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AGR-6142.A - DEPARTMENT OF GENERAL SERVICES - OFFICE OF ADMINISTRATIVE HEARINGS
BY (Authorized Signature) DATE SIGNED(Do not type) BY (Authorized Signature) DATE SIGNED(Do not type) 1.This Agreement is entered into between: LOCAL AGENCY'S NAME CONTRACTOR'S NAME Department of General Services / Office of Administrative Hearings 2 The term of this Agreement is: Upon the date of approval and execution by all parties through five years 3. The maximum amount $ of this Agreement is: 4. The parties agree to comply with the terms and conditions of the following exhibits which are by this reference made a part of the Agreement. Exhibit A – Scope of Work Exhibit B – Budget Detail and Payment Provisions Exhibit C – General Terms and Conditions IN WITNESS WHEREOF, this Agreement has been executed by the parties hereto. pages pages 1 pages CONTRACTOR’S NAME Office of Administrative Hearings PRINTED NAME AND TITLE OF PERSON SIGNING ADDRESS 2349 Gateway Oaks Drive, Suite 200, Sacramento, CA 95833 LOCAL AGENCY NAME I declare under penalty of perjury that I have full authority to execute this agreement on behalf of the Local Agency. PRINTED NAME AND TITLE OF PERSON SIGNING ADDRESS CONTRACTOR STANDARD AGREEMENT AGREEMENT NUMBER ATTEST: APPROVED AS TO FORM: Pamela Coleman, City Clerk Nathalie Adourian √ Senior Assistant City Attorney 30,000.00 THIRTY THOUSAND DOLLARS AND NO CENTS 131316 City of Orange City of Orange Thomas Kisela, City Manager 300 E. Chapman Ave. Orange, CA 92866 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 4/30/2025 04/30/2025 AGR-6142.A Page 2 of 12 EXHIBIT A SCOPE OF WORK 1.Upon request of (hereinafter referred to as “Local Agency”), the Office of Administrative Hearings (OAH) agrees to furnish the services of Administrative Law Judges (ALJs) and case management staff to the Local Agency, for the purpose of managing cases and conducting hearings under Government Code section 27727 when required personnel are available by OAH. The assignment of ALJs for hearings will be at the discretion of the Director and/or Presiding Administrative Law Judges, who may elect to hear the matter themselves. 2.Project Representatives The project representatives during the term of this agreement will be: Office of Administrative Hearings Susan L. Formaker, Division Chief Presiding Administrative Law Judge Phone: 213-576-7200 Email: Susan.Formaker@dgs.ca.gov Local Agency: Name: Title: Phone: Email: Direct all inquiries regarding this agreement to: Office of Administrative Hearings Leon Vang, Contract Analyst 2349 Gateway Oaks Dr. Suite 200 Sacramento, CA 95833 City of Orange City of Orange Janet Flores Risk Manager (714) 288-2539 jflores@cityoforange.org Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C Page 3 of 12 Phone: (279) - Email:Leon.Vang@dgs.ca.gov Local Agency: Attention: Address: Phone: Email: All invoices and billing shall be to directed to: Local Agency: Attention: Address: Phone: Email: The Project Representative and Agreement and Billing Representative may be changed through written confirmation to the other party. This change shall not require an amendment to this agreement. It may take up to two billing cycles for a change to the Local Agency Billing Contact to be in effect. 3.Services to be Performed: a.The Local Agency shall provide OAH a written request to set a matter for hearing or mediation with all pleadings, documents, papers, or other materials that have been provided to the other party. The Local Agency agrees to provide OAH copies of all applicable laws and ordinances governing the hearing at the time the request for hearing or mediation is made. The Local Agency agrees that OAH will not be able to schedule a hearing or mediation until these materials are provided. The Local Agency shall indicate in the request to set a matter for hearing if OAH is to issue a proposed or final decision in the matter. If a proposed decision is required, Local Agency shall provide the name and contact information for the decision-maker who is responsible for making the final decision. City of Orange Janet Flores Risk Manager (714) 288-2539 jflores@cityoforange.org City of Orange Janet Flores Risk Manager (714) 288-2539 jflores@cityoforange.org Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C Page 4 of 12 b.The Local Agency shall electronically file the request to set a matter for hearing and all other required pleadings and papers with OAH using the secure electronic filing system offered by OAH or otherwise in accordance with OAH requirements. c.The Local Agency shall inform OAH if the hearing is to be electronically recorded or if a court reporter is required. If a court reporter is required, the Local Agency shall indicate at the time they request a hearing if they will be providing a court reporter or if OAH should provide one. Unless the Local Agency or OAH determines a court reporter is required by statute, ordinance, or regulation, the hearing will be electronically recorded by OAH. d.OAH shall perform all case management and hearing services that OAH, in its sole discretion, deems necessary to the proper handling and adjudication of the case. e.The Local Agency agrees to inform OAH 30 days prior to the hearing if any accommodations or interpreters are required. Local Agency shall be responsible for the costs of accommodations or interpreters. If OAH incurs costs for providing reasonable accommodations, interpreter or translation services for any matter under this agreement, those costs shall be borne by the Local Agency. f.Record Retention: OAH shall retain all records in accordance with its current record retention schedule. If the Local Agency requests OAH to issue a proposed decision, the exhibits will be returned to the Local Agency Project Representative along with the proposed decision at the conclusion of the matter, and the Local Agency shall be deemed the custodian of the administrative record. 4.Service Location: The services shall be performed at a location convenient for OAH and all parties. The Local Agency shall file a request for mediation or hearing directly with the local OAH office which is handling the matter. 5.Record of the Proceeding: a.If a Court Reporter is not used, OAH shall be responsible for electronic recording of all hearings, and shall impose a recording fee not to exceed the amount set by the Department of General Services through the Price Book. The current Price Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C Page 5 of 12 Book is located at: https://www.dgs.ca.gov/OFS/Price-Book. The electronic recording fee shall only be imposed following the actual recording of a proceeding and shall not be included as part of the filing fee or electronic evidence fee. b. If OAH provides a Court Reporter, the Local Agency is responsible for all costs associated with the Court Reporter, in accordance with the current contract rates. Current contract rates, including Court Reporter and transcription costs, can be found at: https://www.dgs.ca.gov/OAH/Case-Types/General- Jurisdiction/Resources/Page-Content/General-Jurisdiction-Resources-List- Folder/Find-Contract-Information-to-Obtain-OAH-Court-Reporter-Services. c. OAH shall arrange for transcription of hearing recordings upon the request of any party to the proceeding or the Local Agency Project Representative and upon receipt of payment for transcription costs. OAH may use a vendor for transcription services. d. OAH will charge a requesting party the actual cost of preparing the administrative record. If the requesting party has been declared in forma pauperis, or has received a waiver of court fees from a court of competent jurisdiction in a case arising out of the OAH matter, and is seeking judicial review of the case before OAH, the Local Agency shall pay the full costs for preparing the administrative record and/or transcript. OAH will notify the Local Agency of the associated costs prior to preparing such records. e. OAH will not include within its administrative record any records or hearing exhibits the custody of which has been transferred to the Local Agency. OAH may prepare a clerk’s record upon request and payment of associated fees in these circumstances. 6. Rates a. In consideration of the performance of such services by OAH, the Local Agency agrees to pay to OAH the full cost of rendering such services at the rate established at the time the services are rendered. The Local Agency is responsible for the filing fee for each case filed, an electronic evidence fee for Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C Page 6 of 12 each case filed, ALJ (including Presiding Administrative Law Judge, and Division Chief Administrative Law Judge) time billed at an hourly rate, an electronic recording fee if the proceedings are electronically recorded, the cost of all accommodation or interpreter services requested, and the full cost of any preparation of the clerk’s record or transcript at the current contract rates. b. In the event a calendared case is taken off-calendar, or needs to be re- calendared, other than by OAH, and OAH is unable to schedule the ALJ for work on another case, the Local Agency agrees to pay OAH for the original hearing time or until the ALJ is assigned to another case, whichever occurs first. Every effort will be made to promptly reassign the scheduled ALJ in the event a calendared matter is cancelled, taken off-calendar, settled, re-calendared or continued. c. The costs of OAH’s services include filing fees, ALJ hourly rates, electronic evidence fees, any reasonable costs related to any requested accommodations, and translator/interpreter fees as required. All costs associated with providing a record of the hearing (reporter/transcription, etc.) shall be billed directly to the requesting party or the Local Agency in accordance with Section 5 above. ALJ hourly rates and filing fees charged by OAH will be the rates set forth in the Department of General Services’ Price Book at the time the services are rendered. Rates for electronic evidence will be the current contract rates at the time the services are rendered. Rates for court reporters will be the current contract rates at the time the services are rendered, which vary by geographical location. Fees for translator/interpreters and transcription services will be based on current contract rates at the time the services are rendered. All rates are subject to change annually. The current contract rates for these services can be found on OAH’s website. d. The Local Agency agrees to be responsible for the full costs of any service provided by OAH on a Local Agency case, regardless of any agreement the Local Agency may have with a third party or any other cost-sharing provision. 7. The contract is effective upon approval and execution of all signatures to this contract. The term of this contract is five years from the effective date of the contract. This Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C Page 7 of 12 contract may only be amended for term and amount upon mutual agreement of the parties. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C Page 8 of 12 EXHIBIT B BUDGET DETAIL AND PAYMENT PROVISIONS 1. The Office of Administrative Hearings is a reimbursable entity as detailed in Government Code section 11370.4. Notwithstanding any other provision of law, the total cost of services provided by the OAH shall be collected from the Local Agency entering into this agreement. 2. Parties shall keep apprised of the balance of this agreement at all times. Local Agency agrees to notify OAH when the expended amount is close to exhausting the funds in this agreement. 3. For services rendered in accordance with the Scope of Work, the Local Agency shall compensate the OAH for the full cost of services and actual expenditures incurred in accordance with the rates specified herein. Compensation for services rendered by OAH pursuant to this agreement shall not be dependent on the decision rendered by the ALJ in a hearing involving the Local Agency. OAH charges shall include the following: filing fees, electronic evidence fees, electronic recording fees, Administrative Law Judge hourly charges, and translator/interpreter fees as required. Additionally, all costs associated with providing a record of the hearing (reporter/transcription, etc.) shall be billed directly to the Local Agency. 4. Invoices shall be paid promptly and delays in payment may result in OAH’s discontinuation of services. 5. ALJ hourly rates, electronic recording fees and filing fees charged by OAH will be the rates set forth in the Department of General Services’ Price Book at the time the services are rendered. Rates for court reporters will be the current contract rates at the time the services are rendered, which vary by geographical location. Rates for electronic evidence will be the current contract rates at the time the services are rendered. Fees for translator/interpreters and transcription services will be based on current contract rates at the time the services are rendered. All rates are subject to change annually. Any training required of the ALJs by the Local Agency to conduct Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C Page 9 of 12 these hearings will be paid out of the contract funds by the Local Agency at the prevailing ALJ hourly rate. The Price Book is available at https://www.dgs.ca.gov/OFS/Price-Book OAH shall be paid not more frequently than monthly, in arrears, upon issuance of an invoice by the Department of General Services which details charges, expenses, direct and indirect costs. Payment may be completed through direct transfer, in accordance with Service Revolving Fund Directive, SRF #1025, attached hereto as Exhibit D. For questions about establishing a wire transfer process with OAH/DGS, the Local Agency shall contact DGS at SRFFISCALSERVICES@dgs.ca.gov or the OAH Project Representative. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C Page 10 of 12 EXHIBIT C GENERAL TERMS AND CONDITIONS 1. APPROVAL: This Agreement is of no force or effect until signed by both parties. 2. AMENDMENT: Except as noted in Exhibit A, Paragraph 2, no amendment or variation of the terms of this Agreement shall be valid, unless made in writing, signed by the parties and approved as required. No oral understanding or Agreement not incorporated in the Agreement is binding on any of the parties. 3. CANCELLATION/TERMINATION: A. This agreement may be cancelled or terminated without cause by either party by giving 30 calendar days advance written notice to the other party. Such notification shall state the effective date of termination or cancellation and include any final performance and/or payment/invoicing instructions/requirements. B. Upon receipt of a notice of termination or cancellation from the Local Agency, OAH shall take immediate steps to stop performance and to cancel or reduce subsequent contract costs. C. OAH shall be entitled to payment for all allowable costs authorized under this agreement, including authorized non-cancelable obligations incurred up to the date of termination or cancellation, provided such expenses do not exceed the stated maximum amounts payable. 4. GOVERNING LAW: This contract is governed by and shall be interpreted in accordance with the laws of the State of California. 5. SETTLEMENT OF DISPUTES: In the event of a dispute, the Local Agency shall file a "Notice of Dispute" with the Director of OAH within 10 days of discovery of the problem. Within 10 days, the Director of OAH may meet with the Local Agency for purposes of resolving the dispute. The Director of OAH shall make the final administrative decision regarding a dispute. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C Page 11 of 12 A. APPROVAL REQUESTED TO TRANSFER FUNDS INTO DGS ACCOUNT EXHIBIT D Service Revolving Fund (SRF) Directive – Payment By Wire Transfer SERVICE REVOLVING FUND (SRF) DIRECTIVE Number: SRF # 1025 Subject: PAYMENT BY WIRE TRANSFER Date Issued: REV 10/2018 References: SAM Section 8091 PURPOSE To outline the process for a private company to set up wire transfer documents with their banking institution in making payments to the State of California, Department of General Services (DGS). PROCEDURES The following instructions are for the private company and their banking institution, the DGS Office contact person, and the DGS SRF Receivables Analyst in requesting and processing wire transfers: Either the private company or the DGS Office is to contact SRF Receivable Analyst by E-mail at SRFFISCALSERVICES@dgs.ca.gov to obtain approval to wire transfer funds into the DGS Account. The following information is needed along with any pertinent data that would help identify the nature of the payment: 1. Company Name 2. Company Representative (name, phone, e-mail and fax number) 3. DGS Office contact person name 4. Escrow Account Number 5. Reason for payment 6. Amount If you have any questions regarding the wire transfer process, please contact SRF Receivables Analyst by E-mailing to SRFFISCALSERVICES@dgs.ca.gov or by phone at 916-376-5182. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C Page 12 of 12 1) PRIVATE COMPANY & BANKING INSTITUTION Provide your banking institution with the following information to set up wire transfer payments to DGS (banking customer is responsible for the payment of any processing fee): ABA Routing Number: 026009593 Account Number: 14360-80784 Department of General Services OFS - SRF Fiscal Services 707 Third Street, 10th Floor West Sacramento, CA 95605 2) DGS OFFICE CONTACT PERSON Provide DGS OFS 2028 Report of Check/Cash Collection to the SRF Receivable Analyst as soon as you know that a wire transfer payment is in process. This will ensure the money is recorded properly in the Financial Information System for California (FI$Cal) Accounts Receivable Module. 3) DGS SRF RECEIVABLES ANLYST Once the wire transfer has been made, SRF Receivable Analyst will run the State Treasury Bank of America Report and apply the transfer using the Report of Check/Cash Collection or the E-mail from the private company or the DGS Office to record the transfer of funds in FI$Cal. B. WIRE TRANSFER PROCESS Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C Home About Board of Administration Precedential Board Decisions, Appeals & Hearings Precedential Board Decisions, Appeals & Hearings CalPERS administers laws and programs for retirement and health bene ts, which are all part of the California Government Code. Occasionally, disputes may arise over the interpretation of these laws or an individual's eligibility for bene ts. The CalPERS Board of Administration is responsible for resolving these disputes. The board has the power to designate any of its decisions as a "Precedential Decision" if it determines that it contains a signi cant legal or policy determination of general application that is likely to recur. Once an appeal decision has been designated as precedent, it will bind all future appeals to the extent that the disputed law and issues are the same, or until such time as the board de-publishes the decision, thereby rescinding its designation as binding. Administrative hearings are presided over by a neutral administrative law judge from the O ce of Administrative Hearings. They usually include the presentation of oral or written arguments, evidence, and witnesses. Many people choose to be represented by an attorney, but it's not required. A general description of the hearing process can be viewed on our General Procedures for Administrative Hearings page. Menu Administrative Appeals 4/24/25, 12:43 PM Precedential Board Decisions, Appeals & Hearings | CalPERS https://www.calpers.ca.gov/about/board/precedential-decisions-appeals-hearings 1/4 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C Regulations on Administrative Appeals These regulations govern administrative appeals with CalPERS and are part of Title 2 of the California Code of Regulations. Section 555.1. Right of Appeal Any applicant dissatis ed with the action of the executive o cer on his application, other than his referral of the matter for hearing, may appeal such action to the board by ling a written notice of such appeal at the o ces of the board within 30 days of the date of the mailing to him by the executive o cer, at his most recent address of record, of notice of the action and right of appeal. An appeal shall contain a statement of the facts and the law forming the basis for appeal. Upon a satisfactory showing of good cause, the executive o cer may grant additional time not to exceed 30 days, within which to le such appeal. Section 555.2. Statement of Issues Any applicant ling an appeal shall be entitled to a hearing, and upon the ling of an appeal in accordance with these rules, or upon the executive o cer's referral of any question for hearing, the executive o cer shall execute a statement of issues. Such action of the executive o cer shall not preclude the board from recalling the proceedings for its review or hearing. Section 555.3. Accusation Any member whose retirement for disability has been requested by his employer shall be entitled to a hearing. The executive o cer, upon determination that a member shall be retired for disability on such application, shall le an accusation and serve a copy thereof on the member and his employer. Section 555.4. Hearings 4/24/25, 12:43 PM Precedential Board Decisions, Appeals & Hearings | CalPERS https://www.calpers.ca.gov/about/board/precedential-decisions-appeals-hearings 2/4 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C All hearings shall be conducted in accordance with the provisions of Chapter 5, Part 1, Division 3, Title 2 of the Government Code. Each case shall be heard by the hearing o cer alone. All proposed decisions of hearing o cers shall be referred to the board. The executive o cer is hereby authorized and empowered to take, in the name and on behalf of the board, any action which the board is authorized or directed by law to take with respect to procedural and jurisdictional matters in connection with any case in which a statement of issues or accusation has been led. Board of Administration Board Committees Board Elections Board Meetings Board Members Governance & Policies Precedential Board Decisions, Appeals & Hearings Resources California Code of Regulations California Government Code Updated: October 9, 2019 Full Hearings Index of Precedential Board Decisions Resolution on Precedential Board Decisions 4/24/25, 12:43 PM Precedential Board Decisions, Appeals & Hearings | CalPERS https://www.calpers.ca.gov/about/board/precedential-decisions-appeals-hearings 3/4 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C We serve those who serve California. Copyright © 2025 California Public Employees' Retirement System (CalPERS) | State of California |||| ||| | Contact Job Opportunities Subscribe Privacy Policy Conditions of Use Accessibility Bilingual Services Judges' Retirement System Site Map 4/24/25, 12:43 PM Precedential Board Decisions, Appeals & Hearings | CalPERS https://www.calpers.ca.gov/about/board/precedential-decisions-appeals-hearings 4/4 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C fleCIMsustain Table of Contents Table of Contents .......................................................................................................................................... 1 Purpose of DGS .............................................................................................................................................. 3 DGS Rates ...................................................................................................................................................... 4 Division of the State Architect ....................................................................................................................... 5 Facilities Management Division ..................................................................................................................... 5 Office of Administrative Hearings ................................................................................................................ 16 Office of Fleet Asset Management .............................................................................................................. 18 Office of Legal Services ................................................................................................................................ 23 Office of Risk and Insurance Management .................................................................................................. 25 Office of State Publishing ............................................................................................................................ 28 Office of .................................................................................................................................................................... 28 Procurement Division................................................................................................................................... 34 Real Estate Services Division ........................................................................................................................ 37 Asset Management Branch ............................................................................................................................ 37 Construction Inspection and Management Branch ...................................................................................... 39 Project Management and Development Branch ........................................................................................... 40 2024-2025 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 2 Table of Contents Table of Contents .......................................................................................................................................... 2 Purpose of DGS .............................................................................................................................................. 3 DGS Rates ...................................................................................................................................................... 4 Division of the State Architect ....................................................................................................................... 5 Facilities Management Division ..................................................................................................................... 8 Office of Administrative Hearings ................................................................................................................ 16 Office of Fleet Asset Management .............................................................................................................. 18 Office of Legal Services ................................................................................................................................ 23 Office of Risk and Insurance Management .................................................................................................. 25 Office of State Publishing ............................................................................................................................ 28 Office of Sustainability ................................................................................................................................. 32 Procurement Division................................................................................................................................... 34 Real Estate Services Division ........................................................................................................................ 37 Asset Management Branch ......................................................................................................................... 37 Construction Inspection and Management Branch ..................................................................................... 39 Project Management and Development Branch .......................................................................................... 40 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 3 Purpose of DGS The Department of General Services (DGS) serves as the business manager for the State of California. With more than 4,000 employees and an operating budget of $1.2 billion, DGS serves the public by providing a variety of services to state agencies, local government, and other clients through innovative procurement and acquisition solutions, creative real estate management and design, environmentally friendly transportation, and through the implementation and enforcement of regulations and rules for the construction of safe schools and buildings throughout the state. Mission To deliver results by providing timely, cost-effective services and products that support our customers while protecting the interests of the State of California. Vision Excellence in the business of government. We strive to achieve excellence by providing our customers with the products and services they need in a professional manner that adds value. Values We have a set of core values that provide an important foundation for how we conduct ourselves and our business. These values are: •Integrity: We do the right things for the right reasons. •Accountability: We hold ourselves and each other responsible for all that we do. •Communication: We listen and share information openly, honestly, and respectfully, with the goal of mutual understanding and transparency. •Excellence: We strive for the best for each other and our customers. •Innovation: We cultivate ideas and implement improvements throughout our organization. •Teamwork: We value and respect our organizational diversity and work together to achieve great results. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 4 DGS Rates Every spring, the DGS Budget and Planning Section coordinates with each DGS program to develop a cost recovery plan for the upcoming two fiscal years (FY). This effort begins with each program’s baseline budget and the following cost recovery adjustments: •Personal Services Budget Letters •Budget Change Proposals •Pro Rata Adjustments •Distributed Administration Adjustments •Planned Position Realignments •Planned Vacancies Guiding Principles The primary purpose of the rate setting process is to recover the full costs of providing goods or services pursuant to the State Administrative Manual (SAM) section 9210 (revised and renumbered from 8752 on 01/2022) and Government Code (GC) sections 11010 and 11270. DGS has established guiding principles to achieve full cost recovery while minimizing large fluctuations. Those principles are: 1.Limit rate increases to three to five percent per year unless an event or situation dictates otherwise. 2.Align rates to ensure consistency with the Governor’s vision for California to incentivize specific statewide efforts such as clean energy, water conservation, green building, and other priority initiatives. 3.Each program should be self-sufficient. Rate Setting Methodology: Billable Hours Each DGS office is viewed as a separate entity. There are 11 major program areas consisting of over 200 individual rates. Once an accurate cost-to-recover is determined for each program, the program’s staff then analyze the amount of workload anticipated for the next two fiscal years. This is done by calculating the level of work anticipated for the next two fiscal years and projecting changes to the estimated service levels or outputs (billable hours, projected statewide spend, square footage, contracts, etc.). Each program produces multiple deliverables that include output justification packages describing each rate or service, the calculation of the projected outputs, and billable hours worksheets (if applicable). For hourly rates, the program determines the number of billable positions needed to produce the projected outputs, which are measured as billable hours and included in the costs to recover. The DGS rates are set at a level that will generate enough revenue to cover the costs of providing the service. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 5 Division of the State Architect The Division of the State Architect (DSA) provides design and construction oversight for K-12 schools, community colleges, and various other state-owned/leased facilities to ensure compliance with building standards. DSA rates are defined in statute by the Government Code and Education Code sections that establish the guidelines for each of its special funds. These rates can only be adjusted through an approved regulation packet, which proposes a change, addition, or deletion to existing regulations. DSA Rates Access Compliance DSA reviews construction plans and specifications for essential services buildings and other state-funded buildings and facilities. In addition, DSA reviews construction plans and specifications for K-12 public schools and California Community Colleges. Review of these projects is necessary to ensure compliance with state accessibility requirements for persons with disabilities. Fire and Life Safety DSA reviews plans and specifications for the construction of public schools, California Community Colleges, and state-owned/occupied essential services buildings for compliance with the California State Fire Marshal's building standards (authority: California Health and Safety Code). Structural Safety DSA reviews plans and specifications and inspects school building construction to ensure structural safety, as defined in the “Field Act,” for public schools and California Community Colleges. In addition, DSA reviews plans and specifications for the construction of state-owned/occupied essential services buildings to ensure structural safety, as defined in the “Essential Services Building Act.” This fee includes a charge for access compliance review services. DSA also examines and reports on the structural safety of existing California public school buildings. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 6 DIVISION OF THE STATE ARCHITECT RATES DESCRIPTION CY 2024-25 BY 2025-26 Access Compliance Rates State funded buildings and facilities access compliance plan review 0.5% of first $500,000 of project cost plus 0.25% of excess greater than $500,000 to $2,000,000 plus 0.1% of excess greater than $2,000,000 to $25,000,000 plus 0.08% of excess greater than $25,000,000 to $50,000,000 plus 0.06% of excess greater than $50,000,000 to $100,000,000 plus 0.04% of excess greater than $100,000,000 (Minimum Fee $500.00). 0.5% of first $500,000 of project cost plus 0.25% of excess greater than $500,000 to $2,000,000 plus 0.1% of excess greater than $2,000,000 to $25,000,000 plus 0.08% of excess greater than $25,000,000 to $50,000,000 plus 0.06% of excess greater than $50,000,000 to $100,000,000 plus 0.04% of excess greater than $100,000,000 (Minimum Fee $500.00). Elementary, secondary, and California Community College access compliance plan review 0.5% of first $500,000 of project cost plus 0.25% of excess greater than $500,000 to $2,000,000 plus 0.1% of excess greater than $2,000,000 to $25,000,000 plus 0.08% of excess greater than $25,000,000 to $50,000,000 plus 0.06% of excess greater than $50,000,000 to $100,000,000 plus 0.04% of excess greater than $100,000,000 (Minimum Fee $500.00). 0.5% of first $500,000 of project cost plus 0.25% of excess greater than $500,000 to $2,000,000 plus 0.1% of excess greater than $2,000,000 to $25,000,000 plus 0.08% of excess greater than $25,000,000 to $50,000,000 plus 0.06% of excess greater than $50,000,000 to $100,000,000 plus 0.04% of excess greater than $100,000,000 (Minimum Fee $500.00). Access compliance plan review and code analysis consulting services Estimates available upon request. Estimates available upon request. Fire Life and Safety Rates Public school, California Community College, and state- owned/occupied essential services building fire life and safety plan review 0.3% of first $1,000,000 of project cost plus 0.2% of excess greater than $1,000,000 to $5,000,000 plus 0.1% of excess greater than $5,000,000 to $25,000,000 plus 0.05% of excess greater than $25,000,000 to $100,000,000 plus 0.01% of excess greater than $100,000,000 (Minimum Fee $300.00). 0.3% of first $1,000,000 of project cost plus 0.2% of excess greater than $1,000,000 to $5,000,000 plus 0.1% of excess greater than $5,000,000 to $25,000,000 plus 0.05% of excess greater than $25,000,000 to $100,000,000 plus 0.01% of excess greater than $100,000,000 (Minimum Fee $300.00). Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 7 Historical Buildings Safety Rates State historical building plan review Estimates available upon request. Estimates available upon request. Structural Safety Rates Public school and California Community College structural safety plan review 0.765% of the first $1,000,000 of project cost plus 0.54% of the project cost exceeding $1,000,000 (Minimum Fee $250.00). 0.765% of the first $1,000,000 of project cost plus 0.54% of the project cost exceeding $1,000,000 (Minimum Fee $250.00). Essential services building structural safety plan review 1.5% of the first $1,000,000 of project cost plus 1.25% of project cost exceeding $1,000,000 (Minimum Fee $250.00). 1.5% of the first $1,000,000 of project cost plus 1.25% of project cost exceeding $1,000,000 (Minimum Fee $250.00). Examination and reporting on the structural safety of previously constructed California public school buildings. Estimates available upon request. Estimates available upon request. DSA Certification and Training Program For more information on programs, including Certified Access Specialist (CASp) Program and the Inspector Program, visit DSA’s website at: www.dgs.ca.gov/DSA Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 8 Facilities Management Division The DGS Facilities Management Division (FMD) is the largest division within DGS and provides administrative, maintenance, and custodial services to approximately 270 buildings statewide. FMD’s oversight responsibilities extend to various office buildings, warehouses, storage locations, the state’s central heating and cooling plant, stand-alone parking structures, and the state records warehouse. FMD operates and maintains state facilities that strive to be energy and water efficient and environmentally friendly. FMD maintains an Environmental Health and Safety Unit which provides support services to ensure compliance with federal and state regulations for asbestos, lead, chemical exposures, indoor air quality, hazardous waste, and ergonomics. FMD also provides construction services for minor tenant and client agency projects. FMD is committed to ensuring the safety and well-being of our assets, clients, and tenants. Material Changes to FMD Rates Assumptions Budget Letter for Employer Retirement Contributions (Control Section 3.60) Budget adjustments for employee retirement, as prescribed by Control Section 3.60 of the Budget Act, are projected to increase by 0.88%. The projected budgetary increase is approximately $1,008,000 in FY 2024-25 and $1,066,000 in FY 2025-26. Budget Letter for Employee Compensation Adjustments (Item 9800) Per bargaining unit agreements for salary & wages and benefits compensation, the projected budgetary increase for FMD is $4,934,000 in FY 2024-25 and $5,394,000 in FY 2025-26. Statewide General Administrative Expenditures (Pro Rata) The Pro Rata assessment for FMD is $19,861,421 in FY 2024-25 and $24,219,017 in FY 2025-26. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 9 FMD Rates Building Rental Rates The rental rates below are displayed on a cost per square foot month basis. Tenants in state-owned buildings are billed quarterly in arrears. In addition to the rental rate, the buildings listed below are subject to the Portfolio Management Lease Management Surcharge and the SPI Lease Management Surcharge found on page 42. BUILDING RENTAL RATES BUILDING UNIT CY 2024-25 BY 2025-26 8th and Q Office Buildings - 802 Q Street, Sacramento Office Space Square Ft. $2.66 $2.66 Storage Area Square Ft. N/A N/A 10th and O Street - 1021 O Street, Sacramento Office Space Square Ft. $2.66 $2.66 Storage Area Square Ft. N/A N/A Alfred E Alquist Building - 100 Paseo De San Antonio, San Jose Office Space Square Ft. $2.96 $3.10 Storage Area Square Ft. $0.74 $0.78 Attorney General – Sacramento - 1300 I Street, Sacramento Office Space Square Ft. $1.60 $1.68 Storage Area Square Ft. $0.60 $0.60 Blue Anchor - 1400 Tenth Street, Sacramento* Office Space Square Ft. $2.19 $2.19 Storage Area Square Ft. $0.60 $0.60 Board of Equalization - 450 N Street, Sacramento Office Space Square Ft. $2.04 $2.14 Storage Area Square Ft. $0.60 $0.60 CADA Building - 1304 O Street, Sacramento Office Space Square Ft. $2.19 $2.19 Storage Area Square Ft. $0.60 $0.60 CalEPA Building -1001 I Street, Sacramento Office Space Square Ft. $2.35 $2.46 Storage Area Square Ft. N/A N/A CALNET - 1115 P Street, Sacramento Office Space Square Ft. $2.66 $2.66 Storage Area Square Ft. $0.67 $0.65 Cal-Trans Dist. 3, Marysville - 703 B Street, Marysville Office Space Square Ft. $5.61 $5.61 Storage Area Square Ft. $0.60 $0.60 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 10 BUILDING RENTAL RATES BUILDING UNIT CY 2024-25 BY 2025-26 Cal Trans Dist. 11, San Diego - 4050 Taylor Street, San Diego Office Space Square Ft. $5.00 $5.14 Storage Area Square Ft. $0.80 $0.83 Clifford L Allenby Building - 1215 O Street, Sacramento* Office Space Square Ft. $3.54 $3.71 Storage Area Square Ft. N/A N/A Central Plant Office Space Square Ft. $0.60 $0.60 Storage Area Square Ft. N/A N/A Department of Justice Building - 4949 Broadway, Sacramento Office Space Square Ft. $1.92 $2.01 Storage Area Square Ft. $0.60 $0.60 East End – Sacramento - 1430 N Street, Sacramento Office Space Square Ft. $4.28 $4.38 Storage Area Square Ft. $0.60 $0.60 EDD Headquarters - 800 Capitol Mall, Sacramento* Office Space Square Ft. $2.64 $2.64 Storage Area Square Ft. $0.66 $0.65 EDD Solar - 751 N Street, Sacramento* Office Space Square Ft. $2.19 $2.19 Storage Area Square Ft. $0.60 $0.60 Edmund G. “Pat” Brown Building - 505 Van Ness Avenue, San Francisco Office Space Square Ft. $2.96 $3.10 Storage Area Square Ft. $0.74 $0.78 Elihu Harris – Oakland - 1515 Clay Street, Oakland Office Space Square Ft. $2.43 $2.55 Storage Area Square Ft. $0.61 $0.64 Food and Agriculture - 1220 N Street, Sacramento* Office Space Square Ft. $3.40 $3.51 Storage Area Square Ft. $0.60 $0.60 Franchise Tax Board - 9645 Butterfield Way, Sacramento Office Space Square Ft. $2.52 $2.60 Storage Area Square Ft. $0.60 $0.60 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 11 BUILDING RENTAL RATES BUILDING UNIT CY 2024-25 BY 2025-26 Gregory Bateson Building - 1600 Ninth Street, Sacramento* Office Space Square Ft. $2.25 $3.71 Storage Area Square Ft. N/A N/A Hugh Burns - 2550 Mariposa Mall, Fresno Office Space Square Ft. $1.92 $2.01 Storage Area Square Ft. $0.60 $0.60 Jesse Unruh Building - 915 Capitol Mall, Sacramento* Office Space Square Ft. $2.71 $3.71 Storage Area Square Ft. N/A N/A Joseph A. Rattigan Building - 50 D Street, Santa Rosa Office Space Square Ft. $2.10 $2.20 Storage Area Square Ft. $0.60 $0.60 Junipero Serra - 320 W 4th Street, Los Angeles Office Space Square Ft. $2.76 $2.89 Storage Area Square Ft. $0.69 $0.72 Library and Courts - 914 Capitol Mall, Sacramento* Office Space Square Ft. $8.43 $8.49 Storage Area Square Ft. $0.60 $0.60 Library and Courts Annex - 900 N Street, Sacramento* Office Space Square Ft. $2.96 $3.10 Storage Area Square Ft. $0.74 $0.78 March Fong Eu Secretary of State Building - 1500 11th Street, Sacramento* Office Space Square Ft. $2.66 $2.66 Storage Area Square Ft. $0.67 $0.65 May Lee State Office Complex - 651 Bannon Street, Sacramento Office Space Square Ft. $3.54 $3.71 Storage Area Square Ft. N/A N/A New Natural Resources HQ - 715 P Street, Sacramento* Office Space Square Ft. $3.54 $3.71 Storage Area Square Ft. N/A N/A Office Building #08 - 714 P Street, Sacramento* Office Space Square Ft. $4.39 $4.39 Storage Area Square Ft. $0.60 $0.60 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 12 BUILDING RENTAL RATES BUILDING UNIT CY 2024-25 BY 2025-26 Office Building #09 - 744 P Street, Sacramento* Office Space Square Ft. $4.30 $4.30 Storage Area Square Ft. $0.60 $0.60 Paul Bonderson Building - 901 P Street, Sacramento* Office Space Square Ft. $2.19 $2.19 Storage Area Square Ft. $0.60 $0.60 Red Bluff - 2440 Main Street, Red Bluff Office Space Square Ft. $1.92 $1.92 Storage Area Square Ft. $0.60 $0.60 Redding - 2135 Civic Center Drive, Redding Office Space Square Ft. $1.92 $1.92 Storage Area Square Ft. $0.60 $0.60 Rehabilitation (OB-10) - 721 Capitol Mall, Sacramento* Office Space Square Ft. $3.72 $3.87 Storage Area Square Ft. $0.60 $0.63 Resources Building - 1416 9th Street, Sacramento* Office Space Square Ft. $2.25 $3.71 Storage Area Square Ft. N/A N/A Riverside Cal-Towers - 3737 Main Street, Riverside Office Space Square Ft. $4.87 $4.87 Storage Area Square Ft. $0.65 $0.62 Ronald M George State Office Complex - 350 McAllister, San Francisco Office Space Square Ft. $2.24 $2.35 Storage Area Square Ft. $0.60 $0.60 Ronald Reagan State Building - 300 South Spring Street, Los Angeles Office Space Square Ft. $2.85 $2.99 Storage Area Square Ft. $0.71 $0.75 San Diego - 1350 Front Street, San Diego Office Space Square Ft. $2.65 $2.78 Storage Area Square Ft. $0.66 $0.70 San Diego Mission Valley - 7575 Metropolitan Drive, San Diego Office Space Square Ft. $3.33 $3.43 Storage Area Square Ft. $0.60 $0.60 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 13 BUILDING RENTAL RATES BUILDING UNIT CY 2024-25 BY 2025-26 State Capitol - 11th & Capitol Mall, Sacramento* Office Space Square Ft. $2.96 $3.10 Storage Area Square Ft. $0.74 $0.78 State Personnel Building - 801 Capitol Mall, Sacramento* Office Space Square Ft. $2.64 $2.64 Storage Area Square Ft. $0.66 $0.65 Stockton - 31 E Channel Street, Stockton Office Space Square Ft. $1.96 $1.96 Storage Area Square Ft. $0.60 $0.60 Van Nuys - 6150 Van Nuys Blvd, Van Nuys Office Space Square Ft. $2.02 $2.12 Storage Area Square Ft. $0.60 $0.60 Warren-Alquist State Energy - 1516 Ninth Street, Sacramento* Office Space Square Ft. $2.66 $2.66 Storage Area Square Ft. $0.67 $0.65 Water Resources - 3374 E. Shields Ave, Fresno Office Space Square Ft. $1.92 $2.01 Storage Area Square Ft. $0.60 $0.60 *Connected to Central Plant Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 14 Partial Services Hourly Rates FMD charges hourly rates to provide operations and maintenance services such as trades & crafts, engineering, grounds keeping, and custodial services at facilities throughout the state for non-DGS owned or managed buildings. These are known as the Partial Services rates. PARTIAL SERVICE RATES BY CLASSIFICATION POSITION CLASSIFICATION UNIT CY 2024-25 BY 2025-26 ASSOCIATE GOVERNMENTAL PROGRAM ANALYST Hourly $140.79 $140.79 BUILDING MAINTENANCE WORKER Hourly $92.78 $92.78 CARPENTER I Hourly $111.11 $111.11 CHIEF ENGINEER I Hourly $153.73 $153.73 CHIEF ENGINEER II Hourly $158.94 $158.94 CUSTODIAN Hourly $62.79 $65.93 CUSTODIAN II Hourly $56.95 $59.80 CUSTODIAN SUPERVISOR I Hourly $81.86 $81.86 CUSTODIAN SUPERVISOR II Hourly $86.58 $88.92 DIRECT CONSTRUCTION SUPERVISOR I Hourly $180.88 $180.88 DIRECT CONSTRUCTION SUPERVISOR II Hourly $217.44 $222.49 ELECTRICIAN I Hourly $123.90 $123.90 ELECTRICIAN II Hourly $131.10 $131.10 ELECTRONICS TECHNICIAN Hourly $111.93 $111.93 GROUNDSKEEPER Hourly $84.53 $84.53 LEAD GROUNDSKEEPER Hourly $93.67 $93.67 LEAP Hourly $74.85 $74.85 LOCKSMITH I Hourly $110.40 $110.40 MAINTENANCE MECHANIC Hourly $115.72 $115.72 OFFICE ASSISTANT (GENERAL) Hourly $82.02 $82.02 OFFICE ASSISTANT (TYPING) Hourly $82.02 $82.02 OFFICE BUILDING MANAGER I Hourly $146.89 $146.89 OFFICE BUILDING MANAGER II Hourly $161.44 $161.44 OFFICE BUILDING MANAGER III Hourly $170.51 $170.51 OFFICE TECHNICIAN (GENERAL) Hourly $82.02 $82.02 OFFICE TECHNICIAN (TYPING) Hourly $82.02 $82.02 PAINTER I Hourly $110.65 $110.65 PAINTER SUPERVISOR Hourly $123.99 $123.99 PLUMBER I Hourly $118.61 $118.61 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 15 PARTIAL SERVICE RATES BY CLASSIFICATION POSITION CLASSIFICATION UNIT CY 2024-25 BY 2025-26 STAFF SERVICES ANALYST (GENERAL) Hourly $110.10 $110.10 STAFF SERVICES MANAGER I Hourly $156.58 $156.58 STAFF SERVICES MANAGER II Hourly $177.27 $177.27 STAFF SERVICES MANAGER III Hourly $184.83 $193.67 STATIONARY ENGINEER Hourly $131.15 $131.15 STATIONARY ENGINEER APPRENTICE Hourly $103.64 $103.64 SUPERVISING GROUNDSKEEPER I Hourly $105.02 $105.02 SUPERVISING GROUNDSKEEPER II Hourly $112.83 $112.83 SUPERVISOR OF BUILDING TRADES Hourly $145.85 $147.96 TREE MAINTENANCE LEADWORKER Hourly $88.75 $93.19 TREE MAINTENANCE WORKER Hourly $88.75 $93.19 For additional information, please visit our website at: https://www.dgs.ca.gov/FMD Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 16 Office of Administrative Hearings The Office of Administrative Hearings (OAH) is a quasi-judicial tribunal that hears administrative disputes. Established by the California Legislature in 1945, OAH provides independent Administrative Law Judges (ALJs) to preside as neutral judicial officers at hearings, mediations, arbitrations, and settlement conferences. OAH consists of three divisions, Administration, General Jurisdiction and Special Education, and has five regional offices in Sacramento, Oakland, Los Angeles (two offices), and San Diego. The General Jurisdiction Division conducts hearings, mediations, and settlement conferences for more than 2,500 state and local agencies. The Special Education Division conducts special education due process hearings and mediations involving school districts and parents of children with special education needs throughout the state. Although OAH is housed within the Department of General Services for administrative purposes, it is an independent state entity under the direction and control of the Director of OAH, who is appointed by the Governor, and subject to confirmation by the Senate. OAH ALJs are highly trained legal professionals with experience in deciding cases involving complex issues. All OAH ALJs are appointed by the Director of OAH, and act independently from the agencies appearing before them in hearings, mediations, and all other administrative matters. OAH offers a wealth of experience, qualified ALJs, professional calendar staff, and the flexibility to mediate, arbitrate, or adjudicate administrative disputes at a cost substantially less than that charged by other providers. OAH assures that all parties receive a neutral and fair “day in court” while ensuring due process and respect for the dignity of all. For state agencies whose proceedings are subject to the Administrative Procedure Act (APA) (Gov. Code § 11370, et seq.), an interagency agreement is not required. Once an agency is established with OAH, OAH will direct-bill the state agency using the agency’s bill code. For state agencies and local agencies not subject to the APA, an interagency or local agency agreement is required before a case may be filed with OAH. OAH’s General Jurisdiction Division’s (GJ) rate structure has been in place for well over 20 years. There are a few GJ programs whose rates are contractually negotiated, and their costs are accounted for when developing the proposed hourly rate. Additionally, in 2004, OAH contracted with the California Department of Education (CDE) and OAH’s Special Education Division (SE) was formed resulting in separate rates for each division. The SE rate is determined through negotiations with CDE. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 17 Material Changes to OAH Rates Assumptions Budget Letter for Employer Retirement Contributions (Control Section 3.60) Budget adjustments for employee retirement, as prescribed by Control Section 3.60 of the Budget Act, are projected to increase by 0.88%. The projected budgetary increase is approximately $212,000 in FY 2024-25 and $1,167,000 in FY 2025-26. Budget Letter for Employee Compensation Adjustments (Item 9800) Per bargaining unit agreements for salary & wages and benefits compensation, the projected budgetary increase for OAH is $1,527,000 in FY 2024-25 and $1,549,000 in FY 2025-26. Statewide General Administrative Expenditures (Pro Rata) The Pro Rata assessment for OAH in FY 2024-25 is $3,070,000, and $3,744,000 in FY 2025-26. Administrative Law Judge Special Salary Adjustment Administrative Law Judge Position Pay Letter assumes employees with class codes 6016 (Administrative Law Judge), 6017 (Supervising Administrative Law Judge), and 6132 (Senior Administrative Law Judge) at the maximum salary rate for 12 qualifying pay periods are receiving a Special Salary Increase of 4.5%. This is on top of the General Salary Increase and it increases the baseline salary total by $385,000 in FY 2024-25 and FY 2025-26. OAH Rates OFFICE OF ADMINISTRATIVE HEARING RATES DESCRIPTION UNIT CY 2024-25 BY 2025-26 Administration Law Judge (General Jurisdiction) Per hour $395.00 $422.00 In-Person Filing Fee (General Jurisdiction) Per case $150.00 $150.00 Virtual Filing Fee (General Jurisdiction) Per case $100.00 $100.00 Electronic Evidence Fee Per case Contract Rate Contract Rate Electronic Recording Fee Per hearing/per calendar day $30.00 $30.00 Hearing Reporter Contract Rate Contract Rate Transcript Rate Contract Rate Contract Rate Interpreter Contract Rate Contract Rate For additional information, please contact OAH at (916) 263-0550 or visit our website at: https://www.dgs.ca.gov/OAH Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 18 Office of Fleet Asset Management The Office of Fleet and Asset Management (OFAM) provides statewide transportation and commute- related services with a customer-based focus. OFAM provides cost-effective vehicle services to meet the needs of state departments. OFAM is also responsible for the establishment, implementation, and maintenance of policies and procedures governing state owned mobile equipment. OFAM’s transportation related services include long-term vehicle rentals, vehicle inspections, parking, fully managed travel contracts, vehicle acquisition and disposition, and consultation regarding automotive management issues. In addition to transportation and commute related services, OFAM administers the State Surplus Property and Reutilization Program, the Federal Surplus Property Program, and offers client agencies quality supplemental storage through its Transit Storage Program. Material Changes to OFAM Rates Assumptions Budget Letter for Employer Retirement Contributions (Control Section 3.60) Budget adjustments for employee retirement, as prescribed by Control Section 3.60 of the Budget Act, are projected to increase by 0.88%. The projected budgetary increase is approximately $79,000 in FY 2024-25 and $83,000 in FY 2025-26. Budget Letter for Employee Compensation Adjustments (Item 9800) Per bargaining unit agreements for salary and wages, and benefits compensation. The projected budgetary increase for OFAM is $359,000 in FY 2024-25 and $365,000 in FY 2025-26. Statewide General Administrative Expenditures (Pro Rata) The Pro Rata assessment in FY 2024-25 for OFAM is $4,152,000. DGS Budgets and Planning Section projects the assessment to increase by 22% for FY 2025-26 to a total of $5,064,000. Increased Maintenance and Repair Expenditure Authority for Fleet Operations BCP For FY 2024-25 and continuing onto FY 2026-27 a budgetary authority increase of $1,200,000 Service Revolving Fund to fund increasing maintenance and repair costs associated with vehicles leased to state departments by OFAM’s Fleet Operations (Fleet Ops) program. Statewide Parking Program Increased Authority BCP For FY 2024-25 a budget authority increase of $2,500,000 Motor Vehicle Parking Facilities Money Account and a corresponding $2,600,000 authority increase in FY 2025-26 through FY 2029-30, and an ongoing $886,000 authority increase thereafter to support the Parking Administration Unit’s operational costs, facility maintenance and repair expenses. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 19 Fleet Ops Monthly Leasing Rate Increase for Insurance Assessment and AG Fees For FY 2024-25 Fleet Ops will implement a 7 percent rate increase in its monthly vehicle leasing rates for all vehicles leased to state departments. The rate increase will allow OFAM to absorb increased Insurance Assessments and to implement a billing procedure for Attorney General (AG) fees associated with leased vehicles that will attribute AG costs directly to the state department that incurred them. Fleet Ops Increase in Mileage Rate to Support Maintenance and Repair and New ZEV Vehicles Beginning in FY 2024-25 Fleet Ops will increase its milage rate assessed on leased vehicles from $0.10 per mile to $0.12 per mile in order to pay for both increased maintenance and repair costs to leased vehicles and to support the introduction of a new class of Zero Emission Vehicles. OFAM Rates Fleet Asset Management Program (FAMS) FAMS is charged with the responsibility of overseeing the state fleet in accordance with laws and mandates. State agencies report fleet data to OFAM which provides fleet analysis and reports to the administration, legislature, and the public. OFAM Inspection Services staff provide periodic and on- demand inspections of mobile equipment to ensure safety and contract oversight of mechanical services, equipment modifications, and repair work performed by private vendors. The program also oversees/performs accident inspections on behalf of the Office of Risk and Insurance Management, develops statewide fleet policy, implements federal fleet rules statewide, investigates and approves/denies vehicle acquisition and disposal requests, provides statewide fleet management consultation, and authorizes repairs by vendors throughout the State. State Surplus Property and Reutilization Program (SSPRP) SSPRP is responsible for the proper disposition of all state owned surplus personal property. Surplus property that is reusable and cannot be placed within another state agency is made available to eligible local government agencies and school districts, before being made available to the public via auctions. SSPRP provides disposition solutions for surplus and unwanted state-owned personal property for all state agencies. In addition, SSPRP disposes of confiscated or abandoned property within the State of California. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 20 Vehicle Decommissioning and Disposition OFAM provides state agencies and departments with decommissioning and disposition services for vehicles or equipment when they are no longer needed or cost-effective to operate and are sold at surplus auctions. Decommissioning services, include removal and disposal of license plates, Vehicle Identification Number (VIN) verification, vehicle cleaning, removal of state decals, and safety inspections. Disposition services include facilitating public auctions, posting online auctions, fleet analysis, and licensing, registration, titling, and transfer services. Disposal may be made by live public auction, online public auction, sealed bid, field sale, reutilization, or transfer of a vehicle between agencies. The disposal method is determined by using the most cost-effective method to the State. Transit Storage Program (TSP) TSP provides low-cost warehouse storage services for state agencies. Located in Sacramento, TSP can provide either pallet, racking, or high security storage. Material can be delivered to the warehouse or received directly from the supplier. There are no access fees, only a storage rate based on the number of cubic feet stored. Services include unloading, storing, tracking, reloading, and local delivery of customer property. Non-local delivery is available at an additional charge. Federal Surplus Property Program (FSPP) FSPP is responsible for obtaining federal surplus personal property for qualifying non-federal (local) governmental, non-profit, and small business organizations within the state for their business and operational needs. To sustain its operations, FSPP assesses a service and handling fee based upon the original acquisition cost (OAC) of the property acquired and placed with an eligible organization. FSPP also conducting annual compliance audits. This program provides a non-monetary value to the state by enabling local government agencies, non-profits, and small businesses access to surplus federal personal property. Statewide Travel Program (STP) STP assists state and local government travelers with their travel needs by obtaining the most economical rates available using contracted travel-related services for airfare, car rentals, travel agency, and travel payment system. Additionally, the STP provides emergency response travel arrangements to support large scale response efforts and state policy compliance services to ensure appropriate and cost-effective travel. STP also provides an online booking tool for travelers to make airline tickets, car rentals, rail, and hotel reservations all in one spot. Fleet Operations Program (Fleet Ops) Fleet Ops provides a fleet of vehicles for lease to support agencies transportation needs. Leasing through OFAM allows state agencies to take advantage of several fleet management services, which provide many benefits and cost savings for state agencies. These include all fleet reporting requirements, licensing and registration, insurance, recall, safety, repair and maintenance needs, fleet services call center, and roadside assistance. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 21 OFFICE OF FLEET AND ASSET MANAGEMENT RATES DESCRIPTION UNIT CY 2024-25 BY 2025-26 Fleet Asset Management Program Fleet Asset Management Fee Per Mobile Equipment Asset $160.00 $162.00 OFFICE OF FLEET AND ASSET MANAGEMENT RATES DESCRIPTION UNIT CY 2024-25 BY 2025-26 Surplus Property and Reutilization Auction Services - Disposition Fee Per vehicle $295.00 $295.00 Auction Services - Decommissioning Fee Per vehicle $105.00 $105.00 Transit Storage Standard Cubic Foot $0.52 $0.55 Transit Storage Secured Cubic Foot $0.54 $0.57 Federal Surplus Property Property Value 10% or $100 whichever is greater 10% or $100 whichever is greater Statewide Travel DESCRIPTION UNIT1 CY 2024-25 BY 2025-26 Travel Management Fee Transactions 1% of business client annual spend 1% of business client annual spend Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 22 OFFICE OF FLEET AND ASSET MANAGEMENT RATES Fleet Operations DESCRIPTION UNIT1 CY 2024-25 BY 2025-26 Gasoline Compact Sedan Monthly $463.00 $463.00 Gasoline Midsize Sedan Monthly $492.00 $492.00 Gasoline Full-size Sedan Monthly $542.00 $542.00 Hybrid Compact Sedan Monthly $426.00 $426.00 Hybrid Midsize Sedan Monthly $491.00 $491.00 Hybrid Full-size Sedan Monthly $511.00 $511.00 Plug-in Hybrid Electric Sedan Monthly $431.00 $431.00 Battery Electric Vehicle Monthly $402.00 $402.00 Hydrogen Fuel Cell Vehicle Monthly $529.00 $529.00 Police Package Vehicle Monthly $508.00 $508.00 Gasoline Small SUV Monthly $535.00 $535.00 Gasoline Medium SUV Monthly $564.00 $564.00 Gasoline Large SUV Monthly $607.00 $607.00 Hybrid Small SUV Monthly $510.00 $510.00 Hybrid Medium SUV Monthly $532.00 $532.00 Plug-in Hybrid Electric SUV Monthly $463.00 $463.00 Mini Pickup Truck Monthly $596.00 $596.00 1/2 Ton Pickup Truck Monthly $614.00 $614.00 1/2 Ton Pickup Truck BEV Monthly $870.00 $870.00 3/4 Ton Pickup Truck Monthly $684.00 $684.00 Large Cargo/Passenger Van Monthly $545.00 $545.00 Mini Cargo/Passenger Van Monthly $504.00 $504.00 Mini Van BEV Monthly $835.00 $835.00 Large Van BEV Monthly $700.00 $700.00 Plug-in Hybrid Electric Mini Passenger Van Monthly $458.00 $458.00 Fuel & Maintenance Mgmt. Fee % of total fuel, maintenance, and repair expense 1.80% 1.80% 1. The monthly flat rate for all vehicles does not include fuel expenses; additionally, there is a monthly usage fee of $0.12 per mile driven. For additional information, contact the Office of Fleet and Asset Management, (916) 928- 2550 or view the OFAM website at: https://www.dgs.ca.gov/OFAM Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 23 Office of Legal Services The Office of Legal Services (OLS) reviews non-IT service contracts for compliance with law and policy. OLS also provides guidance and training to state departments, internal DGS divisions and offices regarding the State’s contracting laws. OLS recommends best practices when contracting for services, provides contract pre-reviews and approves contracts on behalf of DGS. OLS attorneys also serve as hearing officers on bid protests. OLS in-house counsel services include providing legal advice on the State’s leveraged procurement of goods and services. OLS provides general legal advice on matters unique to the many DGS divisions, including but not limited to real estate transactions, construction, Public Records Act requests, human resources, regulations, legislation, and litigation. OLS attorneys also advise on human resources issues and represent DGS in administrative personnel matters. Material Changes to OLS Rates Assumptions Budget Letter for Employer Retirement Contributions (Control Section 3.60) Budget adjustments for employee retirement, as prescribed by Control Section 3.60 of the Budget Act, are projected to increase by 0.88%. The projected budgetary change is approximately $13,000 in FY 2024-25 and $14,000 in FY 2025-26. Budget Letter for Employee Compensation Adjustments (Item 9800) Per bargaining unit agreements for salary and wages, and benefits compensation. The projected budgetary change for OLS is $97,000 in FY 2024-25 and $94,000 in FY 2025-26. Statewide General Administrative Expenditures (Pro Rata) The Pro Rata assessment for OLS in FY 2024-25 is $168,000. DGS Budgets and Planning Section projects the Pro Rata for FY 2025-26 to be $205,000. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 24 OLS Rates Contract Review Services include assistance and advice in preparing effective solicitations, evaluation of contracts as to legal sufficiency, determining compliance with policy (including matters related to sound fiscal and business practice), and approving contracts on behalf of DGS in accordance with Government Code § 11256 and Public Contract Code § 10295. External Legal Advice/ Hearing Officer OLS provides advice on non-IT service solicitations and contracts and provides customized non-IT service contract training upon request. OLS attorneys serve as hearing officer on bid protests. OFFICE OF LEGAL SERVICES RATES DESCRIPTION UNIT CY 2024-25 BY 2025-26 Contract Review Per Contract $366.00 $366.00 External Legal Advice/Hearing Officer Hourly $170.00 $170.00 For additional information, contact the Office of Legal Services, (916) 376-5080 or view the OLS website at: https://www.dgs.ca.gov/OLS Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 25 Office of Risk and Insurance Management The Office of Risk and Insurance Management (ORIM) provides risk management and insurance services to state agencies and other public entities on an ongoing or project-specific basis. ORIM assists agencies in managing exposure to accidental losses that result from general operations, employment, motor vehicles, property ownership, and risk financing. ORIM oversees the equipment maintenance management insurance program, master property and builders risk programs, government claims, and motor vehicle claim program. Lastly, ORIM administers insurance programs for client agencies which includes analyzing risks and needs, insurance consulting and purchasing, and claims adjustments for the lowest available costs. Material Changes to ORIM Rates Assumptions Budget Letter for Employer Retirement Contributions (Control Section 3.60 Drill) Budget adjustments for employee retirement, as prescribed by Control Section 3.60 of the Budget Act, are projected to increase by 0.88%. The projected budgetary increase is approximately $20,000 in FY 2024-25 and $20,000 in FY 2025-26. Budget Letter for Employee Compensation Adjustments (Item 9800) Per bargaining unit agreements for salary & wages and benefits compensation, the projected budgetary increase for ORIM is $90,000 in FY 2024-25 and $92,000 in FY 2025-26. Statewide General Administrative Expenditures (Pro Rata) The Pro Rata assessment for ORIM in FY 2024-25 is $218,000. DGS Budgets and Planning Section projects an increase in Pro Rata for FY 2025-26, which is $265,000. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 26 ORIM Rates Equipment Maintenance Management Insurance Program The program was established to reduce costs attributed to service and maintenance agreements on equipment. The program is based on time and materials used versus traditional service agreements. As a result, up to a 25 percent savings is realized. ORIM contracts with an insurance broker who purchases the insurance for the program. ORIM provides quotes through its broker, processes invoices, and markets the program to other state agencies. Insurance Procurement Government Code §11007.7 provides that the purchase of insurance or official bonds is subject to the approval of DGS. Furthermore, when no state agency or department is specifically authorized to purchase insurance, DGS may procure the insurance. Included in purchasing is the policy administration for the term of the policy, administration of claims presented under the policy, and advice on loss and accident prevention to assist in the mitigation of risk. ORIM charges a surcharge to recover these administration expenses. In addition, ORIM purchases transit insurance directly for some client agencies based on actual costs. Claims Adjusting In accordance with Health and Safety Code §1527 et. seq., and §2580.2, ORIM provides claims adjusting services through an interagency agreement for the Department of Social Services (DSS). The services involve worker’s compensation claims adjusting and consultation for DSS’ In-House Support Services, CalWORKs, and Food Stamps Employment Training programs. Government Claims Program (GCP) The Tort Claims Act of 1963 established the manner which claims against the State are handled and defined the administrative role and remedies offered by the GCP. Pursuant to the Government Code, those who wish to file a lawsuit against the State, or its employees must first pursue an administrative remedy through GCP. The GCP process provides the State an opportunity to investigate and possibly settle claims without incurring litigation expenses. Claimants may not proceed with legal action against the State unless the GCP acts on claims or rejects them. Budget Change Proposal (BCP) 787-001-BCP-BR-2016-GB statutorily established GCP within DGS. Motor Vehicle Liability Insured agencies are charged a premium assessment based on past actual accident and loss experience. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 27 OFFICE OF RISK MANAGEMENT AND INSURANCE RATES DESCRIPTION UNIT CY 2024-25 BY 2025-26 Insurance Procurement - Procurement of Insurance Premiums per Premium 6.60% 6.60% Equipment Maintenance Management Program - Purchase of Insurance Premiums per Premium 3.50% 3.50% Claims Adjusting Worker’s Comp – External Hourly $113 $113 Government Claims Program – Filing Fee per File $25 $25 Motor Vehicle Liability Premium Varies Varies For additional information, contact the Office of Risk and Insurance Management, (916) 376-5300 or view the ORIM website at: https://www.dgs.ca.gov/ORIM Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 28 Office of State Publishing The Office of State Publishing (OSP) provides innovative printing solutions utilizing innovative technology in design, offset print, digital print, finishing and mass mail services for California’s state and public agencies, the California State Legislature, and the Governor’s Office. OSP provides legislative publications to the State Capitol, offers business cards and customized digital printing through its Web Store Front, and offers secure (compliant with Health Insurance Portability and Accountability Act of 1996 (HIPAA) and Internal Revenue Service Publication 1075 (IRS 1075) processing requirements) printing and distribution for insurance and medical notices and statement printing. In addition to its core print business, OSP operates several other programs and services that are beneficial to our state agency customers. The Interagency Mail & Messenger Service provides daily mail service between state offices in the greater Sacramento area, including Elk Grove and Rancho Cordova. The State Records Center offers secure and convenient offsite storage solutions for over 144 state agencies, and our vault storage option features a temperature and humidity-controlled environment for essential records. The Document Destruction Center facilitates the destruction of confidential paper records, microfilm, microfiche, cassettes, computer tapes and other recyclable materials. The Fulfillment Services Unit offers secure warehousing and distribution services by managing a catalog of literature and marketing materials to meet customer distribution demands. A full range of fulfillment services are also available for customers to request through OSP’s Web StoreFront. Material Changes to OSP Rates Assumptions Budget Letter for Employer Retirement Contributions (CS 3.60 Drill) Budget adjustments for employee retirement, as prescribed by Control Section 3.60 of the Budget Act, are projected to increase by 0.88%. The projected budgetary increase is approximately $166,000 in FY 2024-25 and $177,000 in FY 2025-26. Budget Letter for Employee Compensation Adjustments (9800 Drill) Per bargaining unit agreements for salary & wages and benefits compensation, the projected budgetary increase for OSP is $748,000 in FY 2024-25 and $793,000 in FY 2025-26. Statewide General Administrative Expenditures (Pro Rata) The Pro Rata assessment for OSP in FY 2024-25 is approximately $5,457,000. DGS Budgets and Planning Section projects an increase to approximately $6,654,000 in Pro Rata for FY 2025-26. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 29 OSP Rates OSP has been utilizing the same basic rate structure since 2015, as identified throughout this package. Rates are set based on the forecasted total machine output hours divided by the total costs to operate the machine, which includes fixed and variable overhead expenses. The methodology used to absorb OSP Administration, Distributed Administration, and Statewide Pro Rata costs across OSP rates remains the same as in prior years. This methodology uses position dollars (50% number of positions and 50% position dollars), which mirrors the departmental methodology for allocating Distributed Administration. OSP is proposing two new rates in FY 2025-26 for the In-Plant and New Warehouse Operations. Both rates were developed to fairly recover OSP’s costs to customers receiving the benefit of each service. OSP’s hourly machine rates are not a direct correlation of the cost to the customer. Due to the complexity of customized print job specifications, OSP provides all its customers with an all-inclusive cost estimate for each print order. OSP uses improvements in efficiencies, production practices, and economies of scale to minimize the overall cost to its customers. The Price Book includes rates for the State Record Center, Document Destruction, Graphic Design, Interagency Mail and Messenger Service, Business Cards, and all items posted on the Web Store Front. State Records Management Records Management includes the operation of records centers for the economical storage of records which must be retained without being kept in high-cost office areas. This service also includes the provision of vault facilities for the permanent storage of the State’s vital or essential records in case of a disaster (microfilm copies only). The following State Records Management Fees were established to recover costs associated with the State Records Center (SRC) and/or Document Destruction Center (DDC) operations. These services provide low- cost record storage for all State agencies: OFFICE OF STATE PUBLISHING – STATE RECORDS MANAGEMENT RATES DESCRIPTION UNIT CY 2024-25 BY 2025-26 Records Storage Fee Cubic Feet $6.17 $6.38 Long Term Storage Fee Cubic Feet $2.40 $2.48 Essential Records Storage Fee Cubic Feet $28.83 $29.84 Confidential Destruction Fee Pounds $0.19 $0.20 Plastics Destruction Fee Pounds $0.40 $0.41 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 30 Record Pulls Transaction $2.85 $2.95 Re-File Fee Transaction $2.85 $2.95 Pre-End Retention/Early Withdrawal Fee1 Transaction $0.00 $0.00 e-Pull Fee1 Transaction $0.00 $0.00 1e-Pull Fee and Pre-End Retention/Early Withdrawal Fee is being discontinued starting CY 2024-25 Production The Production Cost Centers perform a variety of print services for the Legislature and other state agencies. These services include, but not limited to, composition, offset and digital printing, bindery finishing and mailing services, in order to produce finished printed products. Some of these products include legislative bills and publications, annual reports, driver’s handbooks, voter guides, tax booklets, etc. The Government Code from sections 14650-14912 form the foundation for the printing services provided. OSP is a fee-for- service agency. The production unit provides the following services: 1. Advertising & Design: Provides state agencies an opportunity to reduce their printing costs through the incorporation of paid advertising in their publications and mailings. 2. Electronic Prepress (EPP): Provides electronic prepress services as well as proofreading services. EPP ensures that each offset print project that passes through OSP is prepared and setup correctly for its journey through the presses. 3. Press Services: Provides quality printed materials to a wide variety of state agencies as well as providing digital on demand printing for all legislative publications and documents for the Capitol. 4. Bindery: Performs all the finishing processes on all jobs including packaging and some distribution and mailing. OSP assure the customer receives a quality final product as specified by the customer. 5. Digital Print: Uses digital printing equipment to provide quality variable and secure printed materials to a wide variety of state agencies as well as acting as a back-up for all Legislative publications. 6. Digital Prep and Finishing: Provides prepress services as well as proofreading services ensuring that each Digital print project that passes through OSP is prepared and setup correctly for its journey through the presses. 7. Digital Mass Mail: Uses digital mass mailing equipment to provide mailing services to a wide variety of state agencies. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 31 For BY 2025-26 OSP is introducing two new programs: In-Plant Operation The In-Plant Operation program will provide statewide services and control for 21 agencies by constantly focusing on equipment utilization and customer needs analyses to identify opportunities to increase outputs and better leverage its economies. The rate for each agency is based on the forecasted number of staff involved in operations of these plants. Warehouse Operation This program was established to fulfill printing service requirements to meet changing market conditions. OSP must purchase and maintain appropriate stock of necessary printing and specialized paper materials. In order to maintain minimum inventory levels and avoid disruptions, OSP has leased approximately 80,000 square feet of additional warehouse space to store necessary paper and related commodities. The proposed rate will be based on the allocation cost for square footage that each customer occupies in the warehouse. OFFICE OF STATE PUBLISHING – WAREHOUSE OPERATION DESCRIPTION UNIT CY 2024-25 BY 2025-26 Floor Space Sq. Ft. $0.00 $2.10 Pallet Racking Bin $0.00 $82.95 Estimates and consultation available upon request for brochures, newsletters, bulletins, catalogs, instructional manuals, booklets, magazines, and others. Please contact the Office of State Publishing at (916) 445-5386 or (800) 963-7860 or visit our website at www.dgs.ca.gov/osp. OFFICE OF STATE PUBLISHING – IN-PLANT OPERATION DESCRIPTION UNIT CY 2024-25 BY 2025-26 Service Fee PY $0.00 $2,398 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 32 Office of Sustainability The Office of Sustainability (OS) provides sustainability-related services for all state agencies, including policy development, energy-saving retrofits, clean energy generation projects, and electric vehicle infrastructure. Key program areas to meet customer needs include renewable clean energy generation (solar and wind), energy retrofits in existing facilities, zero net energy (ZNE) building policy development, electric vehicle supply equipment (EVSE) infrastructure, benchmarking, and recycling. California continues to reduce its environmental footprint through sustainable state government operations and practices, including energy and water efficient building design, construction and operation, renewable energy generation at state facilities, environmentally preferable purchasing, and green transportation policies. Material Changes to OS Rates Assumptions Budget Letter for Employer Retirement Contributions (Control Section 3.60) Budget adjustments for employee retirement, as prescribed by Control Section 3.60 of the Budget Act, are projected to increase by 0.88%. The projected budgetary increase is approximately $22,000 in FY 2024-25 and $23,000 in FY 2025-26. Budget Letter for Employee Compensation Adjustments (Item 9800) Per bargaining unit agreements for salary & wages and benefits compensation, the projected budgetary increase for OS is $68,000 in FY 2024-25 and $70,000 in FY 2025-26. Statewide General Administrative Expenditures (Pro Rata) The Pro Rata assessment for OS in FY 2024-25 is $356,000. DGS Budgets and Planning Section projects Pro Rata for FY 2025-26 to increase to $434,000. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 33 OS Rates Energy Savings Unit The Energy Savings Unit provides project management of energy retrofit project in state facilities for small to large and complex energy projects. Clean Energy Unit The Clean Energy Unit provides planning, due diligence, tax analysis, California Environmental Quality Act review, contracting of power purchase agreements, site license agreements, and design and construction oversight for renewable energy projects including solar and wind projects in state facilities. Additionally, as new clean energy options become viable, such as evolving storage technologies, this group will develop new clean energy programs in response to technological and industry developments. Transportation Unit The Transportation Unit will manage the planning, site assessment, design, and construction of electric vehicle service equipment for charging zero emission vehicles in both fleet and workplace applications. Additionally, this group will support the development of other clean transportation options, including fuel cell charging and the Bike Share program. Rates Structure: OS was created as a part of the Real Estate Services Division (RESD) reorganization for FY 2017-18. The rate structure was established in 2017-18. The rate structure is consistent with RESD’s rate structure. OFFICE OF SUSTAINABILITY RATES DESCRIPTION UNIT CY 2024-25 BY 2025-26 Energy Savings Unit Hourly $215.00 $215.00 Clean Energy Unit Hourly $215.00 $215.00 Transportation Unit Hourly $215.00 $215.00 For additional information, contact the Office of Sustainability, (916) 443-9838 or view the OS website at: https://www.dgs.ca.gov/OS Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 34 Procurement Division The Procurement Division (PD) sets procurement policies and provides purchasing services for state agencies. PD consists of five branches: (1) Acquisitions, (2) Operations, (3) Engineering, (4) Office of Small Business and Disabled Veteran Business Enterprise Services, and (5) Policy, Training and Customer Services. It delegates purchasing authority; certifies small and/or disabled veteran businesses to do business with the State; sponsors the Small Business Council; participates in the Disabled Veterans Business Enterprise Council; and provides innovative purchasing methods that save taxpayers' dollars, integrating quality solutions to meet customers' needs. Material Changes to PD Rates Assumptions Budget Letter for Employer Retirement Contributions (Control Section 3.60) Budget adjustments for employee retirement, as prescribed by Control Section 3.60 of the Budget Act, are projected to increase by 0.88%. The projected budgetary increase is approximately $208,000 in FY 2024-25 and $223,000 in FY 2025-26. Budget Letter for Employee Compensation Adjustments (Item 9800) The projected budgetary increase for PD is $910,000 in FY 2024-25 and $968,000 in FY 2025-26. Statewide General Administrative Expenditures (Pro Rata) The Pro Rata assessment for PD in FY 2024-25 is approximately $3,631,000. DGS Budgets and Planning Section projects increase of $797,000 in Pro Rata assessments for a total of $4,428,000 for FY 2025-26. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 35 PD Rates Purchasing Surcharge This fee includes all the services listed below, as well as Small Business (SB) and Disabled Veteran Business Enterprise (DVBE) services. The DVBE and SB Certification Programs were established to increase business opportunities for the DVBE and SB communities with the State of California and level the playing field with certain advantages when competing against other non-DVBE's and non-SBs for state contracts and purchases. PD also assists SB's and DVBE's in a variety of ways, including conducting outreach events, providing resource guidance, and supporting the businesses through advocacy. The Disabled Veteran Business Enterprise Certification Program certifies eligible businesses for the DVBE Participation Program, which has a goal to use DVBEs in at least three percent of the State’s overall annual contract dollars. The Small Business Certification Program certifies eligible businesses for the five percent small business preference and the Small Business Participation Program, which has a goal to use SBs in at least 25 percent of the State’s overall annual contract dollars. 1. Purchase Order Issuance: Includes SB/DVBE services, purchase estimate processing, bid preparation and evaluation, product testing, product standards and specifications development, quality control review and product inspection, and materials expediting, including vendor performance follow up. The Procurement Division provides stimulus and business information services to further small business participation in state contracting. A surcharge is placed on contracts executed by the State of California. Refer to the State Contracting Manual for submission guidelines and due dates. 2. Leveraged Procurement Agreements: Issuance of Leveraged Procurement Agreements (LPA) (Statewide Contracts, Master Purchase/Rental/Service Agreements, and Software Licensing Program Contracts) for use by state and local agencies in acquiring IT and non-IT goods or services. Includes bid preparation and evaluation, product testing, product standards and specifications development, quality control review and product inspection, and materials expediting including vendor performance follow up. Note: Suppliers are charged an incentive fee of 1.25% per transaction for local use of all Leveraged Procurement Agreements. 3. Purchasing Authority (Delegated Procurements): Charge for management and compliance of delegated procurements made directly by state agencies. Charge does not apply to Interagency agreements executed under a state agency’s purchasing authority. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 36 4. California Multiple Award Schedule (CMAS): Agreements with manufacturers and suppliers to provide products and services off Federal General Services Administration (GSA) schedules. This fee is waived when the CMAS supplier is a small business. 5. Financing Procurement: Low-interest, lease/purchase financing option for major acquisitions. For additional information contact the GS $Mart within the Procurement Division at (916) 375-4617. 6. Purchasing – Recycled Products: The Procurement Division provides information regarding specifications and sources of supply for purchases of products made all or in part from recycled materials. For additional information refer to the Procurement Division’s Environmentally Preferable Purchasing (EPP) Buying Green Guide at https://www.dgs.ca.gov/PD/Resources/Find- EPP-Goods-and-Services. PROCUREMENT DIVISION RATES DESCRIPTION UNIT CY 2024-25 BY 2025-26 Purchase Surcharge1 Purchase Order Issuance Annually, in quarterly installments Percent-to-total based on 3-Year Average Billable Spend Percent-to-total based on 3-Year Average Billable Spend Leveraged Procurement Agreements2 Annually, in quarterly installments Percent-to-total based on 3-Year Average Billable Spend Percent-to-total based on 3-Year Average Billable Spend Purchasing Authority (Delegated Procurements) Annually, in quarterly installments Percent-to-total based on 3-Year Average Billable Spend Percent-to-total based on 3-Year Average Billable Spend California Multiple Award Schedule (CMAS) Annually, in quarterly installments Percent-to-total based on 3-Year Average Billable Spend Percent-to-total based on 3-Year Average Billable Spend Financing Procurement Annually, in quarterly installments Percent-to-total based on 3-Year Average Billable Spend Percent-to-total based on 3-Year Average Billable Spend 1 Beginning in FY 2022-23, customers are billed quarterly based on their 3-year average billable spend percent-to-total applied to PD’s costs to recover (minus other projected revenue sources). 2 A 1.25% incentive fee is collected from suppliers for local use of all LPAs. For further information contact the Procurement Division at: PDInvoiceQuestions@dgs.ca.gov, (916) 375- 2010, or visit our Change in PD Billing Methodology webpage. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 37 Real Estate Services Division The Real Estate Services Division (RESD) provides comprehensive real estate services to all state agencies. Comprised of three operational branches, RESD conducts asset planning, property sales and acquisition, project management, architectural and engineering services, leasing and planning, construction management, energy efficiency and supply programs, and environmental assessments, including the management of state-owned and leased facilities. Asset Management Branch The Asset Management Branch (AMB) serves as the initial point of contact in the Real Estate Services Division for our customers and is the single point of entry for requesting new services. AMB oversees leasing, space planning and interior design, sales, appraisal, and acquisition services. AMB is also responsible for maximizing the performance of state real estate assets by identifying and implementing value enhancement solutions for unused and underutilized state-owned properties. Material Changes to AMB Rates Assumptions Budget Letter for Employer Retirement Contributions (Control Section 3.60) Budget adjustments for employee retirement, as prescribed by Control Section 3.60 of the Budget Act, are projected to increase by 0.88%. The projected budgetary increase is approximately $135,000 in FY 2024-25 and $139,000 in FY 2025-26. Budget Letter for Employee Compensation Adjustments (Item 9800) Per bargaining unit agreements for salary & wages and benefits compensation, the projected budgetary increase for AMB is $586,000 in FY 2024-25 and $646,000 in FY 2025-26. Statewide General Administrative Expenditures (Pro Rata) The Pro Rata assessments for AMB are $1,973,000 in FY 2024-25 and $2,406,000 in FY 2025-26. AMB Rates Portfolio Management The Portfolio Management Section ensures RESD real estate services are provided to state agencies from a statewide strategic asset management perspective and reflect state management, policy, and statutory priorities. To fulfill this broad role, Customer Services Managers work with specific assigned state agencies and Regional Portfolio Managers to maintain comprehensive information on an assigned group of buildings within geographic regions. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 38 Statewide Property Inventory (SPI) Records The SPI Unit keeps a detailed inventory of the state’s real property assets including land, structures/improvements, leased space, and state-owned space leased to others. State agencies are required to submit this data to the SPI Unit and are assessed an annual per record surcharge rate on proprietary land holding records for maintenance of the inventory system. An inventory of all state proprietary land holdings and leases is maintained and available for reference. Real Estate Leasing and Planning Services (RELPS) RELPS provides statewide leasing, lease management, and space planning services in privately-owned space for state tenants. The section develops and implements policies and applicable laws for conducting lease negotiations, competitive bidding, and all leasing and planning work processes to meet client program requirements. State Owned Leasing and Development (SOLD) The SOLD Unit manages the statewide program to lease underutilized state real property to non-state entities. SOLD has entered into over 500 active leases for the state including more than 60 leases in DGS controlled buildings. SOLD has also entered into over 350 active telecommunication leases of private property on behalf of state tenants such as the California Highway Patrol, CalFire, and the Office of Emergency Services, as well as leasing state-owned property to private telecommunication firms. Real Property Services Section (RPSS) RPSS provides real estate review, regulatory and support services related to the acquisition, use, and sale of state-owned, other public, and private real property. Services are provided to state agencies, other public, and private sector entities. Services include appraisal, appraisal review, project coordination, site selection and acquisition, acquisition review, real estate due diligence, easement conveyances, state-owned property leasing and telecommunications leasing of state-owned, other public, and private real property. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 39 Construction Inspection and Management Branch The Construction Inspection and Management Branch (CIMB) provides a full range of construction phase services for public works projects statewide to ensure the highest quality of construction is provided to the state in its state-owned buildings and facilities. Any combination of construction phase services are available to state agencies that have authorization to administer their own construction programs. The services are tailored to suit the size, complexity and specific project needs of the client agency’s management staff, and their operational and program needs. CIMB’s goal as the State’s representative in the construction process is to provide the client with the best possible outcome with the least amount of disruption while bringing a positive attitude, and exercising tact, good judgement, and fairness in a professional manner. Material Changes to CIMB Rates Assumptions Budget Letter for Employer Retirement Contributions (Control Section 3.60) Budget adjustments for employee retirement, as prescribed by Control Section 3.60 of the Budget Act, are projected to increase by 0.88%. The projected budgetary increase is approximately $75,000 in FY 2024-25 and $77,000 in FY 2025-26. Budget Letter for Employee Compensation Adjustments (Item 9800) Per bargaining unit agreements for salary & wages and benefits compensation, the projected budgetary increase for CIMB is $232,000 in FY 2024-25 and $356,000 in FY 2025-26. Statewide General Administrative Expenditures (Pro Rata) The Pro Rata assessments for CIMB are $1,142,000 in FY 2024-25 and $1,392,000 in FY 2025-26. Transition from an Hourly Rate to Annually Assessed Fee Starting in FY 2023-24, RESD-CIMB transitioned from an hourly rate to an annually assessed fee for client agencies. This structure assigns clients a share of expenses which are calculated based on prior three years of charges to clients to establish their annual charge. CIMB still maintains an hourly rate for requests from clients that are atypical, either in terms of their project scale or with respect to the requesting department. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 40 CIMB Rates Construction Supervision Full range of construction phase services including construction management, quality assurance inspection and observation, California building codes and regulations compliance, construction contract compliance, after-contract guarantee enforcement and dispute resolution. Project Management and Development Branch The Project Management and Development Branch (PMDB) provides architectural and engineering services, space planning and interior design, construction and construction inspection services, energy and environmental services, and other competencies such as seismic retrofits, asbestos abatement, and underground tank removal. PMDB additionally provides project management services for complex real estate projects. PMDB manages the design and construction process on behalf of state agencies and departments. PMDB assists state agencies and departments in developing conceptual documents for cost and budget control, programming, site planning and master planning, and other documents for conceptualizing capital outlay projects that are necessary to obtain legislative authorization and funding projects. Material Changes to PMDB Rates Assumptions Budget Letter for Employer Retirement Contributions (Control Section 3.60) Budget adjustments for employee retirement, as prescribed by Control Section 3.60 of the Budget Act, are projected to increase by 0.88%. The projected budgetary increase is approximately $213,000 in FY 2024-25 and $217,000 in FY 2025-26. Budget Letter for Employee Compensation Adjustments (Item 9800) Per bargaining unit agreements for salary & wages and benefits compensation, the projected budgetary increase for PMDB is $685,000 in FY 2024-25 and $1,002,000 in FY 2025-26. Statewide General Administrative Expenditures (Pro Rata) The Pro Rata assessments for PMDB are $3,081,000 in FY 2024-25 and $3,757,000 in FY 2025-26. Transition from an Hourly Rate to Annually Assessed Fee Starting in FY 2023-24, RESD-PMDB transitioned from an hourly rate to an annually assessed fee for client agencies. This structure assigns clients a share of expenses which are calculated based on prior three years of charges to clients to establish their annual charge. PMDB still maintains an hourly rate for requests from clients that are atypical, either in terms of their project scale or with respect to the requesting department. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 41 PMDB Rates Architectural Assistant Services Architectural Assistant services provides design support services and minor design services to architectural and engineering staff. These services are technical in nature but do not need to be performed by more experienced or licensed staff. Examples include minor CAD/REVIT work and 3D modeling. Architecture, Engineering, Environmental, and Project Management Architecture, Engineering, Environmental, and Project Management provides complete architectural, environmental, civil, structural, mechanical, and electrical engineering services; project management for large and complex projects including capital outlay, energy, hazardous materials, environmental planning and compliance, special repairs, studies and surveys and program management of programs with a defined scope that respond to special needs identified by state initiatives, departments, legislative mandates, or the governor. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 42 REAL ESTATE SERVICES DIVISION RATES DESCRIPTION UNIT CY 2024-25 BY 2025-26 Asset Management Branch Portfolio Management-Lease Management Surcharge Per Lease 0.60% 0.60% State Property Inventory Records Per Record $2.50 $2.50 SPI-Lease Management Surcharge Per Lease 0.08% 0.08% RELPS-Surcharge Per Lease 3.25% 3.37% RPSS-Real Estate Services Hourly $217.00 $240.00 Construction Inspection and Management Branch 1 Construction Supervision Annually Assessed Fee Based on 3-Year Average Billable Workload Assessed Fee Based on 3-Year Average Billable Workload Project Management and Development Branch 1 Architectural Assistant Services Annually Assessed Fee Based on 3-Year Average Billable Workload Assessed Fee Based on 3-Year Average Billable Workload Architecture, Engineering, Environmental, and Project Management Services Annually Assessed Fee Based on 3-Year Average Billable Workload Assessed Fee Based on 3-Year Average Billable Workload 1Each client is billed annually based on their prior 3-year average billable workload, less outlying projects, or other atypical expenses. An hourly rate is still maintained for projects that are atypical, either in terms of their project scale or with respect to the requesting department. Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C 43 Docusign Envelope ID: 6760BB29-0EF1-411D-8100-CE1FB7963E4C