City Council - Regular Meeting

Are we ready? And we'll stop talking about 502s. Good afternoon. THERE WE GO. I WOULD LIKE TO CALL THE MAY 26, 2026 CLOSED SESSION COUNCIL MEETING TO ORDER. CITY CLERK, MAY WE PLEASE HAVE A ROLL CALL? COUNCIL MEMBER CLARK?

PRESENT.

COUNCIL MEMBER WATTS, AND HE WILL BE ATTENDING VIA PART.

COUNCIL MEMBER PETERSON? HERE.

MAYOR PROTEM MALES? HERE.

MAYOR CUPA? HERE. CITY CLERK, ARE THERE ANY REGISTERED SPEAKERS?

THERE ARE NO REGISTERED

Okay. Seeing that there are none, council will now proceed to closed session. Thank you for joining us. Report from closed session will be provided when we come back. We are now.

Thanks for watching!

Please leave your message for nine.

Thank you.

Hello. Hello. I can barely hear you.

This is Rosalia Butler, your new city clerk. I'm just calling in to get you prepared for this evening's meeting.

Okay. I just got off the phone with Noah.

Okay.

I'm working my way back to my room.

Fantastic. Just so that you're aware you are live. Okay.

Okay.

Okay.

All right, you can leave this line open.

Yes, sir.

All right.

I know the member that is on there is the same as what's listed there.

Got it. Okay. And what you did is you pressed on the mic.

Okay.

GOOD EVENING, EVERYONE. I WOULD LIKE TO CALL THE MAY 26, 2026 REGULAR CITY COUNCIL MEETING TO ORDER. CITY CLERK, MAY WE PLEASE HAVE A ROLL CALL?

COUNCILMEMBER CLARK?

PRESENT.

COUNCILMEMBER LODGE?

HERE.

COUNCILMEMBER PETERSON?

HERE. MAYOR PROTEN-MALES?

HERE. MAYOR KUPA?

HERE. Thank you very much. The invocation tonight will be led by Pastor Roy Terrazara from Associate Pastor at Calvary Chapel in Val Vista. Is he here?

There you go.

Okay. After which, Councilmember Clark will lead us in the pledge. Please stand, everyone.

Make sure your green light is on.

Let's pray. Lord Jesus, we pray tonight, Lord, for the city council meeting, Lord, as we come together like-minded in one accord, Lord. I lift this city council and ask that you give them wisdom, direction, and making wise decisions in their meeting here tonight. Lord, Holy Spirit, we invite you here tonight to be with the city council, Lord, and we thank you, Lord, for what you're able to do. So bless this meeting tonight. In your name I pray. Amen.

Amen. Thank you very much. We'll now go to the city attorney's report from closed session.

Thank you, Mayor. For both items 5A and 5B, the city council gave direction by a vote of five to zero. Thank you.

Okay, moving on to presentations. Our Memorial Day proclamation will be presented by Mayor Pro Tem Joe Mayles to members of the San Jacinto Valley Cemetery. Are they here? Okay, don't see that they are, so Mayor Pro Tem Joe Mayles and I will go to them tomorrow and make the presentation. Moving on, Proclamation for National Public Works Week will be presented by Councilmember Peterson to Noah Rao and the City of Hemet Public Works Department. Please come forward, Public Works Department, if you're here. My goodness.

Is it on? Proclamation for National Public Works Week. Whereas public works professionals focus on infrastructure, facilities and services that are of vital importance to sustainable and resilient communities and the public health, high quality of life and wellbeing of the people of the city of Hemet. and whereas these infrastructure facilities and services could not be provided without the dedicated efforts of public works professionals who are engineers, managers, and employees at all levels of government and the private sector. who are responsible for rebuilding, improving, and protecting our nation's transportation, water supply, water treatment, and solid waste systems, public buildings, and other structures and facilities essential for our citizens. It is in the public interest for the citizens, business owners, civic leaders, and children in Hemet to gain knowledge of and maintain an ongoing interest in understanding of the importance of public works and public works programs in their respective communities. The efficiency of the qualified and dedicated personnel who staff public works departments is materially influenced by the people's attitude towards an understanding of the importance of the work they perform. whereas the year 2026 marks the 66th annual National Public Works Week sponsored by the American Public Works Association. Now, therefore, Linda Krupa, Mayor of the City of Hemet, along with the Hemet City Council, hereby proclaim the week of May 17th to May 23rd, 2026 as National Public Works Week. and urge all citizens to join with representatives of the American Public Works Association and government agencies in activities, events, and ceremonies designed to pay tribute to our public works professionals, engineers, managers, and employees and to recognize the substantial contributions they make to protecting our national health, safety and quality of life. Presented May 26th, 2026. Thank you for all you do.

I would just like to say thank you to the City Council for recognizing all that the Public Works Department does, and thank all the dedicated staff that we have. They always find a way to figure it out, and I really appreciate all that they do.

say anything all right thank you i i want to add just something um they recently had their second annual open house for public works and they do a fantastic job it's so much fun it's so educational the kids had a huge sandbox they loved there was all kinds of water demonstrations um crr came out there were other uh organizations that came out it was a wonderful event and um beautiful big new flag that they purchased for the public works department was the center stage so thank you for all you do and rotary cooked hot dogs we thank them too okay next up is the

Presentation, the Hemet Fire Department Explorers will be presenting to the Council and the City Manager. I would like to invite Interim Fire Chief Phillips and the Explorers to the podium. Come on down. Everyone. And Sam. Yeah, and Sam. If the green light is on?

There we go, thank you. Good evening, Madam Mayor and members of the council. I'm honored to introduce this fine group of our Hemet Fire Department Explorers with their leader, Engineer Paramedic Sam Harper.

Hey, Sam.

At the end of March, we held a We hosted the California Explorer Association week-long academy here in the city of Emmett. All members of the council had visited our proceedings during that week. We appreciate your support. It means a lot to all of us. We hosted about 150 explorers with about 40 different advisors. We had a big group here. And I'll let Sam talk about it more, but we appreciate your support. Sam Harper here was actually, along with Dave Pareto, who was at a different event tonight, he couldn't make it, were the founding members of this organization here in the city. And these are young people looking to find... WORK AND CAREER IN THE FIRE SERVICE. SO WE'RE REALLY HAPPY TO HAVE THEM. THEY WORK THEIR BUTTS OFF. THEY'RE REALLY HARD WORKING PEOPLE. THEY NEVER COMPLAIN. THEY'RE ALWAYS WANTING TO DO MORE. SO WE APPRECIATE THAT. WITH THAT, I'LL HAND IT OVER TO SAM.

Good evening, Mayor and Councilmembers. Like Chief said, my name is Samantha Harper. I'm an engineer paramedic for the City of Hemet. I'm also an explorer advisor for the department. As most of you know, the Hemet Fire Department recently hosted the 47th Annual California State Fire Explorer Academy. And if I do say so myself, it was an incredible success. Many of you graciously attended, showing your support for the 26 departments and 108 fire explorers that participated, and for that, I sincerely thank you. Over a year ago, I stood before you asking for the city's support for what many considered a very wild idea, hosting the academy here in Hemet. As I always say, why not Hemet? Understandably, there was a lot of hesitation. This was a massive responsibility and a huge undertaking. For seven days, parents, departments, and explorer posts trusted us with training the future of the fire service and trusted us with their kids. I am proud to say that on March 29th, 108 explorers arrived, and on April 4th, 108 explorers graduated. After a five-year pause during COVID, last year we brought the Academy back thanks to North Las Vegas Fire Department. Many of these Explorers that attended this year, due to that long pause, this was their very first time attending. When they walked through the doors, you could see it in their eyes. Uncertainty, fear, intimidation, but also excitement for what lies ahead. They definitely had the fear of the unknown. We lined them up in their squads and battalions, and we released them to the drill instructors. Yes, real drill instructors, but that are also firemen, so they understood the fire service. They were three gentlemen from March Air Force Base, They taught the kids accountability, discipline, but not only for themselves, but for their equipment and for the Explorers standing to their left and their right. These kids were tested mentally and physically. Every single one of them left that football field at Toquitz High School that day stronger and realizing they were more capable than what they thought they could when they started getting yelled at. Not one explorer quit that day. They were given the opportunity multiple times to walk off that field, but they all chose to dig deeper, not only for themselves, but for the cadets beside them. The cadets woke up every morning at 5 a.m., arrived at the training grounds by 8, spent their days pushing through live fire scenarios, fire behavior classes, ventilation operations, forceful entry, auto extrication, vehicle fires, and all of them climbed the aerial ladder to 100 feet in the air. After returning to the school, the day wasn't over. They had dinner and showers, and then they had classroom lectures until 10.30 at night. They finally got into bed at 1130 to prepare to do it all again the next day. Each cadet, like I said, challenged themselves physically, mentally, emotionally, pushing themselves far beyond what they thought they were capable of. And as I stated before, on April 4th, they all stood together side by side with new knowledge, confidence, and that sense of accomplishment that you could see in their eyes. The transformation occurred over the week. You saw the moments of doubt, the moments of triumph, the aha moments when everything we've told them finally clicked, and the pride they felt after accomplishing something difficult or even fearful. That is exactly why I stood behind the idea of why not Hemet? Why not be the city that continues the tradition of this academy? Why not be the community that helps train the future of the fire service? While this may have started as my crazy idea, it became so much bigger. Many organizations, fire departments, businesses, and community members stepped up to make sure that every cadet had what they needed to succeed. It became a true example of what community investing in the future really means. And that feeling words truly cannot describe and a thank you doesn't do justice. These kids, including the Explorers that are standing behind me tonight, are the reason I do this. With your continued support of these wild and crazy ideas, programs and events like this become possible, and together we make an impact that will last far beyond the week that they were trained. So on behalf of the Hemet Fire Department, the 108 Explorers that graduated, and the board at the CFEA, Thank you for your support, your trust, and your belief in our youth and our community. Thank you. And with that, I would like to give the City Council Obviously, City Manager Presswich is not with us anymore, but also you, Noah, for your side on the public work side, because I know how much of a pain in the butt I was for you. I would like to present you, and the kids like to present you with a thank you plaque for all that you did and for supporting, like I said, this very crazy idea. And as you can see, hold on. We had a huge contribution from the city. Everybody was local. Everybody stepped up. These are all donations and fire departments and people that made this week a huge success. From the school district, the city council, the union, public works and the mechanics, the tow yards, everybody chipped in to give a little bit to this week.

What? Oh, I said it was kind of a bad connection.

Working. Right. How's it going?

Oh, is it going? I don't know. It has to be over there. Yeah, it is.

Stop.

Yeah. I don't want to call. It's not here.

It's not here. Look.

There is one more thing.

don't forget in the fall we have the girls empowerment camp right engineers Harper all right thank you everyone okay now we have to do some legal work because of councilmember Lodge is remote yes so one to confirm the council member Lodge can you hear us

Yes, sir. Okay. Council Member Lodge is attending remotely under the Brown Act provisions because he does have a medical condition. He's appearing audio only for today's meeting. Council Member Lodge, can you let us know if there's anyone over 18 years of age in the room with you? And if so, what their relationship to you is?

No, there is not.

Thank you, Mayor. That's the end of the compliance.

All right. Very good. Okay, moving on to our public hearing. City Clerk, will you please read the procedures and directions for tonight's public hearing?

Public hearing will be as follows.

staff will provide a report and clarification of items presented. The public hearing will be open for comments for those in favor or in opposition to the item followed by rebuttal to any comments made. The public hearing will be closed and the city manager may respond to any questions raised by the public. The public will not have an opportunity to respond. Discussion will be brought back to the City Council for direction or action.

All right. Um, can we get a staff report from I mean, can we get a staff report on item 14 A? What am I hearing?

Good evening, Council. There should be a PowerPoint presentation that's going to be queued up here. Hopefully. Fingers crossed.

Okay.

As you know, the user fee, a comprehensive user fee study is recommended every five years. This is our fifth year since the last one that was done. So we did a contract out with ClearSource. They did our prior study and they do our annual renewals every year. So with that, I'm going to introduce David Schroeder with ClearSource and he is going to go through the PowerPoint presentation and answer questions.

Good evening, Council. Can everybody hear me okay? Excellent, thanks. Good evening, Mayor, members of the Council. Thank you for allowing me to speak with you this evening. As Tiffany said, my name is David Schroeder. I'm here with ClearSource, and we've assisted the city with the update of its user and regulatory fees for about the last six years. And we perform similar work for communities throughout the state. SO THE CITY HAS RECENTLY COMPLETED A USER FEE STUDY, AND WE'RE HERE TO PRESENT THE RESULTS OF THAT STUDY AND PROVIDE COUNSEL WITH INFORMATION IT CAN USE TO MAKE DECISIONS REGARDING POTENTIAL FEE UPDATES FOR THE NEXT FISCAL YEAR. So we've broken up this presentation into two parts. In this first part, we'll cover aspects of the use and regulatory fees that are common not just to Hemet, but also to all municipalities in the state. Following that, we'll cover items that are specific to the City of Hemet and the fees used to recover the costs related to direct services. So as a reminder to council, the study and the topic for this item is service-based fees that communities throughout the state collect when providing a particular service to an individual or a business. And these differ from the broad general services that we provide to the overall community. Most of the time we think about using our tax dollars for services that provide broad community-wide benefits, so things like public works services, park maintenance, things of that nature. And user and regulatory fees are applied to recover the cost of providing services that are more direct and specific in nature. So the fees that we're thinking about today are direct service-based fees. These include things like building fees, planning, engineering, and non-development related fees for specialized license review and so forth. It's important to note that we're not dealing with any taxes or assessments, utility rates, or development impact fees that are used to mitigate the cost of infrastructure. THOSE ALL FALL UNDER DIFFERENT CATEGORIES AND THERE ARE SEPARATE REQUIREMENTS FOR ADOPTING THOSE TYPES OF FEES. THESE FEES THAT WE'RE EXAMINING THIS EVENING ARE ASSOCIATED WITH MORE DISCRETE PERIODIC REQUESTS FOR SERVICE. SO CITY STAFF REVIEWS AND UPDATES FEES ON AN ANNUAL BASIS AS PART OF THE CITY'S NORMAL COURSE OF OPERATIONS AND ALSO AS PART OF YOUR ANNUAL BUDGET DEVELOPMENT PREPARATION. So typically you perform comprehensive studies, as Tiffany said, about every three to five years or so, and that's currently what you're reviewing here. And in between those years, most of your fees are adjusted to align with regional cost inflation. You might also make some other minor refinements to the schedule during those interim times. So why do cities throughout the state perform similar updates and do fee studies such as this one? The main reason is just to ensure that you're in compliance with legal requirements. And that legal requirement is that we don't want to exceed the cost of service for the fees that they're charging. SECONDLY, RECOVERING THE COST OF THESE SERVICES BY DEFINITION REDUCES THE BURDEN ON THE CITY'S GENERAL FUND RESOURCES AND THAT CAN THEN BE UTILIZED FOR MORE GENERAL SERVICES FOR THE COMMUNITY. SO THOSE SERVICES WE TALKED ABOUT LIKE PUBLIC SAFETY AND THOSE TYPES OF THINGS. AND LASTLY, WHEN WE RECOVER OUR COST OF SERVICE, IT HELPS POSITION THE CITY OF HEMET TO CONTINUE TO MEET THE SERVICE LEVEL EXPECTATIONS OF THE COMMUNITY. SO IF SOMEBODY COMES IN AND NEEDS THEIR PLANS REVIEWED OR NEEDS AN INSPECTION DONE OR NEEDS A PERMIT ISSUED, SOMEBODY AT THE CITY WILL BE THERE, YOU KNOW, TO PROVIDE THOSE SERVICES IN A TIMELY MANNER, YOU KNOW, SO IT DOESN'T DELAY THE PROJECTS THAT OTHERS ARE TRYING TO WORK ON. IN TERMS OF FEE SETTING, AGAIN, WE WANT TO ENSURE THAT WE FOLLOW GUIDANCE THAT'S OUTLINED IN THE CALIFORNIA CONSTITUTION AND THE CALIFORNIA GOVERNMENT CODE. AND SPECIFICALLY BECAUSE THESE ARE FEES, NOT TAXES, WE DO HAVE LIMITATIONS. AGAIN, WE'RE NOT A FOR-PROFIT BUSINESS HERE. WE'RE SIMPLY JUST TRYING TO RECOVER THOSE SPECIFIC COSTS FOR SERVICE. AND WE DON'T WANT TO RECOVER BEYOND THAT. So everything we've covered up to this point is common to all communities throughout the state. It applies to Hemet and its neighbors and everywhere else in California. The next section of this presentation will cover the items that are specific to the city of Hemet. So your fee schedule includes hundreds of line items because you're trying to contemplate all the various scenarios that come through the door. AND YOU'RE TRYING TO HAVE A FEE SCHEDULE THAT CAN ACCOMMODATE THEM. SO FROM A DECISION-MAKING STANDPOINT, WE TRY AND BREAK OUT THOSE HUNDREDS OF FEES INTO BROAD CATEGORIES FOR YOUR CONSIDERATION. AGAIN, SO HEMET HAS OVER 1,000 FEES THAT ARE INCLUDED AS PART OF YOUR FEE SCHEDULE. So, most of your fees, about 60% of them that we reviewed are proposed to remain relatively unchanged. They might have minor adjustments up to, you know, a 5% increase or potentially not changing or potentially reducing. based on the calculated cost of service, but they're very minor changes. And the reason for this is because Hemet does a great job of proactively adjusting fees on a regular basis. Each year, you know, we provide counsel with updates to fees based on regional cost inflation. So it sort of keeps pace with the increasing costs over the year. And then the times where you do the comprehensive fee studies, you see less of these large swings of fees for most of your fees. About 16 percent of your fees have been restructured due to changes in how the departments operate today compared to when your current fees were established. And so, fees were restructured to better reflect how departments perform those services. Most of these can be found in the fire prevention portion of the fee schedule or section of the fee schedule. And at the time of the prior study for fire, there was the department was transitioning from mostly outsourced to consultants to bringing it in-house and under control of the city. So it makes sense that there's some restructuring there in most of their fees.

Okay.

AND THEN REGARDING THE NEW FEES FOR THE SCHEDULE, THERE ARE 38 PROPOSED NEW FEES. THIS IS INCLUDING TWO NEW SECTIONS IN THE FEE SCHEDULE FOR FILM AND PHOTOGRAPHY PERMITS AND ONE FOR SHORT-TERM RENTALS AND INSPECTIONS. THE REST OF THE NEW FEES, THESE ARE SERVICES THAT THE CITY ALREADY PROVIDES, BUT FOR WHICH NO SPECIFIC FEE WAS OUTLINED OR HIGHLIGHTED IN THE FEE SCHEDULE. SO SPECIFIC FEES WERE SET FOR THOSE SERVICES. So the action you're considering tonight aligns with your council adopted objective to operate in a financially sustainable manner. The anticipated fiscal impact of the proposed fee schedule adoption is an estimated $380,000 in additional revenue. But it's important to remember that the intent of these adjustments is simply to offset the inflationary pressure that you face as a city. So the recalibration of these fees is not intended to expand service levels. It's just an offset of existing costs that you're already incurring or experiencing. And finally, the recommendation for council this evening is to conduct a public hearing and at the conclusion of that hearing to adopt the resolution revising the schedule of fees and charges that would become effective on July 27th. Thank you so much for your time. I'm available for any questions or feedback you may have.

Okay. Council, do you have any questions? I just have one question. Okay.

Can you go back to slide 13, please? Sure. I WAS LOOKING AT THE ENGINEERING PUBLIC WORKS CONSULTANT REVIEWS AND ANALYSIS FOR TRAFFIC IMPACT. VMT, VEHICLE MILES TRAVELED?

YEP.

THAT'S NOT EVEN A FEE YET, I THOUGHT. IS THAT SOMETHING THAT THEY WERE CONSIDERING?

I'LL HAVE TO DEFER TO ENGINEERING FOR THAT ONE.

I think I can answer that, Mayor Pro Tem. That's going to be an analysis that's required. It's not a separate fee yet, but we do have to analyze for it, and so we get a report that we have to send to a consultant to look at.

Okay, got it. All right, thank you.

It's listed as a deposit in there. What's that? It's listed as a deposit-based fee in there, so it's not an actual fee, but just deposit that they pay.

Okay, thank you. So unused amounts from the deposit.

I just caught my eye, and I was like, wait a minute. Okay, thank you.

OKAY. OTHER QUESTIONS?

YEAH, I'M GOOD.

SO SOME OF THEM ARE NOT GETTING 100%. FOR COVERAGE, RIGHT? YEAH, FOR COVERAGE. I WAS CURIOUS IF WE HAVE, ESPECIALLY LIKE ON PAGE 115, for the permit processing, we're not getting 100% of the fee. And then, THERE'S JUST A LOT OF THEM. YEAH. AND IS THERE A REASON? IS THERE A MANDATE?

THERE ARE SOME REASONS WHY A FEE MAY NOT BE RECOVERING THE FULL AMOUNT. ONE IS THE STATE MAY LIMIT THE AMOUNT THAT YOU CAN PAY FOR A PARTICULAR FEE. SO IN THIS CASE, IN PUBLIC WORKS OR ENGINEERING, YOU MIGHT HAVE OVERSIZED VEHICLE PERMITS. THOSE ARE LIMITED BY THE STATE TO $16 PER DAY, AND I BELIEVE $90 FOR THE OTHER CERTAIN LONGER PERIOD.

Speak to that one.

There may be other fees like appeal fees in planning where you're not recovering the full amount there. And that usually is done on purpose. And the reason being is sometimes an appeal can cost the city multiple thousands of dollars, you know, $5,000, depending on. CITY ATTORNEY TIME AND ALL THESE THINGS. AND THEN ALSO STAFF MAY, IN TERMS OF HOURS, STAFF MAY HAVE TO PUT IN COUNTLESS HOURS TO REVIEW AND APPEAL. SO SOMETIMES CITIES WILL, TO MAKE THE FEE NOT SO COST-PROHIBITIVE, YOU STILL WANT PEOPLE TO BE ABLE TO APPEAL CERTAIN FEE, YOU KNOW, THEIR PLANNING COMMISSION DECISION OR CITY COUNCIL DECISION OR DEPARTMENT DECISION, SO YOU MAY COLLECT A LESSER AMOUNT THAN THE FULL COST RECOVERY TO MAKE IT NOT TOO COST PROHIBITIVE, BUT TO STILL RECOVER A PORTION OF THE TOTAL COST THERE. SO THERE ARE CERTAIN SITUATIONS WHERE YOU MAY RECOVER LESS THAN THE FULL COST, AND THAT'S AT THE DISCRETION OF DEPARTMENTS OR BASED ON CITY POLICY.

OK. DID EVERYBODY GET THE UPDATED STAFF REPORTS THAT CAME IN AT 530? I DIDN'T EITHER. I'M LOOKING AT IT NOW. BUT I DO, DO YOU HAVE QUESTIONS? BECAUSE I HAVE SOME SPECIFIC.

I WAS JUST GOING TO COMMENT THAT I SAW A LOT OF MASS ERRORS ON THIS. And I don't know what formula or how you input this, but there were a lot of mistakes on the dollar amounts, and I couldn't figure out.

Most of those are going to be off by a dollar, and really that's based on rounding. So we have a, you know, a calculated amount that's out multiple decimal places. For purposes of that report, the before and after illustration, we tried to simplify and not include the pennies. So sometimes you'll see a lot of these fees might be off by a dollar on that particular report. NORMALLY THAT DOESN'T HAPPEN. AS IT WAS POINTED OUT, I WAS REVIEWING IT EARLIER TODAY, SO I PREPARED AN UPDATED VERSION TO ELIMINATE THAT AND MAKE IT MATCH. SO I BASICALLY FORCED THE MATCH, YOU KNOW, WHERE IT DIDN'T. SO A LOT OF THEM MIGHT BE OFF BY $1 HERE AND THERE. So in the updated staff report, in the fee study report for that before and after, or actually I believe that's attachment two to the staff report, that's been updated to eliminate those rounding errors. So the numbers were correct in a way. It's just that, you know, the rounding sometimes made that final change number off by a dollar here and there.

Thank you.

No problem.

Okay. Do you have any other questions?

No, I do, but go ahead. You wanted to ask?

I just had a couple, and I don't know if you can answer these or whether Tiffany can answer these, but one of them is the fee for advertising billboards, and if we are taking down all the billboards, why do we have the fee for advertising on billboards? Is this going to be on the digital or

Yeah, there were several departments that collaborated on this.

Oh, for business license, okay.

So, as I understand it then, so billboards are going to be not

WE'RE SYSTEMATICALLY GOING TO TAKE THEM ALL DOWN IN TOWN AND PUT UP DIGITAL BILLBOARDS.

SO THE ONLY TIME FEES ON THE SCHEDULE IN ANY OF THESE PAGES WOULD BE CHARGED IS IF THAT PARTICULAR SERVICE IS DONE. SO BASICALLY, IF, LET'S SAY, ADVERTISING BILLBOARDS ARE NEVER USED, THE CITY WOULD NEVER CHARGE THE FEE. OKAY. AND MOVING FORWARD, IF THAT'S SOMETHING THAT'S GOING TO BE ELIMINATED, WE'LL WORK WITH STAFF AND ASK THEM, YOU KNOW, IS THAT SOMETHING YOU WANT TO JUST OUTRIGHT REMOVE FROM THE SCHEDULE? AND IN A FUTURE YEAR, MOST LIKELY THAT WOULD BE THE CASE.

Okay. And my others are kind of comments. One was this on the street banners and things. Do we ever charge anybody for putting a banner across the street?

We are supposed to, unless it's a nonprofit that's been approved for zero. And I don't know that I can think of any that have come in that have not been a nonprofit, but we have the fee there in case that happens.

Just in case. Okay. That is good. The other two that I had an issue just with the fact that they're on there and the prices or cost associated. One was the accessibility ramps. And that was on page 45. Usually, accessibility ramps are senior citizens who are on fixed incomes and cannot afford a $200 to $300 charge for a permit and then have to pay for inspections after that. So I have an issue with that. That's my personal issue. The other one is flagpoles. We're charging an astronomical amount for somebody to put a flagpole in their yard. And I think that's un-American. Again, my personal opinion. I agree. And since we got this late this afternoon with changes, and I'm assuming it's the corrections that were just talked about with the rounding of everything. And I do not feel comfortable approving anything that I haven't seen in its final form.

Yes, I agree. I have a couple more comments too, but the whole agenda changed, so now I can't find them. I have notes, but if I want to point it out and say page 45, whatever, it's different now.

So would there be any issue with opening the public hearing and continuing it to the next meeting?

If the council wanted there to be additional time, I would recommend you open the public hearing, take any public testimony that's here today, and then continue the public hearing, leaving it open to the next meeting to allow responses and changes to occur.

But you have another question. Let's ask our questions here at this point, and if it's not in the correction that went out, then we can clarify those now.

I just want to know where this projected $380,000 is coming from and who's paying for it, who pays the largest share, and if it's going to keep us competitive with surrounding cities raising these prices.

Gotcha.

In terms of the fiscal impact, let me pull up the... We're going to continue this anyways.

You can have that information for me next time.

Yeah, essentially it's going to be... COST RECOVERY BY DEPARTMENT, WE CALCULATED AS PART OF THE STUDY. SO FOR INSTANCE, I THINK PUBLIC WORKS RIGHT NOW OR ENGINEERING, THEY'RE CURRENTLY RECOVERING ABOUT 60% OF THEIR COSTS. AND I BELIEVE THEIR REVENUE IS SOMEWHERE IN THE NEIGHBORHOOD OF ABOUT $700,000. while expenditures are about $1.2 million. So by recalibrating the fees, we work to close that gap of city subsidy there where you're recovering about 60% of your total cost.

I would just like a breakdown, though, to see if it's covering commercial property, homes, ramps, like you said, anything that affects any disabled people.

It would be more broad in nature, the fiscal impact calculation that we do. So we would do it by department rather than on a fee by fee basis. In the fee study, though, there are these cost of service worksheets where we include service time estimates, fully burdened hourly rates, the overall cost of service, what you're currently recovering based off of your current fees, and then what the fees, if adopted, would be recovering compared to that cost of service. In most cases, for development-related fees, we are attempting to move most of those to 100 percent cost recovery, where they might have been less than that. In terms of the building costs, I believe you guys were nearly at 100 percent cost recovery. I think the analysis showed that for building, building was recovering approximately 98 to 99% of its costs. So building was in a very healthy state coming into the study with recurrences. So there are very minor adjustments for building. For a department like planning and engineering, I believe their cost recoveries were well below 100. So we'll see larger adjustments for those departments.

Thank you.

Okay, can you move the microphone closer to when you're speaking?

I also have another, you have another question, so do I. I do. Okay, so. On page 209, I don't know where it is in the new thing, but it is for public works. Night work, excess inspection, stop work notices, they're not at 100%. And if we have staff that have to go out, they're going to go out for four hours, get paid four hours for a minimum. And . YOU KNOW, USUALLY THAT'S GOING TO BE SOMETHING THAT IS MORE ON THE VETERANS SIDE. SO HOW COME WE'RE NOT?

I AGREE. AND THAT'S ACTUALLY SOMETHING WE'RE LOOKING AT WITH PUBLIC WORKS RIGHT NOW, JUST TO MAKE SURE IT'S CORRECT. AND IT WOULD BE ADDRESSED IN THE UPDATES THAT HAPPEN AS A RESULT OF CONTINUING THE MEETING. BUT I WILL SAY THAT THE COST OF SERVICE THAT WE CALCULATED WAS BASED ON TOTAL HOURS BY STAFF THAT WAS PROVIDED TO US, YOU KNOW, BY STAFF ACCORDING TO WHAT THEY THINK IS REASONABLE FOR THAT. AND WHEN WE HAVE THEM ESTIMATE THAT TIME, WE TELL THEM 6 OUT OF 10 TIMES WHAT ARE YOU LIKELY TO SEE. SO THE TOTAL COST OF SERVICE THAT WAS CALCULATED THERE, AND I THINK IT WAS ABOUT $2,400, IS BASED ON A TOTAL OF 11 HOURS OVER TWO POSITIONS. for staff there. So as far as the minimum hours there, we're calculating the cost at about 11 total hours, including two separate positions. But we will be looking at the proposed fees for those to just ensure that we're...

And could we, the last one is, could we or would it be more appropriate for gas stations in the business license portion to have one with liquor and one without? I know for a fact that there are more calls for service. There's all kinds of things that happen for a liquor versus a non-liquor.

So business licenses are a slightly different subject in terms of these fees. So as far as user and regulatory fees, business licenses are almost considered like taxes and are a little bit different animal. We do include them in the study, but the city would review those and set those under different processes. So they're more included in the study by reference here.

Okay. Thank you. Jackie?

So, if I have a couple specific questions on why something went up so much, would I ask the department, or do you?

I can try to answer. If I don't know the specifics of the fee, I might rely on staff to answer.

Okay. Can I do that offline, then?

Yeah, you can send them directly to me, and then I'll work with Dave and the departments.

Okay, thank you.

Okay.

My last question is basically have to do with fire, and there's a lot of red lines in here as to fees we've never had before. Now, are they imposed by legislature, or are they just something we've never considered, especially in fire prevention?

I think it's more the latter, where you haven't included them before, and your current... Is fire here? Okay, gotcha. Maybe you can speak to those. They did have a lot of restructuring of fees.

Right. Yeah, we did, Mayor, and I'd like to work with you and maybe exchange some emails to find exactly what you're looking for and get with staff to clearly answer your questions on that.

Okay.

At the moment, I don't have those answers here tonight. Okay.

Sounds good. Appreciate that, though. Okay. So at this time, I'm going to open the public hearing. City Clerk, are there any registered speakers? All righty. Is there anyone that would like to speak on this item? I see a speaker card coming up. Is that on this item?

Okay, come to the podium, please state your name.

Hi, my name is Charles Vineyard, and as we saw tonight, Noah and the other lady got an award today. And as we heard from the gentleman today, of this money to try to get things done. All I've seen since last year is money being spent on gardening, on restaurants that's never been built, etc. One of you ladies talked about the four hours at night time for workers. City workers are making a lot of money going out and repairing these potholes, and then they just get torn up six months later. It's a waste of money and time. I've talked to Noah last year. My street has been destroyed for 11 years. He even knows it. He blames on the last administration before him. I think personally right now, as we're going into the new year with the fiscal or whatever, I think that we need pay cuts across the board on everybody here. Okay, you want to add taxes to all the people in Hammett, flag poles, road, you want to invest in million-dollar neon light signs and then charge for them? You still have to realize you got to recoup from it, okay? We need to tighten our belts, all of you. And for example, Ms. Peterson, last year or in the beginning of this year, you were talking about taxpayer paying for graffiti on company walls or on businesses' walls. You think we're 50% responsible and we should pay for that? No, they have insurance to cover that, okay? And if you want someone to pay for it, then let's take it out of your pension, okay? We'll just pay it out of your pension. I know you laugh, but you want to take it out of taxpayer money. And we're tired of our streets being destroyed. I'm tired and people are tired of talking to Noah. And he says, yeah, we're going to take care of your streets. And then we go back and again and again and finally he says, well, yeah, then the truth comes out. We're going to take care of it, but it's going to take six, seven years. Six, seven years? That's ridiculous. People's houses are worth less money because our streets are destroyed. Okay? Liz, stop giving away $450,000 to two people to open a restaurant that's never been opened. I don't know if the $1,000 or $100,000 for the gardening ever got taken off or they're doing it or whatever. You realize what you paid for the brick wall and the parking at the Hemet Police Department and Fire Department, that you could have hired three people for 15 years and even a brand new Segway for them to drive around to keep an eye on their cars. Think about it. Tired of you taking money out of our mouth, we need to take it out of your mouth now. Thank you very much and have a beautiful day.

Thank you very much. Are there any other public speakers in favor or against this item? ALREADY. I WILL NOW CLOSE THE PUBLIC HEARING. NO, I NEED TO LEAVE IT OPEN. I'M SORRY. THE PUBLIC HEARING IS STILL OPEN. AND WE WILL CONTINUE THE PUBLIC HEARING UNTIL DATE CERTAIN NEXT MEETING. IS THAT OKAY?

YES. JUNE 9th.

JUNE 8th. OKAY. WE WILL CONTINUE UNTIL JUNE 8th.

9th.

9th. DON'T WANT TO COME IN MONDAY? OKAY. TO JUNE 9th. ALL RIGHT. THANK YOU VERY MUCH. With that, do we need to vote on that?

Mayor, you can order it, and as long as the council doesn't override you, it's fine. But if you'd like to have a vote in the record, you can do that too.

Looks like everybody agreed to that. Okay, we'll now move on to our next public hearing, 14B, and can we get a presentation from staff on this item?

Tonight we are going to have a public hearing for our development impact fees, which are also commonly known as our DIF. I'm going to go ahead and do a few tidbits of information, and then I will hand it off to our consultant, Gregory Brown, who is with Revenue Cost Specialists. So the purpose of this presentation tonight is to provide background to the city's development impact fee program, explain the purpose and the use behind each fees, introduce the consultant, and then conduct a public hearing, and then followed up by adopting the DIF fees. So the city's DIF background was formally established in 2001. And the last city update for fees was in 2006. So for over 20 years, we have had an old antiquated methodology. So it's changed along the way, along with the growth that the city has realized that hasn't supported the antiquated rate structure. So the purpose of the DIF is to fund public facilities infrastructure needed to serve new growth and development within the community. It also maintains existing levels of service as development occurs and ensures new development pays for its proportional share of infrastructure cost, reduce the financial burden on existing residents and businesses, and provide a legal, defensible, and transparent funding framework for future growth. The different framework categories you can see there on the board. Let me see here. For law enforcement facilities, they would fund items such as police stations, vehicles, equipment. Fire facilities would fund fire stations, apparatuses, vehicles, equipment and protective gear to maintain emergency response capabilities. Bridges, street and traffic funds the roadway capacity environments, traffic signals, bridges and related circulation infrastructure. The water system facilities is a new fee. This will go towards system improvements, storage, distribution facilities necessary to ensure adequate water supply for new growth. The wastewater system facilities fee is also new. This one will go for the collection and conveyance improvements necessary to support the new development. Flood control goes towards storm drain lines, channels, inlets, and other flood control improvements. General facilities is for administrative and governmental buildings used to carry out citywide function. Public meeting facilities is community centers and other public meeting facilities. While the public meeting facilities was discontinued in 2007, there is an existing fund balance in that fund that is available for eligible projects. The library facilities is for the expansion, improvement and equipment to provide adequate educational and informational services. Park development is for the acquisition and improvement of the neighborhood and community parks. There is a new fee of open space that is land only acquisitions for recreation access and connectivity. The Valleywide Parks is a continued participation in regional park facilities provided in the coordination with Valleywide Recreation and Park District. The fees as presented in the 2026 DIF study represent the maximum legal justified amount supported by the nexus analysis. The city retains full discretion to adopt the fees at or below these amounts based on policy considerations, economic conditions, and community priorities. And the program applies to new residential and non-residential development within the city. So it's only on new developments. The application is the new structure of fees are in compliance with the Mitigation Fee Act and AB602. Residential is going to be now by square foot where it was previously by, I think it was flat fee. Non-residential is also by square footage and then commercial lodging is by per room. So that's kind of the change in the fee structure that has brought it up to date. And with that, I will introduce Gregory Brown with Revenue Cost Specialist, and he is gonna walk you through the whole cost analysis.

Good evening, Mayor and members of the Council. As Tiffany said, my name is Greg Brown. I'm a partner and Vice President at Revenue and Cost Specialists. We're a current California municipal finance consulting firm. We assisted the city in the preparation of the 2026-2027 Development Impact Fee Nexus Study. So tonight I have 14 slides walking through what development impact fees are, how Hemet's proposed fee schedule was calculated, and how it compares to neighboring cities. So I'll keep the presentation focused and leave plenty of time for questions at the end. If you don't mind, I did want to give a thank you to Tiffany Barnett, Jillian Ferris, and Monique Alenaz-Ferret, I'm sorry, I butchered that name. And one other small thing too, just like normally in life, I speak kind of fast, and right now I'm like super nervous. So please pair with me. I will do the best I can to keep it slow, but council meetings are always a little nerve-wracking for me, so. Okay, so what are development impact fees? It's a one-time charge to new development, not existing residents, not existing businesses. More or less, growth creates demand. So every new home and business adds people and activity, which means more demand for roads, parks, fire stations, and police. This infrastructure costs money. So to maintain Hemet's quality of life as the city grows, new facilities and improvements must be built. Those are real costs. The intention behind the Mitigation Fee Act in AB 602 is that new development pays its fair share for the demand it creates on the existing system. So DIFs ensure new residents and businesses contribute their proportionate share fairly, calculated, legally required, as a one-time fee only. So what types of things can DIFs fund? Well, you can't do salaries, operations, or maintenance, but they can fund police stations, fire apparatus, fire stations, roads and bridges, better signals for traffic control, flood control and storm drainage, parks and open spaces, things like capacity-increasing equipment for parks. So, again, they're all capital improvement types of items that are going to try and mitigate the demand created by new development. So as Tiffany pointed out, it's been about 20 years since the fees got updated. Legally speaking, that's actually fine. Per AB 602, though, the fees will not have to be updated every eight years. But just to kind of give it context, though, we have here the California construction cost index. And over 20 years, it's gone up by about 120%. If we're doing a comparison, kind of an apples to apples comparison for the seven current programs that we're carrying forward right now over 20 years, it's only going to be a 25% increase. So there may be some sticker shock when we're seeing the per dwelling unit cost on this. But again, when we're comparing it to the actual construction cost inflation that we're seeing here across the state, it is kind of a fraction of that. So what are the actual fees we're talking about? As Tiffany pointed out, we now have to do the fees based on a per square foot, that's per AB602, and that became effective 2022. So here we have all the fees in a per square foot per infrastructure. But honestly, it's kind of a lot of numbers to look at. So what we did, and this was actually per staff's recommendation, which is really good, we took the average dwelling unit size, and then we took one of the infrastructure fees right here. So we have fire facilities at 1.16 per square foot. We take that, we multiply it by the average residential unit size for a single family residential in Hemet. That's 2,304 square feet, and this is a simple calculation. then we have $2,666 per home. And so that means that I don't have to do mental math while I'm up here and neither do you. So the proposed fees for residential, we have kind of a nice spread. Oh geez, sorry. We have kind of a nice spread here for residential size. So we're ranging anywhere from 1,600 square feet to 2,300 square feet for a single-family home. And you can see at the bottom, you know, it's ranging from 11,791 to 16,980. We have multi-family residential over here on the right-hand side. And 926 is the average residential unit size, 12,000, and a mobile home here at 9,126. There are differences in how we allocate everything. There's differences in our methodology. But for the most part, though, non-residential has traditionally always been per square feet anyway because it's just the easiest way to do the calculation. What is useful, though, is that we have some examples here of, you know, how much would a 10,000 square foot retail actually pay? How much would the developer pay? how much would a hundred room hotel cost? And industrial here and institutional. So I think it's really helpful to be able to see real world examples. What is the actual check that the developer is gonna have to write to cover these? Here we have the current and proposed fees. You know, as we talked about before, you know, we have an increase from the construction, California construction cost index of like 125%, which is pretty big. What is interesting, though, is you'll notice in the red on the right-hand side, for bridges, streets, and traffic, and for general government, we actually have a decrease in the fees. That decrease you're seeing is a result of the change in legal landscape. Over 20 years, obviously things would change. Things like AB 602, Sheets v. El Dorado, and more recently, the City of Paterson case. These changed the legal landscape for how we can allocate between new and existing development for these. Quite simply, we have to be much more conservative on this, and probably rightfully so. What we saw in the 2006 study for bridges, streets, and traffic is they allocated 100% of the street projects over to new development. I don't think it's defensible nowadays to be able to write a fee that way. The same thing was kind of done for general government where they took the replacement value of the city hall and they allocated 80% over to new development. Again, I don't think legally speaking we can do that nowadays. That doesn't mean you couldn't do it in 2006, it just means that the legal landscape has evolved. So what does the developer actually pay? I think this is actually a really, really useful chart because when it comes down to it, even though you may have different fees in Beaumont, you may have different ways the fees are calculated in Moreno Valley, and you may have different infrastructures in Menifee. At the end of the day, though, no matter how those fees are calculated, what actually matters to a developer is the check they're writing. And that's the bottom line. I'm a small business owner myself. I get it. But also, though, it has to be on the side of the city. What's fair? You know, do we want to have infrastructure fall behind as the demands of development increase? And so here we have a real nice comparison here between the different cities. So Hemet's actually, and again, I'm speaking as a consultant who's worked in cities all over California, from the Bay Area to the high desert and everywhere else. I actually really like this chart a lot, because Hemet is right exactly where I think it should sit in regards to the infrastructure of the city, the population, and where the city is. You're significantly below Beaumont. You're a little bit above Marietta. Menifee is significantly below that, and Reno Valley is just slightly under there. And again, what you're seeing on that gold line there is the maximum justifiable fees. We're not talking about the appropriate fees. Council has the discretion to set those fees below whatever the maximum ceiling is. So again, even on this chart right here where Hemet sits is at the maximum amount of the fees. So again, we're going back to what's the bottom line though for the developer. The fees that we're talking about today, 16,980 for single-family residential, those are the maximum fees. But in between there, though, we also need to consider the regional and other fees, things like TEMF, Transportation Uniform Mitigation Fee. That's 15,470 right there. That's almost the complete fees for the impact fees, for all of them. We have the multiple species habitat conservation at 4,486 and the school developer fees, which aren't even decided, they're decided by the district themselves. And those are 11,912. If you have that single family residential sitting within the city service area for water and wastewater, you tack on an extra 957. Out the door for single family residential at 2,300 square feet, we're looking about $50,000 out the door. Again, maximum justified level. So where does that sit in context? Sorry, I do need to apologize real quick. I found a typo when I was going over this in the car today. It actually should be share of total development cost, not construction cost. The difference on that is that the construction cost would just simply be just that. How much does it take to build a house? In this particular case, we're also factoring in land cost as well as construction overhead. So my apologies about that. I only caught it about 5.30 this afternoon. But regardless, though, I think that it still stands for what it's trying to prove here, which is that on the high end, at $530,000, that's how much a new home would cost in Hemet, more or less, and at the high end of the fees, the maximum justifiable amount, it's only about 3.2% of the construction cost. Now, of course, if we're going to be fair about everything and look at the bottom line again, it's $50,000, you know, at the end of the day for that developer. But, I mean, you know, for the dump and for the school fees, like, you know, the city can't really control those as far as I know. So you're still looking at 10%. This does need to be factored in when you're weighing out what the appropriate amount of the fees are. And so I think it's still relevant in this presentation. Okay. Real quick, too, I wanted to point out the difference between the Quimby Act and the AB 1600 parkland fee. The Quimby Act is really interesting. It only gets triggered under very specific circumstances. So when a developer splits land to create new lots, then the Quimby Act gets triggered. There are two things about this that are unique from any AB 1600 fee. Number one, the developer can dedicate land as opposed to just paying a fee. The development impact fees, just fees. The second one, and this is really interesting, is that the Quimby Act has a very specific trigger, but you can also use the money for those to rehabilitate parks. There is nothing in AB 1600 that says anything about rehabilitation, replacement, or anything along those lines. And so I did want to kind of point out the difference on those two. The Quimby Act, I don't see it happening a whole lot in cities, even despite the increase of residential. But I did want to be clear about the difference on those. So... At the end of the day, I think the most important thing that I can present here is simply this. It took quite some effort to be able to update the fees. Again, you have 20 years. Hemet's a pretty complicated city. It's a really unique city, too. From what I've seen here, the potential for growth is really strong. And so it was kind of an exciting project for me. But again, all that time, all that work put into it, I think the more difficult decision is not what the maximum justified fees could be, but what the appropriate amount is. And any city I've ever worked in, from 3,000 people to 400,000 people, it's not an easy question. You have to weigh out, do we want to encourage development? Well, then you may phase in the fees, you may adopt the fees at a percentage. But at the same time, though, you have to weigh that out. Do we want the existing level of service to drop for existing residents? And if so, then who pays that? It's not an easy question. And frankly, it's not a question that I can answer. If I even tried to advise that, I think it'd be really arrogant, and my firm certainly wouldn't be happy about that at all. What I can do, though, is provide as much information to the council, though, to help them make an informed decision on this. One final thing, I did not include the housing linkage fee in this presentation because it's not a infrastructure-based development impact fee. However, though, I can do an overview if the council would like, as well as answer any detailed questions regarding this. So I'm here for any questions that council would have.

Thank you very much for the presentation. Questions from council? OKAY, JOE.

CAN YOU GO BACK TO THE VIEW OF ALL THE CITIES AND WHAT THEIR COSTS WERE?

YES, SIR.

OKAY.

YOU KNOW, WE HAD WR COG HERE LAST YEAR TALKING ABOUT RAISING THE TUMP FEES, AND IT GOT VOTED IN. I DON'T THINK I VOTED FOR IT. LIKE THE GENTLEMAN TALKED BEFORE, YOU KNOW, IT'S JUST ALL WE DO IS JUST TAX AND FEES, TAX AND FEES. AND I'M ONE AGAINST IT. I LIVE ON AN INCOME JUST FROM MY SOCIAL SECURITY AND WHAT THEY PAY ME HERE. AND RAISING THESE FEES, I KNOW EXISTING HOMES DON'T HAVE TO PAY IT. IT'S NEW BUILDING. BUT YOU BUILD A HOME WHERE IT'S GOING TO COST AN ADDITIONAL $48,000, $50,000 TO BUILD, I mean, it makes it where people can't even afford to buy a home. You have to have three people in the house working in order to buy anything. And all we do is get different organizations coming here. We've got to raise this. We've got to raise that. We've raised ourselves to where a $200,000 home now costs you over $500,000. People can't afford that. I mean, with all the fees added up, it's just ridiculous. And so I don't... I don't even know what to say. Are you talking about raising the maximum of the, what is it, 16,980? That's the max that we can raise it?

Yes, yes, legally speaking. So when it comes down to that, as far as that goes, somebody has to come in and set the ceiling for what the fees could potentially be for that. Does that mean that, you know, I hear what you're saying. You know, I'm living what you're saying. I get it. Should the city raise its fees by $16,000 for a single-family home? I really couldn't answer that. What I will say is this, though. Even if you keep the fees the same, though, I think you're still going to have to adopt the next study, though, to back the fees from a legal standpoint. But you can set the fees at whatever percentage would be appropriate for the city or even not charge the fees. That's completely at discretion of city council.

Other questions?

I guess we'll look at the fact that we have things that we have to create, fire stations, that kind of stuff. Sales tax is flat in every single city of the state.

So... Maybe if we permitted in a faster, with a faster process and got businesses up and running, maybe we could have some tax revenue coming in.

That's not necessarily what the cities are seeing. What you're going to have to find, and that's what the seminar taught us at ICSE, is what the internet cannot provide us, services. You're still going to need to call a plumber. You're still going to need to ask questions on how to do X, Y, and Z. It's the services outside the Internet, unless you tell everybody in the city, I'm going to just stop using Amazon. It's very convenient. And we don't get the tax. I mean, there's all kinds of stuff that doesn't come in. And it's every city. It's not just us. How are we going to pay for the infrastructure improvements to bring all those people into? And I get that it's not at 100%.

Tax the hell out of everyone. That's how we do it.

Oh, come on.

What's your answer then to the opposite? We have to have a bottom line to pay it.

We restructure the government, get people in there that know what they're doing. That's what we do.

Okay, I have a couple questions. On page 348 of the report, and I'm looking at single family residential, it's a comparison of the cities. And it's got City of Hemet 2026 with the total proposed dollars per square foot for single family at $7 or 7, yeah, 7.07, 7.370. Does that then translate to the chart on page 362 which is the all fee components by land loot land use of the city's dif subtotal of sixteen thousand nine hundred and eighty i'm sorry i'm trying to get the page right now you said 362 yes 362. i'm just trying to make mental

Here we go. I see you now.

Comparison here on what's going on.

Okay. I'm sorry. Can you re-ask the question? Because I'm looking at the table now.

Okay. One has the dollars per square foot.

Yes.

With a total of $7.37. Does that translate on a normal-sized house into a $16,980 house?

That's actually going to translate into a 2,304 square foot home, single-family home.

And that goes up to, and it's $16,000, almost $17,000.

Yes, ma'am. That's correct.

Okay. Now, is the maximum allowable, is that... How is that a state mandate ceiling of fees, or how is that justified? How do you determine that?

No. Per infrastructure, we go through per infrastructure, and we determine the current level of service. Then we expand that level of service based off of the increase for the land use database, and then also density based off of the census. And so we determine it that way based on the infrastructure needed to maintain the current level of service.

Okay, and it then would be a different rate for each city?

That is correct, ma'am.

Okay. I've just got to get all these things straight in my head. And actually, the city attorney wanted to ask you a question.

Yes, ma'am.

You offered to answer technical questions. Sir. So I decided to give you one. For the bridges, streets, and traffic fee, one of the biggest conversations that we've had in the community is the difference in impacts between regular commuter traffic versus heavy truck traffic. And so I saw that for industrial uses, the proposed maximum fee was $1.22 per square foot. Compare that to retail commercial of $3.28 per square foot. That's correct. Were you using VMTs as the basis for that calculation or did you consider equivalent single access?

No, actually this question comes up a lot as far as the heavy trucking goes. And so what I use for this one is I use a combination of the transportation of engineers, tripends, but that's only going to calculate though how many times a vehicle comes and leaves any type of land use. And then I use a sand deck then to determine how many actual miles are gonna occur within the city. And then from there I calculate the pass by versus diversion trips and then do it that way. I've had multiple conversations with different cities as far as how to run some sort of calculation for the heavy trucks. I know it's an issue for the streets, but thus far though I have not included that in there though because I cannot find any empirical data though to be able to tie that to there even though I know that it has an impact on it. But I have to tie it to something though that can be measured.

Gotcha. So the research I had seen, and perhaps I'll share it with staff, unless, of course, the council approves this tonight, which it's a moot point. But I had seen equivalent single axle loads as a research-based way to differentiate the qualitative impact between the heavy trucks and the commuter cars. especially because right now we're going through a state-mandated process to designate the truck routes. And so we do have to make sure that those routes in particular are engineered appropriately for the expected level of use. And so... Anyway, we'll see how the public hearing goes, but if it does get continued, I'll send you the data, and maybe it's something we can look at.

Yeah, I'd definitely be interested in it, not just for this city, but a lot of other cities have the exact same issue. It's just that even though I know, and I see it in my own city, in Long Beach, because it's a port city, I see it every single day, being able to see it, seeing the impact from it, is different than being able to put it into a nexus study that's legally defensible.

Understood. And I know that, you know, we've had the conversation with our community. You know, a truck trip is not the same as a car trip. We have other environmental impacts that we study, noise, air quality, things like that. But when it comes specifically to the infrastructure that is needed and the wear and tear on the existing that could be properly attributed via the nexus, those are the kind of things that I'll send you the data on and maybe, you know, if it doesn't help us, maybe it'll help the next time.

If you could do that, that would be amazing, actually. My firm would be very grateful.

Thank you.

Okay. I have one more question. Yes, ma'am. Now on page 357, there is a table is Q1, residential fee comparison, current versus proposed.

Yes, I'm there.

Okay, the proposed total down at the bottom is 10,803.

Oh, let's see here. Oh, I think I see why. There is a slight difference in the, yeah, I do see that.

Then on page 362, 16980. 362, hold on. And maybe I'm comparing apples to oranges, but I'd like to have that clarified.

Yes, give me one second here. oh yeah i do see that one i think on one of these ones it was because um we had uh what's it called um i think wastewater and water were pulled out of those ones um because um there's different districts across the uh across the city um and so um i think we pulled those ones out on that one and then when i did the actual um the actual powerpoint then i included them in there for that one i believe that's what the difference is

Okay. Well, based on some of the questions and comments that we have up here, I'd like to open the public hearing and continue this one also so that we can just work offline and get some of these things straight, because I'm not straight in my mind exactly what we're doing here tonight, and I'm definitely not going to vote on it. I WILL AT THIS POINT. THANK YOU. THAT'S VERY DETAILED. I READ THE WHOLE THING WITH THE BUILDOUT OF THE STREETS AND THE ROADS IN TOWN, AND THIS IS AN EXTREMELY DETAILED REPORT, AND I WANT TO THANK YOU FOR THAT. AND THEN THE DIFFERENCE ON HOW THINGS WERE CALCULATED AND ARE CALCULATED AND THE DEVELOPER RESPONSIBILITY AND THE CITY'S RESPONSIBILITY, IT'S Absolutely incredible and I thank you for that. A lot of work gone into it.

May I say one thing to you before I leave the dais and there's something to consider before the next Council meeting? The job housing and linkage fee on here right now, I think Council should take a detailed look at Chapter 13 on that. But one thing I want to throw out there is this, and I came across this this weekend when I was prepping for this meeting. The only cities right now that are doing the job linkage fee are all coastal cities. Los Angeles, San Francisco, San Diego. But none of them are enforcing the fee at 100%. That's really unusual. I've gone to three council meetings this year alone. All of them have adopted fees at 100%. It makes sense for those cities, that's fine. But when I came across that, I was actually shocked. The highest one that's being adopted is I think 45% at San Francisco for that. So I do want council to keep in mind that there are some cities that are adopting that fee at 2%. on that. The other thing I want Council to consider too, I think this is very important to understand, is that you would be the first city in the Inland Empire to adopt that fee. I don't know what that means, to be honest, because, you know, I mean, I had this attorney one time, he told me, you know, the pioneers, you know, like the first ones that came out to California, you know, like either one really big or one really bad, you know, and so we just don't know. So I do want to point that out as well too, that I don't know if being first is good or bad, But it's something.

It is something, exactly. Thank you, Gregory. I really appreciate that. So with that, I will open the public hearing. City Clerk, do we have any speakers on this item?

No, we do not.

All righty. I will leave the public hearing open to a date certain of the next council meeting, which is June 9th. All righty. Thank you very much, staff, and I know you've put a lot of work into this, and we will get it done at the next meeting when we all know what we're talking about and we're all on the same page. So moving on, I can turn the page. All righty, we will now go to public comment. City Clerk, are there any registered speakers for non-agenda items?

Yes, ma'am, we do have two speakers. Our first speaker this evening is Roy Martin.

Okay. Go to the podium. Yes, you are up.

Good evening, council members.

Good evening.

My name is Roy Michael and I have lived in Hemet for the past 11 years. Let me teach you a little accounting trick that allows prospective large warehouses to grossly inflate the payroll numbers that they then quote to you. the City Council. Read an article in the Press Enterprise that Skechers, the monstrous warehouse on Route 60 in Moreno Valley, Skechers informed they would no longer need the services of Team One, a very large temp service used by many in the Inland Empire. Team One then laid off 725 temporary employees. I decided to look into how these temp services work Remember the developer that when asked specific questions, I think it was at the library a few months ago, regarding temps versus regular employees stated that he did not want to incriminate himself. You remember that one? That was fun. That was pretty telling, wasn't it? Sketchers declined to comment on the pending article. I'm guessing the following is why. Temp services charge the warehouses 25 to 50% more per temp employee than they pay the temp employees. The temp service does the hiring and training and full payroll for the temps. Basically what the warehouses are doing is shifting normal admin costs like hiring, training, background checks, and cutting 725 payroll checks each week. That the temp service provides this service And the warehouse is reporting to you as payroll. So they're taking all these administrative costs and through a nice little trick using the temp service, they're adding that to the payroll that they're quoting you. All right, look into that, that's a big number. Let's say the temp service is charging the minimum 25%. Let's say they are charging the warehouse $40 an hour, which is a number of those warehouse people throw out a lot. per temp, but paying the temp 25% less equaling 30,000. That is a $10,000 difference. The warehouse gets to report the full 40,000 to the city council as payroll. Now let's take that 10,000 per year that the temps are not getting and multiply that by 725 temps. That's $7,250,000 a year that they're lying to you about. That's not payroll that they're getting. It's like telling the city council they're buying everybody a pizza, and then when they open the pizza up, there's a bunch of pieces missing. Boy, I ran too long, didn't I? Sorry about that. Be back next time. All right, thank you, ladies and gentlemen.

Very good, and thank you for giving us that article. Yeah, that's a big one. Next speaker.

Dr. Stephanie Bruce? I'll run for some lasagna.

Ooh, sounds good.

Thank you.

Good evening, it's that time of the year again. I'm here to speak about the Juneteenth celebration, our third annual, so I'm really excited about that. I see it's on the agenda, we are asking that city council do come out, enjoy their self, and get a chance to speak again. This year we're really excited, we're turning it into a two day event. So day one, of course, will be at Mary Henley Park with a popular one-house band and our DJ Chosen, and then all of our vendors, our Kids Zone, and all of our different activities. Day two will be at Golden Arrow for a free concert in the park. So for both events, we're just asking for families to come bring their pop-ups and come sit and have a family day. Thanks again. And there's a couple of things I did see. I did see on the agenda that I don't know if I can make an adjustment now, Ben, or that's something that we talk about later. Okay, well I just want to request, we did, I saw barricades on there, but generally we just ask for the kids zone to kind of be, not too many ways that kids can exit just for safety, but we're looking for fencing like we got last year for the beer garden. And then we're asking because last year we had quite a great number of handicapped folks, if we could have more than just one of the bathrooms open. All right, thank you so much.

Thank you, Stephanie. All right, any other speakers?

No other registered speakers.

And we will have public comment on agenda items when we get to them. So let's move on to the receiving file. Any questions or comments from Council on the City of Hemet warrant registers periodic payroll payments or the investment reports?

No. This is my cue to talk about the local. Same local vendors look through it all. But what I would encourage is all local vendors that can provide services to the city of Hemet register. So we can use local more. Thank you.

Thank you very much. Any other comments? Okay. If not, that is receive and file. Moving on to the consent calendar. All consent items will be acted upon simultaneously unless an individual council member requests separate consideration. Are there any council members that want to pull an item from the consent calendar?

Yes. Okay. I would like to pull 17B, 17D, and 17E. B as in Baker? Hmm? B?

B, D, and E. B, C as in Charlie, and E as in Edward.

No. E as in Bravo, E as in Delta, E as in Echo.

Okay. Right? Yeah, let's have the military ones there. I make up my own as I go along. All righty. Any other council member want to pull an item?

No, I am good. I WAS GOING TO PULL ONE.

WHICH ONE WAS IT? I'M GOING TO PULL 17G JUST BECAUSE I HAVE A COUPLE COMMENTS ON IT.

OKAY.

OKAY. SO COULD I HAVE A MOTION TO APPROVE CONSENT A, C, F, H,

I'LL MAKE A MOTION TO DO JUST WHAT YOU SAID.

AND I'LL SECOND IT. IS THERE A SECOND?

I'LL SECOND IT.

ALL READY. CITY CLERK, CAN WE HAVE A ROLL CALL, PLEASE? COUNCILMEMBER CLARK? YES.

COUNCILMEMBER LODGE?

YES.

I'M SORRY, COUNCILMEMBER LODGE?

YES.

COUNCILMEMBER PETERSON? I HEARD HIM. YES. MAYOR PRO TEMMALES?

Yes.

Mayor Krupa.

Yes. And did you get Mayor, Councilmember Peterson? Oh, got you. Okay, that passes unanimously. So, the first item that was pulled is B as in Bravo.

Okay, I'd just like to comment that on 17B and 17D, there's a couple of us that need to recuse ourselves from a certain item because we live in that development. So for myself, 17B, I need to recuse myself just for the line item of Heartland. And the same goes for 17D. And I would approve the rest of them.

Okay.

So I believe we have two other council members who have a conflict. I think the best way to do this would be for the council to make a motion to approve those items with the exception of Heartland. That motion can come from Council Member Peterson. And then I believe that Seven Hills for the Mayor Pro Tem. And then I think Council Member Lodge also has one. And Sierra Dawn. is in Sierra Don. And so if your motion is to approve all except Heartland, then my recommendation would be for the Mayor Pro Tem and Council Member Lodge to recuse themselves from the vote on that one, and then they can vote for Heartland without you.

I'll recuse myself. But I do have a question for this also.

OKAY, WHICH ONE DO YOU HAVE A QUESTION ON? ON WHAT WE'RE TALKING ABOUT, THE 17B.

I JUST SEE THAT WE HAVE 48 INDIVIDUAL LANDSCAPE MAINTENANCE DISTRICTS. IS THERE ANY WAY TO COMBINE ANY OF THESE?

THERE ISN'T, UNFORTUNATELY.

OKAY, THAT WAS MY ONLY QUESTION.

OKAY, SO THE ONES AND I NEED TO DISCUSS MYSELF.

SO IT WOULD BE A MOTION FOR 17B AND 17D TO APPROVE ALL OF THEM EXCEPT FOR HEARTLAND. OKAY. AND THE MAYOR PRO TEM AND COUNCILMEMBER LODGE SHOULD RECUSE THEMSELVES FROM THIS BILL.

DO WE HAVE TO LEAVE? DO I HAVE TO LEAVE? PLEASE, I HAVE TO USE THE REST OF YOUR TIME.

YOU CAN IF YOU'D LIKE. BUT IT'S A CONSENT ITEM, SO YOU DON'T HAVE TO LEAVE THE DIAS. YOU CAN IF YOU'D LIKE. OKAY.

I'M GOING TO MAKE THAT MOTION. I WILL MAKE A MOTION TO APPROVE 17B.

TALK SLOW. HE'S LEAVING THE DIAS, AND THEN THEY'LL COME BACK.

I THOUGHT HE DIDN'T HAVE TO LEAVE.

HE WANTED TO.

HE WANTED TO. OKAY.

I MAKE A MOTION TO APPROVE 17B, AND I WILL RECUSE MYSELF FROM LINE ITEM OF HEARTLAND.

THE MOTION I RECOMMEND IS TO APPROVE 17B AND D WITH THE EXCEPTION OF HEARTLAND. YES. AND THEN WE'LL VOTE ON HEARTLAND NEXT.

OKAY, WITH THE EXCEPTION

Okay, we have a motion.

No, I'll do it again. Make a motion to approve 17B and 17D.

With the exclusion of line item Heartland.

With the exception of Heartland.

Exclusion. Exclusion or exclusion?

The mayor wants you to say exclusion.

And what? Exclusion.

She wants you to say excluding Heartland. Excluding. That works. Excluding Heartland. There we go.

Okay. Do we have a second? Okay. I second that. I'll second. Oh.

Council Member Lodge, you're recused.

You're recused because you're in there too.

We'll ignore the second. Okay.

So, yes.

Can I have a roll call vote?

Council Member Clark? Yes.

Yes.

Council Member Peterson? Yes. Mayor Pro Tem Mayles? Mayor Krupa?

Yes. Okay. So now what do we, are we clear on those items because of the recusals?

Right. So that one should have passed three to zero with two recusals. Okay. I said that for the tape. Okay. So now we need a motion to approve B and D, specifically just Heartland. And for this one, Council Member Peterson should recuse herself.

Okay. Okay.

You don't have to leave. You can if you like.

You got to make that motion, Connie. He's on his way.

So that was B and D without...

So it's B and D, just Heartland.

Yes. Okay. So I will do a motion to approve BD... Excluding Heartland.

No, no. Just Heartland.

Just Heartland. Just Heartland. There we go.

We excluded it last time. Now we're doing it. Okay. And you want to second that?

Sure, I'll second. You know, am I in trouble? I could hear you guys in there in the restroom. I forgot I had this on. We're practicing ethical government here. It's just more steps than we'd like.

Okay, so we have a motion and a second on B and D exclusively. OF HEARTLAND, WITH COUNCILMEMBER PETERSON RECUSING HERSELF. OKAY.

ROLE CALL. COUNCILMEMBER CLARK. YES. COUNCILMEMBER LODGE.

YES.

MAYOR PROTENMALE.

YES.

MAYOR COOPER.

YES.

OKAY. NOW WE, SOMEBODY PULLED 17E. OKAY. THAT'S AN ECHO. This does not stay online for me to do my work.

Okay, I was looking for one grammar change and I can't find it right now. But I will point it out later before it gets reprinted. On page four for the resolution, there's no mention of the cost of this for $22,227.58. So I think that should be part of the resolution, the cost of it. So I would like that added.

Probably be very important.

And then I have one more question, maybe for Chief Phillips. Okay, so when I was reading this, the first time I went through it on the staff report for page two, it says CAL FIRE agrees to and then the City of Hammett agrees to. So this is kind of like an insurance policy where we will not have to pay CAL FIRE because this $22,000 will take care of that, correct?

Yeah, this agreement functionally, it actually functions as an insurance policy, but in their language, the documents are reimbursement related, but the reimbursement is the upfront cost of the $22,000 for that 417 acres of coverage. So our entire bill for this policy, this WPA agreement is the 22,000 for the 417 acres around Tres Cerritos. That's the totality of it.

Okay, that's what interim city manager and myself, we were talking about that. We thought that's probably what it was, but it's a little confusing because it says City of Hemet agrees to reimburse CAL FIRE for services based on the agreed per acre rate. I guess that's just their terminology, but I wouldn't have used that.

I actually agree with you, and I did make two phone calls to CAL FIRE this afternoon to clarify that, and that's the language I got from them.

OKAY, GOOD. THANK YOU.

YOU'RE WELCOME. I HAVE A QUESTION, IF YOU DON'T MIND.

CAN I ASK A QUESTION? YOU CERTAINLY MAY.

OKAY. I'M LOOKING AT THIS. THIS IS A GOOD DEAL. THIS IS REALLY GREAT BECAUSE IN 2025 OF LAST YEAR, WE HAD A FIRE, THE MYERS FIRE THAT COST US 219,503. NOW, WHY DIDN'T WE HAVE THE SAME INSURANCE RATE ON THAT AREA? Do we have any other areas that we can apply this WPA insurance for any other areas within the Hemet area where we can pay this amount or less or more and then not have to deal with a $200,000 bill at the end?

Yeah, great question. Number one, there are some other areas that we're talking with them about. We had a number of, a variety of areas involved in the initial planning for the one we're talking about tonight. However, a few of those were left off the list for various reasons. And as a result of the fire at Four Seasons the other night, I've been engaged with Chief Fish in Riverside County and his subordinates, division chiefs over there, to open dialogue again to look at some areas, Park Hill, some more areas around Tres Cerritos, Four Seasons, McSweeney. There's some other smaller areas that I would like to mingle together and bring another agreement, whether it's an addendum to this one or a separate agreement. We raced to get this one in place before the fiscal year because there are front end issues that Cal Fire deals with to prepare it. And then there's our end, which is tonight. And then there's the backside of it where they have to go to Sacramento and do some more work. We probably engaging in another agreement. We won't hit the July one. but I had a conversation with the city manager earlier today, and my recommendation was even if we come to a July meeting with it and only get 11 months out of it, that's still well worth it. I mean, $22,000 for 417 acres is, and that's all of their assets brought to bear on an incident that would happen in that trace service area.

Now, one more question. Can we apply like we've been doing with creating districts to where they would pay for it, not the city? What do they call those districts?

CFDs.

Huh?

Community Facility Districts.

Yeah.

There's nobody living there, though.

Oh, nobody at all?

And it would require the property owner to vote to tax themselves for that purpose.

Okay. All right. Thank you. Thank you, sir. Okay, you're welcome.

Okay. It's not as important as the resolution, but I did find the other paragraph that was not written correctly. So, the bottom of page one of the staff report, the first line of that paragraph needs a little work. Okay. A little clarification, okay?

Thank you. You're welcome. Okay. Do I have a motion to approve item 17, echo?

I WILL MAKE A MOTION TO APPROVE ITEM 17E WITH THE ADDITION OF $22,227.58 WRITTEN INTO THE RESOLUTION. I SECOND. I SECOND THAT.

WELL, OKAY.

WE HAVE A MOTION IN THREE SECONDS. CAN I HAVE A ROLL CALL VOTE, PLEASE?

COUNCIL MEMBER CLARK?

YES.

Yes. Yes. Yes.

Yes. And just as an aside, I just got a notice that all evacuation orders related to the Garden Grove hazardous materials incident have been lifted per OC Fire Authority.

So that is good news. Very good.

Okay, moving on to 17G. I pulled that. And the only reason I pulled that was to ask that the city manager send us information on the number of the dollar amount of these charges that we have waived for the prior year and maybe for the coming year. And it's just information only for staff or for council. And I believe we got that email earlier today.

I did send it to you, Mayor.

Okay. So we've received that information. I just thought it was very good information that we all have so that we have it on our heads on exactly what we're doing dollar-wise, especially when we're coming into budget season. But thank you for getting up there, Ben.

I'm ready to go when you're ready. Thank you, Council.

Okay. Tom, did you have a question?

Yeah. What was that dollar amount? I did not get the e-mail.

The email, Noah will send you the email with the costs that we've had for all of the events that we have waived the fees on. Perfect. All right.

Thank you very much.

You are welcome. And with that, I will make a motion to approve item 17G.

I will second it.

We have a motion and a second. Please do a roll call.

Council Member Clark?

Yes.

Council Member Lodge?

Yes.

Council Member Peterson? Yes. Mayor Pro Tem Mayles?

yes yes okay we are now moving on to discussion items discussion action item can we have a report from staff on discussion item 18a mr sandoval

mayor vice mayor city council city manager good evening have a little raspy voice this evening so i may sound not my usual self but i attribute it to our great success that we had last week at icsc las vegas what a great show it was and we look forward to really talk about digital billboards i mean this is really spawned off from icsc and it's been A long time coming, and I'm really excited to share what it's going to bring to the city. The at no cost to the city ain't going to cost the city a single penny, but it's going to bring in revenue. And that's key, and I want to cover that as we go through the PowerPoint along with some of the proposed sites. some of the sites are going to be taken down and how do we, and how we got there. In addition, we do have a representative from Lamar as well. Brian, joining us from all the way from Riverside County. Brian, thank you for joining us this evening. I know it wasn't a close by, but thank you for that. So just getting straight to the point here, the strategic planning. I try to update this, but after, and I was told by IT to kind of step back a little bit because I tend to talk really close on it. This is pretty good right now. Great. I'm going to keep it here because I was told by Gus Ben, don't go too close. So of these five, we have these five strategic points. It's really covering all five, and I can get into why that is. But really, the purpose is going to really give you what are we trying to do here? We mentioned deficits. We're going to be boosting our municipal tax revenue, and I'll get into how the city is going to be getting that. Driving regional tourism. With digital signs, we'll be able to change those signs every six seconds. Right now we do have static billboards, so if you have advertising you don't like, you're gonna look at it for the next three to six months, probably even a year. Instant emergency broadcasting. We saw that last week when we had an emergency here. Great job to CAL FIRE and our city of Hemet being on deck. But if there was a big emergency, we need to be ready. And through these digital billboards, precise locations we will be able to broadcast emergency broadcast as we see fit as long as a public service announcement as long as we give lamar at least a week in advance we will be able to promote the drone shows car shows whatever we have going on one big thing is supporting small businesses They may not be able to afford a six-second ad. They might not even afford any ads a year because they have no ad revenue. Well, with some of the ad space that we'd be able to get on a monthly basis through Lamar, through the city, we can work with small businesses in helping them out, promote the next thing that they have going on. One of the big things that we hear from our constituents is Blythe. Blythe, Blythe, what is the city doing? So we are not leaving no rocks unturned. We're thinking of everything possible, even when it comes to static billboards. We drive, like I mentioned earlier, you may or may not be opposed to certain sectors, but I know some of our constituents will like to see a refresh thing going on every six seconds. I'm going to go into some of the concerns may be, hey, is it going to be safe? Are we going to be able to see off if I'm driving? Am I going to get it confused? Rest assured, the current technology is not going to affect any household. You have to be looking at it directly, straight to it to be able to see the message. If you're looking at it on the side, these technologies these days is not going to bring in or illuminate any lights to any residents. More importantly, the locations that are going to be placed in, it's not going to be interfering anybody's sleep time, should I say, anytime soon. How do we get here to begin with? Because of you. Hemet rises. You approve a strategic award-winning Caled plan, and it was one of the 26 items in there. How do we reduce Blythe? Now, I am aware that this is the picture of our formal logo, but if you stay tuned to the very end, I'm really excited to show you what we came up. So I just wanted to show you, though, that this was the picture you used. when we brought this forth for the Hemet Rises. That was one of 26 things or so. And I won't go into the specific timeline, but I wanted to kind of just briefly go over this so everyone understands how did the city of Hemet get here? How did it even start? Well, it started in 2024 with our current mayor and another ad hoc member joining the, I'm sorry, not an ad hoc, just council member, meeting with Lamar. What does it look like? How do we get to 2026? Having come from L.A. County, if you drive down the 5 Freeway, you have the Citadel. You would swear there's 20 different digital billboards, but wouldn't you know it, not a single accident because of those. I mean, maybe one or two, but it's been proven it does not happen. heightened any type of accidents. And we were able to bring it back to council ad hoc. Is this something we want to explore? And being part of Hammond Rises, we did. And we went at it for a year and a half. Kudos to Lamar and Brian for really seeing the city's wants and needs. At certain points, we may have not agreed on some points. That's perfectly fine. But we have agreed on all points today. That is why it took a little longer than usual. There were some points that maybe one party was seeing that another wasn't. Just want to bring that aware because it was brought up. Not by council, but when are these coming forward? Sometimes you may not see it blossom because it's behind the stages, but I assure you all the items we have behind closed doors are happening. I would be very excited if I'm a resident of what's to come in the next year or so. So that is where we're at today. We've been able to drive two amazing agreements, a lease agreement and one of the actual two different agreements, courtesy of the attorney here and working with me. And analysis, as I mentioned, what was the analysis? I won't get into all of this, but I do want to cover at least the first portion. The proposed digital billboards development agreements represent a strategic shift in how the city of Hemet manages its visual landscape and municipal assets. That is key. Rather than simply adding more signage, I know that's something we could have done. We could have. Connected with Lamar, hey, just add a digital one and keep the static ones. That's not what we wanted. So the city did go and very proud to say, due to council's direction, we went at it very in a professional manner to talk business with Lamar. This is what we're looking for in order to bring in digital billboards. brian understood this is not his first rodeo i think he's been doing this for 20 plus years work with countless cities but he understood him its wants and needs and these four i won't go into it because i covered in the beginning but it's truly to eliminate blithe enhance revenue local economy and again safety and operation efficiency won't have to see folks climbing up those ladders anymore people can remotely control it You can be in Hawaii drinking a pina colada. You would be able to update it still from the digital billboards. The fiscal impact. This is probably where this is the juice. Now, I do want to be mindful, very, very mindful that these are going to vary. Let me explain what I mean by that. Currently, and this is where we came agreed upon, currently for each digital billboard, not combined or aggregated, Each one, we will be receiving a $30,000 base or a 25% gross advertising revenue in total. The first year or two, they are going to have to build a rapport with advertisers. Luckily, they have a big arsenal, so they're going to push some advertising this way, but they also want to advertise locally. And Brian's team is already ready to go to contact some of our local businesses, casinos, et cetera, in order to get them on there. The 26-27 fiscal anticipated revenue is because of when the billboard will be going up in place. Unfortunately, if you were to approve this today, it wouldn't be up and running by July 1st. So I've taken some time, if it were to land in the November, December area, and I'll relay that to Brian, how fast they can get that up, if not sooner or later. But this gives you an idea for the first fiscal year, if they were to go up halfway through the year, roughly what to anticipate. This does not take to account a full year. I want to be mindful of that. This is just a half year taking into account around December, January. So there will be two different rates, one at 30,000 or 25% of the gross revenue. These can grow as high as 100,000 on good locations and great advertising. So I look forward to seeing Lamar's team really going out there so we are able to get the maximum for two digital billboards equaling over six figures. The proposed digital sign, I'm going to go over where we're currently proposing the digital signs. They are going to be on city property. So the current one is right on the corner on Florida and Acacia, right next to VIP Auto. We own about a A little under, actually, an acre there. That would be the first proposed digital sign they would be proposing. And I'm going to explain to you how that correlates with three to four that are there. And not all, if I may say, are from Lamar. There are... Don't quote me on this, but I believe there's for sure two that are not. I think we have a total of 13, but two are not Lamar, those being one by the Riboli family and one next to the KPC, and I believe there's one also on the East End. But 10 of them are Lamar. The other proposed sign would be on Sanderson and... Hopefully I said that correctly two years later. I don't know if I got it. But that would be the corner portion. I crack myself up these days. So that would be the second one. Really an expansion corridor with all of the housing coming down there. We have at least over 2,000 plus homes. So we want to make sure, and retail, We have a great retail location right on Warren Road coming in here very soon. As soon as the housing, I'm working with them. It's 17 acres of proposed retail, so we're kind of excited to see what that looks like. I think it's now down to 14, but this would be a great location. You're probably thinking, well, Ben, this is all fine and dandy, but what's coming down? I'm glad you're thinking that because these are the West signs that are being proposed to be removed. And I'm going to show a little picture on what those are. But you can see one, two, and three. The first one is as West as we can possibly go. It might as well just be at four seasons at that point, but not quite really. But it goes as West as it can go. And then the second one is right in the middle where the proposed West current digital billboard is being proposed along with the third one right next to it as well. So I want to be mindful. That is why it took a little longer than usual. We needed to come to an agreement what's going to come down in order to go up. And I want to thank Council for staying firm on. We wanted to make sure that we're reducing blight, not getting one static billboard down and one digital billboard up. But that's not really apples for apples. So Brian was really listening and understanding. So on the first one, we will be removing what I feel is a pretty good deal, three static billboards. for one digital billboards. I want to make that clear. We will be removing the first one, three digital billboards, one, two, and three, for the first one that will be going right around number two. Moving forward here, here are the proposed signs on the east end of Hammett. Number four, you can see right by the KPC building on the east end. And number five, right about the Mexican Grill area, lose the mexican place in the top of my head right now but a patron but um those would be the two and then in those two's place we would get the one by sanderson and the other famous word so Here's the current advertising stagnant ones that we will be replacing. Try to get the best pictures courtesy of also Brian is sending those over. You can see what's on there right now, what's being advertised, what isn't. But rest assured, we'll probably be seeing some of these on a digital sense. But again, it's repeating every six to eight seconds. That would be up to the Lamar team, but it's looking about six to eight seconds to get a good grasp. Here are the other three, as you can see. I couldn't get a good picture for number three, which is right next to the Roboli VIP auto property. But in addition, on the east end, you can see the two that are being currently promoted by Budology. So those will be taken down. And this is the grand hoorah that I wanted to wait to one of the last ends of the slides. This is currently the proposed digital billboard that Lamar, what we're bringing forth. Is this set in stone? No, not necessarily. This is what we were like, if there was any feedback, but we capture the H. which shows our new image wrong with the city of hemet and it just really just bleeds him in your horizon is here but we're open to discussions if you're wondering or interested in a different kind of uh art rendering we'll have brian here for any questions you may have thank you council that is my presentation thank you ben appreciate that thank you for the presentation um i do have a couple questions you all have questions okay go ahead with your question don't don't take my questions though okay

I love the billboard. It looks good with the logos, the new logos. It came out nice. My question is, do you have an escalator or market review provision into the agreement? For example, like the first 10 years is 25 percent. After the 10th year, 30 percent. After the 15th year, 35 percent. I mean, because 20 years and 30 years at the same percentage is a long time. I'll be dead by then.

No, Vice Mayor, and that is a fantastic question. And with the former city manager and the attorney, we actually did sit down with Brian to go over the excess and increasing the funds. And the attorney was very gracious and helped me out in writing that. I'll relay that to the attorney on how the increases were going to work on that one.

Yeah. So we had that conversation with Lamar. The short answer is no. There's no escalator in the base rent. The rent is based on either the base rent of 30 or 25% of revenue, whichever is greater. So it's our hope that these will be very successful signs and that the gross advertising revenue is going to drive what the rent is. And that will go up over time as the market.

So the highest figure wins. Correct.

Now, we did, you know, talk with Lamar and say, look, you know, we want to hedge against some downside risk for both parties as well. And so there is a provision in there that if for a certain amount of time, if we're only getting the base rent, then the parties have the option to negotiate and potentially terminate the lease or renegotiate it. So if for some reason the revenue is not landing, then we do have that option. But the goal here is to have a successful sign. And the goal is to have that revenue be driven by the 25% share.

And Vice Mayor, I'll jump in there just to say that there was, if they don't meet those numbers within three to four years, we revisit that with Lamar and be able to discuss what those numbers are.

So there is an out for the city if we don't have increasing revenue. The other thing I would point out is that there's no city contribution to these signs at all. They're being built entirely at Lamar's expense. So the revenue share that's coming in.

But the revenue that's going to be coming in is going to be a lot. There should be something that changes, an escalator or something.

The percentage will do that.

So we get 25% of gross advertising revenue. I understand that.

I get what you're saying. We did discuss whether a CPI adjustment on the $30,000 minimum was appropriate. And ultimately, the negotiation point between the city manager and Lamar was, rather than do that, which Lamar opposed, it was to have the renegotiation if we flatline on the revenue. Then we can look at whether the agreement is beneficial for both parties at that point.

That can happen right away or like after the first year, the second year, the third year? Three years. Three years. So three years, then we can renegotiate if things aren't working.

If necessary, yeah. If necessary. Okay.

Remember that.

okay i do have a couple questions and i don't know whether you can answer it ben or whether brian will answer it what are the signs going to the location wise are they going to be perpendicular to the street or are they going to be kind of kitty corner no they are going to be perpendicular on that one and a very nice design if if you're a friend if they're going to be facing west or east north or south yes

Brian, do you want to answer that one?

Good evening. Good evening. Good evening. And members of City Council, Brian Smith, Lamar Advertising, here I am again. So which sign are, sorry, I was.

Either one of them, either the Acacia or the Dominegoni. Dominegoni.

Obviously, we're trying to hit the most traffic. So we would do line of sight studies at the time that we're going, you know, we have to have the right angles. These are, like Ben said earlier, They're very much like a projection TV, the old style that we are using light blocking technology that you saw, I think, in 2004 or 2024 when you were there. We had samples of that at ICSC. It's not what we've actually used before in the Inland Empire, but these signs are closer to residential areas, and so we're investing in those. And so they're very, very directional. You have to be in front of it. So as you move to either side, it doesn't, it has different louvering, basically, in a nutshell. So both on the 74, 74 is going to take a little longer to build. We're dealing with Caltrans. Right. Caltrans takes time. It takes a lot of time, and they're not real responsive right now, and it's just one of those things. So, that one will be down the road a little bit. I imagine about four months longer than the one on Sanderson there, so.

I think we're about set to have our ad hoc meeting with Caltrans. Councilmember Peterson and I

If you can chat with anybody at ODA, but the unfortunate thing, it's not District 8 that does this. This is LA and Sacramento, and that's where they run our department from now. So it's no longer through District 8 in San Bernardino.

Okay. My other question is, what is the composition of the post? I mean, is it concrete? It looks like it could be metal, or it could be concrete.

Oh, it's metal. It's metal.

It is metal. Now, is it, and I'm just asking this because it looks like the city of Hemet, which is vertical, is wider than, stands out from the, so you can see it.

That would be lit. Those are all lit, backlit numbers, as the H would also be an illuminated H up on top there. Okay. Yeah.

Very, very good. This is very exciting.

Yeah, we're excited to work. I mean, it's been a long time coming. But we'll get some signs down. We'll put some new ones up that we're excited to get advertising. Helping the local businesses. Obviously, like I think everybody had an alert yesterday with Amber Alert, right? It came across.

Mm-hmm.

If it's a local Amber Alert like that, that would have taken over every slot of the billboard. So it would have removed all advertising and it would have been that the active Amber Alert would have taken all eight advertising slots. That's good to know. That's very good to know. That's both Amber Alert, we're a part of that. Missing Exploited Children's Network, it'd be the Silver Alerts. So anything else, we're connected to your fire and police departments to know if there's a fire and, you know, any rerouting of, you know, the transportation type of thing. So we do need to be in constant communication with you. This is how it works, right?

So they can be used for emergency communication? Oh, absolutely.

Absolutely. That's, you know, that's the outreach, you bet.

Very good. Then my next question would be, when do we start on taking down more of these static billboards and putting up more of these?

We will take them down when we're probably in plan check for our new signs.

Okay.

You bet.

Very good. Just wanted to get that out there. Just have one quick question.

Sure. How long does the advertisement stay up on a sign?

We run every six seconds. Six seconds. Caltrans is a minimum of four. That's too fast for us. We just think that's, you know, we've had good luck with the six seconds. And then we run eight advertisers per face. You chatted about the 25%, and thank you, Stephen, for working on that. with all of our cities. I mean, this is the same deal that this is, Hemet is no different than, you know, Rancho Cucamonga or Upland or, you know, all of our cities are, we profit share. So the more we make, the more you make. So that is keeping up with the times. So really only the, I mean, some of our early agreements, we didn't even have a base. It was just profit sharing. So the more we make, the more you make. Um, now we do because of really, because of COVID, um, when we lost all advertisers, some of our cities were saying, Hey, well, you know, we're not getting paid anything. Well, we're not making anything either, but we understand, um, that that's what the 30,000 is. That's the protection against, you know, the unexpected, right. That, uh, that we're not making any revenue and that's that you'd still be able to, cause you budget for it, you budget.

So, but.

okay so with the uh community events the city events non-profit events how is that going to be handled uh you're gonna be you'll get a template basically and then you'll be working with our artist and so um it's as simple as an email and um we want to know like ben said about a week in advance on on events like that anything that's happening immediate um Just get that to us, and we'll get it up. I mean, if you had, I don't know, if you're hiring police officers or fire or whatever it might be, that would be a campaign where you might put that up there, and we would know in advance, right? So you would have plenty of time to put that up there, something like that.

So you'll control the signs then with all the information that goes in there?

We have what we call the Network Operating Center back in Baton Rouge, our corporate office, and that's where they run. We have people looking at these 24-7 every day of the week, and we have a lot of them. So we have over 5,500 of these things. They look at every one of them. They let us know if something's wrong with them, and we have staff in-house that goes out and fixes them. So it's a lot of moving parts, but it definitely works.

Very good. Thank you. Thank you very much. Any other questions or comments? Okay. Do we have any public comments on this item?

We do not, ma'am.

Okay. I would entertain a motion.

I'll make a motion.

I WILL SECOND IT. I WILL SECOND IT.

I WILL SECOND IT.

IT'S NOT DONE YET, TOM. IT'S NOT DONE YET, TOM. IT'S NOT DONE YET, TOM.

SHE WANTS TO READ SHE WANTS TO READ SHE WANTS TO READ THE WHOLE THING. THE WHOLE THING.

THE WHOLE THING.

OH, MY GOSH. OH, MY GOSH. OH, MY GOSH. OKAY, GO AHEAD, CONNIE.

OKAY, GO AHEAD, CONNIE. OKAY, GO AHEAD, CONNIE.

WHY DON'T YOU WHY DON'T YOU WHY DON'T YOU MAKE IT, TOM? MAKE IT, TOM? MAKE IT, TOM?

NO, BECAUSE YOU'RE NO, BECAUSE YOU'RE NO, BECAUSE YOU'RE LONG-WINDED AND I'M NOT. LONG-WINDED AND I'M NOT. LONG-WINDED AND I'M NOT

You might need a new replacement.

Okay. So, I would like to make a motion to approve a relocation and net reduction agreement with Lamar Central Outdoor LLC for the removal of five static billboards, allowing two to be relocated and operated as digital billboard displays subject to all required permits and approvals, and APPROVE THE FORM OF THE LEASE AGREEMENT AND THE LEASE OF THE SUBJECT LAND AT THE NORTHWEST CORNER OF SANDERSON AND DOMINIC GONI AND SOUTHEAST CORNER OF FLORIDA AND ACATIA AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENTS SUBJECT TO APPROVAL AS FORMED BY THE CITY ATTORNEY. DO WE HAVE A SECOND?

I'LL SECOND.

TOM'S GOT A SECOND. I'VE GOT A SECOND. YEAH, GIVE IT TO TOM. ALL RIGHT, WE HAVE A MOTION AND A SECOND. PLEASE DO A ROLL CALL.

COUNCILMEMBER CLARK?

YES.

COUNCILMEMBER LODGE? YES. COUNCILMEMBER PETERSON? YES. MAYOR POTENTA-MALES? YES.

MAYOR KUPA?

YES. THAT MOTION CARRIES 5-0. THANK YOU SO VERY MUCH. THANK YOU, COUNCIL. And I do have to share that we had a conversation with Ben about how to pronounce the word Dominogoni. And it happened to be with Andy, Andy Dominogoni. And he kept saying, this is how it just rolls off your tongue. And finally, Ben got it. And it was great. Okie doke. We will now move to city council and staff reports. Council Member Clark.

I wouldn't want to be long-winded,

You know I love you.

People are laughing, huh?

Yeah. So on the 16th of May, I was at the fire department pancake breakfast, actually talked with Dave Prieto about getting us certified CPR. getting the council city manager department heads and other public figures out there to get cpr certified and yeah um that was our discussion at the table um let's see public works open house the same day awesome jillian don't get rid of those plugs because She has plugs that are the road, and I think every single person needs to see what it looks like underneath, and they're plugs just like you would do grass, you know, when you're aerating. and it tells the story of what that street is, and if you have to have a gold board, I'll make it for you, but that was very, very informational. On the 17th, we flew out to ICSC in Vegas, and that was a little windy, a little drop was a little scary, and then we accelerated and braked, at the same time on one wheel. It was very eventful, no thanks. And then going back on the 20th, but ICSC was very, very, very, all of the Seminars that we went to, all the chocolate that Joe and I ate. But it really was, we learned a lot. Coach Kay spoke, and so did Erin Andrews. And she cusses. I cuss. I liked her. And then on the 22nd, we were at Mark Presswich's retirement at the Ramona Bowl, and I believe Linda had speared this, and it really went off well. Thank you. I think it was very nice. And so, there you go.

Okay, Tom?

I actually have nothing to report. I'm looking forward to getting back to work. Hopefully by the 17th of next month, I'll be out of here.

Very good. Very good. Thank you.

Thank you. No, thank you guys for all the support. I appreciate it.

Very good. Jackie?

I attended the Riverside County Habitat and Conservation Association meeting and we adopted a fiscal year 26-27 agency budget. They're doing just great with their budget and their expenses and everything. It's a well-run organization. We also authorized a 30-day publication of the revised nexus fee study regarding mitigation fees act. The single-family home should remain the same at $250 per unit. Agriculture is proposed at $500 per gross acre, and all other development would be $900 gross acre. This had not been revisited since 1996, so they were way behind. As we heard earlier, we need to keep up with inflation and with the of our agencies in that. So this is going to be a good change for this organization. They're doing a lot of really good work with the kangaroo rat and the burrowing owls and all of their plants and everything out there. It's just really interesting to me. I'm a farm kid, so I like being on this committee because I was exposed to a lot of this when I was younger. So some of their past activities included controlling the non-native plant species and promoting growth of native flowers and shrub species. They've had controlled burns out there recently and applied herbicide to promote conservation and native habitat. And in early March, over 1,000 goats were brought to Lake Matthews Reserve to control areas not accessible to the staff. The staff is doing a lot of good manual labor out there. I was really surprised how hard they're working this year, especially with some new innovative things they're doing. But they can't get to everything. So it was interesting to hear how these goats were out there and how they managed them all in that. Of course, they have a sheep herder in that, but it was pretty cool. And another thing I really like about this that they do every year is they have an educational outreach program for fifth and sixth graders. And in November 2025, they did one for three different schools, including our science center, our Western Science Center. And it was celebrating endangered species. So what they do is they educate them, they give them tours and stuff. out at their facility, but then they give them art supplies. So they let them think about it for a few months, and then they have a contest. So the kids that were out there, then they draw these pictures on what they had seen and what they had learned, and it's really, really neat to see what they come back with. And they give out prizes for first, second, third, and most creative, and maybe one other thing. It's a really, really good program. Like Connie, I went to the Fire Department open house and the Public Works open house the same morning. And that afternoon, firefighter and paramedic Ricky Seward came out to Four Seasons. And that was our annual event. emergency preparedness committee day. And wouldn't you know it, the next week we had our big fire right on the edge of our development. So I want to give a shout out to Ricky because he gave a really good presentation. He goes to all the communities and he teaches them CPR and first aid and all that kind of stuff. So he does a really, really good job. How many of you have seen our new mural? It's coming along so great. The Arts and Culture Committee met and rosie our expert artist she's got these 11 emerging artists from the community and they are just doing a fantastic job so on um that sunday then um they had a community paint day where anybody could come and i was out there and i put some of the first strokes on it so i i did the light purple and it was just really nice meeting everybody and so much enthusiasm over that and it's starting to look really really good so The Artsopolis, our new calendar, is now active. So we're encouraging everybody that has a business, a nonprofit, church, you name it. We want you to go to this website. It's www.hemet365.com. So it's Hemet365.com. So what you can do is you can register your organization, and then anytime you have an event, you can put it on there so everybody knows what's going on in the valley. So Hemet is spearheading this, but we've invited San Jacinto, Ceboba, you know, to join us and just let everybody know what's going on. You know, we want to... increase our tourism, and we want people that are here to enjoy the Valley as much. Yes, and I was at Mark's retirement on Friday, and it was a nice crowd, and it was very well done. So thank you to the committee that put that all together. He was very impressed, and it was just really, really a nice evening for those that attended. It was open to the public. We had all kinds of people there, so it was great. And speaking of Ramona, their Ramona Market is on May 30th, coming up right around the corner. And it's from 4 to 9 o'clock. And there's food, music, a bar, vendors, and more. And that's all I have. Very good. Joe?

Okay, on the 17th through the 20th, I also attended the ICSC convention, which was really good. I thank Ben over there for all the meetings he set up with us, and they were very encouraging, bringing business here to Hemet, so I believe it went very well. Also, I attended Mark's retirement party, and the best part of it was his kids talking about Mark. I enjoyed that a lot, and that was good. Kind of embarrassed Mark, I think, but it was good. Memorial Day, I had opening remarks at the beginning of the event celebrating Memorial Day at the San Jacinto Cemetery. That was great. Linda was there. We both spoke, so had a good time. We had the kitchen. Good things came out of that. So that's about it. I have nothing else, and I thank you.

All right. Thank you very much. Several things. Actually, on May 13th, I presented Arbor Day certificate to Rosanna Mays. We didn't have the certificate for her the day we planted the tree, but she has a very interesting story. Her husband and her and her little girl used to go to Brubaker Park and play. And her husband would, at this one time, would climb a tree. He climbed a tree. and hid from his little girl and her friend, and they just thought it was the greatest thing in the world, so they kept doing that. Well, unfortunately, he passed away last year, so she donated a tree on Arbor Day, and we gave her the certificate, and she and her little girl came out there, and her little girl shoveling, she's maybe four years old, and she was on the shovel, and it was absolutely beautiful to see and just to memorialize, because she loves that park, and she and her little girl come there all the time, and now they have a tree that's theirs, which is very good. So May 16th was a very, very busy day, as we all remember. Went to the fire thing in the morning and then to Public Works. I also attended Hemet High Air Force JROTC had their awards program and I was invited over to that and it was so nice seeing all of these young kids who are so excited about learning and being disciplined and, you know, just the whole military effect. But and they're all outstanding kids in the community and their GPAs. They have to maintain a high GPA. They have to be involved in community service, all of these different things. And it was just a very fulfilling day. I also toured the neighborhood healthcare on the corner of Larson and Florida. I had not, I'd seen that it was being renovated. And they really do, they do a lot of healthcare there for people. They take walk-ins. They take, they're an IEHP facility. And they have a lot of staff. They have eye care. They just do a lot of, just about everything. And it's just a small, small facility. And I also attended with the police chief and McGinnis, Reyes, Maddox, and one other gentleman, one other police officer, that we attended the justice, I could never get these letters right, it's prevent, the juvenile justice prevention program through the county. And our police department received a very nice award for the Explorer program because it's all about prevention and awesome program that what they have. So ICSC, and I will say this, Ben, I have been to a lot of ICSC, that's International Convention of Shopping Centers. And I've been to a lot of them. This was, I will say, this one was the best. We were kept busy. We had a great number of meetings. You had, you choreographed it well to keep all of us busy and keep us all out of each other's way. And the follow-ups were, it was good. It was great. So then the library, You can vote at the library on June 2nd. And I think you can drop your ballots off at City Hall. And you can drop the, what do you, at the library? At the library. Okay, you can do both at the library on June 2nd. And drop your ballots at City Hall also. And I just want to reiterate what Jackie said. If you haven't seen the mural, if you haven't noticed it, wow. Pay attention. Carmelita and Florida. It's right next to the little park that is now a park that the city owns. But that project is funded thanks to Altura Credit Union, Healthy Valley Foundation, and the City of Hemet. And there's a group of people that are working on it, and they are just doing absolutely wonderful things. The Hemet is written across it now. I don't know what they got to today, but it's a beautiful mural, and it shows pride in our valley, reflects the history that we have in the beautiful landscaping. Yesterday, I was at the San Jacinto Cemetery with Joe for the American Legion's annual celebration there. Happy to say there were more people there yesterday than there were last year and the year before and the year before that. So it's growing. We just need to get the word out because it is a celebration of those people who gave their life for our country. And then after that, I went to the Estadillo Mansion in San Jacinto for the 80... It's either the 87th or the 89th annual Pioneer Picnic. And that also had a bigger attendance than we have ever had before. So good things are happening in the city and appreciate all of you and your activities and being out in the community. And now, city manager, your report.

Mayor, I think you all covered everything. I WAS GOING TO GIVE THE HEMET 365 A PLUG, BUT COUNCILMEMBER PETERSON DID SUCH A GREAT JOB. I DON'T NEED TO. SO THANK YOU.

OKAY. VERY GOOD. AND WITH THAT, BEING THERE, NO FURTHER BUSINESS. THIS MEETING IS ADJOURNED TO THE NEXT CITY COUNCIL MEETING ON JUNE 9TH, 2026. THANK YOU FOR JOINING US. HAVE A SAFE TRIP HOME.

WE ARE ADJOURNED. THANK YOU VERY MUCH AND GOOD NIGHT.