1,6 Erin Baum, Assistant City Clerk oft the City of Hesperia, California do hereby certify that! caused to be posted the foregoing agenda on Wednesday, October 30, 2024 at 5:30A p.m. pursuant to California Govemment Code  $54954.2.  Erin Baum, Assistant City Clerk  Documents produced by the City and distributed. less than 72 hours prior tot the meeting regarding items on the  agenda will be made available. in the City Clerk's Office during normal business hours.  City ofH Hesperia  Page 5  Printed on 10/30/2024    THIS PAGE LEFT INTENTIONALLY BLANK  Page6 6    City of Hesperia Meeting Minutes - Draft City Council  City Council Chambers 9700 Seventh Ave. Hesperia CA, 92345  Cityo ok Sespetia  Tuesday, October 15, 2024  6:30 PM  REGULAR MEETING AGENDA HESPERIA CITY COUNCIL SUCCESSOR AGENCY TOTHE REDEVELOPMENT AGENCY HESPERIA HOUSING AUTHORITY HESPERIA COMMUNITY DEVELOPMENT COMMISSION HESPERIA FIRE PROTECTION DISTRICT HESPERIA WATER DISTRICT  CLOSED SESSION -6:00F PM  Roll Call  Present: 5- Mayor Bird, Mayor Pro Tem Swanson, Council Member Gregg,  Council Member Bennington and Council Member Lee  Conference with Legal Counsel - Existing Litigation: Government Code Section 54956.9(d)1 1. General Liability Settlement: Billings, et al. V. City of Hesperia, et al. Claim No. HS2042  2. County of San Bernardino V. City of Hesperia, San Bernardino Superior Court Case No. CIVSB2209965  CALL TO ORDER - 6:30PM A. Invocation  B. Pledge of Allegiance to the Flag  C. Roll Call  Present: 5- Mayor Bird, Mayor Pro Tem Swanson, Council Member Gregg,  Council Member Bennington and Council Member Lee  D. Agenda Revisions and Announcements by City Clerk E. Closed Session Reports by City Attorney  City of Hesperia  Page7    ANNOUNCEMENISPRESENTATIONS  Presentation by' Victor Valley Transit Authority on Route Changes  GENERAL PUBLIC COMMENTS (For items and matters not listed on the agenda)  The following individuals spoke during public comment.  Bob! Nelson Kim. Jones Lynn Litchfield Yolette Rios Gina Whelan Susan Garcia Stephanie James Robert Davie Bill Jensen Angel (via voicemail) Jeri Pike (via voicemail) JOINT CONSENT CALENDAR  A motion was made by Swanson, seconded by Gregg, that the Joint Consent Calendar be  approved. The motion carried by the following vote:  Aye: 5- Bird, Swanson, Gregg, Bennington, and Lee  Nay: 0  1.  Consideration of the Draft Minutes from the Regular Meeting held Tuesday, October 1, 2024.  Recommended. Action: Tuesday, October 1, 2024.  Itisr recommended that the City Council approve the Draft Minutes from the Regular Meeting held  Sponsors: Assistant City Clerk Erin Baum  2.  Warrant Run Report (City- Successor. Agency Housing Authority- Community  Development  Commission Water)] Recommended Action:  Itisr recommended that the Counci/Board ratify the warrant run and payroll report for the City, Successor Agency to the Hesperia Community Redevelopment Agency, Hesperia Housing Authority, Community  Development Commission, and' Water District. Sponsors: Assistant City Manager Casey Brooksher  3.  American Rescue Plan. Act (ARPA) Grant Vehicle Procurement- (1) Combination Truck  Recommended. Action:  Itis recommended that the City Council and Board of Directors of the Hesperia Water District authorize the City Manager to enter into an agreement with Haaker Equipment Company for the purchase of one  City of Hesperia  Page 8    (1) 2025 Vactor Freightliner 2112i ini the not-to-exceed amount of $711,716. Sponsors: Director of Public' Works/City Engineer Cassandra Sanchez American Rescue Plan Act (ARPA) Grant Equipment Procurement One Wheel Loader  4.  Recommended Action:  Itisr recommended that the City Council and Board of Directors oft the Hesperia Water District authorize the City Manager to enter into an agreement with Sonsray Machinery, LLC. for the purchase of one (1)  2024 Case 621G wheel loader in the not-to-exceed amount of $201,360. Sponsors: Director of Public Works/City Engineer Cassandra Sanchez American Rescue Plan. Act (ARPA) Grant- Citywide Sidewalk Repair  5.  Recommended Action:  Itis recommended that the City Council authorize the City Manager to enter into an agreement with H L Hitchcock Construction to repair or replace sidewalks in seventeen (17) locations citywide in the amount of $109,190 and approve an additional 10% contingency of $10,919 for a not-to-exceed amount  of  $120,109.  Sponsors: Director of Public Works/City Engineer Cassandra Sanchez American Rescue Plan Act (ARPA) Grant Equipment Procurement Sixteen Chlorinators  6.  Recommended. Action:  Itis recommended that the City Council andl Board of Directors of the Hesperia Water District authorize the City Manager to enteri into an agreement with Doane and Hartwig Water Systems for the purchase of sixteen (16) Constant Chlor MC-4 chlorinators ini the not-to-exceed amount of $260,939. Sponsors: Director of Public Works/City Engineer Cassandra Sanchez  7.  Public Works Asset Management Software (Cityworks)  Recommended. Action:  Iti is recommended that the City Council andl Board of Directors of the Hesperia Water District (District) authorize the City Manager to enter into a two-year software license and maintenance agreement with  Azteca Systems, Inc. in anot-to-exceed amount of $121,700. Sponsors: Director of Public' Works/City Engineer Cassandra Sanchez  8.  Adopt Measure I Five Year Capital Project Needs Analysis for Fiscal Years 2025/26 through 2029/30  Recommended Action:  Itisr recommended that the Mayor and Council Members adopt Resolution No. 2024-49 approving the Measure I Five-Year Capital Project Needs Analysis submittal to the San Bernardino County  Transportation Authority (SBCTA) for Fiscal Years 2025/26 through 2029/30. Sponsors: Director of Public' Works/City Engineer Cassandra Sanchez  PUBLIC HEARING  City of Hesperia  Page 9    9.  Amendments to Chapter 5.50 of the Hesperia Municipal Code Related to Medical Cannabis Business  Licenses  Recommended. Action:  Itisr recommended that the City Council introduce and place on first reading Ordinance No. 2024-12 amending Chapter 5.50 of the Hesperia Municipal Code relating to medical cannabis business licenses.  Sponsors: City Attorney Pam K. Lee Robert Davie spoke during the public hearing.  AI motion was made by Gregg, seconded by Bennington, that this item be approved. The motion  carried by the following vote:  Aye: 5- Bird, Swanson, Gregg, Bennington, and Lee  Nay: 0  NEW BUSINESS  10. Proposition 36 Homelessness, Drug Addiction, and Theft Reduction Act  Recommended. Action:  Itisn recommended that the City Council consider adopting Resolution No. 2024-53, Proposition 36- the Homelessness, Drug Addiction, and Theft Reduction Act. Sponsors: Assistant to the City Manager Tammy Pelayes  supporting  Ar motion was made by Swanson, seconded by Gregg, that this item be approved. The motion  carried by the following vote:  Aye: 5- Bird, Swanson, Gregg, Bennington, and Lee  Nay: 0  11. City of Hesperia Community Facilities District 2005-1 (Belgate Development Restructuring), County of  San Bernardino, State of California Special Tax Refunding Bonds, Series 2024  Recommended Action:  For the purpose of achieving debt service savings that can be passed through to taxpayers, it is recommended that the City Council adopt Resolution No. 2024-52, authorizing the issuance of the City of Hesperia Community Facilities District 2005-1 (Belgate Development Restructuring), County of San Bernardino, State of California Special Tax Refunding Bonds, Series 2024 (the "Bonds") to refinance  outstanding bonds and approving all related documents and actions. Sponsors: Assistant City Manager Casey Brooksher  AI motion was made by Lee, seconded by Swanson, that this item be approved. The motion  carried by the following vote:  Aye: 5- Bird, Swanson, Gregg, Bennington, and Lee  Nay: 0  COUNCIL COMMITTEE REPORTS AND COMMENTS  City of Hesperia  Page 10    The Mayor, Mayor Pro Tem, and Council Members reported from various events and Committees.  CITY MANAGER/CITY ATTORNEVISTAFF REPORTS  None.  ADJOURNMENT  The meeting was adjourned in honor of Carly Bennington's. 22nd birthday at 8:08 p.m.  Erin Baum, Assistant City Clerk  City of Hesperia  Page 11    THIS PAGE LEFT INTENTIONALLY BLANK  Page 12    City of Hesperia Meeting Minutes - Draft Strategic Planning Workshop  Police Community Room 15840 Smoke Tree St. Hesperia CA, 92345  Cityo ok SHespatia  Wednesday, October 15, 2024  1:30 PM  SPECIAL MEETING AGENDA HESPERIA CITY COUNCIL HESPERIA HOUSING AUTHORITY  SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY HESPERIA COMMUNITY DEVELOPMENT COMMISSION 15840 Smoke Tree St., Community Room, Hesperia, CA 92345  CALL TO ORDER - 1:30PM A. Roll Call  Present: 5- Mayor Bird, Mayor Pro Tem Swanson, Council Member Gregg,  Council Member Bennington and Council Member Lee  GENERAL PUBLIC COMMENTS (For items and matters not listed on the agenda)  There were no public comments. NEW BUSINESS  1. Strategic Planning' Workshop Sponsors: ADJOURNMENT  Rachel Molina, City Manager  The meeting was adjourned at 4:11 p.m.  Erin Baum, Assistant City Clerk  City of Hesperia  Page 13    THIS PAGE LEFT INTENTIONALLY BLANK  Page 14    City of Hesperia Meeting Minutes - Draft State of the City Address  Marriott Courtyard Ballroom 9619 Mariposa Rd. Hesperia CA, 92345  Cityo ok SHespatia  Tuesday, October 22, 2024  11:00 AM  SPECIAL MEETING AGENDA HESPERIA CITY COUNCIL HESPERIA HOUSING AUTHORITY  SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY HESPERIA COMMUNITY DEVELOPMENT COMMISSION 9619 Mariposa Rd, Marriott Courtyard Ballroom, Hesperia, CA 92345  CALL TO ORDER - 12:02 PM A. Roll Call  Present: 5- Mayor Bird, Mayor Pro Tem Swanson, Council Member Gregg,  Council Member Bennington and Council Member Lee  ANNOUNCEMENISPRESENTATIONS Chamber of Commerce Update  1. NEW BUSINESS 1.  State of the City Address by the Mayor  GENERAL PUBLIC COMMENTS (For items and matters not listed on the agenda)  There were no public comments. ADJOURNMENT  The meeting was adjourned at 1:33 p.m.  Erin Baum, Assistant City Clerk  City of Hesperia  Page 15    THIS PAGE LEFT INTENTIONALLY BLANK  Page 16    City of Hesperia STAFF REPORT  DATE: TO:  November 5, 2024 Mayor and Council Members  City Council, as Successor Agency to the Hesperia Community Redevelopment  Agency  Chair and Commissioners, Hesperia Housing Authority Chair and Commissioners, Community Development Commission Chair and Board Members, Hesperia' Water District  FROM: BY:  Rachel Molina, City Manager Casey Brooksher, Assistant City Manager Anne Duke, Deputy Finance Director Shirley Domacio Calderon, Accountant Development Commission - Water)  SUBJECT: Warrant Run Report (City - Successor Agency - Housing Authority - Community  RECOMMENDED ACTION  Itisre recommended that the Council/Board ratify the warrant run and payroll report for the City, Successor Agency to the Hesperia Community Redevelopment Agency, Hesperia Housing  Authority, Community Development Commission, and' Water District.  BACKGROUND October 04, 2024. City of Hesperia Successor Agency Housing Authority Water  The Warrant Run totals represented below are for the period September 21, 2024, through  Agency/District  Accounts Payable Payroll $1,612,192.44 $309,876.74 0.00 1,017.20 0.00 2,010,736.95 151,334.49 $3,623,946.59 $461,417.08  Wires Totals $0.00 $1,922,069.18 0.00 0.00 0.00 1,223.05 0.00 0.00 0.00 2,162,071.44 $0.00 $4,085,363.67  0.00 205.85 0.00  Community Development Commission  Totals  Includes debt service payments made via Automated Clearing House (ACH) electronic deposit of funds.  CITY GOAL SUPPORTED BY THIS ITEM  Financial Health - Maintain a balanced budget and adequate reserves.  ATTACHMENTIS) 1. Warrant Runs  Page 17    City of Hesperia WARRANT RUNS MAIAUL-IUAAUZ WIE 9/27/2024 $ 9 9 $  Attachment1  YEAR-TO PRIORFYYTD DATE TOTALS*  WIE 10/4/2024 $ * $  WARRANT TOTALS 9  DATE TOTALS  FUND# Accounts Payable 100 GENERAL 105 PENSION OBLIGATION TRUST 106 OPEB TRUST 110 SILVERWOOD 200 HESPERIA FIRE DISTRICT 204 MEASURE I- RENEWAL 207 LOCAL TRANSPORT-SB: 325 209 GAS TAX-RMRA 210 HFPD (PERS) 251 CDBG 254 AB2766- TRANSIT 255 AB3229 SUPPLEMENTAL LAW 256 ENVIRONMENTAL PROGRAMS GRANT 262 SB1 1383 LOCAL ASSISTANCE GRANT 263 STREETS MAINTENANCE 300 DEV. IMPACT FEES-STREET 301 DEV. IMPACT FEES- STORMI DRAIN 303 DEV. IMPACT FEES-F POLICE 304 DEV. IMPACT FEES-PUBLICI WKS. 306 DEV. IMPACT FEES- 2018-STREETS 312 DIF 2018-POLICE! FACILITIES 313 DIF A-04 DRAINAGE 402 WATERI RIGHTS ACQUISITION 403 2013 REFUNDINGI LEASE REVI BONDS 404 2023 REFUNDINGI LEASE REVI BONDS 504 CITYV WIDE STREETS-CIP 509 CITYF FACILITIES CIP 800 EMPLOYEEI BENEFITS 801 TRUST/AGENCY 802 AD91-1/ AGENCY 804 TRUST-INTEREST BEARING 807 CFD 2005-1 808 HFPD (TRANSITION) 815 PLAN REVIEW TRUST-FRONTIER CITY 163 REDEVELOP OBLIG RETIREMENT-2018 SUCCESSOR, AGENCY 370 HOUSING/ AUTHORITY HOUSING AUTHORITY 170 COMMUNITY DEVELOPMENT COMMISSION COMMUNITY DEVELOPMENT COMMISSION 700 WATER OPERATING 705 WATER PENSION OBLIGATION TRUST 701 WATER CAPITAL 710 SEWER OPERATING 711 SEWER CAPITAL 720 RECLAIMED WATER OPERATIONS WATER ACCOUNTS PAYABLE TOTAL REG. PAYROLL City Housing Authority Water PAYROLL TOTAL  FUNDNAME  Wires  $ 105,415.00 $ 70,320.90 $ 175,735.90 $  12,402,853.74 $ 11,203,320.69 $ 6,617.66 $ $ $ 12,615.41 $ 405,842.73 $ $ 922,727.40 $ 9 $ 1,755,819.00 $ 907,316.00 $ 241,353.78 $ 186,979.73 $ 19,287.16 $ 5,017.75 $ 598,936.59 $ 784,795.63 22,388.61 $ 3,600.00 500,205.04 $ 1,050,601.98 498.79 $ 317,748.35 $ 1,110,410.40 $ 1,105,238.08 568,901.39 $ 2,593,680.82 $ 3,230,902.12 $ 2,710,581.60 $ 2,393,423.03 $ 468,224.80 $ 310,113.05 $ 41,105.51 $ 97,818.90 $ 1,018,250.47 $ 982,734.24 $ 317,435.02 $ 347,796.19 $ 23,820,264.40S 24,824,877.26 7,922,197.73 $ 8,076,933.89 7,922,1 ,197.73$ 8,076,933.89 $ 4,694.17 $ 4,122.44 4,694.17$ 4,122.44 $ 3,264,692.11 $ 3,411,848.32 $ 750,000.00 $ $ 16,473.00 $ 298,109.99 $ 1,970,133.86 $ 1,651,646.14 $ 931,759.89 $ 525,100.10 $ 24,508.13 $ 10,649.56 $ 6,957,566.99 5,897,354.11 38,704,723.29 $ 38,803,287.70 2,186,354.72 $ 2,111,540.73 1,619.75 $ 1,390.01 1,074,813.07 $ 925,317.99 3,262,787.54 $ 3,038,248.73  1.50 $ $ 87,461.23 $  1.50  1,631.12 $ 89,092.35  $ $ $ $ $  1,110,410.40 $  1,110,410.40 $  29,123.12 $ 202,877.53 $ 232,000.65 $  2,951.64 $ 2,000.00 $  2,951.64 $ 2,000.00 $  1,337,362.89 274,829.55_ 1,612,192.44S  $ 1,017.20 $ $ 1,017.20$  $ 1,017.20 $ $ 1,017.20$ 9 9 750,000.00 $ $ 6,138.84 $ 730,522.64 $ $ 3,473.89 $  $ 164,495.47 $ 362,244.95 $ 526,740.42 $  $ 750,000.00 $ $ $ 724,383.80 $ $ $ 3,473.89 $  $ 1,642,353.16S 368,383.79 2,010,736.95S $ 2,980,733.25 $ 643,213.34 $ 3,623,946.59 $  $ 309,876.74 $ $ 205.85 $ $ 151,334.49 $ $ 461,417.08 $  309,876.74 $ 205.85 $ 151,334.49 $ 461,417.08 $  Page 18  *Nop payments were issued onJ July 1,2023.    City of Hesperia STAFF REPORT  DATE: TO:  November 5, 2024 Mayor and Council Members Community Redevelopment Agency  City Council, Serving as Successor Agency to the Hesperia Chair and Commissioners, Hesperia Housing Authority Chair and Commissioners, Community Development Commission Chair and Board Members, Hesperia Water District  FROM: BY:  Rachel Molina, City Manager Casey Brooksher, Assistant City Manager Anne Duke, Deputy Finance Director Cristina Hall, Accountant  SUBJECT: Treasurer's Cash Report for the unaudited period ending July 31, 2024, and an  updated Treasurer's Cash Report for the unaudited period ended June 30, 2024.  RECOMMENDED ACTION  Itis recommended that the Council/Board accept the Treasurer's Cash Report for the City, Successor Agency to the Hesperia Community Redevelopment Agency, Hesperia Housing  Authority, Community Development Commission, and' Water District.  BACKGROUND  This report is presented to the City Council pursuant to Government Code Section 53646 (b)  setting forth the City's investment portfolio.  SSUES/ANALYSIS  The Treasurer's Cash Reports are presented on the following pages for each agency.  CITY GOAL SUPPORTED BY THIS ITEM  Financial Health - Maintain a balanced budget and adequate reserves.  FISCAL IMPACT  These reports reflect unaudited cash balances as of July 31, 2024, and an update to the. June 30, 2024, Treasurer's Report for additional entries made during the year-end closing process.  ALTERNATIVE!S) Provide alternative direction to staff. ATTACHMENT/S)  1. City of Hesperia Investment Report - Unaudited Period Ending July 31, 2024. 2. Successor Agency to the Hesperia Community Redevelopment Agency Investment Report =  Unaudited Period Ending July3 31, 2024.  Page 19    Page 2 of8 Treasurer's Cash Report November 5, 2024 2024.  Staff Report to the Mayor and City Council/Board Members  3. Hesperia Housing Authority Investment Report - Unaudited Period Ending July 31, 2024. 4. Community Development Commission Investment Report - Unaudited Period Ending July 31, 5. Hesperia Water District Investment Report - Unaudited Period Ending July 31, 2024. 6. City of Hesperia Investment Report - Revised Unaudited Period Ending June 30, 2024. 7. Successor Agency to the Hesperia Community Redevelopment Agency Investment Report - 8. Hesperia Housing Authority Investment Report - Revised Unaudited Period Ending June 30, 9. Community Development Commission Investment Report = Revised Unaudited Period 10. Hesperia Water District Investment Report - Revised Unaudited Period Ending June 30,  Revised Unaudited Period Ending June 30, 2024.  2024.  Ending June 30, 2024. 2024.  Page 20    Page 3 of8 Treasurer's Cash Report November 5, 2024  Staff Report to the Mayor and City Council/Board Members  CITY OF HESPERIA Unaudited Period Ending July31,2024  FUND  VALUE 24,756,147.38 79,911.60 470,761.99 429.13 429.13 475.00 25,396.85 289,069.23 395,619.81 288,609.69 1,941,322.90 317,435.02 11,701,922.35) 3,234,127.60 24,801,087.49 347,949.57 5,318,145.37 23,492,301.78 1,594,980.23 61,512.85 2,006,781.60 7,711,237.48 1,541,201.29 1,745,772.50 12,220,508.11 617,512.46 259,356.21 860,095.79 1,772,666.47 1,789,684.80 1 106,238,606.98  General Fund (100 & 800) Pension Obligation Trust (105) OPEB Trust (106) HFPD (PERS) (210) CFD 2021-1 Resid Maint & Serv CFD 2022-1 Non-Resid Maint & Serv CFD 2023-1 Silverwood Maint AB27666 Transit (254) AB3229 Supplemental Law (255) AD No. 91-1 (802) Beverage Recycling Grant (256) CFD 2005-1 (807) HFPD Transition (808) City Wide-Capital Projects (504) Community Dev Block Grant (251, 252, &2 253) American Rescue Plan Grant (261) SB 1383 Local Assistance Grant (262) Development Impact Fund (300-304) Development Impact Fund 2018 (306-312) Development Impact Fund A-04 Drainage (313)  Disaster (260) Gas Tax Fund (205) Gas Tax RMRA (209) Gas Tax Swap (206) Local Transportation SB325 (207) Measure I- Renewal (204) Public Works Street Maint (263) Public Art (230) Trust Fund (801, 803-806, & 815) 2012' Water Rights Acquisition (402) 2013 Refunding Lease Rev Bonds (403) 2023 Refunding Lease Rev Bonds (404)  TOTAL CITY FUNDS  Page 21    Page 4 of8 8 Treasurer's Cash Report November 5, 2024  Staff Report to the Mayor and City Council/Board Members  SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY  Unaudited Period Ending July31,2024  FUND  VALUE 8,368,606.74  RORF Retention (163)  HESPERIAHOUSING AUTHORITY Unaudited Period Ending July31,2024  FUND  VALUE 4,271,850.37 1,943,481.04 6,215,331.41  Hesperia Housing Authority Fund (370) WVEDAI Housing Authority (371) TOTAL HOUSING AUTHORITY FUNDS  $ $  COMMUNITY DEVELOPMENT COMMISSION Unaudited Period Ending July3 31, 2024  FUND  VALUE 3,511,103.33  Community Development Commission Fund (170) $  Page 22    Page 5 of8 Treasurer's Cash Report November 5, 2024  Staff Report to the Mayor and City Council/Board Members  WATER  Unaudited Period Ending July31, 2024  FUND  VALUE 14,893,520.52 3,916,890.64 3,601,894.05 2,656,768.79 752,619.57 13,906,559.13 1,443,355.65 819,586.48 216,517.16 $ 42,207,711.99  Water Operating (700) Water Capital (701)  Water Capital Rehab and Replace (703) Water Contamination Mitigation (704) Water Pension Obilgation Trust (705) Water OPEB Trust (706) Sewer Operating (710) Sewer Capital (711)  Sewer Capital Rehab and Replace (713) Reclaimed Water Operations (720) TOTAL WATER FUNDS  Page 23    Page 6 of8 Treasurer's Cash Report November 5, 2024  Staff Report to the Mayor and City Council/Board Members  CITY OF HESPERIA  Revised Unaudited Period Ending June 30, 2024  FUND  VALUE 29,902,540.85 79,138.85 2,055,958.68  General Fund (100 & 800) Pension Obligation Trust (105) OPEB Trust (106) HFPD (PERS) (210) CFD 2021-1 Resid Maint & Serv CFD 2022-1 Non-Resid Maint & Serv CFD 2023-1 Silverwood Maint AB27666 Transit (254) AB3229 Supplemental Law (255) AD No. 91-1 (802) Beverage Recycling Grant (256) CFD 2005-1 (807) HFPD Transition (808) City Wide-Capital Projects (504) Community Dev Block Grant (251, 252, & 253) American Rescue Plan Grant (261) SB 1383 Local Assistance Grant (262) Development Impact Fund (300-304) Development Impact Fund 2018 (306-312) Development Impact Fund A-04 Drainage (313)  25,151.26 302,618.22 391,794.16 281,721.11 1,902,600.28 317,435.02 9,103,997.62) 3,207,227.03 24,565,025.55 80,043.99 5,194,455.73 22,323,335.83 987,180.41 46,459.64 1,945,004.87 7,432,669.24 1,520,632.05 1,745,866.54 11,909,804.72 772,190.47 256,848.23 605,557.46 1,755,521.86 1,720,073.99 $1 112,222,858.42  Disaster (260) Gas Tax Fund (205) Gas Tax RMRA (209) Gas Tax Swap (206) Local Transportation SB325 (207) Measure I- Renewal (204) Public Works Street Maint (263) Public Art (230) Trust Fund (801, 803-806, & 815) 2012 Water Rights Acquisition (402) 2013 Refunding Lease Rev Bonds (403) 2023 Refunding Lease Rev Bonds (404)  TOTAL CITY FUNDS  Page 24    Page 7 of8 Treasurer's Cash Report November 5, 2024  Staff Report to the Mayor and City Council/Board Members  SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY Revised Unaudited Period Ending June 30, 2024  FUND  VALUE 8,401,363.14  RORF Retention - (163)  HESPERIAHOUSING AUTHORITY Revised Unaudited Period Ending June 30, 2024  FUND  VALUE 4,223,433.70 1,923,327.89 6,146,761.59  Hesperia Housing Authority Fund (370) WVEDAH Housing Authority (371) TOTAL HOUSING AUTHORITY FUNDS  $ $  COMMUNITY DEVELOPMENT COMMISSION Revised Unaudited Period Ending June 30, 2024  FUND  VALUE 98,015.66  Community Development Commission Fund (170) $  Page 25    Page 8 of8 Treasurer's Cash Report November 5, 2024  Staff Report to the Mayor and City Council/Board Members  WATER  Revised Unaudited Period Ending June 30, 2024  FUND  VALUE 14,284,595.79 3,746,206.57 3,569,797.74 2,629,219.12 750,000.00 13,346,566.73 2,314,625.94 811,225.95 195,953.33 $ 41,648,191.17  Water Operating (700) Water Capital (701)  Water Capital Rehab and Replace (703) Water Contamination Mitigation (704) Water Pension Obilgation Trust (705) Water OPEB Trust (706) Sewer Operating (710) Sewer Capital (711)  Sewer Capital Rehab and Replace (713) Reclaimed Water Operations (720) TOTAL WATER FUNDS  Page 26    Cityo ofHesperia Investment Report Unaudited July:31,2024  ATTACHMENT1  Institution/ Fiscal Agent State ofCalif. U.S. Bank  Interest Dateof Dateof ParValue Rate Purchase Maturity atMaturity  Book Value  Market Value  Account Description  Type oflnvesiment Investments under the direction of the City: Local Agency Investment Funds Local Bank Checking Accounts  4.516% 31-Jul-24 Demand $ 95,685,589.02 95,685,589.02 95,685,589.02 na 31-Jul-24 Demand 10,553,017.96 10,553,017.96 10,553,017.96  Total Unaudited Investments under the direction oft the City  $ 106,238,606.98 $ 106,238,606.98 $ 106,238,606.98  Investments under the direction of fiscal agents: 20121 Lease Revenue Bonds 2012Lease Revenue Bonds 2012Lease Revenue Bonds 2014 CFD2 2005-1F Refunding 2014 CFD2 2005-1Refunding 2014 CFD2005-1Relunding 2014 CFD2 2005-1F Refunding 2023F Refunding! Lease Revenue Bonds 2023F Refunding Lease Revenue Bonds Deposits- Workers' Comp Sully Miller Retention- Ranchero City ofHesperia Stabalized Trust Cily ofHesperia OPEB Trust Hesperia Fire Protection PST City ofHesperia Settlement Escrow Account  USE Bank US Bank USE Bank USE Bank USE Bank USE Bank USE Bank USE Bank US Bank PERMA USBank Charles Schwab Charles Schwab Charles Schwab USBank  0.426% 31-Jul-24 Demand 0.426% 31-Jul-24 Demand 0.426% 31-Jul-24 Demand 0.425% 31-Jul-24 Demand 0.426% 31-Jul-24 Demand 0.393% 31-Jul-24 Demand 0.392% 31-Jul-24. Demand nla 31-Jul-24 nla 0.000% 31-Jul-24 nla nla 31-Jul-24 nla nla 31-Jul-24 nla nla 31-Jul-24 nla 0.000% 31-Jul-24 nla  823.49 1,011.64 32,607.10 415.68 26,133.77 337.07 135.70 1.08  823.49 1,011.64 32,607.10 415.68 337.07 135.70 1.08  823.49 2012- Water Rights Revenue Fund 1,011.64 2012- Water Rights Surplus Revenue Fund 32,607.10 2014 CFD05-1- Special Tax Fund 415.68 2014 CFD05-1- Bond Fund  0.426% 31-Jul-24 Demand 1,516,609.87 1,516,609.87 1,516,609.87 2012- Water Rights Reserve Fund 0.426% 31-Jul-24 Demand 1,465,697.03 1,465,697.03 1,465,697.03 2014 CFDO 05-1- Reserve Fund  26,133.77 26,133.77 2014 CFDO 05-1 Administrative Expense Bonds  337.07 2023 Refunding Lease Revenue Bonds Revenue Fund 135.70 2023 Refunding Lease Revenue Interest Funds 1.08 Ranchero Road- EscrowA Account  706,439.07 706,439.07 706,439.07 GL1352 4,391,836.47 4,391,836.47 4,391,836.47 City Pension 808,071.77 808,071.77 808,071.77 City OPEB 1,416,522.46 1,416,522.46 1,416,522.46 Fire Pension 300,021.64 300,021.64 300,021.64 Settlement Escrow Account 10,666,663.84 $ 10,666,663.84 $ 10,666,663.84  Total Unaudited Investments under thed direction off fiscal agents  Please Note: All market value data is provided courtesy oft the City's fiscal agent, US Bank.  Icertify that this investment portfolio is in compliance with the statement of investment, policy of the City of Hesperia and the investment program provides sufticient liquidity to meet expenditure requirements for the next six months, as required by the California Government Code. sections 53646(b)(2) and (3), respectively.  *Note: 2005 Certificateso ofParticipation! begani inMay 20051 fort thef finacing ofthe CivicF Plaza.  EAE  Marc Morales, Senior Accountant  Page 27 Investment-City    Successor Agency to the Redevelopment Agency  ATTACHMENT2  Investment Report Unaudited July31,2024  Issuerl Institution State of Calif. U.S. Bank  Interest Date of Date of Par Value Rate Purchase Maturity atM Maturity nla 31-Jul-24 Demand  Book Value  Market Value  Account Description  Type of Investment  Investments under the direction of the City: Local Agency Investment Funds Local Bank Checking Accounts  4.516% 31-Jul-24 Demand $ 7,537,950.55 $ 7,537,950.55 7,537,950.55  830,656.19  830,656.19  830,656.19  Total Unaudited Investments under the direction of the City  8,368,606.74 $ 8,368,606.74 $ 8,368,606.74  Investments under the direction of fiscal agents:  2018 Refunding Bonds 2018 Refunding Bonds 2018 Refunding Bonds  US Bank USI Bank US Bank  0.418% 31-Jul-24 Demand 0.426% 31-Jul-24 Demand 0.000% 31-Jul-24 Demand  45.43 2,478.72 1.00  45.43 2,478.72 1.00  45.43 2018A &2 2018B- Debt Service 2,478.72 2018A &2 2018B- Interest Account 1.00 2018A &2 2018B- Reserve Account  Total Unaudited Investments under the direction ofi fiscal agents  $ 2,525.15 $ 2,525.15 $ 2,525.15  Please Note: All market value data is provided courtesy of the City's fiscal agent USI Bank. The 2018 Refunding Bonds are supported by a$ $9,799,443.76 bond insurance policy.  Icertify that this investment portfolio is in compliance with the statement of investment policy of the City of Hesperia and the investment, program provides sufficient liquidity to meet expenditure requirements for the next six months,  as required by the California Government Code sections 53646(b)(2) and (3), respectively.  *Note: The: 2005 and 2007 Series Bonds were refinançedt 2018 Series November  EH  to2 Bondsi in  2018.  Marc Morales, Senior Accountant  Page 28 Investment- -SA    Hesperia Housing Authority Investment Report Unaudited  ATTACHMENT3  July31,2024  Issuerl Institution  Interest Date of Date of Par Value Rate Purchase Maturity atN Maturity  Book Value  Market Value  Type of Investment  Investments under the direction of the City: Local Agency Investment Funds Local Bank Checking Accounts  State of California U.S. Bank  4.516% 31-Jul-24 Demand $ 5,598,406.32 5,598,406.32 5,598,406.32  nla 31-Jul-24 Demand  616,925.09 616,925.09 616,925.09 6,215,331.41 $ 6,215,331.41 $ 6,215,331.41  Total Unaudited Investments under the direction of the City  Icertify that this investment portfolio is in compliance with the statement ofi investment policy of the City of Hesperia and the investment program provides sufficient liquidity to meet expenditure requirements for the next six months,  as required by the California Government Code sections 53646(b)(2) and (3), respectively.    Marc Morales, Senior Accountant  Page 29 Investment- HHA    Hesperia Community Development Comission  ATTACHMENT 4  Investment Report Unaudited July31,2024  Issuerl Institution  Interest Rate  Date of Date of Par Value Purchase Maturity atMaturity  Book Value  Market Value  Type of Investment  Investments under the direction of the City: Local Agency Investment Funds Local Bank Checking Accounts  State of California U.S. Bank  4.516% nla  31-Jul-24 Demand $ 3,162,596.13 3,162,596.13 3,162,  31-Jul-24 Demand  348,507.20  348,507.20  348,50  Total Unaudited Investments under the direction of the City  3,511,103.33 $ 3,511,103.33 $ 3,511,103.33  Icertify that this investment portfolio is in compliance with the statement of investment policy of the City of Hesperia and the investment program provides sufficient liquidity to meet expenditure requirements for the next six months,  as required by the California Government Code sections 53646(b)(2) and (3), respectively.  K  Marc Morales, Senior Accountant  Invesimént-CDC Page 30    Hesperia Water. District Investment Report Unaudited July31,2024  ATTACHMENT5  Issuerl Institution  Interest Date of Date of Par Value Rate Purchase Maturity at! Maturity  Book Value  Market Value  Accoun Descript  Type of Investment  Investments under the direction of the City: Local Agency Investment Funds Local Bank Checking Accounts  State of California 4.516% 31-Jul-24 Demand $ 38,015,086.02 38,015,086.02 38,015,086.02  U.S. Bank  nla 31-Jul-24 Demand 4,192,625.97 4,192,625.97 4,192,625.97  Total Unaudited Investments under the direction of1 the City  42,207,711.99 $ 42,207,711.99 $ 42,207,711.99  Investments under the direction of fiscal agents:  Deposits Workers' Comp  PERMA  nla 31-Jul-24 na  1,222,852.54 1,222,852.54 1,222,852.54 GL1 1352 $ 1,222,852.54 $ 1,222,852.54 $ 1,222,852.54  Total Unaudited Investments under the direction off fiscal agents  Please Note: All market value data is provided courtesy of the City's fiscal agent, US Bank.  Icertify that this investment portfolio is in compliance with the statement ofi investment policy of the City of Hesperia and the investment program provides sufficient liquidity to meet expenditure requirements for the next six months, as required by the California Government Code sections 53646(b)(2) and (3), respectively.  6  Marc Morales, Senior Accountant  Page 31 Investment- ENT    City vofHesperia Investment Report Revised Unaudited June 30,2024  ATTACHMENT1  Institution/ FiscalA Agent Slate ofCalif. U.S. Bank  Interest Dateof Dateof ParValue Rate Purchase Maturity atMaturity  Book Value  Market Value  Account Description  Type of Investment Investments under the direction of the City: Local Agency Investment Funds Local Bank Checking Accounts  4.480% 30-Jun-24 Demand $ 99,890,854.33 99,890,854.33 99,890,854.33 nla 30-Jun-24 Demand 12,332,004.09 12,332,004.09 12,332,004.09  Total Unaudited Investments under thec direction ofthe City  112,222,858.42 $ 112,222,858.42 $ 112,222,858.42  Investments under the direction ofi fiscal agents: 2012Lease Revenue Bonds 2012Lease Revenue Bonds 2012Lease Revenue Bonds 2014 CFD2005-1 Refunding 2014 CFD2 2005-1F Refunding 2014 CFD2005-1 Refunding 2014 CFD2 2005-1 Refunding 2023 Refundingl Lease Revenue Bonds 2023 Refunding! Lease Revenue Bonds Deposits- Workers' Comp Sully Miller Retention- Ranchero CityofHesperia Stabalized Trust Cityofl Hesperia OPEB Trust Hesperia Fire Protection PST Cily of Hesperia Setlement Escrow Account  USE Bank USE Bank USE Bank US Bank USE Bank USE Bank US Bank US Bank USE Bank PERMA USE Bank Charles Schwab Charles Schwab Charles Schwab USBank  0.440% 30-Jun-24 Demand 0.440% 30-Jun-24 Demand 0.440% 30-Jun-24 Demand 0.439% 30-Jun-24 Demand 0.440% 30-Jun-24 Demand 0.404% 30-Jun-24 Demand 0.409% 30-Jun-24 Demand nia 30-Jun-24 nla 0.000% 30-Jun-24 nla nla 30-Jun-24 nla nla 30-Jun-24 nla n/a 30-Jun-24 nla 0.000% 30-Jun-24 nla  820.00 1,007.35 32,468.92 413.92 335.75 135.17 1.08  820.00 1,007.35 32,468.92 413.92 335.75 135.17 1.08  820.00 2012- Water Righis Revenue Fund 1,007.35 2012- Water Rights Surplus Revenue Fund 32,468.92 2014 CFD05-1- Special Tax Fund 413.92 2014 CFD05-1-BondF Fund  0.440% 30-Jun-24 Demand 1,510,182.88 1,510,182.88 1,510,182.88 2012- Water Rights Reserve Fund 0.440% 30-Jun-24 Demand 1,459,485.80 1,459,485.80 1,459,485.80 2014 CFD05-1-Reservel Fund  26,023.02 26,023.02 26,023.02 2014 CFD05-1A Administrative Expense Bonds  335.75 2023 Refunding Lease Revenue Bonds Revenue Fund 135.17 2023 Refunding Lease Revenue Interest Funds 1.08 Ranchero Road- Escrow Account  706,439.07 706,439.07 706,439.07 GL1352 4,302,239.83 4,302,239.83 4,302,239.83 City Pension 791,706.55 791,706.55 791,706.55 City OPEB 1,387,246.80 1,387,246.80 1,387,246.80 Fire Pension 300,020.41 300,020.41 300,020.41 Settiement Escrow Account 10,518,526.55 $ 10,518,526.55 $ 10,518,526.55  Total Unaudited Investments under thec direction offiscal agents  Pleasel Note: All market value data is provided courtesy of the City's fiscal agent, USI Bank.  Icertify that this investment portfolio is in compliance with the statement of investment, policy of the City of Hesperia and the investment program provides sufficient liquidity to meet expenditure requirements for the next six months, as required by the California Government Code sections 53646(b)(2). and (3), respectively.  *Note: 2005 Certificates ofParticipation! begani inMay 20051 fort thef finacingo ofthe Civic Plaza.  MA  Marc Morales, Senior Accountant  Page 32 Investment- -City    Successor Agency to the Redevelopment Agency  ATTACHMENT2  Investment Report Revised Unaudited June 30,2024  Issuerl Institution State of Calif. U.S. Bank  Interest Date of Date of Par Value Rate Purchase Maturity atMaturity nla 30-Jun-24 Demand  Book Value  Market Value  Account Description  Type of Investment  Investments under the direction of the City: Local Agency Investment Funds Local Bank Checking Accounts  4.480% 30-Jun-24 Demand $ 7,478,149.76 $ 7,478,149.76 7,478,149.76  923,213.38  923,213.38  923,213.38  Total Unaudited Investments under the direction of the City  8,401,363.14 $ 8,401,363.14 $ 8,401,363.14  Investments under the direction of fiscal agents:  2018 Refunding Bonds 2018 Refunding Bonds 2018 Refunding Bonds  USE Bank US Bank US Bank  0.440% 30-Jun-24 Demand 0.440% 30-Jun-24 Demand 0.000% 30-Jun-24 Demand  45.43 2,468.02 1.00  45.43 2,468.02 1.00  45.43 2018A &2 2018B- Debt Service 2,468.02 2018A &2 2018B Interest Account 1.00 2018A &2 2018B Reserve Account  Total Unaudited Investments under the direction ofi fiscal agents  $ 2,514.45 $ 2,514.45 $ 2,514.45  Please Note: All market value data is provided courtesy of the City's fiscal agent US Bank. The 2018 Refunding Bonds are supported bya $9,799,443.76 bond insurance policy.  Icertify that this investment portfolio is in compliance with the statement of investment policy of the City of Hesperia and the investment, program provides sufficient liquidity to meet expenditure requirements for the next six months,  as required by the California Government Code sections 53646(b)(2) and (3), respectively.  MIMr  *Note: The 2005 and 2007 Series Bonds were refinanced to 2018 Series Bonds in November 2018.  Marc Morales, Senior Accountant  Page 33 Investment- -SA    Hesperia Housing Authority Investment Report Revised Unaudited June 30,2024  ATTACHMENT3  Issuerl Institution  Interest Date of Date of Par Value Rate Purchase Maturity at Maturity  Book Value  Market Value  Type of Investment  Investments under the direction of the City: Local Agency Investment Funds Local Bank Checking Accounts  State of California U.S. Bank  4.480% 30-Jun-24 Demand $ 5,471,303.04 5,471,303.04 5,471,303.04  nla 30-Jun-24 Demand  675,458.55 675,458.55 675,458.55 6,146,761.59 $ 6,146,761.59 $ 6,146,761.59  Total Unaudited Investments under the direction of the City  Icertify that this investment portfolio is in compliance with the statement of investment policy of the City of Hesperia and the investment program provides sufficient liquidity to meet expenditure. requirements for the next six months,  as required by the California Government Code sections 53646(b)(2) and (3), respectively.  A  Marc Morales, Senior Accountant  Page 34 Investment- -HHA    Hesperia Community Development Comission  ATTACHMENT4  Investment Report Revised Unaudited June 30,2024  Issuerl Institution  Interest Rate  Date of Date of Par' Value Purchase Maturity at Maturity  Book Value  Market Value  Type of Investment  Investments under the direction of the City: Local Agency Investment Funds Local Bank Checking Accounts  State of California U.S. Bank  4.480% 30-Jun-24 Demand $ 87,244.86  87,244.86 10,770.80  87,2 10,/  nla  30-Jun-24 Demand  10,770.80  Total Unaudited Investments under the direction of the City  $ 98,015.66 $ 98,015.66 $ 98,01  Icertify that this investment portfolio is in compliance with the statement of investment policy of the City ofh Hesperia and the investment program provides sufficient liquidity to meet expenditure. requirements for the next six months,  as required by the California Government Code sections 53646(b)(2) and (3), respectively.  -  Marc Morales, Senior Accountant  Investment Page oc    Hesperia Water District Investment Report Revised Unaudited June 30,2024  ATTACHMENT5  Issuer/ Institution  Interest Date of Date of Par Value Rate Purchase Maturity atM Maturity  Book Value  Market Value  Accoun Descript  Type ofl Investment  Investments under the direction of the City: Local Agency Investment Funds Local Bank Checking Accounts  State of California 4.480% 30-Jun-24 Demand $ 37,071,532.98 37,071,532.98 37,071,532.98  U.S. Bank  nla 30-Jun-24 Demand 4,576,658.19 4,576,658.19 4,576,658.19  Total Unaudited Investments under the direction of the City  41,648,191.17 $ 41,648,191.17 $ 41,648,191.17  Investments under the direction of fiscal agents:  Deposits Workers' Comp  PERMA  nla 30-Jun-24 nla  1,222,852.54 1,222,852.54 1,222,852.54 GL1 1352 $ 1,222,852.54 $ 1,222,852.54 $ 1,222,852.54  Total Unaudited Investments under the direction ofi fiscal agents  Please Note: Alli market value data is provided courtesy oft the City's fiscal agent, US Bank.  Icertify that this investment portfolio is in compliance with the statement ofi investment policy of the City of Hesperia and the investment, program provides sufficient liquidity to meet expenditure requirements for the next six months, as required by the California Government Code sections 53646(b)(2) and (3), respectively.    Marc Morales, Senior Accountant  Page 36 Investment- ENT    City of Hesperia STAFF REPORT  DATE: TO: FROM: BY:  November 5, 2024 Mayor and Council Members Rachel Molina, City Manager  ES  Cassandra Sanchez, Director of Public Works /City Engineer Brian Blackwell, Streets Operations Manager  SUBJECT: American Rescue Plan Act (ARPA) Grant - Tamarisk Storm Water Basin  Rehabilitation.  RECOMMENDED ACTION  Itisr recommended that the City Council authorize the City Manager to award a contract with HL L Hitchcock Construction to rehabilitate the Tamarisk Storm Water Basin to its original design ini the amount of $ 602,650 and approve an additional 10% contingency in the amount of $60,2651 for a  not-to-exceed amount of $662,915.  BACKGROUND  Tamarisk Storm Water Basin is an existing basin located at the northwest corner of Tamarisk Avenue and Mojave Street. Tamarisk Storm Water Basin was designed as part of the A-04 drainage system and built to hold approximately 20 acre-feet of stormwater within the drainage corridor that starts at Seal Beach Drive and Muscatel Street and travels northeast, where it ends near Eucalyptus Street and Maple Avenue. Tamarisk Storm Water Basin is designed to collect stormwater and reduce peak flows by releasing the runoff at a controlled rate. Tamarisk Storm Water Basin is currently filled with sediment from runoff, which reduces the volume of water it can hold. This decrease in capacity leads additional flows to travel downstream, requiring road closures to prevent motorists from danger. Bringing the basin back to its original design will help avoid City infrastructure damage that becomes costly and requires roads tol be closed until repairs  and cleanup is complete. ISSUES/ANALYSIS  The Public Works Division released a Request for Bid (RFB) on September 3, 2024, for the rehabilitation of the Tamarisk Storm Water Basin. The RFB closed on September 26, 2024, with two (2) responses received. Staff recommends awarding the bid to HLI Hitchcock Construction, which has been deemed the lowest esponsive/responsibe vendor with a total bid amount of  $602,650.  CITY GOAL SUPPORTED BY THIS ITEM  Public Safety: Ensure public safety resources adequately protect our community.  Page 37    Page 2 of2 November 5, 2024 FISCAL IMPACT  Staff Report to the Mayor and Council Members ARPA Grant- Tamarisk Storm Water Basin Rehabilitation  American Rescue Plan Act (ARPA) Grant funding in the amount of $662,915 has been identified for this project to rehabilitate the Tamarisk Storm Water Basin. The City has identified available ARPA Grant funds as an eligible funding source for the Basin rehabilitation. If approved, an amendment to the fiscal year 2024-25 Budget will be presented at the mid-year Budget Review  toa appropriate the necessary funds. ALTERNATIVE!S)  1. Provide alternative direction to staff.  ATTACHMENTIS) None.  Page 38    City of Hesperia STAFF REPORT  DATE: TO: FROM: BY:  November 5, 2024 Mayor and City Council Members Rachel Molina, City Manager  Chair and Board Members, Hesperia Water District  ES  Cassandra Sanchez, Director of Public' Works/C City Engineer Jeremy McDonald, Water Operations Manager  SUBJECT: American Rescue Plan Act (ARPA) Grant Contract Services - Leak Analysis  RECOMMENDED ACTION  Itis recommended that the City Council and Board of Directors of the Hesperia Water District authorize the City Manager to enter into an agreement with ASTERRA for the satellite scan of the City's water distribution system to identify non-apparent leaks, in the not-to-exceed amount of  $350,000, which includes a contingency of $30,000.  BACKGROUND  The City's water distribution system consists of over six hundred (600) miles of pipeline, fourteen thousand (14,000) valves, and twenty-nine thousand (29,000) service lines. Water distribution systems are susceptible to leaks due to several reasons, including degradation due to age. There are two types of leaks that occur within a distribution system, apparent and non-apparent. Apparent leaks are those that become visible by appearing at the surface, resulting in the ponding, orf flowing of water within the City's right-of-way. Non-apparent leaks are those that dor no surface due Staff recommends a leak analysis survey be performed on the City's water distribution system to identify non-apparent leaks. The analysis includes a satellite scan of the City's service area which will identify locations where Points of Interest (POI) are identified. The POI are then overlayed onto a map displaying streets, pipes, hydrants, and valves. A subcontracted acoustic leak detection technician is then assigned to the City for up to seventy (70) days. The technician will use the information from the satellite scan and acoustic leak detection equipment to pinpoint exact locations The satellite imaging is expected to detect up to 30% of leaks within the City's service area and leakage rates as minimal as 0.2 gallons per minute. Performing the leak analysis will help reduce real losses. The reduction of real losses will contribute to savings associated with reduced energy consumption and disinfection costs and reduce the amount of makeup water associated with beinga a part of an adjudicated basin. Furthermore, the leak analysis will improve the City's validity score associated with Senate Bill 555 by reducing real losses, which an annual water loss audit required by  tor minimal leakage rates or soil conditions allowing for the percolation of water.  of where the leaks are located.  the State Water Resources Control Board.  Page 39    Page 2 of2 November 5, 2024 SSUES/ANALYSIS  Staff Report to Mayor and City Council Members ARPA Grant Equipment Procurement- Leak Analysis  Staff has determined that ASTERRA is the sole source provider of satellite imaging that uses synthetic aperture radar to detect soil moisture resulting from treated water. Additionally, ASTERRA's algorithm and process are patented under US 9285475 Mar, 15 2016 SYSTEM AND METHOD OF Staff recommends entering into the agreement with ASTERRA who has been determined to be the The City has identified available American Rescue Plan Act (ARPA) Grant funds that are an eligible  UNDERGROUND WATER DETECTION.  only provider of this service in the amount of $350,000.  funding source for the program.  CITY GOAL  Public Safety: Ensure public safety resources adequately protect our community. Financial Health: Maintain al balanced budget and adequate reserves.  FISCAL IMPACT  ARPA Grant funding ini the amount of $350,000 has been identified for the proposed purchase of the services recommended. If approved, an amendment to the FY 2024-25 Budget will be presented at  the Mid- Year Budget Review to appropriate the necessary funds.  ALTERNATIVE(S) ATTACHMENTIS) None  1. Provide alternative direction to staff.  Page 40    City of Hesperia STAFF REPORT  DATE: TO: FROM: BY:  November 5, 2024 Mayor and City Council Members Rachel Molina, City Manager  Chair and Board Members, Hesperia Water District  ES  Cassandra Sanchez, Director of Public' Works/C City Engineer Jeremy McDonald, Water Operations Manager  SUBJECT: American Rescue Plan Act (ARPA) Grant Equipment Procurement - Closed  Circuit Television Truck  RECOMMENDED ACTION  Itis recommended that the City Council and Board of Directors of the Hesperia Water District authorize the City Manager to enter into an agreement with Plumbers Depot for the purchase of one (1) closed-circuit television (CCTV) inspection vehicle in the not-to-exceed amount of $481,008.  BACKGROUND  Sewer lines require regular maintenance in order to function properly. Assessing the condition of sewer lines by CCTV alerts staff to areas that may require more frequent maintenance or replacement, depending upon the severity of the deficiency. City staff proactively inspect all sewer mains on atriennial frequency to assess and prioritize maintenance and capital improvement projects. The City's sanitary sewer system consists of one-hundred and fifty-nine (159) miles of pipeline, six thousand (6,000) lateral lines, and two thousand and five hundred (2,500) manholes. The Sewer division's current CCTV inspection vehicle was purchased in 2014 and has reached its useful life expectancy. The proposed CCTV inspection vehicle includes several technological advancements and safety features not found in the current model. Additionally, the proposed inspection vehicle includes a sewer lateral camera that will allow staff to inspect lateral lines up to  distances of 100' from the main camera system.  SSUES/ANALYSIS  Hesperia Public' Works requested a quote for one (1) CCTV inspection vehicle on October 16, 2024, which was provided in the amount of $481,007.09 The proposed CCTV inspection vehicle is a sole source product manufactured by CUES, which is exclusively sold and distributed by Plumbers Depot. The District has only operated CUES CCTV inspection equipment for sewer inspections. Staff is familiar with CUES manufactured CCTV equipment and parts for the system can be attained locally. Staff recommends entering into the agreement with Plumbers Depot who has been determined tol be The City has identified available American Rescue Plan Act (ARPA) Grant funds that are an eligible  the only provider of this equipment in the amount of $481,008. funding source for the CCTV inspection vehicle.  Page 41    Page 2 of2 November 5, 2024 CITY GOAL  Staff Report to the Mayor and City Council Members, Chair and Board Members, Hesperia' Water District  ARPA Grant Equipment Procurement- Closed Circuit Television Truck  Public Safety: Ensure public safety resources adequately protect our community. Financial Health: Maintain al balanced budget and adequate reserves.  FISCAL IMPACT  ARPA Grant funding in the amount of $481,008 has been identified for the proposed purchase of the CCTV inspection vehicle. If approved, an amendment to the FY 2024-25 Budget will be presented at  the mid-year Budget Review to appropriate the necessary funds.  ALTERNATIVE(S) ATTACHMENTIS) None  1. Provide alternative direction to staff.  Page 42    City of Hesperia STAFF REPORT  DATE: TO: FROM: BY:  November 5, 2024 Mayor and City Council Members Rachel Molina, City Manager  Chair and Board Members, Hesperia Water District  ES  Cassandra Sanchez, Director of Public' Works/C City Engineer Jeremy McDonald, Water Operations Manager  SUBJECT: American Rescue Plan Act (ARPA) Grant Service Line Replacement Project  RECOMMENDED ACTION  Itis is recommended that the City Council and Board of Directors of the Hesperia Water District authorize the City Manager to enter into an agreement with Weka Inc. for the replacement of water service lines ini the not-to-exceed amount of $7,731,407, which includes a 10% contingency.  BACKGROUND  The City's water distribution system contains over twenty-nine thousand (29,000) service lines. A water service line is the pipe that connects the water main to the water meter. The diameter of these pipes' range between one (1) and eight (8) inches in diameter depending on the volumetric needs of the consumer. Approximately 95% of the service lines in the City's service area are one (1) inch in Due to a significant rise in service line leaks in 2018, the City revised its Approved Materials List by no longer allowing polyethylene pipe as an approved material type for water service lines. Due to several factors including ultra-violet resistance, impact and abrasion resistance, and affordability compared to copper, the City only accepts MUNICIPEX pipe for its water service lines up to two (2) The proposed service line replacement project will allow for the replacement of one thousand (1,000) water service lines that will remove polyethylene pipe from service. The areas identified for replacement includes tract developments where high-density housing is found. These areas were prioritized based upon work order history and the tendency of sewer trench lines failing due to the  diameter.  inches in diameter.  intrusion of moisture. SSUES/ANALYSIS  The Water Service Line Replacement project was advertised for bids beginning on September 25, 2024. The project was posted on Public Purchase, the City's online bidding platform where one- hundred and forty-one (141) contractors were notified of the project. On October 21, 2024, nine (9) Staff recommends entering into the agreement with Weka Inc. who has been determined to be the The City has identified available American Rescue Plan Act (ARPA) Grant funds that are an eligible  bids were received, opened, and publicly read.  lowest esponsve/reponsbe bidder with a total bid amount of $7,028,552.  funding source for the program.  Page 43    Page 2 of2 November 5, 2024 CITY GOAL  Staff Report to Mayor and City Council Members, Chair and Board Members, Hesperia' Water District  ARPA Grant Service Line Replacement Project  Public Safety: Ensure public safety resources adequately protect our community. Financial Health: Maintain al balanced budget and adequate reserves.  FISCAL IMPACT  ARPA Grant funding in the amount of $7,731,407 has been identified for the proposed project. If approved, an amendment to the Fiscal Year (FY) 2024-25 Budget will be presented at the midyear  Budget Review to appropriate the necessary funds. 1. Provide alternative direction to staff.  ALTERNATIVE(S) ATTACHMENTIS) None  Page 44    City of Hesperia STAFF REPORT  DATE: TO: FROM: BY:  November 5, 2024 Mayor and Council Members Rachel Molina, City Manager  ES  Cassandra Sanchez, Director of Public Works/City Engineer Bethany Hudson, Assistant Project Manager  SUBJECT: Final Tract Map No. 20648-2  RECOMMENDED ACTION  Itis recommended that the City Council adopt Resolution No. 2024-56 approving Final Map No. 20648-2 to create 4 additional residential lots in addition to the 20 residential lots and 1 homeowners association (HOA) community lot with a remainder parcel previously approved on Final Map 20648-1 on approximately 15.61 gross acres to develop a portion of Tract 18989-1 Lot 26, Planning Area 17 of the Tapestry Specific Plan (Applicant: Silverwood Development Phase I,  LLC). BACKGROUND  On. January 26, 2016, the City Council approved Tentative Tract Map No. 18989 to create 39 lots on 986 gross acres within the Tapestry Specific Plan, now known as the Silverwood Project, located south of Ranchero Road at the intersection oflA Avenue. Final Map 20648-2 subdivides 4 additional residential lots within Lot 26, Planning Area 17 of Final Map 18989-1. Staff has reviewed the final map and determined that it complies with the Tapestry Specific Plan, the Tapestry Development Agreement, the General Plan and zoning regulations, all required conditions of approval, and all local ordinances related to the creation of these parcels. The developer executed a Subdivision Improvement Agreement in accordance with local ordinances and the Subdivision Map Act and posted the necessary bonds for offsite improvements with the approval and recordation of Final Map 20648-1. No additional bonds were required or necessary  with the approval of Final Map 20648-2.  ISSUESIANALYSIS FISCAL IMPACT  There are no issues identified with this item.  There are no significant fiscal impacts to the City related to this action.  Page 45    Page 2 of2 Final Tract Map 20648-2 November 5, 2024  Staff Report to the Mayor and Council Members  CITY GOAL SUPPORTED BY THIS ITEM pursue economic development. ALTERNATIVE(S)  Future Development- Facilitate balanced growth to ensure cohesive communty/0evecopment and  1. Provide alternative direction to staff.  ATTACHMENT/S) 1. Resolution No. 2024-56 2. Final Tract Map No. 20648-2  Page 46    RESOLUTION NO. 2024-56  A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HESPERIA, CALIFORNIA, APPROVING FINAL TRACT MAP NO. 20648-2 TO CREATE 4 RESIDENTIAL LOTS IN ADDITION TO 20 RESIDENTIAL LOTS AND 1 HOMEOWNERS ASSOCIATION (HOA) COMMUNITY LOT WITH A REMAINDER PARCEL ON APPROXIMATELY 15.61 GROSS ACRES AND ACCEPT RIGHT-OF-WAY NECESSARY TO DEVELOP PHASE I OF THE TAPESTRY SPECIFIC PLAN (APPLICANT: SILVERWOOD DEVELOPMENT  PHASE 1, LLC) 18989 for approval; and  WHEREAS, on January 26, 2016 the City Council recommended that Tentative Tract Map No.  WHEREAS, Tentative Tract Map No. 18989 created 39 lots; and  WHEREAS, on May 16, 20231 the City Council approved Tract Mapl No. 18989-1 for approval; and WHEREAS, on August 10, 2023 the Design Review Committee approved Tentative Tract Map WHEREAS, Tract Map No. 20648-1 ist to create 20 residential lots and 1 homeowners association (HOA) community lot on 15.61 gross acres within the Tapestry Specific Plan; and WHEREAS, Tract Mapl No. 20648-1 is to accept right-of-way for the backbone infrastructure; and WHEREAS, on May 7, 2024 the City Council approved Tract Map No. 20648-1 for approval; and WHEREAS, Tract Map No. 20648-2 is to create 4 residential lots in addition to the previously approved 20 residential lots on 15.61 gross acres within the Tapestry Specific Plan; and WHEREAS, all legal prerequisites to the adoption of this resolution have occurred.  No. 20648 on Lot 26 of Tract Map 18989-1; and  NOW THEREFORE, BE IT RESOLVED BY THE CITY OF HESPERIA CITY COUNCIL AS  FOLLOWS:  Section 1. Final Tract Map No. 20648-2 is hereby approved, and the City Clerk is authorized to present same to the County Recorder tol be filed for record. Section 2. That the City Clerk shall certify to the passage and adoption oft this resolution  and enter iti into the book of original resolutions.  ADOPTED AND APPROVED this 5th day of November 2024.  Larry Bird, Mayor  Page 47    ATTEST:  Erin Baum, Assistant City Clerk  Page 48    Attachment2 SHEET 1OF 2 SHEETS  IN THE CITY OF HESPERIA, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA TRACT MAP NO. 20648-2 BEING A SUBDIMSION OF APORTION OF THE REMAINDER PARCEL OF TRACT MAP NO. 20648-1 AS PER MAP FILED IN BOOK 368, PAGES 59 THROUGH 61, INCLUSIVE, OF TRACT MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY AND LYING WITHIN SECTION 10,IN TOWNSHIP 3 NORTH, RANGE 4 WEST, SAN BERNARDINO MERIDIAN, IN THE COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA.  INLAND VALLEY SURVEYING, INC.  JUNE, 2024  OWNER'S STATEMENT WE HEREBY STATE THAT WE ARE THE ONLY_PARTY HAVNG ANY RECORD TILE INTEREST An notary public other officer completing IN_THE LAND SUBDI MDED AS OWN ON AND WE CONSENT TO THE PREPARATION AND RECORDATION OF THIS FINAL MAP. WE HEREBY TO TO THECITYOFA AND_LOT4, OVER AND ACROSS THE THE ON WEALSO_HEREBY IRREVOCABLY OFFER TOD DEDICATE TO THE CITY_OF HESPERIA A6.00 PUBIC PERSONALLY APPEARED FOOT LIC TILITIES AS SHOWN FOR CONSTRUCTION BASISOF MANTENANCE OFF PUBLIC WE FOR HEREBY EASEMENTS LANDSCAPE MANTENANCE PURPOSESAS LOTS OWNERS WITHN THIS MAP; SILVERWOOD DEVELOPMENT PHASE LLC, DELAWARE LIMITED LIABILITY COMPANY, AS TAPESTRY DEVELOPMENT PHASE1. LLG,A LIMITED LABILITY BY: JOHN OHANIAN, AUTHORIZED REPRESENTATIVE BENEFICIARY STATEMENT TAPESTRY DEVELOPMENT PHASE1 1.LLC, A_DELAWARE LMITED LIABILITY DOC. NO. 2021-0225001 O.R. RAYV WRTA, AUTHORIZED SIGNATURE  NOTARY ACKNOW_EDGEMENT AUDITOR-CONTROLLER/IREASURER individual signed the me or validity of that HEREBY CERTIFY THAT ACCORDING TOT THE RECORDS OF THE_OFFICE, ASOFT THIS STATE-OF_CAUFORNA THERE THE PROPERTY THIS MAP FOR UNPAID STATE, COUNTY MUNICIPAL OR_LOCAL TAXES, SPECIAL ASSESSMENTS COUNTYOF TAXES, EXCEPT TAXESOR SPECIAL ASSESSMENTS NOTY YETPAYABLE, ESTIMATED TOBE$ BEFORE ME NOTARY WHOF PROVED ME ON THE DATE: 2024 TO_BE THE PERSON/S) IS/ARE TO THE AND ACKNOWLE TOA ME HE/SHE/THEYE EXECUTED THE SAME INH HIS/HER/THER AUTHORIZED CAPACITY(ES), AND ON THE AUDITOR- MIRQLER/REASURER/TAX COLLECTOR THE FOREGOING TRUE OF STATE OF WTNESS MY HAND AND OFFICIAL SEAL. SIGNATURE MY_PRINCIPAL PLACE OF BUSINESS ISIN MY_COMMISSION NUMBER: EXPIRES:  verifies only the identityof TAX COLLECTOR CERTIFICATE  attached,  SURVEYOR'S STATEMENT THISMAP WAS PREPARED BYME UNDER MY SURVEY N/_CONFORMANCE  REQUIREMENIS OF AT_THE LIMITED ARE OF LIABILITY THE JUNE OCCUPY MONUMENTS CHARACTER THEYWL_BESETIN, SUCH  IN_A WTH POSITONS NDICATED 66495 AND 66496 THE MAP POSITIONS ARE ACCORDANCE WILLBE, SECTIONS BER AND THIS FINAL OR MAP SUFFICIENT TOENABLE THE SURVEY RETRACED, MAP. SUBSTANTALLY CONFORMS TO THE CONDITONALLY APPROVED TENTATIVE DATE: LS.8509 VILLASENOR EXP. 12/31/24 CITY ENGINEER'S STATEMENT LHEREBY CERTIFY THAT! HAVE EXAMNED THIS MAP, AND THAT THE SUBDIV SHOWN THEREON SUBSTANTALLY SAME APPEARE THE TENTATIVE MAP AND ANY SUBDIMSION MAP ACT AND LOCAL ORDINACES HAVE BEEN COMPLIED MSIONSOF WTH, ANDIAM SA7ISFIED THAT THISA MAPI IS TECHNICALLY CORRECT. DATE:  FIELD ACT LLC, AO dE THAT  THE BENEFIT OF OURSELVES, OUR SUCCESSORS, ASSIGNEES, AND ENTITY UPON BEHALF OF WHICH THE PERSON(S) ACTED, EXECUTED THE INSTRUMENT. SAN BERNARDINO COUNTY  EPUTY  BOARD OF SUPERVISOR'S CERTIFICATE LHEREBY CERTIFY THATAB BOND IN_THE SUM OF HAS BEN AND BOARDOF SUPERVISORS SAN BERNARDINO COUNTY ERLVEA STATE CALIFORNIA, CONDITONED THE PAYMENT C ALL TAXES, (STATE, COUNTY, ALL SPECIAL ASSESSMENTS COLLECTED AS TAXES, WHICH FILINGOF THE BERNARDNO CLERK LIEN AGAINST BUTNOT VETPAYABLE PROPER OFFICER THAT HIS THE OF HAS THE FILED AMOUNT OF MEA SAID CERTFICATE TAXES BY_THE ASSESSMENTS, AND SAID BOND HEREBY ACCEPTED. SPECIAL  31/2  COMPANY AS BENEFICIARY UNDER DEED OF TRUSTR RECORDED MAY14, 2021 AS NOTARY ACKNOWLI EDGEMENT  Anotaryp public or other officer completing this verifies only the identity the tae truthfulness accuracy or vdidity that document. STATE_OF CALIFORNIA COUNTY_OF ON BEFOREN ME, NOTARY PUBLIC PERSONALLY APPEARED WHO PROVED TO_ME ON_THE BASIS TO_BE THE PERSON/S) NAME/S) S/ARE TO_THE WTHN AND TOM HE/SHE/THEYE THE SAME IN AUTHORIZED CAPACITYIES), AND ENTITY WHICH THE PERSON(S) EXECUTED THE INSTRUMENT. WTNESS MY HAND AND OFFICIAL SEAL. SIGNATURE MY COMMISSION NUMBER:  certificate andnot DATE:  CLERK THE BOARD OF SUPERVISORS SAN BERNARDINO COUNTY  2024  DEPUTY 's THE ON_B OF THE CITY COUNCIL PURSUANT BY TITLE APPROVES THE ANNEXEDA AND ACCEPT THE PUBLIC UTILITIES EASEMENTA AS SHOWN HEREON FOR CONSTRUCTION AND MANTENANCE OFPUBLIC FACLITES. ADDITION. THE UNDERSIGNED HEREBY ACCEPTS ALL RIGHTS OF VEHICULARA ACCESS FROM LOT1, OVER ACROSS THE AND ACROSS THE EASTERLY LINE OF SAID LOT 4AS SHOWN_ONT THE ANNEXED MAP. DATE MELINDAS SAYRE CITY CLERK, CITY OF HESPERIA  NOTARY ACKNOWLEDGEMENT signed the document B truthfulness, or vdlidity ofthat STATEOF COUNTYOF BEFORE ME,- PEICR PERSONALLY APPEARED BASISOF EVDENCE TO_BE THE PERSONIS) NAME(S)1S/ARE 7O THE WTHN ANDA ACKNOWLEDGED TOME THAT THE SAME IN AUTHORIZED CAPACITY(ES), AND EXPIRES: THATBY SIGNATURE/S) ON THE INSTRUMENT THE PERSON(S) OR_THE ENTITYUPONE BEHALF OF WHICH THE PERSON/S) ACTED, EXECUTED THE INSTRUMENT. ICERTFY UNDER PENALTY_OF PERJURY UNDER THE THE STATE OF CALIFORNIA THAT THE FOREGOING PARAGRAPH IS TRUE AND CORRECT. MY HAND AND OFFICIAL SEAL SIGNATURE  BY HIS/HER/THEIR SIGNATURE/S) THE INSTRUMENT THE PERSON/S), OR THE CITY COUNCIL ACCEPTANCE CERTIFICATE  BY: MICHAELP. THORNTON, CITYE ENGINEER R.CE. NO. 44226, P.LS. 6867 EXPIRES: 06/30/2025, 09/30/2024  Anotaryp public or other officer completing this cert verifies thei identity ICERTEFY UNDER PENALTY_OF PERJURY UNDER THE_LAWS THE STATEOF  ertificate attached, andnot CALIFORNIA THAT THE FOREGOING PARAGRAPH IS_TRUE AND CORRECT.  CODE FOOT OFGLEN AND LOT4 4,OVER  WHO PROVED TO_ME ONT THE MYPRINCIPAL PLACE OF  2024  SAN BERNARDINO COUNTY RECORDER'S CERTIFICATE THISA MAP HAS BEEN FILED UNDER DOCUMENT NUMBER THIS MAPS ATPAGES DAY OF_ ATTHE 2024. REQUEST AT OF FIRST IN AMERICAN BOOK TITLE COMPANY, IN THE AMOUNT OF$ CHRIS WLHITE ASSESSOR- RECORDER SANE BERNARDINO COUNTY BY:_ DEPUTY RECORDER  COMPOSITE DEVELOPMENT PLAN: ACOMPOSITE DEVELOPMENT PLAN_HAS BEN FOR THIS TRACT ON_FILE THECITYOF HESPERIA PLANNING DEPARIMENT.  ISIN    SHEET 2 OF 2 SHEETS  IN THE CITY OF HESPERIA, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA BEING A SUBDIMSION OF A PORTION OF THE REMAINDER PARCEL OF TRACT MAP NO. 20648-1 AS PER MAP FILED IN BOOK 368, PAGES 59 THROUGH 61, INCLUSIVE, OF TRACT MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY AND LYING WITHIN SECTION 10, IN TOWNSHIP 3-NORTH, RANGE 4 WEST, SAN BERNARDINO MERIDIAN, IN THE COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA.  TRACT MAP INLAND VALLEY SURVEYING, INC. BASIS OF BEARINGS THE BASIS OF BEARINGS FOR CENTERLINE GLEN PASS PER TRACT MAP NO. 18989-1A AS PER MAP FILED_INE BOOK 365, PAGES 62-730F MAPS. BEINGN 241210"W. EASEMENT NOTES NOE EASEMENTS  ROAD  NO. 20648-2  SITE  JUNE, 2024 SURVEYOR's NOTES INDICATESF IP, FLUSH, TAG STAMPED "LS. 8509", PER TRACT MAP NO. 18989-1, M.B. 365/62-73. INDICATES FOUND IP, FLUSH, WITH TAG STAMPED "LS. 8509", PER TRACT MAP NO. 20648-1, M.B. 368/59-61. INDICATES RECORD ANDM MEASURED DATA PERT TRACT MAP NO. 18989-1, MB. 365/62-73. INDICATES RECORD AND MEASURED DATA PER TRACT MAP NO. 20648-1,MB. 368/59-61. INDICATES SETI"ID. IP. AND TAG "LS 8509", FLUSH.  THE  1"=80'  TRACT_MAP 18989-1 365/62-73  CASCADE CREST (N6A4258E 732.13) 614.11)  SURVEYOR'S NOTES SET"IP CORNERS," AND AND ANGLE FLUSH, AT REAR REAR LNES ND N_LIEUOF FRONT CORNERS, CURB AT PROLONGATION SIDE LOT LINES AND B.C's, P.R.C's PADAL ANO LETIERED LOT CENTERLINES. THIS TRACT CONTAINS NUMBERED LOTS ALL MONUMENTS SHOWN "SET" AREIN ACCORDANCE WITH THE MONUMENT AGREEMENT FOR THE MAP. LLLLLU TRACT MAP NO. 20648-2 CONTAINS 0.91 ACRES 365/62-73 EASEMENT DEDICATION NOTES D A6' WIDE EASEMENT IN FAVOR OF THE CITY OF HESPERIA FOR UTILITY FOR DEDICATION HEREON. 2 EASEMENT IN FAVOR OF ASSIGNEES, FOR LANDSCAPE PURPOSES RETAINED HEREON.  (N2700'52'E 30.33)  28'28'W)  "LS  "REMAINDER PARCEL" 8.84A ACRES  ACCESS  TRACTN MAP NO.  OFFERED OUR  [N2047 37.007 BEAR CREEK 20  N241210W  CAMP CREEK  VLLAGE  557.00) MEADOWS  EMAINDER PARCEL  BEARING LENGTH    City of Hesperia STAFF REPORT  DATE: TO: FROM: BY:  October 15, 2024 Mayor and Council Members Pam K. Lee, City Attorney Cannabis Business Licenses  HESP  Rachel Molina, City Manager SECOND READING AND ADOPTION  SUBJECT: Amendments to Chapter 5.50 of the Hesperia Municipal Code Related to Medical  RECOMMENDED ACTION  Itis recommended that the City Council introduce and place on first reading Ordinance No. 2024- 12 amending Chapter 5.50 of the Hesperia Municipal Code relating to medical cannabis business  licenses. BACKGROUND  On December 5, 2017, the City Council adopted Ordinance No. 2017-15 (i) prohibiting all cannabis activities and license types within the City, except for M-Type 10 Retailer, limited to non-storefront medical delivery only services; and (ii) creating land use regulations related to such activities; and (ii) adoptingamapt detailing the areas where cannabis non-storefront medical On December 7, 2017, the State of California issued emergency regulations related to licensing of commercial cannabis activities in the State, and created several new license types, including M-Type 9 Non-Storefront Retailer, a retail license that by legal definition does not allow store front On December 19, 2017, adopted Ordinance No. 2017-22, prohibiting M-Type 10 Retailer, and On March 20, 2018, the City Council repealed Ordinance No. 2017-22 with Ordinance No. 2018- 01, amending Chapter 5.50 of the Hesperia Municipal Code related to business licenses and regulations on dispensing and delivery of medical cannabis, as it applies tol businesses engaged On November 6, 2018, the voters of the City of Hesperia voted to approve and adopt Ordinance No. 2018-08, adding Chapter 3.18 of the Hesperia Municipal Code relating to cannabis business On October 18, 2022 the City Council adopted Resolution No. 2022-75, prohibiting further renewals of business licenses M-Type 9 Non-Storefront Retailer licenses of businesses engaging innon-storefront medical cannabis delivery only services on or after December 1, 2023, pending the repeal of the cannabis program, and directed staff to prepare ordinance(s) for the City Council's consideration to repeal the commercial cannabis program in its entirety by November  delivery only services would be able to operate within the City.  activities, and is limited to delivery services only.  only allowing M-Type 9-Non-Storefront Retailer licenses within the City.  inr non-storefront medical cannabis delivery only services.  taxes.  30, 2024.  Page 51    Page 2 of3  Staff Report to the Mayor and Council Members Cannabis Business Licenses October 15, 2024 SSUES/ANALYSIS  Amendments to Chapter 5.50 of the Hesperia Municipal Code Related tot the Medical  The Cannabis Regulations Program will officially end on November 30, 2024 due to the approval of Resolution No. 2022-75. Since the Cannabis Regulations Program will be ending, staff recommends revising Chapter 5.50 of the Hesperia Municipal Code to wind down the Program. There are currently three non-storefront medical cannabis delivery only services in operation. In order to minimize/avoid any claims of a regulatory takings, staff recommends an amortization appeal process to allow existing businesses with valid permits and currently operating in good standing to continue their operations for a certain amount of time (generally not to exceed five (5) years), based on the documentary evidence of their economic and financial situations. The Requiring the submission of a written appeal to the city manager within 15 days of the effective date of the ordinance, which contains all relevant documents and explanation of the need to continue operations, based on factors including, but not limited to, reasonable investment-backed expections and other economic or financial information. The appeal must Within 45 days of the written appeal, or as mutually agreed to by the parties, the city manager or designee will conduct an administrative hearing where oral and written Within seven days after the close of the hearing, the city manager or designee will issue a written decision whether to allow the continued operation of the business, and for how long. The decision shall be binding and final, subject to judicial review under section 1094.5 and Any businesses that are allowed to continue operations during the amortization period are still required to comply with all the provisions of the cannabis program under Chapter 5.50 of the Once all businesses have winded down and completed their amortization period, staff will bring back an ordinance to repeal the entire cannabis program and references to cannabis uses and regulations within the Hesperia Municipal Code (under Chapter 5.50) and the Hesperia  provisions of the amortization hearing process includes the following:  be signed under penalty of perjury.  testimony shall be provided.  1094.6 of the Code of Civil Procedure.  Hesperia Municipal Code.  Development Code (under Chapter 16.16). ENVIRONMENTAL REVIEW  Pursuant to the provisions of CEQA and State CEQA Guidelines (Sections 15000 et seq., Title 141 the California Code of Regulations) the City! has determined that the Ordinance is exempt from the provisions of CEQA pursuant to CEQA Guidelines Section 15061(b)(3) becausel it can be seen with certainty that there is no significant effect on the environment. The proposed Ordinance is also exempt from the requirements of Section 16.12.415/B)10) of the City's CEQA Guidelines, as the Ordinance does not propose to increase the density or intensity allowed in the General  Plan.  CITY GOAL SUPPORTED BY THIS ITEM  01071-0001/0191111  Page 52    Page 3of3  Staff Report to the Mayor and Council Members Cannabis Business Licenses October 15, 2024  Amendments to Chapter 5.50 of the Hesperia Municipal Code Related tot the Medical  Future Development - Facilitate balanced growth to ensure cohesive community development  and pursue economic development.  FISCAL IMPACT ALTERNATIVE/S) ATTACHMENTIS) 1. Ordinance 2024-12  There are no fiscal impacts identified with this action.  1. Provide alternative direction to staff.  2. Exhibit A - Chapter 5.50 of the Hesperia Municipal Code  01071-0001/0191111  Page 53    ORDINANCE NO. 2024-12  AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HESPERIA, CALIFORNIA, AMENDING CHAPTER 5.50 OF THE HESPERIA MUNICIPAL CODE RELATING TO MEDICAL CANNABIS BUSINESS LICENSES  WHEREAS, the City of Hesperia has the authority and responsibility to protect the public health, safety, and welfare of the City, and is responsible for adopting and WHEREAS, on December 5, 2017, the City Council adopted Ordinance No. 2017-15 (i) prohibiting all cannabis activities and license types within the City, except for M-Type 10 Retailer, limited to non-storefront medical delivery only services; and (i) creating land use regulations related to such activities; and (i) adopting a map detailing the areas where cannabis non-storefront medical delivery only services would be able to operate WHEREAS, on December 7, 2017, the State of California issued emergency regulations related to licensing of commercial cannabis activities in the State, and created several new license types, including M-Type 9 Non-Storefront Retailer, a retail license that by legal definition does not allow store front activities, and is limited to WHEREAS, on December 19, 2017, adopted Ordinance No. 2017-22, prohibiting M- Type 10 Retailer, and only allowing M-Type 9-Non-Storefront Retailer licenses within WHEREAS, on March 20, 2018, the City Council repealed Ordinance No. 2017-22 with Ordinance No. 2018-01, amending Chapter 5.50 of the Hesperia Municipal Code related tol business licenses and regulations on dispensing and delivery of medical cannabis, as ita applies to businesses engaged in non-storefront medical cannabis delivery only WHEREAS, Section 5.50.040(C) of the Hesperia Municipal Code provides that delivery dispensary permits shall automatically expire after one year, and Section 5.50.040(D) provides that the annual renewal of permits is subject to the same process as new WHEREAS, on March 20, 2018, the City Council adopted Ordinance No. 2018-02, amending Section 16.16.470 of the Hesperia Municipal Code relating to minimum distance requirements of businesses engaging in non-storefront medical cannabis WHEREAS, on March 20, 2018, the City Council adopted Ordinance No. 2018-03, amending certain provisions of Chapter 16.16 of the Hesperia Municipal Code  implementing land use regulations within its boundaries; and  within the City; and  delivery services only; and  the City; and  services; and  applications; and  delivery only services; and  01071.0005/007873.1  Page 54    prohibiting additional types of cannabis activities and relating to regulations of M-Type 9 Non-Storefront Retailer licenses of businesses engaging in non-storefront medical WHEREAS, on November 6, 2018, the voters of the City of Hesperia voted to approve and adopt Ordinance No. 2018-08, adding Chapter 3.18 of the Hesperia Municipal Code WHEREAS, on October 18, 2022 the City Council adopted Resolution No. 2022-75, prohibiting further renewals of business licenses M-Type 9 Non-Storefront Retailer licenses of businesses engaging in non-storefront medical cannabis delivery only services on or after December 1, 2023, pending the repeal of the cannabis program, and directed staff to prepare ordinance(s) for the City Council's consideration to repeal the commercial cannabis program in its entirety by November 30, 2024; and WHEREAS, commercial cannabis operations with valid existing permits are allowed to continue operating until the expiration of the permit, and upon expiration of the permit WHEREAS, pursuant to the provisions of CEQA and State CEQA Guidelines (Sections 15000 et seq., Title 14 the California Code of Regulations) the City has determined that the Ordinance is exempt from the provisions of CEQA pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that the adoption of this Ordinance will not have an effect on the environment since it is prohibitory in nature NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF HESPERIA DOES SECTION1. All of the above recitals are true and correct and incorporated herein. SECTION2. AMENDMENTS TO THE HESPERIA MUNICIPAL CODE  cannabis delivery only services; and  relating to cannabis business taxes; and  the permit shall not be renewed; and  only.  HEREBY ORDAIN AS FOLLOWS.  Certain provisions of the Hesperia Municipal Code relating to cannabis operations are hereby amended as set forth in Exhibit A, attached hereto and incorporated by this  reference.  SECTION3. SEVERABILITY  If any section, subsection, subdivision, sentence, clause, phrase, or portion of this ordinance or the application thereof to any person or place, is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remainder of this ordinance. The City Council hereby declares that it would have adopted this ordinance, and each and every section, subsection, subdivision, sentence, clause, phrase, or portion thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, sentences, clauses, phrases, or portions thereof be declared invalid or unconstitutional.  01071.0005/007873.1  Page 55    SECTION4. CEQA COMPLIANCE  Pursuant to the provisions of CEQA and State CEQA Guidelines (Sections 15000 et seq., Title 14 the California Code of Regulations) the City has determined that the Ordinance is exempt from the provisions of CEQA pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no significant effect on the environment. The proposed Ordinance is also exempt from the requirements of Section 16.12.415(B)10) of the City's CEQA Guidelines, as the Ordinance does not propose to increase the density or intensity allowed in the General  Plan.  SECTION5. EFFECTIVENESS OF ORDINANCE  The Mayor shall sign, and the City Clerk shall attest to the passage of this Ordinance. The City Clerk shall cause this Ordinance, or a summary thereof, to be published in a manner as prescribed by law. This Ordinance shall become effective 30 days after its PASSED, APPROVED, AND ADOPTED by the City Council of the City of Hesperia,  adoption.  California, at a regular meeting held on this  day of  2024.  Larry Bird, Mayor  ATTEST:  Erin Baum, Assistant City Clerk  01071.0005/10078731  Page 56    EXHIBIT A  [AIl additions in bold italics; deletions in strikethrough]  AMENDMENT OF CHAPTER 5.50 OF THE HESPERIA MUNICIPAL CODE. Chapter 5.50 [DISPENSING AND DELIVERY OF MEDICAL CANNABIS] of the Hesperia  Municipal is hereby amended in its entirety as follows:  5.50.010 - Purpose and intent.  A. ne-declaredpurpesed-ECMPerSe9BbeAAGemPreheRENe-seHG: eguaHOAS-WIP-aP-4eA4AAtregwat9P-PeF.A-99VeFIPg#P8ien-e: mediea-eanmabisdispensaselseaedNPIPNRsele-aGiMiy Hdipensing-mesica1cAMb-MOgAdelA186,AEpowdeder-here.n. Notwithstanding any other provision of this code, on and after December 1, 2024, the city shall no longer issue new permits for the establishment or operation of a delivery dispensary, except as B. This chapter is not intended to interfere with a patient's right to obtain medical cannabis, as provided for in California Health and Safety Code Section 11362.5. This article is not intended to conflict with federal law as contained in the Controlled Substances Act, 21 U.S.C. SS 800 et seq., nor to otherwise permit any activity that is prohibited under that Act or any other  authorized under section 5.50.040 of this code.  local, state or federal law, statute, rule or regulation.  5.50.020 - Definitions.  Unless otherwise provided herein, the definitions of all terms used within this chapter shall be as defined below and by Section 16.16.445, or as defined by Section 1.04.050 (with these definitions and Section 16.16.445 taking precedence over Section 1.04.050 in the event of conflict). Any ambiguity in the definitions used herein shall be resolved in favor of the City's understanding of "Delivery dispensary" means a dispensary, with a permanent fixed location within the city, limited to retail sales of medical cannabis, or medical cannabis products, occurring exclusively through delivery. All retail sales are prohibited at the "Employee" means any person (whether paid or unpaid) who provides regular labor or regular services for a delivery dispensary, including but not limited to at "Live scan" means a system for inkless electronic fingerprinting and the automated background check developed by the California Department of Justice  the term.  physical location of the delivery dispensary.  the location of a delivery dispensary.  01071.0005/007873.1  Page 57    (DOJ) which involves digitizing fingerprints and electronically transmitting the fingerprint image data along with personal descriptor information to computers at the DOJ for completion of a criminal record check; or such other comparable inkless electronic fingerprinting and automated background check process as "Location" means a single building with an assigned address within the city, controlled, leased, or owned by the applicant, or a single suite controlled, leased or owned by the applicant at a single address within the city, or a combination of suites, at a single building with an assigned address within the city, adjacent to one another, controlled, leased or owned by the applicant, from which access is provided between the suites, without the need to exit the building. "Manager" means an employee responsible for management and/or supervision 5.50.030 - Operation prohibited W#AOWEd-VeR-GHSP9n8aP/PeFP  determined by the city council.  of a delivery dispensary.  Its shall be unlawful to own, establish, operate, use, or permit the establishment or operation of a delivery dispensary, or to participate with a delivery dispensary as an employee, contractor, agent, volunteer, ori in any manner or capacity ether than-as-provide6-R-PNS-GAaPIerandpuFSHaREe-a-aH6-PeF#HSSted-undertS chapter, except as authorized under section 5.50.040 of this code. The general prohibition contained in this section shall include renting, leasing, or otherwise permitting a delivery dispensary to occupy or use a location, vehicle, or  other mode of transportation.  5.50.040 - Amortization of delivery dispensary permit.  Any existing delivery dispensary with a valid permit and currently operating in good standing may continue operations on and after December 1, 2024 if all of the following conditions are met: A. The delivery dispensary must submit a written appeal to the City Manager for the continued operation of its business on and after December 1, 2024. The written appeal shall be submitted no later than fifteen (15) days from the effective date of the ordinance. B. The written appeal must contain the reason(s) for seeking the continued operation of the delivery dispensary, and shall be accompanied by any documents, and information deemed necessary toa adequately explain in detail the grounds for the appeal. Such documents and information shall include, but not be limited to, reasonable investment-backed expectations and other economic or financial information. The appeal must also contain a statement in writing by the appellant that he or she certifies under penalty of perjury that all the information contained in the appeal is true and  correct.  01071.0005/007873.1  Page 58    C. Within forty-five (45) days, oras mutually agreed to by both parties, the City Manager or designee shall conduct an administrative hearing to determine whether the delivery dispensary is authorized to continue its operations with a valid permit. Notice of the hearing shall be provided in writing at least thirty (30) days before the hearing. D. During the hearing, the City Manager or designee shall receive written and oral testimony regarding whether the delivery dispensary shall continue operations on and after December 1, 2024, including any additional information that was not provided to the City in the written E. Within seven (7) days after the close of the hearing, the City Manager or designee shall issue a written decision with findings, based on the weight of evidence presented, of whether the delivery dispensary shall continue operations on and after December 1, 2024. Said decision shall be binding and final, subject to judicial review under Section F. Except as warranted under the circumstances and based upon factual findings, the continued operations of the delivery dispensary shall not exceed a maximum of five (5). years from the date of the written A. P#OF10-AAP9PeraoAS-a6-a4e-veP-disPenSa9/aAda64-a5-3-C9AHPUPS quBHe-e-cendwcHngepeaieme,ReowperaHadelasy/shaH bainaPeHieRrunde-hetermeamdcendiieR-S8HORhiA B. Pelwey-dispensaPeFRHSAAHBeN8wed0asngle-e8aH9R-Ea8h elvery-dispensa/-PAWBHAPP4-19raAd-receneNe-aPP-evaHeran-AdHAGua:  appeal.  1094.5 and 1094.6 of the Code of Civil Procedure.  decision.  this-chapter.  lecation-  G. Delvefy-eispensa/Pe#RHS-8SeS8EEP#FSWBROINS-GAAPHEFSAAH automaticaly-exH-9A8-yeaFORA:4A9-4at8-oHSsuance-  D. RenewalddelesydspeRs/PeRs4HaHONwReSamesamepreedwres-as PreMiéedHerherein-eR'O-eISSWaRcedH.mewdelepydiepensaP/PeHR, MeApeeSwessNbe:PASAPGEN5/HRedreek: GE. Conditions necessary for the continuing validity of any and all permits issued for the operation of a delivery dispensary include: 1. Strict adherence to each and every requirement of this chapter. 2. Allowing the director, or designee, and the police department to conduct reasonable inspections of the location of the delivery dispensary at the discretion of the city, including but not limited to  01071.0005/007873.1  Page 59    inspection of security, inventory, and written records and files pertaining to the delivery dispensary, for the purposes of ensuring 3. Maintaining with the city current and valid contact information of the owner(s) and manager(s) of the delivery dispensary. 4. Maintaining with the city current and valid contact information of a legal representative of the delivery dispensary. 5. Maintaining a valid State License of the type: M-Type 9 Non-Storefront  compliance with local and state law.  Retailer.  6. Maintaining a valid city business license. 7. Maintaining a valid certificate of occupancy.  8. Providing the name, address, phone number, and copies of the driver's license or valid identification cards for each person listed on the business license and each person who is managing or responsible for the delivery dispensary's activities. 9. Providing evidence satisfactory to the director of compliance with all insurance requirements of this chapter. 10. Providing the name, address and current phone number of the owner and lessor of the real property upon which the delivery dispensary is to be conducted; and a notarized acknowledgement from the owner of the property that a delivery dispensary will be 11. Complying with the previously approved commercial cannabis delivery site plan, security and lighting plan, photometric plan, Satisfactory evidence of the foregoing shall be provided upon each anniversary of the decision to continue operations of the delivery  operated on his/her property.  and any other approved plan.  dispensary.  5.50.050 - RESERVED APPHGAHOP-OFdeINeP/iSPensary-PeFPA. Ea6hPerseR,/PaRReNMPeFdepegiondesmnga4elwepydispensay PeFPShaHe-an-aPPHcAHOA-WEhne-desterupena-OP-PrVdevidedby-the-GHy nd-Sha-paya-Agee-as-esa5HSAe8-Dy-resehePadepie6-By-Re-GHy-GOURGH OP-tRe-te-tPPHGaHOA-SAAH-REH9EDe-#PH8G-e,#Re-10HOWARg:  A--A.compleied-bsiness.enseaapplcaHoniand  01071.0005/007873.1  Page 60    B. Copies-Hne-dFveFSICARSPGPMALa-.A.ardelh.PeFsOR  SHed-On4Re-eeASe-aPPHeABOA-and  AHees-requed;ane  D. CePAGAHOR-FORAPPappopialedysepaameAEnaHCy-nSPectoRSbY Hy-sta#-GOAHFR-CPARPIPHE-COPPHaR8e-WIPRES-OHIAS Chapief,neldingbwGHPNdOIRenealoperaing-standards-and cempleted-e-SEaPHPFRS-PMPMdee-DyRe-y1OFaP4SReSS-OWPeFS-ane ppican/thatare-bldaledwANAseVedaysdlapplcaHn-SbPHa aAG-WH-aHew-PpreSSIg-byeFa8-O#REPESe-AH#AOH284-By-awpeHe AG6resseHRe-eABHPMReNRe6eeydpeRsaywAbelesated-and GACemmereia-Camnab6-Delwey-SHePan.P4Re-OFR-preseHbed-bythe HY-SM9WAPg4he-PrepoPosed9CAIORGHmedspensa9-eaH0R--SSWRN sameras,196at-aH-8-eAranees-and-eMIS,des1gns-etprepesee 9Aa99,3Ad-PMeMOFA,Pédng-DWRSHRIRGI,siorage-area8, 088G-F99FRS-deePeaB1S,0F6aAAABS-PMeAHpleyee ASecWsy-aRdLgMingPaAAaCA3C9AdaRcANAASecion5.0-100-C)A AB-OHR-PreseHDeG-By-Re-GHY,deaHgtRe-secuPly-measeastres-t-De-A 1469-3Hne-a8H-HA9H9d19,aequeqHred-SeCURy-and AF#-COA#a6HS,seeuPlyeameFa-placeent,WARdew-and-490F196K9 eGAAPHSS,SeeWFe-AVeROR-Sy9e#an-anyeHReFReaBWFes-R-piace-e BASWFe-tne-SecWRNY-OFIAe136H#y-and-cannabis-product, APMOMOmAHePanGHRPeAeSH-RHEMe8FaHeN6igandprepases WdOOF-gntnSAaI-De-Prgie88i0Ra1y-Prepared-and-Subectte-a sample,provdedbyaPP-anH-KeAdHAdERSHE-AOWPSHe-6PMePeNy-H AG-Ihe-SeGHFy-caeraS-abHy-te-eaplure-PRageS-W#-Ah-tne-provded  eSHCHOAS-COREAIR-SeCHOA-5-50.190:an8  scan;and  areas,aAd-9a6HAgaRe-4Rea8Hgz0neS;ane  lightingand d. Reserved.  - EVdence-satisia#S26HePy-t0-R8-GH8GH8F8HCBFRPHaR8e-WIPalstate-aw equreenE-geveFg-eRGmaNSS-dipensases,and Evidenee-salSastesiasiorHe-me-dmeclerelerdisompian8e-Ai#h-al-AsWFanee M. e-Aame,aderess-anG-UFFOREPRORCPUPADeFOFany-PeFSOP-WAG-S PanagIPg-OFFeSPespensee1eFe4ehvepydipensay/s-a6HMHes,and  4HPBAS-PHNAPIeanG  01071.0005/007873.1  Page 61    N. he-name,addre88-aRd-CWFOeFand-eSSere he-ea-prepesyupoM-edeNeeydepensasy-ie-endwcted- eeYeRte-APPMGARHSROHRelegA-oMPeFeHRePpepeN#y-#Re-APPHCHOA us-be-accompanesOlBisedackmoweagementoEAHOR-MP-OMP8POH ne-propery-tnata-delweyeispeipenSay-W#-De-OperatedORS/Per-propery- ALheHZaHIOAoFtnedirecioteFto.seekvenicate:GHOR.G-RS-AOmmANien-centained P--AsiaiementiwasngHy-eapPintathershecenteralies-underpenaly tperury-tnataHAe-RIOFRAHPR.C9RaR8G-P-A8-APPMGAH9nd Any-such-aGGHIenar-ans-UFAEF-PPFRaHOPaS-S-4eemed-necessary-bytne 5.50.060 - RESERVEDReVeweHdelwesy-dispensay-PePitappHeatiOns- A. upoA.receptola.compedAPGIGAANAPAyPeREG-#n8-aPPicAH0A.aAG equed-ees,tne-dHeRFSAAHPVeSHgae-ReRPFPRAHOP-OREHPeG-P-the PPHcAHeAt0-detemPAAIeFRAPPAGAREaAASEUMe-ne-requesied B. #ne-diegie-dteFReS'RSHPe4PAPPMSBREAA-eAPeNsd-ne-aPPHGAHOR APrOPeHY,Ae-GHRe-dHBCIOFSAHAOHHRe-APPHGAREGFSUCA-aCW#PH-SIKY-469, ays-OFreceptHGaHOR-FRe-aPPHGaRESAAH-PaKe-aHGOFFeGHOAS 84H98-aAG-esHMSHGPaAdanyO.n8F-RIOFRAHO9A-eqHre8-e aHSHy-the-ceFreeHORS-APPHCRHGeeS8huy-cempelete-PartreHthe aPPH6aHePProsessNK#ORASGHO-RAa-aPpH6atieP-date. APPHeaRtS-muSLCORAFRORG8-WAAPAROHA8-APPHGAHOR.ProceS6-WAP HReEy-days-eFtheVAHOFPaFH-APPHGAHOASHRAEdOReeteSe WAPP-PReLy996ay5-eHFecePtGHRe-CORPeted'aPPHGAHOR,tPe-dHeteF AaH-cemplete-t8-Ae-PVeSHgaH0PaPPreve-e-OFdeny-Re-aPpHGatOn-P AC9OMdAAC-AAePAAPOMEOAEGAEGNAEChAPeaNSOAOIREY Unied'Siates-aH.RdsepesagePrepas-aiessedieentas D. UPeR-eempetngHRP-ewewPres886,RePeFPASAaH-sedeemeemed-a-quaee  W#MPRe-APPHGAHPR:  cerrect.  eter10-A6PMStEFAS-ehaPteF:  permit.  deadlines-shal-be-censidered-denied-  e-88P88-SH8-A#e4PP4eHOR. PPHGAHOA,WleSS-Re-diesirHnds:  1. e-app-cant-na6e-Gn8-0FFROF8-a188-9FPASIaG9statements-OF OPISSIOAS,eHnPFOR-Re-W#CP-APPHGAHOR-PFGHFPgRe-appHGatOn 2. A-propesed-e6AHOPHeF#e-deHveR/eHSPeASay-8-ROHaHOwed-By-state OF06aH-aw,staHAaR6e,eFregeaHoR-RCHGHPS-cede),0F  process;or  01071.0005/007873.1  Page 62    3. e-appHGaAESA8EaPARRapy-caregwet,q4aHe6-paHenPWISE waHedHe-eperatea-Redca-samAaaBS-depensayunserne-Mesisina and-Adu-Use-CannabIS-ReguaHOn-and-Saety-AGEMAUGRSAOF 4. he-applcant-hOESaHISHed-each-and-every-requrement-orthis : Ae-aPPHGaRE-de88-AOLCORAPA-W#P4PPH6A0'981a18-AW,RCNGHS,DUEA9: PRedHe,aPpleable-egeremeREARmAmuRSEnAadss-eHne-Mediena: aRG-AH-USe-CamnabeRegwaonamdSaley-AGHMAUGRSA-Han PpisaonigandapemiMaatsuadunsandunesENu CORAPHAAGe-Byte-SteeesSA-aPPHCREWAPRCeqHFePReRES-GFSeGHOR #Re-PHeslerReHAergBMEOPdEReScAmpeNePP-aNHOA-WARA-ey 99/48ys4H0FGreseMeSeMcPHaEPewBdHASeteR0 appHcation-shaH-De-9Pwarde8-01P8-EHy-COURCH-atS-Aekt-reguary sehedeled-meetin-ersnsideraHe-PSHSESNeHRWihthe Baseden-he-PeFHOASeHO#AAR#ReaPPicAoPand-he-diesters, eWeW,tRe-GHeGIOFFRy-RPese-reasemabe-tFPS-aRG-CRee USe-01-tne-peFPHP-a4GHIOR-10-AOS8-SPeG#9G-P-IAS-CAaPtOFt0-ensure-the sale-operatOn-eHRe-4eINeRYensaPy-anGH0-GnSWFe-Re-neaHh,sarety and-weH3F8-9HneGH2EAEaRG-WEHO-OH8CHY-BHHeSPeHa- 5.50.070 - Dena-orrevocation of delivery dispensary permit.  chaPierand-Cede:e:  5S099F04pGREdDa:DenaDpena  eqHHPOPBRIS-OFAS-GAapteP.  A. DePal-OFrevPsaHOR: The director may denyer revoke a delivery dispensary 1. No person may appiy-Of,OFDe-granted,a hold a valid permit to operate a delivery dispensary within the city who has been determined (whether by operation of the Hesperia Municipal Code, or other controlling law) to be in violation, within fifteen (15) years prior to the operative date of this chapter, either administratively, criminally or otherwise, of a prohibition on operating a cannabis dispensary of any type within the city, and has not paid such fines and fees as a result of 2. Additionally, no person shall employ a person at a delivery dispensary within the city who has been determined (whether by operation of the Hesperia Municipal Code, or other controlling law), to be in violation within fifteen (15) years prior to the operative date of this chapter, either administratively, criminally, or otherwise, of a prohibition on operating a cannabis dispensary of any type within the city, and has not paid such fines and fees as a result of such violations.  permit if any of the following is found:  such violations.  01071.0005/007873.1  Page 63    3. The results of the live scan reveal a criminal conviction described in Business and Professions Code Section 26057 (4)(A-E), and as may be amended from time to time. Except as provided in subparagraphs (D) and (E) of paragraph (4) of Business and Professions Code Section 26057, a prior conviction, where the sentence, including any term of probation, incarceration, or supervised release, is completed, for possession of, possession for sale, sale, manufacture, transportation, or cultivation of a controlled substance, shall not be the 4. Conviction for any controlled substance felony, as that term is used in Business and Professions Code Section 26057, subsequent to licensure shall be grounds for revocation of a license or denial of the 5. Failure to obtain and maintain a valid seller's permit required pursuant to Part 1 (commencing with Section 6001) of Division 2 of the Revenue 6. Failure to comply with any state or local law pertaining to commercial 7. Ifiti is found that the applicant is operating an unlicensed cannabis business and does not completely cease operations during the application process until such time that they are licensed by the City  sole ground for denial of a license.  renewal of a license.  and Taxation Code. cannabis activity.  and State.  B. Cure Period. Prior to revocation of a delivery dispensary permit, the permittee shall be provided with a written notice which details the violation(s). The permittee shall have seven days to cure the violation to the satisfaction of the director. The seven-day cure period may be extended by  the director or the city council for reasonable cause.  5.50.075 - Appeals.  Appeals Any decision regarding an-appicationlor,3-en8w3-0H,0F the revocation of, a delivery dispensary permit may be appealed to the city manager yaPaPPHGAREOFOMRePeHEReERONderaSHPHOWE: in accordance with section 5.50.040 of this chapter.  1 APPeHaREPRUHNCAPeRAPPeEPPRRCHyCleWMP-ER calendar43y6-0HheBGA-TRENIPes--Ime.persen RaKIg-tme-appear8ePHyRedeeNeP-aPPea1e-#PISHae-tne-Feasens Ortne-appea,earand-Aede-any-ewdence-R-SUPPORLOtne-appea. 2. NGHCe-GHReHFReaReanepace8-aASPPea-Rea:RgsAaHseprewded-O1Re aPpeARE-WAAPAFY3/eays-eFreeepte-WREP-aP-appea-Dy-tne  HeSPema-CHyClek.  01071.0005/007873.1  Page 64    3. ne-aPP8a-A9HP9H-behA-nASMGPdays40H8-gSHne WAReR-PPea-WAhtHeSPeRaC/Cle-ReS4e890-d2y-me-mS Waed-Dy-tne-aPPeHaRK,OFUPeOSS-RP-6HY-aRAnageeFees9PHAueS Ae-appea-A8aFP83FP94a189r99904-6a48e-aAG-4P4P9R-WABA-ROHR-0-ne 4. A8-GHy-managerOrdesigne8-SAAH-eWBWIAe1261-0HR8-RA8-aHeF,WRROR 49GUPRORIS-SHDARHRCGHOFTeEW,#Re-DABSHOFFRAK.PS#Re-deeiiOP-WAGA-S Aderappea,andEHeFPARE-WREIREFHRe-dHecteFs-deeis-DE eVBrSed-OFaHP-BtHeFPI3HOP.mAde48SA31-5AHP.WA#g-ShaSet OHh-tne-reasens#Re-deeFPHPAO,GRA-SAAHBe-Ra-S-FRe-PreVSIORS-e Sections-1094.5384-109460Hn8-Cede-erCMALPrecedure-setlorth-the prosedure-terjueiHa-reweweW-gFaPy-Ra-deterination  appellant  5.50.080 - Penalty for violation.  A. Any violation of the provisions of this chapter shall constitute a separate offense for each and every day during which such violation is committed or continued and shall be subject to all remedies and enforcement measures authorized by the Hesperia Municipal Code for violation of the law. B. To the fullest extent allowed under state law, any person, whether as principal, employee, agent, partner, director, officer, stockholder, or trustee or otherwise, violating or causing the violation of any of the provisions of this chapter shall be guilty of a misdemeanor, and any conviction thereof shall be punishable by a fine of not more than one thousand dollars ($1,000.00) or by imprisonment for not more than six months, or by both such fine and  imprisonment.  5.50.090 - Obligations of delivery dispensary.  A. Belore-eceM-PgP9se8se889Ad'A4PPow8adenasydepensa/PeF,a8 PrevidedOFIP-hS-chapter,The delivery dispensary permit holder shall to 1. Provide written authorization to the director as well as the police department, to conduct reasonable inspections of the location of the delivery dispensary at the discretion of the city, including but not limited to inspection of security, inventory, and records and files pertaining to the delivery dispensary, for the purposes of ensuring compliance with 2. Execute an agreement indemnifying the city, its elected officials, employees, agents, officers, and representatives, and each and all of them individually, from all liability in connection with all claims, damages, attorney's fees, costs, and allegations arising from or in any way related to the operation of the delivery dispensary.  the satisfaction of the director:  local and state law.  01071.0005/007873.1  Page 65    3. Execute an agreement to:  a. Defend, at the delivery dispensary permit holder's sole expense, any action against the city, its elected officials, employees, agents, officers, and representatives, and each and all of them individually, which arises from the operation of the delivery b. To reimburse the city for any court costs and attorney fees that the city may be required to pay as a result of such action. The city may, at its sole discretion, participate at its own expense in the  dispensary.  defense of any such action.  B. Upon and after receiving possession of a delivery dispensary permit as provided for in this chapter, the delivery dispensary permit holder shall!: 1. Maintain continuing compliance with all of the insurance requirements of Section 5.50.100(F) of this chapter.  2. Immediately update the director in writing with correct and current contact information, when there is any change in the address or phone number, previously provided to the city in compliance with this chapter, for any owner(s), manager(s) or legal representative(s) of 3. Comply with all conditions of approval prescribed by the director for Failure to perform the aforementioned actions of this Section 5.54.090 shall  the delivery dispensary.  operation of the delivery business.  render the operation of a delivery dispensary unlawful. 5.50.100 - General operating standards and restrictions. A. Hours of operation shall be limited to 7:00 a.m. to 10:00 p.m.  B. Regulations.  1. No delivery dispensary shall offer retail services or dispense in any manner to customers on site of any product, including but not limited to cannabis and cannabis accessories. All products shall be delivered to patients, or qualified caregivers, at a fixed residential address 2. There shall be no sale or delivery of industrial hemp products. 3. There shall be no sale or delivery to any person not in possession of a valid identification card denoting the person as a qualified patient or  other than the dispensary.  a caregiver as defined by law.  01071.0005/007873.1  Page 66    4. Delivery shall only be made to residential homes, and no delivery or exchange of goods for money shall occur on city streets, sidewalks, 5. Consumption of alcohol and cannabis products is prohibited in the establishment as well as in any vehicles used for delivery. 6. All vehicles associated with the business shall carry in the vehicle a copy of the valid, unexpired business license.  or public ways.  C. Security.  1. All cannabis and related products shall be stored in a secured and locked room. As no retail sales are permitted, no display of cannabis 2. No person may be an employee of a delivery dispensary who has been convicted of a crime involving the illegal distribution of narcotics within the last seven years, dated from time of conviction, or if the conviction required incarceration, the time of release, whichever is 3. The facility and parking area shall be equipped with security lighting at each entrance, and no less than five other points on the building or property as approved by the city, and at all gated entrances. Entrance lighting and parking area lighting shall not require motion to activate and shall provide adequate lighting without the aid of motion- detecting lights. Security lighting shall illuminate the entire entrance, and the adjacent parking area upon motion detection. Each light shall provide at least 0.1-foot candle intensity. This lighting shall be in addition to any other lighting requirements of this code. 4. The facility shall be alarmed with a centrally monitored fire and burglar alarm system, and monitored by an alarm company properly licensed by the State of California Department of Consumer Affairs Bureau of Security and Investigative Services in accordance with California Business & Professions Code section 7590 et seq. and whose agents are properly licensed and registered under applicable 5. Security cameras shall be installed on the property, maintained in good condition, and shall provide a clear, unobstructed view of the parking area, all entrances, loading areas, bays, windows, and any other areas as determined by the director. The cameras shall be in use twenty-four (24) hours per day, seven days per week. All recordings shall be digitally recorded and kept for no less than ninety (90) days and shall be made available to the police department upon  or related products is permitted.  later.  law.  01071.0005/007873.1  Page 67    request. All recordings shall be time and date stamped. All security cameras shall be properly maintained and kept in working order. 6. Cannabis or cannabis product shall not be stored, kept, or otherwise accessed from outside the building. Loading and unloading of cannabis or cannabis products is allowed during business operating hours only and must be completed at the rear of the building. Loading and unloading may be allowed at the front of the building, at the discretion of the director, providing that all of the below is true: That there is a roll-up door or doors, which are attached to and ii. That the interior of the building accessible by the roll-up door(s) is large enough to accommodate a vehicle, completely inside ii. That the roll-up door(s) can be closed completely, concealing the vehicle during the loading, and unloading of cannabis iv. That the roll-up door(s) remain closed and locked when not in V. All loading and unloading of cannabis occurs inside of the 7. All exterior doors shall remain locked and be accessible for operation by employees only, and all windows shall be secured against entry from the outside. Exterior doors shall be properly equipped with panic 8. All cannabis present or kept at the premises shall be securely stored against both unauthorized access as well as theft.9. Cannabis and cannabis products prepared for delivery shall be stored in secure containers within the trunk of the delivery vehicle during delivery.  part of the cannabis business location; and  the facility; and  product; and use; and  building with the roll-up door closed.  hardware as required by all applicable state codes.  D. Odor Control. A delivery dispensary shall have an air treatment system that ensures off-site odors shall not result from its operations. This requirement at a minimum means that the delivery dispensary shall be designed to provide sufficient odor absorbing ventilation and exhaust systems SO that any odor generated inside the location of the delivery dispensary is not detected outside the building, on adjacent properties or public rights-of-way, or within any other unit located within the same building as the delivery dispensary, if the use only occupies a portion of a building.  E. Records.  01071.0005/007873.1  Page 68    1. Delivery dispensaries shall maintain records reflecting:  a. The full name, address, and telephone number(s) of the owner b. The full name, address, and telephone number(s) of all  and lessee of the property.  employees.  C. The delivery of medical cannabis, including but not limited to the identity of the recipient using the unique identifier supplied to them by the state, the amount delivered, the date of the delivery, the address of the delivery, the name of the employee making the delivery, and a written receipt confirming the delivery d. A written accounting of all expenditures, costs, revenues, and e. Ad copy of the delivery dispensary's required insurance policy and all other insurance policies related to the operation of the f. An inventory record documenting the dates and amounts of medical cannabis received at the medical cannabis dispensary, the daily amounts of medical cannabis stored at the location of the medical cannabis dispensary, and the daily amounts g. Proof of a valid and current permit issued by the city in accordance with this chapter. Every medical cannabis dispensary shall display at all times during business hours the permit issued pursuant to the provisions of this chapter ina a  by signature of the receiving person(s). profits of the delivery dispensary.  delivery dispensary.  distributed.  conspicuous place.  2. Records shall be maintained on-site, either in paper or electronic form, and secured and verified by the director as needed (consistent with requirements pertaining to patient confidentiality pursuant to 3. All records required to be maintained by the delivery dispensary must be maintained for no less than three years and are subject to immediate inspection upon written request by the director. a. Records pertaining to the operation of the delivery dispensary, including but not limited to taxation remittance to state, county or city, revenue, product inventory, etc. shall be subject, at the city's discretion, to an audit, performed by a company selected by the city. The business owner shall pay any required fees, as  applicable State and Federal law).  01071.0005/10078731  Page 69    adopted by the city council, for the performance of the audit. Upon notification by city that there is an intent to perform an audit, the business owner shall remit the fee for the audit to the  city within thirty (30) days.  F. Insurance.  1. Ac delivery dispensary shall procure and maintain, at its sole cost and expense, in a form and content satisfactory to the director, the following policies of insurance in the amounts and of the types that are acceptable to the director, with minimal coverage provided of: 2. Throughout the life of the license, the licensee shall pay for and maintain in full force and effect all policies of insurance required hereunder with an insurance company(ies) either (i) admitted by the California Insurance Commissioner to do business in the State of California and rated not less than "A-VII!" in Best's Insurance Rating Guide, or (ii) authorized by city manager or his/her designee and in his/her sole discretion. The following policies of insurance are 3. Commercial general liability insurance which shall be at least as broad as the most current version of Insurance Services Office (ISO) Commercial General Liability Coverage Form CG 00 01 and include insurance for "bodily injury," 'property damage" and "personal and advertising injury" with coverage for premises and operations (including the use of owned and non-owned equipment), products and completed operations, and contractual liability (including, without limitation, indemnity obligations under the Contract) with limits of not less than one million dollars ($1,000,000.00) per occurrence for bodily injury and property damage, one million dollars ($1,000,000.00) per occurrence for personal and advertising injury, two million dollars $2,000,000.00) aggregate for products and completed operations and two million dollars ($2,000,000.00) general 4. Commercial automobile liability insurance which shall be at least as broad as the most current version of Insurance Services Office (ISO) form CA 0001 and shall include coverage for 'scheduled auto", hired auto" and non-owned auto" with limits of liability of not less than one million dollars $1,000,000.00) per accident for bodily and 5. Workers' compensation insurance as required under the California  required:  aggregate.  property damage. Labor Code.  01071.0005/007873.1  Page 70    6. Employers' liability insurance with minimum limits of one million dollars ($1,000,000.00) each accident, one million dollars ($1,000,000.00) disease each employee and one million dollars 7. Licensee shall be responsible for payment of any deductibles or self- insured retentions contained in any insurance policies required 8. All policies of insurance required hereunder shall be endorsed to provide that the coverage shall not be cancelled, non-renewed, reduced in coverage ori in limits except after thirty (30) calendar day written notice by certified mail, return receipt requested, has been given to the city. Upon issuance by the insurer, broker, or agent of a notice of cancellation, non-renewal or reduction in coverage or limits, licensee shall furnish city with a new certificate and applicable endorsements for such policy(ies). In the event any policy(ies) is due to expire during the license, licensee shall provide a new certificate and all applicable endorsements evidencing renewal of such policy(ies) not less than fifteen (15) calendar days prior to the  $1,000,000.00) disease policy limit.  hereunder.  expiration date of the expiring policy(ies).  9. The general liability (including ongoing operations, and products, and completed operations) and automobile liability insurance policies shall be endorsed to name the city and its officers, officials, employees, agents, and volunteers as an additional insured. Such policy(ies) of insurance shall be endorsed so permittee's insurance shall be primary, and no contribution shall be required of city, its officers, officials, employees, agents, and volunteers. Any workers' compensation insurance policy shall contain a waiver of subrogation as to city, its officers, officials, employees, and agents. The coverage shall contain no special limitations on the scope of protection afforded to city and its officers, officials, employees, agents, and volunteers. Should licensee maintain insurance with broader coverage and/or limits of liability greater than those shown above, the city requires and shall be entitled to the broader coverage and/or the higher limits of liability maintained by the licensee. Licensee shall furnish city with the certificate(s) and applicable endorsements for all required insurance fourteen (14) days prior to the issuance of the 10. If the general liability insurance policy is written on a claims-made form:(1)The retroactive date must be shown, and must be before the effective date of the agreement or the commencement of work by consutantu2/nsurance must be maintained and evidence of insurance must be provided for at least three years after any expiration or termination of the agreement or, in the alternative, the  permit.  01071.0005/007873.1  Page 71    policy shall be endorsed to provide not less than a 3-year discovery period.(3)lf coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a retroactive date prior to the effective date of the agreement or the commencement of work by consultant, consultant must purchase extended reporting coverage for a minimum of three years following the expiration or termination of the agreement.(4)A copy of the claims reporting requirements must be submitted to city for review.5)These requirements shall survive 11. Upon request of city, licensee shall immediately furnish city with a complete copy of any insurance policy required under this agreement, including all endorsements, with said copy certified by the underwriter to be a true and correct copy of the original policy. This requirement shall survive the expiration or revocation of the 12. Ifat any time during the license, licensee fails to maintain the required insurance in full force and effect, all work licensed thereunder shall be discontinued immediately until notice is received by city that the required insurance has been restored to full force and effect and that the premiums therefore have been paid for a period satisfactory to city. Any failure to maintain the required insurance shall be sufficient cause for the city to revoke the license. 13. Note: The certificate of insurance must be accompanied by the additional insured, primary insurance, and waiver of subrogation 14. All of the above policies of insurance shall be primary insurance and shall name the city, its elected and appointed officers, employees and agents as additional insureds and any insurance maintained by city or its officers, employees or agents may apply in excess of, and 15. No permit may be issued pursuant to this chapter until the applicant for a medical cannabis dispensary permit has provided the city with certificates of insurance, additional insured endorsement forms or appropriate insurance binders evidencing the above insurance coverages and said certificates of insurance or binders are approved by the city. City reserves the right to inspect complete, certified copies of and endorsements to all required insurance policies at any  expiration or termination of the article.  license.  endorsements, as required above.  not contribute with the above policies of insurance.  time.  G. The regulations contained in this chapter shall not apply to a medical cannabis dispensary engaged in the following uses, as long as such use complies strictly with applicable law regulating such use and the location of  01071.0005/007873.1  Page 72    such use, including, but not limited to, Health and Safety Code sections 11362.5 and 11362.7 et seq.; a clinic permitted pursuant to Chapter 1 of Division 2 of the Health and Safety Code; a health care facility permitted pursuant to Chapter 2 of Division 2 of the Health and Safety Code; a residential care facility for persons with chronic life-threatening illness permitted pursuant to Chapter 3.01 of Division 2 of the Health and Safety Code; a residential care facility for the elderly licensed pursuant to Chapter 3.2 of Division 2 of the Health and Safety Code; a residential hospice; or a home health agency permitted pursuant to Chapter 8 of Division 2 of the  Health and Safety Code.  5.50.110 - Fees.  A. Fees. AP-aPPHaHOP-ee-S8HSy-eseeGSAaHDE eqHHeG-OFOFPa-PeeessingeFevey-aPPHeHOPaBC-URGEPFIAIS-Chapter. The city council is authorized to pass resolutions to recover: any and all fees and costs incurred by the implementation of this chapter through an appropriate fee recovery mechanism to be imposed upon delivery  dispensaries and their operations.  B. State Board of Equalization Seller's Permit Required. The State Board of Equalization has determined that medical cannabis transactions are subject to sales tax, regardless of whether the individual or group makes a profit, and those engaging in transactions involving medical cannabis must obtain  a seller's permit from the State Board of Equalization.  5.50.120 - Public nuisance and abatement.  In addition to the penalties set forth in this chapter, any delivery dispensary that iso operating in violation of any provisions of this chapter is hereby declared to constitute a public nuisance and, as such, may be abated or enjoined from further operation, in accordance with the procedures set forth in Chapter 1.12 (Municipal Code Enforcement) of Title 1 (General Provisions) of the Hesperia  Municipal Code.  5.50.130 - Suspension and revocation.  A. The director is authorized to suspend and/or revoke delivery dispensary permits issued pursuant to this chapter upon the determination through written findings of a failure to comply with any provision of this chapter, any condition of approval, or any agreement or covenant as required pursuant to B. The director may suspend or revoke a delivery dispensary permit if any of  this chapter. the following occur:  01071.0005/007873.1  Page 73    1. The director determines that the delivery dispensary has failed to comply with any aspect of this chapter, any condition or approval, or any agreement or covenant as required pursuant to this chapter; or 2. Operations cease for more than ninety calendar days: or 3. Ownership is changed without securing a new delivery dispensary 4. The delivery dispensary fails to maintain required security camera 5. The delivery dispensary fails to allow inspection of the security recordings, the activity logs, the records, or of the premise by 6. The delivery dispensary's state license is suspended, revoked, or denied. Should the license be suspended the delivery dispensary owner shall provide up to date information to the City regarding the reinstatement of the license. Should the license remain suspended for more than ninety days, the City may revoke the City license. Conditions (if any) of suspension or revocation are at the discretion of the director and may include, but are not limited to, a prohibition on all owners, operators and employees of the suspended or revoked delivery dispensary from operating within the city for a period of time set forth in writing and/or a requirement (when operations may resume, if at all, pursuant to the director's determination) for the holder of the suspended or revoked delivery dispensary permit to resubmit an application for a delivery dispensary permit D. Suspension or revocation of a delivery dispensary permit pursuant to this chapter shall constitute a "revocation" for purposes of Business and  permit; or recordings; or  authorized city officials.  pursuant to the requirements of this chapter.  Professions Code section 19320. 5.50.140 - Nonconforming use.  No use which purports to have distributed cannabis prior to the enactment of this chapter shall be deemed to have been a legally established use under the provisions of the Hesperia Zoning Code, the Hesperia Municipal Code, or any other local ordinance, rule or regulation, and such use shall not be entitled to  claim legal nonconforming status.  01071.0005/10078731  Page 74