Regular City Council Meeting

Summary

The City Council is being asked to approve the minutes from three previous meetings: a special meeting on January 23, 2026, another special meeting on January 26, 2026, and the regular meeting on February 3, 2026. These minutes document the proceedings, discussions, and actions taken during those meetings, which covered a range of topics including goal setting, the Police Oversight Commission ordinance, and various consent calendar items and agreements.

Citizen Impact

Approving these minutes is a procedural step that ensures the official record of past council actions is accurate. There is no direct impact on residents as this item does not introduce new policies or spending.

Confidence

high

Summary

This report details contracts authorized by the City Manager between October 1, 2025, and December 31, 2025, as required by Charter Section 421. These contracts fall within the City Manager's authority of up to $50,000 for non-public works and up to $500,000 for public works. The report lists 193 contracts totaling $3,357,906.88. Key expenditures include significant public works projects such as roadway sign & striping work ($499,999.00), ADA restrooms ($270,000.00), and parking lot resurfacing ($169,000.00). Other notable contracts include legal services, software licenses, and various departmental supplies and services.

Citizen Impact

This report provides transparency on how city funds are being spent on various services and projects. Residents can review the list of contracts to see which vendors and for what purposes city funds were authorized by the City Manager during this quarter.

Confidence

high

Summary

This report provides a quarterly update on the City of Santa Ana's investments as of December 31, 2025. The Finance and Management Services Agency (FMSA) is responsible for rendering these reports in compliance with the City's Statement of Investment Policy and state law. The report confirms that the City has adequate cash reserves to meet its obligations for the next six months. The total portfolio value as of December 31, 2025, was $367,419,183.90, with a weighted average yield of 3.51% and a weighted average maturity of 2.25 years.

Citizen Impact

This is a routine financial reporting item. Residents are assured that the city has sufficient funds to cover its expenses for the upcoming six months, indicating fiscal stability.

Confidence

high

Summary

This report details settlements for general liability claims up to $50,000 and worker's compensation claims up to $150,000, authorized by the City Manager, City Attorney, and Human Resources Director between July 1, 2021, and December 31, 2025. This is a retrospective report covering the past five years, as quarterly reports had not been previously submitted to the City Council. The settlements are categorized into General Liability (Exhibit 1) and Worker's Compensation (Exhibit 2). The report includes the claimant's name for general liability claims and the settlement amount, but employee names are omitted from worker's compensation settlements for confidentiality. There is no environmental or fiscal impact associated with receiving and filing this report.

Citizen Impact

This report provides transparency on how the city has resolved claims, including those involving bodily injury and property damage, and worker's compensation cases. While there is no direct fiscal impact from this informational report, it reflects past expenditures on settlements.

Confidence

high

Summary

The City of Santa Ana is authorizing the City Manager to execute a legal services agreement with the law firm of Horvitz & Levy LLP. This agreement is for appellate and litigation legal services and will be in effect from February 17, 2026, to February 16, 2028, with an option to extend for one additional year. The total amount for these services shall not exceed $275,000. The firm, founded in 1957, specializes in appellate law and has a strong track record, including successful defense of the City in the high-profile case Cynthia Huerta, et al. v. City of Santa Ana. The City's joint powers authority, ICRMA, will cover costs through the self-insured retention fund, with funding available in the current FY 25-26 budget and to be included in future proposed budgets.

Citizen Impact

This agreement ensures the City has specialized legal counsel for complex litigation and appeals, potentially saving taxpayer money by effectively defending the City's interests and avoiding costly adverse judgments. The services are funded through the existing liability and property insurance fund.

Confidence

high

Summary

The City Council is recommended to authorize the City Manager to execute an agreement with California Forensic Phlebotomy, Inc. for blood technician services. These services are crucial for the Police Department to obtain blood samples from individuals suspected of drug and/or alcohol involvement in incidents. The agreement is for an initial term of three years, from March 5, 2026, to March 4, 2029, with two one-year extension options. The total amount not to exceed $374,030 over the initial term and potential extensions. This contract continues a service that has been in place since 1992 to ensure uninterrupted support for law enforcement investigations.

Citizen Impact

This agreement ensures the Santa Ana Police Department can continue to collect critical evidence (blood samples) in investigations involving suspected drug or alcohol impairment. This supports public safety by aiding in the prosecution of relevant offenses.

Confidence

high

Summary

The City Council is asked to authorize a purchase order to Magnet Forensics, LLC for an annual digital forensic license subscription. This subscription is for the Police Department and will cover a one-year term from February 21, 2026, to February 20, 2027. The total amount authorized will not exceed $61,395. This software is essential for the Police Department to unlock and extract evidence from digital devices, which is increasingly important given the prevalence of smartphones. The vendor cannot accommodate a multi-year contract, necessitating annual approval. Funding is allocated from both the General Fund ($29,000) and the Cannabis Public Benefit Fund ($32,395).

Citizen Impact

This purchase provides the Police Department with necessary tools to investigate criminal cases by extracting digital evidence from devices, which requires consent or a judicial warrant.

Confidence

high

Summary

The City Council is considering awarding aggregate purchase order contracts to four vendors (AM Signal, LLC, Econolite Control Products, Inc., NexTech Systems, Inc., and Western Systems, Inc.) for traffic signal control devices. These contracts will be on an as-needed basis, with an initial aggregate amount not to exceed $200,000 for a one-year term from February 17, 2026, to February 16, 2027. The contracts include provisions for four one-year renewal options, potentially extending the total aggregate amount to $1,000,000 over a five-year period. These devices are crucial for maintaining the city's 326 traffic signals and related safety systems, ensuring efficient and safe traffic flow. The Public Works Agency requires these devices for routine maintenance, emergency repairs, and system enhancements, citing aging infrastructure and the need for like-for-like replacements to maintain system compatibility and reduce costs.

Citizen Impact

This action ensures the continued maintenance and operation of the city's traffic signal systems, which are essential for safe and efficient travel for motorists, pedestrians, and cyclists. The funding allows for timely repairs and replacements of critical traffic control devices.

Confidence

high

Summary

The City of Santa Ana is set to award an agreement to Creative Outdoor Advertising of America, Inc. (COA) for the management of advertising services at bus stops throughout the city. This new agreement, effective February 17, 2026, and running for three years with two one-year extension options, replaces a previous contract with Focus Media Group, Inc. (FMG), which was acquired by COA. The prior contract combined bus stop maintenance and advertising, but FMG/COA failed to generate sufficient advertising revenue to cover maintenance costs, resulting in no revenue share for the City and additional City expenditures for enhanced maintenance. The new agreement separates these functions: COA will solely manage advertising, while bus stop maintenance will be handled by the City's existing "Clean Cities Program" through its refuse agreement with Republic Services at no additional cost. This separation is expected to increase competition and align with industry practices. Under the new agreement, COA will provide the City with a guaranteed minimum annual revenue of $160,000, or 55% of gross advertising revenue, whichever is greater. The agreement specifies 160 advertising units with 320 advertising faces.

Citizen Impact

Residents will see bus stops managed for advertising by a specialized company, with maintenance handled separately. The City will receive a guaranteed minimum of $160,000 annually from advertising, which was not realized under the previous combined contract.

Confidence

high

Summary

The City Council is set to award a $1,889,790 construction contract to Excel Paving Co. for the Bristol Street and Memory Lane Intersection Improvements Project (No. 17-6883). This project will add a new southbound right-turn pocket on Bristol Street, north of Memory Lane, and involves relocating curbs, sidewalks, driveways, and utilities along a 350-foot section. The total estimated construction delivery cost is $2,362,238, funded by a $1,501,900 OCTA Measure M2 grant, $400,000 from Gas Tax, $200,000 from Public Works Water Revenue, and a $260,338 reallocation from another project. This final segment will complete the larger Bristol Street Widening Project, initiated in 2000, with an anticipated completion date of August 2026.

Citizen Impact

This project will improve traffic flow and ride quality at the Bristol Street and Memory Lane intersection by adding a new right-turn lane, completing a long-term roadway widening effort. Funding primarily comes from existing grants and utility revenues, without requiring new taxes.

Confidence

high

Summary

The City Council is recommended to approve an amendment to the Fiscal Year 2025-2026 Capital Improvement Program to allocate an additional $935,150 for the Fire Station 71 Fuel Station Replacement Project (Project No. 24-6054). This funding will cover the construction contract, administration, inspection, testing, and unforeseen work. A construction contract is recommended to be awarded to GEMS Environmental Management Services, Inc., the lowest responsible bidder, for $748,120. The project involves removing the existing underground fuel storage tank at 1029 West 17th Street and replacing it with a new above-ground tank and dispensing system to improve maintenance and reduce environmental risks. The project is expected to be completed by August 2026 and is categorically exempt from further CEQA review.

Citizen Impact

This project will upgrade the fueling system at Fire Station 71, enhancing operational reliability for emergency response services. No direct cost increase to residents is indicated, as the funding is allocated from the General Fund and Capital Improvement Program.

Confidence

high

Summary

The City Council of Santa Ana is considering adopting Ordinance No. NS-XXXX, which prohibits the use of anti-competitive automated rent price-fixing software. This ordinance aims to protect renters from artificially inflated rents and unfair rent increases caused by algorithmic devices that use nonpublic competitor data to set rental rates and occupancy levels. The ordinance defines an 'Algorithmic Device' and prohibits its sale, licensing, or use by landlords for residential rental properties within the city. It exempts software that relies solely on publicly available data, aggregated historical data older than 90 days, or tools used for affordable housing programs. Tenants affected by violations can seek injunctive relief, damages, or civil penalties of up to $1,000 per violation, plus attorney's fees. The ordinance is designed to work alongside state antitrust laws like AB 325 and proposed SB 384, providing a local enforcement mechanism.

Citizen Impact

This ordinance aims to prevent artificially inflated rents by banning certain rent-setting software. Residents who are tenants may have a direct legal recourse, including damages and attorney's fees, if landlords use these prohibited algorithmic devices.

Confidence

high

Summary

The City Council is conducting a public hearing to approve the sale of a 0.38-acre City-owned property at 1901 W. Walnut Street (APN 007-332-08) to THRIVE Santa Ana, Inc. for $852,000. The property, previously vacant for over a decade, was appraised at $1,030,000 on November 11, 2025. This sale includes an economic development subsidy of $178,000, representing the difference between the appraised value and the purchase price, which is funded by a state grant available to THRIVE Santa Ana, Inc. The sale is compliant with California Government Code 53083, requiring a public hearing and an Economic Development Subsidy Report, and the property qualifies for a Small Lot Exemption under the Surplus Land Act. The buyer, THRIVE Santa Ana, Inc., a Community Land Trust, has already developed a community microfarm called "La Colmena" on the site, featuring a regenerative farm, café, and artisan retail space. The Purchase and Sale Agreement includes a Micro-Farm Covenant requiring the property to operate as a microfarm for at least 30 years, a City Right of First Offer if the property is sold, and a subsidy recapture clause of $178,000 if sold to a third party within 30 years. Breach of the covenant incurs liquidated damages of $178,000 plus 2% annual interest.

Citizen Impact

This action finalizes the sale of a long-vacant City property, ensuring the continued operation of La Colmena microfarm, which provides organic produce, local jobs (including 5 full-time, 10 part-time, and 30 temporary during construction, with 10 new part-time jobs anticipated), and serves as a community hub. The City receives $852,000 in revenue, while providing a $178,000 subsidy to support this community-led economic development, with long-term covenants protecting the public benefit.

Confidence

high

Summary

This City Council item proposes updating Santa Ana's Municipal Code (SAMC) Chapter 31 governing park rules to make parks more accessible and user-friendly. The current rules, many adopted decades ago, are seen as outdated and unnecessarily restrictive. The proposed changes aim to modernize park use by:

• Allowing Picnicking: Picnicking and casual food consumption would be permitted by default, with restrictions only where necessary for safety or resource protection.
• Permitting Park Vending: Vending, including roaming vendors, would be allowed subject to city permitting and operational standards, supporting local businesses and park activation. This requires coordination with Chapter 26 (Pushcarts) for consistency.
• Simplifying Permit Requirements: Attendance thresholds for permits would be raised, focusing requirements on exclusive use, amplified sound, structures, or organized events that materially impact park operations.
• Expanding Skate Park Use: Self-propelled, non-motorized wheeled transportation (like scooters) would be allowed in skate parks, reflecting modern recreation trends while prohibiting motorized devices and maintaining safety rules.

The Council is asked to direct the City Manager to have staff prepare ordinance amendments and an implementation plan.

Citizen Impact

Residents will find it easier to picnic and gather in city parks. The changes also aim to support local small businesses through park vending and make skate parks more inclusive, while simplifying permit processes for casual use.

Confidence

high

Summary

The City Council is holding a work study session to discuss and provide direction on the First Street Multimodal Boulevard Study, which aims to transform approximately three miles of First Street (Bristol Street to Tustin Avenue) into a safer, more accessible corridor for all users. The study, funded by a REAP 2.0 grant from SCAG/OCTA, commenced in June 2025 and is being conducted by HDR Engineering, Inc.

Key Issues Identified:

• High Collision Rate: First Street has a significantly higher rate of pedestrian and bicycle crashes (~23% of all collisions), with 6 fatalities and 249 injuries between 2022-2025. Excessive vehicle speeds (85th percentile at 43-46 mph) are a major contributing factor.
• Poor Multimodal Infrastructure: Lack of protected bicycle facilities, constrained sidewalks, infrequent and long pedestrian crossings, and inadequate bus stop amenities.
• Equity Concerns: The corridor serves vulnerable populations with higher rates of poverty, seniors in poverty, cost-burdened renters, and limited English proficiency, who rely heavily on walking and transit.

Community Engagement: Over 1,100 people participated in a robust, multilingual engagement process, consistently prioritizing protected bike facilities, wider sidewalks, safer crossings, and improved transit stops.

Proposed Concepts (West Side - Bristol to Zoo Lane):

• Option 1 (Multi-Use Path): Maintains six vehicular travel lanes with a shared pedestrian/bicycle path on the south side. Minimal impact on traffic flow.
• Option 2 (Enhanced Pedestrian & Bicycle Zone): Reduces to five travel lanes (one westbound lane reallocated) with separated, protected bicycle facilities and wider sidewalks on both sides. Includes bus pull-outs. Some minor traffic delays, but eastbound AM peak travel time is 2 minutes 14 seconds faster.
• Option 3 (Bus Lanes & Bikeway): Reduces to four general-purpose lanes plus two dedicated transit-only bus lanes and protected bicycle facilities on both sides. Offers significant transit performance benefits (e.g., bus travel times decrease by 3-4 minutes), but results in the highest auto traffic delays (e.g., auto travel times increase by 1-3 minutes).

East Side (I-5 to Tustin Avenue): A consistent four-lane configuration with expanded pedestrian and bicycle zones is proposed across all alternatives.

Next Steps: Staff will finalize the technical memorandum and recommend a Locally Preferred Alternative to the Council. While $2 million in grant funding is secured for construction, additional funding is needed.

Citizen Impact

This study aims to make First Street significantly safer for pedestrians and cyclists by reducing collisions and improving infrastructure. Residents will benefit from better sidewalks, protected bike lanes, and more reliable public transit (especially with dedicated bus lanes). However, some options may lead to increased travel times for drivers due to lane reductions. The project's full implementation depends on securing substantial additional construction funding.

Confidence

high