HomeMy Public PortalAbout2016.181 (08-16-16)RESOLUTION NO. 2016.181
RESOLUTION NO. 2016.010
A JOINT RESOLUTION OF THE CITY OF LYNWOOD AND THE CITY OF
LYNWOOD AS SUCCESSOR TO THE LYNWOOD REDEVELOPMENT
AGENCY APPROVING THE FORTH AMENDMENT TO THE AGREEMENT
WITH COX, CASTLE & NICHOLSON, LLP FOR CONSULTING SERVICES
REGARDING PROJECTS RELATED TO SOIL CONTAMINATION NOT TO
EXCEED $350,000, WHICH SERVICES ARE TO BE FUNDED BY THE
LYNWOOD SUCCESSOR AGENCY THROUGH THE ROPS PROCESS
WHEREAS, the former Lynwood Redevelopment Agency ( "Agency')
engaged in environmental clean -up activities necessary to carry out and
implement the Redevelopment Plan for Project Area "A; and
WHEREAS, in implementing such Redevelopment Plan and the
Implementation Plan, the City of Lynwood, as Successor Agency to the former
Redevelopment Agency ( "Successor Agency ") is desirous of continuing using the
services of Cox, Castle & Nicholson, LLP ( "CCN ") to work with Agency Staff and
Agency Counsel in compelling responsible parties in the proposed Imperial
Highway Brownfield Area and other projects to remediate contaminated
properties, including resolving outstanding post settlement issues regarding the
matter of Lynwood Redevelopment Agency, et al, v. Barry Ross, et al, U.S.
District Court Case No. CV11- 02207 -MMM (AGRx); and
WHEREAS, On December 21, 2010, Consultant was approved by way of a
service retainer agreement for up to $100,000 to provide certain consulting and
litigation services, as needed, to the former Lynwood Redevelopment Agency on
projects with soil, groundwater and /or soil gas contamination; and
WHEREAS, that 2010 retainer agreement was replaced with a Consulting
Services Agreement (the "Agreement') by and between the former Lynwood
Redevelopment Agency and Consultant, which Agreement was dated December 5,
2011 and increased the not to exceed amount to $240,000; and
WHEREAS, following the commencement of litigation and related services
by Consultant, as provided for in the Agreement, the California Supreme Court,
on December 29, 2011, issued a ruling on the constitutional validity of two 2011
legislative budget trailer bills, ABX1 26 (Chapter 5, Statutes of 2011) and ABX1
27 (Chapter 6, Statutes of 2011), which resulted in the outright elimination of all
425 redevelopment agencies in the State of California; and
WHEREAS, subsequent legislation, AB 1484 (Chapter 26, Statutes of
2012), which was passed, signed, and enacted on June 28, 2012, made
significant changes to the provisions of ABX1 -26, including the process for
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administering the enforceable obligations of the former redevelopment agencies
(collectively, "Dissolution Act "); and
WHEREAS, the Successor Agency has designated the services provided
by Consultant, as described in the Agreement, to be an enforceable obligation
under the Dissolution Act, and the Department of Finance (DOF) has not
objected to such designation; and
WHEREAS, the Agreement contained a scheduled expiration on March 5,
2013, but also authorized extensions per Section 2 of the Agreement and was
intended to be extended so that Consultant could continue to litigate and provide
related services that were ongoing before ABX1 26 became law; and
WHEREAS, Consultant has continued to provide litigation and related
services to the Successor Agency, and the Parties therefore executed an
Amendment to the Agreement dated November 25, 2013, which extended the
term of the Agreement (to December 5, 2014); and
WHEREAS, the litigation resulted in settlements pursuant to which the
Successor Agency in conjunction with the City of Lynwood (collectively the
"Agency ") holds settlement payments, which have ongoing remediation issues,
among others, and consequently has determined that Consultant's services are
still needed in order to implement the settlements and fulfill the Successor
Agency's obligations under the Dissolution Act; and
WHEREAS, Consultant may at times require to utilize the services of
environmental specialist to provide needed geotechnical information in the
performance of the obligatory duties of this Agreement when pursuing parties
responsible for contamination at Brownfield sites covered under this Agreement;
and
WHEREAS, in order to continue providing litigation and related services to
the Successor Agency, the Parties therefore executed a Second Amendment to
the Agreement which extended the term of the Agreement to June 30, 2015 and
a third amendment, which extended the Agreement to June 30, 2016; and
WHEREAS, during the term of the third amended agreement, unforeseen
circumstances disabled the Agency's ability to pay for consultant's services and
therefore said services were temporarily suspended and Invoices for work
performed on projects by consultant solely funded by Successor Agency funds
were not paid during the 15 -16B Recognized Obligation Payment Schedule
(ROPS) period; and
WHEREAS, the DOF approved Successor Agency's ROPS 16 -17 (for the
period July 1, 2016 through June 30, 2017) will provide budgetary resources to
the Redevelopment Property Tax Trust Fund (RPTTF) to reactivate Consultant's
services and be utilized for the Consultant's ongoing work assisting the
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Successor Agency with implementation of the settlement and costs related to
potential litigation at other Brownfield sites covered by the Agreement including
partial cost for geotechnical support as it relates to remediation efforts and
reimburse Consultant for work performed during the 15 -16B ROPS period (January
1, 2016 through June 30, 2016); and
WHEREAS, the settlement proceeds provide budgetary resources for
resolving the balance of the Successor Agency's litigation expenses, and legal
fees through June 30, 2017 if the DOF makes findings against the use of
additional RPTTF funds if needed during the ROPS 16 -17 period; and
WHEREAS, the Agency finds this fourth Amendment to the Agreement is
appropriate to provide for the Consultant's ongoing services which also covers
partial compensation of environmental subconsultants which provide vital
geotechnical data as needed.
NOW, THEREFORE, THE AGENCY BOARD AND CITY COUNCIL DO'
HEREBY DETERMINE AND RESOLVE AS FOLLOWS:
Section 1. Pursuant to authority provided under Health & Safety Code
subsections 34171(d)(1)(F), 34177.3(a), and 34180(a) and (h) that the Successor
Agency hereby authorizes the continued use of CCN to provide supportive
professional litigation and environmental services for current projects of the
Agency using ROBS 16 -17 RPTTF. The fourth amendment not to exceed
contract amount recommended is $350,000.
Section 2. That the City and Successor Agency hereby approve the use
of settlement proceeds from Settlement Agreement of Lynwood Redevelopment
Agency, et al, v. Barry Ross, et al, U.S. District Court Case No. CV11- 02207-
MMM (AGRx) in any balance of the Successor Agency's litigation expenses and
legal fees through June 30, 2017 if the DOF makes findings against the use of
additional RPTTF funds if needed during the ROPS 16 -17 period (July 1, 2016 -
June 30, 2017).
Section 3. That the Successor Agency hereby approves the draft fourth
amendment of the subject agreement as submitted to the Agency and agreed
herein subject to final review and execution by all parties thereto.
Section 4. That the City and Successor Agency authorize the
Chairperson, Executive Director or appointed designee to execute a fourth
amendment to the agreement with CCN in a not to exceed amount of $350,000,
in a form approved by the Agency Counsel. The appropriations for said
amendment will not exceed $350,000 for the period beginning January 1, 2016
ending June 30, 2017 unless otherwise amended.
Section 5. That this resolution shall take effect immediately upon
approval by majority vote of the members of the Successor Agency Board.
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PASSED, APPROVED, AND ADOPTED THIS 16th DAY OF AUGUST,
4111.1
ATTEST:
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Maria Quinonez
City Clerk/Secretary
APPROVED AS TO FORM:
vjj.t�/XJ" (
David A. Garcia,
City Attorney /Agency Counsel
Edwin Hernandez,
Mayor /Chair
J. Arnoldo Beltran,
City Manager /Executive Director
APPROVED AS TO CONTENT:
Erika Ramirez,
Development, Comp ance and
Enforcement Director
STATE OF CALIFORNIA )
) SS.
COUNTY OF LOS ANGELES )
I, Maria Quinonez, the undersigned, as City Clerk/Secretary of the City of
Lynwood as Successor Agency to the Lynwood Redevelopment Agency, do
hereby certify that the foregoing Resolution was passed and adopted by the City
Council of the City of Lynwood at a regular meeting held on the 16th day of
August, 2016, and passed by the following vote.
AYES: COUNCIL MEMBERS ALATORRE, SANTILLAN -BEAS,
SOLACHE, CASTRO AND MAYOR HERNANDEZ
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
Maria Quinonez, Oily Clerk/Secret
STATE OF CALIFORNIA )
) SS.
COUNTY OF LOS ANGELES )
I, Maria Quinonez, the undersigned, as City Clerk/Secretary of the City of
Lynwood as Successor Agency to the Lynwood Redevelopment Agency, do
hereby certify that the above foregoing is a full, true and correct copy of
Resolution No. 2016.181 and Resolution No. 2016.010 on file in my office and
that said Resolution was adopted on the date and by the vote therein stated.
Dated this 16th day of August, 2016.