MEMBERS

FIONA MA, CPA, CHAIR

State Treasurer

MALIA M. COHEN

State Controller

JOE STEPHENSHAW

Director of Finance

EXECUTIVE DIRECTOR

Shela Tobias-Daniel

Physical Address:

901 P St, 3rd Floor Sacramento, CA 95814

Mailing Address:

P.O. Box 942809 Sacramento, CA 94209 p (916) 654-5610 f (916) 589-2805 cpcfa@treasurer.ca.gov www.treasurer.ca.gov/cpcfa

CALIFORNIA POLLUTION CONTROL FINANCING AUTHORITY

California Pollution Control Financing Authority (CPCFA)

Request for Proposals No. CPCFA02-25

Trustee Services for the CPCFA Financing Programs

NOTICE TO PROSPECTIVE PROPOSERS

November 7, 2025

You are invited to review and respond to this Request for Proposal (RFP) No.

CPCFA02-25, entitled Trustee Services for the CPCFA Financing Programs.

CPCFA is requesting proposals from firms with extensive experience to provide trustee services to CPCFA’s financing programs.

Proposals for these services must comply with the instructions included in the RFP.

The RFP includes the Sample Standard Agreement the selected firm will be expected to execute. The agreement that will be entered into with the State of California (State) will include by reference the General Terms and Conditions and Contractor Certification Clauses that may be viewed and downloaded at https://www.dgs.ca.gov/OLS/Resources/Page-Content/Office-of-Legal-Services- Resources-List-Folder/Standard-Contract-Language. The General Terms and Conditions and all Exhibits that are a part of the Sample Standard Agreement are not negotiable. By submitting a proposal, your firm agrees to the terms and conditions stated in this RFP.

In the opinion of CPCFA, this RFP is complete and without need of explanation.

However, if you have questions, or should you need any clarifying information, the contact person for this RFP is:

Youki Arai California Pollution Control Financing Authority

901 P Street, Suite 313A, Sacramento, CA 95814

CalCAP@treasurer.ca.gov https://www.dgs.ca.gov/OLS/Resources/Page-Content/Office-of-Legal-Services-Resources-List-Folder/Standard-Contract-Language https://www.dgs.ca.gov/OLS/Resources/Page-Content/Office-of-Legal-Services-Resources-List-Folder/Standard-Contract-Language mailto:melissa.foster@treasurer.ca.gov

Questions regarding this RFP must be submitted in writing no later than November 12, 2025, no later than 5:00 PM PT. Answers to the questions will be posted on November 14, 2025 in the California State Contracts Register (CSCR). Please note that no verbal information provided will be binding upon the State unless such information is also issued in writing as an official addendum.

The RFP is competitive and CPCFA and State Treasurer’s Office protocol requires that prospective Proposers (and their agents) refrain from advocating or inquiring about the status of the selection process unless contacted by CPCFA. Any necessary contact with the State regarding this request should be directed to the contact provided above, unless instructed otherwise by a member of the CPCFA. Failure to adhere to this protocol may result in disqualification.

Sincerely, Shela Tobias Daniel, Executive Director California Pollution Control Financing Authority

Table of Contents Section Page

A. Purpose and Description of Service

1. Introduction

2. Background and Overview of CPCFA

3. Scope of Services

4. Term of Agreement

B. Minimum Qualifications for Proposers C. Proposal Requirements and Information

1. Key Action Dates

2. Questions and Answers

3. Content and Format of Proposals

4. Submission of Proposals

5. Evaluation Process

6. Award and Protest

7. Disposition of Proposals

8. Agreement Execution and Performance

D. Preference and Incentive Programs

1. Small Business or Microbusiness Preference

2. Non-Small Business or Microbusiness Preference

3. Target Area Contract Preference Act (TACPA)

4. Disabled Veteran Business Enterprise (DVBE) Incentive

E. Required Attachments Attachments Attachment 1 - Required Attachment Checklist Attachment 2 - Proposal/Proposer Certification Sheet Attachment 3 - Proposer References Attachment 4 - Payee Data Record (STD 204) Attachment 5 - Contractor Certification Clauses (CCC 04/2017) Attachment 6 - Key Personnel Resumes & Experience Attachment 7 - Minimum Qualifications Certification Attachment 8 - Cost Proposal Worksheet Attachment 9 - Darfur Contracting Act Certification Attachment 10 - California Civil Rights Laws Certification Attachment 11 - Iran Contracting Act Certification Attachment 12 - Bidder Declaration (GSPD-05-105) Attachment 13 - Generative Artificial Intelligence (GenAI) Notification Attachment 14 - Small Business or Microbusiness Preference* Attachment 15 - Non-Small Business or Microbusiness Preference* Attachment 16 - Target Area Contract Preference Act (TACPA)* Attachment 17 - California Disabled Veteran Business Enterprise (DVBE) Participation Goal Program Instructions*

* If Applicable

Sample Standard Agreement (STD 213)

Exhibit A - Scope of Work Exhibit A, Attachment 1 - Resumes of Key Personnel Exhibit B - Budget Detail and Payment Provisions Exhibit B, Attachment 1 - Sample Billing Exhibit C - General Terms and Conditions (GTC 02/2025) Exhibit D - Special Terms and Conditions Exhibit E - Additional Provisions

Attachments to Sample Contract Sample Form A - Direct Use of Funds Sample Form B-1 - Lender Held Welcome Letter Sample Form B-2 - Trustee Held Welcome Letter Sample Form B-3 - CSP Opening Support Letter Sample Form C - Transfer Funds Letter Sample Form D - Funding Sheet Sample Form E-1 - Claim Letter Sample Form E-2 - Claim Sheet Sample Form E-3 – CSP Claim Letter – Trustee Held Sample Form E-4 – CSP Claim Letter – Lender Held Sample Form F - CSP Recapture Review Letter

A. PURPOSE AND DESCRIPTION OF SERVICE

1. Introduction

The California Pollution Control Financing Authority (CPCFA) is seeking proposals from qualified firms to serve as the trustee (Trustee) to provide services in connection with the California Capital Access Loan Program (CalCAP) that includes CalCAP/Small Business Program (CalCAP/SB), CalCAP/Collateral Support Program (CalCAP/CSP), CalCAP/California Air Resources Board Heavy-Duty Vehicle Air Quality Loan Program (CalCAP/CARB), CalCAP/California Air Resources Board Zero-Emission Heavy- Duty Vehicle Air Quality Loan Program (CalCAP/ZEHDV), CalCAP/California Energy Commission Zero-Emission Heavy-Duty Infrastructure Loan Pilot Project (CalCAP/ZEHDI), CalCAP/Southern California Edison Company Zero-Emission Truck, Bus, and Infrastructure Finance Program (CalCAP/ZETBIF), CalCAP/Loan Participation Project (CalCAP/LPP), CalCAP/Americans with Disabilities Act Financing Program (CalCAP/ADA), CalCAP/Seismic Safety Financing Program (CalCAP/Seismic Safety), and other alternative financing programs being implemented or planned by CPCFA.

CalCAP requires two types of accounts to be held and administered by the Trustee: 1) Program Accounts and 2) Loss Reserve Accounts held on behalf of each Participating Financial Institution (Lender), into which a percentage of each qualified loan is required to be deposited from a Program Account and as “pooled” loans are enrolled. Each loan has a ten-year limit on the term of loss coverage. Should a borrower default on a qualified loan, the Lender may make a claim to CPCFA for reimbursement of its loss from its Loss Reserve Account.

The full amount of the Lender’s Loss Reserve Account may be utilized to reimburse loan losses. Each Loss Reserve Account is lender-specific or account-specific so the underwriting terms of one financial institution is prohibited from affecting another Lender’s Loss Reserve Account.

The proposer’s knowledge and experience of account administration, establishment and investment of account funds, and reporting methods will be considered. At a minimum, the Trustee firm selected (1) would be required to be responsible for performing duties in association with CalCAP/SB, CalCAP/CSP, CalCAP/CARB, CalCAP/ZEHDV, CalCAP/ZEHDI, CalCAP/ZETBIF, CalCAP/LPP, CalCAP/ADA, and CalCAP/Seismic Safety; (2) would be required to include the establishment, monitoring and maintenance of various accounts of uncommitted CPCFA funds, Federal funds, Independent Contributor program funds and Lender Loss Reserve Accounts by investing funds, transferring funds, wiring funds, receiving funds; and (3) would be required to perform data tracking, transmit account balance information, and prepare cumulative monthly and annual Trustee reports of Lender and Independent Contributor Loss Reserve Accounts and activities.

The Trustee firm selected also would be required to perform routine maintenance of accounts on a monthly and/or annual basis, such as automatic, monthly interest sweeps of specific accounts to their specific program accounts.

The selection of the Trustee firm will be based not only on the proposed fees, but also on assurances that the firm is able to provide a reasonable level of competent and responsive service to CPCFA in all subject areas described in the Scope of Services, Section A.3., and meet the Minimum Qualifications for proposers as outlined in Section B. The Trustee firm must be free from actual conflicts of interest not only at the time of selection but throughout the term of the contract as well. The firm must be immediately available to assume services.

All proposals submitted to perform these services must explain the experience and qualifications of the firm that demonstrate the firm’s ability to provide these services. Failure to provide all requested information, or deviation from the required format, may result in disqualification. CPCFA reserves the right to reject any or all proposals.

CPCFA anticipates entering into a three-year agreement with an amount not to exceed $1,770,000.00 for the entire term. At CPCFA’s discretion, the contract may be extended for one additional year and for an additional amount not to exceed $425,000.00.

Attached, as Exhibit A, is a proposed sample contract that would be the result of this Request for Proposal (“RFP”). It includes the STD 213 Standard Agreement and other standard agreement provisions to which the Trustee firm would be required to be bound.

2. Background and Overview of CPCFA

CPCFA was established by Chapter 1257 Statutes of 1972 to provide California businesses with a reasonable method of financing pollution control facilities and to foster compliance with government imposed environmental standards and requirements. Over the last 53 years, CPCFA has evolved to meet California’s needs not only for the solid waste industries through its Pollution Control Tax- Exempt Bond Financing Program (Bond Program), but also for small businesses through CalCAP, and the reuse and redevelopment of brownfields through the California Recycle Underutilized Sites Program (CALReUSE).

The enabling legislation is contained in the California Pollution Control Financing Authority Act (the “Act”) (Division 27 (commencing with Section 44500) of the Health and Safety Code).

The CPCFA Board consists of the State Treasurer (Chair), the State Controller, and the Director of the Department of Finance. It operates on a budget generated by fees from borrowers participating in the Bond Program and from fees and other revenues from its alternative financing programs.

CPCFA provides California businesses and communities access to capital and low-cost financing through the following programs:

Through its Bond Program, CPCFA provides low-cost tax-exempt financing to California businesses for qualified tax-exempt pollution control projects and taxable financing for other pollution control projects.

Through CalCAP (Federal and State funding programs), CalCAP/CSP, CalCAP/ADA, CalCAP/Seismic Safety, CalCAP/CARB, CalCAP/LPP and the CalCAP/ZEHDV, CalCAP/ZEHDI, CalCAP/ZETBIF Independent Contributors programs, CPCFA provides California small businesses access to capital.

Through Cal IIP, CPCFA provides grants to enhance the capacity and ability of CDFIs to serve Californian’s economically disadvantaged communities.

Through CALReUSE, CPCFA provides loans and grants for brownfield environmental assessment and remediation.

Due to the success of these programs, CPCFA is continually in active discussions to develop and implement new financing programs on behalf of other state agencies.

CalCAP Programs

The Act permits CPCFA to develop and administer alternative financing incentive programs to encourage lenders and investors to direct private capital to California businesses. CPCFA created CalCAP in 1994 following legislation permitting small business lending programs (Chapter 1164, Statutes of 1993).

Through a variety of different financing program structures, including CalCAP, CPCFA can administer financing incentives to encourage banks and other financial institutions to make loans and provide private capital to small businesses that have difficulty obtaining financing. CalCAP is designed to mitigate the perceived risk that Lenders identify with these types of loans

To that end, CalCAP for Small Businesses assists small businesses in obtaining loans through Lenders. CalCAP is a loan loss reserve program that can provide up to 100% coverage on certain loan defaults. Each Lender is entirely liable for its loan losses; however, those losses can be reimbursed from each Lender’s Loan Loss Reserve Account. The Loan Loss Reserve Accounts are built through contributions made by the borrower, Lender, and/or CPCFA.

CPCFA’s small business programs are governed by specific program regulations that define program related terms; determine the eligibility of Lenders, small business borrowers and projects funded by the loans; and require particular information on loan enrollments, claim applications and numerous other items.

The CalCAP regulations set limits on loan amount and contribution amounts, as well as set forth timelines for both Lenders and CPCFA. Rules concerning the Independent Contributor Programs are also found within the CalCAP regulations;

this allows for small business lending programs funded by other agencies to reach specific groups of borrowers or support lending for specific projects.

[Capital Access Loan Program for Small Businesses 4 CCR §8070-8079 and Designation and Disclosure of Confidential Information 4 CCR §8080-8083 (2018)] or [California Code of Regulations (CCR), Title 4 , §8070 et seq.]

Prior to 2010, CalCAP was entirely funded with $38.3 million transferred from CPCFA’s Small Business Assistance Fund (SBAF), which contained fees collected from large companies financed through the Bond Program. In October 2010, the Legislature appropriated $6 million from the State’s General Fund to supplement CPCFA’s funding. In 2011, CalCAP expanded rapidly when it received an allocation of federal funds from the State Small Business Credit Initiative (SSBCI) administered by the U.S. Department of the Treasury, made available by the Small Business Jobs Act of 2010. CPCFA was awarded half of the total $168 million allocation to the State of California. These federal funds enabled CPCFA to expand the CalCAP for Small Business to increase lending assistance for California small-business owners. Of CPCFA’s share of the SSBCI allocation, the U.S. Department of the Treasury mandated that $20 million be allocated to the continued administration of CalCAP for Small Business, and these moneys became the primary source of CPCFA’s contributions to Lenders’ loan loss reserves. Over the next eight years, CPCFA also used State General Fund moneys as supplemental assistance for loan enrollments that were located in a severely affected community (SAC) and for the regular contributions for loans that were not eligible under the stricter SSBCI requirements. With the federal funds fully exhausted in the first quarter of 2018, State General Fund moneys again became the main source of funds for contributions until they were depleted. Following that, the annual recapture of contributions (effective August 2017) for matured loans previously enrolled in CalCAP for Small Business became the primary source for the State’s contributions.

In 2013, the remaining SSBCI funds – $65 million – was sub-allocated by the U.S. Department of the Treasury for the creation of CalCAP/CSP, designed specifically to provide a cash deposit to Lenders for individual enrolled loans enrolled, where the borrower lacks sufficient collateral. As the principal outstanding balance of each loan is successfully reduced, CPCFA recaptures a portion of the cash deposit on an annual basis to support the enrollment of new CalCAP/CSP loans.

The American Rescue Plan Act of 2021 reauthorized and amended the Small Business Jobs Act of 2010 to provide $10 billion to fund the State Small Business Credit Initiative (SSBCI) as a response to the economic effects of the COVID-19 https://govt.westlaw.com/calregs/Browse/Home/California/CaliforniaCodeofRegulations?guid=I1A669850D45A11DEA95CA4428EC25FA0&originationContext=documenttoc&transitionType=Default&contextData=(sc.Default) https://govt.westlaw.com/calregs/Browse/Home/California/CaliforniaCodeofRegulations?guid=I1ECA8EB0D45A11DEA95CA4428EC25FA0&originationContext=documenttoc&transitionType=Default&contextData=(sc.Default) pandemic. SSBCI is a federal program created to strengthen state programs that support private financing to small businesses. The California Pollution Control Financing Authority (CPCFA) partnered with the IBank to receive California’s overall allocation of $1.181 billion dollars, split evenly between the partner agencies, and disbursed in three tranches.

In addition to the SSBCI and state-funded small business lending programs, the CalCAP statutes empower CPCFA to administer Loan Loss Reserve programs on behalf of other parties – including government and private entities – through the CalCAP Independent Contributor Program. That program permits the independent contributor to tailor certain program standards, such as borrower eligibility criteria and specified contribution rates. Currently, CPCFA administers Independent Contributor Programs on behalf of the California Air Resources Board (ZEHDV), the California Energy Commission (ZEHDI) and the Southern California Edison Company (ZETBIF). The CalCAP/ZEHDV, CalCAP/ZEHDI and CalCAP/ZETBIF pilot programs complement each other to support loans to smaller fleets and owner-operators for zero-emission vehicles and infrastructure.

Chapter 787 of the Statutes of 2015 provided CPCFA a one-time $10 million appropriation to create the California Capital Access Americans with Disabilities Act Financing Program (CalCAP/ADA). Under this statute, CPCFA is authorized to develop and implement a new credit enhancement program based on CalCAP’s Loan Loss Reserve model, specifically for private lending supporting physical alterations, retrofits, signage and other improvements to small business facilities to increase access and comply with the federal Americans with Disabilities Act. The statute directs CPCFA to establish a sustainable program and describes a program feature that recaptures unclaimed funding relating to matured loans to be used to support future loans beyond the $10 million initially appropriated.

Chapter 32 of the Statutes of 2016, appropriated $10 million to CPCFA’s CalCAP/Seismic Safety. The purpose of CalCAP/Seismic Safety is to provide incentives for private financing for California small businesses and residential property owners, including multiunit dwellings and registered mobile homes, to finance the costs of seismically retrofitting existing buildings and homes.

Proceeds from loans enrolled in CalCAP/Seismic Safety may be used for seismic retrofit construction alterations performed on or after January 1, 2017, of a qualified building or its components to substantially mitigate seismic damage.

Seismic retrofit construction includes, but is not limited to, bracing cripple walls, bracing hot water heaters, and installing automatic gas shutoff valves.

Information on how CPCFA’s lending programs work can be found on the CPCFA website at https://www.treasurer.ca.gov/cpcfa/calcap/index.asp https://www.treasurer.ca.gov/cpcfa/calcap/index.asp

3. Scope of Services

Under the general direction of the Executive Director of CPCFA, the Trustee firm agrees to provide services as described below:

a. Establishing CPCFA Program Accounts

i. The Trustee firm would be required to establish, maintain and hold a separate fund designated as the California Capital Access Program Fund (Program Fund). Upon the establishment of the Program Fund, CPCFA would deposit those moneys as determined by CPCFA. The moneys held in the Program Fund at all times would be required to be the property of CPCFA.

ii. The Trustee firm would be required to establish, maintain and hold a separate fund designated as the California Capital Access State Fund (State Fund). Upon the establishment of the State Fund, CPCFA would deposit those moneys as determined by CPCFA. The moneys held in the State Fund at all times would be required to be the property of

CPCFA.

iii. The Trustee firm would be required to establish, maintain and hold a separate fund designated as the California Capital Access Federal Fund (Federal Fund). Upon the establishment of the Federal Fund, CPCFA would deposit those moneys as determined by CPCFA. The moneys held in the Federal Fund at all times would be required to be the property of CPCFA.

iv. The Trustee firm would be required to establish, maintain and hold a separate fund designated as the California Capital Access SSBCI Fund (SSBCI Fund). Upon the establishment of the SSBCI Fund, CPCFA would deposit those moneys as determined by CPCFA. The moneys held in the SSBCI Fund at all times would be required to be the property of CPCFA.

v. The Trustee firm would be required to establish, maintain and hold a separate fund designated as the California Capital Access Collateral Support Program Fund (CalCAP/CSP Fund). Upon the establishment of the CalCAP/CSP account, CPCFA would deposit those moneys as determined by CPCFA. The moneys held in the CalCAP/CSP account at all times would be required to be the property of CPCFA.

vi. The Trustee firm would be required to establish, maintain and hold a separate fund designated as the CalCAP Americans with Disabilities Act Financing Program Fund (CalCAP/ADA Fund). Upon the establishment of the Program Fund, CPCFA would l deposit those moneys as determined by CPCFA. The moneys held in the Program Fund at all times would be required to be the property of CPCFA.

vii. The Trustee firm would be required to establish, maintain and hold a separate fund designated as the CalCAP Seismic Safety Program Fund (CalCAP/Seismic Safety Fund). Upon the establishment of the Program Fund, CPCFA would deposit those moneys as determined by CPCFA.

The moneys held in the Program Fund at all times would be required to be the property of CPCFA.

viii. The Trustee firm would be required to further establish sub-accounts within the Program Fund, State Fund, Federal Fund, SSBCI Fund, CalCAP/CSP Fund, CalCAP/ADA Fund, and CalCAP/Seismic Safety Fund to be named, respectively, the “Program Cost Account,” “State Cost Account,” “SSBCI Cost Account”, “Federal Cost Account,” “CalCAP/CSP Cost Account,” “CalCAP/ADA Cost Account,” “CalCAP/Seismic Safety Cost Account,” and CPCFA would initially fund these accounts from the Program Fund, State Fund, Federal Fund, SSBCI Fund, CalCAP/CSP Fund, CalCAP/ADA Fund, or CalCAP/Seismic Safety Fund in amounts as determined by CPCFA.

CPCFA would make further deposits to either sub-account from time to time as accrued interest sweeps.

ix. The Trustee firm would be required to further establish additional sub-accounts within the Program Fund, CalCAP/CSP Fund, CalCAP/ADA Fund, and CalCAP/Seismic Safety Fund to be named, respectively, the “CalCAP Program Recapture Account,” “CalCAP/CSP Recapture Account,” “CalCAP/ADA Recapture Account,” and “CalCAP/Seismic Safety Recapture Account.” CPCFA would make further deposits to either sub-account from time to time.

x. At the direction of CPCFA, interest from each Lender, Lender-held, and Trustee-held accounts would be required to be deposited in the respective Cost Account. CPCFA would request moneys from that account periodically.

xi. The Trustee firm would be authorized and directed by CPCFA to use moneys in the Program Fund, State Fund, Federal Fund, CalCAP/CSP Fund, CalCAP/ADA Fund, CalCAP/Seismic Safety Fund accounts, and future accounts (Sample Form A). The Trustee firm would verify by telephone or email any further instructions needed.

xii. Accounts would be required to be interest-bearing demand accounts unless the Trustee is directed to place moneys in another type of account by CPCFA. The moneys in the Program Fund, State Fund, Federal Fund, CalCAP/CSP Fund, CalCAP/ADA Fund, CalCAP/Seismic

Safety Fund, and future accounts would be required to be held solely for the benefit of CPCFA. These accounts would be prohibited from having any required fees or costs to be paid by the Trustee firm or CPCFA.

xiii. At such time as CPCFA, in its discretion, determines to terminate its role in the CalCAP or otherwise to cease making deposits to the Loss Reserve Accounts under the Trustee Firm Agreement, any moneys remaining in the Program Fund, State Fund, Federal Fund, CalCAP/CSP Fund, CalCAP/ADA Fund, CalCAP/Seismic Safety Fund, or future accounts would be required to be returned to CPCFA upon its written direction.

xiv. The Trustee firm would be required to establish, maintain and hold a separate fund and related accounts for any additional designated fund in the future upon instruction from CPCFA.

b. Establishing Independent Contributor Accounts and Other Program Accounts

The Trustee firm would be required to further establish Independent Contributor accounts and other financing program accounts as directed by CPCFA. The Borrower, Lender, and CPCFA, in some instances, are eligible to have the fees paid by an Independent Contributor. CPCFA currently utilizes two Independent Contributors, and is currently in negotiations to establish additional program accounts.

i. The Trustee firm would be required to establish, maintain and hold a separate fund designated as the CalCAP Heavy-Duty Vehicle Air Quality Loan Program Fund (CalCAP/CARB Fund). The moneys held in the CalCAP/CARB Fund at all times would be required to be the property of

CPCFA.

ii. The Trustee firm would be required to further establish sub-accounts within the CalCAP/CARB Fund, CalCAP/ZEHDV Fund, CalCAP/ZEHDI Fund and CalCAP/ZETBIF Fund, to be named, respectively, the “CalCAP/CARB Cost Account, “CalCAP/ZEHDV Cost Account,” “CalCAP/ZEHDI Cost Account” and “CalCAP/ZETBIF Cost Account,” and CPCFA would initially fund these accounts from the CalCAP/CARB Fund CalCAP/ZEHDV Fund, CalCAP/ZEHDI Fund and CalCAP/ZETBIF Fund, in amounts as determined by CPCFA. CPCFA would make further deposits to either sub-account from time to time as accrued interest sweeps

iii. The Trustee firm would be required to further establish additional sub-accounts within the CalCAP/CARB Fund to be named, respectively, the “CalCAP/CARB Recapture Account.” CPCFA would make further deposits to these sub-accounts from time to time.

iv. At the direction of CPCFA, interest from each Lender, Lender-held, and Trustee-held accounts would be required to be deposited in the respective Cost Account. CPCFA would request moneys from that account periodically.

v. Accounts are required to be interest-bearing demand accounts unless the Trustee is directed to place moneys in another type of account by CPCFA. The moneys in the Independent Contributor and future accounts would be held solely for the benefit of CPCFA. These accounts would be prohibited from having any required fees or costs to be paid by the Trustee firm or CPCFA.

vi. At such time as CPCFA, in its discretion, determines to terminate the Independent Contributors’ role and accounts or otherwise to cease making deposits to the Loss Reserve Accounts under the Trustee Firm Agreement, any moneys remaining in an Independent Contributor Account or future accounts would be required to be returned to CPCFA upon its written direction.

vii. The Trustee firm would be required to establish, maintain and hold a separate fund and related accounts for any additional designated fund in the future upon instruction from CPCFA.

c. Establishing Participating Financial Institutions’ Loss Reserve Accounts

i. Loss Reserve Accounts, in CPCFA’s sole determination, would be required to be held by either the Lender or by the Trustee firm.

Loss Reserve Accounts are used for the following purposes:

To receive all fees deposited by Lenders, Borrowers, and/or Independent Contributors;

To receive contributions deposited by CPCFA and/or Independent Contributors;

To pay claims in accordance with Section 8074 of Division 11 of Title 4 of the California Code of Regulations and other program rules and regulations;

To pay subsidies in accordance with program rules/guidelines; and To collect recovered funds from previously paid claims

ii. Established accounts held at the current Trustee firm would be required to be transferred to the new Trustee firm after a contract has been executed as part of establishing the trust. There are currently 30 Program accounts, 21 Independent Contributor Program Accounts, 100 Lender Held Loan Loss Reserve accounts, and 371 Trustee Held Loan

Loss Reserve Accounts. The expectation is to enroll new Lenders and double the number within the next two (2) years. Upon written direction from CPCFA, the Trustee firm would be required to establish, maintain, and hold one or more separate accounts to be designated as the Lender’s Loss Reserve (Sample Form B-1 and Sample Form B-2) and loan specific Loss Reserve Accounts for CalCAP/CSP (Sample Form B- 3).

iii. The Trustee firm would be authorized to transfer moneys from the Program Fund Account into those accounts held by Lenders upon instructions from CPCFA. The Trustee firm may verify by telephone or email any instructions received from CPCFA by fax or email.

iv. Accounts would be required to be an interest-bearing demand account unless the Trustee is directed to place funds in another type of account.

Loss Reserve Accounts would be required to be insured by the Federal Deposit Insurance Corporation (FDIC), or the Securities Investor Protection Corporation, as appropriate, to the extent permitted by law and would be prohibited from having any required fees or costs to be paid by the Trustee firm or CPCFA. Upon the written direction of CPCFA to the Trustee, the moneys in the Loss Reserve Accounts held by the Trustee firm would be required to be invested by the Trustee firm in any investment permitted by Section 16430 of the Government Code.

v. The moneys in each Lender’s Loss Reserve Account held by the Trustee firm would be the property of CPCFA, but held for the benefit of the Lender in whose name the account was created.

vi. All moneys in a Loan Loss Reserve Account are the property of CPCFA.

Upon withdrawal from the Program, a Lender may have the right to receive a portion of the remaining balance in its corresponding Loan Loss Reserve Account(s) as instructed by CPCFA in accordance with program regulations.

d. Maintenance of Funds and Accounts

i. The Trustee firm would be required to maintain and monitor Loss Reserve Accounts that are held at the Trustee, perform various account related activities, and provide recordkeeping information on all transactions, including non-Trustee-held accounts, to CPCFA. For those Loss Reserve Accounts maintained at the Trustee firm, the Trustee firm also would be required to provide corresponding monthly statements to CPCFA and the appropriate Lenders.

ii. CPCFA may provide written direction to the Trustee firm to remit any moneys in the Program or sub-Accounts to CPCFA (Sample Form C).

iii. For Lender Loss Reserve Accounts, which are held at the Trustee firm, the Trustee firm would be authorized to receive fees from the Lender and deposit them into the Lender’s corresponding Loss Reserve Account.

iv. The Trustee firm would be authorized and directed by CPCFA to distribute moneys from one of the Program Accounts to a Lender’s corresponding Loss Reserve Account regardless of whether the Loss Reserve Account is held locally or at the Trustee firm. This direction to distribute moneys from the Program Account would be required to be in writing, typically in the form of a Loan Enrollment Funding Instruction memo, signed by the CPCFA Executive Director or other designated authorized signer (Sample Form D).

v. Upon written instruction from CPCFA, typically in the form of approved Claim Reimbursement Instructions (Sample Form E-1,Sample Form E- 2, Sample Form E-3 and Sample Form E-4), the Trustee firm would withdraw moneys from the corresponding Lender’s Loss Reserve Account (when held at the Trustee firm) and remit the moneys to the Lender by check or wire in accordance with Section 8074 of Division 11 of Title 4 of the California Code of Regulations or other program rules/guidelines.

vi. Upon written instruction from CPCFA, in the form of Authorization of Collateral Support Program Recapture/Review instructions (Sample Form F), the Trustee would withdraw moneys from the corresponding Borrower’s CalCAP/CSP Loan Loss Reserve Account and deposit moneys to program Recapture Account in accordance with program rules/guidelines.

vii. The moneys deposited in a Loss Reserve Account, whether held by the Lender or at the Trustee firm, are the property of CPCFA and held for the benefit of the Lender to which it corresponds. Upon withdrawal from the Program, a Lender has the right to receive a portion of the remaining balance in its corresponding Loss Reserve Account(s) in accordance with Program regulations.

viii. At such time as CPCFA, in its discretion, determines to terminate its role in its financing programs or otherwise to cease making deposits to the Program Funds, any money remaining in the Program Funds and Loss Reserve Accounts would be required to be returned to CPCFA upon its written direction.

ix. The Trustee firm would meet, as needed, with CPCFA and its staff at a location to be determined by CPCFA staff.

x. In all respects, the Trustee firm would represent the best interests of CPCFA and the State of California in all transactions and proceedings.

e. Reporting and Other Requirements

i. By the 10th of each month, the Trustee firm would provide all monthly bank statements to CPCFA for each account it maintains at the Trustee firm in association with the identified programs and provide a copy of the individual Lender’s monthly bank statement to that Lender. These statements would be required to include the account balance and interest earned, as well as all transaction activities associated with each account during the period, and any changes related to the accounts.

ii. Through the collection of data contained on CPCFA’s various written instructions described above, the Trustee firm would provide monthly ongoing history reports by date of transaction, which includes all of the following:

The names of any Lenders that joined or withdrew from the Program.

The number of loans booked for the month.

The corresponding total of the CPCFA contributions for the month to each Lender.

The cumulative amount of total contributions made by CPCFA to each

Lender.

The overall total loans made to date annually.

A summary page containing each of the aforementioned areas on a combined Lender basis (1) for the month and (2) annually.

iii. Through the collection of data contained on the Loan Enrollment written instructions, whether they are trustee- or non-trustee-held Lenders, the Trustee firm would provide, on a monthly basis (by the 10th of each month), the following Data Query for loan enrollments:

The name of the Lender The borrower’s name The date the loan funded The date the loan shall mature or 120 months from the date the loan was funded, whichever is sooner The loan number The contribution amount The funding source account number

iv. Through the collection of data contained on the Claim Reimbursement written instructions, whether they are trustee or non-trustee held Lenders, the Trustee firm would provide, on a monthly basis (by the 10th of each month), the following Data Query for claims:

The name of the Lender The borrower’s name The loan number The date the claim was paid The amount of claim paid

v. Through the collection of data contained on the Subsidy written instructions, whether they are trustee- or non-trustee-held Lenders, the Trustee firm would provide, on a monthly basis (by the 10th of each month), the following Data Query for subsidies paid:

The name of the Lender The borrower’s name The loan number The date the subsidy was paid The amount of subsidy paid

vi. The Trustee would be required to provide the designated CPCFA staff with on-demand electronic viewing access to all trustee-held CPCFA Program, Independent Contributor, and Lender loss reserve accounts.

vii. The Trustee would be required to provide additional information (CPCFA is contractually required to provide) related to CPCFA’s administration of current or future programs (such as: additional reporting requirements as requested by the Federal government or Independent Contributions).

viii. The Trustee firm would be required to perform other duties or activities as may be specifically requested in writing by CPCFA in connection with the Program, including acting as CPCFA’s Trustee firm in contacts and/or assisting Lenders on establishing Loss Reserve Accounts held at the Lenders.

4. Term of Agreement

The term of the Agreement would be for a three-year period with an amount not to exceed $1,770,000.00. At CPCFA’s sole discretion, the term of the agreement may be extended for one additional year and for an additional amount not to exceed $425,000.00. The Proposed Rates would remain the same throughout the term of the Agreement, including the optional one-year extension if any. The term of the agreement is expected to begin January 1, 2026, pending approval by the Department of General Services (DGS), whichever is later. Work is prohibited from commencing until the effective date.

B. MINIMUM QUALIFICATIONS FOR PROPOSERS

In preparing the proposal, please provide your firm’s response to the Minimum Qualifications Certification in Attachment 7. The firm, at a minimum, must possess the following qualifications and experience:

1. A trust company, corporation, or bank having the powers of a trust company that either:

a. A combined capital and surplus of at least fifty million dollars ($50,000,000), and subject to supervision or examination by federal or state authority; or

b. A wholly owned subsidiary of a bank, trust company, corporation, or bank holding company with an aggregate combined capital and surplus of at least fifty million dollars ($50,000,000), and is subject to supervision or examination by federal or state authority.

2. An office established in the State of California.

3. Qualification to do business in the State of California

Failure to meet the minimum qualifications would require your proposal to be considered nonresponsive, and the proposal will be disqualified.

C. PROPOSAL REQUIREMENTS AND INFORMATION

1. Key Action Dates

All Proposers are advised of the following schedule and would be expected to adhere to the required dates and times. Note: Dates may be subject to change due to administrative processing.

Date Action 11/07/2025 RFP available to prospective proposers

11/12/2025 Written questions must be received by CPCFA by 5:00 p.m. (PT)

11/14/2025 Answers to written questions will be posted on the Cal eProcure site and CPCFA site.

11/24/2025 Proposals are due and must be received by CPCFA at 901 P Street, Suite 313A, Sacramento, CA 95814 by 4:00 p.m. (PT).

11/25/2025 - 12/01/2025 Evaluation of proposals.

12/03/2025 Notice of Intent to Award.

01/01/2026 Proposed commencement of Agreement.

2. Questions and Answers In the opinion of CPCFA, this RFP is complete and without the need of explanation. However, if you have questions, or should you require any clarifying information, please email CalCAP@treasurer.ca.gov. Questions regarding this RFP must be submitted in writing no later than November 12, 2025, by 5:00 pm PT. Responses to questions will be provided on November 14, 2025, and will be made available in the California State Contracts Register located at https://caleprocure.ca.gov/ and the CPCFA website.

3. Content and Format of Proposals This RFP, the evaluation of the Proposals, and the award of any resultant contract is required to be governed generally by the rules of this section and applicable State policy.

This section is intended for the firm to demonstrate its qualifications. Information provided will be used in the evaluation process as outlined on Pages 19 and 20 of this RFP. The proposals must be organized in the format shown below and contain all of the information listed.

a. Table of Contents

b. Executive Summary - Summarize the highlights of the proposal, address areas for the types of services required, and demonstrate understanding of the reporting and monitoring of accounts.

c. Qualifications and Experience of the Trustee Firm:

Firm Qualifications and Trustee Firm Experiences (20 points) - Describe the firm’s qualifications and experience in providing Trustee services for other Capital Access Programs or Loan Loss Reserve Accounts, if any, and similar types of programs. Include the locations of Trustee firm offices and a discussion of any unique strengths possessed by your firm. Include the name, title, and telephone number of a contact person for the firm.

Provide a listing of other state or local governments for which the firm has acted, or is currently acting, as Trustee firm, the length of time, the nature of services provided, and a contact person with address and telephone number. Include information such as the name of the client firm, contact person, address and telephone number, and a description of the services performed.

mailto:CalCAP@treasurer.ca.gov https://caleprocure.ca.gov/

Personnel Experience and Qualification (20 points) - Include an organizational chart showing functions, positions, and titles of professionals in the organization, including any subcontractor firm. Identify the role of each staff member who will serve in the contract, their title, and the percentage of the total firm effort that will be provided by that individual.

Complete Attachment 6 regarding the Key Personnel (include partners and associates) who will be directly involved in providing the services required by this contract. Provide a brief description of the background and experience of each individual, including years and type of experience with other Capital Access Programs or Loan Loss Reserve Accounts, if any, and similar types of programs.

Provide detailed resumes for individuals who will be directly involved in providing the services under the Agreement, including any proposed sub-trustee firms and their employees.

d. References - Submit a list of at least three references (Clients) to which the firm has provided similar trustee services within the past five years and contact names and numbers for each.

e. Flow Chart (15 points) - Include a flow chart demonstrating the firm’s understanding of establishing CPCFA Program Accounts, Independent Contributor Accounts, and Lender’s Loss Reserve Accounts. Demonstrate the following:

Establishing a new Lender Loss Reserve Account Funding from a Program Account Funding from an Independent Contributor Account Payment of a claim reimbursement Payment of subsidy

f. Conflicts of Interest - Firms must disclose any business relationships that may be construed to be potential conflicts of interest. CPCFA may request interviews of firms for the purpose of clarifying any situations that could be construed to be a conflict of interest and has the sole and exclusive authority to disqualify a firm if CPCFA determines a conflict exists.

g. Legal Actions - Firms must disclose, within the past 24 months, whether the firm or any of its principals have been involved in any litigation, arbitration, disciplinary, or other official actions arising from the firm’s business.

h. Investment of Public Funds - Please identify any known restrictions and/or limitations the firm may have regarding the investment of public funds.

Describe the firm’s knowledge of the State’s requirements for investment of public funds.

i. Trustee Firm’s Reporting Requirements (15 points) - Firm to describe ability to demonstrate it can provide the above-described reporting and monitoring activities of the accounts.

j. Cost Proposal (30 points) - The Cost Proposal must be provided in association with the establishment of Program Accounts, Loss Reserve Accounts, Independent Contributor Accounts, trust administration/annual fee, loan enrollments/claims disbursement fees, and other reimbursable expenses, if applicable. The Cost Proposal should provide costs based on the following approximate criteria. The volume example below is only given for purposes of evaluating the fees portion of the proposal. Actual transaction volume under the Agreement may vary considerably depending on the demand for the Program(s). Considering the Program volume estimates below in the example, please provide the firm’s fee schedule for the tasks listed below:

The establishment of 80 new Loan Loss Reserve Accounts, in addition to the established trust and approximately 35% increase annually.

2500 Loan Enrollments per quarter and approximately 35% increase annually over the next three years.

150 charge-off claims processed quarterly.

35 Recapture transactions processed annually.

25 subsidy payments processed quarterly.

Annual fee for trust administration; and Outline of other reimbursable expenses, if applicable.

The Cost Proposal Worksheet (Attachment 8) will be the basis for the fees portion of the evaluation and selection process. The scenario is only given for purposes of evaluating the fees portion of the proposal. Actual transaction volume under the Agreement may vary considerably depending upon the demand for the financing programs.

Proposals submitted with fee schedules not in compliance with these requirements will be deemed nonresponsive and rejected.

k. Required Attachments

For the proposal to be considered responsive, all required Attachments 1 through 17, as applicable, must be completed and included with the proposal by dates and times shown under Proposal Requirements and Information (Section C, Item 1, Key Action Dates).

3. Submission of Proposals

a. Proposals should provide straightforward and concise descriptions of the firm’s ability to satisfy the requirements of this RFP. The proposal must be complete and accurate. Omissions, inaccuracies, or misstatements may be cause for a proposal to be deemed nonresponsive and result in the rejection of a proposal.

b. The proposal package should be prepared in the least expensive method.

c. All proposals must be submitted under sealed cover and sent to CPCFA by the dates and times shown in Proposal Requirements and Information (Section C, Item 1, Key Action Dates). Proposals received after this date and time will not be considered.

d. A minimum of one (1) unbound original and three (3) copies of the proposal must be submitted.

e. The original proposal must be marked "ORIGINAL COPY." All documents contained in the original proposal package must have original signatures and must be signed by a person who is authorized to bind the firm. All additional proposal sets may contain photocopies of the original package.

f. The proposal envelopes must be plainly marked with the RFP number and title, the firm name and address, and must be marked with “DO NOT OPEN,” as shown in the following example:

RPF No. CPCFA02-25 “Trustee Services”

Firm Name Firm Address

DO NOT OPEN

g. Mail or deliver the proposals to the following address:

California Pollution Control Financing Authority Attn: Youki Arai

901 P Street, Suite 313A Sacramento, CA 95814

(916) 654-5610

h. If the proposal is made under a fictitious name or business title, the actual legal name of firm must be provided. Proposals not submitted under sealed cover and marked as indicated may be rejected.

i. All proposals must include the documents identified in Section F, Required Attachments Checklist. Proposals not including the proper "required attachments" will be deemed nonresponsive. A nonresponsive proposal is one that does not meet the basic proposal requirements.

j. Proposals must be submitted for the performance of all the services described herein. Any deviation from the work specifications will not be considered and may result in a proposal being deemed nonresponsive and cause a proposal to be rejected.

k. A proposal may be rejected if it is conditional or incomplete or if it contains any alterations of the form or other irregularities of any kind. CPCFA may reject any or all proposals and may waive any immaterial deviation in a proposal. CPCFA’s waiver of an immaterial deviation will in no way modify the RFP document or excuse the proposer from full compliance with all requirements if awarded the agreement.

l. Costs for developing proposals and in anticipation of award of the agreement are entirely the responsibility of the proposer and will not be charged to CPCFA or the State of California.

m. An individual who is authorized to bind the proposing firm contractually is required to sign the Proposal/Proposer Certification Sheet (Attachment 2).

The signature must indicate the title or position that the individual holds in the firm. An unsigned proposal may be rejected.

n. A firm may modify a proposal after its submission by withdrawing its original proposal and resubmitting a new proposal prior to the proposal submission deadline as set forth in Proposal Requirements and Information (Section C, Item 1 Key Action Dates). The submission of a new proposal must comply with requirements of this section. Proposal modifications offered in any other manner, oral or written, will not be considered.

o. A firm may withdraw its proposal by…