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7.1.B. - Page 4 <br /> county-wide agreement). Since neither the City, County nor other participating city has <br /> owned and operated an animal control facility, the options have been limited. <br /> However, the County has recently initiated a project to construct a new animal shelter, <br /> as Council is aware from its March 24, 2014 action to approve a Memorandum of <br /> Agreement to pay the County an annual interest-free lease payment as a proportional <br /> share of the construction cost. When this facility is completed, the County and cities will <br /> have more service options available for obtaining animal control services. The timing of <br /> the proposed agreement (five years) will give the County and cities time to explore <br /> these options. <br /> FISCAL IMPACT <br /> Redwood City's estimated 2015-16 allocation payment for animal control services is <br /> $680,982. This amount will be included in the proposed 2015-16 budget. This reflects a <br /> $2,319 increase/decrease over the City's 2014-15 payment. Going forward, the cost <br /> increases for the total contract will be either 2.5% or 3% annually depending on the <br /> year. The City's allocation of the total will be calculated based on a three-year average <br /> of service usage as explained above. <br /> ENVIRONMENTAL REVIEW <br /> This activity is not a "project" under California Environmental Quality Act (CEQA) as <br /> defined in CEQA Guidelines, section 15378, because it has no potential for resulting in <br /> either a direct or foreseeable physical change in the environment. <br /> AUDREY SEYMOUR RAMBERG <br /> ASSISTANT CITY MANAGER <br /> ROBERT B. BELL <br /> CITY MANAGER <br /> ATTACHMENT <br /> -Agreement <br />