Lodi City Council Agenda - March 4, 2026
Lodi City Council Meeting — March 4, 2026
Wednesday, March 4, 2026 · Closed Session 5:00 p.m. · Regular Session 7:00 p.m.
Carnegie Forum, 305 West Pine Street, Lodi, CA 95240
22 agenda items · 1,152-page packet · Executive compensation, $1.57M utility write-off, SCIP modernization, Strategic Vision adoption
Summary
This is a personnel- and finance-heavy Council meeting. The bulk of the regular calendar is a coordinated executive-compensation reset (nine separate resolutions) that brings Department Heads and elected officers to market median, raises the City's medical-premium share to 90%, and eliminates or reduces CalPERS cost-sharing across the board. The single largest financial action is a $1,573,855.04 utility-billing bad-debt write-off covering 2017–2021 — the first comprehensive utility write-off since Tyler Munis was implemented. Three substantive policy items round out the meeting: a public hearing modernizing Lodi's participation in CSCDA's Statewide Community Infrastructure Program (SCIP), the adoption of a revised eight-priority Strategic Vision (continued from Feb. 18), and second-reading adoption of Ordinance No. 2046 overhauling the 1996-era 30% non-profit electric-rate discount. The Council will also receive a quarterly homelessness update from the OMI-operated Access Center, approve a 15-year concession lease at Lawrence Park, and accept $35,000 in library donations including a Carnegie Corporation grant tied to the 250th anniversary of the Declaration of Independence.
Meeting Themes at a Glance
| Theme | Items | Why it matters |
|---|---|---|
| Executive compensation reset | G.4 – G.12 (9 items) | Normalizes CalPERS cost-sharing, lifts medical coverage to 90%, sets market-median salaries for nearly every department head and elected officer. |
| Finance clean-up | C.1, C.2, C.3 | Routine treasurer/investment reports plus a one-time $1.57M utility-billing bad-debt write-off (2017–2021) with $1.29M appropriations. |
| Strategy & vision | G.3 | Repeal-and-replace of the 2023 Strategic Vision with a revised 8-priority framework from the Jan. 28, 2026 special session. |
| Downtown / parks | G.2 | 15-year, $500/yr concession lease of 5,400 sq ft of Lawrence Park to Galt Fuel LLC to support the American Legion Memorial Building renovation. |
| Homelessness | G.1 | Two-quarter Access Center update — ~6,800 overnight stays, ~14,000 day services, 52 housing placements. |
| Development finance | F.1 | Public hearing modernizing Lodi's participation in CSCDA's SCIP; repeals Resolution 2018-111. |
| Electric rates | H.1 (Ord. 2046) | Second reading of an ordinance overhauling the 30% electric-rate discount for non-profits, originally adopted in 1996. |
| Closed session | C-2 | City Manager recruitment (Mosaic Public Partners) and initial Interim CM performance review. |
| Library | C.4, C.5 | $35,000 in unrestricted donations — Carnegie Corporation $10,000 (250th Declaration anniversary) and Constance E. Reynolds Trust $25,000. |
| Housing | C.6 | Sets March 18, 2026 public hearing for the 2025 Housing Element Annual Progress Report (6th Cycle, year 2). |
| Ceremonial | B.1 | Proclamation honoring retiring NCPA General Manager Randy Howard. |
Public Comment: In-person, Zoom Webinar (ID 817 1838 4202 / Passcode 348490), or email councilcomments@lodi.gov no later than two hours before the meeting. Telecast on SJTV Channel 26 and webcast at lodi.gov and facebook.com/CityofLodi.
Closed Session — 5:00 p.m.
C-1 · Call to Order / Roll Call
C-2 · Announcement of Closed Session
- (a) Public Employment — Conference with Greg Nelson of Mosaic Public Partners regarding recruitment of City Manager (Gov. Code § 54957).
- (b) Public Employee Performance Evaluation — Initial review of the Interim City Manager (Gov. Code § 54957(b)).
C-3 · Adjourn to Closed Session
Open Session — 7:00 p.m.
6:55 p.m. Invocation / Call to Civic Responsibility · C-4 Return to Open Session / Disclosure of Action · A. Call to Order / Roll Call
B. Presentations
B.1 · Proclamation Recognizing Outgoing NCPA General Manager Randy Howard Presentation
Mayor Yepez will present a proclamation honoring Randy S. Howard, retiring in Q1 2026 after 40+ years in public power, including senior leadership at LADWP before joining NCPA as General Manager in 2015.
- NCPA is a California joint powers agency (est. 1968) serving 16 member agencies and 700,000+ electricity consumers, including Lodi.
- Howard represented publicly-owned utilities on the Western EIM Nominating Committee and the West-Wide Governance Pathways Initiative.
- The proclamation specifically credits his work "positioning the Lodi Energy Center for a transition toward green hydrogen integration" — directly tying to the Strategic Vision item G.3, which retains a hydrogen-infrastructure plank.
- Board roles: California Municipal Utilities Association, Hometown Connections Inc. (Board Chair), Transmission Agency of Northern California.
C. Consent Calendar
All consent items will be acted upon by one motion unless pulled for separate discussion.
C.1 · Treasurer's Report and Register of Claims — January 2026 Receive & File
- Total cash & investments 1/31/2026: $279,310,843 (up from $270,337,771 on 12/31/2025)
- January revenue: $31,096,722 · January expenditures: $22,123,650
- Register of Claims: $21,825,205 total ($16,626,459 AP + $5,198,746 Payroll)
- Notable balances: General Fund $45.17M, Water Utility $68.82M, Electric Utility $34.09M, Wastewater $26.10M, Insurance $29.09M, PARS Pension Trust $31.71M
- Negative-balance funds: Measure L (-$953,679), CFD 2007-01 (-$1,148,256), Community Programs (-$1,356,782), Fleet (-$126,350)
C.2 · Quarterly Investment Report — Q4 ending December 31, 2025 Accept
- Portfolio in conformity with state law and City Investment Policy
- 42.86% in cash / cash-equivalents (high liquidity posture)
- Q4 interest & dividends earned: $1,755,159 (excludes unrealized gains/losses)
- Strategy: hold-to-maturity to minimize market-value erosion
Portfolio Composition (Q4 2025)
Source: Quarterly Investment Report, December 31, 2025 — Lodi Council Packet pp. 15–18
C.3 · Utility Billing Bad-Debt Write-Off, 2017–2021 — $1,573,855.04 Resolution
This is the largest single financial action on the agenda. Authorizes the Interim City Manager to execute the write-off and approves $1,292,718 in appropriations.
- Total write-off: $1,573,855.04 — accumulated uncollectible utility accounts that have never been comprehensively written off since Tyler Munis was implemented.
- The Council took a parallel action for general billing write-offs on October 15, 2025; this item closes out the utility side. Staff has signaled a second comprehensive write-off covering FY 2022–2025 is coming.
- Collection process: 45 days in-house → external collection agency 45+ days → write-off after 4 years per City policy.
- CSRs research by name, SSN, and driver's license before opening new accounts; balances on prior accounts are transferred forward (per Revenue Manager Sumner memo).
Appropriations Breakdown ($1,292,718)
| Account | Department | Amount |
|---|---|---|
| 10095000-72310 | General Fund — Finance | $65,880 |
| 50060001-72310 | Electric Utility (LEU) | $810,950 |
| 53053001-72310 | Wastewater — Public Works | $237,421 |
| 56052001-72310 | Water — Public Works | $178,467 |
| Total Appropriations | $1,292,718 | |
The gap between the $1.57M write-off and the $1.29M appropriation reflects portions already reserved or expensed. LEU Director Jeff Berkheimer confirmed the Electric Utility allocation in a Nov. 18, 2025 memo.
C.4 · Carnegie Corporation $10,000 Library Donation Resolution
- One-time, "strings-free" $10,000 unrestricted grant from the Carnegie Corporation of New York as part of a nationwide initiative recognizing surviving Carnegie libraries on the 250th anniversary of the Declaration of Independence.
- Between 1883–1929, Andrew Carnegie funded 1,600+ libraries; ~1,350 buildings still stand. Lodi Public Library is among them.
- Award letter dated January 16, 2026.
- Revenue: $10,000 into 12000000.57702 · Expense: $10,000 into 12900000.72450
C.5 · Constance E. Reynolds Trust $25,000 Library Donation Resolution
- $25,000 distribution from the Constance E. Reynolds Separate Property Trust (dated Oct. 15, 2011), in full satisfaction of the Library's beneficial interest.
- Letter from successor trustee Donna L. Reynolds dated January 29, 2026; Check No. 1031.
- No specific designation — held in Library Donation account for a future project.
- Revenue: $25,000 into 12000000.57702 · Expense: $25,000 into 12090000.72450
- Donations over $500 require Council approval per City policy.
C.6 · Set Public Hearing March 18, 2026 — 2025 Housing Element Annual Progress Report Set Hearing
- Schedules a March 18, 2026 hearing on the 2025 Housing Element Annual Progress Report — the second APR under Lodi's 6th Cycle Housing Element (2023–2031).
- Cal. Gov. Code § 65400 requires the report be considered at an annual public meeting and submitted to HCD and the Governor's Office of Planning and Research by April 1.
- Lodi's 6th Cycle Housing Element was adopted March 20, 2024 and found in substantial compliance by HCD on April 11, 2024. Key commitment: rezone capacity at higher densities by December 15, 2026, with by-right multifamily where ≥20% of units are affordable to lower-income households.
- Aligns with revised Strategic Vision priority Housing — Continued progress towards RHNA goals.
D. Public Comments on Non-Agenda Items
5-minute limit per item; one appearance per individual; Council cannot deliberate non-agenda items (Gov. Code § 54954.2(b)(2)).
E. Council Member Comments on Non-Agenda Items
F. Public Hearings
F.1 · Statewide Community Infrastructure Program (SCIP) — Repeal & Replace Resolution 2018-111 Public Hearing / Resolution
The policy heavyweight of the meeting. A public hearing to modernize Lodi's participation in CSCDA's SCIP, originally joined in 2018.
Background
- CSCDA (California Statewide Communities Development Authority) is a JPA sponsored by the League of California Cities and CSAC; 500+ California cities, counties, and special districts are members, including Lodi.
- SCIP, launched by CSCDA in 2002, lets property owners in participating jurisdictions finance development impact fees and public capital improvements through pooled special assessment districts and CFDs. Later expanded to include public-services financing.
- Since inception, SCIP has issued $1 billion+ in land-secured assessment & CFD bonds statewide.
What's Changing vs. 2018-111
- Expanded scope to include Community Facilities District (CFD) formations in addition to the original Assessment Districts.
- New Joint Community Facilities Agreement terms for CFD financings.
- Approves a form Acquisition Agreement for developer-constructed improvements that the City will eventually own.
- Permits CSCDA to levy special taxes for public services (not only capital improvements/fees) necessitated by new development.
Mechanics
- Only owners who voluntarily apply are assessed/taxed; the City never has bond repayment liability.
- CSCDA decides whether a project joins the SCIP pool or proceeds as standalone.
- Development fees may be paid at permit issuance with developer reimbursement from bond proceeds, or funded directly from bond proceeds. City fees are never at risk.
- CSCDA handles all formation, administration, issuance, and ongoing administration — minimal City staff time.
Stated Benefits for Lodi
- Tax-exempt financing access for projects as small as $500,000.
- Cushions the impact of rising public-improvement and impact-fee costs on new development; competitive edge in attracting development.
- Encourages developers to pull permits and pay fees in larger blocks.
- Possibility of future refunding bonds to lower property taxes (subject to federal tax limits).
The Feb. 18, 2026 Council meeting (Consent C.17) set this public hearing for March 4.
G. Regular Calendar
G.1 · Temporary Access Center & Emergency Shelter Quarterly Update Update
Covers two quarters (Aug 1, 2025–Oct 31, 2025 and Nov 1, 2025–Jan 31, 2026) due to meeting/holiday timing.
- Operator: Outreach Ministries International (OMI), since Nov. 1, 2024.
- Funding: HHAP (Homeless, Housing, Assistance, and Prevention) + ARPA.
- Site opened: July 22, 2022 as interim, pending permanent Access Center construction.
Service Volume — Two-Quarter Comparison
Source: OMI Client Services Reports — Lodi Council Packet pp. 920–926
Detailed Two-Quarter Statistics
| Metric | Aug–Oct 2025 | Nov 2025–Jan 2026 |
|---|---|---|
| Overnight services / clients | 3,249 / 99 | 3,552 / 119 |
| New overnight enrollees | 47 | 59 |
| Overnight re-entries | 27 | 37 |
| Day services / clients | 6,783 / 320 | 7,286 / 306 |
| New day-only enrollees | 116 | 94 |
| Day re-entries | 66 | 51 |
| Breakfasts served | 3,197 (252 clients) | 3,663 (229 clients) |
| Lunches served | 3,959 (259 clients) | 4,670 (251 clients) |
| Showers | 3,833 (173 clients) | 4,057 (164 clients) |
| Transports (non-emergency medical) | 245 / 77 (19 / 16 medical) | 322 / 80 (22 / 19 medical) |
| Case management services | 122 | 178 |
| Clients obtaining employment | 25 | 10 |
| Transitions to housing (overnight) | 11 | 20 |
| Transitions to housing (day-use) | 13 | 8 |
| Transitions to program (overnight) | 14 | 13 |
| Transitions to program (day-use) | 4 | 2 |
| Street/shelter outreach | 295 (72 HMIS + 16 updates) | 197 |
G.2 · Galt Fuel LLC Concession Lease at Lawrence Park Resolution
Authorizes the Interim City Manager to enter a 15-year concession lease with Galt Fuel, LLC for ~5,400 sq ft of City-owned Lawrence Park at 350 N. Washington Street, adjacent to the American Legion Memorial Building (320 N. Washington), which Galt Fuel owns.
Key Lease Terms
| Term | Detail |
|---|---|
| Landlord / Tenant | City of Lodi / Galt Fuel, LLC |
| Size | 5,400 sq ft on southern end of Legion Building parcel |
| Term | 15 years maximum |
| Rent | $500.00 annually |
| Use | Enclosed dining and entertainment patio plus related improvements |
| Repairs | City has zero obligation; premises return to City in good repair |
| Insurance | Maintained by tenant |
| Reimbursements | Tenant reimburses City for appraisal and outside legal fees upon execution |
Context: The Legion Building is undergoing major renovations to be repurposed as event space — a new amenity for Lodi. The lease lets Galt Fuel expand the building's footprint with patio space while the City preserves park-land ownership.
G.3 · Revised Strategic Vision — Repeal & Replace Resolution 2023-98 Resolution
Adopts a revised Council Strategic Vision developed at a January 28, 2026 Special Council Meeting at Hutchins Street Square. Continued from the Feb. 18, 2026 regular meeting per Council direction.
The new framework reorganizes priorities alphabetically into 8 categories (down from a longer list in the 2023 version). Each priority has a Stretch Goal plus lettered milestones:
| # | Priority | Stretch Goal |
|---|---|---|
| 1 | Downtown | Capitalize on Lodi's lively, mixed-use, walkable commercial downtown district |
| 2 | Economic Development | Raise the median income of Lodi residents 12% to match the State of California |
| 3 | Fiscal Health | Create a fiscal structure to accomplish Council Strategic Priorities |
| 4 | Housing | Ensure every socio-economic demographic and family structure can secure quality housing |
| 5 | Infrastructure | Develop and maintain a robust infrastructure to support the City's growth |
| 6 | Parks | Develop a Parks System that is a model for the State of California |
| 7 | Public Safety | Create the best trained police and fire departments in the State of California |
| 8 | Public Well-being | Be a recognized leader in generating a happy, healthy, high quality of life for all |
Notable Redline Changes from the 2023 Vision
- Economic Development: Stretch goal softened — "top 25% of State of California" → "match the State of California (12% lift)." Drops standalone bullets on Hydrogen Hub and White Slough Public Safety Training Facility; removes "Attract tech and non-agriculture jobs."
- Downtown: Removes "Expand the perimeter of downtown mixed-use zoning" and "Expand opportunities for downtown living."
- Housing: Drops "Create more residential opportunities downtown" as standalone.
- Infrastructure: Streamlined; retains "Invest in innovative infrastructure such as new hydrogen facilities near the Lodi Energy Center" as Item A — the only explicit hydrogen reference remaining.
- Fiscal Health: Removes specific pension-funding benchmark ("Improve pension funding by 25%") in favor of "Utilize the Pension Stabilization Reserve to reduce the financial impact of growing pension expenses."
Practical effect: Department directors will align workplans and annual budget-book accomplishments against this 8-priority framework.
G.4 – G.12 · Executive Compensation Package — 9 Resolutions
Nine separate resolutions standardize employment terms across nearly every Department Head and elected officer position. Total compensation data was refreshed in October 2025 by the City's consultant against comparable agencies; most increases bring salaries to market median.
Common Template (G.5–G.12)
- 3% COLA at first full pay period of January 2027 + 3% COLA at first full pay period of January 2028
- City pays up to 90% of medical premium (lowest-cost HMO in ZIP 95240), effective Jan. 1, 2026
- Eliminate employee CalPERS cost-sharing of 6% effective July 6, 2026 (Classic 7% / PEPRA 50% of normal cost) — reduction from 9% to 3% for Police/Fire Chiefs due to safety-member rules
- 10% minimum salary differential between director and next-highest-paid executive/mid-manager in the department
- Interim/vacant fill-in pay: if assigned by City Manager for >2 consecutive weeks, employee receives the higher of the filling-position salary or a 10% upgrade
Executive Compensation Resolutions Summary
| Item | Position / Officer | Equity Adj. | Effective | New Base Salary | Notes |
|---|---|---|---|---|---|
| G.4 | LPMO (Police Mid-Management) | — | 3/19/2026 paycheck | — | $1,000 one-time off-schedule payment per member resolving complaint over CalPERS cost-sharing timing (9% → 3% landed Feb. 2 instead of original Mar. 30 target) |
| G.5 | Library Director Jennifer Fontanilla | None (no comparator data) | Jan. 4, 2027 | $172,010 | Future comparability study planned; 10% differential floor added |
| G.6 | PRCS Director Christina Jaromay | Prior 12% (Res. 2025-158) | Jan. 4, 2027 | $219,390 | +10% temporary upgrade if appointed Acting City Treasurer |
| G.7 | Electric Utility Director Jeffrey Berkheimer | None new (Jan. 2025 amend already raised) | Maintains current; Jan. 2027 COLA → $352,289 | $342,000 (current) | Switches from salary-range to single-salary structure |
| G.8 | Police Chief Ricardo Garcia | 1.21% | Retro Jan. 5, 2026 | $269,921 | +$3,227/yr; CalPERS 9% → 3% |
| G.9 | Fire Chief Kenneth Johnson | 5% + 1.5% Jan. 2027 | Retro Jan. 5, 2026 | $236,752 | +$11,300/yr; CalPERS 9% → 3% |
| G.10 | Economic Development Director Luis Aguilar | 5% + 2.5% Jan. 2027 | Retro Jan. 5, 2026 | $198,198 | Addendum #2; CalPERS eliminated |
| G.11 | City Attorney Katie O. Lucchesi | 9.35% (largest) | Retro Jan. 5, 2026 | $303,680 | +$25,966.29/yr; brings to market median |
| G.12 | City Clerk Olivia Nashed | 5.91% | Retro Jan. 5, 2026 | $162,842 | +$9,086.93/yr; brings to market median |
Executive Salaries After Adjustment
Source: HR Compensation Studies, October 2025 — Lodi Council Packet items G.5–G.12
Estimated annual ongoing payroll impact of G.8–G.12 equity adjustments alone: ~$49,580/yr (before COLAs, benefits, and CalPERS cost-sharing effects). Full picture across all G items materially exceeds that — staff notes "sufficient funds will be allocated within the next fiscal year's budget."
H. Ordinances
H.1 · Ordinance No. 2046 — Community Benefits Incentive Discount (Second Reading) Ordinance
Waive second reading and adopt Ordinance No. 2046, amending Lodi Municipal Code §13.20.240 (Schedule G1) and §13.20.250 (Schedule G2) — the General Service rates for commercial/industrial customers — to overhaul the 30% electric-rate discount for non-profits that was originally adopted in 1996 and never updated.
Introduction: The ordinance was introduced at the Feb. 18, 2026 regular meeting (item F.2 on that agenda). Per Lodi 411 coverage: "Currently 14 accounts receive the discount at a total annual cost under $30,000 (5 are ineligible under current criteria)."
What the Ordinance Changes
The old §13.20.240(D) — G1 — tied the discount to 501(c)(3) status only. The old §13.20.250(D) — G2 — required the customer to be currently receiving Federal Community Development Block Grant (CDBG) funds, or to have received them within the prior two years.
Ordinance 2046 replaces both with identical, modernized eligibility criteria:
- Proof of IRS-recognized 501(c)(3) status
- Certification the non-profit serves low-income populations (≤60% of median income) or populations residing in a Disadvantaged Community as defined by CalEnviroScreen
- Certification that the entity and its principals are not debarred, suspended, or excluded from federal assistance programs, as verified through SAM.gov
- Proof the entity is in good standing with the California Secretary of State
Procedural Rules
- Customer must notify the Finance Department of eligibility and submit application/eligibility forms required by the Electric Utility Department.
- Annual eligibility review added (new).
- May not be combined with any other incentive discount.
Rate Schedules (Carry-Over, Unchanged by This Ordinance)
| Schedule | Customer Charge (eff. 7/1/2024) | Energy — Summer (May–Oct) | Energy — Winter (Nov–Apr) | Demand |
|---|---|---|---|---|
| G1 single-phase | $20.50 / cycle | $0.19261/kWh | $0.14244/kWh | — |
| G1 three-phase | $31.50 / cycle | $0.19261/kWh | $0.14244/kWh | — |
| G2 (large commercial) | $103.50 / cycle | $0.15829/kWh | $0.12671/kWh | $4.18/kW (4% voltage discount available) |
Practical effect: Per Feb. 18 coverage, funding for the discount shifts from operations to the Public Benefits Fund (504) and at least 5 of the 14 currently-discounted accounts will become ineligible under the new criteria.
Legal Mechanics
- Two readings required; ordinances may only pass at a regular meeting (Cal. Gov. Code § 36934).
- Effective 30 days after final passage (Cal. Gov. Code § 36937).
- Approved as to form by the City Attorney.
I. Adjournment
Attachments Inventory
The complete packet runs 1,152 pages. Major attachment groups:
References
- City of Lodi — Agenda Center
- City of Lodi — City Council Page
- Lodi 411 — Lodi City Council Meeting, February 18, 2026 (confirms F.2 introduction of Ord. 2046 and C.17 setting of SCIP hearing)
- HCD Acceptance Letter — Lodi 6th Cycle (2023-2031) Adopted Housing Element (April 11, 2024)
- California HCD — Annual Progress Reports (Gov. Code § 65400 framework for C.6)
- Lodi Access Center (operator: Outreach Ministries International)
- 211 San Joaquin — Lodi Access Center listing
- Zoom Webinar — Meeting ID 817 1838 4202 / Passcode 348490
- Contact City Clerk: Olivia Nashed · (209) 333-6702 · councilcomments@lodi.gov
Prepared from the official 1,152-page Council packet (file: 03.04.2026-Regular_Agenda-Packet-1.pdf), with OCR of the Ordinance 2046 attachment pages (1142–1152) and cross-reference to City of Lodi published February 18, 2026 agenda materials covered on Lodi 411.