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HomeMy WebLinkAboutAgenda Packet_02122024     A G E N D A MEETING OF THE CITY COUNCIL Monday, February 12, 2024 ~ 7:00 PM City Council Chambers 211 Eighth Street Seal Beach, California SCHELLY SUSTARSIC MAYOR Fourth District LISA LANDAU MAYOR PRO TEM Third District   JOE KALMICK COUNCIL MEMBER First District                                                           THOMAS MOORE COUNCIL MEMBER Second District     NATHAN STEELE COUNCIL MEMBER Fifth District     This  Agenda  contains  a  brief  general  description  of  each  item  to  be  considered. No  action  or discussion shall be taken on any item not appearing on the agenda, except as otherwise provided by law. Supporting documents, including agenda staff reports, and any public writings distributed by the City to at least a majority of the Council Members regarding any item on this agenda are available on the City’s website at www.sealbeachca.gov.   City  Council  meetings  are  broadcast  live  on  Seal  Beach  TV3  and  on  the  City's  website (www.sealbeachca.gov). Check  the  SBTV3  schedule  for  the  rebroadcast  of  meetings.  The meetings are also available on demand on the City’s website (starting 2012).   In  compliance  with  the  Americans  with  Disabilities  Act  of  1990, if  you  require  disability  related modifications  or accommodations, including  auxiliary  aids  or  services  to  attend  or  participate  in  the City  Council  meeting, please  call  the  City  Clerk's  office  at  (562) 431-2527  at  least 48 hours prior to the meeting.   CITY COUNCIL NORMS: Adopted on June 12, 2023 •Maintain a citywide perspective, while being mindful of our districts. •Move from I to we, and from campaigning to governing. •Work together as a body, modeling teamwork and civility for our community. •Assume good intent.  •Disagree agreeably and professionally.  •Utilize long range plans to provide big picture context that is realistic and achievable. •Stay focused on the topic at hand.  Ensure each member of Council has an opportunity to speak. •Demonstrate respect, consideration, and courtesy to all. •Share information and avoid surprises. •Keep confidential things confidential. •Respect the Council/Manager form of government and the roles of each party. •Communicate concerns about staff to the City Manager; do not criticize staff in public. CIVILITY PRINCIPLES: Treat everyone courteously; Listen to others respectfully; Exercise self-control;  Give open-minded consideration to all viewpoints;  Focus on the issues and avoid personalizing debate; and, Embrace respectful disagreement and dissent as democratic rights, inherent components of an inclusive public process, and tools for forging sound decisions.    FOLLOW US ON FACEBOOK FOLLOW US ON INSTAGRAM  FOLLOW US ON TWITTER/X @CITYOFSEALBEACH                                                            @CITYOFSEALBEACHCA                                   @SEALBEACHCITYCA @SEALBEACHRECREATION&COMMUNITYSERVICES      @SEALBEACH_LIFEGUARD  @SEALBEACHPOLICEDEPARTMENT                                  @SEALBEACHPOLICE                                                                                                  @SEALBEACHPUBLICWORKS                                                                                                  @K9YOSA                                                                                                  @K9.SAURUS CALL TO ORDER PLEDGE OF ALLEGIANCE COUNCIL ROLL CALL ORAL COMMUNICATIONS At this time members of the public may address the Council regarding any items  within the  subject  matter  jurisdiction  of  the  City  Council. Pursuant  to  the  Brown  Act, the Council  cannot  discuss  or  take  action  on  any  items  not  on  the  agenda  unless authorized  by  law. Matters  not  on  the  agenda  may, at  the  Council' s  discretion, be referred to the City Manager and placed on a future agenda.   Those  members  of  the  public  wishing  to  speak  are  asked  to  come  forward  to  the microphone and state their name  for the record. All speakers will be limited to  a period of five (5) minutes. Speakers must address their comments only to the Mayor and entire City Council, and not to any individual, member of the staff or audience. Any documents for review should be presented to the City Clerk for distribution. Supplemental Communications by Mayor Sustarsic Supplemental Communications by Mayor Pro Tem Landau Public Comment from Patty Campbell APPROVAL OF AGENDA & WAIVER OF FULL READING OF RESOLUTIONS ORDINANCES By  motion  of the  City  Council  this  is  the time  to notify  the public of  any  changes  to the agenda and /or rearrange the order of the agenda. PRESENTATIONS / RECOGNITIONS •Introduction of New Full Time Employees •Caltrans Pacific Coast Highway (PCH) Construction Update •Winter Storm Update •Annual Comprehensive Financial Report (ACFR) Presentation •National Black History Month Proclamation •Seal Beach Lions Club 85 Anniversary Proclamation CITY ATTORNEY REPORT Nicholas Ghirelli, City Attorney    CITY MANAGER REPORT Jill R. Ingram, City Manager    COUNCIL COMMENTS General Council Member comments and reporting pursuant to AB 1234. COUNCIL ITEMS – None CONSENT CALENDAR Items on the consent calendar are considered to be routine and are enacted by a single th motion with the exception of items removed by Council Members. A.Approval of the January 22, 2024 City Council Minutes - That  the  City Council approve the minutes of  the  Closed Session  and  Regular City Council meetings held on January 22, 2024.   B.Demands on City Treasury (Fiscal Year 2024) February 12, 2024 -  Ratification.   C.City of Seal Beach Annual Audit Reports for Fiscal Year Ending June 30, 2023 - That the City Council receive and file the following documents for fiscal year  ending  June  30, 2023: A. Audit  Communication  Letter  B. Report  on Internal  Control  C. Annual  Comprehensive  Financial  Report  (ACFR) D. Appropriations Limit Final Report.   D.Council Appointment to the Environmental Quality Control Board and the Planning Commission - District Two - It  is  at  the  request  of  Council Member Moore that the City Council: 1. Appoint Dominic (Nick) Massetti to the Environmental  Quality  Control  Board; and, 2. Appoint  Ben  Wong  to  the Planning Commission.    E.Second Reading and Adoption of Ordinance 1708 - That  the  City  Council adopt  Ordinance  1708  titled  "An  Ordinance  of  the  City  of  Seal  Beach Amending  the  Seal  Beach  Municipal  Code  to Amend  Certain Animal  Control Regulations  Relating  to  Dog  Licensing, Rabies  Contral  and  Other  Animal Control Requirements and Prohibitions.”   F.Approving and Authorizing a Resolution that City of Seal Beach Enter into A Memorandum of Understanding (MOU) With West Orange County Community Emergency Response Team (CERT)  - That  the  City  Council adopt  Resolution  7484: 1. Approving  the  City  of  Seal  Beach’s  participation  in the  West  Orange  County  Community  Emergency  Response  Team  (CERT) Memorandum  of  Understanding  (MOU) dated  October  4, 2023; and, 2. Authorizing  the  City  Manager  and  the  Police  Chief, or  their  designees, to complete and  sign all necessary  materials  to facilitate the  City  entering into  a MOU.   G.Approval for the Seal Beach Police Department to Purchase Ammunition for Police Rifles Pursuant to the City of Seal Beach “Military Equipment” Use Policy and State Law  - That  City  Council  adopt  Resolution  7485  to approve  the  purchase  of  the  .223  / 5.56mm  ammunition  for  the  Seal  Beach Police  Department, pursuant  to  the  City’s  “military  equipment” use  policy  and state law.    H.Awarding and Authorizing Execution of a Public Works Agreement with R.I.C. Construction Co., Inc. for the West End Pump Station VFD Replacement Project, CIP SD2401/BG2401ex101-WEPS - That  the  City Council  adopt  Resolution  7486: 1. Approving  the  plans, specifications, and contract  documents  for  West  End  Pump  Station  VFD  Replacement  Project, CIP  SD2401/BG2401ex101-WEPS; and, 2. Approving  and  awarding  a  Public Works  Agreement  to  R.I.C. Construction  Co., Inc. in  the  amount  of $222,144.00, and rejecting all other bids; and, 3. Authorizing the City Manager to  execute  a  Public  Works  Agreement  for  construction  services  to  R.I.C. Construction  Co., Inc.; and, 4. Authorizing  the  City  Manager  to  approve additional  work  requests  up  to  $22,144.00  and  inspection  services  up  to $5,856.00  in  connection  with  the  Project, in  the  cumulative  not-to-exceed amount of $28,000.00.   I.Approving and Authorizing Amendment No. 1 to the Professional Maintenance Services Agreement with Base Hill, Inc. for Janitorial Services - That  the  City  Council  adopt  Resolution  7487: 1. Approving Amendment  No. 1  to  the  Professional  Maintenance  Services Agreement  with Base  Hill, Inc. dated  October  24, 2022, for  additional  janitorial  services; and, 2. Increasing  compensation for  such additional  services  by $264,644.78 for  a  revised  total  contract  not-to-exceed  amount  of  $994,424.60  for  the Original Three-Year Term; and, 3. Increasing compensation for such additional services  by  $132,322.39  for  a  not-to-exceed  amount  of $375,582.33  for each one-year  term  extension; and, 4. Authorizing  and  directing  the  City  Manager to execute Amendment No. 1  on  behalf  of  the City; and, 5. Approving  Budget Amendment BA #24-08-02 in the amount of $133,000.   J.Accepting Grant Funds from the Metropolitan Water District of Southern California for the City Hall Courtyard Foundation and Authorizing Execution of the Grant Agreement - That the City Council adopt Resolution 7488: 1. Accepting an  award  of  grant  funds in  the  amount of $3,000 from the Metropolitan Water District of Southern California; and, 2. Authorizing  the City Manager, or  her  designee, to  execute  the Agreement  with  the  Metropolitan Water  District  of  Southern  California, amendments, and  other  related documents, and  to  take  all  such  other  actions, as  may  be  required  to  secure the  grant  funds  and  implement  the  approved  grant  under  the  Community Partnering Program.    ITEMS REMOVED FROM THE CONSENT CALENDAR PUBLIC HEARING K.Proposition 218 Protest Public Hearing – Water Rate and Sewer Rate Adjustments - That  the  City  Council  open  the  public  hearing  to  accept comments on the proposed Water and Sewer Rates, and continue the item to February 26, 2024, to allow for additional public review time.   UNFINISHED / CONTINUED BUSINESS - None NEW BUSINESS – None ADJOURNMENT Adjourn the City Council to Monday, February 26, 2024, at 5:30 p.m. to meet in closed session, if deemed necessary. Question for February 12, 2024 City Council Meeting Sustarsic How may someone get any questions answered about the water and sewer rate issue at this time, before February 26th, if they have a question that was not covered by the webinar presentation, or they were not able to attend the Open House night? The City has a dedicated Water & Sewer Rate Study email and phone number to answer questions. Please feel free to reach out to: utilityrates@sealbeachca.gov (562) 342 -7389 The Water & Sewer website also has rate information that is continuously updated: https://www.2023utilityratestudy.sealbeachca.gov/ 1 Gloria Harper Subject:FW: Questions From: Lisa Landau <LLandau@sealbeachca.gov> Sent: Monday, February 12, 2024 11:12 AM To: Jill Ingram <jingram@sealbeachca.gov> Subject: Questions Hi Jill, I have a couple of questions for you. Please see the following: 1. Discrepancy in 1st Street beach lot bathrooms janitorial versus all of the other work done. If I understood you correctly, the contract will increase by $132K/yr because Beach House is not cleaning at this time. Yet Beach House is receiving an invoice on a monthly basis in the amount of approximately $2000, which is about $24K/yr. Please help me understand the difference. As this location has a high volume of usage and maintenance, porter service beyond what has been routinely recorded on the 15 th 1st Street property’s general ledger is expected. 2. Per our meeting on Thursday, I just want to confirm that there is no hourly recording methodology to record hours worked on water and sewer. Employees record their time on timesheets based on their activities and allocate it to the appropriate fund or project. 3. Has the W/WW consultant finished the contract or does he have follow-up work yet to do? Based upon Raftelis’s professional services agreement that was unaniomously approved at the June 12, 2023 Council meeting, the scope of work would be substantially completed after the close of the public hearing on February 26 th. 4. I would like to pull item C regarding the ACFR, and possibly move the ACFR presentation to occur right before we discuss Item C. Confirmed. Please let me know if you have any questions/comments for me. Thank you! Councilwoman District 3 211 Eighth Street, Seal Beach, CA 90740 (714) 656-8000 Click to edit Master title style 1 Introduction of New Full Time Employees February 12, 2024 Lauren Barich, Management Analyst Click to edit Master title style 2 Community Development Department 2 Joshua Hernandez Code Enforcement Officer Click to edit Master title style 3 Public Works Department 3 Jessica Salvador Executive Assistant Click to edit Master title style 4 Thank You! PCH Improvement Project Seal Beach, Huntington Beach and Newport Beach Caltrans District 12, Orange County Purpose and Scope Pavement rehabilitation and various intersection improvements within the project limits (Crystal Heights Drive in Newport Beach through Seal Beach) •Modify curb ramps to comply with Americans with Disabilities Act. •Implement ‘ladder’ type crosswalk pavement delineation at 1St, 5th, 12th, Main, and Seal Beach Boulevard intersections. •Replace traffic signals that don’t meet current standards. •Add bicycle path approaching intersection at Seal Beach Boulevard without removing current street parking. •Rehabilitate pavement between Warner Avenue and Seal Beach/LA County Line. Project Benefits The proposed improvements will enhance safety, rideability and operational efficiency within the limits of the project. Project Location •The proposed improvements will enhance safety, rideability and operational efficiency within the limits of the project. From Crystal Heights Drive in Newport Beach to Seal Beach/ Los Angeles County Line Schedule Traffic Impacts Pavement and electrical work may close one lane at a time at various locations, northbound & southbound PCH. Sidewalks may be closed. Follow posted pedestrian detours. Businesses and driveways will remain open during construction. Safely share the road with the pedestrians and the bicycling community. Be safe. Carefully follow detour signs and traffic control guidance. Public Information Opportunities Project Public Information Officer Sheilah Fortenberry Sheilah.Fortenberry@dot.ca.gov (949) 969-5055 Questions? 2024 WINTER STORM STORM PREPARATION & SAFETY MEASURES National Weather Service Forecast Precipitation Totals Interdepartmental Coordination Mitigation and Response Efforts Public Outreach Alert and Warning Further Resources Questions NATIONAL WEATHER SERVICE FORCAST NATIONAL WEATHER SERVICE FORCAST - 2 PRECIPITATION TOTALS INTERDEPARTMENTAL COORDINATION MITIGATION AND RESPONSE EFFORTS Sandbag Stations OCFA Station #44, #48, 8th St Beach Lot, Marina Park, Arbor Park Catch Basin Clearing Cleared the catch basins from debris to reduce blockage Street Closures Pre-staged barricades/cones to redirect traffic Interagency Coordination OCFA, Caltrans, Naval Weapons Station, OC Sheriff, OCPW, WEROC PUMP STATIONS & PORTABLE PUMPS West End Pump Station (City) Two Pumps - over 200 cfs capacity 36” Discharge Pipes Seal Beach Pump Station (OCPW) Three Pumps – over 300 cfs capacity 42” Discharge Pipes Adding a sump discharge line Portable Pumps Assist with post-storm conveyance POST-STORM CLEAN-UP Beach & Boardwalk Cleanup/ Collecting Signage and Pumps / Fallen Tree and Landscape Debris Removal /Pavement Patching/Forebay & Catch Basin Clearing PUBLIC OUTREACH – YES! ALERT AND WARNING SYSTEMS WHERE TO FIND MORE INFORMATION? https://linktr.ee/cityofsealbeach QUESTIONS? Brian Gray, Police Sergeant / Emergency Services Coordinator City of Seal Beach Police Department 911 Seal Beach Boulevard, Seal Beach, CA 90740 (562) 799-4100 Ext. 1145 (562) 493-0634 (Fax) City of Seal Beach Annual Comprehensive Financial Report AU-C 260 Communication With Those Charged With Governance For the Year Ended June 30, 2023 February 12, 2024 2 CONTENTS • Required Communications (AU-C 260) • Overview of Financial Statements • Key Pension and OPEB Information • Audit Results 1/17/2024 3 Required Communications (AU-C 260) 1/17/2024 4 •Our Responsibility in Accordance with Professional Standards 1/17/2024 Required Communications (AU-C 260) • Form and express an opinion about whether the financial statements that have been prepared by management with your oversight are presented fairly, in all material respects, in accordance with accounting principles generally accepted in the United States of America • Plan and perform the audit to obtain “reasonable” assurance (not “absolute” assurance) about whether the financial statements are free of material misstatements • Consider internal control over financial reporting. Such considerations are solely for the purpose of determining our audit procedures and not to provide any assurance concerning such internal control • Conclude there are no conditions or events that raise substantial doubt about the City’s ability to continue as a going concern. • Communicate with those charged with governance 5 Required Communications (AU-C 260) •Ethics and Independence • Complied with ALL relevant ethical requirements regarding independence •Significant Accounting Policies • The City of Seal Beach disclosed all significant accounting policies in Note 1 to the financial statements. • Implementation of GASB 96 - Subscription-Based Information Technology Arrangements •Significant Estimates • Investment Fair Value • Depreciation and amortization on Capital Assets • Net Pension Liability • Net OPEB Liability 1/17/2024 6 Required Communications (AU-C 260) •Sensitive Disclosures • Note 1 – Summary of Significant Accounting Policies • Note 9 – Defined Benefit Pension Plans • Note 10 – Other Postemployment Benefits (“OPEB”) Plan • Note 14 – Individual Fund Disclosure •Misstatements • No material uncorrected misstatement 1/17/2024 7 Required Communications (AU-C 260) •Consultation with Other Accountants • Management informed us that, and to our knowledge, there were no consultations with other accountants regarding auditing and other matters. •Significant Difficulties • We encountered no significant difficulties in dealing with management. •Disagreement with Management • We did not have any disagreement with management in terms of accounting treatments nor audit procedures performed. 1/17/2024 8 OVERVIEW OF THE FINANCIAL STATEMENTS 1/17/2024 9 City of Seal BeachGovernment-Wide SummaryAs of June 30, 2023 and 2022 2023 2022 Change30283028 Total Net Position 96,905,000$ 83,196,000$ 13,709,000$ Governmental Activities 1/17/2024 10 City of Seal BeachGovernment-Wide Summary (Continued)As of June 30, 2023 and 2022 2023 2022 Change30283028 Total Net Position 44,667,000$ 44,522,000$ 145,000$ Business-Type Activities 1/17/2024 11 City of Seal BeachGovernment-Wide Summary (Continued)For the Years Ended June 30, 2023 and 2022 2023 2022 Change Program Expenses 37,465,000$ 49,699,000$ (12,234,000)$ Program Revenues 12,828,000 17,561,000 (4,733,000) Net Cost of Services (24,637,000) (32,138,000) 7,501,000 General Revenues and Transfers 38,347,000 32,312,000 6,035,000 Change in Net Position 13,710,000$ 174,000$ 13,536,000$ Governmental Activities 1/17/2024 12 City of Seal BeachGovernment-Wide Summary (Continued)For the Years Ended June 30, 2023 and 2022 2023 2022 Change Expenses 7,544,000$ 8,387,000$ (843,000)$ Program revenues 8,132,000 8,257,000 (125,000) Net Cost of Services 588,000 (130,000) 718,000 General Revenues and Tansfers (444,000) (516,000) 72,000 Change in Net Position 144,000$ (646,000)$ 790,000$ Business-Type Activities 1/17/2024 13 City of Seal BeachGeneral Fund SummaryFor the Year Ended June 30, 2023 Revenue 46,256,000$ Expenditures 41,239,000 Revenue over Expenditures 5,017,000 Net Transfers (2,041,000) Net Change in Fund Balance 2,976,000 Fund Balance at July 1, 2022 34,349,000 Fund Balance at June 30, 2023 37,325,000$ 1/17/2024 14 City of Seal BeachCalPERS Pension Plan Misc Safety 2023 2022 Total Pension Liability 55,349,000$ 104,384,000$ 159,733,000$ 151,159,000$ Fiduciary Net Position 38,532,000 71,896,000 110,428,000 123,279,000 Net Pension Liability 16,817,000$ 32,488,000$ 49,305,000$ 27,880,000$ Funding Ratio 69.62% 68.88% 69.13% 81.56% Contribution Made 1,731,000$ 3,916,000$ 5,647,000$ 5,219,000$ 1/17/2024 15 City of Seal BeachOther Postemployment Benefits (“OPEB”) 1/17/2024 2023 2022 Total OPEB Liability 13,421,000$ 12,510,000$ Fiduciary Net Position 7,130,000 7,958,000 Net OPEB Liability 6,291,000$ 4,552,000$ Funding Ratio 53.13% 63.61% Contribution Made 981,000$ 990,000$ 16 AUDIT RESULTS 1/17/2024 17 Audit Results •Financial Statements • Unmodified opinion • Financial Statements are fairly presented in all material respects • Significant accounting policies have been consistently applied • Estimates are reasonable • Disclosures are properly reflected in the financial statements •AU-C 265, Communicating Internal Control Related Matters Identified in an Audit • None Reported 1/17/2024 HQ - ORANGE COUNTY 200 E. Sandpointe Avenue Suite 600 Santa Ana, CA 92707 SAN DIEGO 4365 Executive Drive Suite 710 San Diego, CA 92121 BAY AREA 2121 North California Blvd. Suite 290 Walnut Creek, CA 94596 LAS VEGAS 1050 Indigo Drive Suite 110 Las Vegas, NV 89145 PHOENIX 4742 North 24th Street Suite 300 Phoenix, AZ 85016 Agenda Item A AGENDA STAFF REPORT DATE:February 12, 2024 TO:Honorable Mayor and City Council THRU:Jill R. Ingram, City Manager FROM:Gloria D. Harper, City Clerk SUBJECT:Approval of the January 22, 2024 City Council Minutes ________________________________________________________________ SUMMARY OF REQUEST: That the City Council approve the minutes of the Closed Session and Regular City Council meetings held on January 22, 2024. BACKGROUND AND ANALYSIS: This section does not apply. ENVIRONMENTAL IMPACT: There is no environmental impact related to this item. LEGAL ANALYSIS: No legal analysis is required for this item. FINANCIAL IMPACT: There is no financial impact for this item. STRATEGIC PLAN: This item is not applicable to the Strategic Plan. RECOMMENDATION: That the City Council approve the minutes of the Closed Session and Regular City Council meetings held on January 22, 2024. Page 2 1 6 9 4 SUBMITTED BY: NOTED AND APPROVED: Gloria D. Harper Jill R. Ingram Gloria D. Harper, City Clerk Jill R. Ingram, City Manager Prepared by: Brandon DeCriscio, Interim Deputy City Clerk ATTACHMENTS: A. Minutes – Closed Session, January 22, 2024 B. Minutes - Regular Session, January 22, 2024 8 7 3 3 Seal Beach, California January 22, 2024 The City Council met in Closed Session at 5:30 p.m. in the City Hall Conference Room. ROLL CALL Present: Mayor Sustarsic Council Members: Moore, Landau, Kalmick, Steele Absent: None City Staff: Nicholas Ghirelli, City Attorney Jill R. Ingram, City Manager Patrick Gallegos, Assistant City Manager Barbara Arenado, Director of Finance/City Treasurer Iris Lee, Director of Public Works Gloria D. Harper, City Clerk Brandon DeCriscio, Interim Deputy City Clerk PUBLIC COMMUNICATIONS Mayor Sustarsic opened oral communications. Speakers: None. Mayor Sustarsic then closed oral communications. CLOSED SESSION A. CONFERENCE WITH LABOR NEGOTIATOR Government Code §54957.6 City Negotiator(s): City Manager Employee Organization(s): Police Officers Association Police Management Association Seal Beach Supervisors & Professionals Association Mid-Management and Confidential Employees Association B. Conference with Real Property Negotiators Government Code Section 54956.8 Requested underground utility easements at City-owned property located generally at 3900 Lampson Avenue and APNs 217- 361-01 and -03 Under negotiation: Price and terms of payment City negotiators: City Attorney and City Manager Negotiating parties: OCTA and Frontier Communications C. Conference with Real Property Negotiators Government Code Section 54956.8 4197 Ironwood Avenue, Seal Beach, CA 90740 8 7 3 3 Under negotiation: Price City negotiators: Alexa Smittle, Community Development Director Negotiating parties: All interested purchasers ADJOURNMENT Mayor Sustarsic adjourned the Closed Session meeting at 6:55 p.m. Gloria D. Harper, City Clerk City of Seal Beach Approved: Schelly Sustarsic, Mayor Attested: Gloria D. Harper, City Clerk Seal Beach, California January 22, 2024 The City Council met in regular session at 7:06 p.m. in the City Council Chamber. Council Member Steele led the Pledge of Allegiance. ROLL CALL Present: Mayor Sustarsic Council Members: Kalmick, Landau, Steele, Moore Absent: None City Staff: Nicholas Ghirelli, City Attorney Jill R. Ingram, City Manager Patrick Gallegos, Assistant City Manager Michael Henderson, Police Chief Joe Bailey, Marine Safety Chief Barbara Arenado, Director of Finance/City Treasurer Iris Lee, Public Works Director Gloria D. Harper, City Clerk Brandon DeCriscio, Interim Deputy City Clerk Nolan McGaughy, Orange County Fire Authority Division 1 Administrative Fire Captain Nick Nicholas, Police Captain Michael Ezroj, Police Captain Kathryne Cho, Deputy Director of Public Works/City Engineer William Luna, Assistant Engineer Sean Sabo, Management Analyst Jessica Salvador, Executive Assistant Tim Kelsey, Recreation Manager Shaun Temple, Planning Manager PRESENTATIONS / RECOGNITIONS There were no Presentations/ Recognitions. PUBLIC COMMUNICATIONS Mayor Sustarsic opened oral communications. Speaker: John Boyle, Leslee Miller, Sandy Kriss, Hope Hornig, and Mike Buhbe. Daren DeLeon, George Banker, and Kori DeLeon presented certificates to Council Member Moore, Mayor Pro Tem Landau, and Mayor Sustarsic on behalf of the Seal Beach Chamber of Commerce. Mayor Sustarsic closed oral communications. APPROVAL OF AGENDA & WAIVER OF FULL READING OF RESOLUTIONS AND ORDINANCES Council Member Steele pulled item M for separate consideration. Mayor Pro Tem Landau pulled item E for separate consideration. 8 5 1 0 City Clerk Harper announced that six (6) supplemental communications were received after the posting of the agenda that were distributed to the City Council and made available to the public. Mayor Pro Tem Landau moved, second by Council Member Moore to approve the agenda. AYES: Kalmick, Landau, Moore, Steele, Sustarsic NOES: None ABSENT: None ABSTAIN: None Motion carried CITY ATTORNEY REPORT City Attorney Ghirelli reported that the Council met in Closed Session regarding the three (3) items posted on the agenda. All five (5) Council Members were present, and on Item B, the Council authorized the approval of an easement with Frontier Communications and Orange County Transit Authority (OCTA) at 3900 Lampson Avenue. City Attorney Ghirelli also reported that he currently sits on the League of Cities Legal Advocacy Committee and noted that a meeting was held on Friday, January 5, 2024, and there was discussion on the Grants Pass and Martin v. Boise of Idaho, a Ninth Circuit Court of Appeals’ case that ties the hands of communities in regard to the homeless crisis. The Supreme Court has agreed to take up that case, and the legal advocacy committee has agreed to file an amicus brief, supporting the position of Grants Pass to have that precedent overturned. CITY MANAGER REPORT City Manager Ingram wished the Mayor, the City Council, and the community a Happy New Year and provided a couple of calendar reminders for upcoming meetings before the next City Council Meeting. She announced that the Strategic Planning Workshop is scheduled for January 30, 2024, at 9:00 am, at Fire Station 48 in the Community Room, and the next Parking Ad Hoc Committee meeting will be held in the Council Chambers on Thursday, February 1, 2024, at 5:30pm. COUNCIL COMMENTS Council Member Kalmick reported that he attended the Southern California Association of Governments meeting, the Orange County Council of Governments meeting, the Legislative and Public Affairs Committee Meeting for Orange County Fire Authority (OCFA), the Rivers and Mountains Conservancy meeting, the Proposition 218 Open House, and the first meeting of the San Gabriel River Working Group. Council Member Moore thanked the Public Works Department for the Proposition 218 Open House and thanked Director of Public Works Lee for responding directly to several of his residents. 8 5 1 0 Council Member Steele reported his attendance at the Senior Citizen Advisory Committee (SCAC), the SCAC Housing and Transportation Committee, the Golden Rain Foundation (GRF) Presidents Council meeting, the GRF Membership Committee meeting, the West Orange County Water Board meeting, and the Orange County Mosquito Vector Board meeting. He also reported his upcoming attendance at the American Mosquito Association Conference and the League of California Cities Mayors and Elected Officials Conference. Additionally, Council Member Steele brought to the public’s attention a resource that was discussed at his Senior Citizen Advisory Committee (SCAC) meeting. This resource is called the Aging and Disability Resource Connection (ADRC). The phone number for this service is 714-480-6450. This number collects all of the information from the caller and keeps a profile on said caller. Afterwards, the recording would either tell the caller who they can call next for assistance or call the next agency that is needed by that particular caller themselves. Rather than the caller locating all of the agencies for assistance, this resource allows the caller to make one call and receive return calls from the agencies that are able to assist. Mayor Pro Tem Landau reported that she went on a Los Cerritos Wetlands Authority tour, attended the Fentanyl Town Hall, and the Proposition 218 Open House. She addressed Ms. Miller’s concerns from Oral Communications and noted that immediately after she was made aware of the situation, she reached out to Chief Henderson, who reached out to Ms. Miller. She thanked Chief Henderson for being open to hearing Ms. Miller’s suggestions and for following up with her so quickly. Mayor Pro Tem Landau also noted that she took notes during the public comment period and will prepare an email regarding the public’s concerns to discuss with staff. Mayor Sustarsic reported her attendance at the Fentanyl Town Hall, a Planning Commission meeting, a League of California Cities Speaker Series meeting, a Rossmoor Community Services District Traffic Study Town Hall, and two (2) Orange County Sanitation District Board meetings, where she went on a tour of their new, nearly finished, administration building. She also attended the Proposition 218 Open House. COUNCIL ITEMS There were no Council items. CONSENT CALENDAR Council Member Steele moved, second by Council Member Moore to approve the recommended actions on the consent calendar with exception of Items E and M. A. Approval of the December 11, 2023 City Council Minutes - That the City Council approve the minutes of the Closed Session and Regular City Council meetings held on December 11, 2023. B. Demands on City Treasury (Fiscal Year 2024) January 22, 2024 - Ratification. 8 5 1 0 C. Monthly Investment Report (November 30, 2023 & December 31, 2023) - Receive and file. D. 2024 City Council Appointments as Representatives to Intergovernmental Agencies - That the City Council adopt Resolution 7473: 1. Confirming City Council appointments as representatives and alternates to the Intergovernmental Agencies for 2024; and, 2. Direct the City Clerk to revise and post on the website the 2024 Fair Political Practices Commission (FPPC) Form 806. E. Report of City Manager and Department Heads Authorized Contracts - That the City Council receive and file the report. F. Memorandum of Understanding with the Federal Bureau of Investigations (FBI) to Authorize the Seal Beach Police Department to Use the Jerry Crowe Regional Tactical Training Facility for Personnel Training - That the City Council adopt Resolution 7474 to approve and authorize the Chief of Police to sign the Memorandum of Understanding (MOU) with the Federal Bureau of Investigations (FBI) authorizing the use the of the Jerry Crowe Regional Tactical Training Facility for personnel training by the Seal Beach Police Department. G. Notice of Completion for Sidewalk Assessment and Trip Hazard Removal Services - That the City Council adopt Resolution 7475: 1. Accepting the Sidewalk Assessment and Trip Hazard Removal Services by Southern California Precision Concrete, Inc. dba Precision Concrete Cutting in the amount of $114,483; and, 2. Directing the City Clerk to file a “Notice of Completion” with the Orange County Clerk- Recorder within fifteen (15) days from the date of acceptance. H. Awarding and Authorizing Execution of Public Works Agreement with Alfaro Communications Construction, Inc. for the Pedestrian Improvement (Central Way at 1st Street) Project, CIP No. O-ST-4 - That the City Council adopt Resolution 7476: 1. Approving the plans, specifications, and contract documents for Pedestrian Improvement (Central Way at 1st Street) Project, CIP O-ST-4; and, 2. Approving and awarding a public works agreement to Alfaro Communications Construction, Inc. in the amount of $47,404, including the Total Base Bid of $44,388 and Additive Bid Item #9 of $3,016; and rejecting all other bids; and, 3. Authorizing the City Manager to execute a public works agreement for construction services to Alfaro Communications Construction, Inc.; and, 4. Authorizing the City Manager to approve additional work requests up to $7,000 and inspection services up to $3,000 in connection with the Project, in the cumulative not-to-exceed amount of $10,000. I. Awarding and Authorizing Execution of a Professional Maintenance Services Agreement with West Coast Arborists, Inc. for City-Wide Tree Maintenance Services- That the City Council adopt Resolution 7477: 1. Awarding a Professional Maintenance Services Agreement to West Coast Arborists, Inc., in a not-to-exceed 8 5 1 0 amount of $259,010 per year to provide City-Wide tree maintenance services for a three- year term; and, 2. Authorizing and directing the City Manager to execute the Agreement; and, 3. Authorizing the City Manager the option to extend the Agreement up to two (2) additional one-year terms after its original term for a not-to-exceed amount of $259,010 one-year term extension; and, 4. Rejecting all other proposals. J. Awarding and Authorizing a Professional Services Agreement with Minagar & Associates, Inc. for a Safety Action Plan - That the City Council adopt Resolution 7478: 1. Approving and awarding a Professional Services Agreement with Minagar & Associates, Inc. in a not-to-exceed amount of $198,144 to prepare a Safety Action Plan; and, 2. Authorizing and directing the City Manager to execute the Agreement; and, 3. Authorizing the City Manager to approve additional work requests up to $10,000 in connection with the Safety Action Plan. K. Notice of Completion for the FY 2022-2023 Fiber Design Plans – Lampson Avenue Fiber, CIP O-ST-6 - That the City Council adopt Resolution 7479: 1. Accepting the FY 2022-2023 Fiber Design Plans – Lampson Avenue Fiber, CIP O-ST-6, by Crosstown Electrical and Data, Inc., in the amount of $383,264.04; and, 2. Directing the City Clerk to file a “Notice of Completion” with the Orange County Clerk-Recorder within fifteen (15) days from the date of acceptance and to release retention thirty-five (35) days after recordation of the Notice of Completion contingent upon no claims being filed on the Project. L. Approving Cooperative Agreement No. C-3-3058 with Orange County Transportation Authority for the Alternative Signal Communication Demonstration Project - That the City Council adopt Resolution 7480: 1. Approving Cooperative Agreement No. C-3-3058 with Orange County Transportation Authority for the Alternative Signal Communication Demonstration Project; and, 2. Authorizing and directing the City Manager to execute Cooperative Agreement No. C-3-3058. M. Application for Grant Funds for the Orange County Community Resources OC Housing and Community Public Facilities and Improvements Grant - That the City Council adopt Resolution 7481: 1. Approving the application for grant funds related to the OC Housing and Community Development Public Facilities and Improvements to apply upgrades to the North Seal Beach Community Center, and to accept any funds awarded through the program; and, 2. Directing the City Manager to execute all necessary documents to apply for, accept, receive and utilize the grant funding to participate in the grant program, including incorporation in the 2024-25 Fiscal Year proposed Annual Budget. N. Approving Surfside Colony Emergency Sand Berm Construction Expenditure Reimbursement by Surfside Colony, Ltd., and Budget Amendment BA #24-07-01 - That the City Council adopt Resolution 7482: 1. Approving Surfside Colony Emergency Sand Berm Construction expenditure reimbursement in a not-to-exceed amount of $22,000; and, 2. Approving Budget Amendment #BA 24-07-01 in the amount of $22,000. 8 5 1 0 ITEMS REMOVED FROM THE CONSENT CALENDAR E. Report of City Manager and Department Heads Authorized Contracts - That the City Council receive and file the report. City Manager Ingram noted that this item is a quarterly report given to the Council for any and all contracts that are signed by the City Manager or Department Heads within their respective signing authority. Mayor Pro Tem Landau’s questions and concerns were addressed. Council Member Steele moved, second by Mayor Pro Tem Landau to approve Item E. AYES: Kalmick, Moore, Sustarsic, Landau, Steele NOES: None ABSENT: None ABSTAIN: None Motion carried M. Application for Grant Funds for the Orange County Community Resources OC Housing and Community Public Facilities and Improvements Grant - That the City Council adopt Resolution 7481: 1. Approving the application for grant funds related to the OC Housing and Community Development Public Facilities and Improvements to apply upgrades to the North Seal Beach Community Center, and to accept any funds awarded through the program; and, 2. Directing the City Manager to execute all necessary documents to apply for, accept, receive and utilize the grant funding to participate in the grant program, including incorporation in the 2024-25 Fiscal Year proposed Annual Budget. Community Development Director Smittle provided an overview of the staff report. Council Members’ questions and concerns were addressed. Council Member Steele noted the importance of the resources provided at the North Seal Beach Community Center, which are utilized by residents in Leisure World. Additionally, Council Member Steele dedicated his $20,000 discretionary funds for Fiscal Year 2023- 24 to support the North Seal Beach Community Center Public Facilities and Improvements Project, and offset the City’s required match contribution if successfully awarded the grant funding. Council Member Steele moved, second by, Council Member Moore to approve Item M. AYES: Kalmick, Moore, Sustarsic, Landau, Steele NOES: None ABSENT: None ABSTAIN: None Motion carried 8 5 1 0 PUBLIC HEARING O. Amendment to Cost Recovery Schedule to Amend Dog Licensing Fees and Amendment to Administrative Penalty Schedule to Add Penalty Amount for Non- Compliance with Dog Licensing Requirements - That the City Council adopt Resolution 7483 amending the City of Seal Beach Cost Recovery Schedule to amend fees for dog licenses and to amend the Penalty Schedule for non-compliance with dog licensing requirements fee schedule to better reflect the needs of animal licensing requirements. Police Captain Nicholas provided a comprehensive background of the staff report and Council Members’ questions were addressed. Mayor Sustarsic opened the public hearing. Speakers: None. Mayor Sustarsic closed the public hearing. Council Member Moore moved, second by Mayor Pro Tem Landau to approve Item O. AYES: Kalmick, Moore, Sustarsic, Landau, Steele NOES: None ABSENT: None ABSTAIN: None Motion carried UNFINISHED/CONTINUED BUSINESS There were no unfinished/continued business items. NEW BUSINESS P. Ordinance to Amend the Seal Beach Municipal Code Regarding Animal Control Regulations Relating to Dog Licensing, Rabies Control, and Other Animal Control Requirements and Prohibitions - That the City Council introduce, waive full reading, and read by title only, Ordinance 1708, an Ordinance of the City of Seal Beach Amending the Seal Beach Municipal Code to Amend Certain Animal Control Regulations Relating to Dog Licensing, Rabies Control, and Other Animal Control Requirements and Prohibitions. Police Captain Nicholas provided an overview of the staff report. Council Members’ questions and concerns were addressed. City Attorney Ghirelli recommended adding the word “pier” to Section 9.05.090 of the ordinance, to read, “pier, jetty and city beach,” to increase clarity. Council Member Moore moved, second by Mayor Pro Tem Landau to introduce for first reading Ordinance 1708, “An Ordinance of the City of Seal Beach Amending the Seal Beach Municipal Code to Amend Certain Animal Control Regulations Relating to Dog Licensing, Rabies Control, and Other Animal Control Requirements and Prohibitions.” 8 5 1 0 AYES: Kalmick, Moore, Sustarsic, Landau, Steele NOES: None ABSENT: None ABSTAIN: None Motion carried ADJOURNMENT Mayor Sustarsic adjourned the City Council meeting at 8:36 p.m. in memory of former Seal Beach Police Chief, Joe Stilinovich, to Monday, February 12, 2024, at 5:30 p.m. to meet in Closed Session if deemed necessary. __________________________ Gloria D. Harper, City Clerk City of Seal Beach Approved: ___________________________ Schelly Sustarsic, Mayor Attested: ____________________________ Gloria D. Harper, City Clerk Agenda Item C AGENDA STAFF REPORT DATE:February 12, 2024 TO:Honorable Mayor and City Council THRU:Jill R. Ingram, City Manager FROM:Barbara Arenado, Director of Finance/ Treasurer SUBJECT:City of Seal Beach Annual Audit Reports for Fiscal Year Ending June 30, 2023 ________________________________________________________________ SUMMARY OF REQUEST: That the City Council receive and file the following documents for fiscal year ending June 30, 2023: A. Audit Communication Letter B. Report on Internal Control C. Annual Comprehensive Financial Report D. Appropriations Limit Final Report BACKGROUND AND ANALYSIS: The audit firm, The Pun Group Accountants & Advisors (Pun Group) has completed the annual audit of the City of Seal Beach (City) for the fiscal year ending June 30, 2023. The audit was conducted in accordance with generally accepted auditing standards and included examining, on a test basis, evidence supporting the amounts and disclosures to obtain reasonable assurance that the financial statements are free of material misstatements. In the opinion of the auditors, the financial statements fairly present, in all material respects, the financial position of the City on June 30, 2023. The 2023 Annual Comprehensive Financial Report (ACFR) is included as Attachment C for information and use. The ACFR will be submitted to the Government Finance Officers Association to, once again, be considered for the Certificate of Achievement for Excellence in Financial Reporting. The purpose of the Audit Communication Letter (Attachment A) is to provide a mechanism for communication with the governing body, highlighting significant issues that may arise during the audit process. As indicated, the City’s financial statements were clearly presented. Page 2 1 7 2 4 The purpose of the Report on Internal Control (Attachment B) is to help the auditor in designing audit procedures for the purpose of expressing an opinion on the financial statements. The purpose of the Appropriations Limit Final Report (Attachment D) is to attest the calculation was performed using the correct methodology and was correctly calculated based upon the information provided. On January 17, 2023, Frances Kuo, from the Pun Group, gave a presentation to the City Council Audit Committee and the item was thoroughly reviewed and discussed. Among the attendees were City Manager Ingram, Finance Director Arenado, Finance Manager Hoang, Frances Kuo from the Pun Group, Mayor Pro Tem Landau and Councilmember Steele. ENVIRONMENTAL IMPACT: This action is exempt from the California Environmental Quality Act, because it is not defined as a “project” under CEQA. LEGAL ANALYSIS: No legal analysis is required for this item. FINANCIAL IMPACT: There is no financial impact for this item. STRATEGIC PLAN: This item is not applicable to the Strategic Plan. RECOMMENDATION: That the City Council receive and file the following documents for fiscal year ending June 30, 2023: A. Audit Communication Letter B. Report on Internal Control C. Annual Comprehensive Financial Report D. Appropriations Limit Final Report SUBMITTED BY: NOTED AND APPROVED: Barbara Arenado Jill R. Ingram Barbara Arenado, Director of Finance/ Treasurer Jill R. Ingram, City Manager Page 3 1 7 2 4 Prepared by: Alayna Hoang, Finance Manager ATTACHMENTS: A. Audit Communication Letter B. Report on Internal Controls C. Annual Comprehensive Financial Report (ACFR) D. Appropriations Limit Final Report 200 E. Sandpointe Avenue, Suite 600 Santa Ana, California 92707 January 12, 2024 To the Honorable Mayor and Members of the City Council of the City of Seal Beach Seal Beach, California We have audited the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Seal Beach (the “City”) for the year ended June 30, 2023. Professional standards require that we provide you with information about our responsibilities under generally accepted auditing standards and Government Auditing Standards, as well as certain information related to the planned scope and timing of our audit. We have communicated such information in our letter to you dated May 23, 2023. Professional standards also require that we communicate to you the following information related to our audit. Significant Audit Findings Qualitative Aspects of Accounting Practices Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the City are described in Note 1 to the basic financial statements. As described in Note 1 to the financial statements, the City implemented GASB 96 – Subscription-Based Information Technology Arrangements. No other new accounting policies were adopted and the application of existing policies was not changed during 2023. We noted no transactions entered into by the City during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period. Accounting estimates are an integral part of the financial statements prepared by management and are based on management’s knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected. The most sensitive estimates affecting the City’s financial statements were:  Management’s estimate of the investment fair market value is based on information provided by U.S. Bank, the custodial of the investments in the U.S. government sponsored enterprise securities, supra-national agency notes, asset-backed securities, municipal bonds, corporate notes, and negotiable certificates of deposit based on institutional bond quotes and certificate of deposit pricing. We evaluated the key factors and assumptions used to develop the investment fair market value in determining that it is reasonable in relation to the financial statements taken as a whole.  Management’s estimate of the depreciation and amortization on capital assets is based on the industry standard and past experience on actual useful life of the asset groups. We evaluated the key factors and assumptions used to develop the depreciation on capital assets in determining that it is reasonable in relation to the financial statements taken as a whole.  Management’s estimate of the net other postemployment benefits (“OPEB”) liability is based on the actuarial valuation on total OPEB liability and financial statements on fiduciary net position. We evaluated the key factors and assumptions used to develop the OPEB liability in determining that it is reasonable in relation to the financial statements taken as a whole. To the Honorable Mayor and Members of the City Council of the City of Seal Beach Seal Beach, California Page 2  Management’s estimate of the net pension liabilities is based on the actuarial valuation on total pension liability and based on audited financial statements on fiduciary net position for CalPERS plans. We evaluated the key factors and assumptions used to develop the net pension liability in determining that it is reasonable in relation to the financial statements taken as a whole. Certain financial statement disclosures are particularly sensitive because of their significance to financial statement users. The most sensitive disclosures affecting the financial statements were:  Note 1 – Summary of Significant Accounting Policies  Note 9 – Defined Benefit Pension Plans  Note 10 – Other Postemployment Benefits (“OPEB”) Plan  Note 14 – Individual Fund Disclosure The financial statement disclosures are neutral, consistent, and clear. Difficulties Encountered in Performing the Audit We encountered no significant difficulties in dealing with management in performing and completing our audit. Corrected and Uncorrected Misstatements Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are clearly trivial, and communicate them to the appropriate level of management. Management has corrected all such misstatements. In addition, none of the misstatements detected as a result of audit procedures and corrected by management were material, either individually or in the aggregate, to each opinion unit’s financial statements taken as a whole. Disagreements with Management For purposes of this letter, a disagreement with management is a financial accounting, reporting, or auditing matter, whether or not resolved to our satisfaction, that could be significant to the financial statements or the auditors’ report. We are pleased to report that no such disagreements arose during the course of our audit. Management Representations We have requested certain representations from management that are included in the management representation letter dated January 12, 2024. Management Consultations with Other Independent Accountants In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a “second opinion” on certain situations. If a consultation involves application of an accounting principle to City’s financial statements or a determination of the type of auditor’s opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge, there were no such consultations with other accountants. To the Honorable Mayor and Members of the City Council of the City of Seal Beach Seal Beach, California Page 3 Other Audit Findings or Issues We generally discuss a variety of matters, including the application of accounting principles and auditing standards, with management each year prior to retention as the City’s auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention. Other Matters We applied certain limited procedures to the Management’s Discussion and Analysis (“MD&A”), the Budgetary Comparison Schedules, the Schedule of the City’s Proportionate Share of the Net Pension Liability and Related Ratios, the Schedule of the Contributions – Pensions, the Schedule of Changes in Net Other Postemployment Benefits Liability and Related Ratios, and the Schedule of Contributions – Other Postemployment Benefits, which are required supplementary information (the “RSI”) that supplement the basic financial statements. Our procedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We did not audit the RSI and do not express an opinion or provide any assurance on the RSI. We were engaged to report on the Combining and Individual Fund Financial Statements, which accompany the financial statements but are not RSI. With respect to this supplementary information, we made certain inquiries of management and evaluated the form, content, and methods of preparing the information to determine that the information complies with accounting principles generally accepted in the United States of America, the method of preparing it has not changed from the prior period, and the information is appropriate and complete in relation to our audit of the financial statements. We compared and reconciled the supplementary information to the underlying accounting records used to prepare the financial statements or to the financial statements themselves. We were not engaged to report on the Introductory and the Statistical Sections, which accompany the financial statements but are not RSI. Such information has not been subjected to the auditing procedures applied in the audit of the basic financial statements, and accordingly, we do not express an opinion or provide any assurance on it. Restriction on Use This information is intended solely for the information and use of the City Council and management of the City and is not intended to be, and should not be, used by anyone other than these specified parties. Very truly yours, Santa Ana, California 200 E. Sandpointe Avenue, Suite 600 Santa Ana, California 92707 REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS Independent Auditors’ Report To the Honorable Mayor and Members of the City Council of the City of Seal Beach Seal Beach, California We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States (“Government Auditing Standards”), the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Seal Beach, California (the “City”) as of and for the year ended June 30, 2023, and the related notes to the financial statements, which collectively comprise the City's basic financial statements, and have issued our report thereon dated January 12, 2024. Report on Internal Control over Financial Reporting In planning and performing our audit of the financial statements, we considered the City's internal control over financial reporting (“internal control”) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City's internal control. Accordingly, we do not express an opinion on the effectiveness of the City's internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses or significant deficiencies may exist that were not identified. To the Honorable Mayor and Members of the City Council of the City of Seal Beach Seal Beach, California Page 2 Report on Compliance and Other Matters As part of obtaining reasonable assurance about whether the City's financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. Purpose of This Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity's internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity's internal control and compliance. Accordingly, this communication is not suitable for any other purpose. Santa Ana, California January 12, 2024 City of Seal Beach Seal Beach, California Independent Accountants’ Report on Applying Agreed-Upon Procedures to Appropriations Limit Schedule For the Year Ended June 30, 2023 200 E. Sandpointe Avenue, Suite 600 Santa Ana, California 92707 INDEPENDENT ACCOUNTANTS’ REPORT ON APPLYING AGREED-UPON PROCEDURES To the Honorable Mayor and Members of City Council of the City of Seal Beach Seal Beach, California We have performed the procedures enumerated below to the accompanying appropriation limit schedule of the City of Seal Beach, California (the “City”) for the year ended June 30, 2023. The management of the City is responsible for the Appropriations Limit Schedule. The City has agreed to and acknowledged that the procedures performed are appropriate to meet the intended purpose in meeting the requirements of Section 1.5 of Article XIII-B of the California Constitution, which was agreed to by the City and the League of California Cities (as presented int eh publication entitled Agreed-upon Procedures Applied to the Appropriations Limitation Prescribed by Article XIII-B of the California Constitution). This report may not be suitable for any other purpose. The procedures performed may not address all the items of interest to a user of this report and may not meet the needs of all users of this report and, as such, users are responsible for determining whether the procedures performed are appropriate for their purposes. The procedures performed and associated findings are as follows: 1. We obtained the completed worksheets used by the City to calculate its appropriations limit for the year ended June 30, 2023, and verified that the limit and annual calculation factors were adopted by resolution of the City Council. We also verified that the population and inflation options were selected by a recorded vote of the City Council. Finding: No exceptions were noted as a result of our procedures. 2. For the accompanying Appropriations Limit Schedule, we added the prior year’s limit to the total adjustments, and agreed the resulting amount to the current year’s limit. Finding: No exceptions were noted as a result of our procedures. 3. We verified the current year information presented in the accompanying Appropriations Limit Schedule to corresponding information in worksheets used by the City. Finding: No exceptions were noted as a result of our procedures. 4. We verified the appropriations limit presented in the accompanying Appropriations Limit Schedule to the appropriations limit adopted by the City Council. Finding: No exceptions were noted as a result of our procedures. To the Honorable Mayor and Members of City Council of the City of Seal Beach Seal Beach, California Page 2 2 We were engaged by the City to perform this agreed-upon procedures engagement and conducted our engagement in accordance with attestation standards established by the American Institute of Certified Public Accountants. We were not engaged to and did not conduct an examination or review engagement, the objective of which would be the expression of an opinion or conclusion, respectively, on the accompanying Appropriations Limit Schedule. Accordingly, we do not express such an opinion or conclusion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you. We are required to be independent of the City and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements related to our agreed-upon procedures engagement. This report is intended solely for the information and use of the City Council and the management of the City and is not intended to be and should not be used by anyone other than these specified parties. However, this report is a matter of public record and its distribution is not limited. Santa Ana, California January 3, 2024 City of Seal Beach Appropriations Limit Schedule For the Year Ended June 30, 2023 3 Amount Source A. Appropriations Limit from FY 2021-2022 33,713,172$ Prior year appropriation adopted by the City B. Adjustment Factors: 1. Growth in City Population 1.0755 California Department of Finance 2. Per Capita Cost of Living converted to a ratio 0.9920 California Department of Finance 3. Adjustment Factor 1.0669 (B1 * B2) C. Annual Adjustment Increase 2,255,276$ {(B3-1)} * A} D. Other Adjustments 1. Loss responsibility (-)- N/A 2. Transfer to private (-)- N/A 3. Transfer to fees (-)- N/A 3. Assumed responsibility (+)- N/A E. Total Adjustments 35,968,448$ (C+D) F. Appropriations Limit FY 2022-2023 35,968,448$ (A+E) See Accompanying Notes to Appropriations Limit Schedule. City of Seal Beach Notes to Appropriations Limit Schedule For the Year Ended June 30, 2023 4 Note 1 – Purpose of Limited Procedures Review Under Article XIIIB of the California Constitution (the Gann Spending Limitation Initiative), California governmental agencies are restricted as to the amount of annual appropriations from proceeds of taxes. Effective for years beginning on or after July 1, 1990, under Section 1.5 of Article XIIIB, the annual calculation of the appropriations limit is subject to agreed upon procedures in connection with the annual audit. Note 2 – Method of Calculation Under Section 10.5 of Article XIIIB, for fiscal years beginning on or after July 1990, the appropriations limit is required to be calculated based on the limit for the fiscal year 1986-87, adjusted for the inflation and population factors discussed in Notes 3 and 4 below. Note 3 – Population Factors A California governmental agency may use as its population factor either the annual percentage change of the jurisdiction’s own population or the annual percentage change in population of the county where the jurisdiction is located. The factor adopted by the City for the year ended June 30, 2023, represents the annual percentage change in population for the City. Note 4 – Inflation factors A California governmental agency may use as its inflation factor either the annual percentage change in the 4th quarter per capita personal income (which percentage is supplied by the California Department of Finance) or the percentage change in the local assessment roll from the preceding year due to the change of local nonresidential construction. The factor adopted by the City for the year ended June 30, 2023, represents the annual percentage change in per capital personal income. Note 5 – Other Adjustments A California government agency may be required to adjust its appropriations limit when certain events occur, such as the transfer of responsibility for municipal services to, or from, another government agency or private entity. The City had no such adjustments for the year ended June 30, 2023. Agenda Item D AGENDA STAFF REPORT DATE:February 12, 2024 TO:Honorable Mayor and City Council THRU:Jill R. Ingram, City Manager FROM:Gloria D. Harper, City Clerk SUBJECT:Council Appointment to the Environmental Quality Control Board and the Planning Commission - District Two ________________________________________________________________ SUMMARY OF REQUEST: It is at the request of Council Member Moore that the City Council: 1. Appoint Dominic (Nick) Massetti to the Environmental Quality Control Board; and, 2. Appoint Ben Wong to the Planning Commission. BACKGROUND AND ANALYSIS: Pursuant to Government Code Section 54974(a), whenever an unscheduled vacancy occurs on any board, commission, or committee for which the legislative body has the appointing power, an unscheduled vacancy notice shall be posted and appointment to the board, commission, or committee shall not be made by the legislative body for at least ten (10) working days after the posting of the notice. The notice of resignation for Dominic (Nick) Massetti from the Planning Commission and Ben Wong from the Environmental Quality Control Board was received by the City Clerk’s Office on January 6, 2024, and the required Notice of Vacancy was posted January 9, 2024. Additionally, notwithstanding subdivision (a), the legislative body may, if it finds that an emergency exists, fill the unscheduled vacancy immediately. The term expiration for the appointees will expire in December 2024. ENVIRONMENTAL IMPACT: There is no environmental impact related to this item. Page 2 1 7 2 9 LEGAL ANALYSIS: No legal analysis is required for this item. FINANCIAL IMPACT: There is no financial impact for this item. STRATEGIC PLAN: This item is not applicable to the Strategic Plan. RECOMMENDATION: It is at the request of Council Member Moore that the City Council: 1. Appoint Dominic (Nick) Massetti to the Environmental Quality Control Board; and, 2. Appoint Ben Wong to the Planning Commission. ATTACHMENTS: A. Redacted Applications – Dominic Massetti and Ben Wong SUBMITTED BY: NOTED AND APPROVED: Gloria D. Harper Jill R. Ingram Gloria D. Harper, City Clerk Jill R. Ingram, City Manager Agenda Item E AGENDA STAFF REPORT DATE:February 12, 2024 TO:Honorable Mayor and City Council THRU:Jill R. Ingram, City Manager FROM:Gloria D. Harper, City Clerk SUBJECT:Second Reading and Adoption of Ordinance 1708 ________________________________________________________________ SUMMARY OF REQUEST: That the City Council adopt Ordinance 1708 titled "An Ordinance of the City of Seal Beach Amending the Seal Beach Municipal Code to Amend Certain Animal Control Regulations Relating to Dog Licensing, Rabies Control and Other Animal Control Requirements and Prohibitions.” BACKGROUND AND ANALYSIS: At its meeting on January 22, 2024, the City Council approved the introduction of Ordinance 1708 of the City of Seal Beach City Council amending the Seal Beach Municipal Code to amend certain Animal Control regulations relating to Dog Licensing, Rabies Control and other Animal Control requirements and prohibitions. This item is to conduct a second reading and adopt Ordinance 1708 in compliance with State law and the City Charter requiring that ordinances be adopted at least five (5) days after introduction at a regular or adjourned regular meeting. Upon adoption and pursuant to City Charter Section 414, the Ordinance will be published within fifteen (15) days after adoption. ENVIRONMENTAL IMPACT: There is no environmental impact for this item. LEGAL ANALYSIS: No legal analysis is required for this item. FINANCIAL IMPACT: There is no financial impact for this item. Page 2 1 7 2 6 STRATEGIC PLAN: This item is not applicable to the Strategic Plan. RECOMMENDATION: That the City Council adopt Ordinance 1708 titled "An Ordinance of the City of Seal Beach Amending the Seal Beach Municipal Code to Amend Certain Animal Control Regulations Relating to Dog Licensing, Rabies Control and Other Animal Control Requirements and Prohibitions.” SUBMITTED BY: NOTED AND APPROVED: Gloria D. Harper Jill R. Ingram Gloria D. Harper, City Clerk Jill R. Ingram, City Manager ATTACHMENTS: A. Ordinance 1708 ORDINANCE 1708 AN ORDINANCE OF THE CITY OF SEAL BEACH AMENDING THE SEAL BEACH MUNICIPAL CODE TO AMEND CERTAIN ANIMAL CONTROL REGULATIONS RELATING TO DOG LICENSING, RABIES CONTROL, AND OTHER ANIMAL CONTROL REQUIREMENTS AND PROHIBITIONS THE CITY COUNCIL OF THE CITY OF SEAL BEACH DOES ORDAIN AS FOLLOWS: Section 1. The definition of “Animal Control Officer” in Section 7.05.005 of the Seal Beach Municipal Code is hereby amended to read as follows: “Animal Control Officer: the Chief of Police or any officer or person designated by the Chief of Police to administer this chapter.” Section 2. Section 7.05.040 of the Seal Beach Municipal Code is hereby amended to read as follows: “Section 7.05.040 Dog Tag and License. A. No person shall keep a dog over 4 months of age without maintaining a current license from the animal control officer. The fee for a license shall be established by city council resolution. B. The Animal Control Officer or an authorized agent shall furnish a metallic license tag and certificate with corresponding numbers to a dog owner upon payment of the license fee. The Animal Control Officer or an authorized agent shall keep records of each person to whom a license tag and certificate is issued. C. Each license shall expire one year from the date of purchase or the expiration date of the dog’s rabies vaccination, whichever is earlier. No dog shall be licensed without proof of approved rabies vaccination. D. The fee for a dog license shall be purchasable at a reduced rate in accordance with city council resolution for the following: 1. Registered Service Dogs. 2. Dogs honorably discharged from the armed forces or retired from police service. 3. Dogs kept by nonresidents traveling through the city for a period of less than 30 days. Notwithstanding the foregoing, a license shall be required for dogs that use a city dog park, unless the dog has a valid license and has a license tag or tattoo issued by the jurisdiction of the dog owner’s primary place of residence. - 2 - 4. Dogs temporarily brought into the city to participate in an exhibition. E. Any license that is not renewed by midnight on the date it is scheduled to expire shall be considered delinquent and a late fee as determined by city council resolution shall be added to the cost of the new license. The Animal Control Officer may waive the late fee if the Animal Control Officer determines the applicant made a reasonable effort to comply with the renewal deadline. F. False or Stolen Documents Illegal. No person shall make use of or have in his or her possession or under his or her control a stolen, counterfeit, or forged dog license receipt, dog license tag, rabies vaccination certificate, anti-rabies-inoculation- deferment form, or other form issued in accordance with this section. G. Display of Certificates Required Upon Demand. Every person shall, upon demand by the Animal Control Officer, exhibit a current dog license tag or certificate issued to said person pursuant to this section. H. Wearing of License Tag. Each dog required to be licensed shall wear at all times the current license tag assigned to that dog; except: 1. When the dog is physically confined within the premises of the owner or other person authorized to have custody; 2. When the dog is confined in a vehicle or cage; 3. When the dog is participating in any dog exhibition, field trial or competition; or 4. When the dog is confined in a licensed kennel or veterinary hospital, in which case the license tag number shall be recorded and placed nearby so that it is readily identifiable with the dog to which it belongs; or if not licensed, that fact shall be clearly indicated on the facility’s records. I. A license tag shall not be removed from any dog without the consent of the owner thereof.” Section 3. Section 7.05.050 of the Seal Beach Municipal Code is hereby amended to read as follows: “Section 7.05.050 Rabies Control. A. Dog Vaccination Required. Every person owning or harboring a dog four months of age or older, for 15 days or more, shall, if not currently vaccinated, have such dog vaccinated against rabies by a licensed veterinarian with a vaccine approved by the California Department of Health. Dogs that are ill may be given temporary deferment from rabies vaccination requirements by obtaining an antirabies deferment from a licensed veterinarian, and upon approval of the Animal Control Officer; old age of the dog, however, shall not be a basis for such deferment. A dog referring such a deferment shall be vaccinated within 10 days of the conclusion of the deferment period. - 3 - B. Quarantine. 1. The State Director of Health has declared Orange County a rabies area. The Animal Control Officer or an authorized agent is authorized under state law to quarantine suspected rabid animals. The Animal Control Officer is hereby empowered to enter upon any private property, including the home or residence where the animal is kept or has strayed, to inspect, and if necessary, to seize and impound any animal suspected of being rabid for a period of 14 days (10 days for dogs and cats). The impounding officer shall make a reasonable effort to immediately notify the owner or custodian of the animal before it has been impounded and the address of the facility to which it will be taken. If the owner or custodian is not present at the time of impounding, the above notice shall be posted on the property of such owner or custodian, if known. In lieu of impounding the animal, he or she may require the owner to quarantine the animal for such period by serving a written notice upon the owner. 2. No person shall disobey any quarantine order issued by the Animal Control Officer or remove any animal from its place of confinement under quarantine without the permission of the Animal Control Officer. C. Duty to Report. Any person having knowledge of the location of an animal suspected of having rabies, or of any person having been bitten or scratched by any warm-blooded mammal, or of any signs of disease or unusual behavior in any animal under quarantine, shall immediately report such facts to the Animal Control Officer. D. Proof of Vaccination. No person who owns or harbors any dog shall fail or refuse to exhibit his copy of the rabies vaccination form, antirabies inoculation deferment form, or health certificate upon demand by the Animal Control Officer. E. Duty of Person Performing Vaccination. Each duly licensed veterinarian after vaccinating any dog shall complete and sign a rabies certificate in triplicate. He or she shall keep one copy and shall give one copy to the owner of the vaccinated dog, which the owner shall retain in his or her possession. He or she shall file the other copy with the Animal Control Officer within 30 days.” Section 4. Section 7.05.055 of the Seal Beach Municipal Code is hereby amended to read as follows: “Section 7.05.055 At-Large Requirements for Cats and Dogs. A. No person having the care, charge, or control of any dog shall cause or allow such dog to be present upon any beach, street, alley, or public place, or upon any private property or premises other than his or her own without written consent of the owner or lessee of the premises, unless such dog is securely restrained by a substantial leash or chain not exceeding six feet in length and controlled by a person competent to restrain such dog. Leashed dogs are not permitted in areas where dogs are prohibited. - 4 - B. No person having the care, charge, or control of a cat shall permit the cat to enter upon another person’s property or residential unit without permission. C. The Animal Control Officer may impound any cat or dog found in violation of this section.” Section 5. Section 7.05.100 of the Seal Beach Municipal Code is hereby amended to read as follows: “Section 7.05.100 Feeding of Non-Domestic Animals Prohibited. It is unlawful for any person to feed or provide food to any non-domesticated animal. This prohibition shall not apply to the feeding of wild birds that are confined in an enclosure on private property.” Section 6. Section 7.05.130 of the Seal Beach Municipal Code is hereby added to read as follows: “Section 7.05.130 Prohibited on School Grounds. No person having the care, charge or control of any dog shall cause or allow, either willfully or through failure to exercise due care or control, such dog to be present on or in any public school property other than when specifically invited by the school administration. The prohibitions contained in this section shall not be applicable to any service dog, as defined by the Americans with Disabilities Act (‘ADA’), or any dog being trained to be a service dog as defined by the ADA pursuant to a recognized program of training, provided the dog is on a leash and the person in charge has an official identification card issued for such purposes.” Section 7. Section 9.05.090 of the Seal Beach Municipal Code is hereby amended to read as follows: “Section 9.05.090 Vehicles and Animals. A. No person having the care, custody, charge, or control of any animal shall permit or allow that animal to be on the pier, city beach or jetty. This prohibition shall not be applicable to: 1. Any animal enrolled and participating in obedience classes offered by the Community Services Department of the City or in any show for which the City has issued a special event permit. 2. Any service dog, as defined by the Americans with Disabilities Act (‘ADA’), or any dog being trained to be a service dog as defined by the ADA pursuant to a recognized program of training, provided the dog is on a leash and the person in charge has an official identification card issued for such purposes. - 5 - 3. City employees and agents engaged in the discharge of official duties. B. No person shall ride or drive any horse or other animal, any bicycle, motorcycle, automobile or other vehicle upon the city beach or city pier unless written authorization has been obtained from the city manager. This prohibition does not apply to city employees and agents engaged in the discharge of official duties. The city manager may authorize use of vehicles for the hauling of freight and other materials for persons occupying places of business on the city pier, or for the repair or improvement of the same.” Section 8. Severability. If any provision or clause of this Ordinance or the application thereof to any person or circumstances is held to be unconstitutional or to be otherwise invalid by any court of competent jurisdiction, such invalidity shall not affect other section provisions, or clauses, or applications, and to this end the provisions, sections, and clauses of this ordinance are declared to be severable. Section 9. Effective Date. This Ordinance shall take effect thirty (30) days following its adoption by the City Council. Section 10. Certification. The City Clerk shall certify the adoption of this Ordinance, and the City Clerk shall cause this Ordinance or a summary thereof to be published as required by law. The City Manager is directed to widely publicize the adoption of this Ordinance. INTRODUCED at a regular meeting of the City Council of the City of Seal Beach held on the 22nd day of January, 2024. PASSED, APPROVED, AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 12th day of February 2024. AYES: Council Members ____________________________________________ NOES: Council Members ____________________________________________ ABSENT: Council Members ____________________________________________ ABSTAIN: Council Members ____________________________________________ Schelly Sustarsic, Mayor - 6 - ATTEST: APPROVED AS TO FORM: Gloria D. Harper, City Clerk Nicholas Ghirelli, City Attorney STATE OF CALIFORNIA } COUNTY OF ORANGE } SS CITY OF SEAL BEACH } I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing Ordinance was introduced for first reading at a regular meeting of the City Council of the City of Seal Beach held on the 22nd day of January 2024, and was passed, approved, and adopted by the City Council at a regular meeting on the 12th day of February 2024. __________________________ Gloria D. Harper, City Clerk Agenda Item F AGENDA STAFF REPORT DATE:February 12, 2024 TO:Honorable Mayor and City Council THRU:Jill R. Ingram, City Manager FROM:Michael Henderson, Chief of Police SUBJECT:Approving and Authorizing a Resolution that City of Seal Beach Enter into A Memorandum of Understanding (MOU) With West Orange County Community Emergency Response Team (CERT) ________________________________________________________________ SUMMARY OF REQUEST: That the City Council adopt Resolution 7484: 1. Approving the City of Seal Beach (City) to enter into a West Orange County Community Emergency Response Team (CERT) Memorandum of Understanding (MOU) dated October 4, 2023; and, 2. Authorizing the City Manager and the Police Chief, or their designees, to complete and sign all necessary materials to facilitate the City entering into a MOU. BACKGROUND AND ANALYSIS: Within the United States, there are 2,700 local Community Emergency Response Teams (CERT) authorized by the Federal Emergency Management Agency (FEMA). CERT academy participants receive eighteen (18) hours of training in Disaster Preparedness, Fire Safety, Light Search and Rescue, Team Organization, Disaster Medical Operations, Disaster Psychology, and Terrorism. Since 1993, over 600,000 people have completed CERT training nationwide. Since 2008, the West Orange County CERT training academy has successfully trained over 1,000 residents through a casual joint venture between the six (6) cities of Buena Park, Cypress, La Palma, Los Alamitos, Seal Beach, and Westminster. This informal alliance, utilizing the combined resources of the six (6) cities, has yielded economies of scale and a quality of instruction that would be unattainable by individual cities acting alone. The West Orange County CERT training academy is available to anyone, with preference given to residents of the six (6) participating cities, along with residents of neighboring unincorporated areas, such as Rossmoor. Page 2 1 7 1 1 Local CERT teams are typically sponsored by a city police department or a city fire department. While the West Orange County CERT academy has been remarkably successful in joint recruitment and joint training, the West Orange County CERT academy lacks the jurisdictional authority normally afforded to a City government. Without official city affiliation, individual CERT volunteers lack state disaster service worker protection, while the City lacks liability protection. The attached MOU preserves the high-quality, collaborative, six-city CERT academy for our collective residents. Simultaneously, the attached MOU formally assigns each retained CERT member to their respective City for registration as Disaster Service Worker Volunteers. This results in improved liability protection for the City and improved consistency in state worker compensation insurance for each affiliated CERT volunteer. Under this MOU, CERT volunteers from one (1) city retain their insurance protection as they cross city borders to assist neighboring cities with both emergency and non-emergency functions. The attached MOU does not produce a new joint powers authority, special district, non-profit corporation, accredited disaster council, or any other new layer of government. Instead, this MOU utilizes existing human resource processes vested within the current local governing bodies within each participating city. ENVIRONMENTAL IMPACT: There is no environmental impact related to this item. LEGAL ANALYSIS: No legal analysis is required for this item. FINANCIAL IMPACT: No financial impact for this item. STRATEGIC PLAN: This item is not applicable to the Strategic Plan. RECOMMENDATION: That the City Council adopt Resolution 7484: Page 3 1 7 1 1 1. Approving the City of Seal Beach’s participation in the West Orange County Community Emergency Response Team (CERT) Memorandum of Understanding (MOU) dated October 4, 2023; and, 2. Authorizing the City Manager and the Police Chief, or their designees, to complete and sign all necessary materials to facilitate the City entering into a MOU. SUBMITTED BY: NOTED AND APPROVED: Michael Henderson Jill R. Ingram Michael Henderson, Chief of Police Jill R. Ingram, City Manager Prepared by: Sergeant Brian Gray, Emergency Services Coordinator ATTACHMENTS: A. Resolution 7484 B. West Orange County CERT Memorandum of Understanding RESOLUTION 7484 A RESOLUTION OF THE CITY OF SEAL BEACH APPROVING AND AUTHORIZING THE ADOPTION OF THE 2023 WEST ORANGE COUNTY COMMUNITY EMERGENCY REPONSE TEAMS (CERT) MEMORANDUM OF UNDERSTANDING (MOU) WHEREAS, Within the United States, there are 2,700 local Community Emergency Response Teams (CERT) authorized by the Federal Emergency Management Agency (FEMA). CERT academy participants receive 18 hours of training in Disaster Preparedness, Fire Safety, Light Search and Rescue, Team Organization, Disaster Medical Operations, Disaster Psychology, and Terrorism. Since 1993, over 600,000 people have completed CERT training nationwide; and, WHEREAS, since 2008, the West Orange County CERT training academy has successfully trained over 1,000 residents through a casual joint venture between the six cities of Buena Park, Cypress, La Palma, Los Alamitos, Seal Beach, and Westminster. This informal alliance, utilizing the combined resources of the six cities, has yielded economies of scale and a quality of instruction that would be unattainable by individual cities acting alone. NOW, THEREFORE, be it resolved and ordered that City of Seal Beach is hereby authorized to enter into this memorandum of understanding with the six cities; Be it further resolved and ordered that the City Manager or designee is hereby authorized and designated to sign for and on behalf of the City of Seal Beach agreement for this MOU and any amendments thereto; and, Be it further resolved and ordered, that any and all actions, whether previously or subsequently taken by the City of Seal Beach, which are consistent with the intent and purposes of the foregoing resolution, shall be, and hereby are, in all respects, ratified, approved, and confirmed. PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 12th day of February 2024 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Schelly Sustarsic, Mayor 8 6 6 0 ATTEST: Gloria D. Harper, City Clerk STATE OF CALIFORNIA } COUNTY OF ORANGE } SS CITY OF SEAL BEACH } I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7484 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 12th day of February 2024. Gloria D. Harper, City Clerk West Orange County CERT Memorandum of Understanding Drafted by Ed Fleming, City of La Palma, in partnership with the CERT Program Managers from the Cities of Buena Park, Cypress, Los Alamitos, Seal Beach, and Westminster October 4, 2023 October 4, 2023 Page 1 of 30 Table of Contents CERT GOALS AND MISSION STATEMENTS ............................................................................................................................ 2 PURPOSE AND SCOPE .......................................................................................................................................................... 3 BENEFITS OF THIS MOU ....................................................................................................................................................... 4 AUTHORITIES ....................................................................................................................................................................... 5 DEFINITIONS ........................................................................................................................................................................ 6 GOVERNANCE AND PARTICIPATION .................................................................................................................................... 7 GOVERNANCE ............................................................................................................................................................................. 7 PARTICIPATING CITIES ................................................................................................................................................................... 7 FUNDING ............................................................................................................................................................................. 8 LIABILITY AND INDEMNIFICATION ....................................................................................................................................... 8 WORKERS’ COMPENSATION AND LIABILITY INSURANCE ..................................................................................................... 9 LICENSE, CERTIFICATE, PERMIT, AND INSURANCE PORTABILITY .......................................................................................... 9 CERT UNIFORM AND IDENTIFICATION POLICY ................................................................................................................... 10 DEPLOYMENT, NOTIFICATION, AND INTEROPERABLE COMMUNICATIONS ........................................................................ 10 RECRUITMENT, TRAINING AND EXERCISES ........................................................................................................................ 11 RECRUITMENT ........................................................................................................................................................................... 11 TRAINING AND EXERCISES ............................................................................................................................................................ 11 CITY GOVERNMENT ROLES AND RESPONSIBILITIES ............................................................................................................ 12 PLAN MAINTENANCE ......................................................................................................................................................... 13 SIGNATURES ...................................................................................................................................................................... 14 APPENDICES....................................................................................................................................................................... 15 APPENDIX-1: WEST ORANGE COUNTY CERT HISTORY AND BACKGROUND ........................................................................................... 15 APPENDIX-2: FEMA CERT TEAM REQUIREMENTS & EXPECTATIONS ................................................................................................... 17 APPENDIX-3: CALIFORNIA DSWVP REQUIREMENTS AND LIMITATIONS ................................................................................................ 18 APPENDIX-4: CERT PROGRAM MANAGERS’ RESPONSIBILITIES ........................................................................................................... 20 APPENDIX-5: POTENTIAL ROLES FOR CERT VOLUNTEERS .................................................................................................................. 21 APPENDIX-6: ON-BOARDING CHECKLIST FOR BASIC CERT ACADEMY .................................................................................................. 22 APPENDIX-7: ON-BOARDING CHECKLIST FOR TRAIN AND RETAIN CERT VOLUNTEERS ............................................................................. 23 APPENDIX-8: CERT VOLUNTEER TERMINATION ............................................................................................................................... 24 APPENDIX-9: VOLUNTEER ILLNESS OR INJURY CHECKLIST ................................................................................................................... 25 APPENDIX-10: OPERATIONAL CONTROL ......................................................................................................................................... 27 CERT Response to Planned or Emergency Events ............................................................................................................. 27 CERT Mutual Aid Response .............................................................................................................................................. 27 CERT Agency Representative ............................................................................................................................................ 27 Mutual Aid Reimbursement ............................................................................................................................................. 27 Hosting Jurisdiction Responsibilities During Mutual Aid .................................................................................................. 28 Assisting Jurisdiction Responsibilities During Mutual Aid ................................................................................................ 28 APPENDIX-11: COUNTYWIDE CERT MUTUAL AID PROGRAM (CMAP) ................................................................................................ 29 REFERENCES ....................................................................................................................................................................... 30 October 4, 2023 Page 2 of 30 CERT Goals and Mission Statements NATIONAL CERT GOAL1 • Do the greatest good for the greatest number in the shortest amount of time. NATIONAL CERT MISSION2 • The primary mission of CERT is to promote personal, family, and neighborhood preparedness through education, outreach, and community engagement. • During major emergencies, the mission of CERT members may include immediate basic response to assist family members and neighbors. • Upon request from local government officials, a CERT Team may be activated to assist with community safety and disaster response within an Incident Command System. OC CERT MUTUAL AID PROGRAM (CMAP) MISSION3 • The purpose of CMAP is to provide CERT Mutual Aid within Orange County in the event of a disaster. WEST ORANGE COUNTY CERT MISSION • To act as a joint CERT recruitment and training hub for the six participating cities. • To support community events and to supplement emergency response within the six cities upon request from local government officials. • To support countywide CERT mutual aid response upon request from county mutual aid officials. 1 CERT Field Operations Guide, p. 3 2 CERT Field Operations Guide, p. 3 3 Policy and Guidelines, Orange County CERT Mutual Aid Program (2017) October 4, 2023 Page 3 of 30 Purpose and Scope This MEMORANDUM OF UNDERSTANDING (MOU) is entered into by and between the cities of Buena Park, Cypress, La Palma, Los Alamitos, Seal Beach, and Westminster. This MOU is as an administrative companion to the existing West County CERT Standard Operating Procedure (SOP) that was developed in June 2013 as an operational response guideline. This MOU does not produce a new joint powers authority, special district, non-profit corporation, accredited disaster council, or any other new layer of government. Instead, this instrument utilizes existing human resource processes vested within the current local governing bodies within each participating city. This MOU requires each participating city to manage its own CERT administrative and human resource functions, such as onboarding affiliated CERT volunteers, running background checks, providing oaths of office, managing liability insurance, and retaining Disaster Service Worker Volunteer forms as required by Title 19 CCR 2573.2(a)(3). This MOU individually assigns each affiliated West County CERT volunteer to one of the train-and- retain CERT teams for human resources functions. This MOU jointly assigns to West Orange County CERT the collaborative roles of recruitment, training, meetings, exercises, responses, and other activities that are traditionally conducted jointly by all participating city CERT teams. West Orange County CERT functions as a unified recruitment hub and training academy for the participating cities, similar to a college-based police academy. October 4, 2023 Page 4 of 30 Benefits of This MOU This MOU establishes the following benefits and obligations. Insurance Coverage & Insurance Portability (p. 9) • Each CERT Volunteer is covered by city insurance and state DSWV insurance; both types of insurance are administered by the volunteer’s home city. • While participating in CERT mutual aid activities within any jurisdiction, the CERT volunteer continues to receive insurance protection from the city where the DSWV registration is on file. Manageable Span of Control (p. 7) • Eliminates concentrating personnel files from all six cities at the City of Seal Beach. • Reduces administrative burdens on Seal Beach Police and Seal Beach Human Resources. Common Terminology • Adopts FEMA terminology for “Train & Retain” and “Train & Release” (aka “Train-Only”). (p. 6) • Adopts CERT volunteer training and typing definitions, as approved by FEMA and CMAP. (p. 6) • Initially assigns new academy graduates to “unaffiliated” status (formerly known as “level-C”). (p. 7) Unity of Command (p. 7) • Assigns each CERT volunteer to one “train & retain” city for the purposes of training records, background checks, Disaster Service Worker Volunteer registration, and City insurance protection. Economies of Scale (pp. 7, 11) • Maintains economies of scale by jointly conducting multi-city training academies and meetings. Comprehensive Resource Management (p. 7) • Allows any train-and-retain city to incorporate a CERT volunteer from another jurisdiction, including: o Residents of Buena Park (a “train and release” city) o Residents of Rossmoor (a county island that has no CERT Team) o Residents of Stanton (a city bordering Cypress that has no CERT Team) o Residents of Long Beach (a city that borders Seal Beach) o Other Uniform and CERT Identification Policy (p. 10) • Clarifies policies regarding when to issue green CERT equipment, West County CERT patches, and CERT/DSWV identification cards. • Uniform procedures and protocols will remain in the CERT Standard Operating Procedures (SOPs). Accountability • In case of volunteer injury, worker’s compensation claims are managed by the city where the volunteer’s DSWV registration is on file, instead of the City of Seal Beach (p. 9). • Requires each CERT volunteer to maintain the original copies of their training certificates (p. 21, 23). • Duplicate training certificates may be filed with CERT program managers and with the CERT administrative volunteer as prescribed (pp 21-23). • Encourages a CERT Agency Representative (AREP) to report, if available, to the incident liaison officer during emergencies (p. 20, 27). October 4, 2023 Page 5 of 30 Authorities California Office of Emergency Services (2016). Disaster Service Worker Volunteer Program Guidance California Office of Emergency Services (2016). Regulations for the Standardized Emergency Management System SEMS California Office of Emergency Services (2014). Volunteer Resource Management Function. Out-of-Jurisdiction Volunteer Deployment Guidance for Disaster Volunteer Program Coordinators County of Orange. (2018). Orange County Operational Area Emergency Operations Plan. Volunteer & Donations Management Annex/Attachment-H (CMAP) County of Orange. (2023). Orange County CERT Mutual Aid Program (CMAP) Training Matrix FEMA/CERT Basic Training Instructor Guide (n.d.). FEMA/CERT Liability Guide (n.d.). FEMA/CERT Program Guide, FEMA P-2321 (November 2022). National Incident Management System (NIMS) Guideline for Mutual Aid Title 19 California Code of Regulations § 2570. Disaster Service Worker Volunteers West Orange County CERT (2013). Standard Operating Procedures October 4, 2023 Page 6 of 30 Definitions • Affiliated Volunteer: A volunteer who is pre-screened and pre-registered with a local government sponsoring agency that trains and employs volunteers to assist during emergencies or disasters.4 • CERT: Community Emergency Response Team, as referenced in Title 19 CCR 2572.1 (c). • CERT Program Manager: A city employee who manages the city’s CERT program, as assigned by the city sponsoring agency. • CERT Volunteer: A CERT member who has training in basic disaster response skills, such as fire safety, light search and rescue, team organization, and disaster medical operations, per Title 19 CCR 2572.1(c). • CERT Volunteer Typing: Each CERT volunteer is typed by individual qualifications and capabilities. A Type-1 CERT volunteer is more qualified than a Type-2 volunteer, who is more qualified than a Type-3 volunteer. • CMAP: Orange County CERT Mutual Aid Program, as defined in Orange County Operational Area Emergency Operations Plan--Volunteer & Donations Management Annex/Attachment-H (CMAP). • DSWV: Disaster Service Worker Volunteer, as defined in Title 19 CCR 2570.2. • NIMS: National Incident Management System (Homeland Security Presidential Directive #5). • Participating Cities: The cities of Buena Park, Cypress, La Palma, Los Alamitos, Seal Beach, and Westminster. • SEMS: Standardized Emergency Management System, as defined in Title 19 CCR 2405. • Sponsoring Agency: Local CERT programs are usually sponsored by a local government agency—typically fire departments, police departments, courts, or local emergency management agencies.5 • Train and Release (aka Train-Only): A local CERT training program, authorized by FEMA, that provides basic CERT academy training for the community. After the training, academy graduates are released, they are not members of a CERT team, and they are not issued DSWV identification cards or green CERT equipment. • Train and Retain: A local CERT training program, authorized by FEMA, that provides basic CERT academy training to community members. After the training, academy graduates who complete additional requirements are retained as members of the city CERT team. Retained CERT volunteers are issued a CERT/DSWV identification card, a West County CERT patch, and green CERT equipment. • West County CERT (WCC): West Orange County Regional CERT jointly provides a basic CERT training academy for residents of the participating cities. While CERT volunteers are each assigned a single home city for administration of human resources, the West County CERT regional cities jointly act as a unified recruitment hub and CERT training academy, similar to a college-based police academy. 4 Cal-OES Volunteer Resource/Out-of-Jurisdiction Volunteer Deployment Guidance (2014), p.4. 5CERT Liability Guide (n.d.), p. 2. https://www.ready.gov/sites/default/files/2021-04/CERT_Liability_Guide%20v2.pdf October 4, 2023 Page 7 of 30 Governance and Participation Governance This MOU does not produce a new joint powers authority, special district, non-profit corporation, accredited disaster council, or any other new layer of government. Instead, this instrument utilizes existing human resource processes vested within the current local governing bodies within each participating city. Participating Cities The following table lists the six cities who participate in the joint West Orange County CERT Academy: Participating City Sponsoring Agency Mission Type CERT Trailer Buena Park Buena Park Police Department Train-and-Release (aka Train-Only) No Cypress Cypress Police Department Train-and-Retain No La Palma La Palma Police Department Train-and-Retain Yes Los Alamitos Los Alamitos Police Department Train-and-Retain No Seal Beach Seal Beach Police Department Train-and-Retain Yes Westminster Westminster Police Department Train-and-Retain No CERT Academy The six participating cities agree to jointly support and fund a unified basic CERT academy on an annual or as- needed basis. This 18-hour basic CERT academy is offered primarily for persons who live or work within, or near the border of, one of the six participating cities. Each participating city traditionally contributes emergency management staff, materials, and supplies to ensure a successful joint CERT academy. Train and Release (aka Train-Only) Upon academy completion, most academy participants typically wish to be released as unaffiliated trained citizens. When unaffiliated academy graduates are released, they are not members of a CERT team, and they are not issued DSWV identification cards or green CERT equipment. Train and Retain Those academy graduates who desire CERT team membership shall possess a certificate of completion from any approved basic CERT academy and they shall meet all CMAP Type-3 training requirements.6 Following a written application and a successful interview, each affiliated CERT volunteer shall be assigned to one of the train-and- retain cities for administrative purposes including background checks, DSWV-registration, and insurance coverage. Incorporating CERT Volunteers From Neighboring Jurisdictions Any train-and-retain city may, at the city’s discretion, incorporate a CERT volunteer from another jurisdiction into its CERT team if the CERT volunteer has undergone all required training and met minimum standards set forth by the train-and-retain city. Once the CERT volunteer is incorporated into the city’s CERT team, he or she shall be deemed a member of such CERT team with the same obligations, privileges, and insurance protections as other CERT Team members. 6 CMAP training requirements can be viewed on the Countywide Emergency Management PrepareOC system (SharePoint). October 4, 2023 Page 8 of 30 Funding No additional city funds are required or requested for the administration of this MOU. Each participating city contributes some staff time, in-kind materials, and food in support of the basic CERT academy. CERT training academy courses are offered free of charge to the public; however, a small materials fee is usually collected from each academy participant to offset costs of expendable items, such as fire extinguishers and fuel used during fire suppression training. Federal grants have historically paid for student manuals, CERT Field Operations Guides, green backpacks, green helmets, and fire-training burn-pans. Each train-and-retain city shall cover the cost of background checks for their assigned volunteers. The cities of La Palma and Seal Beach have assumed financial responsibility for equipping and maintaining their own assigned CERT response trailers. CERT mutual aid response is free. When providing or receiving city-to-city assistance, there is no provision to offset any costs incurred by the assisting jurisdiction. Train-and-retain CERT volunteers purchase their own uniforms pursuant to the West Orange County CERT SOP and the uniform authorization letter. Liability and Indemnification Each participating city shall defend, indemnify and hold harmless the other cities and their council members, officers, employees, and other representatives and agents from and against any and all liabilities, actions, suits proceedings, claims, demands, losses, costs, and expenses, including legal costs and attorney’s fees, for injury to or death of person(s), for damage to property (including property owned by any city) for negligent or intentional acts, errors and omissions committed by the indemnifying city or its officers, employees, and agents, arising out of or related to that city’s performance under this MOU, except for such loss as may be caused by any other city’s negligence or that of its officers, employees, or other representatives and agents. October 4, 2023 Page 9 of 30 Workers’ Compensation and Liability Insurance State Disaster Service Worker Volunteer Program (DSWVP) Each West Orange County CERT team volunteer shall be assigned to one train-and-retain city that will act as their employer for administrative purposes. This designated home city shall provide pre-hire background checks; fingerprinting; Disaster Service Worker Volunteer registration per 19 CCR 2573.2(a)(3); and non-disaster insurance coverage per Title 19 CCR 2573.1(b)(3). The California Disaster Service Worker Volunteer Program (DSWVP) covers registered volunteers during emergency response and qualified training. CERT volunteers responding to or rendering assistance who sustain injury or death in the course of, and arising out of, their employment are entitled to all applicable DSWVP benefits through their home employer where their DSWV registration is on file. CERT responders shall receive any state and federal benefits that may be available to them for line of duty deaths. Workers' compensation claims for injuries/illnesses sustained by disaster service worker volunteers while performing disaster service, shall be filed under the same authorities and guidelines as claims filed by paid employees, per Title 19 CCR 2573.3. City Liability Insurance (Non-DSWVP) Volunteers are not covered under the California Disaster Service Worker Volunteer Program (DSWVP) if they are serving in a non-emergency/non-disaster capacity or in a non-authorized training capacity. Activities excluded from DSWVP coverage include, but are not limited to, day-to-day (non-disaster) emergency operations, parades, public exhibitions, physical fitness training, public education, staffing a first-aid station, working at a DUI-checkpoint, equipment maintenance, smoke alarm installation, non-training meetings, travel to and from training, or participating in other non-disaster training activities, per Title 19 CCR 2573.1(b)(3). Whenever a city deploys its CERT volunteers in non-disaster capacities, such as parades, public exhibitions, or public education, the city shall provide its CERT volunteer workers with liability coverage for bodily injury, property damage, and personal injury. License, Certificate, Permit, and Insurance Portability CERT volunteers from one city frequently cross city borders to assist a neighboring city with both emergency and non-emergency functions. Insurance portability allows individual CERT volunteers to take their home city’s insurance benefits with them. While participating in CERT mutual aid activities within any jurisdiction, the CERT volunteer shall continue to receive insurance protection from the city where the DSWV registration is on file. The city where a volunteer is registered as a DSWV is responsible for managing any injury claims, regardless of the jurisdiction where the injury occurs. The participating cities agree that if a CERT volunteer holds a license, certificate, permit, or insurance coverage issued by the assisting political subdivision, the CERT volunteer shall be deemed to be licensed, certified, permitted, and insured while performing duties in the political subdivision receiving mutual aid assistance. October 4, 2023 Page 10 of 30 CERT Uniform and Identification Policy Unaffiliated Academy Participants During the CERT academy, each participant will be issued goggles, gloves, and a white unmarked helmet. During the CERT academy, participants should not receive any green apparel or insignias that might imply official affiliation with a CERT team. Those who graduate the academy will be issued a certificate of completion. Affiliated CERT Volunteers After basic CERT training, those academy graduates who complete all minimum Type-3 CERT requirements, including written enrollment/application and interview, shall be assigned to a train-and-retain city for background checks, DSWV-registration, insurance coverage, and registration in the city’s local AlertOC system. Qualified Type-3 CERT volunteers will be issued a West Orange County Regional CERT patch,7 along with a green backpack and a green CERT helmet. The City of Seal Beach will issue a West County CERT/DSWV identification card to each qualified volunteer, regardless of city affiliation. Type-3 and above volunteers will be registered in West Comm’s regional AlertOC system. FEMA does not establish a uniform standard for CERT volunteers.8 Uniform protocols and procedures are located in the West Orange County Regional CERT Standard Operating Procedures (SOPs). All West Orange County CERTs use the same logo, uniform, patch, and CERT/DSWV Identification-card. Train-and-retain CERT members purchase their own uniforms per West County CERT SOPs and the uniform authorization letter. Deployment, Notification, and Interoperable Communications City AlertOC Each city shall maintain a list of their own city CERT volunteers. The individual city may initiate a single- jurisdiction CERT call-out of local city volunteers via the internal AlertOC system. West Comm AlertOC West Comm dispatch center, in cooperation with the Seal Beach CERT Program Manager, shall maintain a master list of all West County Train-and Retain Volunteers, along with a list of all West Orange County CERT Program Managers. West-Comm may initiate a multi-jurisdictional CERT call-out of West Orange County regional CERT volunteers via the internal AlertOC system. CERT Radios La Palma and Seal Beach CERT Trailers are each equipped with MURS radios that are programmed for interoperable communications. Any additional CERT radios purchased should mirror the existing frequency plan. 7 The West Orange County CERT patch, representing the unified six -city regional CERT program will be used by all West County CERT volunteers, regardless of city affiliation. 8 FEMA/CERT. CERT Program Guide. (November 2022), p. 18. October 4, 2023 Page 11 of 30 Recruitment, Training and Exercises Recruitment The six West Orange County CERT Cities agree to jointly recruit community members for CERT training academies. CERT Academy flyers may be distributed as hardcopies or electronically through the various City websites, community fairs, media outlets, allied agencies, and other channels. Training and Exercises 1. Basic CERT Academy. The six West Orange County CERT cities agree to jointly train community members who desire CERT training. FEMA requires a minimum 18-hour basic CERT academy, which is typically conducted by the six cities annually, depending upon demand. The joint six-city basic CERT Training Academy efficiently trains up to 60 participants at a time in a collaborative fashion that would not be possible by a single city acting alone. 2. CERT Volunteer Training and Typing. Academy graduates who are retained by a City CERT team shall comply with the FEMA and County volunteer typing and training requirements as specified in the CMAP SOP. The CMAP training matrix and typing requirements can be viewed on the Countywide Emergency Management PrepareOC system (SharePoint). 3. CERT Volunteer Advanced Training and Typing. Training standards for advanced CERT Volunteers, CERT Section Chiefs, and CERT Team Leaders are established by FEMA and CMAP. The CMAP Training matrix and typing requirements can be viewed on the Countywide Emergency Management PrepareOC system (SharePoint). 4. CERT Program Manager Training. City CERT program managers are encouraged to complete training listed in the CMAP Training matrix, including the CERT Train the Trainer course, the CERT Program Manager Course, and courses on volunteer management. 5. CERT Trailer Driver Training. Those cities with CERT response trailers will develop driver training programs and driver qualification criteria specifically for their city vehicles. 6. CERT Volunteer Refresher Training and Exercises. A refresher training topic is typically provided at each bimonthly West Orange County CERT meeting. In addition, special weekend training sessions and exercises may be scheduled by West Orange County CERT. These exercises may include a position task book (PTB). 7. CERT Volunteer Group Supervisor Exercise. Current West Orange County CERT volunteers typically act as team leaders and group supervisors during the basic academy’s final exercise. This serves the triple purposes of (a) satisfying the basic academy exercise requirements; (b) serving as an annual exercise for existing West Orange County CERT team members; and (c) providing an opportunity for signing off portions of the CERT position task book (PTB). SEMS concepts are used to manage exercises per Title 19 CCR 2405. 8. CMAP Training/Exercises. Multi-team exercises and advanced training may be provided by CMAP on a countywide basis. October 4, 2023 Page 12 of 30 City Government Roles and Responsibilities Each participating City with jurisdiction and responsibility for CERT agrees to perform the following: 1) City Management Responsibilities a) Each city shall annually declare their CERT mission with FEMA as train-and-retain or train-only. b) Each city shall annually designate their CERT program’s sponsoring agency and CERT program manager. c) See FEMA website in Appendix-2. 2) City Sponsoring Agency Responsibilities a) Each city sponsoring agency shall assist in jointly recruiting for and conducting the unified West County Basic CERT Training Academy for residents of all participating cities. b) City sponsoring agencies shall jointly provide bi-monthly meetings and ongoing CERT training for retained CERT volunteers. c) Each city sponsoring agency will assist city human resources, as needed, with hiring, background checks, retention, and termination procedures for retained CERT volunteers per city policy. d) Each city sponsoring agency shall file a statement of membership with the secretary of the Orange County CERT Mutual Aid Program (CMAP). e) Each city sponsoring agency will act as the point of contact, as needed, for CERT preparedness and response activities, including issuing or receiving requests for CERT mutual aid. f) Cities with assigned CERT response trailers shall provide tow vehicles, driver training, and vehicle maintenance for their assigned CERT response trailers. 3) City Human Resources Responsibilities a) For administrative purposes, each qualified West Orange County CERT team member will be assigned to one of the train-and-retain City CERT teams. b) Cities that operate a train-and-retain response team may incorporate qualified CERT academy graduates from neighboring communities if necessary. c) City Human Resources Departments will provide the following for its retained CERT volunteers: i) Personnel services, such as pre-hire background checks and fingerprinting. ii) Insurance coverage for both disaster and non-disaster response (See Title 19 CCR 2573.1(b)(3)). iii) Registration of CERT members as Disaster Service Worker Volunteers (DSWV).9 iv) Retention of signed Disaster Service Worker Volunteer registration forms (See 19 CCR 2573.2 (a)(3)). v) The city where a volunteer is registered as a DSWV is responsible for managing any injury claims, regardless of the jurisdiction where the injury occurs. 9 Note: West County CERT will issue the physical CERT/Disaster Service Worker ID-card. October 4, 2023 Page 13 of 30 Plan Maintenance Plan Maintenance To ensure continued success of the joint West Orange County CERT training academy, this MOU should be reviewed periodically and assessed to make sure it still meets the needs of all parties. Maintenance of this MOU shall be the responsibility of the six City CERT program managers with approval of the sponsoring agencies. Severability Should any portion, section, or subsection of this MOU be ruled invalid or nullified, that fact shall not affect or invalidate any other portion, section, or subsection; and all remaining portions, sections, or subsections of this Memorandum of Understanding shall remain in full force and effect. Opting Out This M.O.U. is entered into voluntarily by the six participating cities. A city that alters its mission status from train-and-retain to train only, or vice versa, shall notify FEMA, CMAP, and the other participating cities within West Orange County Regional CERT. Qualified volunteers from a disestablished CERT program may be incorporated into a neighboring train-and-retain city with approval of the host city’s sponsoring agency. October 4, 2023 Page 14 of 30 Signatures City of Buena Park _____________________________ ________________________________ Frank E. Nunes, Police Chief Aaron France, City Manager City of Cypress ________________________________ ________________________________ Mark Lauderback, Police Chief Peter Grant, City Manager City of La Palma ________________________________ ________________________________ Ron Wilkerson, Police Chief Conal McNamara, City Manager City of Los Alamitos ________________________________ ________________________________ Michael Claborn, Police Chief Chet Simmons, City Manager City of Seal Beach ________________________________ ________________________________ Mike Henderson, Police Chief Jill Ingram, City Manager City of Westminster ________________________________ ________________________________ Darin Lenyi, Police Chief Christine Cordon, City Manager October 4, 2023 Page 15 of 30 Appendices Appendix-1: West Orange County CERT History and Background History and Background Per former Los Alamitos Police Chiefs Todd Mattern and Mike McCrary (McCrary, 2016), a formal CERT agreement or memorandum of understanding was never established between the six cities that make up West County CERT. At one time, a draft agreement had been started, modeled after the regional mobile command center; however, that draft agreement was never completed and never executed. The crown jewel of West County CERT is the multi-city integrated 18-hour basic CERT academy that is typically held at Joint Forces Training Base in Los Alamitos. During the past several academies, we have enlisted advanced CERT members to act as academy instructors and group supervisors. With support from the six cities, this basic CERT academy has trained over 1000 citizens across six cities between 2008 and 2022. Of those 1000 trainees, approximately 50 dedicated volunteers have completed the additional training necessary to become affiliated members of the CERT team. Some other cities in Orange County conduct similar joint CERT training academies; however, no group is known to sponsor a single, standalone, multi-jurisdictional, CERT team. Problem Superficially, West Orange County CERT has acted like a single standalone CERT team. This includes a team website, a six-city seal, two CERT response trailers (La Palma and Seal Beach) and a group of dedicated volunteers and program managers. West County CERT, however, lacks the jurisdictional authority normally afforded to a City government. FEMA and Cal-OES require each CERT team to have a sponsoring City and/or a sponsoring Accredited Disaster Council (California Office of Emergency Services, 2016, pp. 7-8). Administrative gaps and uncertainties have been exposed in areas such as the annual FEMA team registration (six teams vs one team); CMAP membership (six teams vs one team); human resource functions; and volunteer insurance coverage. These gaps have led to diminished liability protection for our cities and uncertain liability protection for our individual CERT volunteers. Historically, some administrative gaps were filled by the six CERT Program Managers (especially the Seal Beach PD CERT Program Manager). Other functions were assigned to CERT volunteers themselves; while still other functions, such as Disaster Service Worker Volunteer (DSWV) registration forms, were not always captured and retained by any of the City Clerks, as is required by Title 19 CCR 2573.2(a)(3). Risks to Cities and Volunteers Failure to address human resource, insurance, and DSWV obligations places our cities at risk and our volunteers at risk. A CERT volunteer in CERT uniform with CERT equipment should reasonably expect some level of liability protection coverage while they perform their CERT duties. October 4, 2023 Page 16 of 30 Proposed Solution This Memorandum of Understanding seeks to clarify the role of each city in the governance, participation, and funding of the West County CERT training academy. This MOU describes how each CERT volunteer would fall under the jurisdictional protection of one of the train-and-retain cities. Additionally, the CERT volunteer training matrix, developed by CMAP, clarifies the volunteer’s role in tracking their progress to ensure they meet minimum CERT training and administrative requirements. Although volunteers continue to fill certain assigned administrative roles, there are specific city government obligations that either cannot or should not be delegated to volunteers. This proposal assigns the participating cities functions such as background checks, liability insurance, and disaster service worker volunteer (DSWV) registration: these are functions that only a city can perform. Each city would provide administrative services for their respective affiliated CERT members. Governance This solution will not create a joint powers authority or any new layer of government. Each existing City government would perform its own jurisdictional CERT administrative functions. Meanwhile, West County CERT would continue to function as a unified recruitment hub and training academy, similar to a college-based police academy. Allocation of CERT Volunteers Each participating city will be allocated a portion of the West County CERT volunteers, typically those who reside within the given city. In addition, a few volunteers who live outside of a city limit (such as Rossmoor) or outside a train-and-retain city (such as Buena Park) would need to be incorporated into one of the train-and-retain cities. This is similar to a career city employee who lives elsewhere, but is registered as a local city Disaster Service Worker. Cities that operate a train-and-release CERT program may steer trained volunteers toward a train-and- retain CERT team managed by a neighboring city. Suggested Actions With the concurrence of the respective city managers and sponsoring agency chiefs, each registered volunteer within West County CERT will be assigned to a particular train & retain city for administrative purposes. This includes filing a Disaster Service Worker Volunteer (DSWV) registration form for each CERT volunteer with the respective City Clerk or Human Resources Department as required per Title 19 CCR 2573.2(a)(3). October 4, 2023 Page 17 of 30 Appendix-2: FEMA CERT Team Requirements & Expectations 10 Following the CERT requirements is essential to the integrity and benefit of this program. Each CERT team shall complete the following annual requirements: Drills and Exercises Take part in a drill or exercise at least once per year. (CERT drills and exercises may be held jointly with other CERT teams). CERT Basic Training Deliver CERT Basic Training once per year, including the culminating exercise. (CERT training academies may be held jointly with other CERT teams). Programmatic Information • Must be approved by State Coordinator • Must have a Sponsoring Organization • Complete annual on-line CERT team registration: o Complete annual questionnaire on your CERT once per year o Verify Program Manager and sponsor information once per year o Update team registration information each year in the FEMA portal https://community.fema.gov/cert/s/login/?ec=302&startURL=%2Fcert%2Fs%2FCE RT-registration-form 10 CERT Team Requirements. https://community.fema.gov/PreparednessCommunity/s/about -registering-a-cert October 4, 2023 Page 18 of 30 Appendix-3: California DSWVP Requirements and Limitations 1) Classifications and General Duties of Disaster Service Worker Volunteers a) Title 19 California Code of Regulations 2572.1. The various classifications of disaster service worker volunteers and the general duties of the members of each classification shall be limited to those described below. It is the responsibility of the accredited disaster council (or designated agency or authority) to determine the appropriate level of background check, if any, for each classification. b) Title 19 CCR 2572.1 (c). Community Emergency Response Team Member (CERT). Under the direction of emergency personnel or a designated team leader, assist emergency units within their block, neighborhood, or other area assignment; survey area conditions; disseminate information; secure data desirable for emergency preparedness planning; report incidents; and generally assist officials and individuals in the protection of life and property. 2) Oath of Allegiance and Workers Compensation Insurance for Emergency Response a) Title 19 CCR 2572.1 (c). Registration of Disaster Service Worker Volunteers. Registration of Disaster Service Worker Volunteers (DSWVs) must include the name of registrant; address of registrant; date enrolled (established as the date the loyalty oath is administered); name of registering government agency or jurisdiction with signature and title of authorized person; and classification of disaster service to which the volunteer is assigned. b) Title 19 CCR 2573.1(a)(6) The statement must be signed before an officer authorized to administer oaths. 3) Title 19 CCR 2573.2 (a)(3). Filing the DSWV Oath or Affirmation a) Documented proof of the oath or affirmation of any disaster service worker volunteer is an integral part of an injury claim for workers' compensation. File retention shall follow the same rules as other public personnel records. The oath or affirmation shall be filed as follows: (3) City. File in the office of the city clerk. 4) Accident/injury/liability protection for Non-Emergency Response a) Title 19 CCR 2573.1(b)(3). Activities that not covered by DSWVP include, but are not limited to, parades, public exhibitions, physical fitness training, out-of-state training not conducted in a manner geographically and functionally specific to cross-border emergency response, or other training activities not related to disaster service. b) The California Disaster Service Worker Volunteers program only covers volunteers during emergency response and qualified training. Volunteers are not covered under this program if they are serving in a non-emergency/non-disaster capacity, such as working at a public education booth, a parade, a first-aid station, or a DUI-checkpoint. c) If a city chooses to deploy CERT volunteers in non-emergency/non-disaster capacities, the City shall provide supplemental insurance for its CERT volunteer workers. October 4, 2023 Page 19 of 30 5) Training Requirements for Disaster Service Worker Volunteers a) Title 19 CCR 2573.1(b) Training. i) Accredited disaster councils may require each person registered as a disaster service worker volunteer to satisfactorily complete a course of training or instruction, including periodic refresher training. If warranted by the classification, disaster councils may require documented proof of professional certification or licensing. ii) The accredited disaster council (or designated agency or authority) shall ensure disaster training is approved, documented, and supervised, and shall ensure disaster training is commensurate with the duties of the disaster service worker volunteer. iii) Exclusions: Unless the volunteer is directly providing disaster services, activities that are not covered include, but are not limited to, parades, public exhibitions, physical fitness training, out-of-state training not conducted in a manner geographically and functionally specific to cross-border emergency response or other training activities not related to disaster service. October 4, 2023 Page 20 of 30 Appendix-4: CERT Program Managers’ Responsibilities 1) Each City CERT Program Manager is responsible for the day-to-day management of its own city CERT team, which includes, but is not limited to the following functions: a) Assisting with the annual team registration within FEMA’s community preparedness portal (Appx-2). b) Maintaining a City CERT Group, within the city AlertOC system, for local in-city activations. c) Contributing names to the master AlertOC CERT Group within WestComm for full regional activations. d) Assisting the City’s sponsoring agency with CERT team budgeting and purchasing, if necessary. e) Participating in local, regional, and countywide response and training activities. f) If available, acting as a CERT Agency Representative (AREP) during CERT emergency activations. g) Maintaining equipment, supplies, response trailers, personnel, and other resources related to CERT planning, prevention, mitigation, response, and recovery activities. h) Maintaining non-confidential records for each assigned CERT volunteer assigned to their city, including: i) West Orange County Regional CERT SOP Statement of Understanding (signed) ii) CERT Code of Conduct (signed) iii) CERT Volunteer Enrollment Form iv) CERT Release of Liability Form (signed). v) Maintaining copies of training records and certificates. (The CERT volunteer retains originals). i) Assisting HR with on-boarding new city CERT volunteers, including insurance and DSWV registration. j) Assisting separating CERT volunteers with the CERT volunteer termination process k) Participating in West Orange County Regional CERT Program Manager’s meetings. l) Participating in the Orange County CERT Mutual Aid Program (CMAP) group, including: i) Attending monthly CMAP meetings ii) Filing the city’s Statement of Membership with CMAP (Orange County CERT Mutual Aid Program). iii) Participating in the Countywide CERT grant program, such as UASI and Citizen Corps iv) Reviewing countywide CERT Mutual Aid Response Procedures (CMAP SOPs) v) Supporting countywide CERT Mutual Aid training, exercises, and activations. vi) Corresponding with Cal-Volunteers, Cal OES, and FEMA 2) West Orange County Regional CERT (WCC) Program Managers’ Joint Responsibilities: The following functions are performed jointly by the CERT program Mangers from the participating cities: a) West County CERT will act as the recruitment hub and CERT training academy for the six cities. b) West County CERT program managers will assist each other in producing a unified CERT academy, including academy planning, operations, logistics, finance/administration, and outreach. c) West County CERT will seek pre-authorization from Cal-OES to temporarily cover academy participants. d) West County CERT program managers will assist each other with CERT administration and response. e) West County CERT cities will host unified bimonthly meetings on a rotating basis with a unified agenda. f) West County CERT will utilize a unified calendar of events to foster inter-city cooperation. g) West County CERT will conduct periodic skills refresher training. h) West County CERT will maintain operational SOPs for recruitment, training, and response. i) All West County CERTs will use the same logo, uniform, patch, and CERT/DSWV Identification-card. j) Seal Beach PD will issue a West Orange County Regional CERT/DSWV Identification-card to each qualified volunteer. k) Seal Beach PD will maintain the master CERT Group, within AlertOC, in order to activate a full, six-city, West County regional CERT mobilization. October 4, 2023 Page 21 of 30 Appendix-5: Potential Roles for CERT Volunteers West Orange County CERT Volunteers’ Roles a) Each CERT volunteer is responsible for maintaining the original copy of their own training certificates. b) CERT Volunteers, with oversight from the City CERT program managers, may be delegated certain responsibilities including, but not limited, to: i. Webmaster and Communication Lead a. Maintains joint West County CERT website at https://westcountycert.com/ b. Distributes availability sheets for training opportunities and service opportunities ii. Administrative and Training Records Lead iii. Mentoring/Retention Lead iv. Photography/Videography v. Medical Lead vi. Safety Lead & After-Action Reports vii. Planning & Training Lead viii. Trailer Team Lead--Seal Beach ix. Trailer Team Lead--La Palma x. Acting as an instructor during the CERT Academy under a certified CERT-Instructor xi. Acting as CERT Team Leaders or Group Supervisors during academies, exercises, and responses. October 4, 2023 Page 22 of 30 Appendix-6: On-Boarding Checklist for Basic CERT Academy 1) Pre-Academy a) Academy coordinator will acquire training pre-authorization from the police chiefs to temporarily cover all academy participants under a 10-day DSWV program. 11 b) Requesting written pre-authorization to conduct training may occur on a one-time, monthly, quarterly, or annual basis provided it is in advance of the activity. A training request includes dates, location, name of training/exercise, objectives, and supervisor’s name/title (if known). c) Sample process for requesting training pre-authorization below: i) Step 1: CERT Program Manager Writes request for training to be pre-approved. ii) Step-2: CERT Program Manager Submits request to Fire Chief or Police Chief iii) Step-3: Chief reviews request for DSW Program compliancy iv) Step-4: Chief approves the request: (1) Approves in writing via letterhead, e-mail, etc. (2) Provides pre-authorization to CERT Program Manager and retains copy. (3) Provides copy to Cal OES ONLY IF a claim is submitted. v) CERT Program Manager Retains Training Pre-Authorization for files. vi) Example Pre-Authorization Email: TO: NAME, CERT Program Manager FROM: NAME, Police Chief RE: DSWV Training Pre-Authorization Decision DATE: October 1, 2037 I hereby authorize the CERT Academy training scheduled on Date to Date. The CERT Program Managers are authorized to conduct and supervise this training. All participants will be required to sign in and out. ### 2) During Academy (For all participants): a) Academy Application & Emergency Contacts b) Liability Waiver c) Payment of any supply/material fees d) Temporary 10-day DSWV registration with respective city of residence to cover 2-weeks’ training. 3) Academy Graduation (Prospective volunteers will be provided with the following): a) Graduation Certificate b) Copy of CMAP Training Matrix and CMAP Flow-Chart showing requirements for Type-1/2/3 volunteer. c) Contact list of WCC Program Managers d) WCC meeting schedule and web address 11 Page-31: https://www.caloes.ca.gov/wp-content/uploads/Admin-Services/Documents/2.-DSW-Program-GUIDANCE-10.2016.pdf October 4, 2023 Page 23 of 30 Appendix-7: On-Boarding Checklist for Train and Retain CERT Volunteers 1) Screening for academy graduates who desire to join a City CERT Team: a) Confirm completion of CERT Type-3 training criteria. b) Collect or inspect copies of relevant training certificates (originals remain with the volunteer). c) Collect the following from the prospective volunteer: i) SOP Statement of Understanding (Signed).12 ii) CERT Code of Conduct (Signed)13 iii) CERT Volunteer Enrollment Form and Emergency Contact Form (Signed)14 iv) CERT Informed Consent, Waiver and Release of Liability Form (Signed)15 v) Parent or Guardian’s Agreement (if participant is under 18)16 d) Interview with two (or more) City CERT Program Managers 2) City will provide each new affiliated CERT volunteer with the following: a) Pre-hire background check with City Human Resources. b) Liability coverage for both disaster and non-disaster response (see 19 CCR 2573.1(b)(3)). c) Permanent DSWV registration form, signed and retained by City Clerk per 19 CCR 2573.2 (a)(3).17 d) Addition of CERT Volunteer into the City’s local AlertOC notification group. 3) West Orange County CERT will provide each retained CERT volunteer with the following: a) A West Orange County CERT patch. b) A physical West Orange County CERT/Disaster Service Worker identification card.18 c) Addition of basic CERT volunteer information and type-rating to WC CERT regional training data base. d) Addition of CERT Volunteer to the West Orange County CERT Regional AlertOC notification group. e) Personal Protective Equipment (PPE) including a green CERT backpack and a green CERT helmet. f) A copy of WC CERT uniform authorization letter. 12 West Orange County CERT Standard Operating Procedure 2013, p. 17. 13 West Orange County CERT Standard Operating Procedure 2013, p. 20. 14 West Orange County CERT Standard Operating Procedure 2013, p. 22. 15 West Orange County CERT Standard Operating Procedure 2013, p. 24. 16 West Orange County CERT Standard Operating Procedure 2013, p. 26. 17 The physical CERT/DSWV identification card will be issued by West County CERT. 18 The physical CERT/DSWV identification card is issued by the City of Seal Beach on behalf of West County CERT. October 4, 2023 Page 24 of 30 Appendix-8: CERT Volunteer Termination Termination19 A retained CERT volunteer can be terminated from a CERT program by a City Sponsor, with or without cause. As at-will personnel, volunteers do not have the right to appeal the termination. Upon termination, the former CERT volunteer is required to relinquish their CERT name badge and CERT identification card and any equipment they possess that belongs to CERT or to the city that they represent. CERT Program Resignation20 A retained CERT volunteer may resign at any time by submitting a written or email “Notice of Resignation” to their CERT Program Manager. A CERT volunteer who has resigned may not request re-instatement until ninety (90) days have passed from their date of their resignation. City Actions During Termination Process Regardless of the cause of separation, the respective City CERT Program Manager should consult with the City Human Resources Department for guidance before taking any action. The City CERT Program Manager will assist the City Sponsor and City Human Resources Department with the following: 1. Collect the CERT name badge. 2. Collect the CERT/DSWV identification card. 3. Collect any CERT equipment that belongs to CERT or to the city that they represent. 4. Remove the volunteer from the DSWVP rolls and the city insurance rolls. 5. Remove the volunteer’s contact information from the city’s internal AlertOC database. 6. Remove the volunteer’s contact information from the WestComm Regional AlertOC database. 7. Change volunteer’s status in the WestComm Regional Training database. 19 West Orange County CERT Standard Operating Procedure 2013, p. 12. 20 West Orange County CERT Standard Operating Procedure 2013, p. 12. October 4, 2023 Page 25 of 30 Appendix-9: Volunteer Illness or Injury Checklist • Treatment and Transportation: If a CERT Volunteer or CERT Academy Trainee becomes ill or is injured during any CERT function, the city representative onsite shall immediately notify the Incident Commander and summon the appropriate level of medical care, including transportation to a hospital as needed. • City Notifications: Notify City Sponsor, HR Director, and CERT Program Manager from the volunteer’s home city. • State Fund Notifications: 1. See State Claim Checklist 2. State Fund Form 3301: • Sponsoring agency provides the injured volunteer a 3301 form within 24 hours of the injury. • Injured volunteer completes employee section; Supervising agency completes employer section. • A copy of form 3301 should accompany the patient, even if patient declines treatment. • Employer submits to State Comp Insurance after receiving completed form from the volunteer. 3. State Fund Form 3267: • Employer completes Form 3267 (Employer’s Report). This form is NOT shared with volunteer. • Employer notifies 24-Hour Claims Reporting Center within 5 days. • State Fund Contact Information: (888) 222-3211 • Cal-OES Notification: 1. Submit copies of the following to Cal-OES within 24 hours of Program Manager knowledge of injury. • 3301, 3267, DSWV Registration & Oath, and Written Incident Report • Written Training Pre-Authorization • Training Sign-In Sheet 2. Cal-OES Contact Information: • (916) 845-8328 • donald.glueckert@caloes.ca.gov • Cal-OSHA Notification: 1. Notify Cal-OSHA within eight hours of any serious injury, illness, or death of an employee occurring in a place of employment or in connection with any employment as required per 8 CCR 342(a). • (714) 558-4232 or DOSHPublications@dir.ca.gov 2. Include the following in the Cal-OSHA Notification: a) Time and date and location (address) of accident event b) Employer's name, address, and telephone number c) Name and job title of the person reporting the accident d) Name of person to contact at accident event site e) Name and address of injured employee(s) f) Nature of injuries g) Location where injured employee(s) was/were taken for medical treatment h) List and identity of other law enforcement agencies present at the accident event site i) Description of accident event and whether accident scene or instrumentality has been altered. October 4, 2023 Page 26 of 30  Insurance Claims: The city where the volunteer is registered as a DSWV is responsible for managing any injury claims, regardless of the jurisdiction where the injury occurs. For example, the City of La Palma is responsible for managing the injury claim of a La Palma CERT Volunteer engaged in authorized training or response, whether that injury occurs in La Palma or in any other city. Typically, State Workers Compensation insurance covers disaster-related injuries, while the city’s liability insurance covers non-disaster-related injuries. The City CERT Program Manager in charge of that CERT volunteer will act as the liaison between the ill/injured member, the City Human Resources Department, Cal-OSHA, and the insurance agencies. October 4, 2023 Page 27 of 30 Appendix-10: Operational Control CERT Response to Planned or Emergency Events The CERT team will only activate upon request from a local City Emergency Operations Center (EOC) or upon request from the responsible Incident Commander (typically a police, fire, or Unified Incident Command Post). The CERT Team Leader reports to the responsible Incident Commander or incident liaison officer. NIMS and SEMS concepts will be used, per Title 19 CCR 2405. Each participating city will determine whether and how to deploy their registered City CERT Volunteers. • Type-1 CERT Volunteers may be used countywide (through the CERT mutual aid program) for disaster and emergency responses or for non-disaster planned events. • Type-2 CERT Volunteers are typically used within the six-city region for all types of CERT-related disaster and emergency responses and/or for non-disaster events, such as parades, checkpoints, community safety fairs, and public education activities. • Type-3 CERT Volunteers are typically used within their own city or in neighboring jurisdictions for most types of CERT-related emergencies and/or for non-disaster events, such as parades, checkpoints, community safety fairs, and public education activities. Self-deployment of the CERT team is not permitted.21 In certain circumstances, a volunteer may arrive on scene before professional responders. In these cases, the volunteer may immediately act as a Good Samaritan, within the scope of their training, until relieved by professional first responders. CERT Mutual Aid Response During a widespread disaster, participating west county cities may activate city-to-city mutual aid. West Orange County CERT SOPs address procedures relating to alerting, mobilizing, staging, and responding as a CERT team. When a CERT mutual aid request is received, each participating city may choose to provide its CERT volunteers in support of regional emergencies or planned events. The primary objective is to facilitate the rapid, short-term deployment of emergency support prior to, during, and/or after an incident or planned event. Self-dispatch into another jurisdiction is not acceptable. Unsolicited aid effectively violates the terms and conditions of a mutual aid agreement. SEMS concepts will be followed per Title 19 CCR 2405. CERT Agency Representative When dispatching CERT Team members from the six-City West Orange County Region, one CERT Program Manager, if available, should respond as a CERT Agency Representative (AREP). The CERT AREP will report to the incident liaison officer or to the local government official who requested the CERT mutual aid assistance. Mutual Aid Reimbursement CERT mutual aid is free. There is no provision to offset any costs claimed by the assisting political subdivision. 21 CERT Program Guide (2022) p. 17. CERT Program Guide 2023 01 31.pdf October 4, 2023 Page 28 of 30 Hosting Jurisdiction Responsibilities During Mutual Aid Operational Control The responsible local official in whose jurisdiction an incident requiring mutual aid has occurred shall remain in charge at such incident, including the direction of such personnel and equipment provided through CERT Mutual Aid. Assisting Jurisdiction Responsibilities During Mutual Aid CERT Team Availability Each City CERT team may furnish CERT personnel, equipment, and services to each and every other party during any type of disaster. However, no party shall be required to unreasonably deplete its own resources, facilities, and services while furnishing mutual aid. The assisting jurisdiction may recall or withdraw deployed resources due to unforeseen emergencies that have developed in the assisting party’s jurisdiction. Operational Control CERT personnel from the assisting jurisdiction will continue under the administrative control of their home jurisdiction with regard to insurance coverage, but they shall fall under the operational control of the local incident commander who is receiving the assistance. October 4, 2023 Page 29 of 30 Appendix-11: Countywide CERT Mutual Aid Program (CMAP) The countywide CERT Mutual Aid Program (CMAP) is described in the Orange County Emergency Operations Plan’s Volunteer and Donations Management Annex, Attachment H. Most city-sponsored CERT teams within Orange County have filed a Statement of Membership with the Countywide CERT Mutual Aid Program, and each City CERT team is represented at CMAP meetings by the City’s CERT Program Manager. CMAP maintains a training matrix that establishes minimum standards for CERT mutual aid responders in Orange County. Only Type-1 CERT volunteers are qualified for countywide mutual aid response. During a major emergency, the Orange County EOC may activate the countywide CERT Mutual Aid Plan to assist the broader Orange County region. During a countywide activation, each City CERT Program Manager will participate in a CMAP conference call to establish needs, capabilities, and response priorities. October 4, 2023 Page 30 of 30 References California Department of Industrial Relations (2022). Report a Work-Relalted Accident. Sacramento: Cal-OSHA. https://www.dir.ca.gov/dosh/report-accident-or-injury.html California Office of Emergency Services (2016). Disaster Service Worker Volunteer Program Guidance. Sacramento: Cal-OES. California Office of Emergency Services (2016). Regulations for the Standardized Emergency Management System SEMS. Sacramento: Cal-OES. California Office of Emergency Services (2014). Volunteer Resource Management Function. Out-of-Jurisdiction Volunteer Deployment Guidance for Disaster Volunteer Program Coordinators. https://www.caloes.ca.gov/wp-content/uploads/Preparedness/Documents/11- VolunteerDeploymentGuidance4.14.15finalPDF.pdf City of La Palma (May 4, 2010). City Council Agenda Item #5. La Palma, CA: City of La Palma. County of Orange. (2018). Orange County Operational Area Emergency Operations Plan. In O. C. Area, Volunteer & Donations Management Annex/Attachment-H (CMAP) (p. 49). Silverado: Orange County. FEMA/CERT Basic Training (n.d.). Instructor Guide. FEMA/CERT Liability Guide (n.d.). Washington DC. (https://www.ready.gov/sites/default/files/2021- 04/CERT_Liability_Guide%20v2.pdf) FEMA/CERT Program Guide (November 2022). Washington DC. FEMA P-2321 CERT Program Guide 2023 01 31.pdf McCrary, M. (2016). Police Chief/Retired. (E. Fleming, Interviewer) National Incidnet Management System (NIMS) Guideline for Mutual AId Title 19 California Code of Regulations § 2570. Disaster Service Worker Volunteer Program (DSWVP). West Orange County CERT (2013). Standard Operating Procedures. Seal Beach: West County CERT Agenda Item G AGENDA STAFF REPORT DATE:February 12, 2024 TO:Honorable Mayor and City Council THRU:Jill R. Ingram, City Manager FROM:Michael Henderson, Chief of Police SUBJECT:Approval for the Seal Beach Police Department to Purchase Ammunition for Police Rifles Pursuant to the City of Seal Beach “Military Equipment” Use Policy and State Law ________________________________________________________________ SUMMARY OF REQUEST: That City Council adopt Resolution 7485 to approve the purchase of the .223 / 5.56mm ammunition for the Seal Beach Police Department, pursuant to the City’s “military equipment” use policy and state law. BACKGROUND AND ANALYSIS: The Seal Beach City Council adopted Ordinance 1694, approving a “military equipment” use policy, in April 2022. This policy complies with Government Code sections 7070 through 7075 (AB 481) and requires the Seal Beach Police Department (SBPD) to obtain approval from the City Council prior to acquiring equipment that is covered by the policy. Under these new state laws, once the City has adopted a compliant policy, law enforcement agencies are required to first obtain approval from their respective governing body prior to funding, seeking funding for, or acquiring “military equipment.” Law enforcement agencies are not permitted to use “military equipment,” as defined in state law, unless it is permitted by the policy. Law enforcement agencies are further required to submit an annual military equipment report to the governing body for as long as the equipment is available for use. Agencies are also required to attach a military equipment inventory to the policy. As stated above, the SBPD has adopted a policy, with the required inventory attached. Items deemed to be “military equipment” by AB 481 are used as a component of overall best practices for law enforcement agencies throughout the country. These tools have been tested in the field and are used by law enforcement agencies to enhance citizen and officer safety. Loss of these items would jeopardize the welfare of citizens and peace officers within the SBPD. Page 2 1 7 1 7 The term “military equipment”, as used in AB 481, does not necessarily indicate equipment that has been used by the military. Pursuant to AB 481, items deemed to be “military equipment” include, but are not limited to, unmanned aerial or ground vehicles, armored vehicles, command and control vehicles, pepper balls, less lethal shotguns, less lethal 40mm projectile launchers, long range acoustic devices, and flashbangs. SBPD is committed to using the most up-to-date tools and equipment to safeguard the citizens within the community and SBPD peace officers. Many items deemed to be “military equipment” by AB 481 are employed by SBPD, and law enforcement agencies across the country, to specifically reduce risk to community members and to protect peace officers with adequate weapons and supplies. Some of the items covered by the policy provide peace officers with the ability to safely resolve volatile situations that otherwise might rise to the level of a lethal force encounter. To that end, the ammunition SBPD seeks approval to acquire is approved in the policy and will provide SBPD’s peace officers with vital tools that facilitate compliance with its stringent use of force policy. There are no reasonable alternatives to the ammunition requested in this report. SBPD peace officers are already equipped and trained with rifles. SBPD needs additional ammunition for ongoing operations, training, qualifications, and reserve supplies. The approved use and necessity for using this ammunition is described in the policy as follows: Specialized firearms and ammunition including assault weapons: Patrol rifles, Special Weapons and Tactics (SWAT) rifles, and sniper rifles enable officers when in compliance with the SBPD’s Use of Force Policy, to address medium to long distance threats, or those threats who are heavily armed, armored or both. Furthermore, in both short and long-distance deployments, they allow officers precision shot placement minimizing the risk to officers and innocent citizens. There are no known alternatives to these weapons that will provide the same level of distance or precision. SBPD will provide an annual update to the policy and inventory, as required by AB 481, at a future meeting. ENVIRONMENTAL IMPACT: This item does not have an environmental impact. LEGAL ANALYSIS: The City Attorney has reviewed and approved as to form. Page 3 1 7 1 7 FINANCIAL IMPACT: The City of Seal Beach has been purchasing ammunition from Dooly Enterprise Inc., which has been the sole source distributor for Winchester ammunition on the West Coast, for over 20 years. The purchase is exempt from bidding requirements under Seal Beach Municipal Code Section 3.20.025(B). The cost for these rounds will be: 8.00 Units (1000 rounds per unit) = 8,000 total rounds Total $3,956.58 This is a budgeted item for the Seal Beach Police Department. STRATEGIC PLAN: This item is not applicable to the Strategic Plan. RECOMMENDATION: That City Council adopt Resolution 7485 to approve the purchase of the .223 / 5.56mm ammunition for the Seal Beach Police Department, pursuant to the City’s “military equipment” use policy and state law. SUBMITTED BY: NOTED AND APPROVED: Michael Henderson Jill R. Ingram Michael Henderson, Chief of Police Jill R. Ingram, City Manager Prepared by: Michael Ezroj, Operations Captain ATTACHMENTS: A. Resolution 7485 B. Policy 706 C. Dooley Enterprise Inc Price Quote RESOLUTION 7485 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL APPROVING THE PURCHASE OF AMMUNITION PURSUANT TO THE CITY OF SEAL BEACH’S MILITARY EQUIPMENT USE POLICY WHEREAS The City Council approved a “military equipment use policy” in April 2022 by adopting Ordinance 1694, pursuant to the requirement of state law; and, WHEREAS Ordinance 1694 requires the approval of City Council for the Seal Beach Police Department to purchase ammunitions less than .50 caliber for the department’s service rifles; and, WHEREAS The City Council hereby approves purchase of this ammunition, which is consistent with the policy, and will provide Seal Beach Police officers the proper tools for training and use. if needed. THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE: Section 1. The purchase of 12.0 units (1000 rounds per unit) of .223 / 5.56mm ammunition by the Seal Beach Police Department is approved, pursuant to Ordinance 1694. PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the February 12, 2024 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Schelly Sustarsic, Mayor ATTEST: Gloria D. Harper, City Clerk APPROVED AS TO FORM: ___________________________ Nicholas Ghirelli, City Attorney STATE OF CALIFORNIA } COUNTY OF ORANGE } SS CITY OF SEAL BEACH } I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7485 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 12th day of February, 2024. Gloria D. Harper, City Clerk Policy 706 Seal Beach Police Department Seal Beach PD Policy Manual Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 1 Military Equipment 706.1 PURPOSE AND SCOPE The purpose of this policy is to provide guidelines for the approval, acquisition, reporting requirements, and use of military equipment (California Government Code § 7070; Government Code § 7071; Government Code § 7072). This policy is provided to fulfill the obligations set forth in Assembly Bill No. 481, enacting the foregoing Code sections. These obligations include, but are not limited, to seeking approval for the use and acquisition of specific items deemed to be military equipment, and requirements related to compliance, annual reporting, cataloging, and complaints regarding these items. 706.1.1 DEFINITION OF MILITARY EQUIPMENT California Government Code § 7070 defines "military equipment" as including: •Unmanned, remotely piloted, powered aerial or ground vehicles. •Mine-resistant ambush-protected (MRAP) vehicles or armored personnel carriers. •High mobility multipurpose wheeled vehicles (HMMWV), two-and-one-half-ton trucks, five-ton trucks, or wheeled vehicles that have a breaching or entry apparatus attached. •Tracked armored vehicles that provide ballistic protection to their occupants. •Command and control vehicles that are either built or modified to facilitate the operational control and direction of public safety units. •Weaponized aircraft, vessels, or vehicles of any kind. •Battering rams, slugs, and breaching apparatuses that are explosive in nature. This does not include a handheld, one-person ram. •Firearms and ammunition of.50 caliber or greater, excluding standard-issue shotguns and standard-issue shotgun ammunition. •Specialized firearms and ammunition of less than.50 caliber, including firearms and accessories identified as assault weapons in Penal Code § 30510 and Penal Code §30515, with the exception of standard-issue handguns. •Any firearm or firearm accessory that is designed to launch explosive projectiles. •Noise-flash diversionary devices and explosive breaching tools. •Munitions containing tear gas or OC, excluding standard, service-issued handheld pepper spray. •TASER® Shockwave, microwave weapons, water cannons, and long-range acoustic devices (LRADs). •Kinetic energy weapons and munitions. •Any other equipment as determined by a governing body or a state agency to require additional oversight. Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 2 706.2 POLICY It is the policy of the Seal Beach Police Department that members of this Department shall comply with the provisions of Government Code § 7071, et seq., with respect to military equipment. It is the policy of the Seal Beach Police Department that there shall be legally enforceable safeguards, including transparency, oversight, and accountability measures in place to protect the public's welfare, safety, civil rights, and civil liberties before military equipment is funded, acquired, or used. 706.3 MILITARY EQUIPMENT COORDINATOR The Chief of Police designates the Support Services Bureau Lieutenant to act as the military equipment coordinator. The responsibilities of the military equipment coordinator include, but are not limited to: (a)Acting as liaison to the City Council for matters related to the requirements of this policy. (b)Identifying equipment that qualifies as military equipment in the current possession of the Department, and/or military equipment the Department intends to acquire that requires approval by the City Council. (c)Conducting an inventory of all Department military equipment at least annually. (d)Collaborating with any allied agency that may use military equipment within the jurisdiction of Seal Beach Police Department (Government Code § 7071). (e)Preparing for, scheduling, and coordinating the annual community engagement meeting, which includes: 1.Publicizing the details of the meeting. 2.Preparing for public questions regarding the Department's funding, acquisition, and use of equipment. (f)Preparing the annual military equipment report for submission to the Chief of Police and ensuring that the report is made available on the Department website (Government Code § 7072). (g)Coordinating the processing of complaints and concerns submitted pursuant to Section 706.7 of this policy. 706.4 MILITARY EQUIPMENT USE CONSIDERATIONS The military equipment acquired and authorized by the Department is: (a)Necessary because there is no reasonable alternative that can achieve the same objective of officer and civilian safety. (b)Reasonably cost effective compared to available alternatives that can achieve the same objective of officer and civilian safety. Military equipment shall only be used by a Department employee after the employee has received the training specified herein, any course required by the Commission on Peace Officer Standards and Training (POST), has been successfully completed, unless exigent circumstances arise. Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 3 706.5 MILITARY EQUIPMENT REPORTING CONSIDERATIONS Upon approval of a military equipment policy, the Chief of Police or the authorized designee shall submit a military equipment report to the City Council for each type of military equipment approved within one year of approval of this policy, and annually thereafter for as long as the military equipment is available for use (Government Code § 7072). The Chief of Police or the authorized designee shall also make each annual military equipment report publicly available on the Department website for as long as the military equipment is available for use. The report shall include all information required by Government Code § 7072 for the preceding calendar year, for each type of military equipment in the Department's inventory. The annual military equipment report shall, at a minimum, include the following information for the immediately preceding calendar year for each type of military equipment: (a)A summary of how the military equipment was used and the purpose of its use. (b)A summary of any complaints or concerns received concerning the military equipment. (c)The results of any internal audits, any information about violations of the military equipment use policy, and any actions taken in response. (d)The total annual cost for each type of military equipment, including acquisition, personnel, training, transportation, maintenance, storage, upgrade, and other ongoing costs, and from what source funds will be provided for the military equipment in the calendar year following submission of the annual military equipment report. (e)The quantity possessed for each type of military equipment. (f)If the Department intends to acquire additional military equipment in the next year, the quantity sought for each type of military equipment. Within 30 days of submitting and publicly releasing an annual military equipment report, the Department shall hold at least one well-publicized and conveniently located community engagement meeting, at which the general public may discuss and ask questions regarding the annual military equipment report and Seal Beach Police Department's funding, acquisition, or use of military equipment. This shall occur as a part of the Department's presentation to the City Council. 706.6 CATALOGING OF MILITARY USE EQUIPMENT All military use equipment kept and maintained by the Seal Beach Police Department shall be cataloged in a way which addresses each of the following requirements: 1.The manufacturer's description of the equipment. 2.The capabilities of the equipment. 3.The purposes and authorized uses for which the Department proposes to use the equipment. 4.The expected lifespan of the equipment. 5.The fiscal impact of the equipment, both initially and for on-going maintenance. Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 4 6.The quantity of the equipment, whether maintained or sought. 706.7 COMPLIANCE The Support Services Bureau Lieutenant will ensure that all Department members comply with this policy and will conduct an annual audit. The Chief of Police or designee will be notified of any policy violations and, as appropriate, the violation(s) will be referred to the Internal Affairs Division and handled in accordance with Policy 1009 (Personnel Complaints). All instances of non-compliance will be reported to City Council via the annual military equipment report. Any member of the public can register a question or concern regarding military use equipment by contacting the Seal Beach Police Department via email at askacop@sealbeachca.gov. A response to the question or concern shall be completed and provided by the Department in a timely manner, but not to exceed thirty (30) days. Any member of the public can submit a complaint to any member of the Department and in any form (i.e., in person, telephone, email, etc.). Once the complaint is received, it shall be routed to the Internal Affairs Division in accordance with Policy 1009. 706.8 FUNDING The Department shall obtain City Council approval, by an ordinance adopting a new or revised military equipment use policy, prior to seeking funds for military equipment, including, but not limited to, applying for a grant, soliciting, or accepting private, local, state, or federal funds, in-kind donations, or other donations or transfers. The Department has authority to apply for funding prior to obtaining City Council approval in the case of exigent circumstances.In such case, the Department shall obtain City Council approval as soon thereafter as practicable. In seeking such approval, the Support Services Bureau Lieutenant will submit to the City Council a report explaining the nature of the exigency and why prior approval could not be obtained. 706.9 MILITARY EQUIPMENT INVENTORY The following constitutes an inventory of previously purchased equipment for the Seal Beach Police Department deemed to be military and militaristic as defined by this policy. 1. Unmanned Aircraft System (UAS) A UAS is an unmanned aircraft and the equipment necessary for the safe and efficient operation of the aircraft. An unmanned aircraft is a component of a UAS. It is defined by statute as an aircraft that is operated without the possibility of direct human intervention from within or on the aircraft. Current Inventory: DJI MAVIC 2 ENTERPRISE DUAL Description: UAS that has a color and infrared camera as well as audible speaker and light. Capable of video recording and weighs 899 grams, approx. 30 minutes of flight time. Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 5 Quantity: 2 Purchase Price: $5,500 each DJI Avata Description: First-person-view (FPV) "Cinewhoop" UAS designed to take high-quality video. The model is smaller, lighter, more agile, and equipped with propeller guards so that it is safe to fly around people and in-door use. Quantity: 1 (Serial Number 1581F4QWD227B0021HFY) Purchase Price: $677.74 each Purpose: To be deployed when its view would assist officers or incident commanders with the following situations, which include but are not limited to: (a)major collision investigations (b)search for missing persons (c)natural disaster management (d)crime scene photography (e)SWAT, tactical or other public safety and life preservation missions (f)In response to specific requests from local, state, or federal fire authorities for fire response and/or prevention. Authorized Use: Only assigned operators who have completed the required training shall be permitted to operate any UAS during approved missions. Expected Life Span: All UAS equipment, 3-5 years. Fiscal Impact: Annual maintenance and battery replacement cost is approximately $2,000. Training Required: All Department UAS operators must be licensed by the Federal Aviation Administration for UAS operation. In addition, each operator must attend a 40-hour Department training and ongoing quarterly training. Legal and Procedural Rules: Use is established under Policy 606, FAA Regulation 14 CFR Part 107, and the City of Seal Beach UAS policy. It is the policy of the Seal Beach Police Department to utilize UAS only for official law enforcement purposes, and in a manner that respects the privacy of our community, pursuant to State and Federal law. 2. 40 MM Launchers and Rounds 40MM Launchers are utilized by Department personnel as a less lethal tool to launch impact rounds. Current Inventory: DEFENSE TECHNOLOGY, 40MM SINGLE SHOT LAUNCHER Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 6 Description: The 40MM Single Launcher is a tactical single shot launcher that features an expandable ROGERS Super Stock and an adjustable Integrated Front Grip (IFG) with light rail. It will fire standard 40mm less lethal ammunition, up to 4.8 inches in cartridge length. It will launch a 40mm less lethal round up to 131 feet and is only authorized to be used by SWAT personnel. Serial Numbers #D36434/FW21222/FW21223. Quantity: 1 Purchase Price: $1,000 each DEFENSE TECHNOLOGY, EXACT IMPACT 40MM ROUND Description: The eXact iMpact 40mm sponge round is a point-of-aim, point-of-impact direct- fire round. This is a lightweight, high-speed projectile consisting of a plastic body and sponge projectile that is spin stabilized via the incorporated rifling collar and the 40mm launcher's rifled barrel. The round utilizes smokeless powder as the propellant, and therefore, has velocities that are extremely consistent. It is used for crowd control, patrol, and tactical applications. Part Number 6325. Quantity: 41 Purchase Price: $26.50 each Purpose: To limit the escalation of conflict where employment of lethal force is prohibited or undesirable. Authorized Use: Situations for use of the less lethal weapon systems may include, but are not limited to: (a)Self-destructive, dangerous and/or combative individuals. (b)Riot/crowd control and civil unrest incidents. (c)Circumstances where a tactical advantage can be obtained. (d)Potentially vicious animals. (e)Training exercises or approved demonstrations. Training: Sworn members utilizing 40mm less lethal chemical agents or impact rounds must first be trained in their use by POST certified less lethal and chemical agent instructors. Expected Life Span: Defense Technology Launchers - 25 years, Rounds - 5 years. Fiscal Impact: Annual maintenance is approximately $50 for each launcher. Legal and Procedural Rules: Use is established under Policy 302.7.2. It is the policy of the Seal Beach Police Department to utilize the 40mm only for official law enforcement purposes, and pursuant to State and Federal law, including laws regarding the use of force. 3. Less Lethal Shotgun Less Lethal Shotgun is used to deploy the less lethal 12-gauge Super-Sock Beanbag Round. Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 7 Current Inventory: REMINGTON 870 LESS LETHAL SHOTGUN Description: The Remington 870 Less Lethal Shotgun is used to deploy the less lethal 12- gauge Super-Sock Beanbag Round up to a distance of 75 feet. The range of the weapon system helps to maintain space between officers and a suspect reducing the immediacy of the threat which is a principle of De-escalation. Quantity: 13 Purchase Price: $946 each Drag Stabilized 12-GAUGE BEANBAG ROUND Description: A less lethal 2.4-inch 12-gauge shotgun round firing a ballistic fiber bag filled with 40 grams of lead shot at a velocity of 270-290 feet per second (FPS). Drag Stabilized rounds are discharged from a dedicated 12-gauge shotgun that is distinguishable by an orange butt stock and fore grip. This round provides accurate and effective performance when fired from the approved distance of not fewer than five (5) feet. The maximum effective range of this munition is up to 75 feet from the target. The Drag Stabilized Model is in its deployed state immediately upon exiting the barrel. It does not require a minimum range to "unfold" or "stabilize." The Drag Stabilized Model is an aerodynamic projectile. However, accuracy is relative to the shotgun, barrel length, environmental conditions, and the operator. The Drag Stabilized Model is very accurate. However, effectiveness depends on many variables, such as distance, clothing, stature, and the point where the projectile impacts. Quantity: 317 Purchase Price: $5 each Purpose: To limit the escalation of conflict where employment of lethal force is prohibited or undesirable. Authorized Use: Situations for use of the less lethal weapon systems may include, but are not limited to: (a)Self-destructive, dangerous and/or combative individuals. (b)Riot/crowd control and civil unrest incidents. (c)Circumstances where a tactical advantage can be obtained. (d)Potentially vicious animals. (e)Training exercises or approved demonstrations. Expected Life Span: Remington 870 Less Lethal Shotgun- 25 years, Drag Stabilized 12-Gauge beanbag round - no listed expiration date. Fiscal Impact: Annual maintenance is approximately $50 for each shotgun. Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 8 Training: All officers must first be trained in the 12 gauge less lethal shotgun as a less lethal option by in-service training. SWAT personnel receive additional training internally when they transfer to the unit. SWAT operators who utilize these munitions must have been through and successfully completed a POST approved gas school and/or trained in house by POST certified chemical agent instructors for muzzle blast training. Legal and Procedural Rules: Use is established under Policy 305.4.2. It is the policy of the Seal Beach Police Department to utilize the less lethal shotgun only for official law enforcement purposes, and pursuant to State and Federal law, including laws regarding the use of force. 4. Rifles Firearm designed and intended to be fired from the shoulder and designed to use the energy in a fixed metallic cartridge to fire only a single projectile through a rifled bore for each single pull of the trigger. Current Inventory: Colt AR-15 223 16" Description: lightweight, magazine-fed, gas-operated semi-automatic rifle. Caliber 223, 16- inch barrel. Quantity: 37 Purchase Price: $846.56 per firearm Colt AR-15 223 Short Barrel Rifle (SBR) Description: lightweight, magazine-fed, gas-operated semi-automatic rifle. Caliber 223, 16- inch barrel. Quantity: 3 Purchase Price: $1,223.64 per firearm Geissele AR-15 223 14.5 SBR Description: lightweight, magazine-fed, gas-operated semi-automatic rifle. Caliber 223, 14.5- inch barrel. Quantity: 5 Purchase Price: $750 per firearm Geissele AR-15 5.56 10.3 SBR Description: lightweight, magazine-fed, gas-operated semi-automatic rifle. Caliber 5.56, 10.3- inch barrel. Quantity: 6 Purchase Price: $925 per firearm Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 9 H&K MP-7 4.6X30 7.1" Description: lightweight, magazine-fed, gas-operated semi-automatic rifle. Chambered for the HK 4.6×30mm armor-piercing cartridge designed by manufacturer Heckler & Koch. 7.1- inch barrel. Quantity: 2 Purchase Price: $1,852.20 per firearm Winchester.223 Remington 55GR silver tip rifle round Description:.223 Remington caliber, Fragmenting Polymer Tip (FPT), 55 grain bullet weight, brass cartridge case material. Quantity: 3,680 Purchase Price: $802.74 (price per 1,000) Winchester.223 Remington 55GR frangible rifle round Description:.223 Remington caliber, Frangible, 55 grain bullet weight, brass cartridge case material. Quantity: 1,900 Purchase Price: $668.05 (price per 1,000) Winchester 5.56 MM 55GRFull Metal Jacket (FMJ) rifle round Description: 5.56 MM caliber, Full Metal Jacket (FMJ), 55 grain bullet weight, brass cartridge case material. Quantity: 6,000 Purchase Price: $392.21 (price per 1,000) L-Tech 4.6 x 30MM 31GR Frangible rifle round Description: 4.6x30MM caliber, Frangible, 31 grain bullet weight. Quantity: 4,800 Purchase Price: $437.50 (price per 1,000) L-Tech 4.6 x 30MM 31GR OTM Description: 4.6x30MM caliber, Open Tip Match (OTM), 31 grain bullet weight. Quantity: 880 Purchase Price: $572.00 (price per 1,000) Purpose: To be used as precision weapons to address a threat with more precision and/or greater distances than a handgun, if present and feasible. Authorized Use: Only members that are POST certified are authorized to use a rifle. Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 10 Expected Life Span: No expiration date. Fiscal Impact: Annual maintenance is approximately $50 for each rifle. Training: Prior to using a rifle, officers must be certified by POST instructors in the operation of the rifle. Additionally, all members that operate any rifle are required to pass a range qualification two times a year. Legal and Procedural Rules: Use is established under Policy 305.4.3. It is the policy of the SBPD to utilize rifles only for official law enforcement purposes, and pursuant to State and Federal laws regarding the use of force. 5. PepperBall Launcher A device that discharges irritant projectiles. Current Inventory: Tippmann PepperBall Gun Description: A compressed-air powered launcher designed to fire non-lethal PepperBall projectiles. Quantity: 2 Purchase Price: $1,146.50 PepperBall LIVE-X PROJECTILE Description: The Live Projectile contains a concentrated amount of PAVA pepper powder. One round of LIVE-X contains the equivalent to 10 PepperBall rounds. Discharged from a PepperBall Launcher, the projectile has a velocity of 280-350 FPS. The projectile has a direct impact of 60ft and an area of saturation of 150+ft. The projectile contains 5% PAVA Powder. Quantity: 340 Purchase Price: $3 per projectile Purpose: To limit the escalation of conflict where employment of lethal force is prohibited or undesirable. Situations for use of the less lethal weapon systems may include but are not limited to: (a)Self-destructive, dangerous and/or combative individuals. (b)Riot/crowd control and civil unrest incidents. (c)Circumstances where a tactical advantage can be obtained. (d)Potentially vicious animals. (e)Training exercises or approved demonstrations. Authorized Use: Only those officers who have been trained in the use of PepperBall launchers are authorized to use the PepperBall launchers. Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 11 Training: Only sworn members may utilize PepperBall launchers and projectiles and must first be trained in their use by POST certified less lethal and chemical agent instructors. Expected Life Span: (a)Tippmann PepperBall Gun - 20 years (b)PepperBall Live-X Projectile - 3 years Fiscal impact: Annual maintenance is approximately $50 for each PepperBall launcher. Legal and Procedural Rules: Use is established under Policy 302.7.2. It is the policy of the SBPD to utilize PepperBall only for official law enforcement purposes, and pursuant to State and Federal law, including laws regarding the use of force. 706.10 MILITARY SWAT EQUIPMENT INVENTORY The Seal Beach Police Department participates in the West County Special Weapons and Tactics (SWAT) team, a regional SWAT and Crisis Negotiation Team (CNT) with Officers from the cities of Seal Beach, Los Alamitos, Cypress, Fountain Valley, and Westminster. The following constitutes an inventory of previously purchased equipment known to be owned and/ or utilized by law enforcement units with which the Seal Beach Police Department collaborates and/or participates for law enforcement purposes, which are deemed to be military and militaristic as defined by this policy. The equipment in this section is primarily used by the members of the West County SWAT Team. 1. Armored Vehicles Commercially produced wheeled armored personnel vehicle utilized for law enforcement purposes. Current Inventory: LENCO BEARCAT G2 Description: Armored vehicle that seats 10-12 personnel with open floor plan that allows for rescue of down personnel. It can stop various projectiles, which provides greater safety to citizens and officers beyond the protection level of shield and personal body armor, VIN FDAF5HT2BEC98082. Quantity: 1 Purchase Price: Refer to Westminster Police Department policy Purpose: To be used in response to critical incidents to enhance officer and community safety, improve scene containment and stabilization, and assist in resolving critical incidents. Authorized Use: The use of armored vehicles shall only be authorized by a watch commander or SWAT commander, based on the specific circumstances of a given critical incident. Armored vehicles shall be used only by officers trained in their deployment and in a manner consistent with Department policy and training. Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 12 Expected Lifespan: 25 years. Fiscal Impact: Annual maintenance cost of approximately $10,000. Training: All driver/operators must first attend formalized instruction and be trained in vehicle operations and practical driving instruction. Legal and Procedural Rules: It is the policy of the Department to utilize armored vehicles only for official law enforcement purposes, and pursuant to State and Federal law. Other Notes: The bearcat was obtained through the UASI group procurement process in 2012. The vehicle is currently stored at Westminster Police Department and used by the West County SWAT during training and SWAT operations for the region. 2. Mobile Command Post Vehicle (MCP) A vehicle used mobile office that provides shelter, access to Department computer systems, and restroom facilities during extended events. Current Inventory: Freightliner M2 106 vehicle Description: The MCP can also be utilized for SWAT/CNT and other critical incidents, preplanned large events, searching for missing persons, natural disasters, and community events. Quantity: 1 Purchase Price: Refer to Cypress Police Department policy Purpose: To be used based on the specific circumstances of a given critical incident, large event, natural disaster, or community event that is taking place. Authorized Use: Only officers trained in their deployment and operations in a manner consistent with Department policy and training are authorized to operate the MCP. Furthermore, only officers who have completed the California State Class B Commercial driving school and become properly licensed will be allowed to drive the MCP. Situations which the MCP is authorized for use would include but not be limited to critical incidents, emergencies, and natural disasters. Expected Lifespan: The MCP, 20-year lifespan on chassis and vehicle structure. Upgrades needed in 7 years to maintain IT systems. Fiscal Impact: Annual maintenance cost is approximately $1,000. Cost-sharing for the vehicle is administered by the Cypress Finance Department and each city is billed a third of costs associated with the annual vehicle maintenance and technology service fees. Training: The driver/operator must first receive training in the safe handling of the vehicle on a closed training course. Once the operator has shown competence in vehicle handling, the driver/ operator will drive the vehicle throughout the city with an experienced driver. Driver/operators shall Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 13 also undergo California Department of Motor Vehicles commercial vehicle testing and possess a Class B driver's license. Legal and Procedural Rules: It is the policy of the Department to use the MCP only for official law enforcement purposes, and in accordance with California State law regarding the operation of motor vehicles. Other Notes: After the City of Anaheim UASI group completed the procurement process and the vehicle was built, the City of Cypress took delivery of the MCP on April 19, 2007. The City of Cypress entered into an agreement with the cities of Los Alamitos and Seal Beach to accept, house, utilize and cost-share repairs and routine maintenance for the regional MCP vehicle. The vehicle is currently housed inside a City of Seal Beach fire station (OCFA station #48) and is utilized by all three cities for special events that include DUI checkpoints, public relations presentations, and emergency incidents. The vehicle is also the primary command and control platform for West County S.W.A.T. during training and S.W.A.T. operations for the region. The vehicle is staffed with a team of City employees and designated volunteers from all three cities including the West Cities Police Dispatch Communications Center. Cost-sharing for the vehicle is administered by the Cypress Finance Department and each city is billed a third of costs associated with the annual vehicle maintenance and technology service fees. 3. Light Sound Diversionary Devices (LSDD) A device used to distract dangerous persons. Current Inventory: COMBINED TACTICAL SYSTEMS (CTS), MODEL 7290 FLASH BANG Description: This is the standard diversionary flash-bang device. It is non-bursting, non- fragmenting single use device that produces a 175db and 6-8 million candela of light output. It is ideal for distracting potentially dangerous suspects during assaults, hostage rescue, building/room entry or other high-risk arrest situations. Quantity: 1 Purchase Price: $45 each DEFENSE TECHNOLOGY, NO. 15 STINGER GRENADE Description: This is a hand-held, hand-thrown grenade and has an initial 1 second delayed fuse. Once the fuse is discharge at a low speed, the main charge detonates to produce a loud sound and bright flash of light, and the distribution of approximately 180 rubber pellets of.32 caliber size are expelled from the grenade, and the pellets can travel up to 50 ft. from the point of detonation. Quantity: 15 Purchase Price: $36 each Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 14 Purpose: A diversionary device is ideal for distracting dangerous suspects during assaults, hostage rescue, room entry or other high-risk arrest situations. To produce atmospheric overpressure and brilliant white light and, as a result, can cause short-term (6 - 8 seconds) physiological/psychological sensory deprivation to give officers a tactical advantage. Authorized Use: Diversionary Devices shall only be used: (a)By officers who have been trained in their proper use. (b)In hostage and barricaded subject situations. (c)In high-risk warrant (search/arrest) services where there may be extreme hazards to officers. (d)During other high-risk situations where their use would enhance officer safety. (e)During training exercises. Expected Lifespan: Until used. Fiscal Impact: No annual maintenance. Training: Prior to use, officers must attend diversionary device training that is conducted by POST certified instructors. Legal and Procedural Rules: Use is established under Policy 302.6. It is the policy of the SBPD to utilize diversion devices only for official law enforcement purposes, and pursuant to State and Federal law regarding the use of force. Other Notes: This equipment is owned and operated by West County SWAT through the Cypress Police Department, which could result in its deployment and/or use in the City of Seal Beach. 4. Chemical Agent and Smoke Canisters Canisters that contain chemical agents that are released when deployed. Current Inventory: DEFENSE TECHNOLOGY, DIRECT IMPACT 40MM CS ROUND Description: The Direct Impact 40MM CS munition is a point-of-aim, point-of-impact direct- fire round. The munition can be used to incapacitate a single subject or control a crowd. The munition is loaded with CS powder and is combined with lightweight, high-speed crushable foam projectile for maximizing the potential for incapacitation. Part Number 6322. Quantity: 4 Purchase Price: $26.50 each DEFENSE TECHNOLOGY, DIRECT IMPACT 40MM OC ROUND Description: The 40MM Direct Impact OC munition is a point-of-aim, point-of-impact direct- fire round. The munition is loaded OC powder and is combined with a lightweight, high-speed projectile consisting of a plastic body and crushable foam nose. Part Number 6320. Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 15 Quantity: 5 Purchase Price: 26.50 each DEFENSE TECHNOLOGY, FLAMELESS TRI-CHAMBER CS GRENADE Description: The design of the Tri-Chamber Flameless CS Grenade allows the contents to burn within an internal can and disperse the agent safely with reduced risk of fire. The grenade is designed primarily for indoor tactical situations to detect and/or dislodge a barricaded subject. This grenade will deliver 20 grams of agent during its 20-30 seconds burn time. The device is not launchable. Part Number 1032. Quantity: 2 Purchase Price: $34.94 each DEFENSE TECHNOLOGY SPEDE-HEAT CS GRENADE Description: The Spede-Heat CS Grenade is a high volume, continuous burn munition. It expels a CS payload of 81.2 grams in approximately 20-40 seconds. The CS is discharged through four gas ports on top of the canister, three gas ports on the side, and one gas port on the bottom. The device is launchable. Part Number 1072. Quantity: 15 Purchase Price: $28.30 each DEFENSE TECHNOLOGY CS TRIPLE-CHASER SEPARATING CANISTER Description: The Triple-Chaser separating CS consists of three separate canisters pressed together with separating charges between each section (canister). When deployed, this grenade will separate into three (3) distinct sub-munitions, spaced approximately 20ft. apart. This allows increased area coverage in a short period of time, from one deployment. Terrain and surface conditions can affect the distance of the separating sub-munitions. The device is specifically designed for outdoor use in crowd control situations. The separating function and relatively quick burn time minimizes the potential of a "throwback" from hostile or combative subjects. The munition is launchable. Part Number 1026. Quantity: 1 Purchase Price: $44.89 each DEFENSE TECHNOLOGY 40MM CS FERRET POWDER BARRICADE PENETRATING PROJECTILE ROUND Description: The 40MM CS Ferret Powder munition is a barricade penetrating round filled with a CS Powder chemical agent. It is a frangible projectile that is spin stabilized utilizing barrel rifling of the 40MM launcher. It is non-burning and designed to penetrate barriers. It is primarily used to dislodge barricaded subjects and can also be used for area denial. It is used by tactical teams to penetrate barriers such as windows, hollow core doors, wallboard (drywall), and thin plywood. Upon impact, the nose ruptures and instantaneously delivers Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 16 the agent payload inside of a structure of vehicle. The active CS agent is 7.6 grams and instantaneously discharges on impact. Part Number 2292. Quantity: 7 Purchase Price: $20.91 each DEFENSE TECHNOLOGY 40MM CS FERRET LIQUID BARRICADE PENETRATING PROJECTILE ROUND Description: The 40MM CS Ferret Liquid munition is a frangible projectile filled with chemical agent. It is designed to deliver chemical agents in barricade situations from a 40mm launcher. Spin stabilization from barrel rifling affords maximum stand-off distance and accuracy for safety. The munition is non-burning and suitable for indoor use. It is designed to penetrate barriers, such as windows, hollow core doors, wallboard, and thin plywood. Upon impacting the barrier, the nose cone ruptures and instantaneously delivers a small chemical payload inside of a structure or vehicle. The active CS agent is 27.6 grams and instantaneously discharges on impact. Part Number 2262. Quantity: 7 Purchase Price: $21.53 each DEFENSE TECHNOLOGY CS RIOT CONTROL CONTINUOUS DISCHARGE GRENADE Description: The Riot Control CS Grenade is designed specifically for outdoor use in crowd control situations with a high volume continuous burn that expels its payload in approximately 20-40 seconds through four gas ports located on the top of the canister. This grenade can be used to conceal tactical movement or to route a crowd. The volume of smoke and agent is vast and obtrusive. This launchable grenade is 6.0 in. by 2.35 in. and holds approximately 0.88oz. of active agent. Quantity: 15 Purchase Price: $32.70 DEFENSE TECHNOLOGY POCKET TACTICAL CS GRENADE Description: The Pocket Tactical CS Grenade is small, and lightweight. The 0.9 oz. of active agent will burn approximately 20-40 seconds. At 4.75 in. by 1.4 inches in size, it easily fits in most tactical pouches. This is a launchable grenade; however it is normally used as a signaling or covering device. Though this device is slightly over four inches in length, it produces a smoke cloud so fast it appears to be an enveloping screen produced by a full size tactical grenade. Quantity: 15 Purchase Price: $31.25 Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 17 Purpose: To limit the escalation of conflict where employment of lethal force is prohibited or undesirable. Situations for use of the less lethal weapon systems may include, but are not limited to: (a)Self-destructive, dangerous and/or combative individuals. (b)Riot/crowd control and civil unrest incidents. (c)Circumstances where a tactical advantage can be obtained. (d)Potentially vicious animals. (e)Training exercises or approved demonstrations. Authorized Use: Only officers who have received POST certification in the use chemical agents are authorized to use chemical agents. Training: Sworn members utilizing chemical agent canisters must first be certified by POST less lethal and chemical agent instructors. Expected Lifespan: 5 years from manufacturing date. Fiscal Impact: No annual maintenance. Legal and Procedural Rules: Use is established under the Seal Beach Police Department Chemical Agent Policy 302.7.2. It is the policy of the SBPD to utilize chemical agents only for official law enforcement purposes, and pursuant to State and Federal law, including those regarding the use of force. Other Notes: This equipment is owned and operated by Seal Beach Police Department and used by the West County SWAT during training and SWAT operations for the region. 5. Kinetic Breaching Tools Tools that are used to conduct a kinetic breach. The tool utilizes a self contained impact ram that has no projectiles or explosive pressures exiting the tool. Current Inventory: Kinetic Breaching Tool (KBT) Model 3-1000 Description: The KBT is a powder actuated kinetic energy forced entry tool. It utilizes a crimped blank explosive charge which drives a captive steel impact plate directed at the breach point. The impact plate extends forward out of the clamshell shroud and impacts against the target with a high level of kinetic energy to defeat the entry point or fortification. The impact plate automatically retracts and is reset in the breaching device. The KBT uses semi-automatic cycling, allowing repeated strikes on hardened or multiple targets. The KBT's intended use is for forced entry during high-risk operations with secure entry points and is designed to be operated by a single officer/tactical team member. The KBT weighs 28 lbs. dimensions are 35 in. x 9.9 in. x 9.3 in. and has an audible report of 115 dB. The KBT utilizes a proprietary blank cartridge to deliver up to 850 ft. lbs. of kinetic energy through the steel Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 18 ram. There is no projectile or explosive energy that leaves the device except for the force of the ram, which is permanently captured in the breaching device. Quantity: 1 Purchase Price: $10,494.38 each Purpose: To safely gain entry into a structure. Authorized Use: Explosive breaching may only occur after authorization by the Incident Commander or SWAT Commander in the field, and during training exercises. Expected Lifespan: (a)Kinetic Breaching Tool (KBT) - 30 years (b)Blank cartridges – 5 years (preferably rotate rounds within 1 year) Fiscal Impact: No annual maintenance. Training: All officers who use explosive breaching tools shall first attend 40 hours of explosive breaching instruction and must additionally receive quarterly training for explosive operations. Legal and Procedural Rules: It is the policy of the Seal Beach Police Department to utilize breaching tools only for official law enforcement purposes, and pursuant to State and Federal law. Other Notes: This equipment is owned and operated by Seal Beach Police Department and used by the West County SWAT during training and SWAT operations for the region. 6. Long Range Acoustic Device (LRAD) A high intensity directional acoustical array for long-range, crystal-clear hailing, notification, and an unmistakable warning tone. The LRAD is primarily used as a communication device. Current Inventory: Genasys Long-Range Acoustic Device (LRAD) Model 500X Description: The Genasys Long-Range Acoustic Device (LRAD) is a public address system optimized to the primary range of hearing. The LRAD system can deliver a live or recorded voice message with clarity for any operational scenario. LRAD's advanced driver and waveguide technology ensures every broadcast is clearly heard and understood, even above crowd, engine, and background noise. The LRAD 500X is compact, lightweight, and designed for applications ranging from fixed security installations to vehicles and vessels. The 500X is easily mounted and transportable to provide law enforcement long-range communication and safe, scalable non-kinetic escalation of force. The audible range of the LRAD 500X can reach up to 6,561 ft. American Technology Corp. Serial Number: 05984 UASI ASAUA/DHS Number 11-00456. Quantity: 1 Purchase Price: Refer to Westminster Police Department policy Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 19 Purpose: To be used to issue dispersal orders during crowd and riot control situations or to address the public in the event of civil emergencies, natural disasters, evacuations, and police incidents (e.g., missing persons, perimeters for wanted suspects/ K9 deployments, etc.). The LRAD may also be used to issue a warning tone. Authorized Use: LRAD use may only occur after the authorization of the Incident Commander or SWAT Commander in the field and/or during training exercises by personnel trained to operate the LRAD. Expected Lifespan: 25 years with proper maintenance Fiscal Impact: No annual maintenance. Training: Only officers trained in the use of the LRAD are authorized to set up and operate the device. Legal and Procedural Rules: It is the policy of the Seal Beach Police Department to utilize the Long-Range Acoustic Device (LRAD) only for official law enforcement purposes, and pursuant to State and Federal Law. Other Notes: This equipment is owned and operated by West County SWAT through the Westminster Police Department, which could result in its deployment and/or use in the City of Seal Beach. 7. Robots A remotely controlled unmanned machine that operates on the ground, which is utilized to enhance the safety of the community and officers. Current Inventory: TRANSCEND Vantage Patrol Robot Description: Transcend's Vantage robot is the world's only double-patented automatic stair and obstacle climbing robot for First Responders. It's the only option for First Responders that want their robot to "just figure it out" on the first attempt to climb stairs, clothes, and junk without the burden of tedious manual controls associated with flippers and other limb systems. This means the Vantage can be used without prior training to enter a house or building to see, hear and learn what's happening before sending officers inside. Cameras: Drive Camera (Night Vision), Pan Tilt Zoom (25x zoom, 90/15 degree up/down tilt, auto infrared night vision), FLIR Thermal. 3 hours constant driving, 12 hours monitoring / intermittent driving. 100+ lb. payload, zero degree turning radius, two-way audio (push to talk), key ignition, easy battery swapping (robot and controller). Quantity: 1 Purchase Price: Refer to Westminster Police Department policy Purpose: To be used to remotely gain visual/audio data, deliver HNT phone, open doors, disrupt packages, and clear buildings. Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 20 Authorized Use: Only assigned operators who have completed the required training shall be permitted to operate the robot(s) identified above. Use is established by the Bomb Squad Commander or Incident Commander. Expected Lifespan: 8 to 10 years. Fiscal Impact: Annual maintenance and battery replacement cost is approximately $500. Training: All robot operators must first complete the FBI's 6-week hazardous device school prior to operating the robot(s) identified above. Legal and Procedural Rules: It is the policy of the SBPD to utilize a robot only for official law enforcement purposes, and in a manner that respects the privacy of our community, pursuant to State and Federal law. Other Notes: This equipment is owned and operated by West County SWAT through the Westminster Police Department, which could result in its deployment and/or use in the City of Seal Beach. 706.11 APPROVAL The Chief of Police or the authorized designee shall obtain approval from the City Council by way of an ordinance adopting the military equipment policy. As part of the approval process, the Chief of Police or the authorized designee shall ensure the proposed military equipment policy is submitted to the City Council and is available on the Department website at least 30 days prior to any public hearing concerning the military equipment at issue (Government Code § 7071).The military equipment policy must be approved by the City Council prior to engaging in any of the following (Government Code § 7071): (a)Requesting military equipment made available pursuant to 10 USC § 2576a. (b)Seeking funds for military equipment, including but not limited to applying for a grant, soliciting, or accepting private, local, state, or federal funds, in-kind donations, or other donations or transfers. (c)Acquiring military equipment either permanently or temporarily, including by borrowing or leasing. (d)Collaborating with another law enforcement agency in the deployment or other use of military equipment within the jurisdiction of this Department. (e)Using any new or existing military equipment for a purpose, in a manner, or by a person not previously approved by the City Council. (f)Soliciting or responding to a proposal for, or entering into an agreement with, any other person or entity to seek funds for, apply to receive, acquire, use, or collaborate in the use of military equipment. (g)Acquiring military equipment through any means not provided above. Seal Beach Police Department Seal Beach PD Policy Manual Military Equipment Copyright Lexipol, LLC 2024/01/15, All Rights Reserved. Published with permission by Seal Beach Police Department Military Equipment - 21 706.12 COORDINATION WITH OTHER JURISDICTIONS Military equipment used by any member of this Department shall be approved for use and in accordance with this Department policy. Military equipment used by other jurisdictions that are providing mutual aid to this Department shall comply with their respective military equipment use policies in rendering mutual aid. 706.13 MAINTENANCE OF MILITARY EQUIPMENT SUPPLY LEVELS When stocks of military equipment ammunition have reached significantly low levels or have been exhausted, the Department may order up to 10% of stock in a calendar year without City Council approval to maintain essential availability for the Department's needs. Seal Beach Police Department is authorized to acquire additional stock of items listed here from other law enforcement agencies or California Office of Emergency Services (Cal OES) in the event of an emergency when approved by the Chief of Police or designee. QUOTE DATE:01/17/2024 PHONE:FAX: NOTES: PRICES PER THOUSAND ROUNDS Camren, See above for your quote, and let me know if you have any questions. At this time (which can change quickly) the ammo quoted for W ill Call is currently available for pickup after order finalization. Prices are valid if a signed quote or agency PO is received before 01/19/2024 (but availability may change before then). Barbara Price Quote Ship To: Here are the requested prices: SUBTOTAL: TAX*:TAX RATE: TOTAL: SEAL BEACH POLICE DEPT. PETE KROK / CAMREN WIGHT 911 SEAL BEACH BLVD. SEAL BEACH CA 90740 (562) 799-4100 (562) 431-4874 $3,672.00 $284.58 $0.00 $3,956.58 7.7500% SHIPPING: QUOTE #:023593 Cust. ID #: 000472 PO# (if appl.)________________Authorization Signature ____________________________ Name & Title __________________________________ TERMS:Net 30 Quote is for official department use only Type: FET OUT - Agency To proceed with the order as quoted, please confirm the details above, and sign & complete below: Date ______________________ ORANGECounty: Will Call Pickup Date__________________________ QUANTITY SYMBOL DESCRIPTION PRICE EXTENSION $0.00 $0.00 8.000 Q3131K 5.56mm 55gr. Full Metal Jacket $459.00 $3,672.00 Agenda Item H AGENDA STAFF REPORT DATE:February 12, 2024 TO:Honorable Mayor and City Council THRU:Jill R. Ingram, City Manager FROM:Iris Lee, Director of Public Works SUBJECT:Awarding and Authorizing Execution of a Public Works Agreement with R.I.C. Construction Co., Inc. for the West End Pump Station VFD Replacement Project, CIP SD2401/BG2401ex101-WEPS ________________________________________________________________ SUMMARY OF REQUEST: That the City Council adopt Resolution 7486: 1. Approving the plans, specifications, and contract documents for West End Pump Station VFD Replacement Project, CIP SD2401/BG2401ex101- WEPS; and, 2. Approving and awarding a Public Works Agreement to R.I.C. Construction Co., Inc. in the amount of $222,144.00, and rejecting all other bids; and, 3. Authorizing the City Manager to execute a Public Works Agreement for construction services to R.I.C. Construction Co., Inc.; and, 4. Authorizing the City Manager to approve additional work requests up to $22,144.00 and inspection services up to $5,856.00 in connection with the Project, in the cumulative not-to-exceed amount of $28,000.00. BACKGROUND AND ANALYSIS: The City of Seal Beach drainage system consists of City-owned facilities as well as regional facilities owned and operated by the Orange County Flood Control District. The City-owned facility is the West End Pump Station (“WEPS”) and is located east of the San Gabriel River, between the Seal Beach Shores community and the Eaves by Avalon community. This critical storm water conveyance facility serves approximately 173 acres of primarily residential and partially commercial land uses in the Marina Hill North, Old Town and Bridgeport communities. During rain events, the WEPS is what prevents flooding in this part of town. Page 2 1 7 1 9 As with all utility facilities, even with routine maintenance being completed, major replacements become necessary as the facility ages. Staff recommended replacing a WEPS variable frequency drive (VFD), as it is an integral part of the system that can extend the life of the station by reducing power consumption and wear-and-tear on the pump motor. On May 23, 2022, the City Council adopted Resolution 7289 amending Tetra Tech’s agreement to provide design services to upsize one of the VFDs at WEPS. On December 21, 2023, staff solicited public bids via PlanetBids. Two (2) mandatory pre-bid meetings were held at the Project site with a total of eight (8) potential bidders in attendance. On January 11, 2024, the City Clerk received and opened three (3) bid proposals as listed below: Rank Contractor Total Base Bid Low R.I.C. Construction Co., Inc.$ 222,144.00 2nd R2Build dba R2B Engineering $ 349,000.00 3rd RAM Air Engineering $ 577,000.00 The determination of the lowest apparent bidder is based on the Total Base Bid amount, which staff has evaluated and found to be appropriate and competitive with industry standards. Based upon staff’s review of references, qualifications, work experience, and cost, R.I.C. Construction Co., Inc. (“R.I.C. Construction”) has been deemed as the lowest responsible bidder with a Total Base Bid of $222,144.00. Staff, therefore, recommends awarding the Project to R.I.C. Construction and rejecting all other bids. The VFD order will be placed upon agreement execution. Anticipated lead time is approximately twelve (12) to twenty-four (24) months. ENVIRONMENTAL IMPACT: The Project complies with all requirements of the California Environmental Quality Act (CEQA) and is categorically exempt under Section 15301(b) of the CEQA Guidelines. LEGAL ANALYSIS: The City Attorney has reviewed the agreement and approved the resolution as to form. Page 3 1 7 1 9 FINANCIAL IMPACT: Sufficient funding has been allocated in the FY 2023-24 Capital Improvement Program budget. No budget adjustments are recommended and unused funds will be returned to the original funding source. The table below represents a breakdown of the total project funding: Description Account Amount CIP SD2401 301-500-0333-55000 $150,360.62 CIP BG2401ex101-WEPS 301-500-0333-55000 $ 99,783.38 Total $250,144.00 The table below represents the estimated breakdown of the Project construction costs: Description Amount Total Base Bid $222,144.00 Contingency $ 22,144.00 Inspection $ 5,856.00 Total $250,144.00 STRATEGIC PLAN: This item is not applicable to the Strategic Plan. RECOMMENDATION: That the City Council adopt Resolution 7486: 1. Approving the plans, specifications, and contract documents for West End Pump Station VFD Replacement Project, CIP SD2401/BG2401ex101- WEPS; and, 2. Approving and awarding a Public Works Agreement to R.I.C. Construction Co., Inc. in the amount of $222,144.00, and rejecting all other bids; and, 3. Authorizing the City Manager to execute a Public Works Agreement for construction services to R.I.C. Construction Co., Inc.; and, 4. Authorizing the City Manager to approve additional work requests up to $22,144.00 and inspection services up to $5,856.00 in connection with the Project, in the cumulative not-to-exceed amount of $28,000.00. Page 4 1 7 1 9 SUBMITTED BY: NOTED AND APPROVED: Iris Lee Jill R. Ingram Iris Lee, Director of Public Works Jill R. Ingram, City Manager Prepared by: Kathryne Cho, Deputy Director of Public Works/City Engineer ATTACHMENTS: A. Resolution 7486 B. Public Works Agreement with R.I.C. Construction Co., Inc. RESOLUTION 7486 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL AWARDING AND AUTHORIZING THE CITY MANAGER TO EXECUTE A PUBLIC WORKS AGREEMENT WITH R.I.C. CONSTRUCTION CO., INC. FOR THE WEST END PUMP STATION VFD REPLACEMENT PROJECT, CIP SD2401/BG2401EX101-WEPS WHEREAS, the City of Seal Beach drainage system consists of City-owned facilities as well as regional facilities owned and operated by the Orange County Flood Control District; and, WHEREAS, the West End Pump Station (“WEPS”), owned and operated by the City, is located east of the San Gabriel River, between the Seal Beach Shores Community and the Eaves by Avalon Community; and, WHEREAS, WEPS is a critical storm water conveyance facility that serves the Old Town, Bridgeport, and The Hill areas; and, WHEREAS, the City desires to upsize one of the WEPS variable frequency drives (“VFD”); and, WHEREAS, on May 23, 2022, the City Council adopted Resolution 7289 amending Tetra Tech’s agreement to provide West End Pump Station VFD Replacement Project (“Project”) design services; and, WHEREAS, on December 21, 2023, staff solicited public bids for the Project via PlanetBids; and, WHEREAS, on January 11, 2024, the City Clerk received and opened three (3) bids; and, WHEREAS, upon reviewing the Notice Inviting Bids and Instructions to Bidders, the bids submitted for the work to be performed pursuant to the Agreement and the plans and specifications, the City Council finds that R.I.C. Construction Co., Inc. is a qualified firm to perform the Project. NOW, THEREFORE, THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE: SECTION 1. The City Council hereby approves the plans, specifications, and contract documents for the Project. SECTION 2. Based on the recitals set forth above, the City Council hereby awards 8 7 1 9 a public works agreement to R.I.C. Construction Co., Inc. for the West End Pump Station VFD Replacement Project, CIP SD2401/ BG2401ex101-WEPS, in a total not-to-exceed amount of $222,144; and rejects all other bids. SECTION 3. The City Council hereby authorizes and directs the City Manager to execute the public works agreement with R.I.C. Construction Co., Inc. on behalf of the City. SECTION 4. The City Council hereby authorizes the City Manager to approve payments for additional work requests up to $22,144 and inspection services up to $5,856 in connection with the Project in the cumulative not-to-exceed amount of $28,000. PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 12th day of February 2024 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Schelly Sustarsic, Mayor ATTEST: Gloria D. Harper, City Clerk 8 7 1 9 STATE OF CALIFORNIA } COUNTY OF ORANGE } CITY OF SEAL BEACH } I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7486 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 12th day of February 2024. Gloria D. Harper, City Clerk PUBLIC WORKS AGREEMENT WEST END PUMP STATION VFD REPLACEMENT PROJECT CIP NO. SD2401/ BG2401ex101-WEPS between City of Seal Beach 211 - 8th Street Seal Beach, CA 90740 & R.I.C. Construction Co., Inc. 10675 E Ave. Ste #1 Hesperia, CA 92345 (760) 244-7749 (760) 244-1419 - FAX THIS CONTRACT (“Contract”) is made as of February 12, 2024, by and between the City of Seal Beach, a California charter city (“City”), and R.I.C. Construction Co., Inc., a California corporation (“Contractor”) (collectively, “the parties” and individually, a “party”). IN WITNESS WHEREOF, the parties, through their respective authorized representatives, have executed this Contract as of the date first written above. CONTRACTOR: By: -��), '-:/ !t. ""S U Name: D VJ 71 le-I [\1 ll n-9 r. Id Title: \1 !. ( '�= pf f S 1ej-ey) t· By: Jld-.C Lt !cry# Name: Dc1nld \'v 1rngc id Title: ,eC t e j "Z) \ -�(Please note, two signatures reqtired for corporations pursuant to California Corporations Code Section 313. 14 CITY OF SEAL BEACH By: ___________________________ Jill R. Ingram, City Manager Attest: By: ___________________________ Gloria D. Harper, City Clerk Approved as to Form: By: ___________________________ Nicholas R. Ghirelli, City Attorney Bond No. __________ PERFORMANCE BOND KNOW ALL PERSONS BY THESE PRESENTS that: WHEREAS the City of Seal Beach (“City”), has awarded to (“Principal”) (Name and address of Contractor) a contract (the “Contract”) for the Work described as follows: WEST END PUMP STATION VFD REPLACEMENT (SD2401/BG2401ex101-WEPS) (Project name) WHEREAS, Principal is required under the terms of the Contract to furnish a Bond for the faithful performance of the Contract. NOW, THEREFORE, we, the undersigned Principal, and , (Name and address of Surety) (“Surety”) a duly admitted surety insurer under the laws of the State of California, as Surety, are held and firmly bound unto the City in the penal sum of Dollars ($ ), this amount being not less than the total Contract Price, in lawful money of the United States of America, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, successors executors and administrators, jointly and severally, firmly by these presents. THE CONDITION OF THIS OBLIGATION IS SUCH THAT, if the hereby bounded Principal, his, her or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and provisions in the Contract and any alteration thereof made as therein provided, on the Principal’s part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their true intent and meaning, and shall indemnify and save harmless the City, its officers, agents and employees, as therein stipulated, then this obligation shall become null and void; otherwise, it shall be and remain in full force and effect. As a part of the obligation secured hereby and in addition to the face amount specified therefor, there shall be included costs and reasonable expenses and fees, including reasonable attorneys’ fees, incurred by City in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered. Surety hereby waives any statute of limitations as it applies to an action on this Bond. The Surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract or of the Work to be performed thereunder or the specifications accompanying the same shall in anywise affect its obligations under this Bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Contract or to the Work or to the specifications. Surety hereby waives the provisions of California Civil Code Sections 2845 and 2849. The City is the principal beneficiary of this Bond and has all rights of a party hereto. Bond No. __________ PAYMENT BOND (LABOR AND MATERIALS) KNOW ALL PERSONS BY THESE PRESENTS that: WHEREAS the City of Seal Beach (“City”), State of California, has awarded to (“Principal”) (Name and address of Contractor) a contract (the “Contract”) for the Work described as follows: WEST END PUMP STATION VFD REPLACEMENT (SD2401/BG2401ex101-WEPS) (Project name) WHEREAS, under the terms of the Contract, the Principal is required before entering upon the performance of the Work, to file a good and sufficient payment Bond with the City to secure the claims to which reference is made in Title 3 (commencing with Section 9000) of Part 6 of Division 4 of the Civil Code. NOW, THEREFORE, we, the undersigned Principal, and (Name and address of Surety) (“Surety”) a duly admitted surety insurer under the laws of the State of California, as Surety, are held and firmly bound unto the City and all contractors, subcontractors, laborers, material suppliers, and other persons employed in the performance of the Contract and referred to in Title 3 (commencing with Section 9000) of Part 6 of Division 4 of the Civil Code in the penal sum of Dollars ($ ), for materials furnished or labor thereon of any kind, or for amounts due under the Unemployment Insurance Act with respect to this Work or labor, that the Surety will pay the same in an amount not exceeding the amount hereinabove set forth, and also in case suit is brought upon this Bond, will pay, in addition to the face amount thereof, costs and reasonable expenses and fees, including reasonable attorneys’ fees, incurred by City in successfully enforcing this obligation, to be awarded and fixed by the court, and to be taxed as costs and to be included in the judgment therein rendered. It is hereby expressly stipulated and agreed that this Bond shall inure to the benefit of any and all persons, companies, and corporations entitled to file claims under Title 3 (commencing with Section 9000) of Part 6 of Division 4 of the Civil Code, so as to give a right of action to them or their assigns in any suit brought upon this Bond. Upon expiration of the time within which the California Labor Commissioner may serve a civil wage and penalty assessment against the principal, any of its subcontractors, or both the principal and its subcontractors pursuant to Labor Code Section 1741, and upon expiration of the time within which a joint labor management committee may commence an action against the principal, any of its subcontractors, or both the principal and its subcontractors pursuant to Labor Code Section 1771.2, if the condition of this Bond be fully performed, then this obligation shall become null and void; otherwise, it shall be and remain in full force and effect. Agenda Item I AGENDA STAFF REPORT DATE:February 12, 2024 TO:Honorable Mayor and City Council THRU:Jill R. Ingram, City Manager FROM:Iris Lee, Director of Public Works SUBJECT:Approving and Authorizing Amendment No. 1 to the Professional Maintenance Services Agreement with Base Hill, Inc. for Janitorial Services ________________________________________________________________ SUMMARY OF REQUEST: That the City Council adopt Resolution 7487: 1. Approving Amendment No. 1 to the Professional Maintenance Services Agreement with Base Hill, Inc. dated October 24, 2022, for additional janitorial services; and, 2. Increasing compensation for such additional services by $264,644.78 for a revised total contract not-to-exceed amount of $994,424.60 for the Original Three-Year Term; and, 3. Increasing compensation for such additional services by $132,322.39 for a not-to-exceed amount of $375,582.33 for each one-year term extension; and, 4. Authorizing and directing the City Manager to execute Amendment No. 1 on behalf of the City; and, 5. Approving Budget Amendment BA #24-08-02 in the amount of $133,000. BACKGROUND AND ANALYSIS: The City owns and maintains a number of facilities and parks that require contract janitorial services to provide regular and thorough cleaning to maintain sanitary conditions, as well as aesthetic appearance for our internal and external visitors. On October 24, 2022, the City Council adopted Resolution 7341 awarding a professional maintenance services agreement to Base Hill, Inc. (“Base Hill”) for janitorial services. Their general scope of work included routine janitorial Page 2 1 7 2 3 maintenance services to twelve (12) City facilities including: City Hall, City Yard, Fire Station #48 Community Room, Lifeguard Headquarters, Marina Community Center, Mary Wilson Library & Senior Center, McGaugh Pool Restrooms & Deck, North Seal Beach Community Center, Seal Beach Pier Restrooms, Police Department Headquarters, Police Department Substation, and Zoeter Softball Field Restrooms. Base Hill’s submitted proposal provided pricing for the 1st Street Restrooms for the City’s reference. Additionally, the resolution included a $10,000 annual allowance for as-needed cleaning services to the City’s community facilities and parks following special events. Similar to the Pier Restrooms, the 1st Street Restrooms require routine janitorial services, including porter service during peak months. Responsibility for these services was expected to be borne by the restaurant tenant at 15 1st Street. To date, the tenant has refused to pay for the 1st Street Restrooms’ maintenance, and the responsibility for such maintenance is currently being litigated in court. Until the court resolves this dispute, the City has assumed the additional burden of providing the 1st Street Restroom janitorial services for public convenience and to accommodate the tenant. Depending on the outcome of the litigation, the City may be able to recover some or all of the City’s costs associated with these additional services. In the interim, it is anticipated that an additional $132,322.39 is required each year for the additional restroom cleaning. As such, staff recommends approval of Amendment No. 1 for the inclusion of janitorial services to the 1st Street Restrooms increasing compensation for such services to $994,424.60 for the original three- year term, and $375,582.33 for any elected one-year term extension. ENVIRONMENTAL IMPACT: This item is not subject to the California Environmental Quality Act (“CEQA”) pursuant to Section 15061(b)(3) of the state CEQA Guidelines because it can be seen with certainty that approval of a professional maintenance services agreement with Base Hill, Inc. will not have a significant effect on the environment. LEGAL ANALYSIS: The City Attorney has approved the agreement and resolution as to form. FINANCIAL IMPACT: Budget Amendment BA #24-08-02 will allocate $133,000 from the General Fund to the Beach Maintenance account for FY 2023-24. Funding for subsequent years from will be programmed into future operations and maintenance budgets. Page 3 1 7 2 3 STRATEGIC PLAN: This item is not applicable to the Strategic Plan. RECOMMENDATION: That the City Council adopt Resolution 7487: 1. Approving Amendment No. 1 to the Professional Maintenance Services Agreement with Base Hill, Inc. dated October 24, 2022, for additional janitorial services; and, 2. Increasing compensation for such additional services by $264,644.78 for a revised total contract not-to-exceed amount of $994,424.60 for the original three-year term; and, 3. Increasing compensation for such additional services by $132,322.39 for a not-to-exceed amount of $375,582.33 for each one-year term extension; and, 4. Authorizing and directing the City Manager to execute Amendment No. 1 on behalf of the City; and, 5. Approving Budget Amendment BA #24-08-02 in the amount of $133,000. SUBMITTED BY: NOTED AND APPROVED: Iris Lee Jill R. Ingram Iris Lee, Director of Public Works Jill R. Ingram, City Manager Prepared by: Sean Sabo, Management Analyst ATTACHMENTS: A. Resolution 7487 B. Amendment No. 1 with Base Hill, Inc. C. Agreement with Base Hill, Inc. RESOLUTION 7487 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL APPROVING AND AUTHORIZING THE CITY MANAGER TO EXECUTE AMENDMENT NO. 1 TO THE PROFESSIONAL MAINTENANCE SERVICES AGREEMENT WITH BASE HILL, INC. FOR JANITORIAL SERVICES WHEREAS, on October 24, 2022, the City Council of the City of Seal Beach (“City’) adopted Resolution 7341 approving a Professional Maintenance Services Agreement (“Agreement”) with Base Hill, Inc. (“Base Hill”) for janitorial services in the amount of $729,779.82 for the original term of three years; and for the not-to-exceed amount of $243,259.94 for each one-year term extension; and, WHEREAS, the City desires to amend the Agreement with Base Hill to provide additional janitorial services, and increase Base Hill’s compensation for such additional services by $264,644.78, for a revised not-to-exceed amount of $994,424.60 for the original term of three years; and, WHEREAS, the City desires to amend the Agreement with Base Hill to provide additional janitorial services, and increase Base Hill’s compensation for such additional services by $132,322.39, for a revised total not-to-exceed amount of $375,582.33 for each one-year term extension. NOW, THEREFORE, THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE: Section 1. The City Council hereby approves Amendment No.1 dated February 12, 2024, to the Agreement dated October 24, 2022, between the City of Seal Beach and Base Hill, Inc. (i) to authorize Base Hill to provide additional janitorial services; (ii) to increase Base Hill’s compensation by $264,644.78 for the additional services, for a revised total contract not- to-exceed amount of $994,424.60 for the original three-year term; and (iii) to increase Base Hill’s compensation by $132,322.39 for the additional services, for a revised total not-to-exceed amount of $375,582.33 for each one-year term extension. Section 2. The City Council hereby authorizes and directs the City Manager to execute Amendment No. 1. Section 3. The City Council hereby approves Budget Amendment BA #24-08-02 allocating $133,000 to 106-500-0863-51280, as follows: 8 7 2 4 PASSED, APPROVED and ADOPTED by the Seal Beach City Council at a regular meeting held on the 12th day of February 2024 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Schelly Sustarsic, Mayor ATTEST: Gloria D. Harper, City Clerk STATE OF CALIFORNIA } COUNTY OF ORANGE } CITY OF SEAL BEACH } I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7487 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 12th day of February 2024. Gloria D. Harper, City Clerk AMENDMENT NO. 1 PROFESSIONAL MAINTENANCE AGREEMENT For Janitorial Services between City of Seal Beach 211 - 8th Street Seal Beach, CA 90740 & Base Hill, Inc. 11823 Slauson Avenue, Suite 3 Santa Fe Springs, CA 90670 (213) 425-3070 This Amendment No. 1, dated February 12, 2024, amends that certain Professional Maintenance Agreement (“the Agreement”) dated October 24, 2022, by and between the City of Seal Beach (“City”), a California charter city and Base Hill, Inc. (“Contractor”), a California corporation, (collectively, “the Parties”). RECITALS A.City and Contractor are parties to the Agreement, pursuant to which Contractor provides professional janitorial services for the term October 24, 2022 through October 24, 2025. B.City and Contractor wish to amend the Agreement by this Amendment No. 1 to (i) expand the Agreement Scope of Services to include annual janitorial services to the First Street restrooms as set forth in Exhibit A-1, (ii) to increase Contractor’s compensation for such additional services by $264,644.78 for the second and third years of the Original Term, and for a revised total contract not-to-exceed amount of $994,424.60 for the Original Term, and (iii) to increase Contractor’s compensation for such additional services by $132,322.39 and a revised total not-to-exceed amount of $375,582.33 for each one-year extension, as provided herein. AMENDMENT NO. 1 NOW, THEREFORE and in consideration of the foregoing and of the mutual covenants and promises herein set forth, the parties agree to amend the Agreement as follows: Section 1.Subsection 1.1.1 of Section 1.0 (Scope of Services) of this Agreement is hereby amended in its entirety to read as follows: “1.1.1 Contractor shall provide those additional services set forth in the attached Exhibit A-1, which are hereby incorporated by this reference. To the extent there is any conflict between Exhibit A, Exhibit A-1, Exhibit B, and this Agreement as amended by Amendment No. 1, this Agreement as amended by Amendment No. 1 shall control.” Section 3.Section 3.0 (Contractor’s Compensation) of the Agreement is hereby amended to read as follows: “3.0 Contractor’s Compensation 3.1. City will pay Contractor in accordance with the rates shown on the fee schedule set forth in Exhibit A and Exhibit A-1 for the Services but in no event will the City pay more than the total not-to-exceed amount of $994,424.60 (Nine Hundred Ninety-Four Thousand Four Hundred Twenty-Four Dollars and 60/100) for the Original Term. 3.2. In the event that City elects to extend the Original Term in accordance with Section 2.2 of this Agreement, City will pay Contractor in accordance with the rates shown on the fee schedule set forth in Exhibit A and Exhibit A-1 for Services but in no event will the City pay more than the total not-to-exceed amount of $375,582.33 (Three Hundred Seventy-Five Thousand Five Hundred Eighty-Two Dollars and 33/100) for each extension. 3.3. Any additional work authorized by the City pursuant to Section 1.5 will be compensated in accordance with the fee schedule set forth in Exhibit A and Exhibit A-1.” Section 3.All references to the term “Agreement” throughout Sections 1.0 through 37.0, inclusive, of the Agreement are hereby modified to include this Amendment No. 1, dated February 12, 2024, as if all of those terms are fully set forth therein. Section 4.Except as expressly modified or supplemented by this Amendment No. 1, all other provisions of the Agreement shall remain unaltered and in full force and effect. In the event of a conflict between the provisions of the Agreement, the provisions of this Amendment No. 1 shall control. Section 5.The persons executing this Amendment No. 1 on behalf of Contractor each warrant that he or she is duly authorized to execute this Amendment No. 1 on behalf of said Party and that by his or her execution, Contractor is formally bound to the provisions of this Amendment No. 1. IN WITNESS WHEREOF, the parties hereto have caused this Amendment No. 1 to be executed and attested by their proper officers thereunto: CITY OF SEAL BEACH CONTRACTOR: Base Hill, Inc., a California corporation By:By: Jill R. Ingram, City Manager Sunny Kim, Chief Executive Officer Attest: By:By: Gloria D. Harper, City Clerk John Yang, Regional/Area Manager Approv (Please note, two signatures required for corporations pursuant to California Corporations Code Section 313 from each of the following categories: (i) the chairperson of the board, the president or any vice president, and (ii) the secretary, any assistant secretary, the chief financial officer or any assistant By: Nicholas R. Ghirelli, City Attorney treasurer of such corporation.) EXHIBIT A-1 FOR AMENDMENT NO. 1 Contractor’s Additional Services and Rates 22 OMIT 13 23 24 BASE HILL, INC.City of Seal Beach RFP for Janitorial Services Fee & Cost Proposal Adjustments 2% Fee/Cost Increase every anniversary(annually) of contract start date. 25 PROFESSIONAL MAINTENANCE AGREEMENT for Janitorial Services between City of Seal Beach 21.1 - 8th Street Seal Beach, CA 90740 01 Base Hill, Inc. 11823 Slauson Avenue, Suite 3 Santa Fe Springs, CA 90670 213) 425-3070 This Professional Maintenance Agreement ("the Agreement") is made as of October 24, 2022 (the "Effective Date"), by and between Base Hill, Inc. ("Contractor'), a California corporation, and the City of Seal Beach ("City"), a California charter city, (collectively, the Parties"). RECITALS A. City desires certain professional janitorial services B. Pursuant to the authority provided by its City Charter and Seal Beach Municipal Code § 3.20.025(C), City issued Request for Proposals on August 16, 2022, titled "Request for Proposals for Janitorial Services." Contractor submitted a proposal dated September 12, 2022, in response to the RFP. C. Contractor represents that the principal members of its firm are qualified professionals and are fully qualified to perform the professional services contemplated by this Agreement by virtue of its experience, and the training, education and expertise of its principals and employees. D. City desires to retain Contractor as an independent contractor and Contractor desires to serve City to perform those services in accordance with the terms and conditions of this Agreement. NOW THEREFORE, in consideration of the Parties' performance of the promises, covenants, and conditions stated herein, the Parties hereto agree as follows. AGREEMENT 1.0 Scope of Services 1.1. Contractor shall provide those services (collectively "Services") set forth in the Contractor's Proposal attached hereto as Exhibit A, Request for Proposals attached hereto as Exhibit B and incorporated herein by this reference. To the extent that there is any conflict between Exhibit A, Exhibit B, and this Agreement, this Agreement shall control. 1.2. Contractor shall perform all Services under this Agreement in accordance with the standard of care generally exercised by like professionals under similar circumstances and in a manner reasonably satisfactory to City. 1.3. In performing this Agreement, Contractor shall comply with all applicable provisions of federal, state, and local law. 1.4. As a material inducement to City to enter into this Agreement, Contractor hereby represents that it has the experience necessary to undertake the Services to be provided. In light of such status and experience, Contractor hereby covenants that it shall follow the customary professional standards in performing all Services. The City relies upon the skill of Contractor, and Contractor's staff, if any, to do and perform the Services in a skillful, competent, and professional manner, and Contractor and Contractor's staff, shall perform the Services in such manner. Contractor shall, at all times, meet or exceed any and 2 of 20 all applicable professional standards of care. The acceptance of Contractor's work by the City shall not operate as a release of Contractor from such standard of care and workmanship. 1.5. Contractor will not be compensated for any work performed not specified in the Scope of Services unless the City authorizes such work in advance and in writing. The City Manager may authorize extra work to fund unforeseen conditions up to the amount approved at the time of award by the City Council. Payment for additional work in excess of this amount requires prior City Council authorization. 2.0 Term 2.1. The term of this Agreement shall commence as of the Effective Date and shall continue for a term of three (3) years ("Original Term") and shall expire at midnight on October 24, 2025, unless sooner terminated or extended as provided by this Agreement. 2.2. The City, at its sole option, may elect to extend the Original Term of this Agreement, upon the same terms and conditions, for up to two (2) additional terms of one year each ("extension"), by providing written notice to Contractor at least one month prior to the expiration of an existing term. If timely elected by the City, the first extension shall have a term extending from October 24, 2025 through and including October 24, 2026, unless sooner terminated or extended pursuant to this Agreement. If timely elected by the City, the second extension shall be from October 24, 2026 through and including October 24, 2027, unless sooner terminated pursuant to this Agreement. Any extension shall not be effective except upon execution of a written amendment to this Agreement signed by the City Manager and Contractor's authorized representatives. 3.0 Contractor's Compensation 3.1. City will pay Contractor in accordance with the hourly rates shown on the fee schedule set forth in Exhibit A for the Services but in no event will the City pay more than the total not -to -exceed amount of $729,779.82 (Seven Hundred Twenty -Nine Thousand Seven Hundred Seventy -Nine dollars and 82/100) for the Original Term. 3.2. In the event that City elects to extend the Original Term in accordance with Section 2.2 of this Agreement, City will pay Contractor in accordance with the hourly rates shown on the fee schedule set forth in Exhibit A for Services but in no event will the City pay more than the total not -to -exceed amount of $243,259.94 Two Hundred Forty -Three Thousand Two Hundred Fifty - Nine Thousand dollars and 94/100) for each extension. 3 of 20 4.0 Method of Payment 4.1. Contractor shall submit to City monthly invoices for all Services rendered pursuant to this Agreement. Such invoices shall be submitted within 15 days of the end of the month during which the Services were rendered and shall describe in detail the Services rendered during the period, the days worked, number of hours worked, the hourly rates charged, and the Services performed for each day in the period. City will pay Contractor within 30 days of receiving Contractor's invoice. City will not withhold any applicable federal or state payroll and other required taxes, or other authorized deductions from payments made to Contractor. 4.2. Upon 24-hour notice from City, Contractor shall allow City or City's agents or representatives to inspect at Contractor's offices during reasonable business hours all records, invoices, time cards, cost control sheets and other records maintained by Contractor in connection with this Agreement. City's rights under this Section 4.2 shall survive for three (3) years following the termination of this Agreement. 5.0 Termination 5.1. This Agreement may be terminated by City, without cause, or by Contractor based on reasonable cause, upon giving the other party written notice thereof not less than 30 days prior to the date of termination. 5.2. This Agreement may be terminated by City upon 10 days' notice to Contractor if Contractor fails to provide satisfactory evidence of renewal or replacement of comprehensive general liability insurance as required by this Agreement at least 20 days before the expiration date of the previous policy. 6.0 Party Representatives 6.1. The City Manager is the City's representative for purposes of this Agreement. 6.2. Sunny Kim is the Contractor's primary representative for purposes of this Agreement. Sunny Kim shall be responsible during the term of this Agreement for directing all activities of Contractor and devoting sufficient time to personally supervise the Services hereunder. Contractor may not change its representative without the prior written approval of City, which approval shall not be unreasonably withheld. 7.0 Notices 7.1. All notices permitted or required under this Agreement shall be deemed made when personally delivered or when mailed 48 hours after deposit 4 of 20 in the United States Mail, first class postage prepaid and addressed to the party at the following addresses: To City: City of Seal Beach 211 -8th Street Seal Beach, California 90740 Attn: City Manager To Contractor: Base Hill, Inc. 11823 Slauson Avenue, Suite 3 Santa Fe Springs, CA 90670 Attn: Sunny Kim 7.2. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service. 8.0 Permits and Licenses Contractor and all of Contractor's employees and other personnel shall obtain and maintain during the Agreement term all necessary licenses, permits and certificates required by law for the provision of the Services under this Agreement, including a business license as required by the Seal Beach Municipal Code. 9.0 Independent Contractor 9.1. Contractor is an independent contractor and not an employee of the City. All work or other Services provided pursuant to this Agreement shall be performed by Contractor or by Contractor's employees or other personnel under Contractor's supervision. Contractor will determine the means, methods, and details by which Contractor's employees and other personnel will perform the Services. Contractor shall be solely responsible for the satisfactory work performance of all personnel engaged in performing the Services and compliance with the customary professional standards. 9.2. All of Contractor's employees and other personnel performing any of the Services under this Agreement on behalf of Contractor shall also not be employees of City and shall at all times be under Contractor's exclusive direction and control. Contractor and Contractor's personnel shall not supervise any of City's employees; and City's employees shall not supervise Contractor's personnel. Contractor's personnel shall not wear or display any City uniform, badge, identification number, or other information identifying such individual as an employee of City; and Contractor's personnel shall not use any City e-mail address or City telephone number in the performance of any of the Services under this Agreement. Contractor shall acquire and maintain at its sole cost and expense such vehicles, equipment and supplies as Contractor's personnel require to perform any of the Services required by this Agreement. Contractor 5 of 20 shall perform all Services off of City premises at locations of Contractor's choice, except (1) as otherwise required for the performance of Services on City real property, facilities, vehicles or equipment; (2) as otherwise may from time to time be necessary in order for Contractor's personnel to receive projects from City, review plans on file at City, pick up or deliver any work product related to Contractor's performance of any Services under this Agreement, or (3) as may be necessary to inspect or visit City locations and/or private property to perform such Services. City may make a computer available to Contractor from time to time for Contractor's personnel to obtain information about or to check on the status of projects pertaining to the Services under this Agreement. 9.3. Contractor shall be responsible for and pay all wages, salaries, benefits and other amounts due to Contractor's personnel in connection with their performance of any Services under this Agreement and as required by law. Contractor shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: Social Security taxes, other retirement or pension benefits, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance. Notwithstanding any other agency, State, or federal policy, rule, regulation, statute or ordinance to the contrary, Contractor and any of its officers, employees, agents, and subcontractors providing any of the Services under this Agreement shall not become entitled to, and hereby waive any claims to, any wages, salaries, compensation, benefit or any incident of employment by City, including but not limited to, eligibility to enroll in, or reinstate to membership in, the California Public Employees Retirement System ("PERS") as an employee of City, and entitlement to any contribution to be paid by City for employer contributions or employee contributions for PERS benefits. 9.4. In addition to all other provisions of this Agreement, Contractor shall indemnify and hold harmless City and its elected and appointed officials, officers, employees, servants, designated volunteers, and agents serving as independent contractors in the role of City officials, from any and all liability, damages, claims, costs and expenses of any nature to the extent arising from, caused by, or relating to Contractor's personnel practices. or to the extent arising from, caused by or relating to the violation of any of the provisions of this Section 9.0. In addition to all other remedies available under law, City shall have the right to offset against the amount of any fees due to Contractor under this Agreement any amount due to City from Contractor as a result of Contractor's failure to promptly pay to City any reimbursement or indemnification arising under this Section 9.0. This duty of indemnification is in addition to Contractor's duty to defend, indemnify and hold harmless as set forth in any other provision of this Agreement. Contractor's indemnifications and obligations under this Section 9.0 shall survive the expiration or termination of this Agreement. 6 of 20 10.0 PERS Compliance and Indemnification 10.1. General Requirements. The Parties acknowledge that City is a local agency member of PERS, and as such has certain pension reporting and contribution obligations to PERS on behalf of qualifying employees. Contractor agrees that, in providing its employees and any other personnel to City to perform any work or other Services under this Agreement, Contractor shall assure compliance with the Public Employees' Retirement Law ("PERL"), commencing at Government Code § 20000, as amended by the Public Employees' Pension Reform Act of 2013 ("PEPRA"),.. and the regulations of PERS. Without limitation to the foregoing, Contractor shall assure compliance with regard to personnel who have active or inactive membership in PERS and to those who are retired annuitants and in performing this Agreement shall not assign or utilize any of its personnel in a manner that will cause City to be in violation of the PERL, PEPRA or any other applicable retirement laws and regulations. 10.2. Indemnification. In addition to all other provisions of this Agreement, Contractor shall defend (with legal counsel approved by City, whose approval shall not be unreasonably withheld), indemnify and hold harmless City, and its City and its elected and appointed officials, officers, employees, servants, designated volunteers, and agents serving as independent contractors in the role of City officials, from any and all liability, damages, claims, costs and expenses of any nature to the extent arising from, caused by, or relating to Contractor's violation of any provisions of this Section 10.0. This duty of indemnification is in addition to Contractor's duty to defend, indemnify and hold harmless as set forth in any other provision of this Agreement. Contractor's indemnification and obligations under this Section 10.0 shall survive the expiration or termination of this Agreement. 11.0 Confidentiality 11.1. Contractor covenants that all data, reports, notes, surveys, studies, drawings, plans, maps, models, photographs, images, video files, media, computer files, electronic files, discussion, or other information, materials or documents and records of any kind (collectively "Data & Documents") developed, prepared or received by Contractor or provided for performance of this Agreement are deemed confidential and shall not be disclosed by Contractor without prior written authorization by City. City shall grant such authorization if applicable law requires disclosure. Contractor, its officers, directors, employees, agents, and/or subcontractors shall not without written authorization from the City Manager or unless requested in writing by the City Attorney, voluntarily provide declarations, letters of support, testimony at depositions, response to interrogatories or other information concerning the Services performed under this Agreement or relating to any project or property located within City. Response to 7 of 20 a subpoena or court order shall not be considered "voluntary," provided Contractor gives City notice of such court order or subpoena. 11.2. Contractor shall promptly notify City should Contractor, its officers, directors, employees, agents and/or subcontractors be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any party regarding this Agreement and the work performed thereunder or with respect to any project or property located within City. City may, but has no obligation to, represent Contractor or be present at any deposition, hearing or similar proceeding. Contractor agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Contractor. However, City's right to review any such response does not imply or mean the right by City to control, direct or rewrite the response. 11.3. Contractor's covenants under this Section 11.0 shall survive the termination or expiration of this Agreement. 12.0 Ownership of Documents and Work Product 12.1. All Data & Documents shall be and remain the property of City without restriction or limitation upon its use, duplication or dissemination by City. All Data & Documents shall be considered "works made for hire," and all Data & Documents and any and all intellectual property rights arising from their creation, including, but not limited to, all copyrights and other proprietary rights, shall be and remain the property of City without restriction or limitation upon their use, duplication or dissemination by City. Contractor shall not obtain or attempt to obtain copyright protection as to any Data & Documents. 12.2. Contractor hereby assigns to City all ownership and any and all intellectual property rights to the Data & Documents that are not otherwise vested in City pursuant to the paragraph directly above this one. 12.3. Contractor warrants and represents that it has secured all necessary licenses, consents or approvals to use any instrumentality, thing or component as to which any intellectual property right exists, including computer software, used in the rendering of the Services and the production of all Written Products produced under this Agreement, and that City has full legal title to and the right to reproduce the Data & Documents. Contractor shall defend, indemnify and hold City, and its elected and appointed officials, officers, employees, servants, attorneys, designated volunteers, and agents serving as independent contractors in the role of City officials, harmless from any loss, claim or liability in any way related to a claim that City's use of any of the Data & Documents is violating federal, state or local laws, or any contractual provisions, or any laws relating to trade names, licenses, franchises, copyrights, patents or other means 8 of 20 of protecting intellectual property rights and/or interests in products or inventions. Contractor shall bear all costs arising from the use of patented, copyrighted, trade secret or trademarked documents, materials, equipment, devices or processes in connection with its provision of the Services and Data & Documents produced under this Agreement. In the event the use of any of the Written Products or other deliverables hereunder by City is held to constitute an infringement and the use of any of the same is enjoined, Contractor, at its expense, shall: (1) secure for City the right to continue using the Data & Documents and other deliverables by suspension of any injunction, or by procuring a license or licenses for City; or (2) modify the Data & Documents and other deliverables so that they become non -infringing while remaining in compliance with the requirements of this Agreement. These covenants shall survive the expiration and/or termination of this Agreement. 12.4. Upon expiration or termination of the Agreement, Contractor shall deliver to City all Data & Documents and other deliverables related to any Services performed pursuant to this Agreement without additional cost or expense to City. If Contractor prepares a document on a computer, Contractor shall provide City with said document both in a printed format and in an electronic format that is acceptable to City. 13.0 Subcontractors No portion of this Agreement shall be subcontracted without the prior written approval of City. Contractor is fully responsible to City for the performance of any and all subcontractors. 14.0 Prohibition Against Assignment or Delegation Contractor shall not assign any of its rights or delegate any of its duties under this Agreement, either in whole or in part, without City's prior written consent. Any purported assignment or delegation in violation of this Section 14.0 shall be void and without effect, and shall entitle City to terminate this Agreement. As used in this Section 14.0, "assignment" and "delegation" means any sale, gift, pledge, hypothecation, encumbrance or other transfer of all or any portion of the rights, obligations, or liabilities in or arising from this Agreement to any person or entity, whether by operation of law or otherwise, and regardless of the legal form of the transaction in which the attempted transfer occurs. 15.0 Inspection and Audit of Records Contractor shall maintain complete and accurate records with respect to all Services and other matters covered under this Agreement, including but expressly not limited to, all Services performed, salaries, wages, invoices, time cards, cost control sheets, costs, expenses, receipts and other records with respect to this Agreement. Contractor shall maintain adequate records on the Services provided in sufficient detail to permit an evaluation of all Services in 9 of 20 connection therewith. All such records shall be clearly identified and readily accessible. At all times during regular business hours, Contractor shall provide City with free access to such records, and the right to examine and audit the same and to make copies and transcripts as City deems necessary, and shall allow inspection of all program data, information, documents, proceedings and activities and all other matters related to the performance of the Services under this Agreement. Contractor shall retain all financial and program service records and all other records related to the Services and performance of this Agreement for at least three (3) years after expiration, termination or final payment under this Agreement, whichever occurs later. City's rights under this Section 15.0 shall survive for three (3) years after expiration, termination or final payment under this Agreement, whichever occurs later. 16.0 Safety Requirements All work performed under this Agreement shall be performed in such a manner as to provide safety to the public and to meet or exceed the safety standards outlined by CAL OSHA and other applicable state and federal laws. City may issue restraint or cease and desist orders to Contractor when unsafe or harmful acts are observed or reported relative to the performance of the Services. Contractor shall maintain the work sites free of hazards to persons and property resulting from its operations. Contractor shall immediately report to City any hazardous condition noted by Contractor. 17.0 Familiarity with Work By executing this Agreement, Contractor represents that it has: (a) thoroughly investigated and considered the scope of services to be performed; (b) carefully considered how the Services should be performed; and (c) understands the facilities, difficulties, and restrictions attending performance of the Services under this Agreement. 18.0 Insurance 18.1. General Requirements. Contractor shall not commence work under this Agreement until it has provided evidence satisfactory to City that Contractor has secured all insurance required under this Section 18.0. 18.2. Minimum Scope and Limits of Insurance. Contractor shall, at its sole cost and expense, procure, maintain and keep in full force and effect for the duration of the Agreement, insurance against claims for injuries to persons or damages to property that may arise from or in connection with the performance of this Agreement, as follows: 18.2.1. Commercial General Liability Insurance: Contractor shall maintain commercial general liability insurance with limits not less than 2,000,000 per occurrence for bodily injury, personal injury and property 10 of 20 damage; and if Commercial General Liability Insurance or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this Agreement/location or the general aggregate limit shall be twice the required occurrence limit: Coverage shall be at least as broad as the latest version of Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001). If Contractor is a limited liability company, the commercial general liability coverage shall be amended so that Contractor and its managers, affiliates, employees, agents and other persons necessary or incidental to its operation are insureds; 18.2.2. Automobile Liability Insurance: Contractor shall maintain limits no less than $1,000,000 per accident for bodily injury and property damage. Coverage shall be at least as broad as Automobile Liability: Insurance Services Office Business Auto Coverage form number CA 0001, code 1 (any auto). 18.2.3. Workers' Compensation Insurance in the amount required by law; and Employer's Liability: with limits not less than $1,000,000 per accident and in the aggregate for bodily injury or disease. 18.3. Acceptability of Insurers. The Insurance policies required under this Section 18.0 shall be placed with insurers with a current A.M. Best's rating no less than A:VIII, licensed to do business in California, and satisfactory to City. 18.4. Additional Insured. 18.4.1. For general liability insurance, City, its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents serving as independent contractors in the role of City officials shall be covered as additional insureds with respect to the services or operations performed by or on behalf of Contractor, including materials, parts or equipment furnished in connection with such work. 18.4.2. For automobile liability, City, its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents serving as independent contractors in the role of City officials, shall be covered as additional insureds with respect to the ownership, operation, maintenance, use, loading or unloading of any auto owned, leased, hired or borrowed by Contractor or for which Contractor is responsible. 18.4.3. These additional insured provisions shall also apply to any excess/umbrella liability policies. 18.5. Cancellations or Modifications to Coverage. The insurance policies shall contain the following provisions, or Contractor shall provide endorsements on forms supplied or approved by City to state: (1) coverage 11 of 20 shall not be suspended, voided, reduced or canceled except after 30 days prior written notice by certified mail, return receipt requested, has been given to City; 2) any failure to comply with reporting or other provisions of the policies, including breaches of warranties, shall not affect coverage provided to City, its elected and appointed officials, officers, employees, agents, designated volunteers, and those City agents serving as independent contractors in the role of City officials; 18.6. Primary and Non -Contributing. Coverage shall be primary insurance as respects City, its elected and appointed officials, officers, employees, agents, designated volunteers designated volunteers and agents serving as independent contractors in the role of City officials, or if excess, shall stand in an unbroken chain of coverage excess of Contractor's scheduled underlying coverage and that any insurance or self-insurance maintained by City, its elected and appointed officials, officers, employees, agents. designated volunteers designated volunteers and agents serving as independent contractors in the role of City officials, shall be excess of Contractor's insurance and shall not be called upon to contribute with it; 18.7. Separation of Insureds. All insurance required by this Section 18.0 shall contain standard separation of insureds provisions and shall not contain any special limitations on the scope of protection afforded to City, its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents serving as independent contractors in the role of City officials. The policy(ies) shall not contain any cross -liability exclusions. 18.8. Deductibles and Self -Insured Retentions. Any deductibles or self- insured retentions shall be declared to and approved by City. Contractor guarantees that, at the option of City, either: (1) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects City, its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents serving as independent contractors in the role of City officials; or (2) Contractor shall procure a bond guaranteeing payment of losses and related investigation costs, claims and administrative and defense expenses. 18.9. Waiver of Subrogation. Each insurance policy required by this Agreement shall expressly waive the insurer's right of subrogation against City and its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents serving as independent contractors in the role of City officials. Contractor hereby waives its own right of recovery and all rights of subrogation against City. 18.10. City Remedy for Noncompliance. If Contractor does not maintain the policies of insurance required under this Section 18.0 in full force and effect during the term of this Agreement, or in the event any of Contractor's policies do not comply with the requirements under this Section 18.0, City may either 12 of 20 immediately terminate this Agreement or, if insurance is available at a reasonable cost, City may, but has no duty to, take out the necessary insurance and pay, at Contractor's expense, the premium thereon. Contractor shall promptly reimburse City for any premium paid by City or City may withhold amounts sufficient to pay the premiums from payments due to Contractor. 18.11. Evidence of Insurance. Prior to the performance of Services under this Agreement, Contractor shall furnish City with original certificates of insurance and all original endorsements evidencing and effecting the coverages required under this Section 18.0 on forms satisfactory to and approved by City. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf, and shall be on forms provided by City if requested. Contractor may provide complete, certified copies of all required insurance policies to City. Contractor shall maintain current endorsements on file with City's Risk Manager. All certificates and endorsements shall be received and approved by the City before work commences. City reserves the right to require complete, certified copies of all required insurance policies, at any time. Contractor shall also provide proof to City that insurance policies expiring during the term of this Agreement have been renewed or replaced with other policies providing at least the same coverage. Contractor shall furnish such proof at least two weeks prior to the expiration of the coverages. 18.12. Enforcement of Provisions (Non -Estoppel). Contractor acknowledges and agrees that any actual or alleged failure on the part of City to inform Contractor of noncompliance with any requirements imposes no additional obligations on City nor does it waiver any rights hereunder. 18.13. Indemnity Requirements Not Limiting. Procurement of insurance by Contractor shall not be construed as a limitation of Contractor's liability or as full performance of Contractor's duty to indemnify City under Section 18.0. 18.14. Broader Coverage/Higher Limits. If Contractor maintains broader coverage and/or higher limits than the minimums required above, City requires and shall be entitled to the broader coverage and/or the higher limits maintained by Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to City. 18.15. Subcontractor Insurance Requirements. Contractor shall require each of its subcontractors that perform Services under this Agreement to maintain insurance coverage that meets all of the requirements of this Section 18.0. 19.0 Indemnification, Hold Harmless, and Duty to Defend 19.1. Indemnities. 13 of 20 19.1.1. To the fullest extent permitted by law, Contractor shall, at its sole cost and expense, protect, defend, hold harmless and indemnify City and its elected and appointed officials, officers, attorneys, agents, employees, designated volunteers, successors, assigns and those City agents serving as independent contractors in the role of City officials (collectively "Indemnitees" in this Section 19.0), from and against any and all damages, costs, expenses, liabilities, claims, demands, causes of action, proceedings, judgments, penalties, bid protests, stop notices, liens and losses of any nature whatsoever, to person or property, and/or breach of this Agreement, including but not limited to bodily injury, death, personal injury and property damage, including but not limited to fees of accountants, attorneys and other professionals, and all costs associated therewith, and the payment of all consequential damages (collectively Liabilities"), in law or equity, whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to the acts or omissions of Contractor, its officers, directors, agents, servants, employees, subcontractors, materialmen, suppliers, or contractors, or their officers, directors, agents, servants or employees (or any entity or individual that Contractor shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees' active or passive negligence, except for Liabilities arising from the sole negligence or willful misconduct of the Indemnitees, as determined by final arbitration or court decision or by the agreement of the Parties. Contractor shall defend the Indemnitees in any action or actions filed in connection with any Liabilities with counsel of the Indemnitees' choice, and shall pay all costs and expenses, including all attorneys' fees and experts' costs actually incurred in connection with such defense. Contractor shall reimburse the Indemnitees for any and all legal expenses and costs incurred by the Indemnitees in connection therewith. 19.1.2. Contractor shall defend, indemnify and hold harmless City in accordance with Sections 9.0 and 10.0. 19.2. Subcontractor Indemnification. Contractor shall obtain executed indemnity agreements with provisions identical to those in this Section 19.0 from each and every subcontractor or any other person or entity involved by, for, with or on behalf of Contractor in the performance of this Agreement. If Contractor fails to obtain such indemnities, Contractor shall be fully responsible and indemnify, hold harmless and defend the Indemnitees from and against any and all Liabilities in law or equity, whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to the acts or omissions of Contractor's subcontractor, its officers, agents, servants, employees, subcontractors, materialmen, contractors or their officers, agents, servants or employees (or any entity or individual that Contractor's subcontractor shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees' active or passive negligence, except for Liabilities arising from the 14 of 20 sole negligence or willful misconduct of the Indemnitees, as determined by final arbitration or court decision or by the agreement of the Parties. 19.3. Workers' Compensation Acts Not Limiting. Contractor's indemnification obligations under this Section 19.0, or any other provision of this Agreement, shall not be limited by the provisions of any workers' compensation act or similar act. Contractor expressly waives its statutory immunity under such statutes or laws as to City, its elected and appointed officers, officials, agents, employees, designated volunteers and those City agents serving as independent contractors in the role of City officials. 19.4. Insurance Requirements Not Limiting. City does not, and shall not, waive any rights that it may possess against Contractor because of the acceptance by City, or the deposit with City, of any insurance policy or certificate required pursuant to this Agreement. The indemnities and obligations in this Section 19.0 shall apply regardless of whether or not any insurance policies are determined to be applicable to the Liabilities asserted against City or any of the other Indemnitees. 19.5. Survival of Terms. Contractor's indemnifications and obligations under this Section 19.0 shall survive the expiration or termination of this Agreement. 20.0 Non -Discrimination and Equal Employment Opportunity Contractor affirmatively represents that it is an equal opportunity employer. In the performance of this Agreement, Contractor shall not discriminate, harass or retaliate against any subcontractor, employee, or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex, gender, sexual orientation, gender identity, gender expression, marital status, national origin, ancestry, age, physical disability, mental disability, medical condition, genetic information, or any other basis prohibited by law. Contractor will take affirmative action to ensure that subcontractors and applicants are employed, and that employees are treated during employment, without regard to their race, color., religious creed, sex, gender, gender identity, gender expression, marital status, national origin, ancestry, age, physical disability, mental disability, medical condition, genetic information or sexual orientation, or any other basis prohibited by law. 21.0 Labor Certification By its signature hereunder, Contractor certifies that it is aware of the provisions of Section 3700 of the California Labor Code that require every employer to be insured against liability for Workers' Compensation or to undertake self-insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services. 15 of 20 22.0 Prevailing Wage and Payroll Records To the extent that this Agreement calls for services that, in whole or in part, constitute "public works" as defined in the California Labor Code, Contractor shall comply in all respects with all applicable provisions of the California Labor Code, including those set forth in Exhibit C, attached hereto and incorporated by reference herein. 23.0 Entire Agreement This Agreement contains the entire agreement of the Parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings, or agreements. This Agreement may only be modified by a writing signed by both Parties. 24.0 Severability The invalidity in whole or in part of any provisions of this Agreement shall not void or affect the validity of the other provisions of this Agreement. 25.0 Governing Law and Venue This Agreement shall be governed by and construed in accordance with the laws of the State of California, except that any rule of construction to the effect that ambiguities are to be resolved against the drafting party shall not be applied in interpreting this Agreement. Any dispute that arises under or relates to this Agreement (whether contract, tort or both) shall be resolved in a superior court with geographic jurisdiction over the City of Seal Beach. 26.0 No Third Party Beneficiaries This Agreement is made solely for the benefit of the and their respective successors and assigns, and no be deemed to have any rights hereunder against ei Agreement. 27.0 Waiver Parties to this Agreement other person or entity shall ther party by virtue of this No delay or omission to exercise any right, power or remedy accruing to City under this Agreement shall impair any right, power or remedy of City, nor shall it be construed as a waiver of, or consent to, any breach or default. No waiver of any breach, any failure of a condition, or any right or remedy under this Agreement shall be (1) effective unless it is in writing and signed by the Party making the waiver, (2) deemed to be a waiver of, or consent to, any other breach, failure of a condition, or right or remedy, or (3) deemed to constitute a continuing waiver unless the writing expressly so states. 16 of 20 28.0 Prohibited Interests; Conflict of Interest 28.1. Contractor covenants that it presently has no interest and shall not acquire any interest, direct or indirect, which may be affected by the Services, or which would conflict in any manner with the performance of the Services. Contractor further covenants that, in performance of this Agreement, no person having any such interest shall be employed by it. Furthermore, Contractor shall avoid the appearance of having any interest, which would conflict in any manner with the performance of the Services. Contractor shall not accept any employment or representation during the term of this Agreement which is or may likely make Contractor "financially interested" (as provided in California Government Code §§ 1090 and 87100) in any decision made by City on any matter in connection with which Contractor has been retained. 28.2. Contractor further warrants and maintains that it has not employed or retained any person or entity, other than a bona fide employee working exclusively for Contractor, to solicit or obtain this Agreement. Nor has Contractor paid or agreed to pay any person or entity, other than a bona fide employee working exclusively for Contractor, any fee, commission, gift, percentage, or any other consideration contingent upon the execution of this Agreement. Upon any breach or violation of this warranty, City shall have the right, at its sole and absolute discretion, to terminate this Agreement without further liability, or to deduct from any sums payable to Contractor hereunder the full amount or value of any such fee, commission, percentage or gift. 28.3. Contractor warrants and maintains that it has no knowledge that any officer or employee of City has any interest, whether contractual, non - contractual, financial, proprietary, or otherwise, in this transaction or in the business of Contractor, and that if any such interest comes to the knowledge of Contractor at any time during the term of this Agreement, Contractor shall immediately make a complete, written disclosure of such interest to City, even if such interest would not be deemed a prohibited "conflict of interest" under applicable laws as described in this Section 28.0. 29.0 Final Payment Acceptance Constitutes Release The acceptance by Contractor of the final payment made under this Agreement shall operate as and be a release of City from all claims and liabilities for compensation to Contractor for anything done, furnished or relating to Contractor's work or services. Acceptance of payment shall be any negotiation of City's check or the failure to make a written extra compensation claim within ten calendar days of the receipt of that check. However, approval or payment by City shall not constitute, nor be deemed, a release of the responsibility and liability of Contractor, its employees, subcontractors and agents for the accuracy and competency of the information provided and/or work performed; nor shall such approval or payment be deemed to be an assumption of such responsibility 17 of 20 or liability by City for any defect or error in the work prepared by Contractor, its employees, subcontractors and agents. 30.0 Corrections In addition to the indemnification obligations set forth above, Contractor shall correct, at its expense, all errors in the work which may be disclosed during City's review of Contractor's report or plans. Should Contractor fail to make such correction in a reasonably timely manner, such correction may be made by City, and the cost thereof shall be charged to Contractor. In addition to all other available remedies, City may deduct the cost of such correction from any retention amount held by City or may withhold payment otherwise owed Contractor under this Agreement up to the amount of the cost of correction. 31.0 Non -Appropriation of Funds Payments to be made to Contractor by City for any Services performed within the current fiscal year are within the current fiscal budget and within an available, unexhausted fund. In the event that City does not appropriate sufficient funds for payment of Contractor's Services beyond the current fiscal year, this Agreement shall cover payment for Contractor's Services only to the conclusion of the last fiscal year in which City appropriates sufficient funds and shall automatically terminate at the conclusion of such fiscal year. 32.0 Mutual Cooperation 32.1. City's Cooperation. City shall provide Contractor with all pertinent Data, documents and other requested information as is reasonably available for Contractor's proper performance of the Services required under this Agreement. 32.2. Contractor's Cooperation. In the event any claim or action is brought against City relating to Contractor's performance of Services rendered under this Agreement, Contractor shall render any reasonable assistance that City requires. 33.0 Time of the Essence Time is of the essence in respect to all provisions of this Agreement that specify a time for performance; provided, however, that the foregoing shall not be construed to limit or deprive a Party of the benefits of any grace or use period allowed in this Agreement. 34.0 Attorneys' Fees If either party commences an action against the other party, either legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to have and recover from 18 of 20 the losing party all of its attorneys' fees, expert fees and other costs incurred in connection therewith, in addition to any other relief to which the party may be entitled. 35.0 Titles and Headings The titles and headings used in this Agreement are for convenience only and shall in no way define, limit or describe the scope or intent of this Agreement or any party of it. 36.0 Exhibits All exhibits referenced in this Agreement are hereby incorporated into the Agreement as if set forth in full herein. In the event of any material discrepancy between the terms of any exhibit so incorporated and the terms of this Agreement, the terms of this Agreement shall control. 37.0 Corporate Authority The person executing this Agreement on behalf of Contractor warrants that he or she is duly authorized to execute this Agreement on behalf of said party and that by his or her execution, Contractor is formally bound to the provisions of this Agreement. IN WITNESS WHEREOF, the Parties hereto, through their respective authorized representatives have executed this Agreement as of the date and year first above written. 19 of 20 CITY OF SEAL BEACH LIM Atte: Approved as t or 3By: - raig A. Steele, City Attorney CONTRACTOR: Base Hill, Inc., a California corporation By: y_ sunny K Chief Executive fficer By: Yag gional ea Manger Please note, two signatures required for corporations pursuant to California Corporations Code Section 313 from each of the following categories. (i) the chairperson of the board, the president or any vice president, and (ii) the secretary, any assistant secretary, the chief financial officer or any assistant treasurer of such corporation.) 20 of 20 EXHIBIT A Contractor's Proposal BASE HILL, INC. City of Seal Beach RFP for Janitorial Services City of Seal Beach Request for Proposals for Janitorial Services Presented to: Iris Lee Acting Public Works Director Department of Public Works ilee(a)-sealbeachca.gov Presented by: Sunny Kim President/Project Manager Base Hill, Inc. UEI: H4DHYVMQGBS3 Cage Code: 63YH6 sunnykim _basehill.com 213-425-3070 Base Hill, Inc. Building Maintenance Services 11823 Slauson Ave. Suite 3, Santa Fe Springs, CA 90670 BASE HILL, .INC. City of Seal Beach RFP for Janitorial Services September 9, 2022 Iris Lee Acting Public Works Director Department of Public Works 211 Eighth Street Seal Beach, CA 90740 Dear Iris Lee, Thank you for allowing us to present our formal proposal submitted on behalf of Base Hill, Inc. Building Maintenance Services in response to The City of Seal Beach for Janitorial Services for Fourteen (14) City -owned facilities with day porter services. We hereby state that no exceptions are taken to any specification requirements or contract terms and conditions for the City of Seal Beach. We are committed to providing our clients with the highest standards of quality of service. We strive to exceed expectations through our integrity and ethical values and commitment to client satisfaction. All of us at Base Hill are committed to the execution and success of this proposal if Base Hill is selected as your vendor of choice. Please do not hesitate to contact me directly if you should have any question and/or concerns regarding the attached proposal. In closing, I would like to thank you again for your time and consideration. Respectfully, Sunny Kim President, Project Manager 2 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services Table of Contents 1. Cover Letter................................................................ 2 2. Company Qualifications...............................................4 3. Business Entity............................................................4 4. Exceptions........................................................4 5. Contract Signatories....................................................4 6. Understanding/Approach............................................5 7. Staffing List...............................................................12 8. References................................................................17 9. Fee & Cost Proposal..........................................22 10. Quality Control Plan...........................................26 11. DIR Registration Number ....................................... 30 12. Resumes..................................................................31 3 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services Company Qualifications Base Hill, Inc. has been in the industry for over 15 years. We have the experience, management, manpower, and resources to perform all Janitorial Services for the City of Seal Beach for Fourteen (14) City -owned facilities with day porter services at a top tier cleaning standard. Through our past performance history, Base Hill has the experience and is capable of handling and managing City of Seal Beach facility locations. We are currently providing janitorial services for the City of South Pasadena, City of South EI Monte, City of Highland, City of Rosemead, and recently successfully completed our contract with Jurupa Valley (JCSD Public Works) janitorial services for their public parks and recreation areas. In the past, we have managed and provided cleaning/floor service for over 100+ Barnes and Noble store locations all throughout Southern and Northern California. We have also provided janitorial services and management for Opportunities for Learning Public Charter Schools, over 35 OFL Charter School locations across Southern California and have provided in the past, multiple ITT Tech campuses across Southern California before they went bankrupt. Base Hill also is currently servicing contracts with the Us Government Department of Homeland Security, US Navy and US Airforce. We have the staff, management, and resources to provide the City of Seal Beach with top tier janitorial services for their required facilities and shall meet with all applicable federal, state, and local regulations. Business Entity: S -Corporation (State of California) Exceptions: Base Hill has reviewed this RFP and attached sample contract and has no exceptions for this RFP. Contract Signatories: Sunny Kim (CEO/Project Manager) sunnykim@basehill.com John Yang (Quality Control Manager) johnyang@basehill.com T BASLE HILL, INC. City of Seal Beach RFP for Janitorial Services Understanding/Approach Base Hill, Inc. has the experience to provide the City of Seal Beach all janitorial services required in Exhibit C Cleaning Task Matrix. We have provided multiple municipalities with janitorial and day porter services with positive customer feedback. Base Hill has familiarized itself with all facility locations, size, cleaning frequency, and what janitorial services are required for each facility. We shall provide all daily, weekly, monthly, bi-monthly, quarterly, semi-annually, annually, and as needed services listed in the cleaning task matrix for all facility locations listed below. All janitorial service staff shall be properly trained and certified before commencement of services. We train all staff in proper cleaning procedures with a major emphasis on work safety. Prior to the commencement of this contract, all janitorial staff shall submit and successfully pass a California Department of Justice Live Scan Fingerprinting background check ("Live Scan") performed by the City of Seal Beach Police Department located at 911 Seal Beach Boulevard. We shall provide all regular janitorial services and periodic janitorial services at a top tier cleaning standard and shall provide the site contact with before and after pictures of all periodic floor service work once it is completed to ensure proper work has been done. From the information gathered from the pre-bid meeting, we understand that the seal beach pier restrooms day porter services are the toughest challenge at the moment to maintain a clean restroom during peak months for the large amount of foot traffic that Seal Beach Pier encounters during Peak months. Our day porters shall keep up with the demand needed to maintain clean restrooms for all guests. We understand that a few locations shall be going into construction soon and we shall schedule and plan accordingly. We were informed during the walk through that there are upcoming remodels for the Seal Beach Tennis & Pickleball Center, 1 st Street Parking Lot restrooms, and upcoming Seal Beach Pier restrooms renovations. Anticipated term of janitorial contract with the City of Seal Beach shall be four (4) years, with two (2) possible one (1) year extensions with an anticipated Start Date of October 2022. Our management team (Quality Control Manager) shall have a constant line of communication with the site contact regarding any issues or requests for janitorial services. 5 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services Site Contact: Joe Talarico (City of Seal Beach) italarico(a)-sealbeachca.gov 562) 346-7407 Location Number 1: City Hall Address: 211 8th Street Approx Square Footage: 13,000 SF Number of Restrooms: 5 Cleaning Days: Monday — Friday Cleaning Times: 6:00 PM — 6:00 AM Day Porter Service: Not Required As Needed Special Event Cleaning: Not Required Notes: Council Chambers shall not be cleaned until completion of Council, Board, Commission, or city scheduled meetings if any. Location Number 2: City Yard Address: 1776 Adolfo Lopez Drive Approx Square Footage: 3,100 SF Number of Restrooms: 2 Cleaning Days: Monday — Friday Cleaning Times: 6:00 PM — 5:00 AM Day Porter Service: Not Required As Needed Special Event Cleaning: Not Required Notes: Admin Building Only L BASE HILL, INC. City of Seal Beach RFP for Janitorial Services Location Number 3: Fire Station #48 Community Room Address: 3131 North Gate Road Approx Square Footage: 1,000 SF Number of Restrooms: 2 Cleaning Days: Monday — Friday Cleaning Times: 6:00 PM — 6:00 AM Day Porter Service: Not Required As Needed Special Event Cleaning: Yes, As Needed Notes: Community Room Only Location Number 4: 1 st Street Restrooms Address: 1 st Street Parking Lot Approx Square Footage: 850 SF Number of Restrooms: 2 Cleaning Days: Monday — Sunday Cleaning Times: PEAK (7:00 AM —10:00 PM); OFF-PEAK (7:00 AM — 8:00 PM) Day Porter Service: Yes As Needed Special Event Cleaning: Not Required Notes: PEAK: May 1 to September 30; OFF-PEAK: October 1 to April 30 Maintenance of this location will be relinquished to the 15 1 st tenant upon its tenant improvement completion anticipated to be early 2023. Location Number 5: Lifeguard Headquarters Address: 888 Ocean Avenue Approx Square Footage: 1,900 SF Number of Restrooms: 2 Cleaning Days: Monday — Friday 7 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services Cleaning Times: 6:00 PM — 6:00 AM Day Porter Service: Not Required As Needed Special Event Cleaning: Not Required Notes: 3 story building with no elevator Location Number 6: Marina Community Center Address: 151 Marina Drive Approx Square Footage: 4,600 SF Number of Restrooms: 2 Cleaning Days: Monday — Friday Cleaning Times: 10:00 PM — 6:00 AM Day Porter Service: Not Required As Needed Special Event Cleaning: As Needed Location Number 7: Mary Wilson Library & Senior Center Address: 700 Electric Avenue Approx Square Footage: 2,000 SF Number of Restrooms: 2 Cleaning Days: Monday — Friday Cleaning Times: 10:00 PM — 6:00 AM Day Porter Service: Not Required As Needed Special Event Cleaning: Not Required Location Number 8: McGaugh Pool Restrooms Deck Address: 1698 Bolsa Avenue Approx Square Footage: 8,000 SF Number of Restrooms: 2 Cleaning Days: Monday —Sunday PP BASE HILL, INC. City of Seal Beach RFP for Janitorial Services Cleaning Times: 10:00 PM — 6:00 AM Day Porter Service: Not Required As Needed Special Event Cleaning: Not Required Notes: Pool restrooms and Pool Deck ONLY Location Number 9: North Seal Beach Community Center Address: 3333 St. Cloud Drive Approx Square Footage: 4,550 SF Number of Restrooms: 2 Cleaning Days: Monday — Friday Cleaning Times: 10:00 PM — 6:00 AM Day Porter Service: Not Required As Needed Special Event Cleaning: As Needed Location Number 10: Seal Beach Pier Restrooms Address: 900 Ocean Avenue Approx Square Footage: 1,000 SF Number of Restrooms: 2 Cleaning Days: Monday — Sunday Cleaning Times: PEAK (7:00 AM —10:00 PM); OFF-PEAK (7:00 AM — 8:00 PM) Day Porter Service: Yes As Needed Special Event Cleaning: Not Required Notes: PEAK: May 1 to September 30; OFF-PEAK: October 1 to April 30 Location Number 11: Police Department Headquarters Address: 911 Seal Beach Boulevard Approx Square Footage: 22,000 SF Number of Restrooms: 6 9 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services Cleaning Days: Monday — Friday Cleaning Times: 6:00 PM — 6:00 AM Day Porter Service: Not Required As Needed Special Event Cleaning: Not Required Notes: No Jail Cleaning, No Armory Cleaning, No Evidence Locker Cleaning, or any other security sensitive areas. Location Number 12: Police Department Substation Address: 900 Ocean Avenue Approx Square Footage: 1,900 SF Number of Restrooms: 2 Cleaning Days: Monday — Friday Cleaning Times: 6:00 PM — 6:00 AM Day Porter Service: Not Required As Needed Special Event Cleaning: Not Required Notes: 3 story building with no elevator Location Number 13: Seal Beach Tennis & Pickleball Center Address: 3900 Lampson Avenue Approx Square Footage: 3,700 SF Number of Restrooms: 2 Cleaning Days: Monday — Sunday Cleaning Times: 6:00 PM — 6:00 AM Day Porter Service: Not Required As Needed Special Event Cleaning: As Needed Notes: Clubhouse only, Work for this facility will start upon construction completion and notification to contractor, anticipated to be January 2024. 10 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services Location Number 14: Zoeter Softball Field Restrooms Address: 11th Street & Landing Avenue Approx Square Footage: N/A Number of Restrooms: 2 Cleaning Days: As Needed Cleaning Times: 9:00 PM — 6:00 AM Day Porter Service: Not Required As Needed Special Event Cleaning: As Needed 11 BASE HILL, INC. Staffing City of Seal Beach RFP for Janitorial Services Organizational Chart Assistant Project Manager Lead Supervisor Janitors/Day Porters Back up crew) Project Manager Janitors/Day Porters 12 Quality Control Manager Site Safety & Health Officer Carpet/Floors/Windows Specialist BASE HILL, INC. Management Team City of Seal Beach RFP for Janitorial Services The following Management Personnel will be overseeing the contract, and * Emergency Contacts) can be reached 24/7, 365 days a year. Our Project Manager is authorized to negotiate the contract on behalf of Base Hill, Inc. Project Manager: Sunny Kim (213) 235-7722 sunnykim@basehill.com Point of Contact to discuss/negotiate contract Assistant Project Manager: Phillip Van (213) 425-3077 phillipvan@basehill.com Assists Project Manager on day-to-day operations regarding Janitorial Services for the City of Seal Beach. Quality Control Manager: John Yang (213) 425-3078 johnyang@basehill.com Works directly with City of Seal Beach Representative, and on-site janitorial to ensure all services are being provided at a top tier cleaning standard. Provides monthly schedules for upcoming periodic work. Ensures janitorial staff is properly trained and has all the proper equipment and supplies needed to complete all janitorial services required. Site Safety & Health Officer: Chase Woo chasewoo@basehill.com Ensure staff is trained in proper work safety and ensure all staff is properly trained in proper disinfection protocols (i.e., COVID-19) based on the CDC's recommendations for proper disinfection. Lead Supervisor: Young Chung youngchung@basehill.com On-site Lead Supervisor for Janitorial team, supervises and ensures all janitorial services are being completed on-time. Informs QCM for restocking of supplies and equipment. 13 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services Carpet/Floor/Windows Tech Supervisor: Johnny Kim johnnykim@basehill.com Expert in managing and providing Carpet Shampoo/deep cleaning service, floor service, and window cleaning. All janitorial staff is located within 15-30 minutes of the City of Seal Beach, and our Emergency Contact / Quality Control Manager (John Yang) lives 15-20 minutes from Seal Beach and can respond to any emergency calls and shall be ready to respond correctly. He is regularly in Seal Beach on the weekends visiting his parents at Leisure World. Training All Base Hill personnel undergo extensive training in the use of equipment, product safety„ and security measure. Employee undergo training based upon the Worker Occupational Safety and Health Training and Education Program (WOSHTEP). Under the Commission on Health and Safety and Worker's Compensation of the State of California. In addition to WOSHTEP safety standards Training covers: Correct use of cleaning products Correct use of cleaning machines Carpet care and cleaning Hard floor surfaces care and cleaning Toilet/bathroom cleaning Hygiene and infection control Identifying potential hazardous issues Dust control Utility conservation Waste management Use of personal protective equipment All Base Hill., Inc. personnel are thoroughly screened, trained, and qualified. All personnel undergo criminal background checks and are screened for any health issues and concerns. 14 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services SITE-SPECIFIC HAZARDS AND CONTROLS CLEANING POLICIES AND PROCEDURES Supplies — All cleaning supplies shall be clearly labeled, and all Material Safety Data Sheets shall be maintained with the cleaning products. Toilet Cleaning Tools — All items used to clean toilets or urinals shall be color coded and marked clearly, used only for that purpose. Restrooms.— No slippery residue shall be left on floors after cleaning, and signs indicating "Closed of Cleaning" shall be used at entrances to prevent accidents. Employees will make sure floor is safe before removing wet floor signs. Trash Removal — Trash bags shall not be overloaded. Leather/protective gloves shall be worn if needed to protect hands, and proper lifting techniques shall be practiced to avoid injury. Employees shall work together to lift larger or awkward loads. Policing Grounds — Employees shall exercise care when working on slippery or uneven surfaces. Proper lifting techniques shall be practiced to avoid injury. Sanitation/Hygiene — Appropriate personal protective equipment shall be worn to protect employees from exposure to harsh chemicals and body fluids while cleaning. Hand cleaner shall be available to wash and disinfect hands upon completion of cleaning work. Hazardous Materials — If suspicious or hazardous materials are found during the course of cleaning, the area shall be secured, and the proper authorities shall be notified. 15 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services Signs — While work is in progress, "Closed for Cleaning" and "Wet Floor" sign shall be visibly placed. Before workers leave, excess water will be mopped from the floor so that Wet Floor" signs will not be needed Reported Hazards — When hazards to public safety are discovered by or reported to the workers, the workers shall report the Hazard immediately to Project Manager and other employees. Fall/Slip Hazards — Employees should be careful not to trip or walk over extension cords, power plugs. Employees should take caution when walking over slippery or wet floors. Employees shall not climb on top 2 steps of ladders to prevent major fall injury.. Electrical Hazard — Employees shall be careful when working with water near electrical outlets, equipment, etc. Water and electricity can be very dangerous and can cause electrocution, employees should always be aware of their surroundings and shall be careful not to spill water near electrical outlets, equipment, etc. and when mopping or performing cleaning duties. 16 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services References City of South Pasadena Contract: 07/01/19-06/30/22 Total Value: $459,254.11 Description of services: Full janitorial services and floor care for City Facilities: City Hall, Council Chambers, Police Department, War Memorial Building, Park Clubhouse, Park Restrooms, Park Youth House, City Yard, Recreation Center, Public Library, Senior Citizen's Center, and Water Facility. Francois Brard 1414 Mission St. South Pasadena, CA 91030 626-403-7200 fbrard'(a.southpasadenaca.gov 17 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services City of Highland Period of performance: April 2019 — Current Description of services: Full janitorial services for city hall, police department, public works, city parks, etc.. Jim Richardson Public Works Manager City of Highland 27215 Baseline St Highland, CA 92346-312 909-863-0284 x101 irichardson(a cityofhighland.org ip BASE HILL, INC. City of Seal Beach RFP for Janitorial Services City of South EI Monte Contract: 05/01/19-04/30/22 Total Value: $432,230 Description of services: Full janitorial services and floor care for City Facilities: City Hall, Public Works, and Recreation Centers. Rene Salas Public Works Director 1415 N. Santa Anita Avenue South EI Monte, CA 91733 626-579-6540 ext. 3040 rsalas(cD-soelmonte.org 19 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services City of Rosemead Contract: 04/16/18 - 03/31/23 Total Value: $1,090,745.90 Area: Approx 175,000 sq ft. Description of services: Full janitorial services and floor care for City Facilities: City Hall, Public Works, Sheriffs office, Recreation Centers, Park facilities, restrooms and pools. Marty Jones Public Services 8838 East Valley Boulevard Rosemead, CA 91770 626-569-2262 miones cityofrosemead. orq NY BASE HILL, INC. City of Seal Beach RFP for Janitorial Services Jurupa Community Services District (City of Eastvale — Jurupa Valley) Period of performance: 2019/03/18 — 2021/03/17 (3 year contract); 2022 and 2023 option years Total Value: $570,240.00 ($15,840/month) Description of services: Full janitorial service and day porters for parks, park restrooms, trail, and special events for the city. Travis Viseth Park Foreman 11201 Harrel Street Jurupa Valley, CA 91752 951-790-615 tviseth jcsd.us 21 wz z wH z o c 0 U d ad W 2 W oUz O Q N N N Q a co r' to co O O N N co CR 00ti m rZ M M CD 0 o N co M CO ap p d' U rys res r s bs rs Gr ti zcn tt G 0') 0) 0 a7 a) ti o N Cq 0 0 N D LO CC) U es se sR A 6s Go,). res e0s Y U a) O 06 O N O E N c U) O O U 6 0 E — cu aa) 00 o n cr tE c j O z cn 0 a) E o O o O NY 2 U c tm Cf m a) U)CL C a) m U O a L i a) co a) F a U wz N M F cm 0o M N U U W WW ad a0., d 0 0 0 0 CN Q Q Q Q N Gq z z z z cq co c di OOo co pOj CO d CO dw O O T co CM Crj Q GS GS GS z tLO N ti O 00 N co q rM T CSI N 0Q z L E U) U)O O E E O O" m U E O O a O a) O. i. U aa) i D N c c t a) a) ma a. o tc m cu O UO O U E Wco U O a^) vJ L M a) E m Y a) to U U L L o 0) aa) a) 0. a) UZUcoU) 0 a d N d Pa F cm 0o M N ca cn a) U a) C ca ui 4- ca L 0 ca a) O L— CLCL 2 U) i— Z W ca a) U a) C a-- C a) E U O a) cc ca Q a) N cz D O U C a) E N 7 ca co O a U C ca A c ca a) 0 N W '?3 O G O O O N N N v C ff3 Cf} yg 6F} SR C ca U_ Q coN U N U U N Z U Qa^) VJ ca) W L 0 L z t a) C-6 o n n C)- 0U) 0 U) Z Z aa))N Z . A Q Q cu QU z a a a a a U) i— Z W ca a) U a) C a-- C a) E U O a) cc ca Q a) N cz D O U C a) E N 7 ca co O a U C ca A c ca a) 0 N BASE HILL, INC. ' City of Seal Beach RFP for Janitorial Services Fee & Cost Proposal Adjustments 2% Fee/Cost Increase every anniversary(annually) of contract start date. 25 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services Quality Control Plan Purpose The purpose of Base Hill, Inc. Quality Control Plan is to ensure that the City of Seal Beach cleaning standards are met. Our goal is satisfying our customers by providing professional cleaning services that meets and exceeds their expectations. Jan Points Quality Control Plan consists of the following three core components: 1. Formal Employee Training. 2. Quality Measurement 3. Performance Evaluation Formal Employee Training Base Hill, Inc. employees are trained in providing top tier cleaning service. Employees are trained from hire on cleaning practices, methods, and efficiency. During training and pre -performance meetings employees go through a step-by-step process of defining and detailing each task associated with their responsibility. Re -fresher training is applied to employees yearly and when deficiencies arise. All janitorial crew members will be cross -trained to ensure availability of crew members to compensate for any time -off, vacation, and medical leave. Quality Measurement Base Hill, Inc. Building Maintenance Services uses a "Pass/Fail" approach to measure quality. Employees have a quality control checklist used by our Quality Control Officer for double checking quality assurance and ensuring customer satisfaction is met and exceeded. Performance Evaluation Base Hill's Quality Control Report is the main component for measuring quality. Each location serviced is tracked and recorded on a Monthly Quality Control Report. 26 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services Quality Control Manager (John Yang, QCM) On -Site personnel/staff who will monitor and ensure performance is meeting the standards of the Quality Control Plan (QCP). Responsible for Quality Control Inspections and surveillance and all associated reports. Ensure all supplies and equipment are meeting contract standards. Hold monthly/random quality inspections to monitor performance at each service location. Initial Inspections Initial inspections are made by the Quality Control Manager for each site location of the contract to familiarize with each site location and to ensure that the contract specifications will be met at each location. During the phase-in period the Quality Control Officer can determine the quality level expected from the staff for each site location of the contract and if any existing deficiencies are noted, the Quality Control Manager will implement proper corrective action to address these needs accordingly. Materials/Equipment All materials/equipment shall be reviewed and certified by the Quality Control Manager to ensure contract specifications are met. All copies of the equipment manuals, including catalog sheets showing dimensions, capacities, performance characteristics, wiring diagrams, schedules, operation, and maintenance manuals and any other relevant information are reviewed and controlled by the Quality Control Manager. All information is then filed with the Project Manager and Site Supervisor, so all available resources are accessible to the cleaning staff. Preparatory/Scheduled Staff Meeting Preparatory meeting with all staff and subcontractors (if applicable) will be performed prior to the start of the contract. A meeting will be held for each cleaning crew actively performing services or for any new hires or crew changes. Preparatory meetings are conducted by the Quality Control Manager and/or designee along with managers/coordinators for a complete review of all applicable plans, specifications, and 27 BASE HILL, INC. City of Seal Beach RFP for Janitorial Services related submittals. At the preparatory meeting, the management staff will introduce and detail the QCP to all involved parties. Regular staff meeting is also conducted to ensure all employees are up to date. Topics to include: Review of contract specifications Review of applicable plans Review of materials and equipment Review the detailed sequence of proper execution of the contract Discuss required quality control testing and- frequency Review provisions and ensure controlled inspections and testing Examination of the work area to ensure that the required services are in compliance with the contract specifications and are up to Base Hill, Inc. and City of Seal Beach Performance of Work quality standards. Site Inspections (Monthly/Random) The Quality Control Manager will visit site locations monthly and additional random inspections to ensure that the quality control meets or exceeds the contract specifications. The Quality Control Manager will note any problem areas and coordinate with the Site Supervisor to properly mediate these areas before they become deficiencies. A sample of our Quality Control Inspection report can be found under sample reports. Deficiencies Quality Control reports with deficiencies are filed and logged with the Project Manager and Site Supervisor. If two or more reports with deficiencies occur at a site location, site staff will go through refresher training course. W BASE HILL, INC. City of Seal Beach RFP for Janitorial Services Corrective Action Plan Project Manager will receive Quality Control reports from Quality Control Manager and coordinate with staff to properly correct the deficiency with the site staff. Refresher/re- training will be provided until the deficiencies are corrected. If successive re-training does not rectify the deficiency, more drastic measure will be implemented. State of California Department of Industrial Relations Division of Labor Standards Enforcement Licensing & Registration Unit 1515' Clay Street, Ste. 1902 Oakland, CA 94612 Janitorial Services Registration REGISTRANT WITH EMPLOYEES Registration Number: JS -LR -1000718587 Effective Date Expiration Date 3/1/2022 3/1/2023 Base Hill, Inc. 11823 Slauson Ave, SUITE #3 Santa Fe Springs, CA 90670 Workers Compensation Insurance Expiration Date: August 15, 2022 Having paid to the Labor Commissioner of the State of California the required Registration Fee is hereby granted a registration to conduct the business of Janitorial Services in the State of California at the location(s) listed above and effective for the period designated above in conformity with the provisions of Chapter 4, Part 4.2, Division 2 of the Labor Code and the rules and regulations issued thereunder by the Labor Commissioner. THIS REGISTRATION IS NOT TRANSFERABLE AND IS VALID ONLY AT THE REGISTERED OPERATING LOCATION INDICATEDABOVE POST IN A CONSPICUOUS PLACE ALTERATIONS WILL VOID THIS REGISTRATION 011 Sunny Kim 11823 Slauson Avenue, Suite 3, Santa Fe Springs, CA 90670 1213-425-3070 1 sunnykimObasehill.com President Number of Years in Classification: 20, Number of Years with Firm: 16 Brief Summary of Professional Experience Providing janitorial services for private companies and governments including carpet shampoo, floor care, window cleanings, and day porter services in overall building, care. Education B.A I DEC, 19981 CALIFORNIA STATE UNIVERSITY, LONG BEACH Bachelor in Business Administration, concentration on Finance Skills & Abilities CERTIFICATIONS 8(a) Certificate -Issued by US SBA for Disadvantaged Minority Business (June 2014 -Current) Firm ID#: 306291 DBE Certificate - Issued by California State, Disadvantaged Business Enterprise (Dec. 2017 -Current) Firm ID#: 44399, California Unified Certification Program (CUCP). Janitorial Service Training Certificates area issued by Stover & Associates, Inc. o Understanding the request for proposal, 3/8/2017 o How to Qualify for the GSA Schedule, 3/22/2017 o Developing the Technical & Past Performance, 3/13/2017 o Federal Contract Basics, 3/9/2017 Experience US Air Force Base, Fairbanks, Alaska - Janitorial Service, Contract ID # FA500418CO04 $617, 564/5Yrs (April 2018 -Current) FAA, Air Traffic Control Tower, Klamath Falls, Oregon - Janitorial Service, Contract ID #: DTFASA17C00343, $44, 100/5Yrs Current United States Army Recruiting Office, Berkeley, California - Janitorial Service, Contract ID #: W9123818P0031, 5,520/Yrs (April 2018 - Current) DOT, Cal Trans, Los Angeles, California - Janitorial Service, Contract ID #: 0713000013, $4,920/Year (Oct. 2014 - Current) References Ryan Mengis, President, Southern Oregon Commercial Janitorial LLC,, Oregon, Tel: 541-569-1931, ryanmengis @gmail.com Stefanie Tocco, Program Manager, National Janitorial Solutions, Inc. New Jersey. Tel: 877-227-6374 x130, stocco@natjan.com Kevin Ahn, President, K -Tech Construction Inc., Los Angeles, CA, Tel: 213-598-2588, kevinahn4@hotmail.com 31 Phillip Van 11823 Slauson Ave., Suite 3, Santa Fe Springs, CA 90670 1213-425-30701 phillipvan@basehill.com Vice President Number of Years in Classification: 2, Number of Years with Firm: 8 Brief Summary of Professional Experience 2005-2010 Aura Asset Group -House Broker 2011- 2016 Jan Point - Regional Manager 2017- Present Jan Point -Vice President B.S. I JUNE, 06'1 UNIVERSITY OF CALIFORNITA, IRVINE Bachelor in Science of Business Administration, concentration on Economics/Sociology Experience 2011- 2016, Jan Point, Pomona CA, Regional Manger o Managed regional contracts 2017 - Present, Jan Point, Santa Fe Springs CA, Vice President o Contract specialist and representative References Guada Chadderdon, Property Coordinator, Bixby Land Company, 949-336-7034, gchadderdon@bixbyland.com Nancy Champlin, RN, Surgery Partners LLC, 562-945-2832, nchamplin@surgerypartners.com Raphael Armijo, Manager, Alsco Inc., 714-774-4165, rarmijo@alsco.com 32 John K. Yang 11823 Slauson Ave., Suite 3, Santa Fe Springs, CA 90670 1213-425-3070 1 johnyang0basehill.com Regional/Area Manager Number of Years in Classification: 2, Number of Years with Firm: 8 Brief Summary of Professional Experience 06'-08' Managed/Operated Auto Shop (Smog Center), 09'-15' Project Manager (Jan Point), 15'-17' Account Manager (Balboa Capital), 17' -Present.' Regional/Area Manager (Jan Point). B.A I JUNE, 14' 1 CALIFORNIA STATE UNIVERSITY, FULLERTON Bachelor in Business Administration, concentration on Accounting Experience 2009 - 2015, Jan Point, Pomona CA, Project Manger o Managed cleaning crews on commercial job sites (Barnes & Noble bookstores, DSW) 2015 - 2017, Balboa Capital, Costa Mesa CA, Account Manager (Vendor Finance Department) o Equipment Financing, Managed Vendor/Customer Accounts, Train new hires, Manage Junior Sales Team References Alejandro Klug-Morataya, IT/Network Specialist, Living Spaces Corporate Headquarters, 562- 277-6391, aklugmorataya@gmail.com Carla M. Freberg, Director of Sales - Vendor Services Group, Balboa Capital, 949-756-0800, carlamf@balboacapital.com Wilson Hernandez, Executive Manager, ASM Commercial Services, 562-623-5662, auro.silves@yahoo.com 33 EXHIBIT B Request for Proposal City of Seal Beach Request for Proposals for Janitorial Services Optional Pre -Proposal Meeting: 9:00 A.M., August 30, 2022 City of Seal Beach City Hall — 211 8th Street RFP responses to be received until 12:00 P.M., September 12, 2022 in the Public Works Department ATTN: Iris Lee, Acting Public Works Director Approved for Advertising: Iris Lee Acting Public Works Director Date Issued: August 16, 2022 Table of Contents I. INTRODUCTION II. QUALIFICATIONS III. SCOPE OF SERVICES IV. PRE -PROPOSAL QUESTIONS V. SCHEDULE VI. SUBMITTAL REQUIREMENTS VII. FEE AND COST PROPOSAL VIII. INTERVIEW IX. SELECTION PROCESS X. SPECIAL PROVISIONS XI. GENERAL CONDITIONS EXHIBIT A — Fee & Cost Proposal EXHIBIT B — Facility Location and Profile EXHIBIT C — Cleaning Task Matrix EXHIBIT D — Sample Contract REQUEST FOR PROPOSALS FOR JANITORIAL SERVICES ALL INTERESTED PARTIES MUST REGISTER THROUGH PLANETBIDS., COMMUNICATION AND ADDENDA, IEANY, WILL BE DISTRIBUTED. TO REGISTERED PARTIES VIA THE PLANETBIDS PORTAL. I. INTRODUCTION The City of Seal Beach ("City") owns and operates a number of facilities and parks that require janitorial services. The cleaning frequency and specific tasks for each location may vary, but regular and thorough cleaning is required to maintain the operational efficiency, as well as the aesthetic appearance for internal customers and external visitors. While a specific facility may be operated by of one of the City's ten (10) departments, the overall function of administering the City's contract for Citywide janitorial services fall under the direction of the Public Works Department. As part of these services, the provision of consumer products such as paper towels, toilet paper and seat liners, hand soap, air freshener, and other general necessities shall be included. The City is seeking proposals from qualified vendors interesting in providing the City with the following: Janitorial services at Fourteen (14) City -owned facilities with day porter services at certain facilities The objective of this Request for Proposal ("RFP") solicitation is to identify the qualified vendor to provide the requested services for an anticipated term of four (4) years, with two (2) possible one (1) year extensions. The final agreement amount and term will depend on the quality, diversity, and responsiveness of the received proposals. II. QUALIFICATIONS Minimum Qualifications Minimum of seven (7) years of professional janitorial services for buildings, facilities, and parks in a public agency setting. Experience and/or demonstrated ability to provide satisfactory day porter services. Local staffing able to respond to an emergency call-back within 30 minutes, and able to deploy the appropriate resources to respond within two (2) hours after being contacted by the City. 3 r 0717151 W77V,q: Valid City of Seal Beach business license for the term of the Agreement, if selected. Maintain, or have the ability to quickly acquire, all necessary labor, equipment, and material to promptly complete the Work. Desirable Qualifications Knowledge and experience with the City of Seal Beach's standards, provisions, and practices. III. SCOPE OF SERVICES LOCATIONS: 1 City Hall 211 8th Street 2 City Yard 1776 Adolfo Lopez Drive 3 Fire Station #48 Community Room 3131 North Gate Road 4 First (1St) Street Restroom 1St Street Parking Lot 5 Lifeguard Headquarters 888 Ocean Avenue 6 Marina Community Center 151 Marina Drive 7 Mary Wilson Library & Senior Center 700 Electric Avenue 8 McGaugh Pool Restrooms & Deck 1698 Bolsa Avenue 9 North Seal Beach Community Center 133 St. Cloud Drive 10 Seal Beach Pier Restrooms 900 Ocean Avenue 11 Police Department Headquarters 911 Seal Beach Boulevard 12 Police Department Substation 900 Ocean Avenue 13 Seal Beach Tennis & Pickleball Center 3900 Lampson Avenue 14 Zoeter Softball Field Restrooms 11th Street @ Landing Avenue Each facility profile is provided in Appendix B. CLEANING TASKS AND FREQUENCIES Each facility's corresponding cleaning tasks and frequencies are outlined in Appendix C. It should be noted that the task descriptions are generalized in nature and outlined as a minimum requirement. 4 r SPECIAL REQUIREMENTS AND CONSIDERATIONS 1. Day porter service is required at two (2) of the facilities — (#4) 1 I Street Restrooms, and (#10) Seal Beach Pier Restrooms. Please review the facility profile for each of these facilities to ensure you are able to meet the day porter service provision requirements. 2. Special Events may be hosted at six (6) of the facilities — (#3) Fire Station #48 Community Room, (#6) Marina Community Center, (#7) Mary Wilson Library & Senior Center, (#9) North Seal Beach Community Center, (#13) Seal Beach Tennis & Pickleball Center, and (#14) Zoeter Softball Field Restrooms. Special Events cleaning will be requested on an as -needed basis, with a five (5) business day notification. Unless otherwise requested, Special Events cleaning will follow the "Daily" cleaning tasks for that facility, as noted in Appendix C. 3. Contractor shall complete a weekly inspection check list for each facility and submit to the City on a weekly basis. The Contractor may propose an alternate solution for consideration. 4. Nothing herein shall be construed to entitle the Contractor exclusive use of any facilities. Contractor shall conduct his/her operations so as not to interfere with City operations. CONTRACTOR RESPONSIBILITIES 1. Contractor shall designate a single point -of -contact with decision making authority for Work under this Contract, and shall be available during regular business hours. 2. Contractor shall prohibit any persons other than those designated and employed by the Contractor to accompany cleaning staff for Work. 3. Upon commencement of this Contract, Contractor shall provide to the City a list of all staff assigned to this Contract. The Contractor shall notify the City in writing within ten (10) business days of any staff assignment modification(s). 4. Contractor shall provide all equipment, labor, supervision, method of processes, and materials necessary to complete the Work. Contractor shall keep all materials and equipment neat, clean and readily available at all times. 5. Contractor shall provide all restocking supplies of materials of good quality, as approved by the City, and in the amounts necessary to fulfill the Contract requirements and to accomplish an acceptable and professional level of service. Janitorial supplies include all cleaning materials and restocking of consumer goods (i.e., trash receptacle liners, paper towels, toilet paper, toilet seat liners, hand soap, hand sanitizer, air freshener, etc.). Toilet paper must be minimum two-ply. 6. Contractor shall bring to the attention of the City any defective or inoperative building equipment no later than the following day after discovery. k, 7. Contractor shall be responsible for securing any and all buildings that he/she leaves after work has been completed, unless otherwise noted. This includes locking all doors and windows and setting proper alarm codes. 8. Contractor shall promptly and properly dispose of all debris accumulated as a result of cleaning. 9. Contractor shall be responsible for timely payment of any subcontractor, material persons, workers and suppliers. 10. Contractor shall have a valid City of Seal Beach business license for the term of the Contract, if selected. Billing Form, Records and Reports Contractor shall furnish and maintain daily logs and records for each location. The records shall include the name of employee, date, time in/time out, at a minimum. The format of said records shall be approved by City prior to use. Contractor shall provide a copy of any or all records to City upon request. Contractor shall maintain such record through the term of the Contract, plus three (3) years after Contract termination. Contractor shall provide a billing form and progress payment form approved by the City. Protection from Damage Contractor shall protect all public and private property that is not part of Work. Contractor is liable for any damages as a result of its staff using improper cleaning techniques and/or materials. Contractor shall repair such damage at Contractor's sole expense. Utilities City will provide necessary utility services to complete Work under this Contract. Withholdinq of Payment In the case that work scheduled for performance on a daily basis is not performed, or does not meet the quality standards as required by the City, the City will impose a deduction from the Contractor's following monthly invoice, a fee of $250.00 per individual occurrence, per location. In the case that work scheduled for performance on less than a daily basis is not performed, or does not meet the quality standards as required by the City, the City may allow the Contractor to correct the 9 deficiencies without penalty either during the next scheduled shift, or at a time mutually agreed upon. In the case that deficiencies are not corrected as required, the City will impose a deduction from the Contractor's following monthly invoice a fee to be determined by the City based on required performance, not to exceed $500.00 per individual occurrence, per location. Personnel The Contractor shall use and furnish all labor necessary for the satisfactory performance for the Work set forth in this Contract. a. Contractor's Staff Prior to commencement of this Contract, Contractor's staff are required to successfully pass a California Department of Justice Live Scan Fingerprinting background check ("Live Scan") performed by the City of Seal Beach Police Department located at 911 Seal Beach Boulevard. The Contractor shall be responsible for coordinating and paying for the cost of Live Scan, currently set at $32 as of the publish date of this RFP. Contractor shall be responsible for coordinating Live Scans for all new staff introduced for Work under this Contract as noted above prior to starting Work. The Contractor shall require each of his/her employees to adhere to basic standards of working attire. These are to include uniforms with the Contractor's company name or insignia clearly visible, proper shoes and other gear required by State Safety Regulations, and proper wearing of clothing, which includes shirts shall be worn at all times. The Contractor must employ sufficient personnel to perform all work as scheduled and approved by the City, including Contractor personnel transition periods. b. Supervision Contractor shall ensure a minimum of one (1) English-speaking employee working with each cleaning crew at any time. Contractor shall provide such adequate supervision as to furnish ongoing supervision of workmanship and adherence to schedules by the staff performing the Work. c. Typical Tasks Contractor shall supply his/her staff with the necessary skills to perform duties in connection with Work contemplated under this Contract. d. Knowledge and Abilities The Contractor's representative shall have knowledge of the janitorial services industry, including suitable experience in the field to perform the required Work in a safe and thoughtful manner Equipment The Contractor shall use and furnish all equipment necessary for the satisfactory performance of the Work set forth in this Contract. City may make available to Contractor selected equipment for the purposes of performing the Work. City may revoke ability to use said equipment at its discretion without notice and/or compensation to the Contractor. a. Equipment All equipment used by the Contractor shall be maintained in a clean appearance and in good operable condition. All equipment shall also be properly adjusted, from an operational safety standpoint. All equipment used by the Contractor shall adhere to Seal Beach Municipal Code Chapter 7.15 (Noise). b. Storage of Equipment & Materials If necessary and available, City will provide a designated space at each location where supplies may be stored. Emergency Service Contact Information and Response The Contractor shall provide the City at all times throughout the duration of this Contract emergency telephone numbers of at least two (2) qualified persons who can be called for emergency conditions at any time that Contractor's representatives are not immediately available at the job site. An alternate emergency number shall be provided in case no answer is received at the first number. The emergency number shall be used to contact the Contractor representative who can take the necessary action required to alleviate an emergency condition. Contractor is required to provide the City with a 24-hour emergency number for contact outside normal business hours. The response to an emergency call -out by the Contractor shall not be more than 30 minutes, deployment of appropriate resources to respond within two (2) hours, and shall be considered part of the normal Contract except when delayed by problems caused by vehicle accidents or Acts of God. Progress of Work Time is of the essence on every aspect of the Work. Work shall proceed in an expeditious and orderly manner. The Contractor shall endeavor to avoid service interruptions to the extent feasible. Any exceptions shall be approved by the City. Alterations The City reserves the right to increase, decrease, add, delete, and alter any item or portion of the Work as may be deemed necessary or advisable by the City. The City may make such alterations or deviations, additions to, or omissions from the Work, as may be determined during the progress of the Work to be necessary. Such alterations or deviations, additions or omissions shall in no way affect or make void the Agreement. Upon written order of the City, Contractor shall proceed with the Work as modified. N In the event that a location is closed for remodel, construction, emergency, or any other event(s) where Work cannot be performed, City will notify Contractor of such closure five (5) business days in advance. Monthly fees/cost shall be prorated for the days/durations where no Work was performed at such facility. Extra Work 1. Extra work shall not be performed without prior written approval by the City unless public safety is immediately at risk. 2. Extra services other than those listed in Exhibit A shall be negotiated on a time -and -material basis with a not to exceed" amount. 0 IV. PRE -PROPOSAL QUESTIONS For answers to questions or particulars regarding this Request for Proposal, all interested parties are to contact: Scott Smith Interim Deputy Public Works Director Department of Public Works 1776 Adolfo Lopez Drive Seal Beach, CA 90740 ssmithCcD-sealbeachca.gov 562) 431-2527 ext. 1432 The City will respond to all questions and requests for clarification received by September 6, 2022. V. SCHEDULE The following dates reflect the anticipated schedule: Request for Proposal Solicitation Optional Pre -Proposal Meeting Pre -Proposal Question Deadline Proposal Submittal Deadline Contractor Interview (if conducted) Contract Award by City Council Notice to Proceed VI. SUBMITTAL REQUIREMENTS Acceptance of Submittals 10 8/16/2022 8/30/2022, 9:00a.m. 9/6/2022 9/12/2022, 12:00p.m. September 2022 October 2022 October 2022 Proposals are due by 12:00 PM on September 12, 2022 to the following. Postmarks will not be accepted. Iris Lee Acting Public Works Director Department of Public Works 211 Eighth Street Seal Beach, CA 90740 ilee(a sealbeachca.gov 562) 431-2527 ext. 1322 Please submit three (3) bound hard copies, and one (1) electronic copy of the Contractor's Proposal. Proposals received after the date and time listed above will not be accepted or considered for this Project. There is no expressed or implied obligation for City to reimburse firms for any expenses incurred in preparing proposals in response to this request. Materials submitted by respondents are subject to public inspection 10 E "IM -4k, 0 r ! under the California Public Records Act (Government Code Sec. 6250 et seq.). Any language purporting to render the entire proposal confidential or propriety will be ineffective and will be disregarded. The City reserves the right to retain all proposals submitted, and to use any idea in a proposal regardless of whether the proposal was selected. Submission of a proposal indicates acceptance by the firm of the conditions contained in the RFP, unless clearly and specifically noted in the proposal submitted and confirmed in the contract between the City and the selected Contractor. All property rights, including publication rights of all reports produced by the selected Contractor in connection with services performed under this Agreement shall be vested in the City. Protest procedures and dispute resolution process shall follow 2 CFR Part 200.318(k), 23 CFR 172.5(c)(18). Information to be Submitted The following information shall be provided, at a minimum: Cover Letter Table of Contents Company Qualifications Local Staffing List Understanding/Approach References Fee & Cost Proposal Exceptions Business Entity Contract Signatories Cover Letter: Cover letter shall not exceed two pages. It shall provide an executive summary of the proposal, and designate the firm's authorized representative regarding this RFP. Table of Contents: The table of contents shall list the following sections with page numbers and information in each section shall be provided. Company Qualifications: Provide a summary of the Contractor's qualifications, including background and experience. Local Staffing List: Provide an organizational chart showing the names, positions, responsibilities, and availability of the individual(s) that would be assigned to this Agreement, including sub -Contractors. Identify the individual(s) authorized to negotiate the contract on behalf of the Contractor's firm and the Contractor's project manager. Understanding/Approach: Describe the Contractor's understanding of the Work requested in this RFP, any key issues that may need special attention. Describe how the Contractor will approach the scope of services and each task needed to complete the project. Any task assumptions and/or exclusions shall be clearly identified. References: Contractor should provide a minimum of three (3) references from public agencies the Contractor has performed work for within the last five (5) years. Information shall include, at a minimum: Agency name Scope of work and/or services provided, prime/sub-Contractor. 11 1 1 Contract outcome Contract value Dates Client project manager name, valid telephone number, and email Fee & Cost Proposal: Contractors will be required to submit a "Fee & Cost Proposal for Janitorial Services" as shown in Exhibit A. Additional labor/material rates may be provided in addition to Exhibit A. All rates shall remain for the term of the contract as permitted by law, unless specifically detailed as a supplement to Exhibit A. Exceptions: The Contractor shall review this RFP and attached sample contract. Exceptions to any portion of the RFP and/or City's standard agreement will need to be clearly identified. Identification of exceptions does not constitute City concurrence and acceptance. Exceptions may be negotiated with the top-ranked firm. Business Entity: Clearly indicate the firm's business entity type (i.e., a California corporation). Contract Signatories: Provide the two binding signatories for the firm, pursuant to California Corporation Code Section 313. VII. FEE AND COST PROPOSAL Before responding and submitting a proposal, it will be the responsibility of the Contractor to visit and familiarize him/herself with each location to determine the work to be done. An optional pre -proposal meeting is scheduled to facilitate this process. In preparing the fee and cost proposal for this project, the Contractor shall take into consideration the following: Fee proposal and billing rates shall remain effective for the term of the Agreement. Any anticipated billing/rate adjustments shall be clearly identified in the Proposal and shall not be made more than once each calendar year. 2. If applicable and necessary, the City will negotiate the final fee with the top-ranked Contractor. VIII. INTERVIEW Top ranked Contractor team(s) may be interviewed by the selection committee. Proposed key personnel from the Contractor's team may be requested to present the teams' and their qualifications at an interview. IX. SELECTION PROCESS Proposals will be evaluated on the basis of the response to all provisions of this RFP. Since this solicitation is an RFP as opposed to a Bid, pricing alone will not constitute the entire selection criteria. The City may use some or all of the following criterion in its evaluation and comparison of proposals submitted. The criteria listed are not necessarily an all-inclusive list. The order in which they appear is not intended to indicate their relative 12 v! f/ / $f:: FELL C Ilr7J f,I,!!l:•, importance. The City reserves the right to modify the evaluation criterion and percentage of score as deemed appropriate prior to the commencement of evaluation. The City reserves the right to determine whether or not a proposal meets the specifications and requirements of this RFP and reject any proposal that, in the City's sole opinion, fails to meet the detail or intent of the requirements. The City reserves the right to reject any and all proposals. POTENTIAL EVALUATION CRITERIA 1. Completeness of Response (Pass/Fail) Responses to this RFP must be complete. Responses that do not include the proposal content requirements identified within this RFP and subsequent addenda and do not address each of the requested items will be considered incomplete, may be rated a Fail in the Evaluation Criteria, and may receive no further consideration. 2. Qualifications & Experience (35 points) a. Local Presence - A statement addressing firm's ability to respond in emergencies and effectively conduct the Work for the City based on the Firm's or key staffs location. b. Relevant experience, specific qualifications, and expertise of the Contractor and sub - Contractors to perform the Work. c. Contractor's experience working in the public sector and knowledge of public sector procurement processes, in particular City of Seal Beach standards, processes, and policies. d. Quality of references from at least three (3) agencies the Contractor currently or have previously contracted for in the past five (5) years. 3. Organization & Approach (25 points) a. Contractor's understanding and approach of the Work b. Contractor's availability to complete both small and large scale projects without the compromise of quality, cost, and/or time. c. Services offered and/or excluded 4. Fee (40 points) a. Fee & Cost proposal The City reserves the right to determine whether or not a proposal meets the specifications and requirements of this RFP and reject any proposal that, in the City's sole opinion, fails to meet the detail or intent of the requirements. The City reserves the right to reject any and all proposals. The City reserves the right to put non -emergency and pre -planned projects out for formal bidding. All proposals received as specified will be evaluated by City staff in accordance with the abovementioned. During the evaluation period, the City may do any or all of the following: generate a "short list' and conduct interviews with the top candidates; conduct on-site visits and/or tours of the candidates' places of business. 13 Contractors should be aware that award may be made without Contractor visits, interviews, or further discussion or negotiations. X. SPECIAL PROVISIONS a. Contractor shall maintain an adequate crew of at least two experienced employees to perform the Work required. b. Contractor will be required to supply a list of references for similar work performed. c. Contractor will be required to supply a list of sub -contractors, if applicable. d. Contractor will be required to supply additional experience references, if requested. e. Contractor shall provide City with required proof of liability insurance, workman's compensation insurance, vehicle insurance, and City business license as noted in the Contract. f. Contractor shall be responsible for Contractor's compliance in all respects with the prevailing wage rates to all the laborers involved, and with California Labor Code Section 1770 et seq., including the keeping of all records required by the provisions of Labor Code Section 1776 and the implementing administrative regulations. The City shall be a third party beneficiary of the forgoing covenant with rights to enforce the same as against the Contractor. g. Hourly rates and unit prices quoted shall include all safety equipment required. All incidentals shall be included in quoted prices. h. At any time prior to proposal due date, Contractor may inspect City property for further information, if desired. City representatives will be available if desired to answer questions. i. Contractor shall protect any and all public and private property adjacent to work areas. Any damage resulting directly or indirectly from Contractor's actions shall be the responsibility of the Contractor. j. Contactor shall adhere to all Cal -OSHA rules and regulations for any and all Work performed under this Contract. XI. GENERAL CONDITIONS A. Signature The Proposal shall be signed by an individual authorized to bind the Contractor. B. Other Considerations: The City shall not be liable for any pre -contractual expenses incurred by any firm considering submitting a proposal in response to this RFP. 14 1 The City reserves the right to accept or reject any and all proposals, or any part of, or waive any informalities or irregularities. The City reserves the right to withdraw, to cancel this RFP at any -time without prior notice and the City makes no representations that any contract will be awarded to any firm responding this RFP. C. Business License Required The Seal Beach Municipal Code requires all businesses operating in the City to obtain a business license and pay a business license tax. For more information, go to www. seal beachca.gov. D. Prevailing Wage All work performed in connection with execution of this contract work shall be performed in compliance with all applicable laws, ordinances, rules and regulations of federal, state, county or municipal governments or agencies (including, without limitation, all applicable federal and state labor standards, including the prevailing wage provisions of sections 1770 et seq. of the California Labor Code),, and (b) all directions, rules and regulations of any fire marshal, health officer, building inspector, or other officer of every governmental agency now having or hereafter acquiring jurisdiction. The Contractor shall indemnify, defend and hold the City harmless from any and all claims, causes of action and liabilities based upon or arising from the failure of any work related to the Agreement to comply with all such applicable legal requirements, including, without limitation, any such claims, causes of action or liabilities that may be asserted against or incurred by City with respect to or in any way arising from the Project's compliance with or failure to comply with applicable laws, including all applicable federal and state labor requirements including, without limitation, the requirements of California Labor Code section 1770 et seq. Contractor agrees that all public work (as defined in California Labor Code section (1720) performed pursuant to this Agreement (the "Public Work"), if any, shall comply with the requirements of California Labor Code sections 1770 et seq. City makes no representation or statement that the project or any portion thereof, is or is not a "public work" as defined in California Labor Code section 1720. In all bid specifications, contracts and subcontracts for any such Public Work, Contractor shall obtain the general prevailing rate of per diem wages and the general prevailing rate for holiday and overtime work in this locality for each craft, classification or type of worker needed to perform the Public Work, and shall include such rates in the bid specifications, contract or subcontract. Such bid specifications, contract or subcontract must contain the following provision: "it shall be mandatory for the Contractor to pay not less than the said prevailing rate of wages to all workers employed by the contractor in the execution of this contract. The Contractor expressly agrees to comply with the penalty provisions of California Labor Code section 1775 and the payroll record keeping requirements of California Labor Code section 1771." E. Registration with the Department of Industrial Relations In accordance with Labor Code Sections 1725.5 and 1771.1, no contractor or subcontractor shall be qualified to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or engage in the performance of any contract for public work, unless currently registered and qualified to perform public work pursuant to Section 1725.5 [with limited exceptions for bid purposes only under Labor Code Section 1771.1(a)]. The Department of Industrial Relations Registration Number shall be listed for the Contractor and each subcontractor, if any, in the bid proposal. 15 EXHIBIT A FEE & COST PROPOSAL INTENTIONALL OMITTED r EXHIBIT B FACILITY LOCATION AND PROFILE 20 FACILITY PROFILE: CITY HALL LOCATION NUMBER: 1 ADDRESS: 2118TH STREET JOE TALARICO SITE CONTACT: jtalarico@sealbeachca.gov 562) 346-7407 SQUARE FOOTAGE APPROX): 13,000 SF NUMBER OF BATHROOMS: 5 CLEANING DAYS: MONDAY -FRIDAY CLEANING TIMES: 6:00 P.M. to 6:00 A.M. DAY PORTER SERVICE: NO SPECIAL EVENT CLEANING REQUIRED NO AS -NEEDED BASIS): COUNCIL CHAMBERS MAY NOT BE CLEANED UNTIL THE COMPLETION ADDITIONAL COMMENTS: OF COUNCIL, BOARD, COMMISSION, OR CITY -SCHEDULED MEETINGS, IF ANY. FACILITY PROFILE: CITY YARD LOCATION NUMBER: 2 ADDRESS: 1776 ADOLFO LOPEZ DRIVE SITE CONTACT: JOE TALARICO jtalarico@sealbeachca.gov 562) 346-7407 SQUARE FOOTAGE APPROX): 3,100 SF NUMBER OF BATHROOMS: 2 CLEANING DAYS: MONDAY -FRIDAY CLEANING TIMES: 6:00 P.M. TO 5:00 A.M. DAY PORTER SERVICE: NO SPECIAL EVENT CLEANING REQUIRED AS -NEEDED BASIS): NO ADDITIONAL COMMENTS: ADMINISTRATION BUILDING ONLY FACILITY PROFILE: FIRE STATION #48 COMMUNITY ROOM LOCATION NUMBER: 3 ADDRESS: 3131 NORTH GATE ROAD SITE CONTACT: 10E TALARICO italarico@sealbeachca.gov 562) 346-7407 SQUARE FOOTAGE APPROX): 1,000 SF NUMBER OF BATHROOMS: 2 CLEANING DAYS: MONDAY -FRIDAY CLEANING TIMES: 6:00 P.M. TO 6:00 A.M. DAY PORTER SERVICE: NO SPECIAL EVENT CLEANING REQUIRED AS -NEEDED BASIS): YES ADDITIONAL COMMENTS: COMMUNITY ROOM ONLY FACILITY PROFILE: FIRST (1ST) STREET RESTROOMS LOCATION NUMBER: 4 ADDRESS: 11T STREET PARKING LOT JOE TALARICO SITE CONTACT: italarico@sealbeachca.gov 562) 346-7407 SQUARE FOOTAGE 850 SF APPROX): NUMBER OF BATHROOMS: 2 CLEANING DAYS: MONDAY -SUNDAY PEAK: 7:00 A.M. TO 10:00 P.M. CLEANING TIMES: OFF-PEAK: 7:00 A.M. TO 8:00 P.M. DAY PORTER SERVICE: YES SPECIAL EVENT CLEANING REQUIRED NO AS -NEEDED BASIS): PEAK: MAY 1 TO SEPTEMBER 30 OFF-PEAK: OCTOBER 1 TO APRIL 30 PEAK & OFF-PEAK PERIODS ARE SUBJECT TO CHANGE AT ANY TIME DURING THE CONTRACT. ADDITIONAL COMMENTS: MAINTENANCE OF THIS LOCATION WILL BE RELINQUISHED TO THE 15 1ST STREET TENANT UPON ITS TENANT IMPROVEMENT COMPLETION, ANTICIPATED TO BE EARLY 2023. FACILITY PROFILE: LIFEGUARD HEADQUARTERS LOCATION NUMBER: 5 ADDRESS: 888 OCEAN AVENUE JOE TALARICO SITE CONTACT: italarico@sealbeachca.gov 562) 346-7407 SQUARE FOOTAGE 1,900 SF APPROX): NUMBER OF BATHROOMS: 2 CLEANING DAYS: MONDAY -FRIDAY CLEANING TIMES: 6:00 P.M. TO 6:00 A.M. DAY PORTER SERVICE: NO SPECIAL EVENT CLEANING REQUIRED NO AS -NEEDED BASIS): ADDITIONAL COMMENTS: THIS IS A 3 -STORY BUILDING WITH NO ELEVATORS FACILITY PROFILE: MARINA COMMUNITY CENTER LOCATION NUMBER: 6 ADDRESS: 151 MARINA DRIVE SITE CONTACT: JOE TALARICO italarico@sealbeachca.gov 562) 346-7407 SQUARE FOOTAGE APPROX): 4,600 SF NUMBER OF BATHROOMS: 2 CLEANING DAYS: MONDAY -FRIDAY CLEANING TIMES: 10:00 P.M. TO 6:00 A.M. DAY PORTER SERVICE: NO SPECIAL EVENT CLEANING REQUIRED AS -NEEDED BASIS): YES ADDITIONAL COMMENTS: FACILITY PROFILE: MARY WILSON LIBRARY & SENIOR CENTER LOCATION NUMBER: 7 ADDRESS: 700 ELECTRIC AVENUE SITE CONTACT: JOE TALARICO italarico@sealbeachca.gov 562) 346-7407 SQUARE FOOTAGE APPROX): 2,000 SF NUMBER OF BATHROOMS: 2 CLEANING DAYS: MONDAY -FRIDAY CLEANING TIMES: 10:00 P.M. TO 6:00 A.M. DAY PORTER SERVICE: NO SPECIAL EVENT CLEANING REQUIRED AS -NEEDED BASIS).: YES ADDITIONAL COMMENTS: LARGE MEETING ROOM AND KITCHEN, ONLY FACILITY PROFILE: MCGAUGH POOL RESTROOMS DECK LOCATION NUMBER: 8 ADDRESS: 1698 BOLSA AVENUE SITE CONTACT: JOE TALARICO italarico@sealbeachca.gov 562) 346-7407 SQUARE FOOTAGE APPROX): 8,000 SF NUMBER OF BATHROOMS: 2 CLEANING DAYS: MONDAY -SUNDAY CLEANING TIMES: 10:00 P.M. TO 6:00 A.M. DAY PORTER SERVICE: NO SPECIAL EVENT CLEANING REQUIRED AS -NEEDED BASIS): NO ADDITIONAL COMMENTS: POOL RESTROOMS AND POOL DECK, ONLY FACILITY PROFILE: NORTH SEAL BEACH COMMUNITY CENTER LOCATION NUMBER: 9 ADDRESS: 3333 ST. CLOUD DRIVE SITE CONTACT: JOE TALARICO italarico@sealbeachca.gov 562) 346-7407 SQUARE FOOTAGE APPROX): 4,550 SF NUMBER OF BATHROOMS: 2 CLEANING DAYS: MONDAY -FRIDAY CLEANING TIMES: 10:00 P.M. TO 6:00 A.M. DAY PORTER SERVICE: NO SPECIAL EVENT CLEANING REQUIRED AS -NEEDED BASIS): YES ADDITIONAL COMMENTS: FACILITY PROFILE: SEAL BEACH PIER RESTROOMS LOCATION NUMBER: 10 ADDRESS: 900 OCEAN AVENUE JOE TALARICO SITE CONTACT: italarico@sealbeachca.gov 562) 346-7407 SQUARE FOOTAGE 1,000 SF APPROX): NUMBER OF BATHROOMS: 2 CLEANING DAYS: MONDAY -SUNDAY PEAK: 7:00 A.M. TO 10:00 P.M. CLEANING TIMES: OFF-PEAK: 7:00 A.M. TO 8:00 P.M. DAY PORTER SERVICE: YES SPECIAL EVENT CLEANING REQUIRED NO AS -NEEDED BASIS): PEAK: MAY 1 TO SEPTEMBER 30 OFF-PEAK: OCTOBER 1 TO APRIL 30 ADDITIONAL COMMENTS: PEAK & OFF-PEAK PERIODS ARE SUBJECT TO CHANGE AT ANY TIME DURING THE CONTRACT. FACILITY PROFILE: POLICE DEPARTMENT HEADQUARTERS LOCATION NUMBER: 11 ADDRESS: 911 SEAL BEACH BOULEVARD JOE TALARICO SITE CONTACT: jtalarico@sealbeachca.gov 562) 346-7407 SQUARE FOOTAGE 22,000 SF APPROX): NUMBER OF BATHROOMS: 6 CLEANING DAYS: MONDAY -FRIDAY CLEANING TIMES: 6:00 P.M. TO 6:00 A.M. DAY PORTER SERVICE: NO SPECIAL EVENT CLEANING REQUIRED NO AS -NEEDED BASIS): NO JAIL, NO ARMORY, NO EVIDENCE LOCKER, OR ANY OTHER ADDITIONAL COMMENTS: SECURITY -SENSITIVE AREAS FACILITY PROFILE: POLICE DEPARTMENT SUBSTATION LOCATION NUMBER: 12 ADDRESS: 900 OCEAN AVENUE SITE CONTACT: JOE TALARICO jtalarico@sealbeachca.gov 562) 346-7407 SQUARE FOOTAGE APPROX): 850 SF NUMBER OF BATHROOMS: 1 CLEANING DAYS: MONDAY -FRIDAY CLEANING TIMES: 6:00 P.M. TO 6:00 A.M. DAY PORTER SERVICE: NO SPECIAL EVENT CLEANING REQUIRED AS -NEEDED BASIS): NO ADDITIONAL COMMENTS: FACILITY PROFILE: SEAL BEACH TENNIS & PICKLEBALL CENTER LOCATION NUMBER: 13 ADDRESS: 3900 LAMPSON AVENUE JOE TALARICO SITE CONTACT: italarico@sealbeachca.gov 562) 346-7407 SQUARE FOOTAGE 3,700 SF APPROX): NUMBER OF BATHROOMS: 2 CLEANING DAYS: MONDAY -SUNDAY CLEANING TIMES: 6:00 P.M. TO 6:00 A.M. DAY PORTER SERVICE: NO SPECIAL EVENT CLEANING REQUIRED YES AS -NEEDED BASIS): CLUBHOUSE ONLY PROFILE BASED ON CLUBHOUSE POST -CONSTRUCTION ADDITIONAL COMMENTS: CONFIGURATION. WORK FOR THIS FACILITY WILL START UPON CONSTRUCTION COMPLETION AND NOTIFICATION TO CONTRACTOR, ANTICIPATED TO BE JANUARY 2024. FACILITY PROFILE: ZOETER SOFTBALL FIELD RESTROOMS LOCATION NUMBER: 14 ADDRESS: 11T" STREET & LANDING AVENUE SITE CONTACT: JOE TALARICO italarico@sealbeachca.gov 562) 346-7407 SQUARE FOOTAGE APPROX): N/A NUMBER OF BATHROOMS: 2 CLEANING DAYS: AS -NEEDED CLEANING TIMES: 9:00 P.M. TO 6:00 A.M. DAY PORTER SERVICE: NO SPECIAL EVENT CLEANING REQUIRED AS -NEEDED BASIS): YES ADDITIONAL COMMENTS: v' ter- 1 //5'..,:/. EXHIBIT C CLEANING TASK MATRIX 21 CLEAN TASKS TIFACILITYLOCATION42):[ GENERALAREAS x Empty & clean trash and rerycle receptacles, replace liners x peon .'..b.all containers and receptacles x Dust & spot clean masters and hodzonul surfaces x Clean Interior windows and stray marks from surfaces x Vacuum all rugs and.net X Detail vacuum edge of.rpetand areas not reached by normal dalyvacuuming X Deep clean all.rpeted areas. Includingstaln extraction X Wipe/clean/vacuums fumiture X Vacuum/dust/clean air vents x Sweep & mop hard floor surfaces x Detail sweep and mop hard floor surface areas not reached by normal dally cleaning X Machine scrub all hard surface floors X Spot dean walls and vertical services X Dust & dean partitions, doors, doorframes/lambs x Clean & sanitize door handles, wall switches, buttons, Fixtures, etc. x Dust & clean lighting fixture[ x Reset chairs and offset office fumiture Dust all artwork and wall frames X Dust all minl%blinds and window coverings X Clean all mini-blinds and window coverings X Clean stairs and Flevators, Including sweeping. mopping, vacuuming, handrails,ee.tor was, doors, and mntml panels x Clean and sanitize all drinking fountains X Exterl—Ind—chairing x Clean and sweep exterior patla/foyer/entrywry/breezewpy Power wash exterior patio/foyer/entryway/breezeway X Remove gnffli. X Maintain and stock Janitorial closets and storage areas supplies X Replenish consumer products and supplies Secureall exterlordoors and windows. Tumoffiights. Rootralssues RESiROOMS x Empty & clean trash receptacles, replace liners x Clean & sanitize all containers and receptacles Clean andsamlue al oar in, troug s, sinks, em en, unnals, eeposed piping and any extent surfaces x Clean and polish all metal frames, fixtures, faucets, mirrors, and contalners x Clean and sanitize partition and doors X Clean & sanitize all hard surfaces, including countertops, benches, etc X Clean all tile and walls x Deep clean all the and walls X Sweep/mop/dlslnfect all ficam X Machine snub all hard surface floors X Correct minor plumbing issues X Replace all d4infectants and urinal blacks x Deodorize restroom, x Vacuum/dust/clean alrvents x Refill alltraIle,. Exballet paper, papertowels. liners. hand soap shall be provided. X Report issues KITCHEN/eREAKROOM/COFFEE AREAS x Empty & clean tn5h and recycle receptacles, replace, liners x Clean & sanitize all contalners and receptacles x clean & sanitize all countertops, ubletaps, coffee machines. sinks. fixtures, handles, knobs Spat clean cabinets, storage area, furniture, and vertical surfaces X Clean cahlness, storage areas, and furniture X Clean interior/arterior microwave, countertop ovens, coffeemaker, and smaller appliances X Clean water dispenser exterior & drip tray X Clean refrigerator/dishwasher/large appliances exteriors X Clean inside/outside refrigerator x Sweep/mop/disinfect all Room X Machine scrub all hard surface floors Remove & dispose of all open food/bevenge cantainem x Refill all supple. Estra papertowels, hand soap, etc. Shall be provided. X Reset chairsand furniture X Reporbissues CLEAN TASKS: CITY YARD FACKITY LOCATION 112 a c a GENERALAREAS Empty & dean trash and recycle receptacles, replace finers X Clean & sanitize all containers and receptacles X Dust & spot clean counters and horizontal surfaces X Clean Interior windows and stray marks from surfaces X Vacuum all rugs and carpet X Detail vacuum edge of carpet and areas not reached by normal daily vacuuming X Deep dean all carpeted areas, Including stain extraction X Wipe/clean/vacuum furniture X Vacuum/dust/dean air yens X Sweep & mop hard floor surfaces X Detail sweep and mop hard flap. surface areas not reached by normal daily cleaning X Machine scab all hard surface floors X Spot clean walls and vertical services X Dust & dean partitions, doors, doorfmmesAambs X Clean & sanitize door handles, wall switches, buttons, fixtures, etc X Dust & clean lighting fixtures X Reset chairs and offset office furniture X Dust all artwork and wall frames X Dust all mini blinds and window coverings X Clean all mini-blinds and window conrin X Clean and sanitize all drinking fountains X Erteriprwlndow cleaning X Clean and sweep exterior patio/foyer/entryway/breezeway X Power wash exterior patio/foyer/entryway/bmexeway X Rem—graffiti X Maintain and stock Ianirpriai closets and storage areas supplies consumer products and suppliestXLReplenish Secureall exterior doors and windows. Tum Pff lights. X R.PPrtissp6 RESTROOMS/LOCKERROOMS/SHOWERS ' X Empty & clean trash receptacles, replace liners X Clean & sanitize all containers and receptacles X Ceanan sanitzea ourdrams/troughs,sm , toilets. urinals, expose plpng an any exterior surfaces X Clean and polish all metal frames, (inures, faucets, mirrors, and containers X Clean and sanitize partition and doors X Clean & sanitize all hard surfaces, including countertops, benches, exterior Locker surfaces, etc. X Clean all the and walls X Deep clean all tile and walls X Sweep/mop/disinfect all floors X Machine scrub all hard surface fours X Clean and disinfect all shower facilities X Coned minor plumbing Issues X Replace all disinfectants and urinal blacks X Deodorize restmoms/locker roams/shower facilities X Vacuum/dust/dean air vents X Rafllallsupplles. Ext .1111 tpaper,papertowels.liners,handspapshallbeproWded. X lRelortiss.. KITCHEN/BREAKROOM/COFFEEAREAS X Empty & clean trash and recycle receptacles, replace liners X Clean & sanitize all containers and receptacles X Clean & sanitize all countertops, tabletops, coffee machines, sinks, fixtures, handles, knobs X Spot clean eahinets, storage area, furniture. and vertical surfaces X Clean cabinets, storage areas, and furniture X Clean Interior/exteriormicrowaye, countertop ovens, coffeemaker, and smaller appliances X Clean water dispenser exterior& drip tray X Clean refrigerator/dishwasher/store & orenfiarge appliances exteriors Clean inside/outside refrigerator and stove & oven Sweep/mop/disinfect all fours X Machine scab all hard surface foprs 1XXXX Remove &dispose ofail open foud/beverage containers RefR all supplies. Euro wpapertoels, hand soap, etc. shall be proided Reset chairs and furniture X Report issues CLEAN TASKS: FIRE STATION $43 COMMUNITY CENTER (FACILITY LOCATION 031 ps r` GENERALAREAS X Empry& dean trash and ryceptacles, replace linen X opted. X Dust & spot clean counters and horizontal surfaces X Clean Interior windows and stray marks from surfaces X Vacuum all rugs and carpet X Detail vacuum edge of carpet and areas not reached by normal dally vacuuming X Deep dean all carpeted areas, including min eatraetinn Wlpe/cleanMcoum furniture X Vacuum/dust/clean airwets X Sweep & mop hard floor surfaces Detail sweep and mop hard floor surface areas not reached by normal dailycleaning X Machine scrub all hard surface Room X Spot clean walls and vertical services x Dust & dean partitions, doors, duorhames/fambs X Clean & sanitize door handles, wall switches, buttons, fixtures, etc X Dust & clean lighting fixtures Reset chain and offset office furniture Dust all artwork and wall fames X Dust all mini -blinds and window coverings Clean all minFhlinds and window coverings Clean and sanitize all drinking fountains Exterlorwindow cleaning clean and sweep exteiwr Patio/foyer/entryway/b—ay X Power wash exterior patio/feyef/entryway/breeteway X Reon—graffiti Maintain and stock janitorial closets and storage areas supplies X Replenish consumer products and supplies Secure all exterior doors and wlndcws. Turn off lights. X Rlportbsues RESTROOMS X Empty & clean cash receptacles, replace Itners X Clean & sanitize all containers and receptacles - X Clean and sanitize aoor fans troug s, smet,tod—,u n ,expose pipmg an a" stoner surfaces X Clean and polish all metal frames, fixtures, faucets, mirrors, and contalners Clean and sanitize partition and doors Clean &sanitize all hard surfaces, Including countertops, benches, etc x Clean all the and walls Deep clean all tile and walls Sweep/mop/disinfectall floors X Machine scrub all hard surface finers X Correct minor plumbing issues X Replace all disinfemnis and urinal blocks Deodorize restroce s X Vacuum/cf.t/cleanairvents X Refillallsupplies. Extra toilet paper, paper towels, linen, hand soap shall be provided. Reportissues KITCHEN/BREAKROOM/COFFEE AREAS X Empty & dean trash and recycle receptacles, replace liners Clean & sanitize all containers and receptacles Clean & sanitize all countermps. tabletops. coffee machines, sinks, futures, handles, knobs X Spot clean cabinets, storage area, furniture, and vertical surfatces X Clean cabinets, storage areas, and furniture X Clean interior/exterior microwave, countertop ovens, coffeemaker, and smaller appliances X Clean water dispenser enodor & drip tfay Clean refrigerator/dishwasher/large appliances exteriors X Clean Inside/outside refrigerator and store & pusn Sweep/mop/disinfect all floors X Machinescrubalihardsurfacefloors X Remove & dispose of all open food/beverage containers X Refill all supplies. Extra "per towels, hand soap. etc. shall be provided. 4Reset chairs and furniture X Report issues CLEAN TASKS: IST STREET RESTROOMS (FACILITY LOCATION #4) F a o z i? S1. a3 CY ti Q Q PORTER SERVICE Empty & clean trash receptacles, replace liners Clean & sanitize all containers and receptaclesrX' X, Clean an sanitize a mfloordrains/troughs, s, ss, toilets, urinals, expose piping an any exterior surfaces Clean, sanitize, and polish all metal frames, fixtures, faucets, mirrors, and containers X Clean and sanitize partition and doors X Correct minor plumbing issues X Replace all disinfectants and urinal blocks X Deodorize restrooms X Vacuum/dust/clean airvents X Clean & sanitize all hard surfaces, including countertops, benches, etc. X Clean all tile and walls X Deep clean all tile and walls X Sweep/mop/disinfect all floors X Machine scrub all hard surface floors X Clean and sanitize all drinking fountains X Clean and sweep exterior patio/foyer/entryway/breezeway X Power wash exterior patio/foyer/entryway/breezeway X IRemovegraffiti X Maintain and stockjanitorial closets and storage areas supplies X Refill all supplies. Extra toilet paper, paper towels, liners, hand soap shall be provided. X Secure all exterior doors and windows. Turn off lights. X Report issues CLEAN TASKS: LIFEGUARD HEADQUARTERS FACILITY LOCATION NS 5 c GENERALAREAS Empty & dean trash and recycle receptacles, replace liners X Clean &sanitize all mntalners and receptacles x Dust & spot clean counters and horizontal surfaces x Own interior windows and stray marks from surfaces x vacuum all rugs and carpet Detail wozum edge of timet and areas not reached by normal dailyvacmuming x Deep clean all carpeted areas. Including stain estraction Wipe/clean/vamum furniture x vamum/dust/dean airvents x Sweep & mop hard floor surfaces x Detail sweep and mop hard floor surface areas not reached by normal daily cleaning X Machine scrub all hard surface floors Spat clean walls and vertical services X Dun& clean partitions, doors, doorframes4 mbs Clean & unitize door handles, wall switches, humors, fixtures, etc Dust& clean lighting futures X Reset chairs and offset aMco furniture x Dust all artwork and wall frames X Dust all minl-blinds and window coverings Clean all mind-blinds and window coverings X Clean stairs, Including sweepin& mopping. vacuumin& handrails, walls, doors, and appurtenances Clean and sanitize all drinking fountains x Eneriorwind—Leaning x I Own and sweep exterior patio/foyer/entryway/breezeway x Power wash exterior path/foyer/entryway/breeteway RemovegrafflU Maintain and stock janitorial closets and storage areas supplies rxxX Replenconsumer products and suppliesish Secure all exterior doors and windows. Tum If lights. X Report Issues X ftESTROOMS/LOCKERIROOMS/SHO Empty &clean Lash receptacles, replaco liners x Clean & unitize all containers and receptacles x Clea.samtize ail floor dramiltroughs.slo, tenets, urines, exposcul plPing an-anyextenor surface X Clean, sanitize, and polish all metal fames, fixtures, faucets, mirmrs, and mntalners x Clean and unitize partition and doors x Clean & sanitize all hard surfaces, Including countenops, benches, exterior lockersurfacez, etc. x Clean all We and waits K Deep clean all We and walls x Sweep/map/disinfect all floors x Machine scmh all hard surface Boars x Chun and disinfect all shower fadlitiesea X Correct minor plumbing issues X Replace all disinfectants and urinal hlocks x DeodorberestmomOmkerrooms/showerfacludm x vacuum/dust/clean air wres x Refglall supplies. Extra toilet paper, paper towels. liners, hand map shall be provided. Reportissues KITCN/BREAKROOM/COFFEE'AREAS'. HE X Empty & clean trash and recycle receptacles, replace liners x Clean & unitize all containers and receptacles x Clean &sanitize all countertops, tabletops, coffee machines, sinks, fixtures, handles, knobs x Spot clean cabinets, storage area, furniture, and vertical surfaces X Clean cabinets, storage areas, and furniture x Clean interior/exterior microwave, countertop wens, coffaemaker, and smaller appliances x Octan water dispenser exterior & drip tray x Clean refdgemtor/dishwasher/largeappliams s exteriors X I Clean Inside/outside refrigerator x Sweep/map/disinfect all floors X Machine swb all hard surface floors x Remove & dispose of all open food/b—in, containers x Refill allsupplies. Extra papermwels, hand scap,etcshall bepmvided. x Reset chairs and furniture X Report Issues CLEAN TASKS: MARINA COMMUNITY CENTER (FACILITY LOCATION 116) Z 4 GENERALAREAS X Empty & dean trash and recvde receptacles, replace liners X dean & sanitize all containers and receptacles Dust & spot dean counters and horizontal surfaces X Clean Interior windows and stray marks from surfaces X Vacuum all rugs and carpet X Detail vacuum edge of carpet and areas not reached by normal daily vacuuming X Deep clean all carpeted areas, including stain e#malon x wipe/clean/vacuum furniture X VacuuMdust/clean air vents X Sweep & mop hard Floor surfaces x Detail sweep and mop hard floor surface areas not reached by normal daily cleaning X Machine scrub all hard surface Room X Spot clean walls and vertical services X Dust & dean partitions, doom, d—fornes/lambs X Clean & sanitize door handles, wall switches, buzzers, fixtures, e- x Dust & clean lighting futures Reset chairs and offset office furniture X Dust all artwork and wall frames X Dust all minWinds and window coverings X Clean all mini-blinds and window coverings X Clean and sanitize all drinking fountains X Eatedorwlndowdeaning X Clean and sweep exterior patio/foyer/entryway/breezeway x Power wash exterior patio/foyer/entryway/breezeway X Remove graffiti X Maintain and stock janitorial closets and storage areas supplies Replenish consumer products and supplies Secure all exterior doorsand windows. Turn off lights. 44- X Report issues RESTROOMS X Empty & clean fresh receptacles, replace liners X Clean & sanitize all containers and receptacles x camp sanitizeal oor rainstroughs, sinks, toilets, urinals, exposed piping and any ertedor surface X Clean, sanitize, and polish all metal frames, fixtures, faucets, rumor, and containers X Can and sanitize partition and doom X Clean & sanitize all hard surfaces, including countertops, benches, etc. x Clean all tile and walk Deep clean all tile and walk x Sweep/mop/disinfect all Room X Machine scrub all hard surface Room X Correct minor plumbing issues X Replace all disinfectants and urinal blocks X Deodorize restrooms X Vacuum/dust/ciean air vents x Re"all "Ph".-Exits toilet paper, paper towels, linen, hand soap shall be provided. X Reponissues KITCHEN/BREAXROOM/COFFEEIAREAS x Empty & clean trash and recycle receptacles, replace linen x Can &sanitize all containers and receptades X Clean & sanitize all countertops, tabletops, coffee mazhines, sinks, fixtures, handles, knobs X Spot clean cabinets, storage area, fumiture, and vertical surfaces x clean cabinets, storage areas, and furniture X Can interior/eateriormicrowave. countertop ovens, coffeemaker, and smaller appliances X Clean water dispenser exterior & drip tray Clean refrigerator/dishwasher/stove & oven/large appliances exteriors Xx Clean inside/outside refrigerator and szove & oven Sweep/map/disinfect all Room x Machine scrub all hard surface Room x Remove & dispose of all open food/baverage containers X lRefiltallsupplies. Extra paper towels, hand soap. eze. shall be provided. x Reset chairs and furniture X Reportissues CLEAN TASKS: MARY WILSON LIRRARY&SENIOR CENTER FACILITY LOCATION 117) Ua o' a S` c a > a GENERALAREAS X Empty & clean trash and recycle receptacles, reptace liners X dean & sanitize all containers and receptacles X Dust & Spot dean counters and harizonnl surfaces dean Interior windows and stray marks from surfaces Vacuum all rugs and carpet X Detail vacuum edge of carpet and areas not reached bynonnal daily vacuuming X Deep dean all carpeted areas, including stain extraction Wipe/clean/wmumfumlture Vacuum/dust/clean airvents X Sweep & map hard floor surfaces XDetail sweep and mop hard floor surface areas not reached by normal daily cleaning X Machine scrub all hard surface floors X Spot clean walls and vertical services X Dust & dean partitions, doors, duodrames/lambs X Clean & sanitize door handles, wall switches, buttons, fixtures, etc. X Dust & clean lighting futures X Reset chain and eMet office furniture X Dust all artwork and wall fames X Dust all minl-blinds and window coverings X Clean all mini -blinds and window coverings X dean and sanitize all drinking fountains X Exterlorwindow cleaning Clean and sweep exterior patio/foyer/ent[yw:y/bree eway X Power wash exterior patio/fover/entryway/breezeway Remow graffitl X Maintain and stock Janitorial closets and storage areas supplies X Replenish consumer products and supplies X Secure aR exterior doors and windows. Turn off lights. X fleport issues RESTROOM& X Empty & clean trash rernptacles, replace liners X dean & sanitim all containers and receptacles X Clean and sanitize all floordrains/troughs, slnks. Cadets, urinals, exposed piping and any izod,r su faces X dean, sanitize, and polish all metal frames, fixtures, faucets, mirrors, and containers X dean and unitize partition and doors X Clean & sanitize all hard surfaces. Indudingcountertaps, benches, etc. X Clean all Ile and walls X Deep clean all tile and walls X Sweep/mop/disinfect all Room Machine scrub all hard surface Room X Correa minor plumbing issues X Replace all disinfectants and urinal blocks X Deodorize restrooms X Vacuum/dust/clean airvents X Refill all supplies. Extra toilet pace, paper towels, liners, hand soap shall be provided. Report issues KITCHEN/DREAKROOM/COFFEVAREAS Empty &clean cash and reMle receptacles, replace liners Clean &sanitize all containers and receptacles dean & zanitim aR countertops, tabletops, coffee machines, sinks, frtures, handles, knohs Soot clean cabinets, stooge area, furniture, and vertical surfaces X dean cabinets, storage areas, and fumlture Clean Interior/exterior microwave, countertop ovens, ceffeemaker, and smaller appliances Clean water dispenser exterior & drip tray XXX dean refrigerator/dishwasher/stove & oven/large appliances exteriors Xdean Inside/outslde refrigerator and stove & oven Sweep/Tp/disinfea all Roors X Machine scrub all hard surface Roors Remove & dispose of all open food/bewrage containers Refill all supplies. Extra paper towels, hand soap, etc. shall be provided. Reset chairs and furniture X Reportissues CLEAN TASKS: MCGAUGH POOL RESTROOMS &POOL DECK (FACILITY LOCATION #8) a a`Q a Om m CY timQ Q RESTROOMS X Empty & clean trash receptacles, replace liners X Clean & sanitize all containers and receptacles X Clean an sanitize a floordrains/troughs, sinks, toilets, urinals, expose piping an any exterior surfaces X Clean, sanitize, and polish all metal frames, fixtures, faucets, mirrors, and containers X Clean and sanitize partition and doors X Clean & sanitize all hard surfaces, including countertops, benches, etc. X Clean all tile and walls X Deep clean all tile and walls X Sweep/mop/disinfect all floors X Machine scrub all hard surface floors X Correct minor plumbing issues X Replace all disinfectants and urinal blocks X Deodorize restrooms X Vacuum/dust/clean air vents X I Clean and sanitize all drinking fountains X Clean and sweep exterior patio/foyer/entryway/breezeway X Power wash exterior patio/foyer/entryway/breezeway X Remove graffiti X Refill all supplies. Extra toilet paper, paper towels, liners, hand soap shall be provided. X Report issues POOLDECK X Clean/sweep/power wash pool deck X Report issues CLEAN TASKS: NORTH SEAL BEACH COMMUNITY CENTER (FACILITY LOCATION DS) 2 C m a y c a y GENERALAREAS X Empty & clean trash and recycle receptacles, replace liners X clean & sanitize ag container: and receptacles X Dust & spot clean counters and horzontal surfaces X Clean Interior windows and stray marks from surfaces X Vacuum all rugs and cemet X f came[ and areas not reached by normal dallyvacuumingDetailvacoumedge "'m X Deep clean all cam.t.d areas, Including min extraction X Wipe/clean/vacuum fumiture X Vacuum/dust/clean airvents X Sweep & mop hard floor surfaces X Derail sweep and mop hard floor surface areas not reached by normal dally cleaning X ace flooMachinescruballhardsurfrs X Spot clean wails and vertical Services X Dust & clean partitions, doors, doodrames/jambs X Clean &sanitize door handles, wag switches, buttons, fixtures, elc X Dust & clean lighting figures X Reset chairs and offset office fumiture X Dust all artwork and watt frames X Dust all minWinds and window coverings X Clean all mini -blinds and window coverings X Clean and sanitize all drinking fountains X Exterior window cleaning X Clean and sweep exterior patio/foyer/entsyway/breezeway X Power wash exterior pada/foyer/entryway/breezeway X Remove graffitikXMaintainandstock janitorial closets and storage areas supplies Replenishconsumerproductsandsupplies Secure all exterior doors and windows. Turn off lights. X Report Issues X RESTROOMS Empty & clean trash receptacles, replace liners X Clean & sanitize all containers and receptacles X Clean an sanitizeal floor nlnsmaug;zinks, toiels, urinals, expopiping and any extedor surfaces X Clean, sanitize, and polish all metal frames, futures, faucets, mirrors, and containers X Oean and sanitize partition and doors X Clean & sanitize all hard surfaces, including countertops, benches, etc. X Clean all file and walls X Deep clean all die and walls X Sweep/mop/disinfectallfipors X Machine scruh all hard surface Room X Correct minor plumbing issues X Replace all disinfectants and urinal blacks X Deodorize rcstrooms X Vacuum/dust/clean atr vents X ReR. all suppgez. Extra toilet paper. paper towels. finers, hand soap shag be provided. X Reportlssues KITCHEN/BREAKROOM/COFFEE,AREA.S` dean trash and ncvde receptacles, replace liners Clean & sanitize all containers and receptacles Clean & sanitize all countertops, tabletops, coffee machines, sinks, futures, handles, knobs Spot clean cabinets, storage area, furniture, and vertical surfaces Clean cabinets, storage areas, and fumiture RXEmpty Clean Interior/exterior microwave, countertop ovens, coffeemaker, and smaller appliances ean water dispenser exterior & drip tray Clean refrigerator/dishwasher/stave & oveMarge, appliances exteriorsXCleanInside/outslde refrigerator and stove & ovenSweep/mop/disinfect all floors Machine scmb all hard surface floors X Remove &dispose oFall open food/beverage, containers X Refill all suppges. Extra papertowels, hand spay, err. shall6e provided. X Reset chairs and fumiture X Report issues CLEAN TASKS: SEAL BEACH PIER RESTROOMS (FACILITY LOCATION #10) F F w i t oval Qj PORTER SERVICE clean trash receptacles, replace linersrXXEmpty Clean & sanitize all containers and receptacles C can an sanitize a floordrains/troughs, sinks, toilets, urinals, expose piping an any exterior surfaces Clean, sanitize, and polish all metal frames, fixtures, faucets, mirrors, and containers X Clean and sanitize partition and doors X Correct minor plumbing issues X Replace all disinfectants and urinal blocks X Deodorize restrooms X Vacuum/dust/clean air vents X Clean & sanitize all hard surfaces, Including countertops, benches, etc. X Clean all the and walls X Deep clean all the and walls X Sweep/mop/disinfect all floors X Machine scrub all hard surface floors X Clean and sanitize all drinking fountains X Clean and sweep exterior patio/foyer/entryway/breezeway X Power wash exterior patio/foyer/entryway/breezeway X Remove graffiti X Maintain and stock janitorial closets and storage areas supplies X Refill all supplies. Extra toilet paper, paper towels, liners, hand soap shall be provided. X Secure all exterior doors and windows. Turn off lights. X Report issues CLEAN TASKS: POUCE DEPARTMENT HEADQUARTER IFAO LITYLOCATIONKll) II a GENERALAREAS X Empty & dean trash and recycle receptacles, replace liners and rendesClean & unitize all containers cep X Dust & spot dean counters and horizontal—faces X Clean Interior windows and stray marks from surfaces X Vamum all rugs and carpet X Detall vacuum edge of timet and areas not reached by normal dailvvacuuming X Deep clean ale carpeted azeas, indudingstainextnction X I Purr i"" X Vacuum/dust/cleanairvents Sweep & mop hard floorsurfaces X Detail sweep and mop hard floorsurface areas not, reached by normal dairy cleaning X Machine scrub all hard surface Roars X Spot dean walls and vertical services X Dust & clean partitlons, doors, doodnmes amhz Clean &sanitize door handles, wall switches, buttons, fixtures. etc Durt&deaniighd!features X Reset chairs and onset office furniture X Dust all artwork and wall fames X Dust all mini-blinds and window coverings X Clean all mini-blinds and windowcovwings exit snits an evators,m a mg sweepm&moPPin&vacoummg, an n atwwa s, doors, and control panels I Clean and sanitize all drinking fountains X Exterior window cleaning X Clean and sweep exterior patio/lover/entryway/breezeway X Power wash exterior patio/foyer/entryway/breezewa, X RemovegnRti X Maintain and stockianitorial closets and storage areas supplies X Replenish consumer produce and supplies X Secure a0 eater., doers and windows. Tum off lights. X Reportlswes RESTft00MS/LOCKER ROOMS/SHOWERS Empty &clean trash receptacles, replace liners X Clean& sanitize all containers and receptacles X Oan and sanitize all oor drains/tron,ghs,sit , tenets, urines, emposed piping and any exterior surfaces X Clean, sanitize, and palish all metal frames, futures, faucets, mirrors, and containers Clean and sanitize partition and doors Clean &sanitize all hard surfaces, Including countertops, benches, exterior locker surfaces, etc X Clean all the and walls X Deep dean all Ole and walls S—.P/Tap/dislnfw all Room X Machine scab all hard wrface floors I Clean and disinfect all shower facilities X Correct minor plumbing issues X Replace all disinfectants and urinal blocks Deodorize restrooms/.ckermoms/shower facilities 11—m/dust/dean air vents fleRli all supplies. Extrataliet paper, paper towels, liners, hand soap shah be provided. Report lswez KFTCHEN/RREAKROOM/CC FFEEAREAS' Empty & clean trash and recycle receptacles, replace liners Clean & sanitize all containers and receptacles Clean & samdze all countertops. tabletops, coffee machines, sinks. fixtures, handles, knobs Spot clean cabinets, stooge area, furniture, and vertical wrFaces Clean cabinets, storage areas, and fundwre Clean Interior/exterior microwave. anintertop Quem, coffeemaker, and smaller appliances Clean water dispenser exterior & drip troy X Clean refrigerator/dishwasher/stave & m,en/large, appliances extedors X Clean inside/outside refrigerator and store &oven X 4d Sweep/mop/didnfect all floors Machine scab all hard surface floors Remme & dispose of all open food/bevenge containers Refillalizupplho. Eaznpaper[owel;handsoap,etcshallbepravided. Reset chairs and fumlture X Rep. thsues CLEAN TASKS: POLICE DEPARTMENT SUBSTATION (FACILITY LOCATION 812) p`0 m m c c m F c 2c cto ai heQ Q GENERAL AREAS X I Empty & clean trash and recycle receptacles, replace liners X Clean & sanitize all containers and receptacles Dust & spot clean counters and horizontal surfacesFXCleanInteriorwindowsandstraymarksfromsurfaces Vacuum all rugs and carpet X Detail vacuum edge of carpet and areas not reached by normal daily vacuuming X Deep clean all carpeted areas, including stain extraction X I Wipe/clean/vacuum furniturerXXVacuum/dust/clean air vents Sweep & mop hard floor surfaces X Detail sweep and mop hard floor surface areas not reached by normal daily cleaning X Machine scrub all hard surface floors X Spot clean walls and vertical services X Dust & clean partitions, doors, doorframes/jambs X Clean & sanitize door handles, wall switches, buttons, fixtures, etc. X Dust & clean lighting fixtures Reset chairs and offset office furniture all artwork and wall framesIXXDustallmini-blinds and window coverings EDust X Clean all mini-blinds and window coverings X Clean stairs, Including sweeping,mopping, vacuuming, handrails, walls, doors, and appurtenances X Clean and sanitize all drinking fountains X Exterior window cleaning X Clean and sweep exterior patio/foyer/entryway/breezeway X Power wash exterior patio/foyer/entryway/breezeway X Removegraffitii Maintain and stockjanitarial closets and storage areas supplies Replenish consumer products and suppliesrX Secure all exterior doors and windows. Turn off lights. X Report issues BREAKROO M/COF_FEE:AREAS, X Empty & clean trash and recycle receptacles, replace liners X Clean & sanitize all containers and receptacles X Clean & sanitize all countertops, tabletops, coffee machines, sinks, fixtures, handles, knobs X Spot clean cabinets, storage area, furniture, and vertical surfaces X Clean cabinets, storage areas, and furniture X Clean interior/exterior microwave, countertop ovens, coffeemaker, and smaller appliances X Clean water dispenser exterior & drip tray X Clean refrigerator/large appliances exteriors X Clean inside/outside refrigerator X Sweep/mop/disinfect all floors X Machine scrub all hard surface floors X Remove &.dispose of all open food/beverage containers X 1 Refill all supplies. Extra paper towels, hand soap, etc. shall be provided. X Reset chairs and furniture X Report issues CLEAN TASKS: SEAL BEACH TENNIS& PICKLEBALL CENTER FACILITY LOCATION K13j a OENERALAREAS X Empty & clean trash and recycle receptacles, replace liners Clean & sanitize all containers and receptacles Dust & spat clean counters and horizontal surfaces X Clean interior windows and stray marks from surfaces X Vacuum all rugs and carpet X Derail vacuum edge ofcarpet and areas not reached by normal dally—urrin X Deep clean all carpeted areas. Including slain extraction Wipe/clean/vacuum furniture X Vacuum/dust/dean alrvents X Sweep & map hard floor surfaces x Detail sweep and mop hard floor surface areas not reached by normal daily cleaning Machine scab all hard surface floors X Spot clean walls and venial services Dust & clean partitions, doors, doorfnmes/lambs x Clean S. sanitize door handles, wall switches, buttons, fixtures, etc X I Dust & clean lighting fixtures Reset chairs and offset office furniture X mDustallartworkandwallfaes x Dust all mini-blinds and window coverings X Clean all mini-blinds and window coverings X Clean and sanitize all drinking fountains X Werforwindowdeaning x Clean and sweep exterior patio/foyer/entryway/breezeway Power wash exterior patio/foyer/entrywa /breezeway X Remove graffiti X Maintain and stock janitorial closets and enrage areas supplies X Replenish consumer Products and supplies Secure all exterlord—. and windows. Tum oR lights. X Reportissues RESTROO MS/LOCKERIROOMS/SHOW ERS X Empty & clean trash receptacles, replace liners X Clean & sanitize all containers and receptacles can an sanitltea oor ran, roug ,,sin ,1 ets,u na;expos piping an any we or surfaces Clean and polish all metal frames, fixtures, faucets. mirrors, and containersrxxxCleanandsanitizepartitionanddoors Dean & sanitize all hard surfaces. Including countertaps, benches, emedor locker surfaces, etc. Clean all Nle and walls X Deep clean all the and walkXSweep/mop/disinfect all fiaarss Machine scab all hard surface floors x Clean and dlsinf—all shower facilities X Correct minor plumbing Issues X Replace all disinfectants and urinal blocks X Deodorize restmomsf acker moms/shower facilid x Vacuum/dust/clean air vents X Refill all supplies. Extra toilet paper, papertowels, liners, hand scop shag be provided. X Reponissues KITCHEN/BREAKROOM/COFFEE AREAS Empty &clean trash and r ycle receptacles, replace liners X Clean & sanitize all containers and receptacles x Clean & sanitize all countertops, tabletops, coffee machines, sinks, flxtures, handles, knobs x Spot clean cabinets, storage area, furniture, and vertical surfaces X Clean cabinets, storage areas, and furniture x Clean Interior/exterior microwave, countertop ovens, coffeemaker, and smaller appliances x Clean water dispenser exterior &drip tray x oven/large rtCleanrefdgerator/dishwasher/stow & en/large appliances eeriars X Clean Inside/outside refrigerator and stave & oven Sweep/map/dklnfect all floors X Machine scab all hard surface floors xRemove dispose of all Open food/beverage, containers X Refill all supplies. Extra paper towels, hand soap, etc. shall he provided. x Reset chairsand furniture X Reportissues CLEAN TASKS: ZOETER SOFTBALL FIELD RESTROOMS FACILITY LOCATION #14) wa oc/i- Om SSP cSo ai CY <n°' Q Q RESTROOMS X Empty & clean trash receptacles, replace liners X Clean & sanitize all containers and receptacles X Clean and sanitize all floor drains/troughs, sinks, toilets, urinals, exposed piping and any exterior surfaces X Clean and polish all metal frames, fixtures, faucets, mirrors, and containers X I I Clean and sanitize partition and doors X Correct minor plumbing issues X Replace all disinfectants and urinal blocks X Deodorize restrooms X Vacuum/dust/clean air vents X Clean & sanitize all hard surfaces, including countertops, benches, etc. X Clean all tile and walls X Deep clean all tile and walls X Sweep/mop/disinfect all floors X Machine scrub all hard surface floors X Clean and sanitize all drinking fountains X Clean and sweep exterior patio/foyer/entryway/breezeway X Power wash exterior patio/foyer/entryway/breezeway X Remove graffiti X Maintain and stock janitorial closets and storage areas supplies X Refill all supplies. Extra toilet paper, paper towels, liners, hand soap shall be provided. X Secure all exterior doors and windows. Turn off lights. X Report issues INTENTIONALL OMITTED EXHIBIT D SAMPLE CONTRACT 22 r ACOR .7 CC CERTIFICATE OF LIABILITY INSURANCE DATE (MMMO YYYY) 10/25/2022 PRODUCER (213) 380-0222 United Plus Insurance Services THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR INSR LTR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. TYPE OF INSURANCE 4465 Wilshire Blvd. Ste. 301 Los Angeles CA 90010- INSURERS AFFORDING COVERAGE NAIC # INSURED INSURERAUNITED FINANCIAL CASUALTY CO. 11770 Base Hill, Inc. INSURER B: A. C.I. C. 10216 INSURER C: INSURER D: 11823 E. Slauson Ave. #3 INSURER E. Santa F44 Springs CA 90670— rrntirooAn_oe THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR LTR D' MSR TYPE OF INSURANCE POLICY NUMBER POTECMEFFDECTIVE POUCYEXPIRATION LIMITS GENERAL LIABILITY EACH OCCURRENCE $ DAMAGE TO RENTED PREMISES.(Eaoccurrence) 5COMMERCIALGENERALLIABILITY CLAIMS MADE F OCCUR MED EXP Any one person) $ PERSONAL &ADV INJURY S GENERAL AGGREGATE S GENI AGGREGATE LIMB APPLIES PER PRODUCTS - COMPIOP AGG S jPOLICY PO LOC A X AUTOMOBILE LIABILITY ANY AUTO 015008156 03/20/2022 03/20/2023 COMBINED SINGLE LIMIT Easoddent) $ 1,000,000 BODILY INJURY SPerparson) X ALL OWNED AUTOS SCHEDULED AUTOS BODILY INJURY Per accident) 5 X X HIRED AUTOS NON -OWNED AUTOS PROPERTY DAMAGE S Per accident) GARAGE LIABILITY AUTO ONLY - EA ACCIDENT S OTHER THAN EAACC SANYAUTOI AUTO ONLY: AGO I S EXCESS I UMBRELLA LIABILITY EACH OCCURRENCE S AGGREGATE SOCCURCLAIMSMADE SDEDUCTIBLE SRETENTION $ 0 WORKERS COMPENSATION AND EMPLOYERS' LIABILITY ANY PROPRIETORIPARTNERIEXECUTIVE I- WrlTORY LIMIT ETH - E.L. EACH ACCIDENT 3 E.L DISEASE - EA EMPLOYE S OFFICERIMEMBER EXCLUDED? Mandatory INH) E.L DISEASE - POLICY LIMIT I SIfyea, descnbe under SPECIAL PROVISIONS below oTHERJANITORIAL BOND 100019349 03/02/2022 03/02/2023 BOND 25,000 B DESCRIPTION OF OPERATIONS I LOCATIONS /VEHICLES [EXCLUSIONS ADDED BY ENDORSEMENT I SPECIAL PROVISIONS City,its elected and appointed officials,o££iters,employees,agents,designated volunteers and those City agents serving as independent contractors in the role of City o£ficoals as Additional Insureds. CERTIFICATE HOLDER CANCELLATION SHOULD ANYOFTHEABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDEERR./ KINDLEFT, BUT FAILURE TO DO SO SHALL City of Seal Beach IMPOSE NO OBLIGATION OR U,LB::;' UPON THE INSURER, ITS AGENTS OR 211 8th Street SEfal 'Beach ACORD 25 (2009101) INS026 pooeot) AUTHORIZED CA 90740 - The ACORD name and logo are registered mkrjd of TION. All rights reserved. A " CERTIFICATE OF LIABILITY INSURANCE DATE(MMIDDrrYYY) INSRLTi2 10/25/2022 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER Sunny Insurance Inc 4322 Wilshire Blvd Ste 207 NAMEACT Jason Jang Ext): (213) 567-4800 aC No): (213) 480-0080 E-MAIL DDSS: service@Sunnyinsusa.com INSURER(S) AFFORDING COVERAGE NAIC# INSURERA : NORTHFIELD INSURANCE COMPANYLosAngelesCA90010 INSURED INSURERS: INSURER C: Base Hill Inc INSURER D : 11823 E Slauson Ave INSURER E : Unit 3 INSURER F: Santa Fe Springs CA 90670 rnvoonr_oc CERTIFICATE NI IMRFR• REVISION NUM13ER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSRLTi2 TYPE OF INSURANCE ADDL SUER POLICY NUMBER POLICY EFF I MM/DD POLICY EXP MMIDD LIMITS AUTHORIZED REPRESENTATIVE X COMMERCIAL GENERAL LIABILITY 211 8th St. Seal Beach CA 90740-- Lt J EACH OCCURRENCE S 1,000,000 CLAIMS -MADE OCCUR PREMISES Ea occu encs S 100,000 MED EXP (Any one person) S 5,000 PERSONAL& ADV INJURY $ 1,000,000AYYWS48449003/28/2022 03/28/2023 GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE S 2,000,000 PRODUCTS - COM P/OPAGG $ 2,000,000XPOLICY JE LOC 5 OTHER: AUTOMOBILE LIABILITY OEa acccidentSINGLE LIMIT $ BODILY INJURY (Per person) SANYAUTO BODILY INJURY (Per accident) 5OWNEDSCHEDULED AUTOS ONLY AUTOS HIRED NON -OWNED AUTOS ONLY AUTOS ONLY PROPERTY DAMAGE SPeracddent S UMBRELLA LIAB X OCCUR EACH OCCURRENCE S 2,000,000 AGGREGATE S 2,000,000AXEXCESSLIABCLAIMS -MADE Y Y WS484490 03/28/2022 03/28/2023 DED RETENTION $ WORKERS COMPENSATION IF STATUTE OERH AND EMPLOYERS' LIABILITY Y 1 N ANY PROPRIETOR/PARTNER/EXECUTIVE E.L. EACH ACCIDENT $ E.L. DISEASE - EA EMPLOYEE S OFFICERIMEMBER EXCLUDED? Mandatory in NH) N / A E.L. DISEASE - POLICY LIMIT $ If yes, describe under DESCRIPTION OF OPERATIONS below DESCRIPTION OF OPERATIONS / LOCATIONS 1 VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached If more space is required) Additional Insured: City of Seal Beach f AIUrGI I ATlrlm w 7yoo-LU"1a H%1U1%LJ NVRr-vIV1I IVIS. Mu uyuw .cacl.v... ACORD 25 (2016103) The ACORD name and logo are registered marks of ACORD SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. City of Seal Beach AUTHORIZED REPRESENTATIVE 211 8th St. Seal Beach CA 90740-- Lt J w 7yoo-LU"1a H%1U1%LJ NVRr-vIV1I IVIS. Mu uyuw .cacl.v... ACORD 25 (2016103) The ACORD name and logo are registered marks of ACORD A C40R" CERTIFICATE OF LIABILITY INSURANCE v DATE(MM/ 2D/ YYYY) 10/25/2022 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(les) must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER Capital Providers Insurance License #OH52316 20750 Ventura Blvd., Ste 305 Woodland Hills CA 91364 CONTACT Melanie Hart NAME: NCNNo Et): (818) 676-0016 ac NII: (818) 676-0015 E-MAIL melanie@cpisgroup.comADDRESS: INSURERS) AFFORDING COVERAGE NAIC # INSURERA: Technology Insurance Company 42376 INSURED Base Hill Inc 11823 E. Slauson Ave. Unit 3 Santa Fe Springs CA 90670 INSURER B : INSURER C: INSURER D : INSURER E: INSURER F: rn M.Ar00 /`CDTICICATF fit IMRFD• ZZ Z3 VVI,: KtVlNILJN NLJMIitK: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSRLTR TYPE OF INSURANCE INSD WVD. POLICYNUMBER POLICY EFF MMIDD POLICY EXP MMIDD LIMITS COMMERCIAL GENERAL LIABILITY CLAIMS -MADE D OCCUR AUTHORIZED REPRESENTATIVE Seal Beach CA 90740 r EACH OCCURRENCE S DAMAGE TO RENTED PREMISES Ea occurrence $ MED EXP (Any one person) S PERSONAL&ADV INJURY S LAGGREGATE LIMITAPPLIES PER: POLICY JREC LOCPRODUCTS-COMP/OPAGGM'OTHER: GENERALAGGREGATE $ AUTOMOBILE LIABILITY ANYAUTO OWNED SCHEDULED AUTOS ONLY AUTOS HIRED HNON-OWNED AUTOS ONLY AUTOS ONLY EllEO ,. dEDtSINGLE LIMIT $ BODILY INJURY (Per person) S BODILY INJURY (Per accident) $ PROPERTY DAMAGE S Per accident UMBRELLA LIAB EXCESSIJAB HCLAIMS-MADE OCCUR EACH OCCURRENCE S AGGREGATE $ DED RETENTIONN$ A WORKERS COMPENSATION AND EMPLOYERS' LIABILITY Y I N ANY PROPRIETORIPARTNERIEXECUTIVE OFFICERIMEMBER EXCLUDED? Mandatory in NH) If yes, describe under DESCRIPTION OF OPERATIONS below N f A Y TWC4149175 08/15/2022 08/15/2023 PER HXSTATUTEIIEER E.L EACH ACCIDENT $ 1.000,000 E.L DISEASE- EA EMPLOYEE $ 1,000,000 E.L. DISEASE - POLICY LIMIT S 1,000,000 DESCRIPTION OF OPERATIONS I LOCATIONS I VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) r AM =! r A-nnru CERTiFil.A1C MULUCK SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. City of Seal Beach 211 8th. Street AUTHORIZED REPRESENTATIVE Seal Beach CA 90740 r ACORD 25 (2016103) The ACORD name and logo are registered marks of ACORD Agenda Item J AGENDA STAFF REPORT DATE:February 12, 2024 TO:Honorable Mayor and City Council THRU:Jill R. Ingram, City Manager FROM:Patrick Gallegos, Assistant City Manager SUBJECT:Accepting Grant Funds from the Metropolitan Water District of Southern California for the City Hall Courtyard Foundation and Authorizing Execution of the Grant Agreement ________________________________________________________________ SUMMARY OF REQUEST: That the City Council adopt Resolution 7488: 1. Accepting an award of grant funds in the amount of $3,000 from the Metropolitan Water District of Southern California; and, 2. Authorizing the City Manager, or her designee, to execute the Agreement with the Metropolitan Water District of Southern California, amendments, and other related documents, and to take all such other actions, as may be required to secure the grant funds and implement the approved grant under the Community Partnering Program. BACKGROUND AND ANALYSIS: At the City Manager’s direction, in 2023, the City of Seal Beach Staff Engagement Team (SET) took on the nonfunctional fountain in the City Hall Courtyard as a beautification project. SET determined it would be an excellent opportunity to create an educational piece for the community while providing an enjoyable volunteer opportunity for staff. The Metropolitan Water District of Southern California offers funding to eligible entities through the Community Partnering Program (CPP) to eligible entities for water-related educational outreach projects. SET submitted an application and secured $3,000 in CPP funding to convert the nonfunctional fountain into a waterwise demonstration garden. The fountain will include a variety of drought tolerant and native plants. Signs will be displayed with information from the Municipal Water District of Orange County about water conservation programs available to the public. Page 2 1 7 2 7 The project will begin in the immediate future. A press release will be sent for a ribbon cutting ceremony in the spring. ENVIRONMENTAL IMPACT: There is no environmental impact related to this item. LEGAL ANALYSIS: The City Attorney has approved the agreement and resolution as to form. FINANCIAL IMPACT: The grant is in the amount of $3,000. The project is expected to stay within this amount and additional city funds are not requested at this time. Budget Amendment BA #24-08-03 Description Account Revised/ Adopted Budget Proposed Budget Budget (diff) Amendment Other Agency Revenue 101-000-0000-42300 - $ 3,000 $3,000 Special Departmental 101-110-0011-52200 $10,000 $13,000 $3,000 STRATEGIC PLAN: This item is not applicable to the Strategic Plan. RECOMMENDATION: That the City Council adopt Resolution 7488: 1. Accepting an award of grant funds in the amount of $3,000 from the Metropolitan Water District of Southern California; and, 2. Authorizing the City Manager, or her designee, to execute the Agreement with the Metropolitan Water District of Southern California, amendments and other related documents, and to take all such other actions, as may be required to secure the grant funds and implement the approved grant under the Community Partnering Program. Page 3 1 7 2 7 SUBMITTED BY: NOTED AND APPROVED: Patrick Gallegos Jill R. Ingram Patrick Gallegos, Assistant City Manager Jill R. Ingram, City Manager Prepared by: Lauren Barich, Management Analyst ATTACHMENTS: A. Resolution 7488 RESOLUTION 7488 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL APPROVING A GRANT AGREEMENT WITH THE METROPOLITAN WATER DISTRICT OF SOUTHERN CALIFORNIA FOR THE ACCEPTANCE OF $3,000 UNDER THE COMMUNITY PARTNERING GRANT PROGRAM WHEREAS, the nonfunctional fountain in the City of Seal Beach (“City”) Courtyard was selected as a beautification project for the City’s Staff Engagement Team (SET); and, WHEREAS, the Metropolitan Water District of Southern California offers funding to eligible entities through the Community Partnering Program (CPP) for water- related educational outreach projects; and, WHEREAS, the City submitted an application to receive a CPP grant to convert the nonfunctional fountain into a waterwise demonstration garden on July 26, 2023; and, WHEREAS, the Municipal Water District of Orange County submitted a letter of support for the City’s application; and, WHEREAS, the City was selected to receive a Community Partnering Program grant in the amount of $3,000 for the Courtyard Waterwise Demonstration Garden on September 7, 2023; and, WHEREAS, the City desires to accept the CPP grant award. NOW, THEREFORE, THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE: Section 1. The foregoing recitals are true and correct and are hereby adopted by reference as though set forth in full. Section 2. The City Council hereby accepts the $3,000 CPP grant from the Metropolitan Water District of Southern California. Section 3. The City Council approves and authorizes the City Manager, or her designee, to execute for and on behalf of the City of Seal Beach, the CPP grant agreement, amendments and other related documents, and to take all such other actions, as may be required to secure the grant funds and implement the approved grant. 8 7 3 8 PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 12th day of February, 2024 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Schelly Sustarsic, Mayor ATTEST: Gloria D. Harper, City Clerk STATE OF CALIFORNIA } COUNTY OF ORANGE } SS CITY OF SEAL BEACH } I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7488 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 12th day of February, 2024. Gloria D. Harper, City Clerk Agenda Item K AGENDA STAFF REPORT DATE:February 12, 2024 TO:Honorable Mayor and City Council THRU:Jill R. Ingram, City Manager FROM:Iris Lee, Director of Public Works SUBJECT:Proposition 218 Protest Public Hearing – Water Rate and Sewer Rate Adjustments ________________________________________________________________ SUMMARY OF REQUEST: That the City Council open the public hearing to accept comments on the proposed Water and Sewer Rates, and continue the item to February 26, 2024, to allow for additional public review time. BACKGROUND AND ANALYSIS: Background: The City’s Water and Sewer utilities are funded entirely by fees received from the ratepayers, also known as Water Enterprise and Sewer Enterprise funds, respectively. All associated expenditures, such as operating and maintenance costs, capital improvements, and reserves are funded through rate-funded revenues, and not the General Fund. Rates are regularly evaluated as part of the City’s annual budgeting process to ensure projected revenues are sufficient to cover all Water and Sewer utility- related expenditures. The City’s last rate adjustment was approved in February 2021; however, the rates are no longer sufficient to balance ongoing operating costs. On June 12, 2023, the City Council unanimously authorized retaining Raftelis Financial Consultants, Inc. (“Raftelis”) to conduct a Water and Sewer Rate Study to ensure the City’s plan for critical infrastructure maintenance and funding for capital improvement projects are in alignment. This would include meeting established reserve policies, continued reinvestment into the aging infrastructure to ensure system reliability, inflationary cost increases, preparation of current and future mandates, and ensure water quality is met. Page 2 1 7 1 8 Water Utility System: The City owns and maintains a water system and is responsible for ensuring safe and reliable water for drinking, irrigation, and fire protection. These essential services are accomplished through a strategic combination of highly qualified operators and administrative support staff, which includes City departments such as the Public Works Department, City Manager’s Office, City Clerk’s Office, and the Finance Department. Together, the water system’s two (2) reservoirs, two (2) booster stations, four (4) production wells, 73.5 miles of pipeline, and over 5,300 services are properly maintained. Based on Raftelis’ detailed financial plan analysis, the February 2021 rate adjustments are no longer sufficient to balance the operating costs due to: 1. Successful water conservation of 21% during the last major drought along with the Winter 2023 atmospheric rivers that reduced outdoor irrigation use. This resulted in approximately $600,000 in lost revenue; 2. Increased wholesale import and groundwater costs; 3. Aging infrastructure and deferred maintenance; 4. Overall inflationary impacts; and, 5. On-going introduction of new legislation. Water Enterprise Fund Reserve Policy: The Water Rates have been constructed with a financial plan that corrects the structural deficit and sufficiently fund operations, capital and reserves. A reserve policy was set based on the types of risk the utility faces. •Operating Reserves – to cover day-to-day expenses and maintain sufficient funds to cover operating cash flows, periods of reduced water sales, or unforeseen costs. o Minimum 20% of Operating & Maintenance expenditures o Target: 25% of Operating & Maintenance expenditures •Capital Replacement Reserves – to cover a portion of upcoming annual capital expenditures and mitigate unexpected capital needs. o Minimum 25% of average 5 - year CIP o Target: 30% of average 5 - year CIP •Debt Reserve – to cover debt repayments when cash flow to debt service is insufficient and prevents default. o Minimum 20% of total debt services o Target: 25% of total debt services Proposed Water Debt: To maintain effective operations, it is necessary to secure Water utility revenue through low-interest State Revolving Loans and market-debt loans. This approach Page 3 1 7 1 8 ensures ongoing expenditures can be sustained until the anticipated rate- generated revenues come into effect. Staff will continue to pursue external funding sources to reduce debt issuances, if possible. FYE 2024 FYE 2025 FYE 2026 FYE 2027 FYE 2028 Market Debt Issuance $13M $9M State Loan (SRF)$11M Wholesale Water Purchase Cost Pass-Through: The City purchases water from wholesale agencies and has no control over those charges. The City has estimated future wholesale rates; however, if wholesale rates are higher than predicted, the City will pass-through the increase in wholesale water purchase costs as allowable by Government Code Section 53756. The pass-through amount will not exceed the increase in cost. The pass-through will be calculated at the increase in wholesale water purchase costs divided by annual water use. Water Bill Components: Water Rates have two components – (1) fixed charges; and (2) variable volumetric charges. Fixed charges are a function of meter size and is a charge without respect to use. Volumetric charges are calculated based on the amount used multiplied by the rate per unit. The unit is measured in hundred cubic feet (“HCF”), which is approximately 748 gallons. Proposed Water Rates: Current Water Rate structures will remain the same. That is, a fixed charge by meter size, plus a volumetric rate that is broken down into the following: •A two-tiered Single-Family Residential, Multi-Family Residential, and Leisure World customer class based on consumption; and, •A single-tiered rate structure for Commercial, Irrigation, Sunset Aquatic Park, and City customer class based on consumption. The tables below illustrate the proposed rate and charge increases for the next five (5) years. These adjustments were calculated by forecasting revenue, expenses and reserves to establish adequate cost-to-debt ratio. Page 4 1 7 1 8 Proposed Water Fixed Charges ($/month) Description Current FYE 2024 FYE 2025 FYE 2026 FYE 2027 FYE 2028 Fixed Rates (All Customers) 5/8"$24.25 $32.25 $40.32 $47.17 $52.83 $58.11 3/4"$24.25 $32.25 $40.32 $47.17 $52.83 $58.11 1"$36.07 $47.97 $59.97 $70.16 $78.58 $86.44 1 1/2"$69.88 $92.93 $116.17 $135.92 $152.23 $167.45 2"$105.71 $140.59 $175.73 $205.61 $230.28 $253.31 3"$188.08 $250.15 $312.68 $365.84 $409.74 $450.71 4"$312.94 $416.20 $520.25 $608.70 $681.74 $749.92 6"$616.21 $819.56 $1,024.45 $1,198.61 $1,342.44 $1,476.68 8"$985.61 $1,310.86 $1,638.58 $1,917.13 $2,147.19 $2,361.91 10"$1,410.78 $1,876.34 $2,345.42 $2,744.14 $3,073.44 $3,380.78 6" Leisure World $616.21 $819.56 $1,024.45 $1,198.61 $1,342.44 $1,476.68 2’’ Aquatic Park $159.53 $212.17 $265.21 $310.30 $347.53 $382.28 Private Fire Line Charges 4"$25.20 $33.51 $41.89 $49.01 $54.89 $60.38 6"$73.18 $97.33 $121.66 $142.34 $159.43 $175.37 8"$155.95 $207.41 $259.27 $303.34 $339.74 $373.72 10"$280.46 $373.01 $466.26 $545.52 $610.98 $672.08 Page 5 1 7 1 8 Proposed Water Volumetric Charges ($/hcf) Description Tier Definitions (hcf)Current FYE 2024 FYE 2025 FYE 2026 FYE 2027 FYE 2028 Residential Tier 1 0-17 $3.49 $4.64 $5.80 $6.79 $7.60 $8.36 Tier 2 17+$3.69 $4.91 $6.13 $7.18 $8.04 $8.84 Multi-Family Residential Tier 1 0-17*$3.49 $4.64 $5.80 $6.79 $7.60 $8.36 Tier 2 17+$3.65 $4.85 $6.07 $7.10 $7.95 $8.75 Leisure World Tier 1 0-17**$3.49 $4.64 $5.80 $6.79 $7.60 $8.36 Tier 2 17+$3.65 $4.85 $6.07 $7.10 $7.95 $8.75 Commercial $3.49 $4.64 $5.80 $6.79 $7.60 $8.36 Irrigation $3.57 $4.75 $5.94 $6.94 $7.78 $8.56 City $3.53 $4.69 $5.87 $6.87 $7.69 $8.46 Aquatic Park $3.95 $5.25 $6.57 $7.68 $8.61 $9.47 * Multi-Family tier allocations are determined by multiplying the hcf definition shown above (17 hcf) by the number of dwelling units for a given account. For example, the tier allocation for a Multi-Family account with two dwelling units would be equal to 17 hcf X 2 dwelling units = 34 hcf bimonthly. ** Leisure World tier allocations are determined in the same manner as MFR, by multiplying dwelling units by the individual allocation of 17 hcf. Sewer Utility System: The City also owns and maintains a Wastewater (or also known as Sewer) collections system. This system consists of 181,000 linear feet of pipeline, approximately 800 manholes, and six (6) pump stations. Similar to the Water Utility System, the Sewer Utility System is supported by technical and administrative staff through a rate-supported Sewer Enterprise fund. Sewer Enterprise Fund Reserve Policy: The Sewer Rates have been constructed with a financial plan that corrects the structural deficit and sufficiently funds operations, capital and reserves. A reserve policy was set based on the types of risk the utility faces. •Operating Reserves – to cover day-to-day expenses and maintain sufficient funds to cover operating cash flows, periods of reduced revenue, or unforeseen costs. o Minimum 25% of Operating & Maintenance expenditures o Target: 25% of Operating & Maintenance expenditures •Capital Replacement Reserves – to cover a portion of upcoming annual capital expenditures and mitigate unexpected capital needs. Page 6 1 7 1 8 o Minimum 25% of average 5 - year CIP o Target: 25% of average 5 - year CIP •Debt Reserve – to cover debt repayments when cash flow to debt service is insufficient and prevents default. o Minimum 10% of total debt services o Target: 10% of total debt services Proposed Sewer Debt: The required Sewer Utility revenue to properly sustain operations will require market-debt issuance. This will allow expenditure to continue while the proposed rate-generated revenues catch up. Staff will continue to pursue more favorable external funding sources to reduce debt issuance, if possible. FYE 2024 FYE 2025 FYE 2026 FYE 2027 FYE 2028 Market Debt Issuance $14M Sewer Bill Components: Sewer Rates have two components – (1) fixed charges; and (2) variable volumetric charges. Fixed charges are a function of customer classification and are charges without respect to use. The City does not measure wastewater flow, but instead estimates flows based on water use by applying a return-to-sewer factor (“RTS”) to non-residential water use. Volumetric charges, therefore, are calculated based on the amount water used multiplied by the rate per unit. Proposed Sewer Rates: The current Sewer Rate structures will remain the same. •Single Family Residential: fixed charge; and, •Other Customer Classes: fixed charge plus volumetric rate based on water consumption. The table below illustrates the proposed rate and charge increases for the next five (5) years. These adjustments were calculated by forecasting revenue, expenses and reserves to establish adequate cost-to-debt ratio.   Page 7 1 7 1 8 Proposed Sewer Fixed Charges ($/month) Description Current (1/1/2024)FYE 2024 FYE 2025 FYE 2026 FYE 2027 FYE 2028 Single Family Residential $24.02 $32.43 $40.21 $47.85 $54.07 $57.85 Multi-Family Residential $0.61 $0.82 $1.02 $1.22 $1.37 $1.47 Commercial $0.61 $0.82 $1.02 $1.22 $1.37 $1.47 City $0.61 $0.82 $1.02 $1.22 $1.37 $1.47 Leisure World – Fixed Charge $0.61 $0.82 $1.02 $1.22 $1.37 $1.47 Leisure World – Flat Rate $1,099.03 $1,483.69 $1,839.78 $2,189.33 $2,473.95 $2,647.12 Aquatic Park – Sewer Service Equity Charge $498.75 $673.31 $834.91 $993.54 $1,122.70 $1,201.29 Aquatic Park – Sewer Capital Equity Charge $661.00 $892.35 $1,106.51 $1,316.75 $1,487.93 $1,592.08 Navy – Sewer Meter $0.61 $0.82 $1.02 $1.22 $1.37 $1.47 Proposed Sewer Volumetric Charges ($/hcf of water) Description Current FYE 2024 FYE 2025 FYE 2026 FYE 2027 FYE 2028 Multi-Family Residential $4.00 $5.40 $6.70 $7.97 $9.00 $9.63 Commercial $4.00 $5.40 $6.70 $7.97 $9.00 $9.63 City $4.00 $5.40 $6.70 $7.97 $9.00 $9.63 Navy – Sewer Meter $0.24 $0.32 $0.40 $0.48 $0.54 $0.58 Proposition 218 Requirements: Water and sewer rate adjustments are subject to Proposition 218’s public hearing and majority protest procedures. On December 11, 2023, City Council directed the public notification in compliance with Proposition 218, and set a public hearing date of February 12, 2024. At the conclusion of the public hearing, the City Clerk will complete the tabulation of all written protests received from record property owners, water customers, and sewer customers, including those received during the public hearing. Only one protest will be accepted per property parcel. The City Clerk will then report on the results to the City Council. If the final tabulation of the written protests submitted against the Water Rate adjustments exceeds more than 50% of all the parcels in the City, a majority protest exists, and the City Council shall not impose the Water Rate increase. If the final tabulation is less than 50% of all the parcels in the City, the City Council would Page 8 1 7 1 8 consider implementing the Water Rate increases effective April 1, 2024, and then on January 1 for each year from 2025 through 2028. If the final tabulation of the written protests submitted against the Sewer Rate adjustments exceed more than 50% of all the parcels in the City, a majority protest exists, and the City Council shall not impose the Sewer Rate increase. If the final tabulation is less than 50% of all the parcels in the City, the City Council would consider implementing the Sewer Rate increases effective April 1, 2024, and then on January 1 for each year from 2025 through 2028. ENVIRONMENTAL IMPACT: This item is not subject to the California Environmental Quality Act (“CEQA”) because it is not a “project” as defined under Section 15378(b) of the state CEQA Guidelines. This item is also exempt from CEQA pursuant to Section 15061(b)(3) of the Guidelines because it can be seen with certainty that the approval of Water and Sewer Utility Rates will not have a significant effect on the environment. LEGAL ANALYSIS: The City Attorney has reviewed this report as to form. FINANCIAL IMPACT: The anticipated increase in Water and Sewer revenue required to sustain proper utility operations, is summarized below: Projected Water Utility Revenue FYE 2024 FYE 2025 FYE 2026 FYE 2027 FYE 2028 Projected Revenue $6.7M $9.3M $11.2M 12.8M $14.2M Projected Sewer Utility Revenue FYE 2024 FYE 2025 FYE 2026 FYE 2027 FYE 2028 Projected Revenue $2.5M $3.4M $4.1M $4.8M $5.2M STRATEGIC PLAN: This item is not applicable to the Strategic Plan. RECOMMENDATION: That the City Council open the public hearing to accept comments on the proposed Water and Sewer Rates, and continue the item to February 26, 2024, to allow for additional public review time. Page 9 1 7 1 8 SUBMITTED BY: NOTED AND APPROVED: Iris Lee Jill R. Ingram Iris Lee, Director of Public Works Jill R. Ingram, City Manager ATTACHMENTS: None Photo courtesy of Ken Lund (Flickr) City of Seal Beach Water and Wastewater Utility Financial Plan & Rate Study – PUBLIC HEARING February 12, 2024 2 Agenda •Review Financial Plan and Proposed Rates •Critical Needs •FAQ's •Council Action Recommendations •Open Public Hearing Raftelis Water and Wastewater Financial Plan Project Team 3 Steve Gagnon, PE (AZ) Project Manager Sarah Wingfield Lead Analyst ▪24+ years experience ▪15+ years in Orange County setting water and wastewater rates ▪e: sgagnon@raftelis.com Gina DePinto, APR Communications ▪e: swingfield@raftelis.com ▪34+ years experience ▪Former PIO in county, city, special district agencies, including OCWD ▪e: gdepinto@raftelis.com City of Seal Beach Staff Factors Affecting Utility Financial Health and Driving the Need for Rate Increases 4 1.Debt Service Coverage: 1.2 times; City currently not meeting requirements 2.Inflation: after the COVID-19 Pandemic •Higher labor and material cost 3.Lower Water Use (drought & rain) = decreased revenue. Estimated FY 2021 revenue loss = $600k, volume down by 21% 4.Wholesale Water Costs •Increased OCWD water wholesale costs (partly due to PFAS) •MWDOC: Import water wholesaler 5.Aging Infrastructure / Deferred Maintenance 6.New Legislation and Regulations –Making Conservation a CA Way of Life Inflation 5 The Utility Index vs Normal Goods (CPI) 6 Examples of Other Water and Wastewater Rate Increases (Bill Impacts) •Mesa Water District recently revised rates two years into a 5-year rate study due to increased OCWD rates, inflation, and capital •Trabuco Canyon recently revised rates three years into the prior rate study due to inflation and increased capital costs •San Dieguito Water District (Encinitas) –July 1, 2024, rate increases. Loss of local lake water is increasing residential bills by around 15% •Huntington Beach –July 1, 2024, rate increase. •Pasadena –Wastewater utility has been implementing CPI increases since 2007 •Burbank 7 Bill Increase (%)FY 2024 FY 2025 Mesa Water District 13%10% Trabuco Canyon Water 33%18% Wastewater 16%16% San Dieguito Water District 15%12% Huntington Beach Water 10%10% Wastewater 13%16% Pasadena (Draft) Water 25%12% Wastewater 152%16% Burbank 10%NA What Affects Utility Costs •Size: Seal Beach population = 25,000 •Water sources •Age of system/pipes •Historical investment/maintenance •Property tax revenue •Elevation 8 Source: Manny Teodoro Newsletter 2/1/2024 Top Concerns in the Water Industry 9 Source: AWWA State of the Water Industry 2023 10 Water Financial Plan & Proposed Rates Financial Outlook Without Revenue Increases (or bond issuances) 11 Proposed Monthly 5-Year Fixed Charges 12 Water Date Effective ->> Rates Effective 1/1/2024 4/1/2024 1/1/2025 1/1/2026 1/1/2027 1/1/2028 Monthly Fixed Charges All Customers 5/8''$24.25 $32.25 $40.32 $47.17 $52.83 $58.11 3/4''$24.25 $32.25 $40.32 $47.17 $52.83 $58.11 1"$36.07 $47.97 $59.97 $70.16 $78.58 $86.44 1.5"$69.88 $92.93 $116.17 $135.92 $152.23 $167.45 2"$105.71 $140.59 $175.73 $205.61 $230.28 $253.31 3"$188.08 $250.15 $312.68 $365.84 $409.74 $450.71 4"$312.94 $416.20 $520.25 $608.70 $681.74 $749.92 6"$616.21 $819.56 $1,024.45 $1,198.61 $1,342.44 $1,476.68 8"$985.61 $1,310.86 $1,638.58 $1,917.13 $2,147.19 $2,361.91 10"$1,410.78 $1,876.34 $2,345.42 $2,744.14 $3,073.44 $3,380.78 6" Leisure World $616.21 $819.56 $1,024.45 $1,198.61 $1,342.44 $1,476.68 2" Aquatic Park $159.53 $212.17 $265.21 $310.30 $347.53 $382.28 Private Fire Charges 4"$25.20 $33.51 $41.89 $49.01 $54.89 $60.38 6"$73.18 $97.33 $121.66 $142.34 $159.43 $175.37 8"$155.95 $207.41 $259.27 $303.34 $339.74 $373.72 10"$280.46 $373.01 $466.26 $545.52 $610.98 $672.08 Proposed Bi-monthly 5-Year Fixed Charges 13 Water Date Effective ->> 1/1/2024 4/1/2024 1/1/2025 1/1/2026 1/1/2027 1/1/2028 Bi-monthly Fixed Charges All Customers 5/8''$48.50 $64.51 $80.63 $94.34 $105.66 $116.23 3/4''$48.50 $64.51 $80.63 $94.34 $105.66 $116.23 1"$72.14 $95.95 $119.93 $140.32 $157.16 $172.88 1.5"$139.75 $185.87 $232.33 $271.83 $304.45 $334.90 2"$211.41 $281.18 $351.47 $411.22 $460.57 $506.62 3"$376.16 $500.29 $625.37 $731.68 $819.48 $901.43 4"$625.87 $832.41 $1,040.51 $1,217.40 $1,363.48 $1,499.83 6"$1,232.42 $1,639.12 $2,048.90 $2,397.21 $2,684.88 $2,953.36 8"$1,971.22 $2,621.72 $3,277.15 $3,834.27 $4,294.38 $4,723.82 10"$2,821.56 $3,752.67 $4,690.84 $5,488.29 $6,146.88 $6,761.57 6" Leisure World (bi-monthly shown, but billed monthly)$1,232.42 $1,639.12 $2,048.90 $2,397.21 $2,684.88 $2,953.36 2" Aquatic Park $319.05 $424.34 $530.42 $620.59 $695.06 $764.57 Private Fire Charges 4"$50.39 $67.02 $83.77 $98.01 $109.78 $120.75 6"$146.36 $194.66 $243.32 $284.69 $318.85 $350.74 8"$311.90 $414.83 $518.53 $606.68 $679.49 $747.44 10"$560.91 $746.01 $932.51 $1,091.04 $1,221.96 $1,344.16 hcf = hundred cubic feet 1 hcf = 748 gallons of water Proposed 5-Year Volumetric Rates ($/hcf) 14 Water Date Effective ->> Rates Effective 1/1/2024 4/1/2024 1/1/2025 1/1/2026 1/1/2027 1/1/2028 Volumetric Rates ($ /hcf) Residential Tier 1 $3.49 $4.64 $5.80 $6.79 $7.60 $8.36 Tier 2 $3.69 $4.91 $6.13 $7.18 $8.04 $8.84 Multi-Family Residential Tier 1 $3.49 $4.64 $5.80 $6.79 $7.60 $8.36 Tier 2 $3.65 $4.85 $6.07 $7.10 $7.95 $8.75 Leisure World Tier 1 $3.49 $4.64 $5.80 $6.79 $7.60 $8.36 Tier 2 $3.65 $4.85 $6.07 $7.10 $7.95 $8.75 Commercial $3.49 $4.64 $5.80 $6.79 $7.60 $8.36 Irrigation $3.57 $4.75 $5.94 $6.94 $7.78 $8.56 City $3.53 $4.69 $5.87 $6.87 $7.69 $8.46 Aquatic Park $3.95 $5.25 $6.57 $7.68 $8.61 $9.47 Water FYE 2024 FYE 2025 FYE 2026 FYE 2027 FYE 2028 Rate Revenues $6,160,620 $6,225,060 $6,195,656 $6,195,656 $6,195,656 Other Revenue (misc & int)$25,755 $26,013 $26,273 $88,288 $95,876 Proposed Revenue Increases $508,251 $3,089,186 $4,980,146 $6,578,749 $7,976,703 Total Revenue $6,694,626 $9,340,259 $11,202,075 $12,862,693 $14,268,235 Operating Expenses Personnel $2,053,371 $2,367,641 $2,557,052 $2,761,616 $2,982,545 Maintenance and Operations $1,854,700 $1,954,935 $2,058,082 $2,128,491 $2,198,471 Fixed Water Purchases $427,127 $456,039 $483,721 $512,059 $542,111 Volumetric Water Purchases $2,033,990 $2,077,022 $1,973,388 $2,069,375 $2,171,009 Total Expenses $6,369,188 $6,855,637 $7,072,243 $7,471,541 $7,894,136 Current Debt Service $541,416 $529,364 $526,647 $520,603 $420,167 Proposed Debt Service $0 $845,669 $1,371,223 $1,956,686 $1,956,686 Net Yearly Cashflow*($215,978)$1,109,589 $2,231,963 $2,913,864 $3,997,247 Rate Funded Capital $1,523,863 $0 $1,187,158 $0 $4,872,500 Net Cashflow after Capital ($1,739,841)$1,109,589 $1,044,805 $2,913,864 ($875,253) *Does not include millions in needed capital investment Water Financial Outlook with Revenue Increases 15 Total CIP $1,523,863 $13,549,658 $11,377,500 $6,612,500 $7,080,000 Debt Coverage and Reserve Balances 16 Average Monthly Water Cost Impacts 17 Average Monthly Water Cost Impacts 18 19 Wastewater Financial Plan & Proposed Rates Wastewater FYE 2024 FYE 2025 FYE 2026 FYE 2027 FYE 2028 Rate Revenues $2,213,306 $2,213,306 $2,213,306 $2,213,306 $2,213,306 Other Revenue (misc & int)$127,760 $51,500 $31,764 $32,082 $32,403 Proposed Revenue Increases $0 $0 $0 $0 $0 Total Revenue $2,341,066 $2,264,807 $2,245,070 $2,245,388 $2,245,709 Expenses Personnel $1,250,518 $1,500,559 $1,620,604 $1,750,253 $1,890,273 Maintenance and Operations $1,010,720 $1,061,256 $1,114,319 $1,147,748 $1,182,181 Total Expenses $2,261,238 $2,561,815 $2,734,923 $2,898,001 $3,072,454 Current Debt Service $545,583 $545,623 $545,183 $544,263 $542,863 Proposed Debt Service $0 $0 $0 $0 $0 Net Yearly Cashflow*($465,755)($842,632)($1,035,035)($1,196,876)($1,369,608) Rate Funded Capital $3,350,412 $530,000 $721,500 $8,395,000 $4,956,000 Net Yearly Cashflow ($3,816,167)($1,372,632)($1,756,535)($9,591,876)($6,325,608) *Does not include millions in needed capital investment Wastewater Utility Costs Exceed Revenue 20 Proposed 5-Year Monthly Wastewater Rates 21 Wastewater Current 4/1/2024 1/1/2025 1/1/2026 1/1/2027 1/1/2028 Fixed Charges Single Family Residential (Flat Charge)$24.02 $32.43 $40.21 $47.85 $54.07 $57.85 Multi-Family Residential (Customer Serv. Charge)$0.61 $0.82 $1.02 $1.22 $1.37 $1.47 Commercial (Customer Serv. Charge)$0.61 $0.82 $1.02 $1.22 $1.37 $1.47 City (Billing Charge)$0.61 $0.82 $1.02 $1.22 $1.37 $1.47 Leisure World - Customer Serv. Charge)$0.61 $0.82 $1.02 $1.22 $1.37 $1.47 Leisure World - Flat Rate $1,099.03 $1,483.69 $1,839.78 $2,189.33 $2,473.95 $2,647.12 Aquatic Park - Sewer Service Equity Charge $498.75 $673.31 $834.91 $993.54 $1,122.70 $1,201.29 Aquatic Park - Sewer Capital Equity Charge $661.00 $892.35 $1,106.51 $1,316.75 $1,487.93 $1,592.08 Navy (Customer Serv. Charge)$0.61 $0.82 $1.02 $1.22 $1.37 $1.47 Volumetric Rates ($ / hcf) Multi-Family Residential $4.00 $5.40 $6.70 $7.97 $9.00 $9.63 Commercial $4.00 $5.40 $6.70 $7.97 $9.00 $9.63 City $4.00 $5.40 $6.70 $7.97 $9.00 $9.63 Navy - Sewer Meter $0.24 $0.32 $0.40 $0.48 $0.54 $0.58 Proposed 5-Year Bi-Monthly Wastewater Rates 22 Wastewater Current 2/1/2024 1/1/2025 1/1/2026 1/1/2027 1/1/2028 Fixed Charges Single Family Residential (Flat Charge)$48.04 $64.85 $80.42 $95.70 $108.14 $115.71 Multi-Family Residential (Customer Serv. Charge)$1.22 $1.65 $2.04 $2.43 $2.75 $2.94 Commercial (Customer Serv. Charge)$1.22 $1.65 $2.04 $2.43 $2.75 $2.94 City (Billing Charge)$1.22 $1.65 $2.04 $2.43 $2.75 $2.94 Leisure World - Customer Serv. Charge)$1.22 $1.65 $2.04 $2.43 $2.75 $2.94 Leisure World - Flat Rate $2,198.06 $2,967.38 $3,679.55 $4,378.67 $4,947.89 $5,294.25 Aquatic Park - Sewer Service Equity Charge $997.50 $1,346.63 $1,669.82 $1,987.08 $2,245.40 $2,402.58 Aquatic Park - Sewer Capital Equity Charge $1,322.00 $1,784.70 $2,213.03 $2,633.50 $2,975.86 $3,184.17 Navy (Customer Serv. Charge)$1.22 $1.65 $2.04 $2.43 $2.75 $2.94 Volumetric Rates ($ / hcf) Multi-Family Residential $4.00 $5.40 $6.70 $7.97 $9.00 $9.63 Commercial $4.00 $5.40 $6.70 $7.97 $9.00 $9.63 City $4.00 $5.40 $6.70 $7.97 $9.00 $9.63 Leisure World $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Navy - Sewer Meter $0.24 $0.32 $0.40 $0.48 $0.54 $0.58 Wastewater Financial Outlook with Revenue Increases 23 Wastewater FYE 2024 FYE 2025 FYE 2026 FYE 2027 FYE 2028 Rate Revenues $2,213,306 $2,213,306 $2,213,306 $2,213,306 $2,213,306 Other Revenue (misc & int)$130,665 $74,396 $73,529 $82,143 $99,647 Proposed Revenue Increases $193,664 $1,133,213 $1,843,750 $2,482,320 $2,943,285 Total Revenue $2,537,635 $3,420,915 $4,130,585 $4,777,770 $5,256,238 Expenses Personnel $1,250,518 $1,500,559 $1,620,604 $1,750,253 $1,890,273 Maintenance and Operations $1,010,720 $1,061,256 $1,114,319 $1,147,748 $1,182,181 Total Expenses $2,261,238 $2,561,815 $2,734,923 $2,898,001 $3,072,454 Current Debt Service $545,583 $545,623 $545,183 $544,263 $542,863 Proposed Debt Service $0 $0 $0 $910,720 $910,720 Net Yearly Cashflow*($269,186)$313,476 $850,479 $424,786 $730,202 Rate Funded Capital $3,350,412 $530,000 $721,500 $0 $0 Net Yearly Cashflow*($3,619,598)($216,524)$128,979 $424,786 $730,202 *Does not include millions in needed capital investment Total CIP $3,350,412 $530,000 $721,500 $8,395,000 $4,956,000 Debt Coverage and Reserve Balances 24 Average Wastewater Cost Impacts 25 Average Wastewater Cost Impacts 26 Average Single-Family Residential Total Water and Wastewater Bill 27 Total Increase: $54 bi-monthly or $27 monthly Summary •The utilities are not meeting debt coverage ratios ›Makes it difficult to issue debt to fund needed capital reinvestment ›City has ongoing disclosure requirements to inform investors on items that may affect the bonds •Inflation, lower water use, and revised capital needs have significantly impacted the cost of providing these critical water and wastewater services •Proposed rate increases will restore the utilities’ financial health allowing the City to continue to secure and deliver safe, reliable water and wastewater services •These services receive no revenue from tax dollars. The funds we collect for these services are used to operate and reinvest in these systems. •Modern, resilient, and reliable water and wastewater systems require investment. We focus on ensuring the best value and the least impact on our customers. 28 29 Expenditure Programming Efficiency Efforts 30 1.Cross-train qualified staff to attain optimal efficiencies 2.Utilizing qualified contractors at competitive prices to ensure the best outcome 3.Actively identified outside funding opportunities i.SRF Loan ii.Bureau of Reclamation grant 4.Preventative vs. Reactive Maintenance 5.Include only initiatives that can be delivered Capital Improvement Projects WATER 1.Lampson Well Treatment System(1), (2) 2.LCWA Watermain Relining(1), (2) 3.Navy Reservoir Rehabilitation 4.Bolsa Chica Rehabilitation(1) 5.Beverly Manor Station(1), (2) 6.AMI SEWER 1.Pump Station #35(1) 2.Sewer Mainline Improvements(1) 3.SCADA Improvements(1) 4.Seal Way Water/Sewer 5.Sunset Aquatic Station 6.Boeing Pump Station 31 (1) In progress (2) External funding SIGNFICANT Cost of Doing Nothing 32 •Impact to General Fund, taking away from other City services •Leaks, failures, and more costly emergency repairs •Violations and fines •Unreliability •Health and safety compromise 33 FAQ's and Recommendations INFOGRAPHICProposition 218 Substantive Requirements Revenues cannot exceed the funds required to provide the service The amount of the fee cannot exceed the proportional cost of providing service Revenues cannot be used for any purpose other than to pay for the service for which it was charged Use reliable data 34 Set rates proportional to the cost of providing the service Reasonably allocate amongst grouped ratepayers based on a cost-of-service Financial Assistance Programs 35 •California Financial Assistance Programs ›Low Income Household Water Assistance Program (LIHWAP) ›Administered by Department of Community Services and Development (CSD) ›www.csd.ca.gov/lihwap ›(866) 675-6623 36 Outreach Council Meetings Following the City Council’s approval of the agreement to retain Raftelis to prepare the updated rate study on 6/12/23,public announcements were made at various subsequent Council meetings regarding the process and important dates. Dedicated Website https://www.2023utilityratestudy.sealbeachca.gov/ (inclu des FAQs, key dates, video resources, documents, literature) Informational Webinar 11/30/23 – recording also made available on dedicated website. Social Media Posted events and updates through social media channels (i.e., webinar and open house). Local Newspaper Articles published on 11/22/23,12/14/23, 1/25/24, 2/8/24. Public Hearing Notices were published on 1/25 and again this week on 2/1. Press Releases 2/1/24, 1/16/24, 12/19/23, and 11/21/23. The most recent release references tonight's public hearing and recommended continuance to 2/26/24. Utility Bill Inserts Billing inserts regarding the rate study update and schedule were sent with utility bills during the last billing cycle of 2023. Dedicated Phone & Email Utilityrates@sealbeachca.gov (562) 342-7389 •Rate Study Website www.2023utilityratestudy.sealbeachca.gov •Dedicated Phone Line/Email (562) 342-7389 utilityrates@sealbeachca.gov •Social Media/News Content #sealbeachpublicworks #cityofsealbeachca 37 Public Information Council Action Recommendations That the City Council opens the public hearing to accept comments on the proposed Water and Sewer Rates, and continues the item to February 26, 2024, to allow for additional public review time. February 26, 2024 –Public Hearing Continuance •Upon conducting a public hearing to accept comments on the proposed Water Rates,and at the close of the close of the public hearing a majority protest for Water Rates adjustments does not exist,it is recommended that City Council adopt a resolution establishing the Water Rates,effective April 1,2024; and, •Upon conducting a public hearing to accept comments on the proposed Sewer Rates,and at the close of the close of the public hearing a majority protest for Sewer Rates adjustments does not exist,it is recommended that City Council adopt a resolution establishing the Sewer Rates,effective April 1,2024. 38 39 End of Presentation (Back Up Slides Follow for Reference If Needed) Water -Use of Funds •City plans $13.5M in capital funded by a SFR loan and market debt in FY 2025 40 Wastewater -Use of Funds •75% has to do with Personnel & O&M 41 42 Water Infrastructure 43 Sewer Infrastructure Inflation 44 •The U.S. experienced 20 years of benign inflation right up to the City’s last water and wastewater rate studies, which were started in 2019. FY 2022 FY 2023 FY 2024 Actual Actual Actual General (for Los Angeles Area)1 6.5%5.4%2.1% Utilities (Electricity)2 14.6%8.6%7.0% Capital 7.9%4.9%Budgeted OCWD rate3 4.5%9.6%11.8% MWDOC Volumetric Rate4 2.4%3.5%5.8% 1CPI for All Urban Consumers:Los Angeles, Long Beach, Anaheim 2CPI for All Urban Consumers: Electricity in LA, LB and Anaheim 3This does not assume unfavorable EPA ruling for PFAS concentrations 4FY 2025 increases and beyond were provided by MWDOC Inflation Factors - 2021 Study All 5 Years General 2.2% Utilities 2.2% Capital 3.2% OCWD 6.5% MWDOC Volumetric Rate % Increase 2.4% Water Use is Down, Therefore Revenue is Lower 45 1.City adopted Level 2 water restrictions due to drought 2.2022/23 Winter Storms –customers use less water for irrigation 3.State Legislation –Making Water Conservation a Way of Life seeks to lower California water use FYE 2021 FYE 2022 FYE 2023 Total Water Volume (hcf)1,457,089 1,481,931 1,172,884 2%-21% Approximately $600k in lost revenue in FYE 2023! Water Financial Health Without Rate Increases •Not meeting debt coverage requirements; need 1.2x •Will quickly deplete reserves without revenue increases 46 Capital Improvement Projects -Water 47 Capital Improvement Projects FYE 2024 *FYE 2025 FYE 2026 FYE 2027 FYE 2028 Total $1,523,863 $6,142,696 $6,250,000 $5,750,000 $6,000,000 Sample Project List •Lampson Well Treatment System •LCWA Watermain Relining •Bolsa Chica Well Rehabilitation •Navy Reservoir Rehabilitation •Beverly Manor Booster Station •FYE 2024 only includes carry-over design funds, but no CIP construction costs due to lack of funding Water Reserves •Operating reserve = 25% of operating expenses ≈ $1.5M •Capital reserve = 30% of average yearly cash/reserve funding capital ≈ $1M •Debt reserve = 25% of debt service ≈ $200 to 500k •Total reserve goal ≈ $2.5 to $3M 48 Water Financial Plan 49 Why are the revenue increases needed? 1)They are needed to meet debt coverage ratios so the City can issue debt to fund needed capital projects 2)Keep up with inflation 3)Recover lost revenue due to lower water use 4)Fund aging Infrastructure replacement FYE 2024 FYE 2025 FYE 2026 FYE 2027 FYE 2028 April 1, 2024 Jan 1, 2025 Jan 1, 2026 Jan 1, 2027 Jan 1, 2028 Additional Revenue $500k $3.09M $4.98M $6.58M $7.58M Market Debt Issuance $13M $9M State Loan (SRF)$11M Water Financial Plan •The reserves are temporarily high in FY 2027 & 2028 because debt is funding capital 50 Wastewater Financial Health without Rate Increases •Not meeting debt coverage requirements; need 1.2x •Will quickly deplete reserves without revenue increases 51 Wastewater Reserves •Same targets as water •Plan for Reserve target ≈ $1M 52 Capital Improvement Projects -Wastewater 53 Capital Improvement Projects FYE 2024 FYE 2025 FYE 2026 FYE 2027 FYE 2028 Total $3,350,412 $500,000 $650,000 $7,300,000 $4,200,000 Sample Project List •Sewer Mainline and Manhole Repairs •Pump Station #35 •Boeing/Sunset Aquatic/Adolfo Lopez Pump Station Improvements IIlustrates dip in FYE 25/26 in CIP due to lack of funding. Wastewater Financial Plan 54 Why? 1)Needed to meet debt coverage ratios so the City can issue debt to fund essential capital projects 2)Keep up with inflation FYE 2024 FYE 2025 FYE 2026 FYE 2027 FYE 2028 April 1, 2024 Jan 1, 2025 Jan 1, 2026 Jan 1, 2027 Jan 1, 2028 Additional Revenue $193k $1.13M $1.84M $2.48M $2.94M Market Debt Issuance $14M Financial Plan •Debt coverage is driving the rate increases, not so much reserve balances 55 56 Total Cost Impacts - Water and Wastewater Average Cost Impacts -Water and Wastewater 57 Average Cost Impacts -Water and Wastewater 58 Proposition 218 Procedural Requirements 1. IDENTIFY PARCELS subject to the change 3. PROVIDE WRITTEN NOTICE to all record owners including the amount, basis upon which the amount was calculated, reason for the change, and the date/time/ location of a public hearing 4. HOLD A PUBLIC HEARING no less than 45 days from mailing the notice, consider all protests to the change - if a majority of property owners and customers protest, the change will not be adopted at that time 2. CALCULATE the amount of the change to be imposed 59 60 Community Engagement Meeting/Event Date Time Topic Informational Webinar Thursday, Nov. 30 6-7:30 p.m. Overview of City water and sewer utilities, how rates are determined, legal rate setting in California City Council Meeting Monday, Dec. 11 7 p.m.City Council to consider Financial Plan and rate updates Issue Prop 218 Notice Tentatively Dec. 28 Written notice of the public hearing, proposed rate adjustments, basis upon which the rate adjustments were calculated, reasons for the adjustments, and public right to protest Rate Study Community Open House Thursday, Jan. 18, 2024 6-8 p.m. Utility customers and community members are invited to meet with staff and financial experts about utility services and proposed rates Public Hearing Tentatively Feb. 12, 2024 7 p.m.City Council to consider proposed rate adjustments Rates Implemented Tentatively April 2024 61 Glossary