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HomeMy Public PortalAbout12-20-2005CC_4AGENDA STAFF REPORT DATE TO APPROVED BY PREPARED BY December 20, 2005 Honorable Mayor & City Councd Me, C~)b..¢~ N inr,que Mad,nez, City Manager////~///' Grant Taylor, D~rector of Development S,~e~es J D Wh~taker, Parking Control ManageP~U'¢"-" SUBJECT RELOCATION OF PARKING METERS FROM NORTH LONG BEACH BLVD. ZONE 2B RECOMMENDATION: Staff recommends that the C~ty Councd approve ~nstallatlon of the parking meters on Atlantic Avenue between Imperial H~ghway and the 1-105 Freeway If the C~ty Councd does not concur, ~denbfy alternate Iocatmn(s) e g State Street between Impenal H~ghway and Fernwood Avenue, west of Plaza Mexico or B~rch Street between Cesar Chavez Lane and Mulford Avenue BACKGROUND: On November 16, 2004, the C~ty Councd d~rected staff to proceed w~th the removal of the parking meters from the North Long Beach Blvd Zone 2B and to consider other areas to ~mplement add~bonal zones Staff presented the C~ty Councd a comprehensive report detad~ng the removal and relocatmn costs along w~th revenue stabst~cs On September 20, 2005, the C~ty Councd d~rected staff to revisit the businesses ~n the proposed meter zone The purpose was to prowde a more "bus~ness fnendly" explanahon of the advantages of parking meters ~n relahon of ~ncreas~ng the number of patrons and ensunng vehicle turnover On December 13, 2005, M & D Properties, Inc submitted a letter of request w~th plans, proposing the mstallahon of parking meters along State Street, from Impenal H~ghway to Fernwood Avenue, west of Plaza Mexico The plans submitted proposed the suggesbon of angled parbng for maximum vehicle capacity AGENDA ITEM 22- ANALYSIS' Metered parbng, ~n add~hon to generahng revenue for the C~ty, also presents subst~nbal benehts to businesses Insta~n9 on-street parking meters · Promotes the avadabd~ty of convement on-street parking for bus~ness ~ patrons On-street parking spaces ~n commercial areas are often the ones that could potenbally generate the most bus~ness for merchants, ~f they were avadable Metered parking encourages turnover of parking spaces and deters commuters from using on-street parking for extended periods of t~me · Improves mumc~pal enforcement Parking meters tend to be self- enforcing, they reduce the need for Parking Enforcement personnel to chalk hres or note hcense numbers and then make a return tnp to ~ssue c~tat~ons Meters also define on-street parking spaces and deter unsafe crowding of driveways, ~ntersect~ons and fire hydrant zones As a result, the Parking Enforcement staff wdl have more t~me to focus on other relevant ~ssues affechng Lynwood residents · Recovers more of the C~ty's costs and promotes pubhc transit Operahng a private vehicle has many associated costs for roads, traffic management, enforcement and parking These costs have h~stoncally been subsidized by government Metered parking ~s one way of recovenng the real cost of prowd~ng services and ~t helps promote pubhc transit The revisit to the businesses w~th~n the proposed zone proved to be a success Staff ubhzed the approach recommended by the C~ty Councd, which led to more businesses being ~n favor of having parking meters to control the vehicle turnover ratio, allowing for more patrons to ws~t their businesses The relocation of parking meters In accordance w~th the letter of request from M & D Properbes, Inc may also be considered as a potenbal zone However, Staff c~tes that perm~thng angled parking w~th~n the proposed area may contribute to pubhc safety ~ssues The concerns of the street's w~dth and vehicle speed comphance and could possibly lead to traffic colhs~ons due to the motorists hawng to back out of the angled stalls FISCALIMPACT: Based on rewew of the current operabons of the C~ty's Parking Meter Program, Staff has detaded the vanous components of the proposed relocahon w~th~n a Cost / Benefit Analys~s to expound upon the effectweness of the relocahon The analys~s wdl detad revenue assumpbons, relocabon costs, negabve factors, and potential revenue totals The analys~s wdl also reflect a substanbal beneht ~n the total parking revenues at a m~mmal cost, as well as, ~ncreas~ng the avadabdlty of short-term parking through vehicle turnover for the businesses ~n the proposed zone COORDINATED WITH: F~nance Department C~ty Attorney's Off~ce Attachments Atlanhc Avenue survey results Cost / Benefit Analysis Parking Meter Management Plan Letter from M & D Properhes, Inc CITY OF LYNWOOD PARKING ENFORCEMENT DIVISION Thc C~ty of Lvnwood ~s proud that Lvnwood has achmved thc status of a destmanon locanon, due in large part to thc commumty's commitment m estahhshlng thriving businesses The City's comnutment ~s to make Lynwood a friendly and appeahng place to hve, work, and msm We reahze that parking ~s a malor conceln for business proprietors and patrons ahkc The Parking Enforcc~ncnt D~ws~on wants to assess how the bus~ness d~stncts m the C~ty are doing, m terms of convemence, case of getnng around, parking opportunmes, s~gnage and &rectlons Your input ~s needed and valued, so that the City can continue to work to make Lvnwood even more appeahng Please take a moment to fill out the quesnonnmre and return ~t to Clt,,~ Hall's Parking Enfolcemcnt Division, by July 11, 2005 Drop ~t off or marl to City of Lynwood Parking Enforcement Dw~slon, 11330 Bulhs Road, Lynwood, CA 90262 ATLANTIC AVENUE PARKING SURVEY What bnngs you to Lynwood (check all that apply)? L~ve here Work hele Restamants Shopping Bus~ness V~4tor Service businesses School I. 1 pa~k ~n residential areas and walk to the bus~ness district 2. There ~s adequate handicap pinking m the business dlsmct 3. P,ukmg has hnmed the aruount of patrons to my bus~ness 4. The slgnage regulating the pinking ~s adequate 5. I hnd pinking ~s more &tflcult during the weekdays 6. I hnd pinking ~s more dltflcult during the weekends 7. I aln in Ltvor of parking metro s to regulate pm krug 8. I am tn i~avor of pay and pink machines to regulate parking 9. I think pinking enforcement ot green zones ~s lax 10. I th~nk parking enforcement ol two-hour pinking is lax I 1.1 th~nk puking entorcement is too strict 12. 1 would support the construction of a parking structure Thank you for your feedback and suggestions: (Typical responses) Parking structure wzll help Increase tn patrol Prohtbzt the parking o] auto ~hop vehzcle~ More two hour zone enforcement Provide faster servzce Permtts to exempt businesses wzth no on-site parking YES NO (Check all that apply) 22% 78% 26% 74% 26% 74% 23% 77% 64% 36% 51% 49% 61% 39% 6t} % 4t} % 62% 38% 54% 46% 7% 93% 74% 26% Parking Enforcement D~ws~on Attachment A PARKING ENFORCEMENT DIVISION PARKING METER MANAGEMENT COST / BENEFIT ANALYSIS COST / BENEFIT ANALYSIS ATLANTIC AVENUE PLAN Parkinq Meter Operations The proposed relocation of Parking Meter Zone 2B from Long Beach Boulevard to Atlanhc Avenue would prove to be a "w~n-w~n" s~tuabon The relocabon of the 119 parking meters will enhance the usage of the on-street supply, by effectively controlhng the length of time a vehicle can be parked at a particular space Parking Meter usage and the increase in the vehicle turnover ratio wdl be much greater than expected Th~s means less use by area proprietors and employees, and more parking for shoppers and visitors to the metered areas To ensure good use of the on-street supply, meter time hm~ts should be set at a maximum of two hours w~th a rate of $ 1 00 per hour W~th the type of businesses m the proposed zone along w~th the amount of bus~ness conducted, revenues from the parking meters can be conservabvely eshmated to fall w~th~n a range of $174,121 - $ 218,389 annually This estimation is based upon coinage collection and parking meter usage BENEFITS (INCREASED REVENUE) PARKING METER REVENUE INCREASE Proposed Zone 2B Atlanbc Avenue A ATLANTIC AVENUE BUSINESS DISTRICT Definition Area bounded by Atlanbc Avenue, Imperial Fernwood Avenue H,ghway, and Parking Enforcement D~v~s~on Attachment B Approximate number of meters = 119 (subject to vary) ASSUMPTIONS 1) Parking meter rate (core) = $1 00/hour (based on parking meter rate survey statistics) 2) Projected percentage of vehicle turnover ratio = 95 % (based on an estimate that motonsts w~ll ab~de by the new parking restncbons ~ncreas~ng the usage per parking space) 3) All meters are occupied every m~nute of every day they are legally In effect and are fully paid for at all bmes METER FACTS Hours of enforcement (8 am- 6 pm) = 10 hours/day Days of enforcement (Monday -Fnday) = 5 days/week Hohdays = 12 days/year Number of enforceable days = (5 days/week x 52 weeks) - 12 hohdays = 248 days Annual potential revenue per meter space ~n bus~ness d~stnct = 10 hours/day x 248 days x $1 00/hour = $ 2,480 per meter space/year Absolute maximum meter revenue potenbal ~n bus~ness d~stnct = 119 metered spaces x $ 2,480 per space/year = $ 295,120 per year It ~s ~mportant to understand that there are many factors that w~ll reduce the maximum potenbal revenue total A hsbng of those factors ~s shown below w~th an estimate of their ~mpact on parking meter revenues FACTORS NEGATIVELY IMPACTING REVENUE IMPACT Normal Occupancy rate = 90% 10% Roubne Maintenance Acbwbes (meters out of service), Weather, Emergencies), Parades (Temporary No Parking), Construcbon Acbwbes, Expired Meters (Non-Payment, Over-Extended T~me), Short - Term D~sabd~ty Use 15- 30% Official Vehicle Use 1% Total D~scount Factor 26 -41% Parking Enforcement D~ws~on Attachment B Therefore, the adjusted maximum on the revenue potenbal ~n the bus~ness d~stnct should fall ~n the range of APPROXIMATE ADJUSTED MAXIMUM = $ 295,120 m~nus total d~scount factors of 26 - 41% ABOSOLUTE MAXIMUM METER REVENUE POTENTIAL = 295,120 m~nus ((26 TO 41) X $ 295,120) = $174,121 - $ 218,389/year ONE-TIME COSTS: 1) Parking Meter System Decals (Informational) S~gns (Informational) 2) Parking Meter Installation TOTAL ONE-TIME COSTS = COSTS Eshmated $1,000 $ 5,OOO $15,000 $ 21,000 ON-GOING ANNUAL COSTS: 1) Permits/Forms/Leases Pnnbng 2) S~gn/decal maintenance and replacement 3) Parking Meter Maintenance TOTAL ANNUALCOSTS= Esbmated $1,000 $ 4,000 $ 8,ooo $13,000 Parking Enforcement D~v~s~on Attachment B STUDY SUMMARY Anticipated Benehts (Revenue) = Eshmated Costs to Implement = Approximate Range $175,000- $ 219,000 $ 21,000 (one-hme cost) +10,000 - $13,000 annual COST/BENEFIT SUMMARY Actual Costs to Implement = Potential Benefits for year following implementahon (Revenue)= $ 21,000 (one time cost) + 137000 annual costs $ 34,000 $ 200, 000 Parking Enfomement D~v~s~on Attachment B M+D Properties, Inc December 13, 2005 Mr Ennque Marbnez, C~ty Manager C~ty of Lynwood 11330 Bulbs Road Lynwood, CA 90262 Dear Mr Mart~nez As a follow up to a meeting w~th some of your staff members th~s past summer, M&D properbes d~scussed and prowded drawings proposing d~fferent angled parking layouts for State Street between Fernwood Avenue and Impenal H~ghway In that meebng it was dec~ded that the best opbon for the C~ty was the s~ngle row of angled parking on both s~des of State Street Attached ~s a copy of the drawing w~th the proposed layout whmh would prowde approximately a total of 72 parking spaces Based on the result of our recently completed parking study of Plaza Mexico, our parking consultant team strongly recommends installation of parking meters w~th 1 to 2 hour maximum bme hm~ts along w~th the angled parking spaces for th~s secbon of State Street The add~bonal parking spaces would be a great benefit to the pubhc Th~s would also ease some of the parking congesbon for Plaza Mexico, and the parking meters would generate add~bonal revenues for the C~ty, hence creating a w~n-win s~tuabon for everyone In closing, M&D properhes ~s respectfully requesbng that t, he Crty take the necessary acbons ~n ~nstalhng the necessary stnp~ng and parking meters on State Street between Fernwood Avenue and Impenal H~ghway Attachment CC Regards, Donald Chae M&D Properbes Grant Taylor, C~ty of Lynwood 3100E ImpeT~aIHwy Lynwood, CA 90252 Tel (310)6~1 4989 Fax (310)8311645 DATE TO APPROVED BY PREPARED BY AGENDA STAFF REPORT December 20, 2005 Honorable Mayor& City Council Me~er~.z./.) N Ennque Martmez, City Manager/'//~.////~/'-(" .//// J Arnoldo Beltran, C~ty Attorney SUBJECT' Utlhty Users Tax Exemphon for Lynwood Park Water Users - Assessment of Alternahves Recommendations' Staff recommends that the C~ty Council 1 Evaluate the reformation and alternatives provided ~n this report and ~ts attachments addressing the conhnuatlon or alterabon of the Water Uhhty Users Tax Exemphon for customers of Lynwood Park Water Company and prowde staff w~th dlrechon regarding the contents of a resoluhon to be drafted and considered for adopbon by Councd at the second meeting ~n January, and 2 Adopt the attached Resolution extending the Water Ut~hty Users Tax Exemphon for customers of Lynwood Park Water Company through January 31,2006 to permit staff to prepare the necessary resoluhon ~f Councd authonzes conhnuabon or alterahon of the Tax Exempbon Background' Since 1995, the City of Lynwood has annually passed resolubons exemphng as a class customers of Lynwood Park Water Company ("Park Water") from the payment of the Water Users Ubht~es Tax specified ~n Subsechon 6-5 9 of the Lynwood Mumc~pal Code At the September 20, 2005 C~ty Counc,I Meebng, Council approved extension of the exemphon through December 31, 2005 and requested staff to re-evaluate the exemption from the water users utd~ty tax, explore alternabves and prowde a report to Council at the first meeting ~n December In response to Council's request, staff presented the report attached hereto as Exhibit B at the regular City Council Meehng on December 6, 2005 Dunng that meehng, Council requested staff to research and compile ~nformabon on the water rates and the uhhty users tax exempbon prachces ~n other c~bes where Park Water prowdes water serwce to a port~on of those CltlOs' customers This report provides the reques Pd mfr~rm2t!or~ 1 AGENDA ITEM 23 Practices ~n Other Cibes Served by Park Water Staff contacted the c~tles of Artesla, Santa Fe Spnngs, Norwalk, Bellflower and Compton, as well as other entlbes prowdlng service In these areas, to ~nqu~re whether or not they prowded any ubhty users tax exempbons to their Park Water Customers Staff also inquired as to the water rates charged, the rate of the ubhty users tax and whether or not a ubhty users tax was charged for water service A table summanz~ng these results ~s attached hereto as Exhibit A, but in short, none of the above c~tles prowde any relief from ubhty users taxes to customers of Park Water Company Fiscal Impact. An excess of $80,000 would be generated for the City's General Fund on an annual bas~s if the ubhty users tax exempbon was completely repealed, for the remainder of the fiscal year, an add~tronal $40,000 would be generated The fiscal impact of a part~al or gradual d~sconbnuabon would have to be assessed Coordinated With C~ty Manager, F~nance Department 2 RESOLUTION NO A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD EXTENDING TO PARK WATER CUSTOMERS A TEMPORARY EXEMPTION FROM THE WATER UTILITY USERS TAX IMPOSED UNDER SUBSECTION 6-5.9 OF THE LYNWOOD MUNICI PAL CODE WHEREAS, Subsection 6-5 9 of the Lynwood Mumclpal Code (the "Code") authorizes the ~mposltlon ora utility users tax (the "Users Tax") not to exceed tcn perccnt (10%), upon charges made for ~vater that ~s dehvered through mares or pipes, and WHEREAS, Subsection 6-5 4 b of the Code authorizes the City Counctl of the City of Lynwood (the "Council"), by order or resolution to estabhsh one or more classes of persons or one or more classes of utdlty serwce that are exempt, ~n whole or in part, from payment of the utlhty users taxes ~mposed by Section 6-5 of the Code, and WHEREAS, the Councd has made findings and determmcd that (l) customers who receive their watcr service from Park Watcr Company ("Park Water") ~n Lynwood pay s~gnlficantly h~gher water rates than do customers receiving water service from the C~ty of Lynwood Water Department, and (2) the C~ty of Lynwood has no regulatory authority over the rates charged by Park Water because those rates are approved by the Cahfom~a Pubhc Utlht~es Commission, and WHEREAS, Resolution No 2005 157 was adopted by the Council on September 20, 2005 to extend the program for temporary exemptmn from the Users Tax for Lynwood's Park Water customcrs through December 31, 2005, and WHEREAS, in adopting tlns Resolution, the Councd desires to alleviate economic hardship and to provide financial rehefto those property owners ~n the City who are castomers of Park Water by extending the temporary exemption for payment of the Users Tax that would other~vlse be apphcable to chargcs for water purchased by those customers from Park Water NOW, THEREFORE, BE IT RESOLVED, that tile City Council of'the C~ty of Lynwood hereby finds, orders and resolves as follows Section 1. Customers purchasing water from Park Water Company m tile City of Lynwood are, as a class, exempted from further payment of the utlhty users tax ~mposed by Subsection 6-5 9 of the Lynwood Municipal Code Section 2. The C~ty's Tax Admlmstrator ~s d~rected to not~fy Park Water Company that th~s exemption has been extended by the C~ty Council and to promde such addltmnal mfom~atlon as may be reqmrcd to enable Park Water Company to remove all exempt customers from ~ts ut~hty users tax b~lllng procedures Section 3 The exemption provided for tn Section l shall remain in full force and effect for the period beginning on January 1, 2006 and ending on January 31, 2006 The City Manager is d~rected to monitor all applications for water rate increases filed by Park Water Company with the California Public Utilities Commission and to inform the City Council of any proposed increases so that the City Council may determine in a timely manner whether to oppose them Section 4 That tlxm Resolution is to be given effect ~mmedlately upon adoption PASSED, APPROVED AND ADOPTED this __ day of ,2005 ATTEST Letlma Vasquez, Mayor Andrea Hooper, City Clerk APPROVED AS TO FORM J Amoldo Beltran, City Attorney DATE TO APPROVED BY PREPARED BY AGENDA STAFF REPORT December 6, 2005 Honorable Mayor & C~ty Councd Merrit~r,s N Ennque Marhnez, C~ty Manage~o/j/l~'' J Arnoldo Beltran, C~ty Attorney SUBJECT: Ubhty Users Tax Exemption for Lynwood Park Water Users- Assessment of Alternatwes Recommendation: Staff recommends that the C~ty Councd evaluate the ~nformabon and alternabves provided ~n th~s report and prowde staff w~th d~recbon regarding the contents of a resoluhon to be drafted and considered for adoption by Councd at the second meebng ~n December to address the cont~nuabon or alterabon of the Water Ubhty Users Tax Exempbon for customers of Lynwood Park Water Company Background: S~nce 1995, the C~ty of Lynwood has annually passed resolubons exempbng as a class customers of Lynwood Park Water Company ("Park Water") from the payment of the Water Users Ubht~es Tax specified ~n Subsecbon 6-5 9 of the Lynwood Municipal Code The current rate of th~s tax ~s 10% The exemption was created and has been conbnued over the years to prowde rehef to customers of Park Water Company because they pay s~gnlflcantly higher water rates than those recewlng water service provided by the C~ty of Lynwood Water Department The C~ty of Lynwood has no control over the rates charged by Park Water because Park Water ~s a uhhty whose rates are regulated by the Cahforn~a Pubhc Ubht~es Commission (the "CPUC") At the September 20, 2005 C~ty Councd Meebng, Councd approved extension of the exemphon through December 31, 2005 and requested staff to re-evaluate the exemptfon, explore alternabves and prowde a report to Councd at the first meeting ~n December ATTACHMENT B Discussion & Analysis: Uhhty Users Taxes Lewed by the C~ty of Lynwood Pursuant to Secbon 6-5 et seq of the Lynwood Mumclpal Code and vanous amendatory resolubons, the City has enacted a uhhty users tax, assessed at the rate of 10% of the charges made on the following services 1 Telephone 2 Water 3 Gas 4 Electnc~ty 5 Cable Utdlty User Tax Exemphons ("Exempbons") Prowded by the C~ty of Lynwood In addlbon to exempbng Park Water customers from payment of the Water Users Ubl~ty Tax, the C~ty of Lynwood currently provides the following additional exemptions a Semor C~tlzens (exempt from all utlhty users taxes) b Corporahons or persons employing cogenerahon technology (exempt from Electricity Users Tax on that portton of power produced by cogenerabon) c Corporations or persons using cable TV (exempt from Cable TV Users Tax) d D~sabled Persons (exempt from all ubhty users taxes) A blanket exempbon from the payment of the Cable TV ubhty users tax ~s currently being prowded pursuant to C~ty Council acbon (Resoluhon No 90-191), but the bas~s for the exempbon ~s not prowded Although an explorabon of th~s ~ssue ~s beyond the scope of th~s report, the Councd may w~sh to d~rect staff to ~nvesbgate th~s exempbon as ~t amounted to an esbmated revenue loss of nearly $300,000 00 for the 2004 calendar year Tvpes of Exemptions Prowded by Other CIt~es Many cities provide uhhty users tax exempbons to their residents For example, Long Beach, Norwalk, Gardena and many other c~t~es prowde exempbons for semor c~hzens The c~tles of Moreno Valley, R~alto, Placenba, P~nole and Cowna also offer exempbons to iow-~ncome households A variety of methods are employed to determine what consbtutes a Iow-~ncome household Examples (1) The City of Moreno Valley requires each person to cerbfy and provide documentabon to the C~ty Treasurer that the combined gross income of all members of the household ~s less than that spec#~ed as 65% of median ~ncome for the County of R~vers~de as defined annually by HUD 2 (2) The C~ty of Placenba requires residents to certify and prowde documentary ewdence that the combined adjusted Gross Income, as defined by the Cahforma Personal Income Tax Law, of all members of the household ~s less than the sum of $12,500 00 for the preweus year (3) The c~hes of Cov~na and P~nole prowde hsts of ~ncome gu~dehnes based on household s~ze and maximum ~ncome from all sources Residents must re-apply for the exempbon annually and prowde documentabon such as tax returns, SSI forms and/or cop~es of social security checks The C~ty of P~nole bases ~ts Iow-Income guidelines on the household ~ncome gu~dehnes used by the CPUC's Cahforma AIternabve Rate Energy (CARE program) Legal Bas~s for Tax Exemptions As a general rule, uhhty users tax exemphons do not constitute g~fts of pubhc funds, despite the fact that such exemptions benefit pnvate ~nd~vtdua~s Case law has held that such expenditures are not g~fts of pubhc funds ~f they serve a vahd pubhc purpose, and rehef from economic hardship has been found to be a vahd pubhc purpose ~ In passing each of the resolutions granting the exempbon to the Park Water customers, the City Council has made the finding that the purpose the exempbon ~s to "allewate economic hardship and to prowde flnanc~a~ rehef to those property owners In the C~ty who are customers of Park Water Company," thus sabsfy~ng the pubhc purpose requirement of the exempbon Prowdmg tax exemptions for different classes of persons does not unlawfully discriminate (wolate the Equal Protection or Due Process clauses of the state and federal const~tubons) so long as the d~sbncbon between the classes rests upon a rabonal bas~s 2 Providing some type of rehef from the tax for Park Water customers appears to make a rabonal d~stmcbon between two classes of water users, those who pay higher charges to Park Water (over whom the City has no rate control) and those who pay lower charges for water to the C~ty Lynwood Park Water Facts Rate Comparison The current rates pa~d by Park Water Customers for water ~s $ 2 245 per umt, whde those rece~wng water service from the City of Lynwood pay $1 69 per umt The CPUC has also permitted Park Water to charge late fees of 1 5 % w~th a $1 00 m~n~mum There are approximately 1,150 customers ~n the Lynwood Park Water service area ~ Schettler v County of Santa Clara (1977) 74 Cai App 3d 990, 1004 and Atlantic R~chfleld Co v County of Los ~ (1982) 129 Cai App 3d 287, 300 ~C~ty of San Jose v Donohue (1975) 51 Cai App 3d 40, 45 3 Qualification for Exemption The current exempbon from paying the Water Users Ubhty Tax apphes to all customers of Park Water located ~n the City of Lynwood Rehef ~s not prowded on the bas~s of income, property ownership, d~sabd~ty or semor c~hzen status, a person or company qual~fles for the exempbon s~mply by being located ~n the area serviced by Park Water Unlike some of the other exemphons provided for by the City, such as the exemption for semors and the d~sabled, customers are not required to fill out an apphcabon with the C~ty ~n order to receive th~s exempbon Esbmated Revenue Loss As of September 20, 2005, the C~ty's Finance Department projected an estimated annual revenue loss of more than $8,0,000 00 ii the City Council chose to extend the tax exemption through September 30, 2006 Tax Exemption Alternabves 1. Discontinue the exemption for all Lynwood Park Water Customers Th~s alternahve would terminate the enbre exemption and make all Park Water customers subject to the 10% tax as of January 1,2006 However, semors and the d~sabled would be exempt from the tax prowded the appropnate apphcahon was made to the C~ty Th~s alternabve would permit the C~ty to recoup the enbre esbmated revenue loss, but would not prowde any relief to those who pay the CPUC approved higher rates to Park Water 2. Partially Abate The Exemption For All Lynwood Park Water Customers Th~s option would sublect all Park Water customers to the tax effective January 1,2006, but at a reduced rate of Councd's choosing For example, Park Water customers could pay a 5% water users tax instead of the full 10% and semors and the d~sabled would be ehg~ble for a ful~ exempbon upon cerbfled apphcabon to the C~ty This option would permit the C~ty to recoup part of the estimated revenue loss and shll prowde some financial rehef to Park Water customers Th~s ophon could also ~nclude a prows~on to permit the Council to revisit the exempbon annually, or at some future date of Council's choosing 3. Gradually Abate The Exemption For All Lynwood Park Water Customers Th~s alternahve would slowly phase the tax exemption out using a schedule determined by the Councd By way of example, the Council could choose to provide gradually decreasing exemptions at the rate of 2% per year unhl the tax exemption was finally phased out ~n 2010 Under such a plan all Park Water users would pay a 2% tax ~n 4 2006, a 4% tax m 2007, a 6% tax ~n 2008 and so on Again, seniors and the d~sabled would get full exempbon upon certified apphcabon Th~s alternabve would permit the City to ~ncrementally recoup the esbmated revenue loss wh~le continuing to provide some financial relief for a period of time to the Park Water customers Continue The Exemption For All Lynwood Park Water Customers Based On Low-Income/Need This option would require the Council to establish a Iow-raceme threshold (such as those prowded by the prewously menhoned c~t~es of Moreno Valley, Placenha, Cowna and P~nole) that would need to be met in order to receive a full exemption Residents would be required to apply for the exemphon by fllhng out an apphcabon and subm~tbng appropnate ~ncome documentabon to the F~nance Department for venflcat~on Of course, seniors and the d~sabled would sbll be ehg~ble for full exempbons as noted above It Is uncertain how much of the revenue loss the C~ty would recoup and how much financial rehef would be prowded under th~s ophon as ~t presently unknown what iow- ~ncome threshold will be estabhshed and how many Park Water customers would quahfy and/or apply for such an exempbon Some additional study would be required pr~or to ~mplemenbng th~s opbon, and some add~bonal costs would be recurred ~n terms of staff brae evaluahng and cerbfy~ng Iow-~ncome documentabon Discontinue The Exemption for a Specified Class of Park Water Customers Based on Some Other Rational Criteria As d~scussed earher, a tax exempbon wdl be held vahd ~f the exempted persons [or businesses] may be placed ~n a d~sbnct class and the class~flcabon on which the exemption ~s based has a rabonal ba$~s (a plausible pohcy goal based on facts that the decision makers have considered and beheved to be true) and the "relahonsh~p of the class~flcahon to ~ts goal ~s not so attenuated so as to render the d~shnchon arbitrary or ~rrahonal .3 Thus ~t may be possible to set up some other classification, other than Iow- ~ncome, on which to base exemptions from the tax One poss~bd~ty m~ght be to charge the tax to bustnesses located ~n the area, but exempt residents, on the theory that unhke bus~ness, residents are unable to recoup the tax by pass~ng ~t on m the form of h~gher pnces to customers The precise number of businesses ~n the Park Water serwoe area ~s not known, but a qu~ck review of the most recent exemphon hst y~elds at least twelve (12) names which clearly ~nd~cate that the users are businesses Th~s count of businesses does not ~nclude what appear to be a number of churches, nor the names of persons who may be landlords or those engaged ~n home occupabons 3 San Francisco v Fyng Dutchman Park, Inc (2004) 122 Cai App 4~ 74, 83 5 Untd a more accurate count of businesses m the area can be performed, ~t ~s uncertain how much revenue loss the C~ty would recoup under a classification scheme such as th~s one The amounts of water being used by ~nd~wdual estabhshments could also be rewewed ~n order to make a reasonable determmahon as to the efficacy of th~s type of exemphon plan Offset some of the Revenue Loss by Charging a Franchise Fee to Lynwood Park Water Company The City has a P~pehne Franchise Ordinance (LMC §17-1 et seq ) which permits ~t to grant by ordinance franchises to enbbes 0nclud~ng public ubht~es) to lay, construct, maintain, operate, repair, remove or abandon ~n place p~pes or p~pehnes for the collecbon, transportation or d~stnbubon of water State statutes also grant c~t~es these nghts4 and prescnbe the methods by which such franchises may be granted s These statutes, however, are not the sole means by which a pubhc uhhty may gain use of a mumc~pahty's nghts of way A pubhc uhhty could gain such nghts to use by obtaining p~pehne permits6 or easements under the law of eminent domain 7 If Park Water obtained ~ts nght to use Lynwood's nghts of way by a method other than by grant of franchise, the franchise prows~ons of the C~ty's Code would not apply 8 C~ty staff have adwsed our office that Park Water has never had a franchise agreement w~th the C~ty, but even ~f ~t d~d, the maximum franchise fee a C~ty ~s permitted to charge ~s 2% of the annual gross receipts9 generated by the franch~see's use, possession or operabon of the franchise, but not less than 1% of the applicant's gross annual receipts denved from sales of the utd~ty service w~th~n the area of the mumc~pahty for which the franchise Is awarded 10 If the C~ty were somehow enbtled to levy th~s 2% fee, Park Water would have the ab~hty to pebbon the CPUC and pass the ~ncreased operabng costs on to Lynwood's Park Water Customers At the rate of 2%, a franchise fee would not m~bgate much of the C~ty's revenue loss and would I~kely heap more financial hardship on the Park Water customers ~f the CPUC permitted a pass through of the franchise fee Fiscal Impact: An excess of $80,000 would be generated for the C~ty's general fund on an annual bas~s ~f the utd~ty users tax exempbon was completely repealed For the remainder of 4 Gov Code §39732 5 Pub Ut~l Code §§ 6001 - 6017 and 6201 - 6302 ~ So Paclhc P~pehr~es, Inc v Ctt¥ Long Beach (1988) 204 Cai A,pt~ 3d 660, 665 7 Shell Callf Plpehne Co v City of Compton (1995) 35 Cai App 4 1116, 1123 8 See LMC § 17-19, which prowdes that the p~pelme franchise sechon shall not apply "to facd~bes which have been constructed, la~d operated or maintained under a pnor nght which d~d not ~nvolve the fssuapce of a franchise" 9 Gross receipts that anse from the use of a franchise are defined as those receipts attnbutable to that part of ~roperty using pubhc rights of way Los Anqeles v Southern Counbes Gas Co (1954) 42 Cai 2d 129 o Pub Utd Code 6231(c) and LMC §17-31 a 6 th~s fiscal year, an add~bonal $40,000 would be generated The fiscal ~mpact of a parbal or gradual d~sconbnuabon would have to be assessed Coordinated W~th Finance Department 7 AGENDA STAFF REPORT DATE TO APPROVED BY PREPARED BY December 20, 2005 Honorable Mayor & Council Members N Ennque Marbnez, City Man. a.ger Andrea L Hooper, City Clerl~ Albert Espmoza, Deputy City Clerk SUBJECT Second Reading C~ty of Lynwood Ordinance Recommendation: Staff recommends the City Councd adopt the following Ordinance AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LYNWOOD REPEALING SECTION 2-5 AND SUBSECTIONS 6-3 1 THROUGH 6-3 13 OF THE LYNWOOD MUNICIPAL CODE IN THEIR ENTIRETY AND ADOPTING NEW SUBSECTIONS 6-3 1 THROUGH 6-3 13 AND A NEW SECTION 6-6 FOR THE PURPOSES OF UPDATING THE CITY'S PURCHASING PROCEDURES, AUTHORIZING THE CITY MANAGER TO EXECUTE AND ENTER INTO CERTAIN CONTRACTS ON BEHALF OF THE CITY AND MOVING THE PROVISIONS OF THE CODE REGARDING CONTRACTS FOR PUBLIC WORKS PROJECTS TO A NEW SECTION OF THE CODE FOR CLARITY Background: The C~ty Council conducted a pubhc heanng and ~ntroduced by btle only the attached Ordinance on December 6, 2005 Fiscal Impact: N/A Coordinated With: N/A AGENDA ITEM ORDINANCE NO. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LYNWOOD REPEALING SECTION 2-5 AND SUBSECTIONS 6-3.1 THROUGH 6-3.13 OF THE LYNWOOD MUNICIPAL CODE IN THEIR ENTIRETY AND ADOPTING NEW SUBSECTIONS 6-3.1 THROUGH 6-3.13 AND A NEW SECTION 6-6 FOR THE PURPOSES OF UPDATING THE CITY'S PURCHASING PROCEDURES, AUTHORIZING THE CITY MANAGER TO EXECUTE AND ENTER INTO CERTAIN CONTRACTS ON BEHALF OF THE CITY AND MOVING THE PROVISIONS OF THE CODE REGARDING CONTRACTS FOR PUBLIC WORKS PROJECTS TO A NEW SECTION OF THE CODE FOR CLARITY WHEREAS, many provisions of the Lyn~;ood Municipal Code (the "Code") regarding purchasing of supplies and equipment and contracting for professional services have not been updated in several decades, and WHEREAS, the City Council of the City of Lynv~ood (the "Council") wishes to update and streamline the City's purchasing and professional services procurement procedures to increase efficiency, cost effectiveness and responslveness, and WHEREAS, the Council also wishes to delegate authority to the City Manager to enter into and execute certain contracts on behalf of the City pursuant to the guidelines set forth m this ordinance, and WHEREAS, for purposes of clarity, the Council wishes to place the recently- adopted provisions of the Code dealing with Contracts for Public Works ProJects and the Uniform Construction Cost Accounting Act m a ~cparate Section of the Code NOW, THEREFORE, THE CITY OF LYNWOOD DOES ORDAIN AS FOLLOWS: Section 1 That Section 2-5 of Chapter 2 of the Code of the City of Lynwood is hereby repealed in its entirety. Section 2. That Subsections 6-3 1 through 6-3 13 of Section 6-3 of Chapter 6 of the Code of the City of Lynwood are hereby repealed in their entirety Section 3.. That new Subsections 6-3 1 throogh 6-3 13 of Section 6-3 of Chapter 6 are added to the Code of the City of Lynwood, which Subsections shall read as follo~ s 6-3 PURCHASING 6-3.1 Definitions. For purposes of this Secuon, the following words shall have the followmg meanings "Agency or Agencies" shall mean the Lynwood Redevelopment Agency, the Lynwood Information Inc, the Lynwood Public Finance Authority, the Lynwood Utility Authority or any other local body created by ordinance, resolution or formal actmn of the City Council of the City of Lynwood "Bidder's List" shall mean a list of responsible prospective or current vendors capable of prox lding the items being bid upon "Equipment" shall mean fumish~ngs, machinery, vehicles, rolling stock, and other personal property used m the City's bus~ness "Emergency" shall mean a situation in which there is an ~mmed~ate threat to life or property or when there ~s or would be a complete disruption of a vital public service "Routine Services" are services such as jamtonal, uniform cleamng, maintenance and other services which do not require any umque skill, special background, tmlmng, and obtaining such services at the lowest cost is the single most important factor in selection, as opposed to personal performance "Professional/Special Services" shall mean any work performed by an attorney, architect, engineer, land surveyor, construction manager, appraiser, expert, accounting firm, consultant or those services such as computer services, security services and other servmes which reqmre m addmonal to the use of specml or specific eqmpment, specml performance criteria, specific experience, trmnlng, personal judgTnent, quality of work or factors other than s~mply obtaining the service at the lowest cost to the City Professional/special services do not include services rendered by C~ty officers or cmployees "Purchase" shall include the renting, leasing, purchasing, licensing, or a trade of equipment or supplies "Purchasing Officer" shall mean the C~ty Manager or h~s/her designee "Supphes" shall mean office supplies, jamtonal supphes, materials, goods, tools, or other commodities used in the general conduct of the C~ty's bus~ness, excepting supplies or materials included in a construcnon contract or bid specification for a pubhc works project 6-3.2 Centralized Purchasing System Adopted. 2 There is hereby adopted a centralized purchasing system in order to establish efficient procedures for the procurement of supplies, equipment and routine services for the City and its Agencies, to exercise financial control over pumhases, to clearly define authority for the purchasing function and to conserve public funds through the reduction of costs 6-3.3 Purchasing Officer Duties. a The City Manager is hereby appointed and shall serve as the City Purchasing Officer The City Manager shall have the authority to delegate in whole or in part to qualified City officers or employees the responsibilities and authority for carrying out all aspects of the purchasing system, provided that the City Manager maintains oversight and recel~,es quarterly reports regarding the purchasing function from all such designees b SubJect to the provisions of this Section, the duties and responsibilities of the Purchasing Officer shall include but not necessarily be limited to the following To prepare, distribute and maintain adm~mstrative regulations and procedures consistent with the provisions of this Code governing the purchase of supplies, equipment and routine services for the Cay and its Agencies, 2 To prepare, distribute and maintain administrative regulations and procedures consistent with this Code for the sale of surplus property, 3 To purchase or contract for all supplies, equipment and routine servmes needed by the City and its Agencies in accordance with purchasing rules, regulations and procedures as provided for in this Section and such other roles and regulations as shall be prescribed, 4 To procure for the City and its Agencies the highest quality in supplies, equipment and routine services at the least expense, 5 To discourage uniform bidding and to endeavor to obtain as full and open competition as possible on all purchases and sales, 6 To keep informed of current developments in the field of purchasing, prices, market cond~tions and new products, 7 To ensure the inspection of all supplies and equipment purchased to guarantee conformance ~vlth specifications and adherence to standards of quahty, Including, as mqmred, chemical and physical tests of samples submitted with bids and samples of dehvenes to determine conformance ,3,1th specifications set forth m the order, 8 To direct the transfer of surplus or unused supplies and equipment between Departments as needed, 9 To sell all supphes, equipment and other property of the C~ty and ~ts Agencms which has been declared surplus or which has become unsuitable for use by the C~ty or its Agencies; 10 To mmntaln financial and other records as necessary for the efficient operation of the purchasing system, 11 To prescribe and maintain such forms as are necessary for admm~stranon of the pumhas~ng system 6-3.4 Appropriated Funds Prerequisite to Contract or Purchase Order. Except in cases of emergency, the Purchasing Officer shall not ~ssue any purchase order nor award any contract for supphes, eqmpment, routine services or profess~onal/special servtces unless there exists an available, non°committed balance in the account against which the purchase is to be charged SubJect to budgetary restrictions, the Pumhas~ng Officer may transfer funding from other sources to ensure sufficient balances to the extent that such transfers are normally allowed without C~ty Council approval The Purchasing Officer shall obtain City Council approval for additional funds for purchases lacking the available uncommitted funding 6-3.5 Departments to Supply Estimates of Requirements. All City Departments and Agencms must file detailed estimates of their reqmrements for supphes, eqmpment or routine services ~n such manner, and at such t~mes, and for such future period(s) as the Purchasing Officer shall prescribe 6-3.6 Requisitions and Purchase Orders. a Except as permitted under Subsection 6-3 7 b [, any C~ty Department or Agency requesting supphes, eqmpment or routine services shall submit to the Purchasing Officer a reqmsition on the Purchasing Officer's approved form prior to tmtmtmg any procurement b Except as permitted under Subsection 6-3 7 b 1, purchases of supphes, equipment and routine ser~ ~ces shall be made only by purchase orders ~ssued by the Purchasing Officer and any other contractual document he or she determtnes ~s necessary To the extent possible, purchase orders must be entered ~nto for thc ennre fiscal 5ear's worth of purchases, or for the entire length of the appro~ ed contact 6-3.7 Bidding Procedures and Purchasing Authorit3, Limits. a There are three levels of authority for purchases ~h~ch are determined by dollar amount Department D~rector Purchase. Open Market Purchase and Formal B~d Purchase Except as specffically permitted otherwise by the provisions of th~s Section, a formal purchase order, approx ed by the requesting Department D~rector and the 4 Purchasing Officer or his/her designee is required for all purchases where any single item/purchase exceeds $500 00, m advance of the procurement b When making purchases for supplies, equipment or routine sen ices, the following procedures shall be followed Department Director Purchase Up to $500 00 (a) Any Department Director or the City Manager ma~, authorize the purchase of supplies, equipment or routine services as needed for his or her area of responsibfl~ty for purchases up to $500 00 (b) No pumhase reqms~tlon, purchase order or bidding procedures shall be required, provided the Department Director keeps a record of such purchases and exercises reasonable prudence in seeking price quotes and purchasing such items All such purchases shall be made with the existing budget, using the available and uncommitted balances (c) Purchase orders may be issued regardless of amount when required by the vendor, or when the complexity o f the transaction demands a formal document for clarity 2 Open Market Purchase $500 01 to $15,000 00 (a) Purchases of supphes, equipment and routine services where the dollar amount involved is $500 01 to $15,000 00 shall be made by the Purchasing Officer If in the Purchasing Officer's reasonable discretion the amount, urgent need and/or t~mmg of the purchase so ~,arrants, the purchase may be made ~n the open market without observing the formal competitive bidding procedures prescribed in Subsection 6-3 7 b 3 (1) Open market purchases shall, whenever possible, be based on at least thlee (3) bids and shall be awarded to the lowest responsible bidder (2) The Purchasing Officer or his/her designee shall solicit bids by written request to prospective vendors, by telephone and/or by public notice posted on a public bulletin board in City Hall and on the Clt3 's Webslte (3) Bids gl,~en pursuant to this Subscction shall be submitted to the Purchasing Officer In writing (4) Ifa bid m received, the Purchasing Officer shall keep a record of all open market orders and bids for a period of one (1) year after the submission of bids or the placing of 5 orders This record, while so kept, shall be open for public inspection 3 Formal Bid Purchases Over $15,000 Except as otherwise authorized m Subsection 6-3 13, purchases of supplies, equipment and routine services in excess of Fifteen Thousand ($15,000 00) Dollars shall be by formal competm~ e bid in accordance with the following provisions (a) Published notice A notice inviting bids shall be published at least fourteen (14) calendar days before the date of the opening of bids The notice shall be published at least twice, not less than five (5) days apart in a newspaper of general circulation pnnted and published in the City, and also in appropriate trade publications, if any, circulated within the general area Such other notice as the Purchasing Officer deems appropriate may be made (b) Notice mvmng bids Notices inviting bids shall include a general description of the supplies, equipment or routine services to be purchased, state where bid forms and specifications may be secured and the time and place for the opening of bids and any other information material to the submission of a bid (c) Bidder's list The Purchasing Officer shall maintain a list of responsible bidders for various categories of supphes or equipment A solicitation for a bid shall be sent to all responsible prospective contractors or suppliers whose names are on the bidder's list for the category of equipment, supplies or routine services subject to the bid request (d) Bulletin board and Website The bid invitation shall be posted on a public bulletin board in City Hall and shall also be posted on the Cltj, 's Webslte (e) Bid Submission Procedure Sealed bids shall be submitted to the Purchasing Officer or to the City Clerk, as determined by the Purchasing Officer and set forth in the not~ce inviting bids Sealed b~ds shall be identified as to bidder, project, and bid on the envelope (f) Bid opening procedure Bids shall be opened by City staff in public at the time and place stated in the not~ce inviting bids A written record and tabulation shall be made at the time of all bids received, and shall be open for public inspection dunng regular business hours for a period of not less than thirty (30) days after the bid opening (g) ReJection of bids In its discretion, the City Council may reject an3, b~ds presented and may re-advertise for bids 6 (h) Tie b~ds If two (2) or more bids received are for the same total amount or umt price, quality and service being equal, the Council may accept either bid 0) No bids If no bids are received, the C~ty Council may have the supphes, equipment or routine services purchased m the open market ~vithout further compliance with the bidding procedures specified in this Subsection (j) Performance bonds The City Council may reqmre a performance bond ~n such amount as it shall find reasonably necessary to protect the pubhc ~nterest If the City Council requires a performance bond, the form and amount of the bond shall be described tn the notice inviting bids (k) Bid evaluation procedures All b~ds shall be analyzed by Purchasing Officer and the Department Director requmng the supplies, eqmpment or routine services for comphance with bid specifications, and the Pumhasing Officer shall prepare a recommendation to the Department for award or rejection The Department Director shall then prepare a recommendation for award or rejection to the City Council (1) Award of contracts Contracts shall be awarded by the C~ty Council to the lowest responsive and responsible bidder ~hose b~d fulfills the purpose intended accor&ng to criteria designated in the notice inviting bids All such contracts shall require the s~gnature of the Mayor, or m his/her absence, the Mayor Pro Tempore, pursuant to the provlsmns of Got Code §§ 40601 and 40602 c The purchasing procedures described in this Subsection shall not apply to pubhc works projects/contracts, professional/special services contracts or to any employee or officer expenditures or reimbursements ~nvolvmg travel, education or per diems 6-3.8 Report and Sale of Obsolete and Surplus Supplies and Eqmpment. a All City Departments and Agencms shall submit to the Purchasing Officer, at such t~mes and in such form as he/she shall prescribe, reports showmg all supplies and equipment which are no longer used or which have become obsolete or x~om out b The Purchasing Officer shall have the authority to sell all supplies and equipment which cannot be used by any agency or which have become unsuitable for use by the City or its Agencies or to exchange or trade in the supplies and equipment for ne~ supplies and equipment Such sales shall be made pursuant to those pro,,lstons of this Section v, hich are applicable 6-3.9 Professional/Special Ser~ ices. a In contracting for professional/special services, such contracts should only be awarded to firms or persons who have demonstrated adequate levels of experience. competence, resources/equipment, staffing and other professional qualifications necessary for more than a satisfactory performance of the ser',lces required in the time period needed b Once the Department or Agency requesting the professional/special service has determined a firm has an adequate level of competence, the cost of the service may be considered, however, price may not be the sole factor m determining to whom a contract shall be awarded The City's best interests may be served by awarding the contract to a higher priced contractor based on the scope of services available, unique skills, staffing le,,els, timing, prior experience, past working relationship, and other factors required by the Department or proposed by the contractor c Request for proposal/qualifications The acqumng of professional/special services shall be procured through a negotiated contract and should include requests for proposals/qualifications (RFP/Q) Soliciting bids for professional/special services is decentralized and shall be the responsibility of the Department Director requesting the service The Purchasing Officer may be contacted to assist in the formal request for proposal/qualification (RFP/Q) process d Contracts for Fifteen Thousand ($15.000) Dollars or Less 1 In non-emergency situations, the requesting Department should contact a minimum of three (3) consultants/firms 2 Unless the City Council authorized the entenng into or the award of a specific contract for professional/special services, the Purchasing Officer shall appro,,e in writing the award of all such contracts, taking into consideration the recommendation of the Department Director request,ng the professional/special services at issue 3 The Pmchasuig Officer or his/her duly authorized designee is authorized to approve professional/special service contracts with an estimated cost of $I5,000 00 or less e Contracts o,~er F~fteen Thousand ($15,000) Dollars In non-emergency s~tuatlons, Departments should utilize the following Sealed Request for Proposal process RFP/Q solicitation process A formal Sealed Request for Proposal Qualification (herein "RFP/Q") document should be developed for solicitation of professional services contracts over Fifteen Thousand (S l 5,000) Dollars 2 &d~ertlsement The Department should advertise in appropriate publications and/or use the Professional Services Listings, as available, dunng the solicitation process 3 Fourteen (14) to Twenty-one (21) day notice Notice inx rang RFP/Q's should be posted at City Hall and on the City's Webslte at least fourteen (14) calendar days before the due date of submission of the RFP/Q 4 Notice contents The notice shall at least describe the general type of service needed, how the RFP/Q minimum Scope of Work can be obtained, the reqmrement of a written sealed proposal, state the closing date, place, and time for subm,ssion of the RFP/Q 5 Solicitation procedure Sealed Request for Proposals/Qualifications should be submitted directly to the requesting Department RFP/Q's need not be opened publicly Departmenls shall analyze proposals for compliance v, nh RFP/Q requirements, value of the total scope of services and make a recommendation to C~ty Council for selection, or for follow up interviews of those submitting proposals 6 Award Contracts for professional/special services in excess of Fifteen Thousand ($15,000 00) Dollars require the approval of the City Council and the signature of the Mayor, or in his/her absence, the Mayor Pro Tempore, pursuant to the pro~lsions of Gov Code §§ 40601 and 40602 f Contracts for professional/special services should be on the C~ty's standard form and shall be reviewed and approved as to form by the City Attorney 6-3.10 City Manager Authority to Execute Specified Contracts. The C~ty Manager or his/her duly authorized designee shall be authorized to sign on behalf of the City all purchase orders or contracts for procunng supplies, eqmpment, routine services and professmnal/spectal services ,x hmh do not exceed a total contract or purchase order amount of Fifteen Thousand ($15,000 00) Dollars in any one year period 6-3.1 1 Report of Purchases. a The City Manager shall file a report of purchases with the City Council on a semi- annual basis The report shall account for all purchases of suppbes, eqmpment or routine services and all contracts for professional services exceeding Ftve Thousand (S5,000 00) Dollars which ~ere made w~thout prior C~ty Counctl approval dunng the preceding stx- months of each fiscal year b Thc report shall ~dennfy the subject matter of the purchase or contract, the requesting Department, the person or entity from ~ hom the purchase was made, and the amounts paid or payable by the City or its Agencies under each such purchase order or contract 6-3.12 Splitting Purchases or Contracts. 9 No officer or employee of the City or ~ts Agencies shall spht or separate a purchase of supplies, equipment or a contract or purchase order for routlne servlces or profess~onal/specml forthepurposeofevadmgthepro'vlslonsofthlsSectlon The acqulsmon of supphes, equipment and routine services should normally be made as a single purchase, when the need has been identified for multiples of,terns, related items, or similar ~tems, which are ordinarily available from the same vendor or manufacturer 6-3.13 Exceptions. a Any prowslons of this Sectmn to the contrary notwithstanding, no competm~ c b~dd~ng of any kind (whether through informal open market procedures or through formal not~ced procedures) shall be reqmred to purchase supphes, equipment, routine or professtonal/specml services under any of the followmg c~rcumstances When an emergency reqmres that an order be placed ~ ~th the most available source of supply, or 2 When the supphes, eqmpment, selw~ces or contract could be obtmned from only one ( 1 ) source, or 3 If the City Council shall find, by resolution adopted by not less than four- fifths (4/5) of Its members, that such an acqulsmon may be more economically and efficiently effected through the use of an alternate procedure, or 4 When the C~ty is seeking a contract for garbage collection b These excepnons shall not apply to contracts for pubhc works projects Section 4. That a new Section 6-6 of Chapter 6 ~s added to the Code of the City of Lynwood, which Section shall read as follows 6-6 CONTRACTS FOR PUBLIC WORKS PROJECTS 6-6.1 Public Works ProJects; Uniform Public Construction Cost Accounting Act. The City Council has elected to subject the City to the Uniform Pubhc Construction Cost Accounting Act (Cai Pub Con Code §22000 et seq ) in the performance of and contracting for pubhc projects The procedures contained m this Subsectmn are intended to implement and be consistent w~th such Act 6-6.2 Definitions For purposes of this Section, thc follox~ mg x~ords shall ha~ e the following meanings a "Public project" shall mcan an5 of the following, excluding mmntenance x~ork 10 Construction, reconstruction, erection, alteration, renovation, ~mprovement, demoht~on and repair w'ork m¥oNmg any faCfllty ox~ned, leased or operated by the C~ty, Painting or repalnt~ng any facility owned, leased or operated by the City, and 3 The construction, erection, improvement or repair of dams, reset,, OlrS, powerplants and electrical transmission hnes of 230,000 ~olts and higher that are part ora utility system owned by the City b "Maintenance v, ork" shall mean any of the following Routine, recumng and usual work for the preservation or protection for its intended purposes of any facility oxvned or operated by the C~ty, 2 Minor repmntlng, 3 Resurfaclng at less than one inch deep of streets and highways, Landscape mmntenance, including mowing, watering, trimming, pruning, planting, replacement of plants and servicing of lrngat~on and spnnkler systems, and Work performed to keep, operate and maintain water, power or waste disposal systems owned by the City, Including, but not limited to, dams, reservoirs, powerplants and elecmcal transmission lines of 230,000 volts and higher c "Facility" shall mean any of the followtng Any plant, building, struCtUle, ground faohty, real property, street, highway or other pubhc work lmpro,~ement, 2 Any ut~hty system owned by the City, subject to the limitations found Subsection 6-6 2 a 3 of this Code d "Force account" shall mean work performed on public projects using ~nternal City resources, including, but not limited to, labor, equipment, materials, supphes and subcontracts of the City 6-6.3 Contracting Procedures; Dollar Amount Limitations. a Public projects of $30,000 00 or less, for which appropriations have been approved by the City Council, may be performed by force account, by negotiated 11 contract, or by purchase order The Director of Environmental Services ~s authorized to determine ho,,~, and by whom the project shall be performed and the City Manager is authorized to execute any contract or purchase order for the project b Public projects from $30,000 01 to $125,000 00 shall be contracted for pursuant to the informal blddmg procedures contained in Subsection 6-6 6 of this Code c Public projects of more than $125,000 O0 shall be contracted for pursuant to the formal bidding procedures contained in Subsecnon 6-6 7 of th~s Code d All contracts governed by th~s Section shall be m a form approx ed by the C~ty Attorney 6-6.4 Separation of Work Orders or Projects It shall be unlawful for any person to spht or separate any public project into smaller work orders or projects for the purpose of evading the pro,,lSlOnS of this Section requlnng ~vork to be done by contract after compennve bidding 6-6.5 Lists Of Contractors And Trade Journals. a The Director of Environmental Services shall develop and maintain a hst of contractors, ~dentffied according to categories of work. in accordance with criteria determined by the Cahfomla Urn form Construction Cost Accounting Commission (the "Commission') and promulgated in the Cost Accounting Policies and Procedures Manual b The Director of Environmental Services shall maintain a list of the construction trade journals, as determined for the County of Los Angeles by the Commission, that are to receive mmled notice of all ~nformal and formal construction contracts being b~d for work within the county 6-6.6 Informal Bidding Procedures. a When the City intends to contract for a public project from $30,000 01 to $125,000 00, the Director of Environmental Services or h~s designee shall marl a notice ~n,,ltlng ~nformal bids to all contractors on the hst for the category of x~ork being b~d, to all construction trade journals on the list, and to such other contractors and trade joumals as may be requested by the C~ty staff m charge of the project Howe,,er, ff a project or ser,,lce essential to the project is proprietary and can be obtained only from a certain contractor or contractors, the notme m~,ltmg ~nformal b~ds may be sent only to such contractor or contractors b All mailing of notices ~nv~tlng mfomlal b~ds shall be completed not less than ten (10) calendar days before b~ds are due. c The notice ~nvlting informal bids shall descnbe the project in general terms and how to obtain more detailed information about the project, and shall state the time and place for the submmal of bids d The City Council delegates the authority to award and execute contracts for public projects of $125,000 00 or less whmh are let by the informal bidding procedures specified herein to the City Manager upon the recommendation of the Director of En* lronmental Services In awarding such contracts the City Manager shall exercise prudent judgment in determining the lowest responsible bidder, unhzlng the criteria specified m Subsection 6-6 9 of this Code e If all bids received are in excess of $125,000 00, the City Council may, by adoption of a resolution by a four-fifths (4/5) vote of its membership, award the contract at $137,500 00 or less to the lowest responsible bidder, ffthe City Council determines that the City's original cost estimate for the project was reasonable f If no bids are received, the project may be performed by negotiated contract or by City emplojees by force account "No bids" means that no bids at all were received or that no bids that conform to the City's spec~fications were received or that no bids that conformed to the City's specifications were submitted by a responsible b~dder 6-6.7 Formal Bidding Procedures. a The City Council shall adopt plans, specifications and working details for all public projects exceeding $125,000 00 Any person may examine the plans, specifications or working detmls adopted for such projects b When the C~ty is to contract for a public project of more than $125~000 00, the Director of Environmental Services shall prepare a notice inviting fbrmal bids, which shall distinctly describe the project and state the time and place for receiving and opening sealed bids c At least fourteen (14) days before the date of opening the bids, the D~rector of Environmental Services or his designee shall publish the notice ~n a newspaper of general circulation, pnnted and published ~n the City At least thirty (30) days before the date of opening the bids, the Director of Enmronmental Services or h~s designee shall marl the notice to all construction trade journals on the list referred to ~n Subsection 6-6 5 of thru Code The Director of Environmental Services or h~s designee may also g~ve such other notice as he/she deems proper. d Sealed bids shall be submitted to the Clt3 Clerk's office and shall bc identified as to bidder, project and marked "bid'' on the envelope Bids shall be opened b? the City Clerk's smffm pubhc at the time and place stated in the notice mwtmg formal bids A written record and tabulation shall be made at that nme of all bids received, and shall be 13 open for pubhc inspection during the Clt},'s regular business hours for a period of at least thirty (30) days after the bid opening e The City Council may in 1ts discretion reject any bids presented, if the City, prior to rejecting all bids and declanng that the project can be more economically performed by employees of the City, furnishes a written notice to an apparent low bidder Such notice shall be sent by the Director of Environmental Servmcs The notice shall reform the bidder of the City's intention to reject the bid and shall be mailed at least two business days before the heanng at wNch the City lmends to reject the bid If, after the first invitation for bids, all bids are rejected, the City may, after reevaluating the cost estimates for the project Abandon the project, 2 Readvertlse for bids in the manner described ~n this Subsection, or 3 Request that the City Council adopt a resolution by a four-fifths (4/5) vote, declanng that the project can be performed more economically by City employees If such a resolution is adopted, the Director of Environmental Services may have the project completed by force account f If no bids are received, the project may be performed by negotiated contract or by Clt5 employecs by force account ~'No bids" means that no bids at all were received or that no bids that conformed to the City's specifications were received or that no bids that conform to the City's specifications were submitted by a responsible b.dder 6-6.8 Award of formal bid contracts. Except as otherwise provided herein, formal bid contracts shall be awarded by the C~ty Council to the lowest responsible bidder If two or more bids are the same and the lowest, the City Council may accept the one it chooses The determmanon of "lowest responsible bidder" shall be at the discretion of the City Council pursuant to findings and recommendatmns presented by the City Manager and/or the Director of Enwronmental Services at the time of award of the contract 6-6.9 Determining the lowest responsible bidder. a In determining the lowest responsible bidder, the folio,x, ing shall be considered, addition to the price 1 Quality, 2 The ability, capacity, and skill of the Ndder to perform the contract or pro~ lde the services required, 3 Whether the bidder can perform the contract or pro~ ~de the sen ices promptly, or within the time specified, without delay or interference, 14 4 The suffictency of the bidder's financial resources to perform the contract or pro'~lde the services, and 5 The ability of the contractor to pro~,lde future maintenance and servtces if essential to adequate performance 6-6.10 Bid Bonds. All sealed bids submitted pursuant to Subsection 6-6 7 of this Code must be accompanied by a bid security tn an amount equal to at least 10% of the amount bid A bid shall not be considered unless one of the forms of bid security specified in the Cal Pub Con Code §20170 is enclosed with the bid If the successful bidder fails to execute the contract, the amount of the bidder's security shall be forfeited to the City, except as provided in the Cai Pub Con Code §20173 and §20174 6-6.11 Performance And Payment Bunds In awarding a contract pursuant to Subsections 6-6 6 or 6-6 7 of this Code, the Director of Environmental Services shall require a faithful performance bond in an amount equal to 100% of the contract price and a payment bond in the amount required by Cai Civil Code §3248 Such bonds shall be issued by an admitted surety Insurer and he in the form of a bond, not a deposit m lieu of a bond 6-6.12 Emergencies. a In cases of emergency when repair or replacements are necessary the City Council may proceed at once to replace or repair any public facility without adopting plans, specifications, strain sheets, or working details, or giving notice to let bids for contracts The work may be done by day labor under the direction of the City Council, by contract, or by a combination of the two The pro,,lsions of Cai Pub Con Code §22050. lncludmg but not hmtted to, the requirement of a four-fifths (4/5) vote of the City Cotincil finding substantial evidence of an emergency prior to taking emergency action, shall apply when nottce for bids to let contracts tn emergency sttuatlons is not gl~,en b The City Council may delegate by resolution the authority to order ar~y action pursuant to paragraph (1) of subdl~,lslon (a) of Cai Pub Contract Code §22050 to the City Manager or Chief Engineer 6-6.13 Maintenance Work. The City may utilize the bidding procedures set forth in Subsection 6-6 3 et seq of this Code x,,hen contracting for maintenance work 6-6.14 Periodic Adjustment of Bidding Thresholds. Pursuant to Pub Con Code §22020, the dollar amounts specified in the ,,arlous provisions of thru Section are sub3ect to penodm ad.lustment by the Cahfomla Uniform 15 Constructton Cost Accounting Commission When such adjustments become effective, the C~ty Council may make the new dollar amounts applicable to the C~ty by adopting a resolution or passing an ordinance amending the affected pro./~s~ons of Secnon 6-6 of this Code Section 5. If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this Ordinance or any part thereof ~s for any reason held to be ~nvahd or unconstitutional, such dems~on shall not affect the vahdlty of the remmmng portions of th~s ordinance The City Council hereby declares that ~t would ha~,e passed each secnon, subsectton, subd~wslon, paragraph, sentence, clause or phrase of thru ordinance ~rrespective of the fact that any one or more section, subsection, subdlws~on, paragraph, sentence, clause or phrase be declared ~nvalld or unconstitutional Section 6. Th~s Ordinance shall take effect thirty (30) days after its final passage by the C~ty Counctl Section 7. The C~ty Clerk of the C~ty of Lynwood is hereby directed to certify to the passage and adoption of th~s Ordinance and to cause ~t to be published or posted as requ,red by law First read at a regular meeting of the C~ty Council held on the day of ,2005 and adopted and ordered published at a regular meeting of said Councd held on the day of ,2005 Ramon Rodrlguez, Mayor City of Lynwood Attest Appro'~ed as to content Andrea L Hooper, City Clerk N E~mque Martmez, City Manager Approved as to form J Amoldo Beltran, C~ty Attorney 16 AGENDA STAFF REPORT DATE TO APPROVED BY PREPARED BY December 20, 2005 Honorable Mayor & C~ty Councd Members N Ennque Marbnez, City Manager J Arnoldo Beltran, C~ty Attorney SUBJECT: HP Audio and V~deo Productions Recommendation: Staff recommends that the City Council 1 Evaluate the ~nformabon and alternatives provided m th~s report and ~ts attachments addressing the contlnuabon of services by Mr Lazaro Sanchez dba HP Audio and Video Producbons for a scope of services that includes 1 W~th regard to all med~a, the following services a Assist ~n the coordination of C~ty press conferences b Provide Spamsh translabon services for a~ pubhc relabons materials and copy c Dady and weekly assessment of local Spanish pubhcatlons to ~denbfy, rewew and archive mformabon concerning the City, ~ts elected officials, staff, residents and/or bus~ness commumty 2 V~deo producbon sen/ices for designated C~ty projects and special events Idenbflcat~on of projects and events through the C~ty's Med~a Services Department 3 Development of wdeo programs for broadcast on cable C~ty anbc~pates Consultant wdl develop an average of one thirty (30) minute program per month or a one hour program every two months from the "raw" footage of wdeo obtained from C~ty projects and special events 4 Pubhc relations outreach to the Labno med~a as needed ,nclud~ng the preparabon and d~stnbubon of press releases, med~a contact and follow up, conduct of ~nterv~ews and story development revolving C~ty officials and "C~ty Issues 5 D~g~tal photography serwces as needed 2 Provide staff w~th d~recbon for a level of services desired as well as ~dentlfy a commencement date for sa~d services, e g, January 1,2006 AGENDA ITEM 3 Adopt the attached Resolubon approwng the contract w~th the consultant on the terms and cond~bons set forth thereto ~n addlbon to specific compensation hm~ts estabhshed by Council Background: For the past 3 years the C~ty has availed ~tself of the services of consultant for a vanety of services related to commumcat~on w~th the Labno med~a and the residents of Lynwood Under d~recbon of the Council the consultant has conbnued to provide services after expiration of a contract for services In order to govern the relabonsh~p in a more effecbve manner staff has prepared the attached agreement for services ~nclud~ng specific performance measures Fiscal impact: The monthly retainer currently pa~d for the services of th~s consultant are $3,000 Coordinated W~th C~ty Mama§er, F~nance Department and Med~a Services 2 RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD APPROVING THE CONSULTING SERVICES AGREEMENT WITH LAZARO SANCHEZ dba HP AUDIO & VIDEO PRODUCTIONS AND AUTHORIZING THE MAYOR TO EXECUTE THE CONTRACT FOR THE PROFESSIONAL SERVICES SET FORTH THEREIN WHEREAS, the City presently is operating under an extended agreement with consultant for specific services delineated m the agreement attached hereto to secure said services m an effort to better communicate w~th different media outlets as well as the residents of the City of Lynwood, and WHEREAS, the professional services provided by the consultant assist the C~ty and its elected officials and staff to commumcate more effectively with residents, media outlets and the bus~ness commumty, and WHEREAS, the C~ty w~shcs to enter ~nto an agreement for professional services with consultant that will more specifically dehneate the objectives of the City m procunng said services and estabhsh parameters for the financial obhgatlon of the City for said services NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LYNgVOOD DOES HEREBY RESOLVE AND DETERMINE AS FOLLOWS: SECTION 1. That the City Council authorize thc Mayor to execute the attached agreement entitled "AGREEMENT FOR PROFESSIONAL SERVICES WITH LAZARO SANCHEZ dba HP AUDIO & VIDEO PRODUCTIONS." SECTION 2. That the City Council approves the funding necessary to cover the costs associated with the services and hereby directs staff to make the necessary appropriations to insure adequate funding for the professional services to be procured under the agreement SECTION 3. That this resolution take effect lmmedlately upon its adoption PASSED, APPROVED AND ADOPTED this day of ,2005 LETICIA VASQUEZ, MAYOR ATTEST ANDREA HOOPER, CITY CLERK APPROVED AS TO FORM J ARNOLDO BELTRAN, CITY ATTORNEY CONSULTING SERVICES AGREEMENT This agreement ("Agreement") is made as of this ___ Day of December 2005 by and between the City of Lynwood, a municipal corporation ("City") and Lazaro Sanchez dba H P Audio & Video Productions ("Consultant") C~ty and Consultant are sometimes hereinafter lnd~vidually referred to as a "Party" and collectively referred to as the "Parties" RECITALS WHEREAS, City desires to utilize the services of Consultant as an independent contractor to provide consulting services to City as set forth in the attached Exhibit A, and WHEREAS, Consultant represents that it ~s fidly qualified to perform such consulting services by virtue of its experience and the training, education and expertise of lis pnnc~pals and employees NOW, THEREFORE, m considelation ofperformauce by the parties of the covenants and cond~tlons here~n contained, the parties hereto agree as follows 1. Consultant's Services. A Scope of Services The nature and scope of the specific services to be performed by Consultant are as described in Exhibit A B Tnne of Performance Consultant shall complete the speclfic services accordmg to the schedule of performance which ~s also set forth m Exhibit A [or can set forth in a separate Schedule C, make appropriate changes throughout agreement lfth~s is used ] 2. Term of Agreement This Agreement shall commence on (the "Commencement Date") and shall terminate on . (the "Termination Date"), unless sooner terminated pursuant to the provisions of this Agreement On or before ninety (90) days prior to the Tenmnat~on Date, Consultant and City shall meet to discuss this Agreement and its possible extenslou and or modification In the event the Part~cs do not enter into a new agreement prior to the Termination Date, thru Agreement shall continue on a month-to-month bas~s under thc stone terms for a period not to exceed three months following the Termination Date If the Part~es execute no new agreenaent by the end of the three-month period following the Temalnat~ou Date, this Agreement shall terminate at the end of such three-month period 3. Compensation A City agrees to compensate Consultant for services under this Agreement in comphance with thc schedule set forth in Exhibit A Payment will be made only after submission of proper monthly invoices in the form and manner specified by C~ty Each Invoice shall mclude a breakdown of all monthly services performed together xvlth the hours spent on each service. Collst~ltHlg qc~wces Agreement 1 B Total payment to Consultant pursuant to tilts Agreement shall not exceed [total payment in words] ($ total payment in figures)], which shall be payable ~n monthly installments of [lnstalhnent payment ~n words] ($ installment payment in figures)] hi the event that this Agreement continues beyond the Temllnatlon Date as specified in Section 2, the total additional pa3qnent to Consultant m the event no new agl cement is s~gned shall not exceed the sum o f for each month of extenslou or the appropriate prorated amounts if less than a full month of addlnonal services 1s involvcd at ally time C If at the request of the City, Consultant is reqmred to ~ncur out of pocket expenses (including bnt not limited to, out-of-town travel and lodging) which are above and beyond the ordinary expenses associated with perfomlance of this Agreement, Consultant shall bo entltlcd to reimbursement o f such expenses Consultant shall only be reimbursed for those expenses which 0) appear ell Consultant's monthly invoices, (n) are accompanied by a copy of the City's written authorization for Consultant to incur such expenses, and (111) receipts documenting such expenses 4. General Terms and Conditions The General Terms and Conditions set forth in Exhibit B are incorporated as part of th~s Agreement In the event of any inconsistency between the General Temls and Conditions and any other exhibit to th~s Agreement, the General Terms and Conditions shall control unless it is clear from the context that both parties intend the provisions of the other cxlnblt(s) to control 5. Addresses City City of Lynwood 11330 Bulhs Road Lynwood, CA 90262 Attn Mr N Enrlque Mamncz, City Manager Consultant Lazaro Sanchez dba H P Audio & V~deo Consulnng 6. Exhibits All exhibits referred to m tfus Agreement are hstcd here and are tncotporated and made part of thru Agreemcnt by this reference Exhibit A - Scope of Services and Time of Performance ( Exhibit B - General Terms and Conditions (SlX (6) pages) /// SIGNATURES ON FOLLOWING PAGE pages) 1N WITNESS WHEREOF, the parties have executed th~s Agreement as of the dates written below CITY CITY OF LYNWOOD By Letlc~a Vasquez, Mayor Date CONSULTANT LAZARO SANCH EZ dba H P AUDIO & VIDIO PRODUCTIONS By Lazaro Sanchez, Owner Date ATTEST By Andrea L Hooper, City Clerk APPROVED AS TO FORM By J Arnoldo Beltr/~n, City Attorney EXHIBIT A SCOPE OF SERVICES The scope of the services outhncd below is designed to achieve the City's objective in effective communication through the various communication media - print, audio and video Consultant shall perform the scope ofserwces set out below in an effort to meet the objective of completion of the ProJect and shall do so consistent, further, with the schedule and performance measures (the "Performance Measures") delineated below This hst shall not be deemed to be all-reclusive, and may be changed from tnne to tmae as authorized by thc City Manager 1 With regard to all media, Consultant shall provide the following services a Assist ~n the coordination of City press conferences b Provide Spanish translation services for all public relations materials and copy c Daily and weekly assessment of local Spanish pubhcatlons to identify, review and archive lnformat~on concerning the City, its elected officials, staff, residents and/or business community 2 Video production services for designated C~ty projects and special events Identification of projects and events shall be done through the City's Media Services Department 3 Development of video programs for broadcast on cable City anticipates Consultant will develop an average of one thirty (30) minute program per month or a one hour program every two months from the "raw" footage of video obtained from City projects and special events 4 Public relatmns outreach to the Lat~no media as needed including the preparation and distrlbut~on of press releases, media contact and follow up, conduct of ~ntervlews and story development revolving City officials and "City issues 5 Consultant shall provide a monthly Record of Communications that will list all contacts, assignments and efforts extended by Consultant for each month of service The Record of Communication shall contain a statement of progress in meeting the objectives for projects lasting more than one month and any other appropriate reformation or requests of the City 6 Digital photography services as needed C~ty and Consultant antic~patc that the above sermccs (the "monthly retainer service) will reqmre the services of Consultant for per~ods of time of approximately hours per month For services or projects identified by Consultant as requiring work in addition to the monthly retainer service, City shall pay Consultant the SUln of per hour of work subject to prior written authorization by the City for the added work lu lieu of the hourly service rate, Consultant will offer when necessary a per event or per project tee rate consistent with the following schedule [add language re one or two camera coverage?79] Consultant shall demonstrate results and achievements as measured by the Perfom~ance Measures set forth below ])(,l fot mall('(, ~]uasaFe3 Rcsult~ Number c~ rmv ~(leos p~ othtced per .to.th covet t.g ctlv and [ outmttnt(i euCJlllS a6 dll eclcd hx' gledta ~etn tr cs Number q 3)~a,t vh language l'ubhc &'rvtcc · Dmoml~ emenls prepared (md d~sl~ ~l)utcd to the med~a per quarter Mtmber o~ Puhhc ,$~.rvtce 4n~ouncctm'.t,$ pzckcd ur) hi l 0 pmnt, ~ adto or televtston mc(h. pe~ qua~ Ici Number o/,5)~amsh la~guagc p~ ess rclcascs' prepatx,d 12 alT~] dzatrtb~ffc'd lo Ibc mcduff pct qtut~ Number o[ cthlt,d vtrleo progr, ms p~ oducecl tJml 2 3 ubmtlted to Me(ha Serv~c c3 at a lenglh o] two (2) hours ,for ¢'ach vic]co ?er qt~arler ilal rallOll fOF [hr' 1 ak'o c'llD,S t2et qzlal N,mhc~ of Pubhc Sc'r~ wc .l,l~ouucemcnt6 vtdeo chp.s 3 ot prog~ am~ 1' oduccd and shou n m lflc ()0 's Local C}thlc Channel per quarter Nwuhc~ of p~ e,s $ c'o~[erc, ccs r oor~flnaled that a~ e / qllaFler Numhe~ of evenls r o~ e~ cd for phologrrq~hl 3em,tr c~ ~ts 4 ch;coted by Mc(ha 3er~zc cs per quartet EXH I BlT B GENERAL TERMS AND CONDITIONS 1. Status as Independent Contractor. A Consultant ~s, and shall at all t~mes remain as to C~ty, a wholly independent contractor Consultm~t shall have no power to incur any debt, obhgatlon, or hab~hty on behalf of C~ty or otherwise act on behalf of C~ty as an agent Nc~ther Ctty nor any of its agents shall have control over the conduct of Consultant or any of Consultant's employees, except as set forth ~n th~s Agreement Consultant shall not, at any tin, e, or m any manner, represent that ~t or any of its agents or employees are ~n aoy manner agents or employees o f City B Consultant agrees to pay all reqmred taxes on amounts prod to Consultant under th~s Agreement, and to ~ndemnlfy and hold C~ty harmless from any and all taxes, assessments, penaltms, and interest assertcd against C~ty by reason of the independent contractor relatlonsh~p created by th~s Agreement In the event that City ~s audited by any Federal or State agency regarding the independent contractor status of Consultant and the audit in any way fads to sustain the vahdlty of a wholly ~ndependent contractor relationship betweeo C~ty and Consultant, than Consultant agrees to rem~burse C~ty for all costs, including accounting and attorney's fees, arising out of such audit and any appeals relating thereto C Consultant shall fully comply with the workers' compensation law regarding Consultant and Consultant's employees Consultant further agrees to indemnify and hold C~ty harmless from any failure of Consultant to comply w~th apphcable worker's compensation laws City shall have the right to offset against the amount of any fecs due to Consultant under thru Agreement any amount due to City from Consultant as a result of Consultant's fadure to promptly pay to C~ty any reimbursement or mdcmmficatlon arising under this Section 1 2. Standard of Performance. A Consultant shall perfom~ all work to the highest professional standards m~d m a manner reasonably satisfactory to the C~ty Manager or Ins/her designee The City Manager or his/her designee may from time to tmae assign additional or d~fferent tasks or scrvlces to Consultant, promded such tasks are w~thln the scope of services described m Exhibit A However, no addmonal or different tasks or services shall be performed by Consultant other than those specified ~n Exhibit A, or those so assigned ~n writing to Consultant by the City Manager or h~s/her designee B The C~ty Manager or h~s or her designee shall, until further not~ce to Consultant, admunster th~s Agreemeot and prowde for immediate snperv~s~on of'Consultant wtth respect to the services to be prowded hcrcunder 3. Indemnification. A Consultant is sklllcd m the professional calhng necessary to perform the services and duties agrccd to be performed under this Agreemcnt, and City ~s relying upon the skill and - Consulting Servtces Agreement E,,h;b~t B 1 knowledge of Consultant to perform said services and duties B To the extent penmtted by law, Consultant agrees to indemnify and hold harmless City, its officers, employees, agents and voluntccrs from and against any and all claims, demands, actions, causes of acUon, losses, damages, hablhtles, known or unknown, and all costs and expenses, including reasonable attorneys' fees as fixed by the court m connection with any injury or damage to persons or property to the extent caused by any negligent act, error, omission or neghgcnce of Consultant, its officers, employees, agents, contractor, subcontractors or any officer, agent or employee thereof m relation to Consultant's performance under this Agreement Such defense and lndemmficatlon shall not apply m any instance of and to the extent caused by the neghgence or willful m~sconduct of City, its officers, employees, agents or volunteers C Consultant agrees to obtain executed ~ndemmty agreements with provislous identical to those set forth in this Section from each and every subcontractor, or any other person or entity involved by, for, with or on behalf of Consultant ~n the performance of thru Agreement tn the event Consultant fails to obtain such mdemmty obhgauons from others as required in thru Section, Consultant agrees to be fully responsible according to the temps of this Section Failure of the C~ty to monitor comphance with these requirements unposes no additmnal obhgatmns on City and will m no way act as a waiver of any rights hereunder This obligation to mdemmfy and defend C~ty as set forth herein shall survive the termination of this Agreement and is m addition to any rights which City may have under the law This indemnity is effective w~thout reference to the existence or apphcabd~ty of any insurance coverages which may have been required under th~s Agreement or any addmonal ~nsurcd endorsements xvhich may extend to City 4. Insurance. A Without hmihng Consultant's ~ndemmfication of C~ty pursuant to Section 3 of this Agreement, Consultant shall obtain and provide and maintain at its own expense during the term of this Agreement insurance against claims for injuries to persons or damages to property arising from or in cmmection with the occupancy, use or operation of the Licensed Premises by Consultant, ~ts officers, employees, agents, independent contractors or volunteers B The types and amounts of~nsurance shall be as described below, and an ~nsurance company admitted to do busmcss in California and approved by the City must issue all snch pohclcs 0) General L~abdlty Insurance covering third party habd~ty risks, including without llm~tatmn contractual hablhty, m a mmmmm amount orS1 million combined single limit per occurrence for bodily injury, personal injury, and property damage If commercial general habd~ty insurance or other form with a general aggregate Inmt is used, either the general aggregate shall apply separately to the Leased Premises, or the general aggregate hmlt shall be twice the occurrence bruit, (n) Automotive Llablhty msurancc, in a mlmmum amount orS1 mllhon per accident for bodily inJUry and property damage, - Consulting Services Agreement E,~h~b~t B 2 0v) Workers' Compcnsatmn insurance on a state approved policy form with a m~nlmum lnmt of $500,000 00 or the amount required by law, xvMchever is greater, (iii) Property damage insurance with a minimum hmlt o£ $500,000 O0 C C~ty, its officers, officials, employccs and volunteers shall be named as additional msureds on the policy(les) as to commercial general hablhty, automotive habfl~ty and property damage D All insurance policies shall provide that the ~nsurance coverage shall not be non- renewed, canceled, reduced, or otherwise modified (except through the addition of addmonal insurcds to the pohcy) by the insurance carrier without the insurance carncr glwng City thirty (30) days' prior written notice thereof Any such thirty (30) day nonce shall be submitted to CITY via certified mad, return receipt requested, addressed to "Risk Manager," Oty of Lynwood, 11330 Bulhs Road, Lynwood, Cahfomia, 90262 Consultant agrees that it will not cancel, reduce or otherwise modify said insurance coverage E Consultant shall submit to C~ty 0) insurance certificates lndlcam~g compliance with the minimum worker's compensation ~nsurance requirements above, and 00 insurance policy endorsements mdlcatlng comphance with all other minimum insurance requirements above, not less that one (1) day prior to beginning of performance under this Agreement Endorsements shall be executed on City's appropriate standard forms entitlcd "Additional Insured Endorsement" F The Consultant's insurance shall be primary as respects the City, its officers, officials, employees and volunteers Any insurance or self-insurance maintained by the City, ~ts officers, officials, employees and volunteers shall be excess of the Consultant's insurance and shall not contribute with it G Consultant agrees that flit does not keep the aforesaid insurance in full force and effect, and such insurance is available at a reasonable cost, City may take out the necessary insurance and pay the premium thereon, and the repayment thereof shall be deemed m~ obligation of Consultant and the cost of such insurance may be deducted, at thc option of City, from payments due Consultant 5. Confidentiality. Consultant in the course of its duties may have access to confidential data of City, private individuals, or employees of the C~ty Consultant covenants that all data, documents, discussion, or other information developed or received by Consultant or provided for performance of this Agreement are deemed confidential and shall not be disclosed by Consultant without written authorization by City City shall grant such authorization if disclosure is required by law All City data shall be returned to City upon the tem~lnatlon of fins Agreement Consultant's covenant under this section shall survive the termination of this Agreement 6. Ownership of Work Product. All reports, documents or other written material developed by Consultant in the performance of this Agreement shall be and remain the property of C~ty w~thout restr~ctlon or hmltatlon upon its use or dlssemlnat~on by City Such material shall not be the subject ora copyright appbcat~on by Consultant 7. Conflict of Interest. A Consultant covenants that it presently has no mterest and shall not acquire any interest, director or indirect, which may bc affected by the services to be performed by Consultant under this Agreement, or winch would conflict in any manner with the performance of its services hereunder Consultant further covenants that, in per formance o f this Agreement, no person bamng any such interest shall be employed by It Furthermore, Consultant shall avoid the appearance of having any interest wluch would conflict m any manner with the performance of 1ts services pursuant to th~s Agreement B Consultant covenants not to give or receive any compensation, monetary or otherwise, to or from the ulmnate vendor(s) of services to City as a result of the performance of this Agreement, or the services that may be procured by the City as a result of the recommendations made by Consultant Consultant's covenant under tins section shall survive the termination of tins Agreement 8. Termination for Cause. Should Consultant fail to perform any of the obligations required of ConsuLtant within the tmle and in thc manner provided for uoder tins Agreement wltinn seven (7) days after receipt from City of a written notice of such default, or should Consultant violate any of the terms and conditions of the Agreement, City may tenmnate tins Agreement with cause upon thirty (30) days' written notice to Consultant The effective date of temm~ation shall be upon the date specified m the notice of termination Consultant agrees that m thc event of such termination, City's obhgat~on to pay Consultant shaI1 be Inmted to payment only for those services satisfactorily rendered prior to the effective date of termination Immediately upon receiving written notice of termination, Consultant shall d~scontlnue performing services, preserve the product of the services, and turn over to City the product of the services in accordance with written instruction of City 9. Personnel. Consultant represents that it has, or will secure at its own expense, all personnel required to perform the services under tins Agreement All ofthe services required under this Agreement will be perfomled by Consultant or under its supervision, and all personnel engaged in the work shall be qualified to perform such services Constlltant reserves tile right to detemllne the assignment of~ts own employees to thc performance of Consultant's services under this Agreement, but City reserves the right, for good cause, to require Consultant to exclude any employee from perfomling services on City's premises 10. Financial Condition. Prior to entering ~nto tins Agreement, Consultant has submitted documentation acceptable to the City Manager, cstabhshmg that it is financially solvent, such that it can reasonably be expected to perform the services required by tins Agreement W~tinn thirty (30) days of the first anniversary of the effective date of this Agreement, and each year thereafter throughout the term ofth~s Agreement, Consultant shall submit such financial reformation as may be appropriate to establish to the satisfaction of the City Manager that Consultant is in at least as sound a financial position as was the case prior to entenng into this Agreement F~nanc~al ~n formation submitted to the City Manager shall be returned to Consultant after review and shall not be retained by City 11. Non-Discriminatton and Equal Employment Opportumty. A Consultant shall not discriminate as to race, color, creed, religion, sex, marital status, national origin, ancestry, age, physical or mcutal handicap, medical condition, or sexual oneutatlon, in the performance o fits services and duties pursuant to this Agreement, and will comply with all roles and regulations of City relating thereto Such nondiscrimination shall include but not be lmuted to the following employment, upgrading, demotion, transfers, recruitment or recrmtment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including appreotlceshlp B Consultant will, ~n all sohcltatlons or advertisements for employees placed by or on behalf of Consultant state rather that it is an equal opportunity employer or that all qualified applicants will receive consideration for employment without regard to race, color, creed, religion, sex, marital status, national origin, ancestry, age, physical or mental handicap, medmaI condition, or sexual orientation C Consultant will cause the foregoing provisions to be inserted m all subcontracts for any work covered by this Agreement except contracts or subcontracts for standard commercial supphes or raw materials 12. Assignment. Consultant shall not assign or transfer auy interest in this Agreement nor the performance of any of Consultant's obligations hereunder, w~thout the prior wnttcu cousent of C~ty, and any attempt by Consultant to so assign this Agreement or any rights, duties, or obhgat~ons arising hereunder shall be void and of no effect 13. Performance Evaluation. For any Agreement in effect for twelve months or longer, a written annual admlmstrat~ve perfom~ance evaluation shall be required w~thm ninety (90) days of the first anniversary of the effective date of tlus Agreement, and each year thereafter throughout the term of this Agreement The work product reqmred by this Agreement shall be utdlzed as the basis for review, and any comments or complaints received by City during the review period, either orally or m writing, shall be considered City shall meet wlth Consultant prior to prepanng the written report If any noncomphance with the Agreement ~s found, City may direct Consultm~t to correct the inadequacies, or, in the alternative, may terminate this Agreement as prowded here~n 14. Compliance with Laws. Consultant shall keep ~tselflnformed of State, Federal and Local laws, ordinances, codes and regulations which in any manner affect those employed by it or m any way affect the pcrformance of its service pursuant to this Agreement The Consultant shall at all times comply with such laws, ordn~ances, codes and regulations The City, ds officers and cmployees shall not be liable at law or m equity occasioned by fmlure of Consultant to comply with th~s Section 15. Licenses At all tunes dunng the term of this Agreement, Consultant shall have m full force and effect all hcenses (including a City business license) required of it by law for performance of the services hereunder 16. Non-Waiver of Terms, Rights and Remedies. Waiver by rather party of any one or more of the condmons of performance under this Agreement shall not be a waiver of any other condition of performance under this Agreement In no event shall the making by C~ty of any payment to Consultant constitute or be construed as a wmver by City of any breach of covenant, or any default which may then exist on the part of Consnltant, and the making of any such payment by City shall m no way impair or prejudice any right or remedy available to City with regard to such brcach or default 17. Attorney's Fees. In the event that either party to this Agreement shall commence any legal or equitable action or proceeding to enforce or interpret the provisions of this Agreement, the prevailing party m such action or proceeding shall be entl~.led to recover its costs of stat, including reasonable attorney's fees and costs, including costs of expert w~tnesscs and consultants 18. Notices. Any notices, bills, invoices, or reports required by this Agreement shall be deemed received oil (a) the day ofdehvcry if dehvemd by hand during Consultant's regular business hours or by facsimile before or dunng Consultant's regular business hours, or (b) on the third business day following deposit m the Umted States mml, postage prepaid, to the addresses heretofore set forth in the Agreement, or to such other addresses as the parties may, from t~m¢ to tnne, designate in writing pursuant to the provisions ofth~s section 19. Governing Law. This Agreement shall be ~nterpreted, construed and enforced in accordance w~th the laws of the State of California 20. Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be deemed to be the original, and all of which together shall constitute one and the sanle instrument 21. Severability. lfany provision or any part of any provision of this Agreement is found to be Invalid or unenforceable, the balance of this Agreement shall remain in full force and effect 22. Entire Agreement. This Agreement, and any other documents incorporated hereto by specific reference, represents the entire and integrated agreement between Consultant and City This Agreement supersedes all prior oral or written negotiations, representations or agreements Th~s Agreement may not be amended, nor any provision or breach hereofwmved, except m a writing s~gned by the Parties which expressly refers to this Agreement Amendments on behalf of the City will only be valid ~f s~gncd by the Mayor and attested by the City Clerk 23. Authority The person or persons exccuting this Agreement on behalf of Consultant warrants and represents that he/she has the authority to execute this Agreement on behalf of the Consultant and has the anthonty to bind Consultant to the performance of its obhgat~ons hereunder AGENDA STAFF REPORT DATE TO APPROVED BY PREPARED BY SUBJECT Recommendation: December 20, 2005 Honorab,e Mayor & Labno Chamber Ohnstrr~s D~nner Staff recommends the C~ty Council review the request for the City to assist the Labno Chamber of Commerce w~th their Annual Chnstmas Droner and should the Council choose to do so a resolution As attached Background: The Labno Chamber of Commerce (Labno Chamber) ~s a local community based organization that provides assistance to the local Lat~no bus,ness community through such acbv~t~es as the conduction of monthly meebngs to d~scuss ~mportant issues facing local businesses Discussion & Analysis: Mayor Lebcla Vasquez requested that staff meet with representatwes of the Lahno Chamber to see how the City of Lynwood could assist them ~n conducbng of their Annual Chnstmas D~nner scheduled for Wednesday, December 21, 2005 at Bateman Hall Dunng th~s meebng Labno Chamber representabves requested the follow~ng assistance 1 The provision of food for approximately 120 people 2 Coffee, punch and related I~qu~d refreshments 3 Decorations and related Iog~sbcal support for the event Fiscal Impact: The above-~dent~fled items involve logistical support that involves approximately $2,000 and can be provided by C~ty staff within the existing 2005/2006 adopted fiscal budget for the Recreation & Community Services Department Coordinated With: City Manager's Office C~ty Attorney F~nance Department Latlno Chamber of Commerce Agenda Items 2005\Latino Chamber Chr,strnas Dinner 12 20 05 AGENDA ~TEN~ Resolution No. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD APPROVING THE CITY'S ASSISTANCE TO THE LYNWOOD LATINO CHAMBER OF COMMERCE IN CONDUCTING THEIR ANNUAL CHRISTMAS DINNER SCHEDULED FOR WEDNESDAY, DECEMBER 21, 2005 WHEREAS, the Lynwood Lahno Chamber of Commerce (Lat~no Chamber) ~s a local community based organ~zahon that provides assistance to the Ioca~ Lat~no bus,ness community, and WHEREAS, the Lat~no Chamber prowdes support such as conducting of monthly meehngs to d~scuss ~mportant top~cs facing local bus~ness, and WHEREAS the Lahno Chamber conducts an annual Chnstmas D~nner as a social event for the local Lynwood bus~ness community, and WHEREAS th~s year's event ~s scheduled for Wednesday, December 21, 2005 at Bateman Hall, and WHEREAS th~s organ~zahon has requested the assistance of the C~ty of Lynwood ~n conducting of th~s event, and WHEREAS the assistance ~nvolves logistical assistance and the financial sponsorship of the meal and decorahons, and WHEREAS C~ty staff has ~dent~fled that the costs associated w~th th~s assistance ~s $2,000, and WHEREAS C~ty staff has also determined that these funds are available w~th~n the adopted 2005~2006 fiscal budget for the Recreahon & Community Services Department NOW, THEREFORE, the C~ty Councd of the C~ty of Lynwood does hereby find, determine, order and resolve as follows Sechon I The C~ty agrees to prowde the assistance ~dent~fled ~n th~s resoluhon for the event scheduled for Wednesday, December 21, 2005 Sechon 2 Th~s resolution wdl become effective ~mmed~ately upon ~ts adoption PASSED, APPROVED and ADOPTED th~s 20th day of December, 2005 Let~c~a Vasquez, Mayor ATTEST Andrea L Hooper, C~ty Clerk APPROVED AS TO FORM APPROVED AS TO CONTENT Arnoldo Beltran, C~ty Attorney N Ennque Mart~nez, City Manager STATE OF CALIFORNIA } } COUNTY OF LOS ANGELES } J~m G~ven, D~reotor Recreabon & Commumty Services I, the undersigned City Clerk of the C~ty of Lynwood, do hereby certify that the above and foregoing Resolution was duly adopted by the C~ty Council of the City of Lynwood at a regular meeting held at City Halt on the 20th day of December 2005, and passed by the following votes AYES NOES ABSENT ABSTAIN Andrea L Hooper, C~ty Clerk STATE OF CALIFORNIA } } COUNTY OF LOS ANGELES I, the undersigned City Clerk of the City of Lynwood, and Clerk of the C~ty Councd of said C~ty, do hereby certify that the above and foregoing ~s a full, true and correct copy of Resolution No on file in my office and that said Resolubor~ was adopted on the date and by the vote there~n stated Dated th~s 20t~ day of December 2005 Andrea L Hooper, City Clerk AGENDA STAFF REPORT DATE TO APPROVED BY PREPARED BY December 20, 2005 Honorable Mayor & City Council Me~er~. N Enr,que Marbnez, C.ty Manager,/-///-z~ -/~'/'' Autra C Adams, Assistant to the ~t'y ~lanager ~ SUBJECT: CITY COUNCIL STAFF SUPPORT Recommendation: Staff recommends that the C~ty Council provide staff w~th d~rectlon relabve to th~s matter Background. A Member of the C~ty Councd requested an ~tem to be placed on the agenda to d~scuss the current and future staff support needs for the C~ty Council ~n order to be able to respond more effecbveiy to constituency ~ssues Discussion & Analysis: There are currently two full brae pos~bons allocated for C~ty Council staff support The first, a Sr Adm~mstrabve Analyst ~s vacant The second, an Adm~mstrat~ve A~de ~s filled on a temporary bas~s The Human Resources Department ~s currently conducting the recruitments to fill both of these positions w~th quahfled ~ndlwduals Staff anticipates that an ehg~b~hty hst w~ll be m place by the end of January Fiscal Impact: Any mod~flcabons to the current staffing conflgurabon would require an appropnabon from the unappropriated general fund Coordinated With Human Resources and Finance Department AGENDA ~TEl~ 2'7