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HomeMy WebLinkAboutPacket 08112025     A G E N D A MEETING OF THE CITY COUNCIL Monday, August 11, 2025 ~ 7:00 PM City Council Chambers 211 Eighth Street Seal Beach, California LISA LANDAU MAYOR Third District NATHAN STEELE MAYOR PRO TEM Fifth District   JOE KALMICK COUNCIL MEMBER First District                                                           BEN WONG COUNCIL MEMBER Second District     PATTY SENECAL COUNCIL MEMBER Fourth 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 TV-3 and  on the City's website (www.sealbeachca.gov). Check SBTV-3 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.   CALL TO ORDER PLEDGE OF ALLEGIANCE COUNCIL ROLL CALL PRESENTATIONS / RECOGNITIONS •Service Clubs Month Proclamation – September 2025 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  the 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. Speaker cards  will  be  available  at  the  Clerk’s  desk  for  those  wishing  to  sign  up  to  address  the Council, although  the submission  of a speaker card  is  not  required in order  to  address the Council. 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. CITY ATTORNEY REPORT Nicholas Ghirelli, City Attorney    CITY MANAGER REPORT Patrick Gallegos, City Manager    COUNCIL COMMENTS General Council Member comments and reporting pursuant to AB 1234. COUNCIL ITEMS A.Housing Element Update - Receive and file.   CONSENT CALENDAR Items on the consent calendar are considered to be routine and are enacted by a single motion with the exception of items removed by Council Members. B.Approval of the City Council Minutes - That  the  City  Council  approve  the minutes of the Closed Session and Regular City Council meeting held on July 28, 2025.   C.Demand on City Treasury (Fiscal Year 2026) - Ratification.    D.Notice of Completion for the Arterial Paving Program, Seal Beach Boulevard from Westminster Avenue to North Gate Road, CIP O-ST-3 -  That the City Council adopt Resolution 7681: 1. Accepting the Arterial Paving Program, Seal  Beach  Boulevard  from  Westminster  Avenue  to  North  Gate Road, CIP O-ST-3, by All  American  Asphalt  in amount  of $1,421,646.41; 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.   E.Amendments to Professional Service Agreements with Lisa Wise Consulting, Inc. - That the  City  Council  adopt  Resolution 7682: 1. Approving Amendment  2  to  Professional  Service  Agreement  with  Lisa  Wise  Consulting, Inc., to  provide  professional  services  related  to  the  2021-2029  Housing Element Update, extending the term to December 31, 2025; and, 2. Approving Amendment  2  to  Professional  Service  Agreement  with  Lisa  Wise  Consulting, Inc., to  provide  professional  services  revising  portions  of  Title  11  of  the Municipal  Code to  implement the  2021-2029  Housing Element, extending the term  to  December  31, 2025; and, 3. Authorizing the  City  Manager to execute each Amendment on behalf of the City.   F.Amendment 2 to the Professional Services Agreement with Stantec Consulting Services, Inc. - That  the  City  Council  adopt  Resolution  7683: 1. Approving Amendment 2 to the Professional Services Agreement with Stantec Consulting  Services, Inc., extending  the  term  to  December  31, 2025; and, 2. Directing the City Manager to execute Amendment 2 on behalf of the City.   G.Amendment 3 to the Professional Services Agreement with Holistic System Integration Solutions - That the City Council adopt Resolution 7684: 1. Approving  Amendment  3  to  the  Professional  Services  Agreement  with Holistic System Integration Solutions to  approve an increase in compensation of  $15,000  for  continued  post-implementation  support  of  Tyler  Technologies’ Enterprise  Permitting  and  Licensing  (EPL) Land  Management  Software System for a revised total not-to-exceed amount of $35,000; and, 2. Directing the City Manager to execute Amendment 3 on behalf of the City.   ITEMS REMOVED FROM THE CONSENT CALENDAR PUBLIC HEARING H.Proposition 218 Protest Public Hearing – Water Rate and Sewer Rate Adjustments - 1. That  the  City  Council  conduct  a  public  hearing  to  accept comments  on  the  proposed  water  and  sewer  rate  adjustments; and, 2. Upon the  conclusion  of  the  public  hearing, that  the  City  Council  adopt  Resolution 7668  responding  to  timely  filed  written  objections  to  the  proposed  water  and sewer rates pursuant to the requirements of Assembly Bill 2257; and, 3. Upon the  conclusion  of  the  public  hearing, provided  a  majority  protest  against  the proposed  water rates does not  exist, that  City  Council adopt Resolution  7669 establishing  the  water  rates, effective  August  1, 2025; and, 4. Upon  the conclusion  of  the  public  hearing, provided  a  majority  protest  against  the proposed sewer rates does not exist, that City Council adopt Resolution 7670 establishing the sewer rates, effective August 1, 2025; and, 5. Receive and file the  Water  and  Wastewater  Financial  Plan  and  Rate  Study, prepared  by Raftelis Financial Consultants, Inc., dated June 17, 2025, as presented to  the City Council at this meeting and on file in the office of the City Clerk.   UNFINISHED / CONTINUED BUSINESS – None NEW BUSINESS – None ADJOURNMENT Adjourn  the  City  Council  in  memory  of  Seal  Beach  Resident  and  Community  Member Nicole Stewart to Monday, September 8, 2025 at 5:30 p.m. to meet in closed session, if deemed necessary. Note: The August 25, 2025 City Council Meeting has been cancelled.                                                   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   I Just Think The Water Thing Is Inevitable. The City Is Being Forced To Ship In Water At High Cost Already. I Am Concerned About The Well Closest To The Coast Due To Saltwater Intrusion, So I Hope That Is Not A Bad Investment In The Longer Term Future. I Am Concerned With The Burden On College Park East's Water System Given The New Developments In Los Alamitos And The Proposed Development In The Seal Beach Housing Element. I Am Sad If Any Leisure World Resident Truly Cannot Afford The Water Increases Rather Than Simply Being Inconvenienced. Is There Potential To Micro-flnance Scholarships Or Grants To Residents In Need? I Agree With My Neighbor That The Naval Weapons Station Is Not Contributing Equally When You Really Think About Water Rates And Land Development Potential. I Do Not Attribute Malice As They Are Clearly Busy Doing Their Own Thing. Could My Proposed Medical Facility Be A Beneflcial Solution For All Parties? Does Anyone Else Have Any Big Picture Proposals/Ideas They Are Willing To Share In City Council Meetings? For The Water Thing, I Would Have Liked To See Words Like Inter- District Equity Guarantee Or Rate Stabilization Reserve To Make Residents Feel More Comfortable. Inter District Equity Guarantee: Embedding a pro rata surplus sharing covenant in the master service agreement automatically redistributes any revenues above debt service, reserve targets, and operating margins among the flve co located districts based on their proportional usage, with annual reconciliation overseen by a joint technical committee. Rate Stabilization Reserve: Establishing a dedicated reserve that requires deposits of revenues exceeding budgeted expenses, debt obligations, and a modest operating margin smooths customer rates across flscal cycles, with withdrawals for rate relief, capital needs, or emergencies authorized by supermajority board vote and disclosed in an annual public report. Could The Anduril And Saronic Technologies Be Used in dual purpose civilian/military cooperation? For Example, cleaning up the garbage in the San Gabriel River or shipping sand onto our beaches? Surely, this would beneflt them as well being able to collect data mapping the coast/have clearer lines of sight/go through training exercises pretending the trash is a target/shipping aid across the world/etc. I See And Appreciate How The City Council Agenda Is Clickable And Goes To The Timestamp Where The Item Was Addressed In The City Council Meeting Video. Thank You. Both Republicans And Democrats Weaponize Terrible Processes For Their Own Propaganda Rather Than Fixing The Process Itself. This is How Blockchain Could End Voter Fraud Forever (14:19) - Charles Hoskinson & Shaun Ryan https://www.youtube.com/watch?v=8rt_up6Yrgg The Guiding and Establishing National Innovation for U.S. Stablecoins Act https://en.wikipedia.org/wiki/GENIUS_Act Money Talks - David Graeber https://www.youtube.com/watch?v=s0sGWsZIWbU David Graeber on a Fair Future Economy https://www.youtube.com/watch?v=7YynqVvgZYI Secrecy strategies: Global patterns in elites’ quest for confldentiality in offshore flnance https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0326228 build your own encrypted, off-grid radio network with the Hytera HR652 DMR repeater https://www.youtube.com/watch?v=JntdvDhmx8I there's already a uci health in los alamitos, maybe they would be open to contributing to building something across the street from leisure world with navy, csulb, and tongva/kizh/gabrielino holistically https://news.uci.edu/2025/07/21/uc-irvine-tapped-to-bring-psychedelic-therapy- education-to-nursing-students/ This company in santa cruz/watsonville grows sungrown and greenhouse with very affordable prices; i have not tried their product yet myself so I can't give my cosign, but they also grow blueberries and potentially other crops with a holistic approach https://www.coastalsunfarm.com/ Gavin Newsom - Governor of California | SRS #218 @2:12:52 Psychedelics Discussion (Medical Supervision Alone Being Treated As The Ideal Solution Without Decriminalization Is Dangerously Uninformed And Destroys The Possibility Of Holistic Societal Healing - Look At The State Of Our Medical System Currently, Look At The Criminality Of The Pharmaceutical Industry, Look How Unaffordable/Long The Waitlist Is For Treatment In Oregon - Why Should The Same Mental Health Providers/Government Who Have Largely Pushed Extended Use Of Antidepressants/Benzodiazepines/ADHD/Etc. And Created A Terrible Legal Cannabis Regulatory Framework Be Rewarded For Their Ineffective Treatment Strategies? How Will The Current Medical System Help Someone Integrate A Religious Experience? Religion, Local, And Native Culture/Ecology Must Be Involved. I Think There Is A Dangerous Faction That Want To Make A New “Scientiflc” Priestly Class Of Perennialists With Exclusive, Expensive Degrees/Programs Sanctioning Legal Access To Entheogens. They Are Not Religion.) https://www.youtube.com/watch?v=5BBq3Q_fHSU 
 https://www.psychedelicpassage.com/ (Sinfully Scientiflcally Named) Psilocybe Allenii – Observed Growing Naturally In Anaheim, California (Gabrieleño Tribal Territory) https://www.inaturalist.org/observations/243703004 (Sinfully Scientiflcally Named) Psilocybe Ovoideocystidiata – Observed Growing Naturally In Huntington Beach, California (Gabrieleño Tribal Territory) https://www.inaturalist.org/observations/267154893 (Sinfully Scientiflcally Named) Psilocybe Allenii – Observed Growing Naturally In Los Angeles, California (Gabrieleño Tribal Territory) https://www.inaturalist.org/observations/4676262 (Sinfully Scientiflcally Named) Psilocybe Cyanescens – Observed Growing Naturally In Los Angeles, California (Gabrieleño Tribal Territory) https://www.inaturalist.org/observations/41867522 Psychedelic Mushrooms in Africa - Hamilton Morris https://www.youtube.com/watch?v=dPs4sr1aeoY The country’s flrst mushroom casket was buried last week in rural Maine https://www.pressherald.com/2025/06/04/the-countrys-flrst-mushroom-casket-was- buried-last-week-in-rural-maine/ Weed & Wine (FULL FILM)https://www.youtube.com/watch?v=RbU1p2-Q2m0 Is There A Darkness Retreat In Seal Beach? This Could Be Healing For Local First Responders/Military/Elderly/Mental Health/Explorers/Etc. 1. If Darkness Retreats Produce DMT, Have You Given Thought To DMTx In Relation To The 9 Month Darkness Of The Womb? 2. Given DMT's Effect On Neuroplasticity And The Environment's Effects On Epigenetic Inheritance, Could DMT Be The Substrate Through Which The Environment Communicates Non-sensory/Extrasensory Information For The Developing Fetus? ビシビシ JO8N On Monday, July 14th, 2025 at 3:05 PM, JO8N <JO8N@proton.me> wrote: “Real-time opportunities for the public to address the board are required” - Even Though AB 2449 Is Addressing Teleconferencing, “Real-time” Applies To In Person Attendance As Well. https://www.rwglaw.com/media/publication/102_Nick%20- %20CSDA%20Article%20AB%202449.pdf Is There An Up To Date Attorney Contract With Hourly Rate Available? Regardless, I Think It Should Be Re-negotiated To Include Additional Extra Hours Free Of Charge To Exclusively Pursue Creative Legal Frameworks Given Public AI Legal Tools To Roughly Sketch And The Uniquely Local Opportunities The City Can Provide (Regulatory Innovation, Adaptive Governance, Municipal Entrepreneurship, Legal Entrepreneurship, Home-Rule Experimentation, Regulatory Sandboxing, Collaborative Lawmaking, Strategic Preemption Navigation, Outcome-Based Regulation, Interjurisdictional Micro -Grants, Etc.). Is The Contract With The Firm, Not The Speciflc Attorney? If So, I Think The City Should Also Pursue These Creative Legal Frameworks With Access To The Entire Firm’s Staff. https://www.sealbeachca.gov/Portals/0/Documents/Human%20Resources/Labor%20Agr eements/City%20Attorney%20Contract.pdf?ver=2020-06-12-080752-477 We don't know what's happening with forests: ESA Imaging Satellite https://www.youtube.com/watch?v=YfqvsVgtThQ https://www.esa.int/Applications/Observing_the_Earth/Space_for_our_climate/ESA_unveil s_longest-ever_dataset_on_forest_biomass How Water Makes This Town Flood-Proof | WSJ Pro Perfected https://www.youtube.com/watch?v=-mv_IiESpyY What is Going on with California’s Water!? https://www.youtube.com/watch?v=gVaQiEkSkFY Could Puquios/Qanat be used in our modern water systems? https://en.wikipedia.org/wiki/Puquios
https://en.wikipedia.org/wiki/Qanat Is there any risk of saltwater intrusion into our well, as over pumping in northern california has caused? https://cawaterlibrary.net/document/increasing-threat-of-coastal-groundwater-hazards- from-sea-level-rise-in-california/ Sage Pressure Geothermal Energy - Able To Use Old Oil Wells Like In Seal Beach? https://www.youtube.com/watch?v=j4gLxHTqdX4 Fervo Energy Announces Technology Breakthrough in Next-Generation Geothermal 2023 https://fervoenergy.com/fervo -energy-announces-technology-breakthrough-in-next- generation-geothermal/ Panthalassa Ocean-2, a full-scale prototype deployed off the Washington coast scalable to Terrawatts https://www.youtube.com/watch?v=Q7Pmgq2JKbI 2025: The end of our world as we know it | Peter Leyden (I agree with the premise, but i disagree with his conclusion; I think its flnancial capitalism —> universal basic income flxing time poverty for government participation creating more fair capitalism; representative democracy —> direct liquid democracy with no one getting to write their name on the ballot decreasing power of parties/political action commitees; and nation states —> global psychedelic religions forming a global flrst amendment, which the state must submit to, Under GOD) https://www.youtube.com/watch?v=-zoCpFfOH04 Our City Council Should Be Voting To Make Political Proclamations With All 5 In Agreement Like: Massive, thousand page omnibus appropriations bills from Democrats And Republicans undermine transparency by denying both members and the public adequate time to review each provision—and to understand how special interest PAC funding or donor commitments may have shaped them (GovExec). Critics note that this “broken” process, in which Congress bundles dozens of unrelated measures into a single package, precludes meaningful public input and masks the true costs and infiuences behind each policy choice (Manhattan Institute). https://www.govexec.com/management/2025/05/top -democrats-congress-decry-white- house-lack-transparency-spending-plans/405643/ https://manhattan.institute/article/the-omnibus-spending-bill-is-symptomatic-of-a- broken-congress How "Non-Proflts" Are Scamming America -501c3 501c4 527 PAC, NGOs Lose 5% To Fraud https://www.youtube.com/watch?v=5ZmvQcq0yP0 Foreign Agents Registration Act https://www.justice.gov/nsd-fara Rep. Massie Introduces Legislation Requiring Political Candidates to Disclose Dual Citizenship https://massie.house.gov/news/documentsingle.aspx?DocumentID=395713 Nuclear Information Project with the Federation of American Scientists in Washington, DC On Israel; stockpile of roughly 90 warheads ; not part of the Non Proliferation Treaty and does not undergo UN inspection???????? https://thebulletin.org/premium/2022-01/nuclear-notebook-israeli-nuclear-weapons- 2022/ Departments Should Be More Integrated Rather Than Fighting For Budget - Polymaths - I Propose once a week/month (day can be voted on), department to department trade of staff members - (pay is the same for the staff members, and in any emergency, everyone goes back to their rightful place); also, a once a month where department heads bring up one problem/innovation they are stuck/interested in, and the other department heads have to give their opinions through the perspective of that speciflc department head as if it is a debate and they are for it and the speciflc department head must act as if they are against it https://www.bbc.com/worklife/article/20191118-what-shapes-a-polymath---and-do-we- need-them-more-than-ever UNODC World Drug Report 2025: Global instability compounding social,
economic and security costs of the world drug problem https://www.unodc.org/unodc/press/releases/2025/June/unodc-world-drug-report-2025_- global-instability-compounding-social--economic-and-security-costs-of-the-world-drug- problem.html Typo Pg 19 https://www.unodc.org/documents/data-and- analysis/WDR_2025/WDR25_B1_Key_flndings.pdf World Drug Report 2025 https://www.unodc.org/unodc/en/data-and-analysis/world-drug-report-2025.html Overprescribed Youth “ADHD Treatment” In The United States Is A Gateway To Methamphetamine/Amphetamine/Cocaine IMO https://www.adhdadvisor.org/learn/adhd-statistics-and-facts https://www.cdc.gov/mmwr/volumes/72/wr/mm7213a1.htm The Crumbling Business of Marijuana - (Seal Beach Sun Grown On Kizh/Tongva/Gabrielino Land With Locals/Natives, Only City Tax No State/Federal Ever, Limited Designated Smoking/Consumption Cafe Locations, And Consumption Laws Equal To Alcohol In Restaurants —> Native/Locally Grown Entheogens With Veteran/Active Duty Therapy For Naval Weapons Station, End Of Life Palliative Care For Leisure World, And Working With Cal State Long Beach Researchers) https://www.youtube.com/watch?v=niQ7mk13xew Programming Using AI https://v0.dev/ Erebor Crypto Bank - USD Stablecoin for Seal Beach City overseen by Seal Beach Police creating unmatched security with biometric conflrmation only to be usable for shopping locally, especially secure for vulnerable Leisure World residents —> have ownership of all local data storage able to be leveraged —> using same underlying technology, have separate local resident political system to eventually have direct liquid democracy https://www.reuters.com/business/tech-billionaires-led-by-palmer-luckey-launch-new- bank-rival-svb-ft-reports-2025-07-02/ building on social media sites is on rented land vs building on email/city website is on land you own —> same goes for data storage An open source, off-grid, decentralized, mesh network built to run on affordable, low- power devices (Uses bluetooth I believe; possible use in emergencies?) https://meshtastic.org/ Harvard Professor Explains The Rules of Writing — Steven Pinker https://www.youtube.com/watch?v=nBQPnvmaNcE Money Did Not Come From Barter - It Came From Blood Feuds- L. Randall Wray https://www.youtube.com/watch?v=X-D5FERQzU4 Why Mushrooms are Starting to Replace Some Things https://www.youtube.com/watch?v=jI2LC3WTryw ‘Too Much Going On’: Autistic Adults Overwhelmed by Nonverbal Social Cues https://drexel.edu/news/archive/2025/July/Autistic-Adults-Overwhelmed-by-Nonverbal- Social-Cues JO8N On Monday, July 14th, 2025 at 2:49 PM, JO8N <JO8N@proton.me> wrote: Dear GOD: I Write To Notify The Seal Beach People Of Multiple Serious Legal Violations Committed By Attorney And Police During Multiple Seal Beach City Council Meetings, And To Demand Immediate Remedial Action. My Claims Are Fully Documented By Audio/Video Recordings, Public Eyewitnesses, And Written Correspondence. I Request A Written Response Immediately From The Date Of This Letter, As You Have Ignored All My Previous Email Requests For Response, In Denial Of THE SPIRIT. I. Constitutional Violations – Police Intimidation And Chilling Of Free Speech 1. Police Intimidation Violating My 1st Amendment Right By Chilling Free Speech At Public Assemblies Repeatedly Due To Viewpoint Discrimination Before/During My Public Comments Has Been Taking Place For Years: (A) Directing An Officer To Use A Police Dog To Speciflcally Target My Person/Belongings/Scent Without A Warrant Or Reasonable Suspicion Of A Crime Additionally Violating My 4th Amendment Right, (B) Directing An Officer To Move Behind The Sight Line Of The Camera To Sit In The Public Audience Exactly When I Gave My Public Comment, (C) Physically Moving Directly Next To My Person In The Public Audience Section Before My Public Comments At Two Separate December Meetings In Order To Add Extra Intimidation During The Pressure Of Much Greater Audience Attendance Than Usual, High Ranking Government Officials’ Attendance, And Holiday Performances, (D) Suggesting/Telling Me Not To Write My Name Down In Order To Be Called Upon To Give My Public Comment. 2. Such Targeted, Repeated Shows Of Force In Plain View Of Camera And Attendees Constitute Unlawful First Amendment Retaliation And Intimidation In Violation Of The United States And California Constitutions, Including The Tom Bane Civil Rights Act (Cal. Civ. Code § 52.1). II. Brown Act Violations – Disruptive Responses Directly To My Public Comments 1. By Discussing My Public Comment On The Record Without First Placing It On A Publicly Noticed Agenda And Giving Me A Chance To Respond, The Lawyer Engaged In Unauthorized Discussion Of A Non Agendized Item, A Clear Violation Of Gov. Code § 54954.2. The Disruption Denied The Validity Of My Public Comment Regarding My Church’s Sacramental Use Of The Flesh And Blood Of JESUS CHRIST (Sinfully Scientiflcally Named Psilocybin Mushrooms)—A Legally Protected Religious Practice—Thereby Engaging In Viewpoint Discrimination In Direct Contravention Of Gov. Code § 54954.3 By Misfeasance In Office (Misusing Lawful Authority), Misrepresentation By Omission (Fraudulent Concealment) Of Material Facts, And Acting Ultra Vires (Beyond Lawful Authority). The Attorney Issued A Blanket Legal Statement Asserting That “Psilocybin Mushrooms”— Referred To By Their Non-Religious, Sinfully Scientiflc, Secular Name—“Are Illegal In California.” This Statement Was Delivered Without Addressing The Constitutional Protections Afforded To My Religious Practice, And Was Made In Direct Response To My Public Comment Of Religious Liberty Concerning The Flesh And Blood Of JESUS CHRIST. This Disruptive, Unlawful Response To My Public Comment Effectively Undermined The Legitimacy Of My Sincerely Held Religious Beliefs And Sacramental Use Of JESUS CHRIST's Flesh And Blood. It Promoted A Preference For Traditional Or Mainstream Interpretations Over Nontraditional Spiritual Practices. It Also Violated The Establishment Clause And Free Exercise Clause Of The First Amendment To The United States Constitution, Which Together Prohibit Government Hostility Toward Minority Religious Practices, Government Endorsement Of One Religious Interpretation Over Another, Interference With Religious Expression In A Public Forum, And The Chilling Of Protected Religious Speech. Furthermore, The Attorney Omitted Critical Legal Context, Implying That My Religious Practice Was Categorically Illegal Under State Law—When In Fact, The Religious Freedom Restoration Act (RFRA) And The Gonzales V. O Centro Espírita Beneflcente União Do Vegetal (UDV) Supreme Court Decision Provide A Clear And Recognized Pathway For Religious Exemption To Controlled Substance Laws. The UDV Case Affirmed That A Sincere Religious Use Of A Federally Controlled Substance May Not Be Prohibited Without The Government Meeting The Highest Level Of Legal Justiflcation—Known As Strict Scrutiny. The Burden Is On The Government To Show A Compelling Interest And That It Has Chosen The Least Restrictive Means To Advance That Interest. By Failing To Disclose This Legal Framework, The Attorney Not Only Misled The Public, But Also Attempted To Dismiss My Constitutionally Protected Religious Rights Through Misrepresentation And Selective Omission (Fraudulent Concealment). This Public Statement, Issued By A Government Official In A Civic Forum, Not Only Dismissed The Spiritual Framework I Had Explicitly Articulated, But Also Attempted To Reframe My Protected Religious Exercise As A Criminal, Secular Matter—Thus Chilling My Religious Speech, Discrediting The Legitimacy Of My Sacrament, And Reinforcing State Entanglement With Religious Interpretation, Contrary To The Principle Of Government Neutrality In Religious Matters. 2. At The Council’s Request For Additional Information Concerning My Comment, Police Misrepresented The Legality Of Secular Psilocybin Mushrooms In California, Fraudulently Concealing Successful Decriminalization Mandates In The California Cities Of Oakland, Santa Cruz, Arcata, Berkeley, And San Francisco, Thereby Misleading The Council In Breach Of Gov. Code § 54954.2 And § 54954.3, And Committing Ultra Vires (Beyond Lawful Authority) Misfeasance In Office. III. Procedural Rule Making And Ultra Vires Acts Regarding The “Well” 1. The Boundary Of The “Well” Is Neither Deflned In State Law Nor Codifled In Local Ordinance To My Knowledge; It Is A Purely Procedural Matter For Council Action. Despite Repeated Requests For The Speciflc Municipal Code Section Authorizing Any Such Boundary, None Exists. 2. Police And Attorney Unilaterally Expanded The Logical And Symmetrical Boundaries Of The “Well” Beyond Any Council-Adopted Rule To Contract The Public Area Unlawfully—An Ultra Vires Act And Clear Misfeasance In Office. Wells Are Round, The Symmetrical City Clerk’s Desk Is Clearly A Public Area With Forms To Fill Out, And Logically There Is Clearly A Public Trashcan Outside The Police Desk That I Never Went Beyond. This Police And Attorney Action Amounts To Abuse Of Process, Misrepresentation Of Law, And Abuse Of Authority. IV. Defamation And Abuse Of Qualifled Privilege 1. When I Sought To Speak In Order To Correct The Fraudulent Concealment In The Record (II.2.), I Peacefully Stood Outside The “Well” In A Public Area. After Being Told To Move Because I Was In The “Well”, I Did Not Move, So I Requested A Written Memorandum Of The “Well” Boundaries From The City Municipal Code. Instead, The Attorney Sent Me And Three Other Government Employees A Letter Maliciously Defaming My Character By Falsely Alleging I Was “Intimidating” “Police”, “Disrupting” The City Council Meeting, And Refusing A “Lawful Order”. Because I Was Peacefully Standing In A Clearly Public Area Keeping My Body To Myself Gesturing And Whispering In Active Listening To The City Council Meeting (With No Action By Council To Remove Me Or Claim Disruption), Attempting To Follow The Public Participation Procedure Of An Agendized Discussion Pursuant To The Brown Act To Correct The Fraudulent Concealment In The Record (II.2.), And Refusing An Unlawful Order Not In The City Municipal Code Or Given By City Council, The Entire Attorney Letter Is Illogical Malicious Defamation Designed To Intimidate, Chilling My Free Speech. I Have Not Returned In Person To City Council Since I Do Not Trust The Hostile Environment Created Through Maliciously, Falsely Labeling Me A Person “Intimidating” “Police”. In Addition, As I Was Simultaneously Publicly Criticizing The New Enforcement Of The Daylighting Parking Law Without Painted Curbs, My Free Speech Is Clearly Protected By Gov. Code § 54954.3 (c): The Legislative Body Of A Local Agency Shall Not Prohibit Public Criticism Of The Policies, Procedures, Programs, Or Services Of The Agency, Or Of The Acts Or Omissions Of The Legislative Body. 2. This Written Accusation—Sent To Me And Three Government Employees—Constitutes Libel Per Se, An Abuse Of Qualifled Privilege, Intimidation Chilling My Free Speech, Creating A Hostile Environment, And Actual Malice, Causing Harm To My Reputation And Giving Rise To A Defamatory Tort Action Seeking Injunctive Relief. V. Demand For Relief Accordingly, I Hereby Demand That The Seal Beach Government Immediately: 1. Investigate And Correct Any Unlawful Intimidation Tactics Used By Police And Attorney To Chill My Free Speech, Including Blocking My Email Messages To Government Officials And Staff In Late 2024, Cited On The Record Of A City Council Meeting. 2. Retract The Attorney’s Defamatory Allegations In Writing And Issue A Corrective Notice To All Recipients, Cited On The Record Of A City Council Meeting. 3. Provide The Speciflc Municipal Code Section Describing The “Well” Boundary Or Formally Adopt One Via Council Resolution, Cited On The Record Of A City Council Meeting. 4. Cease And Desist Further Illegal Brown Act Violations, Restore Viewpoint Neutrality Through Correction Of The Record To Include Previously Omitted Information, And Legally Agendize Public Discussion Of The (Sinfully Scientiflcally Named) Psilocybin Mushroom For Secular Local Decriminalization In Order To Equally Welcome And Respect Everyone’s First Amendment Rights. 5. Implement Training For All Government Officials And Staff Through Reading This Entire Letter, Cited On The Record Of A City Council Meeting. VI. If You Fail To Respond In Writing Immediately Or Refuse To Remedy These Violations, I Will Consider Pursuing All Available Administrative And Judicial Remedies, Including But Not Limited To: 1. Filing A Formal Brown Act Complaint With The County District Attorney And Attorney General. 2. Initiating A Civil Rights Action Under 42 U.S.C. § 1983 And The Tom Bane Civil Rights Act (Cal. Civ. Code § 52.1) Up To $25,000. 3. Filing A Defamation Lawsuit For Libel Per Se Up To $25,000. 4. Seeking Injunctive Relief, Damages, And Attorney’s Fees. 5. Lastly, I Am Under No Obligation To Prove My Religious Exemption Through Any Man Made Legal Mechanisms Unless And Until I Deem The Matter Ripe. My Exercise Of Faith Exists Prior To And Beyond Civil Authorization, As Declared In The Declaration Of Independence, Protected By The United States Constitution, And Recognized By Legal Precedent. This Is Anchored In The Foundational Principle That Religious Liberty Is An Inalienable Right, Not A Privilege Bestowed Or Regulated At The Discretion Of Any Government. Peace And Love To Everyone That Lives And Works In Seal Beach. Very Truly GOD’s, JO8N On Monday, June 23rd, 2025 at 3:29 PM, JO8N <JO8N@proton.me> wrote: Psilocybin Mushrooms in Their Natural Habitats - by Paul Stamets https://www.target.com/p/psilocybin-mushrooms-in-their-natural-habitats-by-paul- stamets/-/A -94272297 Waska: the cost of spiritual healing in the Amazon https://www.youtube.com/watch?v=8jG6B0o1QfQ This Deadly Drug Can Also Erase Addiction ‘Virtually Overnight’ | WSJ https://www.youtube.com/watch?v=tBz2TTEdFSs Two Videos Above Are Why I Advocate For Locally Grown And Facilitated GOD Given Medicine. Marcus Finnie | The Art of Listening Drum Clinic https://www.youtube.com/watch?v=oimZ5dzewic The REAL Danger Of The Post WWII Consensus And Is It Too Late? | Jonathan Pageau https://www.youtube.com/watch?v=-Ug88C6Zgcs See the stunning flrst images from the Vera C. Rubin Observatory https://www.technologyreview.com/2025/06/23/1119129/flrst-images-vera-c-rubin- observatory/ Why That Scary Statistic Might Not Mean What You Think – Understanding Scientiflc Risk and Probability in the Media https://caveatscientia.com/2025/04/02/why-that-scary-statistic-might-not-mean-what- you-think-understanding-scientiflc-risk-and-probability-in-the-media/ Cancers can be detected in the bloodstream three years prior to diagnosis https://www.hopkinsmedicine.org/news/newsroom/news-releases/2025/06/cancers-can- be-detected-in-the-bloodstream-three-years-prior-to-diagnosis Students For Sensible Drug Policy - Just Say Know Drug Education https://ssdp.org/our-work/just-say-know/ D.A.R.E. Drug Abuse Resistance Education T.R.U.T.H. Teaching Responsibility Uniting Trusted Healers I'll Let You Know How Its Going With A Lawyer, JO N On Monday, June 9th, 2025 at 10:53 PM, JO8N <JO8N@proton.me> wrote: Record High: Study Finds Growing Cannabis Use Among Older Adults (7% Of 9500 = ~665 Residents Of Leisure World May Have Used Cannabis In The Last Month; Assuming A Rough Conservative Guess Of 1/4 Oz Usage Per Month Per Currently Using Resident @ $40 Per Month For Locals = $319,200 And Potential For Deferring Leisure World Water Increase To Cannabis They Are Likely Already Buying That Goes Exclusively To Paying For Water/Sewer (Are Leisure World Residents Even Allowed To Grow Cannabis?); Ability For Cannabis Grower To Negotiate Volumetric Water Rate With Increased Usage For Growing https://www.nyu.edu/about/news-publications/news/2025/june/cannabis-use-older- adults.html Superwood is Here! This Amazing New Material Could Change The World! https://www.youtube.com/watch?v=n4-v3ntYZAs MIT engineers develop a new battery-free solar desalination system, capable of producing up to 5,000 liters of water per day > a solution for remote areas https://ecoinventos.com/nuevo-sistema-de-desalinizacion-solar-sin-baterias-capaz-de- producir-hasta-5000-litros-de-agua-al-dia/ Dietary Sugar Intake and Incident Type 2 Diabetes Risk: A Systematic Review and Dose- Response Meta-Analysis of Prospective Cohort Studies https://www.sciencedirect.com/science/article/pii/S2161831325000493 KILL Every Mosquito In Your Whole Yard | GUARANTEED SAFE METHOD For 1 Gallon Mosquito Spray Repellent: (*In this video I made for 4 gallons) https://www.youtube.com/watch?v=oBPWGPmpE40&t=741s The Delivery Drones Are Finally Here https://www.fiyzipline.com/
 https://www.youtube.com/watch?v=GAh-zCpmERY "It's Happening Now" - The Unstoppable Threat: Inside the Sinaloa Cartel's Unstoppable Submarine War (Ironclad) https://www.youtube.com/watch?v=-3CP0aTETak Dino Mavrookas - Fmr. Navy SEAL (DEVGRU) / CEO of Saronic Technologies | SRS #205 https://www.youtube.com/watch?v=kJsbSC20Gv0 GPS devices, trackers, and other Iridium satellite communicators https://www.iridium.com/product-type/personal-communicators-messengers-trackers/ Please Forward The Following To Dave Min: Psilocybin-assisted treatment for alcohol dependence: a proof-of-concept study https://pubmed.ncbi.nlm.nih.gov/25586396/ Part 1: Korea’s Magic Mushrooms 한국의 환각버섯 https://medium.com/%40Hong_Gildong/part-1-koreas-magic-mushrooms- %ED%95%9C%EA%B5%AD%EC%9D%98- %ED%99%98%EA%B0%81%EB%B2%84%EC%84%AF-b5259491d35d Current situation regarding psychedelics and magic mushroom in Korea https://pmc.ncbi.nlm.nih.gov/articles/PMC11862319/ Hong (2021) The Psychoactive Mushrooms of Korea https://www.scribd.com/document/617371685/Hong-2021-The-Psychoactive- Mushrooms-of-Korea Magic mushrooms are woven into the historical and contemporary cultural fabric of Korea. There are many Korean fables regarding the 웃음버섯 (useum beoseot), or laughter mushroom. The famous Korean mycologist 조덕현Dr. Cho Duck-Hyun wrote an excellent paper on the legends of poisonous and magic mushrooms in Korea titled 독버섯의 비밀, or The Secret of Poison Mushrooms. It’s only available in Korean language, but I highly recommend reading it if you can get it translated. You can flnd it here: http://www.kacn.org/data/story/500403.pdf My favorite account in Dr. Cho’s paper is an ancient story in which nuns at a Korean Buddhist monastery go mushroom hunting in the mountains around the monastery. They combine all their mushrooms into a big pot of soup and become wildly intoxicated after consuming the soup. In contemporary times, magic mushrooms occasionally appear as plot devices in Korean television shows. For example, in one episode of the Korean drama 푸른거탑, or Blue Tower, an army platoon was stricken with uncontrollable laughter and hallucinations after consuming wild “laughter mushrooms.” You can watch the 2-part episode on YouTube: Part 1: https://www.youtube.com/watch?v=x6KcxYzWT8w Part 2: https://www.youtube.com/watch?v=_PeaRDTCcKo (Note: viewers outside Korea might need a VPN linked to Korea to watch the videos) The local Korean names of magic mushrooms often reveal the social attitudes towards these mushrooms from 미치광이버섯속 or “maniac mushroom” for the Gymnopilus genus and 환각버섯속 or “hallucinogen mushroom” for the Psilocybe genus, as well as “laughter mushroom” for some Gymnopilus and Panaeolus species. Despite the cultural signiflcance of magic mushrooms in Korea, international mushroom literature demonstrate a limited knowledge of magic mushrooms native to Korea. Gastón Guzmán’s “A Worldwide Geographical Distribution of Neurotropic Fungi”, which is one of the biggest global reviews of magic mushrooms, only lists four magic mushrooms from Korea and the famous book “Psilocybian Mushrooms of the World” by Paul Stamets makes no mention of Korea. In neighboring Japan, on the other hand, Guzman mentions 28 potential magic mushrooms and Stamets cites 10. Such inconsistencies likely stem from a number of factors, including limited access to or familiarity with Korean sources, and a comparatively larger breadth of relevant Japanese sources. Nevertheless, Korean mycological sources do mention the existence of numerous, potentially magic mushrooms in Korea. In upcoming blogs, I will investigate and review 26 potentially magic mushrooms found in Korea. There is a lot of interesting and exciting information to be shared, and I hope to set the record straight! Are We Going To Have A Proclamation For Every Ethnicity And Religion? JO8N On Monday, May 26th, 2025 at 3:04 PM, JO8N <JO8N@proton.me> wrote: This Is Your Final Warning. Fear GOD. Legal Action Will Be Considered If The Public Record Is Not Corrected Through These Acknowledgments During The Seal Beach City Council Meeting On 5/27/25: 1. I Request Public Acknowledgment Of Ongoing Seal Beach Police Intimidation To Chill My 1st Amendment Right To Free Speech At Public Assemblies Because Of Viewpoint Discrimination Before/During My Public Comments For Years And Guarantee Of An Immediate End To These Behaviors Or Similar: (A) Directing An Officer To Use A Police Dog To Speciflcally Target My Person/Belongings/Scent Without A Warrant Or Reasonable Suspicion Of A Crime Additionally Violating My 4th Amendment Right (B) Directing An Officer To Move Behind The Sight Line Of The Camera To Sit In The Public Audience Exactly When I Go Up To Give My Public Comment (C) Physically Moving Directly Next To My Person In The Public Audience Section Before Public Comments At Two Separate December Meetings In Order To Give Me Extra Intimidation During The Pressure Of Greater Audience Attendance Than Usual And Holiday Performances (D) Suggesting/Telling Me Not To Write My Name Down In Order To Be Called Upon To Give My Public Comment 2. I Request Public Acknowledgment Of A Previous Lie By Omission From Seal Beach Police Stating That Psilocybin Mushrooms Are Completely Illegal In California And A Correction Of The Record Stating The Whole Truth That The California Cities Of Oakland, Santa Cruz, Arcata, Berkeley, And San Francisco Have Successfully Mandated Personal Use And Possession Of Certain Psychedelics As The Lowest Law Enforcement Priority. 3. I Request Public Acknowledgment Of The City Attorney's Failure To Recognize At Best And Complicit Encouragement At Worst Of The Ongoing Seal Beach Police Intimidation Speciflcally Directed At Me, A ~27 Year Resident. 4. I Hereby Request A Public Acknowledgment From The City Attorney Regarding Prior Acts Of Omission And Potential Violations Of My First Amendment Rights. Speciflcally, These Violations Occurred Immediately After I Publicly Announced The Religious Nature Of My Practice And The Founding Of My Church. Following This Declaration, The City Attorney Issued A Blanket Legal Statement Asserting That Psilocybin Mushrooms—Referred To By Their Non-Religious, Secular Name—Are “Illegal In California.” This Statement Was Delivered Without Addressing The Constitutional Protections Afforded To Religious Practice, And Was Made In Direct Response To My Religious Expression Invoking The Name Of JESUS CHRIST. This Action Effectively Undermined The Legitimacy Of My Sincerely Held Religious Beliefs And Sacramental Use Of JESUS CHRIST's Flesh And Blood. It Promoted A Preference For Traditional Or Mainstream Christian Interpretations Over Nontraditional Or Indigenous Spiritual Practices. It Also Violated The Establishment Clause And Free Exercise Clause Of The First Amendment To The United States Constitution, Which Together Prohibit Government Hostility Toward Minority Religious Practices, Government Endorsement Of One Religious Interpretation Over Another, Interference With Religious Expression In A Public Forum, And The Chilling Of Protected Religious Speech. Furthermore, The City Attorney Omitted Critical Legal Context, Implying That My Religious Practice Was Categorically Illegal Under State Law—When In Fact, The Religious Freedom Restoration Act (RFRA) And The Gonzales V. O Centro Espírita Beneflcente União Do Vegetal (UDV) Supreme Court Decision Provide A Clear And Recognized Pathway For Religious Exemption To Controlled Substance Laws. The UDV Case Affirmed That A Sincere Religious Use Of A Federally Controlled Substance May Not Be Prohibited Without The Government Meeting The Highest Level Of Legal Justiflcation—Known As Strict Scrutiny. The Burden Is On The Government To Show A Compelling Interest And That It Has Chosen The Least Restrictive Means To Advance That Interest. By Failing To Disclose This Legal Framework, The City Attorney Not Only Misled The Public, But Also Attempted To Dismiss My Constitutionally Protected Religious Rights Through Misrepresentation And Selective Omission. This Public Statement, Issued By A Government Official In A Civic Forum, Not Only Dismissed The Spiritual Framework I Had Explicitly Articulated, But Also Attempted To Reframe My Protected Religious Exercise As A Criminal Matter—Thus Chilling My Religious Speech, Discrediting The Legitimacy Of My Sacrament, And Reinforcing State Entanglement With Religious Interpretation, Contrary To The Principle Of Government Neutrality In Religious Matters. This Act Of Governmental Overreach Echoes The Historical Violation Of Indigenous Religious Freedom On This Land—An Ongoing Legacy Of Cultural Suppression And Spiritual Violation. Lastly, I Assert That I Am Under No Obligation To Prove My Religious Exemption Through Man-Made Legal Mechanisms Unless And Until I Deem The Matter Ripe. My Exercise Of Faith Exists Prior To And Beyond Civil Authorization, As Protected By The Constitution And Recognized By Precedent. This Is Anchored In The Foundational Principle That Religious Liberty Is An Inalienable Right, Not A Privilege Bestowed Or Regulated At The Discretion Of The State. 5. I Request Public Acknowledgment Of Two Separate Brown Act Violations. During (4), The City Attorney Gave A Public Response To My Public Comment Without Agendizing The Item To Give Me A Chance To Respond With The Omitted Information. During (2), The City Mayor Gave A Public Response To My Public Comment In Which Police Were Asked About Psilocybin Mushrooms. This Item Was Not Agendized And I Was Not Given The Chance To Respond With The Omitted Information. Because The Item Was Illegaly Agendized Twice Without A Public Hearing, I Request A Legal Placement On A Future Agenda With A Chance For The Public To Speak. If The Public Record Is Corrected By Acknowledgment Of All 5 Issues, Behaviors Are Promised To Change, And Placement On A Future Agenda Occurs During The Seal Beach City Council Meeting On 5/27/25, I Will Drop All Consideration Of Legal Action With Handshakes Of Forgiveness. 42 U.S. Code § 1983 - Civil Action For Deprivation Of Rights https://www.law.cornell.edu/uscode/text/42/1983 https://steeringlaw.com/police-misconduct-attorney-seal-beach/ https://www.moseleycollins.com/police-misconduct-lawyer-in-seal-beach-ca.html https://pba.memberclicks.net/search-member-directory#/ https://flrstamendmentcoalition.org/ https://www.terrapinlegal.com/ https://www.theflre.org/ https://www.aclu.org/ Satan Drives Out Satan All Around Me The I AM Holds Me Together Sin Tempts You With Momentary Peace Division Never Lasts Forever Love Verbatim Word For Word Literally, In The Flesh And Blood Remember Ear Cut By Sword Here Forever, Good Is Evil's Judge ------------------------------------------------------------------------------------------ If theft is still a problem in the Target shopping center, it might be time to look into employees giving tips/insider theft. Can Amazon's security be consulted to see vulnerabilities in Target shopping center as I believe Amazon uses Palantir? If the water and sewer rates are passed, we need to see recognition of exactly where the funds are going to certain parts of the city - I foresee a situation in the future when other, more recently built parts of the city need new pipes and I want a record of the fact that the more recently built parts of the city helped fund older parts of the city before. 

If that many pills shown in the drug take back are over prescribed by big pharmaceutical companies, how is that not considered racketeering conspiracy with big insurance companies?

 Make an AI Police Lawyer like siri that can be a real time intermediary for police officers and citizens to talk with together in 99% of the time non-violent interaction. In regards to drug enforcement, the best defense is a good offense - right now alcohol is your offense when it should be cannabis - alcohol is a gateway to cocaine/meth/opioids and cannabis is a gateway to psychedelics. Why This Russian Drone Developer Isn’t Impressed by U.S. Tech ([Probably Some Propaganda In There] Fiber Optic Cable Drone Seems Most Applicable For Civilian Police - Better Connection, No Enemy Jamming/Detection, More Battery Because Video Feed Does Not Take As Much Energy; Or Large Mother Drone To Improve Connection/Distance Of Wireless; Starlink Naval Drones; Lasers To Destroy Drones) https://www.youtube.com/watch?v=RmfNUM2CbbM Police warn of small cameras camoufiaged in yards across the country https://www.youtube.com/watch?v=kEQircxHdHQ Experimental drones developed in Chicago area to neutralize mass shooters, disable weapons https://www.youtube.com/watch?v=Eiz2GzAEVbg Is This An Organized Crime Syndicate? James Freeman (Local Public Government Is Better Than The Alternative Or Else It Would Create A Vacuum With Less Accountability/Standards/Morality/Etc., But It Is Not The Best - Religion Is) https://www.youtube.com/watch?v=9NaPJKi_MW0 How Police Control the Media (Overly Liberal Video Among Some Overly Republican Videos, But Copaganda Has Obvious Truth In Seal Beach With Terrible Local Journalistic Integrity Regarding My Experience So Far, Unless There Has Been Publicly Published Writing About Cannabis/Psychedelics That I Have Not Seen) https://www.youtube.com/watch?v=8NB0IW8ihS0 Tim Tebow - Fighting For Our Children | SRS #199 Shawn Ryan Show https://www.youtube.com/watch?v=FeVFs0dVcCc Notorious Green Beret’s WARNING to Soldiers Coming Home Johnny Glenn Julian Dorey (IMO Adrenaline Addiction Through Constant Survival Competition At War Creates Hyper- vigilance Devoid Of Rest With GOD That Does Not Integrate Into The Marathon Of Life) https://www.youtube.com/watch?v=A0NnjKXZRFc The Real Threat: Why the U.S. Could Declare War on Chinese Gangs (w/ Former DEA, Ray Donovan) Ironclad https://www.youtube.com/watch?v=ToKNiaMqfwA Why Other Countries LAUGH at American Homes (Build New Headquarters By The Beach Out Of Concrete/Local Earth Geopolymer) https://www.youtube.com/watch?v=jTghEBfZ_D8 
 Wasp 3D-prints eco-homes from local raw earth for $1K https://www.youtube.com/watch?v=4MLJs1KRa0Y In 2018, the team printed their flrst home in 10 days using local earth (30% clay, 40% silt, 30% sand), 40% chopped rice straw, 25% rice husk, and 10% lime. “Gaia” cost 900 euros (1,000 dollars) in materials for 30 meters of wall. The round-shaped structure relied on a wooden roof and beams for support. Why 3D Printing Buildings Leads to Problems (Modular Prefab Concrete For Non-Unique Building Parts + 3D Printed Concrete For Unique Building Parts Seems Like Sweet Spot) https://www.youtube.com/watch?v=YhAwPFIUF_4 Comment: “I’ve worked closely with a leading concrete 3D printing company for several years now, so I hope my insight into the actual construction process provides some perspective. First, one clariflcation: There is no gravel aggregate in 3D printing concrete. It is only sand. You're right that the vertical integration is very strong in this industry, but there is already internal pressure to break that up. I expect in 10 years or so, you'll see more open-access tools available to architects and construction companies alike. I can't be too speciflc and honor my non-disclosure agreements, but there is recognition that the ability for architects to play with shape is very limited for now, which also limits the primary advantage of concrete 3D printing over other methods: complex shapes cost the same as simple ones. The primary reasons IMO for the vertical integration is 1) that there has been a high learning curve for the industry and 2) the business case relies on minimizing labor costs and the strategies for dealing with that are still being prototyped. Normally trivial things like laying foundations, running plumbing, tying roof timbers into the frame, and lintels as you mentioned, are difficult for concrete 3D printed construction. It's only in the last year or so that acceptable, repeatable solutions have been identifled for most of these and are flnding their way into standard design practices. But even then, there are still maybe 5 or 10 years more of on-the-ground construction needed to establish best practice. It's not too different from the way building materials and building science radically changed in the 1980's, leading to a decade of extremely poorly built houses prone to water damage and short lifespans. It wasn't until maybe 20 years after that best practices for high-quality construction had been standardized. I would push back on the lack of repairability, though. This has always been an issue with concrete construction, and it's likely to become increasingly common for plaster or stucco flnishes to be applied to internal walls, allowing for intrusive renovations to be reintegrated. Structural stability is not likely to be an issue since all walls have reinforcement every half meter anyway and often exceed building strength standards by an order of magnitude. Further, virtually all concrete 3D printing for now is slab-on-grade construction, which already has the same repairability issues you mention but is already widely adopted and has best practices for dealing with things like electrical and plumbing repair. I would also point out that the timber frame construction that we love so much is largely an anomaly unique to the U.S. where wood is abundant and cheap. Concrete 3D printed homes have the (so far unrealized) potential of being many decades or centuries more durable than frame buildings, which will change the design requirements that often contribute to design choices that later need renovations and repairs. I would also push back on the criticism of how windows and doors are seated in the concrete homes. I don't doubt that many early concrete 3D printed homes were sealed with silicone only, but 1) the gap between windows and walls is already standard in frame construction and addressed with shims, spray foam, and trim and 2) the 3D printing companies have already started to adopt the same building techniques used by frame construction. Echoing much of what you said, IMO concrete 3D printing has a high potential for unique design that won't be unlocked until architects are given freer access to the tools and pre- fab construction is a necessary companion to this industry, but there is still a lot of building science that is being worked out. There are already some serious advantges, such as all walls having a native R40 insulation rating, but these will be tempered by the inherent limitations. I don't expect to see a rapid adoption of 3D printed construction for another 5 or 10 years and for the U.S. market share to cap around 20% and primarily remain in the residential and light commercial construction spaces. I also think that the current bare- wall aesthetic will fall out of favor out in that timeframe since it will prove difficult to clean. I also expect that environmental costs will remain high as long as cement production relies on fossil fuels and concrete aggregate relies on mined sand. I also expect that a future use case for heavy construction is using 3D printing to create forms for much thicker concrete constructions, particularly for foundations, buttresses, and pillars, such as you see in airport construction.” I Investigated Utah’s DEADLY Soda Addiction… https://www.youtube.com/watch?v=BlNJc_OLbYw https://playactivate.com/ Increased sedentary behavior is associated with neurodegeneration and worse cognition in older adults over a 7-year period despite high levels of physical activity https://alz-journals.onlinelibrary.wiley.com/doi/full/10.1002/alz.70157 Parkinson's patients who take 'magic mushrooms' see key beneflts, study flnds https://www.foxnews.com/health/parkinsons-patients-who-take-magic-mushrooms-see- key-beneflts-study-flnds Trump surgeon general pick praised unproven psychedelic therapy, said mushrooms helped her flnd love https://www.cnn.com/2025/05/15/health/casey-means-psychedelic-therapy Military Land Is 4,336 Acres Or 60.7% Of Seal Beach... JO8N On Monday, March 31st, 2025 at 6:34 PM, JO8N <JO8N@proton.me> wrote: On Sunday, March 23rd, 2025 at 4:53 PM, JO8N <JO8N@proton.me> wrote: Dear Lisa, Nathan, Joe, Ben, Patty, Patrick, Mike H., Nick G., And Gloria, I am writing to formally express my concerns regarding what I believe to be ongoing violations of the Ralph M. Brown Act (Government Code § 54950 et seq.) during public meetings conducted by Seal Beach’s City Council. The fundamental purpose of the Brown Act is to ensure that the public has the ability to meaningfully participate in local government proceedings, which includes the right to make public comments and receive fair treatment under open meeting laws. Speciflcally, I wish to address the following concerns: 1. Inability to Respond to False or Misleading Statements: * It has been observed that after I make public comments, members of the council and/or city staff respond to my remarks. However, I am not afforded the opportunity to address their responses within the same meeting, effectively silencing my ability to correct or clarify statements that may be false, misleading, or deceptive by omission. This directly undermines the principle of open and meaningful discourse as envisioned by the Brown Act.
 * The California Supreme Court has reinforced the importance of open and fair discussions in McKee v. Los Angeles Interagency Metropolitan Police Apprehension Crime Task Force (2005) 134 Cal.App.4th 354, where the court emphasized that restricting public input while allowing government officials to comment without challenge is inconsistent with the transparency goals of the Brown Act.
 2. Prohibition on Addressing Staff: * The restrictions placed upon me and other members of the public from directing comments toward city staff—especially when they are the ones providing statements that require public scrutiny—appear to be an unreasonable and arbitrary limitation on public participation. Furthermore, this may give the staff a feeling of false sense of security protecting their statements from legal scrutiny. The Brown Act does not prohibit the public from addressing staff members during public comment, and such restrictions seem inconsistent with its purpose of transparency and accountability.
 * In Chaffee v. San Francisco Library Commission (2005) 134 Cal.App.4th 109, the court affirmed that public participation is a fundamental aspect of government meetings and should not be unduly restricted, emphasizing the need for fairness in addressing public concerns.
 3. Discussion of Public Comments Without Proper Agenda Notice: * Members of the council have engaged in discussions regarding my public comments without flrst properly agendizing the topics I address. This practice violates the Brown Act’s requirement that discussions and deliberations on non-agendized items not take place, as it deprives the public of advance notice and the ability to participate fully in the discussion. 
 * I am grateful that the city council is listening and willing to speak even momentarily in response to public concerns. However, even an extremely time-limited agendized discussion would add fairness and transparency to misleading statements by staff. By failing to agendize discussions about my comments, the council is creating an imbalance in the exchange of information, which the Brown Act seeks to prevent.
 * Additionally, in my public comments, I am using meta-communication to agendize the process by which we agendize. The term “agendize” itself is a completely made-up word that devalues public discourse and refiects a bureaucratic approach that obstructs meaningful public participation rather than facilitating it. This concern aligns with the ruling in White v. City of Norwalk (1990) 900 F.2d 1421, where the court emphasized that public meetings should foster meaningful participation and that arbitrary restrictions on discourse can infringe upon First Amendment rights. 
 * The word "agendize" does not appear anywhere in the Brown Act (Government Code § 54950 et seq.). The law refers to "placing an item on the agenda" or "agenda requirements," but "agendize" is not an official legal term. It is a bureaucratic jargon word that has become commonly used in government settings but lacks formal recognition in the Brown Act itself. 
 4. Process for Placing an Item on the Agenda: * The process for placing an item on a city council agenda varies by jurisdiction, but under the Brown Act, it does not require a unanimous decision by the council. Instead, different cities have different policies: * Individual Council Members: Some cities allow one or two council members to request an item be placed on a future agenda. The exact number required depends on the city’s local rules or policies. For example, in Los Angeles, a single council member can introduce a motion to be considered in a future meeting. Similarly, in San Diego, two council members are required to place an item on the docket.
 * Majority Vote: In some cities, adding an item to a future agenda requires a majority vote of the council at a meeting. This process ensures that council members collectively decide whether an issue warrants further discussion. The City of Berkeley, for instance, follows this model, requiring a majority vote to place an item on the agenda.
 * Courts have upheld the importance of agenda-setting transparency. In Preven v. City of Los Angeles (2019) 32 Cal.App.5th 925, the court ruled that public participation in government decision-making is a core right under the Brown Act, reinforcing that the public and individual council members must be given fair opportunities to introduce topics for discussion.
 These practices create an unfair and unbalanced environment where public voices are effectively suppressed, while city officials retain unrestricted latitude to control discourse without public challenge. Such actions may constitute a violation of both the letter and spirit of the Brown Act. I respectfully request that the city review its meeting procedures and take immediate corrective actions, including: * Allowing public speakers the opportunity to address responses made to their comments within the same meeting.
 * Eliminating any restrictions that prevent members of the public from addressing staff when their statements are at issue.
 * Ensuring that discussions related to public comments follow proper agenda procedures to comply with the Brown Act’s transparency requirements. * Switching to Individual Council Member placing of items on the agenda to emphasize the sanctity of every individual living in Seal Beach
 Failure to address these issues may necessitate further action, including but not limited to submitting a formal complaint to the appropriate oversight agencies and seeking legal remedies to ensure compliance with state law. I appreciate your prompt attention to this matter and request a written response outlining the steps the city will take to address these concerns. Please respond within 30 days of receipt of this letter. P.S. Still Waiting On That Seal Beach City Legal Document Stating The Boundaries Marking The Well. Your Opinion About Me And My Right To Stand In A Public Area Moving My Body Completely To Myself Is Worthless Without The Written Proof Of The Well Boundary. I Submit The Evidence That You Are Able To Be That Close To Gloria’s City Clerk Area, And In Fact, Encouraged To Be In Order To Pick Up, Fill Out, And Submit Necessary Documents, Including Supplemental Material For Public Comments. My Standing In The Exact Symmetrically Opposite Area Was Supplemental Material For My Public Comment About The Decriminalization Of Psilocybin Mushrooms And The Agenda Item Of Daylighting. Lastly, The Wells I Have Seen Are Round In Shape And Symmetrical Without Parts Hanging Off The Side (To Conveniently Fit Your Narrative) 42 U.S. Code § 1983 - Civil action for deprivation of rights Every person who, under color of any statute, ordinance, regulation, custom, or usage, of any State or Territory or the District of Columbia, subjects, or causes to be subjected, any citizen of the United States or other person within the jurisdiction thereof to the deprivation of any rights, privileges, or immunities secured by the Constitution and laws, shall be liable to the party injured in an action at law, suit in equity, or other proper proceeding for redress, except that in any action brought against a judicial officer for an act or omission taken in such officer’s judicial capacity, injunctive relief shall not be granted unless a declaratory decree was violated or declaratory relief was unavailable. For the purposes of this section, any Act of Congress applicable exclusively to the District of Columbia shall be considered to be a statute of the District of Columbia. ןמא ןמא ⍾ י ו 8 נ ן Ἰωάνν8ς
 Jo8annes
 JO8N On Tuesday, March 18th, 2025 at 6:11 AM, JO8N <JO8N@proton.me> wrote: Dear Lisa, Nathan, Joe, Ben, Patty, Patrick, Mike H., Nick G., And Gloria, I am writing to formally request an investigation into a matter of signiflcant public concern regarding potential interference with my ability to communicate with city officials. Speciflcally, I have reason to believe that my emails to members of the Seal Beach City Council and city staff may have been intentionally blocked or flltered by someone within city administration in the Fall/Winter of 2024. As a resident of Seal Beach, I understand that I have a right to communicate with my elected representatives and city staff regarding matters of public interest. Any directive or policy that restricts this communication raises serious legal concerns under the Ralph M. Brown Act (Government Code §§ 54950–54963), the California Public Records Act (CPRA) (Government Code §§ 6250–6270), and the First Amendment of the United States Constitution. The Brown Act ensures transparency and public participation in local government. Blocking my emails to city officials may constitute an unlawful restriction on my ability to engage in civic matters and access public information. Likewise, the CPRA mandates that governmental communications be open for public scrutiny. If city staff have deliberately restricted my access to communicate with officials, it could be an unlawful attempt to circumvent public records laws and governmental accountability. Furthermore, the First Amendment guarantees my right to petition the government for redress of grievances. Any action taken by city staff to suppress my communication, particularly if done based on viewpoint discrimination, could amount to a constitutional violation. Relevant case law, such as Lindke v. Freed and O'Connor-Ratcliff v. Garnier, suggests that when public officials act in their official capacity, they must not engage in viewpoint-based censorship, including blocking communications from constituents. To ensure transparency and accountability, I respectfully request an internal review and disclosure of the following: 1. Any internal directives, policies, or communications instructing city staff or IT personnel to block, fllter, or otherwise restrict emails from my email address jo8n@proton.me or any other speciflc senders.
 2. A list of email addresses, domains, or individuals that have been blocked from contacting city officials and staff in the last year.
 3. Any internal discussions or justiflcations for implementing such restrictions, including whether such actions were directed by city officials or staff members.
 4. The criteria and procedures used by the city’s IT department to fllter or block external communications.
 If such a policy or directive exists, I request an explanation of its basis, legal justiflcation, and the process by which it was implemented. If no such directive exists, I ask that immediate steps be taken to ensure my emails are properly received by their intended recipients. I would appreciate a written response within 30 days conflrming the receipt of this request and outlining the next steps in addressing this matter. If necessary, I am willing to flle a formal Public Records Act request to obtain relevant documentation. Thank you for your attention to this important issue. I look forward to your prompt response and a resolution that upholds public trust and the right to open communication with our local government. https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=GOV§ionNu m=54950 https://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=201720180SB31 https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=CONS§ion Num=SEC.%202.&article=I ןמא ןמא ⍾ JO8N On Monday, March 10th, 2025 at 6:44 AM, JO8N <JO8N@proton.me> wrote: Dear Lisa, Nathan, Joe, Ben, Patty, Patrick, Mike H., And Nick G., Police intimidation that chills free speech is well recognized under First Amendment jurisprudence. In Healy v. James, 408 U.S. 169 (1972), the Supreme Court held that government action that deters individuals from participating in public discourse—whether through direct harassment or other forms of coercion—can violate First Amendment rights. In Feiner v. New York, 414 U.S. 632 (1974), the Court underscored that police conduct which disrupts or deters political expression, even if ostensibly aimed at maintaining order, must not infringe on the constitutional right to free speech. Moreover, Ward v. Rock Against Racism, 491 U.S. 781 (1989) illustrates that any regulation or enforcement action must be content neutral and carefully tailored to avoid suppressing speech based solely on its message. These cases establish that if police officers single out individuals for the content of their speech or for the topics they plan to address—such as advocating for "psilocybin mushroom" decriminalization, Religious Freedom, Jesus Christ or discussing other politically charged issues—the resulting intimidation can constitute an impermissible infringement on First Amendment protections. Additionally, lower court decisions have consistently found that law enforcement actions that create a chilling effect on political participation are subject to strict scrutiny. When officers position themselves near a speaker, not to maintain public safety but to deter expression, it may be seen as targeted harassment. In December 2023's Seal Beach City Council Meeting, Mike H. of police staff entered the public section of the council chambers. He decided to sit near me when the choir sang. In December 2024's Seal Beach City Council Meeting, Mike H. entered the public section once again. He decided to stand directly next to me during the National Anthem and when the choir sang. As I was in two completely different places in the room each year, this establishes a patterned targeting that could potentially be viewed as apparent police intimidation that chills my free speech before my public comment. In addition, Nick N. and Yosa of police staff have entered the public section of the council chambers directly behind the podium in view of the camera numerous times. This happened exactly during my public comment, to the point where I took time away from my allotted time to acknowledge the repeated pattern. I can only assume that this was a directive given by Mike H. of police staff due to his body language and the potential intimidation's regularity. “Settle matters quickly with your adversary who is taking you to court. Do it while you are still together on the way, or your adversary may hand you over to the judge, and the judge may hand you over to the officer, and you may be thrown into prison. Truly I tell you, you will not get out until you have paid the last penny." (Matthew 5:25-26) ןמא ןמא ⍾ JO8N On Sunday, March 9th, 2025 at 2:22 AM, JO8N <JO8N@proton.me> wrote: Dear Lisa, Nathan, Joe, Ben, Patty, Patrick, Mike H., And Nick G., I am formally requesting a correction of the public record pursuant to the Brown Act (California Government Code § 54960.1) due to misleading and incomplete statements made by city staff during the February 10, 2025 Seal Beach City Council meeting. Additionally, I am raising concerns regarding a potential violation of my First Amendment religious rights in connection with a previous statement made by the city attorney when I publicly announced my Church’s use of "psilocybin mushrooms" as one of its sacraments. Summary of Brown Act Violation During public comment, I addressed the council regarding the decriminalization of "psilocybin mushrooms". After I had flnished speaking, Lisa asked Mike H. from police staff a clarifying question about the legal status of "psilocybin mushrooms". He responded by stating that "psilocybin mushrooms" are illegal under California law but failed to mention that multiple California cities, including Oakland, San Francisco, Santa Cruz, and Arcata, have decriminalized "psilocybin mushrooms" for years. This omission misled the public and the council by falsely implying that local governments lack the ability to deprioritize "psilocybin mushrooms" enforcement, which is demonstrably untrue. This is not the flrst time city officials have engaged in misleading statements regarding "psilocybin mushroom" law. One year ago, after I announced the formation of my church, which uses "psilocybin mushrooms", "N,N-Dimethyltryptamine", and "N,N-DMT/MAOI" as sacraments, the city attorney similarly responded that "psilocybin mushrooms" are illegal under California law—without acknowledging religious protections under federal law. Furthermore, both the city attorney and police staff failed to disclose critical personal information that I presented regarding my own case: I was hospitalized after consuming a psychedelic but not charged with any crime (which I am eternally grateful for) and also found in possession of "psilocybin mushrooms" and "N,N-DMT" within Seal Beach. The repeated omissions by both the city attorney and police staff created a false narrative that "psilocybin mushroom" decriminalization has not been successfully implemented in some California cities and ignored key evidence—including my own experience—showing that local authorities have already adopted compassionate de facto decriminalization practices for the well being of residents. Potential First Amendment Violation Under RFRA & Gonzales v. UDV (2006) My concern goes beyond transparency violations under the Brown Act. The city attorney’s response a year ago, when I announced the formation of my church, raises serious questions about whether my First Amendment religious rights were dismissed or undermined in violation of the Religious Freedom Restoration Act (RFRA) and the Gonzales v. O Centro Espírita Beneflcente União do Vegetal (UDV) Supreme Court case. Legal Precedent: Religious Use of Controlled Substances In Gonzales v. UDV (2006), the U.S. Supreme Court ruled that a religious organization could legally use a federally controlled substance ("ayahuasca") under RFRA protections, as the government failed to demonstrate a compelling interest in prohibiting its religious use. Under RFRA (42 U.S.C. § 2000bb -1), the government cannot substantially burden religious exercise unless it can prove a compelling government interest and that the restriction is the least restrictive means of achieving that interest. The DEA and federal courts have recognized that some religious groups may legally use controlled substances like "peyote" and "ayahuasca" under these protections. By failing to acknowledge these protections when I announced my church, the city attorney omitted critical legal context, implying that my religious practice was categorically illegal under state law—when in fact, federal law provides a pathway for religious exemptions. This potential suppression of my religious expression in a public forum could be seen as a violation of my First Amendment rights. Requested Corrective Actions To remedy this issue, I formally request the following: Public Correction of the Record – The city must acknowledge the omission and issue a formal correction clarifying that: Multiple California cities have already decriminalized "psilocybin mushrooms" despite state prohibition. Religious protections exist under RFRA, and the UDV case established that religious use of controlled substances may be legally protected under federal law. Agenda Item for Further Discussion – Given the misleading statements made by city officials, I request that the council place "psilocybin mushroom" decriminalization on a future agenda to ensure the discussion is based on accurate and complete information. Accountability for Repeated Omissions – The city should implement training or procedural safeguards to prevent city officials from selectively omitting key legal and factual information, especially when addressing the contents of public comments. Legal Review of First Amendment Implications – The city should review its public statements and policies regarding religious use of controlled substances to ensure compliance with RFRA and Supreme Court precedent. Legal Basis for Brown Act Complaint Under California Government Code § 54960.1, the city has 30 days to correct this violation or face potential legal action to nullify any decisions made under misleading or incomplete information. Failure to acknowledge and correct this omission could be interpreted as a continued effort to obscure public access to truthful and balanced information, violating the core principles of the Brown Act. I request a written response acknowledging receipt of this letter and outlining the corrective actions the city intends to take. I appreciate your attention to this serious matter and look forward to your response. ןמא Housing Element Update August 11, 2025 Housing Element Quick Refresh •Housing Elements have been required since 1969, updated every 8 years ▪2021-2029 Housing Element update required by State law (“6th cycle”) •This cycle is very different ▪Extensive legal requirements ▪Limitations on local land use control ▪Substantially increased State oversight for Housing Element certification Housing Element Components Housing Element •Introduction •Projected Housing Need •Housing Resources •Goals, Policies, Programs •(This is the workplan!) Appendices •Housing Needs Assessment •Sites Inventory & Methodology •Housing Constraints •Existing Programs Review •Public Participation Summaries •Affirmatively Furthering Fair Housing Assessment •Housing Resources Workplan Highlights •REZONING •Streamlined processing for certain types of developments •Take actions to support and encourage affordable housing and fair housing •Evaluate and adapt resources and programs on a revolving basis, and make information available •Implement a Local Coastal Program •Provide programs that support affordable housing (e.g. CDBG) Recent Work Plan Accomplishments •Launch of EPL •Website updates, checklists, social media posts, and preparation of informational materials online and at the counter related to housing •Zoning code updates to address ADUs, no net loss, streamlining measures •Coordination with regional housing partners / developers to foster affordable housing opportunities •Further zoning code updates moving towards adoption related to density bonuses, farmworker housing, and other State law compliance changes History Year Activity 2021 Council Ad Hoc; RHNA site selections; CC & PC study session; first draft Housing Element; comment letter from HCD requiring revisions 2022 Council adoption of HE Update; ALUC finding and overrule; new zoning designation work initiated; EIR initiated; revised draft submitted and comment letter from HCD requiring revisions 2023 CC & PC study session on zoning code; EIR Notice of Preparation; revised draft submitted and comment letter from HCD requiring revisions 2024 Revised draft submitted and comment letter from HCD requiring revisions; revised draft submitted and comment letter from HCD finding acceptable pending rezoning effort; EIR process resumes with a finalized project description 2025 Draft EIR released; Housing Element, zoning code, MSSP considered by ALUC Anticipated Schedule Date Body Documents Considered Requested Action Sept 8 City Council Intent to Overrule ALUC Approval Sept 17 EQCB Final EIR Recommendation Oct 6 Planning Commission Final EIR Housing Element Update Zoning Code Update Main Street Specific Plan Update Land Use Element Update Recommendation Oct 27 City Council Final EIR Housing Element Update Zoning Code Update Main Street Specific Plan Update Land Use Element Update ALUC Overrule Approval TBD ALUC / EQCB / PC / CC Safety Element, Environmental Justice Element Consistency finding/ recommendations/ approval Agenda Item B AGENDA STAFF REPORT DATE:August 11, 2025 TO:Honorable Mayor and City Council THRU:Patrick Gallegos, City Manager FROM:Gloria D. Harper, City Clerk SUBJECT:Approval of the City Council Minutes ________________________________________________________________ SUMMARY OF REQUEST: That the City Council approve the minutes of the Closed Session and Regular City Council meetings held on July 28, 2025. 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 meeting held on July 28, 2025. Page 2 1 9 3 6 SUBMITTED BY: NOTED AND APPROVED: Gloria D. Harper Patrick Gallegos Gloria D. Harper, City Clerk Patrick Gallegos, City Manager Prepared by: Brandon DeCriscio, Deputy City Clerk ATTACHMENTS: A. Minutes - Closed Session, July 28, 2025 B. Minutes - Regular Session, July 28, 2025 9 9 6 7 Seal Beach, California July 28, 2025 The City Council met in Closed Session at 5:32 p.m. in the City Hall Conference Room. ROLL CALL Present: Mayor Landau Council Members: Kalmick, Wong, Senecal, Steele Absent: None City Staff: Nicholas Ghirelli, City Attorney Patrick Gallegos, City Manager Barbara Arenado, Finance Director/ City Treasurer Peter J. Brown, Partner at Liebert Cassidy Whitmore Gloria D. Harper, City Clerk ORAL COMMUNICATIONS Mayor Landau opened oral communications. Speakers: None. Mayor Landau closed oral communications. CLOSED SESSION A. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION Significant exposure to litigation pursuant to Government Code Section 54956.9(d)(2) – One (1) case involving a threat of litigation regarding a proposed development at 4665 Lampson Avenue, Los Alamitos, CA. A record of the threat of litigation is available for inspection in the City Clerk’s office B. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION Initiation of Litigation Pursuant to Government Code Section 54956.9(d)(4): 1 Potential Case C. CONFERENCE WITH LABOR NEGOTIATOR Government Code §54957.6 City Negotiator(s): City Manager Patrick Gallegos Employee Organization(s): Police Officers Association Police Management Association D. PUBLIC EMPLOYEE PERFORMANCE EVALUATION Government Code §54957(b) Title: City Manager 9 9 6 7 ADJOURNMENT Mayor Landau adjourned the Closed Session meeting at 7:00 p.m. Gloria D. Harper, City Clerk City of Seal Beach Approved: Lisa Landau, Mayor Attested: Gloria D. Harper, City Clerk Seal Beach, California July 28, 2025 The City Council met in Regular Session at 7:05 p.m. in the City Council Chambers. Council Member Wong led the Pledge of Allegiance. ROLL CALL Present: Mayor Landau Council Members: Kalmick, Wong, Senecal, Steele Absent: None City Staff: Nicholas Ghirelli, City Attorney Patrick Gallegos, City Manager Michael Henderson, Police Chief Barbara Arenado, Director of Finance/City Treasurer Craig Covey, Orange County Fire Authority Division 1 Chief Joe Bailey, Marine Safety Chief Gloria D. Harper, City Clerk Mike Ezroj, Police Captain Nick Nicholas, Police Captain Tim Kelsey, Recreation Manager Kathryne Cho, Deputy Director of Public Works/City Engineer David Spitz, Associate Engineer Sean Sabo, Management Analyst PRESENTATIONS / RECOGNITIONS There were no presentations/recognitions. ORAL COMMUNICATIONS Mayor Landau opened oral communications. Speakers: Charlie Kluger, James Jenson, Ellery Deaton, Theresa Miller, and Rick Mansour addressed the City Council. Mayor Landau closed oral communications. One (1) supplemental communication was received after the posting of the agenda; it was distributed to the City Council and made available to the public. APPROVAL OF AGENDA & WAIVER OF FULL READING OF RESOLUTIONS AND ORDINANCES Council Member Wong pulled item A for clarification. Mayor Landau pulled item H for separate consideration. Council Member Senecal pulled items I and L for separate consideration. 1 0 0 3 2 Council Member Wong Steele moved, second by Mayor Landau to approve the agenda. AYES: Kalmick, Wong, Landau, Senecal, Steele NOES: None ABSENT: None ABSTAIN: None Motion carried CITY ATTORNEY REPORT City Attorney Ghirelli reported that the City Council met in Closed session regarding the four (4) items on the posted agenda. All five (5) Council Members were present, and no reportable action was taken. CITY MANAGER REPORT City Manager Gallegos announced that the City held a Girl Scout Awards Ceremony in honor of Girl Scout Ava Wagner to thank her for her contributions to the Seal Beach Community. He thanked the Public Works Department for assisting Ava with her project. Additionally, City Manager Gallegos reported his attendance at the Naval Weapons Station Change of Command Ceremony, and a meeting with Congressman Dave Min and Assembly Member Diane Dixon on the banks of the San Gabriel River in an effort to highlight the San Gabriel River Trash Mitigation Program Initiative. COUNCIL COMMENTS Council Member Wong reported that he attended the Golden Rain Foundation (GRF) Board Meeting, a meeting with the representatives from the Ronald McDonald House in Long Beach, and a meeting with Congressman Min and Assembly Member Dixon. Additionally, he announced that the Sun Newspaper distribution rack in College Park West has been replaced. Council Member Kalmick reported his attendance at Girl Scout Awards Ceremony, the Naval Weapons Station Change of Command Ceremony, the Lions Club Fish Fry, the San Gabriel and Lower Los Angeles Rivers and Mountains Conservancy Board Meeting, the Water Conservation Authority meeting, and the Orange County Fire Authority (OCFA) Hand Crew Graduation Ceremony. Additionally, Council Member Kalmick reported he met with Algalita Marine Research and Education to discuss volunteer opportunities at Rivers End Park. Lastly, Council Member Kalmick announced that Congressman Dave Min’s proposition to provide $1 million in federal funds to the San Gabriel River Trash Mitigation Initiative came out of committee with no changes. He noted that the proposition still needs to pass the House of Representative and the Senate, but noted that getting the proposition out of 1 0 0 3 2 committee is a huge step in the right direction. Council Member Senecal reported that she met with residents regarding the Water and Wastewater Utility Rate Study. Additionally, Council Member Senecal reported her attendance at the College Park East Neighbor 4 Neighbor informational kickoff event. Lastly, Council Member Senecal announced that the College Park East Summer Send Off event will take place at Heather Park on Saturday, August 2, 2025, at 6:30 p.m. Mayor Pro Tem Steele announced his attendance at the Orange County Mosquito and Vector Control Finance and Facilities Joint Board Meeting, the Girl Scout Awards Ceremony, the West Orange County Water Board Meeting, the Naval Weapons Station Change of Command Ceremony, the Golden Rain Foundation (GRF) Executive Meeting, and the Golden Rain Foundation (GRF) Board Meeting. Additionally, Mayor Pro Tem Steele announced that he met with Tony Cardenas from Southern California Edison to further his understanding of the electrical infrastructure. Mayor Landau provided several updates from Orange County Sanitation District (OCSan). First, she announced that OCSan will be hosting a Wastewater 101 Citizens Academy and that registration for the fall session is now open. Additionally, she announced that the Seal Beach Boulevard and Westminster Avenue Pump Station project has begun mass excavation which is expected to continue through the fall. Finally, Mayor Landau reported her attendance at the Girl Scout Awards Ceremony, the Naval Weapons Station Change of Command Ceremony, and the Lions Club Fish Fry. COUNCIL ITEMS There were no council items. CONSENT CALENDAR Council Member Senecal moved, second by Council Member Wong to approve the recommended actions on the consent calendar with the exception of Items A, H, I and L. A. Approval of the City Council Minutes - That the City Council approve the minutes of the Regular City Council meeting held on July 14, 2025. B. Demand on City Treasury (Fiscal Year 2026) - Ratification. C. Monthly Investment Report (July 28, 2025) - Receive and file. D. Report of City Manager and Department Heads Authorized Contracts - That the 1 0 0 3 2 City Council receive and file the report. E. City of Seal Beach Biennial Conflict of Interest Code Update - That the City Council adopt Resolution 7671 amending the City’s Conflict-of- Interest Code (Code) and acknowledging no changes to the Conflict-of-Interest Codes for the Public Financing Authority (Authority). F. Establishing the Regular Meeting Time of the Environmental Quality Control Board - That the City Council approve Resolution 7672 establishing the third Wednesday of the month at 7:00 p.m. as the regular meeting time for the Environmental Quality Control Board. G. Approving and Authorizing Amendment 2 to the Professional Services Agreement with Yunex, LLC for Traffic Signal Maintenance Services - That the City Council adopt Resolution 7673: 1. Approving Amendment 2 to the Professional Services Agreement with Yunex, LLC dated March 13, 2019, as previously amended by Amendment 1 dated May 13, 2024, to extend the term of the Agreement for a fourth extension through June 30, 2026 (Fiscal Year 2025-2026); and, 2. Authorizing compensation of $80,000 for such additional services during Fiscal Year 2025-2026; and, 3. Authorizing an increase in compensation for the third extension (Fiscal Year 2024-25) by $10,000 and the total compensation of $75,000 through June 30, 2025, for a revised total not-to-exceed contract amount of $550,000 for the extended term through June 30, 2026; and, 4. Authorizing and directing the City Manager to execute Amendment 2 on behalf of the City. H. Second Amendment to the Water Conservation Participation Agreement with Municipal Water District of Orange County for Water Conservation Participation - That the City Council adopt Resolution 7674 authorizing the City Manager to execute the Second Amendment to the Water Conservation Participation Agreement with the Municipal Water District of Orange County. I. Approving and Authorizing Amendment 2 to the Professional Services Agreement with EXP U.S. Services, Inc. for On-Call Professional Engineering Services - That the City Council adopt Resolution 7675: 1. Approving Amendment 2 to the Professional Services Agreement with EXP U.S. Services, Inc., dated July 22, 2019, extending the term of the Agreement for a fourth extension through and including June 30, 2026; and modifying the compensation to the cumulative not- to-exceed amount of $150,000 for the Second, Third and Fourth Extensions; and, 2. Authorizing and directing the City Manager to execute Amendment 2 to the Professional Services Agreement with EXP U.S. Services, Inc. on behalf of the City. J. Approving and Authorizing Amendment 1 to the Adopted Seal Beach Safety Action Plan - That the City Council adopt Resolution 7676: 1. Approving Amendment 1 to the City of Seal Beach Safety Action Plan, as outlined in the Minagar Technical Memo dated June 16, 2025, to the Plan originally adopted on 1 0 0 3 2 January 13, 2025; and, 2. Authorizing and directing the City Manager, or their designee, to incorporate Amendment 1 into the adopted Safety Action Plan. K. Approving and Authorizing Amendment 1 to the Professional Services Agreement for Professional Automation Design, Installation, and Implementation Services - That the City Council adopt Resolution 7677: 1. Approving Amendment 1 to the Professional Services Agreement for Professional Automation Design, Installation, and Implementation Services with Partners in Control, Inc. dba Enterprise Automation, dated April 8, 2025, modifying the scope of services and increasing compensation by $19,082.99 for a total not-to-exceed amount of $53,050.99 for the term of the agreement; and, 2. Authorizing and directing the City Manager to execute Amendment 1 on behalf of the City. L. Westminster Animal Group and Services (WAGS) Animal Shelter Services Agreement - That the City Council adopt Resolution 7678: 1. Approving and authorizing the City Manager or their designee to execute the Agreement with the Westminster Adoption Group and Services (WAGS) to provide animal shelter and emergency veterinary care services for the City of Seal Beach for a three-year term; with the option to extend the Agreement for up to two additional one-year terms, at the not-to-exceed amount of $138,000 for the first year; and for each subsequent year for the not-to-exceed amount of $138,000 as adjusted by the lesser of inflation or 5% for each additional year; and, 2. Adding provisions to provide emergency veterinary care services for the City of Seal Beach for a not- to-exceed amount of $40,000 per year; and, 3. Approving a Trap-Neuter-Release (TNR) Program as elected by the City, for an amount not-to-exceed $5,000 per year; and, 4. Authorizing an additional $10,000 per year, for emergency care, at the City Manager’s discretion; and, 5. Authorizing the City Manager to authorize payments as outlined in the event of hoarder/breeder animals; and, 6. Authorizing and directing the City Manager or their designee to execute the Agreement. M. Homeland Security Grant Program Agreement for Transfer or Purchase of Equipment and Services for Reimbursement of Operation Costs for Fiscal Year 2024 Operation Stonegarden - That the City Council adopt Resolution 7679: 1. Authorizing the Chief of Police to execute an agreement on the City’s behalf for transfer or purchase of equipment and services for reimbursement of operating costs for FY 2024; and, 2. Authorizing any further actions necessary for the purpose of obtaining federal financial assistance provided by the Department of Homeland Security – Federal Emergency Management Agency and sub-granted through the Riverside Sheriff’s Department in connection with the Operation Stonegarden Homeland Security Grant Program. N. Approve Updated Job Specification for Police Services Manager Classification - That the City Council adopt Resolution 7680 approving an updated job specification for the Police Services Manager (PSM) classification. 1 0 0 3 2 The vote below is for the Consent Calendar Items with the exception of Items A, H, I and L. AYES: Kalmick, Wong, Senecal, Steele, Landau NOES: None ABSENT: None ABSTAIN: None Motion carried ITEMS REMOVED FROM THE CONSENT CALENDAR A. Approval of the City Council Minutes - That the City Council approve the minutes of the Regular City Council meeting held on July 14, 2025. Council Member Wong requested clarification on abstaining due to his absence. His concern was addressed by City Attorney Ghirelli. Council Member Senecal moved, second by Council Member Wong to approve the minutes of the Regular City Council meeting held on July 14, 2025. AYES: Kalmick, Wong, Senecal, Steele, Landau NOES: None ABSENT: None ABSTAIN: None Motion carried H. Second Amendment to the Water Conservation Participation Agreement with Municipal Water District of Orange County for Water Conservation Participation - That the City Council adopt Resolution 7674 authorizing the City Manager to execute the Second Amendment to the Water Conservation Participation Agreement with the Municipal Water District of Orange County. Mayor Landau called upon City Manager Gallegos. City Manager Gallegos called upon Public Works Deputy Director/City Engineer Cho, who called upon Management Analyst Sabo to provide an overview of the staff report. A discussion ensued between Management Analyst Sabo, Council Member Senecal, and Mayor Landau. Council’s questions and concerns were addressed. Council Member Kalmick moved, second by Council Member Senecal, to adopt Resolution 7674 authorizing the City Manager to execute the Second Amendment to the Water Conservation Participation Agreement with the Municipal Water District of Orange County. 1 0 0 3 2 AYES: Kalmick, Senecal, Steele, Landau, Wong NOES: None ABSENT: None ABSTAIN: None Motion carried I. Approving and Authorizing Amendment 2 to the Professional Services Agreement with EXP U.S. Services, Inc. for On-Call Professional Engineering Services - That the City Council adopt Resolution 7675: 1. Approving Amendment 2 to the Professional Services Agreement with EXP U.S. Services, Inc., dated July 22, 2019, extending the term of the Agreement for a fourth extension through and including June 30, 2026; and modifying the compensation to the cumulative not- to-exceed amount of $150,000 for the Second, Third and Fourth Extensions; and, 2. Authorizing and directing the City Manager to execute Amendment 2 to the Professional Services Agreement with EXP U.S. Services, Inc. on behalf of the City. City Manager Gallegos called upon Public Works Deputy Director/City Engineer Cho, who called upon Associate Engineer Spitz to provide an overview of the staff report. Council Member Senecal’s questions were addressed by Associate Engineer Spitz. Council Member Senecal moved, second by Council Member Wong to adopt Resolution 7675: 1. Approving Amendment 2 to the Professional Services Agreement with EXP U.S. Services, Inc., dated July 22, 2019, extending the term of the Agreement for a fourth extension through and including June 30, 2026; and modifying the compensation to the cumulative not-to-exceed amount of $150,000 for the Second, Third and Fourth Extensions; and, 2. Authorizing and directing the City Manager to execute Amendment 2 to the Professional Services Agreement with EXP U.S. Services, Inc. on behalf of the City. AYES: Kalmick, Senecal, Steele, Landau, Wong NOES: None ABSENT: None ABSTAIN: None Motion carried L. Westminster Animal Group and Services (WAGS) Animal Shelter Services Agreement - That the City Council adopt Resolution 7678: 1. Approving and authorizing the City Manager or their designee to execute the Agreement with the Westminster Adoption Group and Services (WAGS) to provide animal shelter and emergency veterinary care services for the City of Seal Beach for a three-year term; with the option to extend the Agreement for up to two additional one-year terms, at the not-to-exceed amount of $138,000 for the first year; and for each subsequent year for the not-to-exceed amount of $138,000 as adjusted by the lesser of inflation or 5% for each additional year; and, 2. Adding provisions to 1 0 0 3 2 provide emergency veterinary care services for the City of Seal Beach for a not- to-exceed amount of $40,000 per year; and, 3. Approving a Trap-Neuter-Release (TNR) Program as elected by the City, for an amount not-to-exceed $5,000 per year; and, 4. Authorizing an additional $10,000 per year, for emergency care, at the City Manager’s discretion; and, 5. Authorizing the City Manager to authorize payments as outlined in the event of hoarder/breeder animals; and, 6. Authorizing and directing the City Manager or their designee to execute the Agreement. City Manager Gallegos called upon Police Chief Henderson. Police Chief Henderson provided an overview of the staff report. A discussion ensued between Police Chief Henderson, Support Services Captain Nicholas, Council Members Senecal and Wong, and Mayor Landau. Council’s questions and concerns were addressed by Police Chief Henderson and Support Services Captain Nicholas. Council Member Kalmick moved, second by Council Member Senecal, to adopt Resolution 7678: 1. Approving and authorizing the City Manager or their designee to execute the Agreement with the Westminster Adoption Group and Services (WAGS) to provide animal shelter and emergency veterinary care services for the City of Seal Beach for a three-year term; with the option to extend the Agreement for up to two additional one-year terms, at the not-to-exceed amount of $138,000 for the first year; and for each subsequent year for the not-to-exceed amount of $138,000 as adjusted by the lesser of inflation or 5% for each additional year; and, 2. Adding provisions to provide emergency veterinary care services for the City of Seal Beach for a not-to- exceed amount of $40,000 per year; and, 3. Approving a Trap-Neuter-Release (TNR) Program as elected by the City, for an amount not-to-exceed $5,000 per year; and, 4. Authorizing an additional $10,000 per year, for emergency care, at the City Manager’s discretion; and, 5. Authorizing the City Manager to authorize payments as outlined in the event of hoarder/breeder animals; and, 6. Authorizing and directing the City Manager or their designee to execute the Agreement. AYES: Kalmick, Senecal, Steele, Landau, Wong NOES: None ABSENT: None ABSTAIN: None Motion carried PUBLIC HEARING There were no public hearing items. UNFINISHED/CONTINUED BUSINESS There were no unfinished/continued business items. 1 0 0 3 2 NEW BUSINESS There were no new business items. ADJOURNMENT Mayor Landau adjourned the City Council meeting at 8:07 p.m. to Monday, August 11, 2025, at 5:30 p.m. to meet in closed session, if deemed necessary. __________________________ Gloria D. Harper, City Clerk City of Seal Beach Approved:___________________________ Lisa Landau, Mayor Attested:____________________________ Gloria D. Harper, City Clerk Agenda Item D AGENDA STAFF REPORT DATE:August 11, 2025 TO:Honorable Mayor and City Council THRU:Patrick Gallagos, City Manager FROM:Iris Lee, Director of Public Works SUBJECT:Notice of Completion for the Arterial Paving Program, Seal Beach Boulevard from Westminster Avenue to North Gate Road, CIP O-ST-3 ________________________________________________________________ SUMMARY OF REQUEST: That the City Council adopt Resolution 7681: 1. Accepting the Arterial Paving Program, Seal Beach Boulevard from Westminster Avenue to North Gate Road, CIP O-ST-3, by All American Asphalt in amount of $1,421,646.41; 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. BACKGROUND AND ANALYSIS: The City’s Arterial Paving Program (Project) was budgeted in the FY 2024-2025 Capital Improvement Program to improve roadway conditions within the City. The work included grinding the existing pavement and installing an asphalt overlay to extend the roadways’ serviceable life. Pursuant to the 2022 Pavement Management Programs, Seal Beach Boulevard between Westminster Avenue and North Gate Road was selected for resurfacing. On January 27, 2025, the City Council adopted Resolution 7606 awarding a Public Works Agreement to All American Asphalt for the Project in the amount of $1,289,158 and allocating $280,000 for construction support, testing, inspection and additional work requests. The Project included an option for replacement of full-depth structural sections, where the pavement has failed. This was utilized within the approved contingency budget for this Project. Approximately 8,000 square feet of asphalt was removed and replaced under this optional item. Page 2 2 1 1 3 The Project was inspected, meets all standards and requirements within the Project specifications, and has been completed to the satisfaction of the City Engineer. It is requested that the City Council formally accept the Project, direct staff to file a Notice of Completion with the Orange County Clerk’s Recorder’s Office and release the retention thirty-five (35) days after recordation of the Notice of Completion contingent upon no claims being filed on the Project. ENVIRONMENTAL IMPACT: This Project complies with all requirements of the California Environmental Quality Act (CEQA) and is categorically exempt under Section 15301 Class 1 Subsection (c) of the CEQA Guidelines. LEGAL ANALYSIS: The City Attorney has reviewed and approved the resolution as to form. FINANCIAL IMPACT: The approved construction contract budget plus established construction contingency totals $1,509,158. The table below presents a breakdown of the total construction Project cost: Description Amount Construction Bid Items $ 1,279,668.41 Contract Change Orders $ 141,978.00 Project Cost $ 1,421,646.41 Unspent funds will be returned to the original funding source. STRATEGIC PLAN: This item is not applicable to the Strategic Plan. RECOMMENDATION: That the City Council adopt Resolution 7681: 1. Accepting the Arterial Paving Program, Seal Beach Boulevard from Westminster Avenue to North Gate Road, CIP O-ST-3, by All American Asphalt in the amount of $1,421,646.41; 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. Page 3 2 1 1 3 SUBMITTED BY: NOTED AND APPROVED: Iris Lee Patrick Gallegos Iris Lee, Director of Public Works Patrick Gallegos, City Manager Prepared by: David Spitz, P.E. Associate Engineer ATTACHMENTS: A. Resolution 7681 B. Notice of Completion RESOLUTION 7681 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL ACCEPTING COMPLETION OF THE ARTERIAL PAVING PROGRAM, SEAL BEACH BOULEVARD, WESTMINSTER AVENUE TO NORTH GATE ROAD, CIP O-ST-3 NOW, THEREFORE, the Seal Beach City Council does resolve, declare, determine, and order as follows: Section 1. The City accepts the completion of the Arterial Paving Program, Seal Beach Boulevard, Westminster Avenue to North Gate Road, CIP O-ST-3 (Project), by All American Asphalt in the amount of $1,421,646.41 for the work performed. Section 2. The City Clerk is hereby directed to file a “Notice of Completion” for the Project with the Orange County Clerk-Recorder within fifteen (15) days of the date of this resolution and to release retention 35 days after the recordation of the Notice of Completion contingent upon no claims being filed on the Project. PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 11th day of August 2025 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Lisa Landau, 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 7681 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 11th day of August 2025. Gloria D. Harper, City Clerk RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO CITY OF SEAL BEACH Attn: City Clerk 211 - 8th Street Seal Beach, CA 90740 Space of above this line for Recorder’s use. *** No Recording Fee Pursuant to Government Code Sections 6103 and 27383 **** NOTICE OF COMPLETION Notice pursuant to Civil Code Section 9204, must be filed within 15 days after completion. Notice is hereby given that: 1. The undersigned is owner or corporate officer of the owner of the interest or estate stated below in the property hereinafter described: 2. The full name of the owner is: City of Seal Beach. 3. The address of the owner is: 211 – 8th Street, Seal Beach, CA 90740. 4. The nature of the interest or estate of the owner is: In Fee. The City of Seal Beach. 5. A work of improvement on the property hereinafter is described as substantially completed on June 30, 2025. The work was Arterial Paving Program, Seal Beach Boulevard, Westminster Avenue to North Gate Road, CIP O-ST-3. 6. The name of the contractor(s), if any, for such improvement was: All American Asphalt 7. The date of the Contract Award was January 27, 2025. 8. The property on which said work of improvement was completed in the City of Seal Beach, County of Orange, State of California, and is described as follows: Seal Beach Boulevard, Westminster Avenue to North Gate Road, Seal Beach, CA. Date: _______________ _________________________________________ Iris Lee, Director of Public Works, City of Seal Beach Signature of owner or corporate officer of owner named in paragraph 2 or agent. VERIFICATION I, the undersigned, say: Iris Lee (Director of Public Works) declarant of the foregoing notice of completion; have read said notice of completion and know the contents thereof; the same is true of my own knowledge. I declare under penalty of perjury the foregoing is true and correct. Executed on _____________________, 2024, at Seal Beach, California. (Date of Signature) _________________________________________ Iris Lee, Director of Public Works, City of Seal Beach Agenda Item E AGENDA STAFF REPORT DATE:August 11, 2025 TO:Honorable Mayor and City Council THRU:Patrick Gallegos, City Manager FROM:Alexa Smittle, Community Development Director SUBJECT:Amendments to Professional Service Agreements with Lisa Wise Consulting, Inc. ________________________________________________________________ SUMMARY OF REQUEST: That the City Council adopt Resolution 7682: 1. Approving Amendment 2 to Professional Service Agreement with Lisa Wise Consulting, Inc., to provide professional services related to the 2021-2029 Housing Element Update, extending the term to December 31, 2025; and, 2. Approving Amendment 2 to Professional Service Agreement with Lisa Wise Consulting, Inc., to provide professional services revising portions of Title 11 of the Municipal Code to implement the 2021-2029 Housing Element, extending the term to December 31, 2025; and, 3. Authorizing the City Manager to execute each Amendment on behalf of the City. BACKGROUND AND ANALYSIS: Lisa Wise Consulting, Inc. has been assisting the City of Seal Beach (City) with development of the Housing Element and related Zoning Code update, the latter of which is necessary to receive Housing Element certification from the California Department of Housing and Community Development. Though the vast majority of the work for these projects has been completed, the Housing Element and Zoning Code update cannot be considered until the associated Environmental Impact Report (EIR) is complete. Staff anticipates the Final EIR will be made available for public review in early September and be considered by the Environmental Quality Control Board that same month. Subsequently, the EIR, Housing Element, Zoning Code Amendment, and related amendments to the Main Street Specific Plan and Land Use Element are expected to be presented to the Planning Commission and the City Council for consideration in October. Page 2 2 1 1 2 The proposed amendments will extend the term of the respective Agreements to December 31, 2025. No other changes to the Agreements are proposed. ENVIRONMENTAL IMPACT: The proposed professional services agreement amendments are exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the State CEQA Guidelines which states that CEQA only applies to projects that have potential for causing a significant effect on the environment. Approval of the Professional Services Agreement Amendments will not have a significant effect on the environment. LEGAL ANALYSIS: This item has been reviewed and approved as to form. FINANCIAL IMPACT: These Amendments represent time extensions only, adequate funding was included in the adopted FY 2025-26 Annual Budget. STRATEGIC PLAN: Completion of the Housing Element was previously identified as a City Council Priority for the Strategic Plan. RECOMMENDATION: That the City Council adopt Resolution 7682: 1. Approving Amendment 2 to Professional Service Agreement with Lisa Wise Consulting, Inc., to provide professional services related to the 2021-2029 Housing Element Update, extending the term of each to December 31, 2025; and, 2. Approving Amendment 2 to Professional Service Agreement with Lisa Wise Consulting, Inc., to provide professional services revising portions of Title 11 of the Municipal Code to implement the 2021-2029 Housing Element, extending the term to December 31, 2025; and, 3. Authorizing the City Manager to execute each Amendment on behalf of the City. Page 3 2 1 1 2 SUBMITTED BY: NOTED AND APPROVED: Alexa Smittle Patrick Gallegos Alexa Smittle, Community Development Director Patrick Gallegos, City Manager Prepared By: Megan Coats, Management Analyst ATTACHMENTS: A. Resolution 7682 B. Amendment 2 to Professional Services Agreement related to the Zoning Code Amendment C. Amendment 2 to Professional Services Agreement related to the Housing Element and Related Services D. Amendment 1 to Professional Services Agreement related to the Zoning Code Amendment E. Amendment 1 to Professional Services Agreement related to the Housing Element and Related Services F. Original Professional Services Agreement related to the Zoning Code Amendment G. Original Professional Services Agreement related to the Housing Element and Related Services RESOLUTION 7682 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL APPROVING AND AUTHORIZING AMENDMENT 2 TO THE PROFESSIONAL SERVICES AGREEMENT WITH LISA WISE CONSULTING, INC. FOR ZONING CODE UPDATE SERVICES, AND AMENDMENT 2 TO THE PROFESSIONAL SERVICES AGREEMENT WITH LISA WISE CONSULTING, INC. FOR HOUSING ELEMENT RELATED SERVICES, EXTENDING THE TERM OF EACH AGREEMENT THROUGH DECEMBER 31, 2025 WHEREAS, the City of Seal Beach (City) and Lisa Wise Consulting, Inc. (Consultant) are parties to a Professional Services Agreement dated September 11, 2023, as previously amended by Amendment 1, dated December 9, 2024, for services relating to the Housing Element and related supporting services (Housing Element Agreement); and a Professional Services Agreement dated March 11, 2024, as previously amended by Amendment 1, dated December 9, 2024, related to Zoning Code Update services (Zoning Code Update Agreement); and, WHEREAS, the term of each Agreement expires on September 30, 2025; and , WHEREAS, the Consultant has been instrumental in helping the City to be in compliance with State law as it relates to Housing Elements; and, WHEREAS, City and Consultant have determined that additional time is required for Consultant to perform continued support services and complete the Housing Element and associated Zoning Code Update, and wish to extend the Term of the Housing Element Agreement and the Zoning Code Update Agreement through December 31, 2025. NOW, THEREFORE, the Seal Beach City Council does resolve, declare, determine, and order as follows: Section 1. The City Council hereby approves Amendment 2 to the Housing Element Agreement, extending the Term through December 31, 2025, for Consultant to complete the associated scope of work related to the Housing Element and associated services. Section 2. The City Council hereby approves to amend the Zoning Code Update Agreement, extending the Term through December 31, 2025, for Consultant to complete the associated scope of work related to the creation of a new land use designation within the City’s Zoning Code. Section 3. The Council hereby directs the City Manager to execute each Amendment on behalf of the City. PASSED, APPROVED and ADOPTED by the Seal Beach City Council at a regular meeting held on the 11th day of August 2025 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Lisa Landau, 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 7682 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeti ng held on the 11th day of August 2025. Gloria D. Harper, City Clerk PROFESSIONAL SERVICES AGREEMENT Amendment No. 1 for A Zoning Code Update to Implement the 2021-2029 Housing Element Between F SEA[ 9I OAgTF'4;q 1 o; ski City of Seal Beach 211 - 8th Street Seal Beach, CA 90740 Lisa Wise Consulting, Inc. 983 Osos Street San Luis Obispo, CA 93401 805) 595-1345 This Amendment No. 1, dated December 9, 2024, amends that certain agreement Agreement) made as of March 11 , 2024 by and between the City of Seal Beach (City), a California charter city, and Lisa Wise Consulting, Inc. (Consultant), a California corporation (collectively, "the Parties"). RECITALS A. City and Consultant are parties to the Agreement, pursuant to which Consultant provides zoning code update services related to the implementation of the Seal Beach Housing Element. B. City and Consultant wish to amend the Agreement for Consultant to extend the term by seven months, to expire on September 30, 2025. 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. Section 2.0 (Term) of the March 11, 2024 Agreement is hereby extended by approximately seven months to expire September 30, 2025, to read as follows: The term of this Agreement shall commence on March 1, 2024 and shall remain in full force and effect until September 30, 2025 unless sooner terminated as provided in Section 5.0 of this Agreement. Section 2. All references to the term "Agreement" throughout Sections 1.0 through 36.0 inclusive, of the Agreement are hereby modified to include the this Amendment No. 1, dated December 9, 2024, as if all of those terms are fully set forth therein. Section 3. 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. Section 4. The person executing this Amendment No. 1 on behalf of Consultant warrants that he or she is fully authorized to execute this Amendment No. 1 on behalf of said Party, and that by his or her execution, Consultant is formally bound to the provisions of this Amendment No. 1. IN WITNESS WHEREOF, the Parties hereto, through their respective authorized representatives have executed this Agreement as of the date and year first above written. 2 of 3 CITY OF SEAL BEACH CONSULTANT: Lisa Wise Consulting Inc., a California Corporation By: -.A./v. ., 1 if By: Patrick Gallegos, Interim City Name: Lisa Wise, AICP Manager Its: President and CEO M SEAI.G` Atte• y, By: 1tt,Name: Henry Pontarelli Ipl, o Its: Vice President and Secretary B Ioria D. H' w tl^,yy=--S 41*) Please note, two signatures required for NT . corporations pursuant to California Corporations Code Section 313 from Approved as to Form:each of the following categories: (i) the chairperson of the board, the president or any vice president, and (ii) the secretary, By:anyassistant secretary, the chiefYrY Nicholas Ghirelli, City Attorney financial officer or any assistant treasurer of such corporation.) PROOF OF AUTHORITY TO BIND CONTRACTING PARTY REQUIRED PROFESSIONAL SERVICES AGREEMENT Amendment No. 1 for Housing Element Update and Related Supporting Services Between F SEA( B Itipm6c.o; r# 0,0 City of Seal Beach 211 - 8th Street Seal Beach, CA 90740 Lisa Wise Consulting, Inc. 983 Osos Street San Luis Obispo, CA 93401 805) 595-1345 This Amendment No. 1, dated December 9, 2024, amends that certain agreement Agreement) made as of September 11, 2023 by and between the City of Seal Beach City), a California charter city, and Lisa Wise Consulting, Inc. (Consultant), a California corporation (collectively, "the Parties"). RECITALS A. City and Consultant are parties to the Agreement, pursuant to which Consultant provides professional services related to development and implementation of the Seal Beach Housing Element. B. City and Consultant wish to amend the Agreement for Consultant to extend the term by nine months, to expire on September 30, 2025. 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. Section 2.0 (Term) of the September 11, 2023 Agreement is hereby extended by nine months to expire September 30, 2025, to read as follows: The term of this Agreement shall commence on September 11, 2023 and shall remain in full force and effect until September 30, 2025 unless sooner terminated as provided in Section 5.0 of this Agreement. Section 2. All references to the term "Agreement" throughout Sections 1.0 through 36.0 inclusive, of the Agreement are hereby modified to include the this Amendment No. 1, dated December 9, 2024, as if all of those terms are fully set forth therein. Section 3. 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. Section 4. The person executing this Amendment No. 1 on behalf of Consultant warrants that he or she is fully authorized to execute this Amendment No. 1 on behalf of said Party, and that by his or her execution, Consultant is formally bound to the provisions of this Amendment No. 1. IN WITNESS WHEREOF, the Parties hereto, through their respective authorized representatives have executed this Agreement as of the date and year first above written. 2 of 3 CITY OF SEAL BEACH CONSULTANT: Lisa Wise Consulting 411747-*-- Inc., a California Corporation By: By: Patrick Gallegos, Interim City Name: Lisa Wise, AICP Manager Its: President and CEO A pF SEp! Attes NC RPpAgjb,9 By:o Name: Henry Pontarelli 4t ; ! __Its: Vice President and Secrets rYBJ Gloria D. H 1.114 `__-=pQ_' (Please note, two signatures required for tITY`a c corporations pursuant to California Corporations Code Section 313 from Approved as to Form:each of the following categories: (i) the chairperson of the board, the president or any vice president, and (ii) the secretary, By: any assistant secretary, the chief Nicholas Ghirelli, City Attorney financial officer or any assistant treasurer of such corporation.) PROOF OF AUTHORITY TO BIND CONTRACTING PARTY REQUIRED PROFESSIONAL SERVICES AGREEMENT for Housing Element Update and Related Supporting Services between City of Seal Beach 211 - 8th Street Seal Beach, CA 90740 0 Lisa Wise Consulting, Inc. 983 Osos Street San, Luis Obispo, CA 93401 805) 595-1345 This Professional Service Agreement ("the Agreement') is made as of September 11, 2023 (the "Effective Date"), by and between Lisa Wise Consulting, Inc., a California Corporation ("Consultant'), and the City of Seal Beach ("City"), a California charter city, collectively, "the Parties"). RECITALS A. City desires certain professional services related to amending the Housing Element and related supporting services to implement the Housing Element including revising and updating portions of Title 11 of the Municipal Code hereinafter collectively the "Project'). B. Pursuant to the authority provided by its City Charter and Seal Beach Municipal Code § 3.20.025(C), City desires to engage Consultant as an independent contractor to provide professional services in the manner set forth herein and more fully described in Section 1.0. C. Consultant represents that the principal members of its firm are qualified professional municipal consultants with expertise in developing housing elements and are fully qualified to perform the services contemplated by this Agreement in a good and professional manner; and it desires to perform such services as provided herein. 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. Consultant shall provide those services (collectively "Services") set forth in the "Scope of Services" attached hereto as Exhibit A and incorporated herein by this reference. To the extent that there is any conflict between Exhibit A and this Agreement, this Agreement shall control. 1.2. Consultant 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, Consultant 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, Consultant hereby represents that it has the experience necessary to undertake the Services to be provided. In light of such status and experience, Consultant hereby covenants that it shall follow the customary professional standards in performing all Services. The City relies upon the skill of Consultant, and Consultant's staff, if any, to do and perform the Services in accordance with such professional standards, and Consultant and Consultant's staff, shall perform the Services in such manner. Consultant shall, at all times, meet or exceed any and 2 of 21 all applicable professional standards of care. The acceptance of Consultant's work by the City shall not operate as a release of Consultant from such standard of care. 1.5. Consultant 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 in accordance with Subsection 3.2. 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 on September 15, 2023, and shall remain in full force and effect until December 31, 2024. unless sooner terminated as provided in Section 5.0 of this Agreement. 3.0 Consultant's Compensation 3.1. City will pay Consultant 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 $160,600 (One hundred sixty thousand, six hundred dollars) for the Original Term. 3.2. Payment for any additional work authorized by the City during the Original Term pursuant to Subsection 1.5 will be compensated in accordance with the hourly rates shown on the fee schedule set forth in Exhibit A and shall not exceed the cumulative amount established by the City Council at the time of the award for the Original Term. 4.0 Method of Payment 4.1. Consultant 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, including but not limited to, the number of hours worked, the hourly rates charged, and the line item tasks and services performed in the period. City will pay Consultant within 30 days of receiving Consultant's invoice. City will not withhold any applicable federal or state payroll and other required taxes, or other authorized deductions from payments made to Consultant. 4.2. Upon three business days' notice from City, Consultant shall allow City or City's agents or representatives to inspect at Consultant's offices during reasonable business hours all records, invoices, time cards, cost control sheets and other records maintained by Consultant in connection with this Agreement. 3 of 21 City's rights under this Subsection 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 Consultant 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 Consultant if Consultant 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. 5.3. Obligations upon Termination. Unless otherwise specified in the notice of termination, Consultant shall cease all work under this Agreement upon the date of termination indicated in the notice of termination issued pursuant to Subsection 5.1 or Subsection 5.2. Upon termination, City shall be immediately given title to and possession of all Work Product (as defined in Subsection 12.1 of this Agreement) produced or developed pursuant to this Agreement up to the date of termination. Provided that Consultant is not then in breach, City shall pay Consultant for any portion of the Services completed prior to termination, based on the reasonable value of the Services rendered. City shall not be liable for any costs other than the charges or portions thereof which are specified herein. In no event shall Consultant be entitled to payment for unperformed services or services within the Scope of Services performed prior to the effective date of this Agreement; and Consultant shall not be entitled to receive more than the amount that would be paid to Consultant for the full performance of the Services up to date of termination. Consultant shall have no other claim against City by reason of such termination, including any claim for compensation or damages. 6.0 Party Representatives 6.1. The City Manager is the City's representative for purposes of this Agreement. 6.2. David Bergman is the Consultant's primary representative for purposes of this Agreement. David Bergman shall be responsible during the term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise the Services hereunder. Consultant may not change its representative without the prior written approval of City, which approval shall not be unreasonably withheld. 4 of 21 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 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 Consultant: Lisa Wise Consulting, Inc. 983 Osos Street San Luis Obispo, CA 93401 Attn: David Bergman 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 Consultant and all of Consultant'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. Consultant 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 Consultant or by Consultant's employees or other personnel under Consultant's supervision. Consultant will determine the means, methods, and details by which Consultant's employees and other personnel will perform the Services. Consultant 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 Consultant's employees and other personnel performing any of the Services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Consultant and Consultant's personnel shall not supervise any of City's employees; and City's employees shall not supervise Consultant's personnel. Consultant'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 Consultant's personnel shall not use any City e-mail address 5 of 21 or City telephone number in the performance of any of the Services under this Agreement. Consultant shall acquire and maintain at its sole cost and expense such vehicles, equipment and supplies as Consultant's personnel require to perform any of the Services required by this Agreement. Consultant shall perform all Services off of City premises at locations of Consultant's choice, except (1) as otherwise may be 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 Consultant's personnel to receive projects from City, review plans on file at City, pick up or deliver any work product related to Consultant'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 Consultant from time to time for Consultant's personnel to obtain information about or to check on the status of projects pertaining to the Services under this Agreement. 9.3. Consultant shall be responsible for and pay all wages, salaries, benefits and other amounts due to Consultant's personnel in connection with their performance of any Services under this Agreement and as required by law. Consultant 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, Consultant 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, Consultant shall indemnify and hold harmless City and its elected and appointed officials, officers, employees, servants, designated volunteers, and those City 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 Consultant'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 Consultant under this Agreement any amount due to City from Consultant as a result of Consultant's failure to promptly pay to City any reimbursement or indemnification arising under this Section. These duties are in addition to Consultant's duty to defend, indemnify and hold harmless as set forth in any other provision of this Agreement. 6of21 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. Consultant agrees that, in providing its employees and any other personnel to City to perform any work or other Services under this Agreement, Consultant shall assure compliance with the Public Employees' Retirement Law ("PERE"), commencing at Government Code § 20000, as amended by the Public Employees' Pension Reform Act of 2013 ("PEPRA" ), and the PERS regulations. Without limitation to the foregoing, Consultant 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, Consultant 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 those City 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 Consultant's violation of any provisions of this Section 10.0. These duties are in addition to Consultant's duty to defend, indemnify and hold harmless as set forth in any other provision of this Agreement. 11.0 Confidentiality 11.1. Consultant covenants that all data, reports, notes, surveys, studies, drawings, plans, maps, models, photographs, images, video files, computer files, electronic files, media, discussion, information and Work Product (as defined in Subsection 12.1) developed or prepared by Consultant or provided to Consultant for performance of this Agreement are deemed confidential and shall not be disclosed by Consultant without prior written authorization by City. City shall grant such authorization if applicable law requires disclosure.. Consultant, 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 the City. Response to a subpoena or court order shall not be considered "voluntary", provided Consultant gives City notice of such court order or subpoena. 7of21 11.2. Consultant shall promptly notify City should Consultant, its officers, 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 parry regarding this Agreement and the work performed thereunder or with respect to any project or property located within the City. City may, but has no obligation to, represent Consultant or be present at any deposition, hearing or similar proceeding. Consultant agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Consultant. 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. 12.0 Ownership of Work Product 12.1. Unless otherwise agreed upon in writing, all draft and final reports, drawings, specifications, documents, and other written material of any kind, and any and all images, ideas, concepts, designs including website designs, source code, object code, electronic data and files, and/or other media whatsoever created or developed by Contractor in the performance of this Agreement collectively "Work Product") shall be and remain the property of City without restriction or limitation upon its use, duplication or dissemination by City. All Work Product shall be considered "works made for hire," for the benefit of City. Upon completion of this Agreement, or in the event of termination or expiration of this Agreement, all Work Product 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 upon payment being made in accordance with Subsection 5.3, and may be used, reused or otherwise disposed of by City for any purpose without Consultant's consent, provided that Consultant will not be held liable for any use, reuse or modification of the Work Product for purposes outside this Agreement. Consultant shall not obtain or attempt to obtain copyright protection as to any Work Product. _ 12.2. Consultant hereby assigns to City all ownership and any and all intellectual property rights to the Work Product that are not otherwise vested in City pursuant to Subsection 12.1. 12.3. Consultant 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 Work Product produced under this Agreement, and that City has full legal title to and the right to reproduce the Work Product for any purpose. Consultant shall defend, indemnify and hold City, and its elected and appointed officials, officers, employees, servants, attorneys, designated volunteers, and those City 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 Work Product violates 8 of 21 federal, state or local laws, or any contractual provisions, or any laws relating to trade names, licenses, franchises, copyrights, patents or other means of protecting intellectual property rights and/or interests in products or inventions. Consultant 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 Work Product produced under this Agreement. In the event the use of any of the Work Product or other deliverables hereunder by City is held to constitute an infringement and the use of any of the same is enjoined, Consultant, at its expense, shall: (1) secure for City the right to continue using the Work Product and other deliverables by suspension of any injunction, or by procuring a license or licenses for City; or (2) modify the Work Product 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, Consultant 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 Consultant prepares a document on a computer, Consultant 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 the City. Consultant is fully responsible to City for the performance of any and all subcontractors. 14.0 Prohibition Against Assignment or Delegation Consultant shall not assign any of its rights interests or any of its duties under this Agreement either in whole or in part, without the prior written consent of City. Any purported assignment or delegation without City's consent shall be void and without effect, and shall entitle City to terminate this Agreement. As used in this Section, "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 Consultant 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, payroll, invoices, time cards, cost control sheets, costs, expenses, receipts and other records and Work Product with respect to this Agreement. Consultant shall maintain adequate records on the 9of21 Services provided in sufficient detail to permit an evaluation of all Services in connection therewith. All such records shall be clearly identified and readily accessible. At all times during regular business hours, Consultant 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. Consultant 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 local, state, and federal laws. The City may issue restraint or cease and desist orders to Consultant when unsafe or harmful acts are observed or reported relative to the performance of the Services. Consultant shall maintain the work sites free of hazards to persons and property resulting from its operations. Consultant shall immediately report to the City any hazardous condition noted by Contractor. 17.0 Insurance 17.1. General Requirements. Consultant shall not commence work under this Agreement until it has provided evidence satisfactory to the City that Consultant has secured all insurance required under this Section. 17.2. Minimum Scope and Limits of Insurance. Consultant 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: 17.2.1. Commercial General Liability Insurance: Contractor shall maintain limits no less than $2,000,000 per occurrence for bodily injury including death, personal injury and property 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 10 of 21 that Contractor and its managers, affiliates, employees, agents and other persons necessary or incidental to its operation are insureds. 17.2.2. 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 Insurance Services Office Business Auto Coverage form number CA 0001, code 1 (any auto). 17.2.3. Workers' Compensation and Employer's Liability Insurance: Workers' Compensation in the amount required by law; and Employer's Liability with minimum limits of no less than $1,000,000 per accident and in the aggregate for bodily injury or disease. 17.2.4. (if required by the City) Professional Liability coverage (or Errors and Omissions Liability, as appropriate): Consultant shall maintain limits of no less than $1,000,000 per claim/aggregate, and if a "claims made" policy is provided, then the policy shall be endorsed to provide an extended reporting period of not less than three years. 17.2.5. These additional insured provisions shall also apply to any excess/umbrella liability policies. 17.3. Acceptabilitv of Insurers. The Insurance policies required under this Section shall be placed with insurers with a current A.M. Best's rating no less than ANI", licensed to do business in California, and satisfactory to the City. 17.4. Additional Insured. 17.4.1. For general liability insurance, the City, its directors, 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 the Consultant, including materials, parts or equipment furnished in connection with such work. 17.4.2. For automobile liability, that the City, its directors, 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 the Consultant or for which the Consultant is responsible. 17.4.3. These additional insured provisions shall also apply to any excess/umbrella liability policies. 11 of 21 17.5. Cancellations or Modifications to Coverage. The insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms supplied or approved by the City to state: (1) coverage 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 the City; (2) any failure to comply with reporting or other provisions of the policies, including breaches of warranties, shall not affect coverage provided to the 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. 17.6. Primary and Non -Contributing. Coverage shall be primary insurance as respects the 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 if excess, shall stand in an unbroken chain of coverage excess of the Consultant's scheduled underlying coverage and that any insurance or self-insurance maintained by the 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 excess of the Consultant's insurance and shall not be called upon to contribute with it; 17.7. Separation of Insureds. All insurance required by this Section shall contain standard separation of insureds provisions and shall not contain any special limitations on the scope of protection afforded to the 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. 17.8. Deductibles and Self -Insured Retention. Any deductibles or self- insured retentions shall be declared to and approved by the City. Consultant guarantees that, at the option of the City, either: (1) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the 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) the Consultant shall procure a bond guaranteeing payment of losses and related investigation costs, claims and administrative and defense expenses. 17.9. Waiver of Subrogation. Each insurance policy maintained or procured pursuant to 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 all rights of subrogation against City. 17.10. City Remedy for Noncompliance. if Contractor does not maintain the policies of insurance required under this Section in full force and effect during the term of this Agreement, or in the event any of Contractor's policies do not comply 12 of 21 with the requirements under this Section, City may either 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. 17.11. 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 by this Agreement 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 also 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. 17.12. 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 any provision of this Agreement. 17.13. Broader Coverage/Higher Limits. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Services. 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. 17.14. Timely Notice of Claims. Contractor shall give City prompt and timely notice of demands or claims made or suits instituted that arise out of or result from Contractor's performance under this Agreement, and that involve or may involve coverage under any of the required insurance policies. 17.15. 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. 13 of 21 18.0 Indemnification, Hold Harmless, and Duty to Defend 18.1. Indemnity for Desiqn Professional Services. To the fullest extent permitted by law, Consultant shall, at its sole cost and expense, protect, indemnify and hold harmless the 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 18.0), 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, including but not limited to fees of attorneys, accountants and other professionals, and all costs associated therewith, and reimbursement of attorneys" fees and costs of defense (collectively "Claims"), in law or in equity, whether actual, alleged or threatened, which arise out of, pertain to, or relate to, in whole or in part, the negligence, recklessness or willful misconduct of Consultant, its officers, directors, agents, servants, employees, subcontractors, contractors or their officers, directors, agents, servants or employees (or any entity or individual that Consultant shall bear the legal liability thereof) in the performance of design professional services under this Agreement by a "design professional," as the term is defined under California Civil Code Section 2782.8(c). Notwithstanding the foregoing and as required by Civil Code Section 2782.8(a), in no event shall the cost to defend the Indemnitees that is charged to Consultant exceed Consultant's proportionate percentage of fault. 18.2. Other Indemnities. 18.2.1. Other than in the performance of design professional services, and to the fullest extent permitted by law, Consultant shall, at its sole cost and expense, protect, defend, hold harmless and indemnify the Indemnitees 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, 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, pertain to, or relate to the acts or omissions of Consultant, its officers, directors, agents, servants, employees, subcontractors, materialmen, suppliers, or contractors, or their officers, agents, servants or employees (or any entity or individual that Consultant 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. Consultant 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. Consultant shall reimburse the 14 of 21 Indemnitees for any and all legal expenses and costs incurred by the Indemnitees in connection therewith. 18.2.2. Consultant shall defend, indemnify and hold harmless City in accordance with Sections 9.0 and 10.0. 18.3. Subcontractor Indemnification. Consultant shall obtain executed indemnity agreements with provisions identical to those in this Section 18.0 from each and every subcontractor or any other person or entity involved by, for, with or on behalf of Consultant in the performance of this Agreement. If Consultant fails to obtain such indemnities, Consultant shall be fully responsible and indemnify, hold harmless and defend the Indemnitees from and against any and all Claims and/or 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 Consultant's subcontractor, its officers, agents, servants, employees, subcontractors, materialmen, contractors or their officers, agents, servants or employees (or any entity or individual that Consultant's subcontractor shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees' active or passive negligence, except for Claims or 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. 18.4. Insurance Requirements Not Limiting. 18.4.1 The obligations of Consultant under this or any other provision of this Agreement shall not be limited by the provisions of any workers' compensation act or similar act. Consultant expressly waives any statutory immunity under such statutes or laws as to the Indemnitees. 18.4.2. 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 shall apply regardless of whether or not any insurance policies are determined to be applicable to the Claims and/or Liabilities asserted against City or any of the other Indemnitees. Consultant's indemnity obligation set forth in this Section 18.0 shall not be limited by the limits of any policies of insurance required or provided by Consultant pursuant to this Agreement. 18.5. Consultant's duties and obligations under this Section 18.0 shall survive the expiration or termination of this Agreement. 19.0 Non -Discrimination and Equal Employment Opportunity Consultant affirmatively represents that it is an equal opportunity employer. Consultant shall not discriminate against any subcontractor, employee, or applicant for employment because of race, religion, color, national origin, 15 of 21 handicap, ancestry, sex, sexual orientation, age, or any other basis prohibited by federal of state laws, including but not limited to, in all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff, or termination. In addition, in providing the Services, Contractor shall not discriminate, harass or retaliate against any City official, City employee, City contractor, City consultant, customer, patron, client, or other member of the public because of their race, religion, color, national origin, handicap, ancestry, sex, age, or any other basis prohibited by federal or state laws. 20.0 Workers' Compensation Certification By its signature hereunder, Consultant 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. 21.0 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, Consultant shall comply in all respects with all applicable provisions of the California Labor Code, including those set forth in Exhibit B, attached hereto and incorporated by reference herein. 22.0 Claims All claims arising out of or related to this Agreement, and the consideration and payment of such claims, are subject to the Government Claims Act (Government Code Section 810 et seq.) with regard to filing claims. 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 16 of 2.1 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 Parties to this Agreement and their respective successors and assigns, and no other persons or entities shall be deemed to have any rights hereunder against either party as a result of this Agreement 27.0 Waiver 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. 28.0 Prohibited Interests; Conflict of Interest 28.1. Consultant 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. Consultant further covenants that, in performance of this Agreement, no person having any such interest shall be employed by it. Furthermore, Consultant shall avoid the appearance of having any interest, which would conflict in any manner with the performance of the Services. Consultant shall not accept any employment or representation during the term of this Agreement which is or may likely make Consultant "financially interested" (as provided in California Government Code 1090 and 87100) in any decision made by City on any matter in connection with which Consultant has been retained. 28.2. Consultant further warrants and maintains that it has not employed or retained any person or entity, other than a bona fide employee working exclusively for Consultant, to solicit or obtain this Agreement. Nor has Consultant paid or agreed to pay any person or entity, other than a bona fide employee working exclusively for Consultant, 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 17 of 21 any sums payable to Consultant hereunder the full amount or value of any such fee, commission, percentage or gift. 28.3. Consultant 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 Consultant, and that if any such interest comes to the knowledge of Consultant at any time during the term of this Agreement, Consultant 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 subsection 29.0 Final Payment Acceptance Constitutes Release The acceptance by Consultant 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 Consultant for anything done, furnished or relating to Consultant'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 Consultant, 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 or liability by City for any defect or error in the work prepared by Consultant, its employees, subcontractors and agents. 30.0 Corrections In addition to the indemnification obligations set forth above, Consultant shall correct, at its expense, all errors in the work which may be disclosed during City's review of Consultant's report or plans. Should Consultant 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 Consultant. 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 Consultant under this Agreement up to the amount of the cost of correction. 31.0 Non -Appropriation of Funds Payments to be made to Consultant 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 Consultant's Services beyond the current fiscal year, this Agreement shall cover payment for Consultant's Services only to the conclusion of the last 18 of 21 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 Consultant with all pertinent Data, documents and other requested information as is reasonably available for Consultant's proper performance of the Services required under this Agreement. 32.2. Consultant's Cooperation. In the event any claim or action is brought against City relating to Consultant's performance of Services rendered under this Agreement, Consultant 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 the losing party all of its attorneys' fees and other costs incurred in connection therewith. 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. 36.0 Corporate Authority The person executing this Agreement on behalf of Consultant warrants that he or she is duly authorized to execute this Agreement on behalf of said party and that by his or her execution, the Consultant 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 21 CITY OF SEAL BEACH By: 9- -Sw"p, Ingram, City ManagEU- Attest: go Apprc By: Nicholas Ghirelli, City Attorney CONSULTANT: Lisa Wise Consulting, Inc., a California Corporation ice" By: G Name: Lisa wise Its: President By: Name: Henry Pontarelli Its: Vine PrPsidPnt Please note, two signatures required for corporations pursuant to California Corporations Code Section 393 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 21 EXHIBIT A 21 of 21 City of Seal Beach Zoning Code Amendments and Housing Element Revisions Additional Services Proposal #1 Prepared by Lisa Wise Consulting, Inc. (LWC) July 28, 2023 This proposal for additional services describes additional tasks not included in the scope and work and budget established in the 04/11/22 Professional Services Agreement between LWC and the City of Seal Beach (see Attachment). The tasks listed here are proposed as additional services to aid the City in the Zoning Amendments projects and in securing Housing Element compliance with the State of California Department of Housing and Community Development (HCD). The tasks are based on LWC's understanding of the City's vision for the project and the best approach to an efficient and thorough community outreach; ensuring the analysis and draft amendments comply with State law, General Plan and Housing Element policy; and achieving adoption of the Zoning Amendments. LWC understands that the City submitted a draft of its 6th Cycle Housing Element to HCD on February 9, 2022, but that the City has since made edits to the Housing Element draft, dated March 3, 2023. The work in this scope will be based on this draft along with the April 8, 2022 review letter from HCD. In order to complete this assignment LWC will need access to the files that were used to produce this draft housing element including all: Word documents/PDF files Excel files GIS files Illustrations, maps and jpegs in editable form Any previously commissioned supporting studies such as market studies or zoning code analysis Below is a description of each additional task; also included as an attachment is a detailed budget worksheet by task. City Staff has advised that it is unnecessary for LWC to attend the ALUC meeting described in the original contract. ADDITIONAL SERVICES Task 3.AA: Revised Technical Analysis and Recommendations Memo. In March 2023, LWC received an updated Draft Housing Element with changes to the site inventory, policies, and assumptions related to buildout. LWC will re -work Task 1.0 Technical Analysis and Recommendations Memo submitted in June 2022 based on the March 2023 updated Draft Housing Element. 983 OSOS STREET, SAN LUIS OBISPO, CA 93401 (805) 5951345 LISAN'ISECONSULTING.COM 1 TASK 8: MAIN STREET SPECIFIC PLAN DISTRICT AMENDMENTS Task S.A: Meetings with City Staff. LWC will participate in up to three one-hour meetings with City Staff to discuss needs, progress, and draft amendments for the complete set of zoning amendments (those related to the MSSP district updates as well as those related to the new LC -RHD district). Task 8.13: Draft MSSP District Amendments. LWC will prepare Administrative Draft Zoning Amendments required to fully implement the 6th Cycle Housing Element. This will take the form of track changes to the existing Zonings Code sections. The work is anticipated to include amendments to the following sections of the Seal Beach Municipal Code: Chapter 11.2.10 Commercial and Mixed -Use Districts. Changes are anticipated to involve minor edits to the MMSP district development standards only. Part IV Regulations Applying in Some or All Districts. Changes may involve additions to edits to the citywide standards of Part IV needed to accommodate the changes to the MSSP development standards. This task does not involve amendments to the 1996 Main Street Specific Plan document itself. Public Draft and Hearing Draft amendments to the MSSP are anticipated to be included with the Public and Hearing drafts of the LC/RHD zoning amendments material. TASK 9: HOUSING ELEMENT REVISIONS Task 9.A: HCD Response Matrix. LWC will review the existing Housing Element against HCD's letter dated April 8, 2022 and prepare a matrix outlining identifying how/whether issues raised in HCD's letter are addressed in the current Housing Element draft, and how LWC proposes to address outstanding issues. LWC anticipates up to two calls with the City during this Task to discuss the proposed approach to responding to HCD comments and to refine findings after discussion with the City. Final Deliverables: Administrative Draft and Final Approach Matrix Memo (Excel). LWC will revise the Administrative Draft based on one set of consolidated comments from the City. Task 9.13: Reorganization of Housing Element. Based on a structure approved by the City, LWC will reorganize the Housing Element to include a main body (that includes the Housing Element programs), and different appendices to address housing needs, constraints, and resources and the affirmatively fair housing analysis. This reorganization is intended to facilitate HCD review. LWC will discuss reorganization of the Housing Element with the City to establish the most efficient use of funds. Final Deliverables: Reorganized Housing Element (Word and PDF) Task 9.C: Edits to Housing Element for Compliance with HCD Letter. Upon City staff's approval of LWC's proposed approach to responding to HCD's comments under Task 9,A, LWC will make the relevant edits to the Housing Element. LWC anticipates up to three calls with the City during this Task to discuss LWC's 983 OSOS STREET, SAN LUIS OBISPO, CA 93401 (805) 595 1345 LISAWISECONSULTING.COM 2 edits and any City -proposed edits. As part of this Task, LWC also anticipates completing the work detailed in Tasks 9.D. to 9.F. Final Deliverables: Administrative Draft and Final Housing Element to resubmit to HCD (Word and PDF). LWC will revise the Administrative Draft based on one set of consolidated comments from the City. Task 9.1): Market Conditions Analysis. LWC will review local market conditions to evaluate the performance of the retail market and multifamily residential market in the City. The analysis will gather and review available data that describes demographics, employment, households, rents, and sales tax. This will provide information on trends and supply of retail and commercial space and its long-term viability. LWC anticipates up to two calls with the City during this Task to discuss assumptions and clarify findings. This Task also assumes that the City will provide LWC with any existing market studies, including those prepared by Keyser Marston or equivalent. Final Deliverable: This work will be included in the Task 9C submittals. Task 9.E: Comparable Redevelopment Projects. LWC will conduct an assessment of Orange County and neighboring communities to identify recent redevelopment projects (up to 10 projects) that involved the conversion of commercial properties and parking lots into multifamily residential or mixed-use projects. LWC will narrow the review of redevelopment projects to those comparable to mixed-use sites in the City. LWC will review relevant conditions that may have led to the redevelopment sites' conversion from commercial to multifamily. Critical factors to be documented include: Lot size Unit density and FAR for mixed use projects Unit size/type mix (when info is available) Other notable features (as applicable) such as: affordability, special needs housing (e.g. seniors, supportive, etc.), mixed-use, lot consolidation (if available/know) This task will identify three projects comparable to the candidate housing element sites. LWC anticipates up to two calls with the City during this Task to discuss assumptions and clarify findings. Final Deliverable: This work will be included in the Task 9C submittals. Task 9.F: Site Capacity. LWC will prepare a market analysis section in the revised housing element detailing the analysis described in Tasks 9.1) and 9.E. This will identify a defensible realistic capacity for each of the sites that can be used to address HCD's comments about the suitability of sites to accommodate housing. Final Deliverable: This work will be included in the Task 9C submittals. Task 9.G: Ongoing Negotiation with HCD and Additional Edits to the Housing Element. LWC will participate in interim calls with NCD after submittal of the Housing Element to HCD during HCD's 60 -day review and make interim revisions to the Housing Element as required by HCD during its interim review. 983 OSOS STREET, SAN LUIS OBISPO, CA 93401 (805) 5951345 LISAWISECONSULTING.COM 3 LWC anticipates up to two calls with the City and HCD during this Task, and additional calls with the City as needed. Additional rounds of Housing Element edits (if applicable) over and above those described in Tasks 9.0 and 9.G are not included in this add services proposal. Final Deliverables: Interim Revisions to Housing Element (Approach Matrix - Excel, Housing Element - Word and PDF); Additional Housing Element Drafts (Word and PDF). (Not to exceed 112 hours as noted in the budget spreadsheet.) Optional Task 9.H: Public Hearings (2). LWC will attend and present at one Planning Commission hearing and one City Council hearing to adopt revisions to the Housing Element. LWC assumes attendance would be virtual. LWC also assumes that the City is responsible for preparing staff reports and the appropriate resolution text related to Housing Element Update edits. Final Deliverables: Planning Commission and City Council presentations (one each; PowerPoint) Contingency. A $24,000 contingency will provide for additional efforts required related to the integration of the MSSP Amendments into the scope of work and any other unanticipated efforts. 983 OSOS STREET, SAN LUIS OBISPO, CA 93401 (805) 5951345 LISANJISECONSULTING.COM 4 City of Seal Beach - Add Services V1 Prepared by Lisa Wise Consulting, Inc. July 28, 2023 Prindpal Director i Senior lead Associate GISSpedaDst Associate 295 195 179 ,- 1795250 Hours I T.... Hours_ Cost 40; 159,_, . _. Hours ! Cost 2i Cos_[ 55001 321--S6.240`._.._ So 1 moi.- 310 SOI o, 57,500 6 1,170,4 SOI i 40; 61 $930 80,I 2, SS00 16; 3,1201 So! 40; 16; $2,480 Eo; so 16' 3.120; sa so! 16; $2,480 0i s0{ 16' SU 20i S0 6 51,0501 40 56,200 41 $1,180: 16i 4,0001 40; S7,8001 t 20! S3,Socl W 60' $9,300 SOj 2 f0'- 371 SSA25i 40. 161_ _$2,480 80i 121183,0001 E0; 34 85,950 8! $1,400 30' 4,650 soj 161-_$4,0001 24i 54,680; SO 16r-_-._82_800! 32; $4,960 I 12; 53,5401 241 56,0001 601 i 11,7001 Sol soi 161 $2,480 t - 201I 53,100164,5001 121 $2,3401 16t 52,800I__-__--4295 78, t LISAWIS-01 MCHEW 1 CERTIFICATE OF LIABILITY INSURANCE DATE(MM/DD/YYYY) 8/1/2023 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 License # 0305584 Morris & Garritano Insurance Agency, Inc. PO Drawer 1189 San Luis Obispo, CA 93406 CONTANAME:CT 805) 53-6887 (AAic, No):(805) 543-3064ac°, No, E.,):4 E-MAIL 1fJq11RFR1q1AFFnRDING COVERAGE NAIC # INSURER A: Sentinel Insurance Company 11000 INSURED Lisa Wise Consulting, Inc. 983 Osos Street San Luis Obispo, CA 93401 INSURER B: Ohio Security Insurance Company 24082 INSURER C:Oak River Insurance Company 34630 INSURERD:Twin City Fire Insurance Company 29459 INSURER E : INSURER F TIFICATE NUMBER• REV15ION NUMt3Eh2: COVERAGES CER 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. ILTR TYPE OF INSURANCE ADDLIND SUBRWVD POLICY'NUMBER POLICY EFF MM/DD POLICY EXP M IDD LIMITS A X COMMERCIAL GENERAL LIABILITY 2'000'000 EACH OCCURRENCE S DAMAGETORENTEDEmisEs (Ea r S 1,000,000 CLAIMS -MADE ®OCCUR X 51SBABAS314 4/1/2023 4/1/2024 MED EXP An ane erson $ 10,000 PERSONAL&ADV INJURY S 2'000'000 GEN'L AGGREGATE LIMIT APPLIES PER: X POLICYjR& ,LOC GENERAL AGGREGATE. S 4'000'000 PRODUCTS -COMP/OPAGG $ 4'000'000 S JE aBGNdED SINGLE LIMIT S 1,000,000 B OTHER: AUTOMOBILE LIABILITY BODILY INJURY Per erson SXANYAUTOXBAS565247924/1/2023 4/1/2024 BODILY INJURY (Per accident) SOWNEDSCHEDULED AUTOS ONLY AUTOS WyNNARTOSONLYA& OSONLDY perm den DAMAGE S S UMBRELLA LIAB OCCUR EACH OCCURRENCE S AGGREGATE SEXCESSLIARCLAIMS -MADE DED I I RETENTIONS S C D D WORKERS COMPENSATION AND EMPLOYERS' LIABILITY ANY PROPRIETOR/PARTNER/EXECUTIVE Y OFFICER/MEMBER EXCLUDED? Mandatory in NH) If yes, describe under DESCRIPTION OF OPERATIONS below Professional Liab. Professional Liab. N /A LIWC422640 51 PGO28245723 51PG028245723 4/1/2023 4/1/2023 4/1/2023 4/1/2024 1 4/1/2024 4/1/2024 X PER OTH- TAT TE ER 1,000,000 E.L. EACH ACCIDENT S 1,000,000 E.L. DISEASE - EA EMPLOYEE S 1,000,000 E.L. DISEASE -POLICY LIMIT S Per Claim & Agg. 2,000,000 Deductible 5,000 DESCRIPTION OF OPERATIONS I LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, maybe attached if more space Is required) See form attached as triggered by written contract: GL: AIIPNC - SS0008 0405. AL: Al - AC8543 0821 City of Seal Beach Community Development Director 211 8th Street Seal Beach, CA 90740 ACORD 25 (2016103) SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE V 1700 -LU 1.7 M%I%JF\y............... ..._. The ACORD name and logo are registered marks of ACORD BUSINESS LIABILITY COVERAGE FORM 2. Applicable To Medical Expenses Coverage We will not pay expenses for "bodily injury": a. Any Insured To any insured, except "volunteer workers". b. Hired Person To a person hired to do work for or on behalf of any insured or a tenant of any insured. c. Injury On Normally Occupied Premises To a person injured on that part of premises you own or rent that the person normally occupies. d. Workers' Compensation And Similar Laws To a person, whether or not an employee" of any insured, if benefits for the "bodily injury" are payable or must be provided under a workers' compensation or disability benefits law or a similar law. e. Athletics Activities 51SBABA5314 e. A trust, you are an insured. Your trustees are also insureds, but only with respect to their duties as trustees. 2. Each of the following is also an insured: a. Employees And Volunteer Workers Your "volunteer workers" only while performing duties related to the conduct of your business, or your "employees"., other than either your "executive officers" (if you are an organization other than a partnership, joint venture or limited liability company) or your managers (if you are a limited liability company), but only for acts within the scope of their employment by you or while performing duties related to the conduct of your business. However, none of these "employees" or volunteer workers" are insureds for: 1) "Bodily injury" or "personal and advertising injury": Page 10 of 24 Form SS 00 08 04 05 To a person injured while practicing, a) To you, to your partners or instructing or participating in any physical members (if you are a partnership exercises or games, sports or athletic or joint venture), to your members contests. if you are a limited liability company), or to a co -"employee" f. Products -Completed Operations Hazard while in the course of his or her Included with the "products -completed employment or performing duties operations hazard". related to the conduct of your g. Business Liability Exclusions business, or to your other Excluded under Business Liability Coverage. volunteer workers" while performing duties related to the C. WHO IS AN INSURED conduct of your business; 1. If you are designated in the Declarations as: b) To the spouse, child, parent, a. An individual, you and your spouse are brother or sister of that co - insureds, but only with respect to the employee" or that "volunteer conduct of a business of which you are the worker" as a consequence of sole owner. Paragraph (1)(a) above; b. A partnership or joint venture, you are an c) For which there is any obligation insured. Your members, your partners, and to share damages with or repay their spouses are also insureds, but only with someone else who must pay respect to the conduct of your business. damages because of the injury described in Paragraphs (1)(a) or C. A limited liability company, you are an b) above; or insured. Your members are also insureds, but only with respect to the conduct of your d) Arising out of his or her providing business. Your managers are insureds, but or failing to provide professional only with respect to their duties as your health care services. managers. If you are not in the business of d. An organization other than a partnership, providing professional health care joint venture or limited liability company,, you services, Paragraph (d) does not apply are an insured. Your "executive officers" and to any nurse, emergency medical directors are insureds, but only with respect technician or paramedic employed by to their duties as your officers or directors. you to provide such services. Your stockholders are also insureds, but only 2) "Property damage" to property: with respect to their liability as stockholders. a) Owned, occupied or used by, Page 10 of 24 Form SS 00 08 04 05 b) Rented to, in the care, custody or control of, or over which physical control is being exercised for any purpose by you, any of your employees", "volunteer workers", any partner or member (if you are a partnership or joint venture), or any member (if you are a limited liability company). b. Real Estate Manager Any person (other than your "employee" or volunteer worker"), or any organization while acting as your real estate manager. c. Temporary Custodians Of Your Property Any person or organization having proper temporary custody of your property if you die, but only: 1) With respect to liability arising out of the maintenance or use of that property; and 2) Until your legal representative has been appointed. d. Legal Representative If You Die Your legal representative if you die, but only with respect to duties as such. That representative will have all your rights and duties under this insurance. e. Unnamed Subsidiary Any subsidiary and subsidiary thereof, of yours which is a legally incorporated entity of which you own a financial interest of more than 50% of the voting stock on the effective date of this Coverage Part. The insurance afforded herein for any subsidiary not shown in the Declarations as a named insured does not apply to injury or damage with respect to which an insured under this insurance is also an insured under another policy or would be an insured under such policy but for its termination or upon the exhaustion of its limits of insurance. 3. Newly Acquired Or Formed Organization Any organization you newly acquire or form, other than a partnership, joint venture or limited liability company, and over which you maintain financial interest of more than 50% of the voting stock, will qualify as a Named Insured if there is no other similar insurance available to that organization. However: a. Coverage under this provision is afforded only until the 180th day after you acquire or form the organization or the end of the policy period, whichever is earlier; and SISBABA5314 BUSINESS LIABILITY COVERAGE FORM b. Coverage under this provision does not apply to: 1) "Bodily injury" or "property damage" that occurred; or 2) "Personal and advertising injury" arising out of an offense committed before you acquired or formed the organization. 4. Operator Of Mobile Equipment With respect to "mobile equipment' registered in your name under any motor vehicle registration law, any person is an insured while driving such equipment along a public highway with your permission. Any other person or organization responsible for the conduct of such person is also an insured, but only with respect to liability arising out of the operation of the equipment, and only if no other insurance of any kind is available to that person or organization for this liability. However, no person or organization is an insured with respect to: a. "Bodily injury" to a co -"employee" of the person driving the equipment; or b. "Property damage" to property owned by, rented to, in the charge of or occupied by you or the employer of any person who is an insured under this provision. 5. Operator of Nonowned Watercraft With respect to watercraft you do not own that is less than 51 feet long and is not being used to carry persons for a charge, any person is an insured while operating such watercraft with your permission. Any other person or organization responsible for the conduct of such person is also an insured, but only with respect to liability arising out of the operation of the watercraft, and only if no other insurance of any kind is available to that person or organization for this liability. However, no person or organization is an insured with respect to: a. "Bodily injury" to a co -"employee" of the person operating the watercraft; or b. "Property damage" to property owned by, rented to, in the charge of or occupied by you or the employer of any person who is an insured under this provision. 6. Additional Insureds When Required By Written Contract, Written Agreement Or Permit The person(s) or organization(s) identified in Paragraphs a. through f. below are additional insureds when you have agreed, in a written Form SS 00 08 04 05 Page 11 of 24 BUSINESS LIABILITY COVERAGE FORM contract, written agreement or because of a permit issued by a state or political subdivision, that such person or organization be added as an additional insured on your policy, provided the injury or damage occurs subsequent to the execution of the contract or agreement, or the issuance of the permit. A person or organization is an additional insured under this provision only for that period of time required by the contract, agreement or permit. However, no such person or organization is an additional insured under this provision if such person or organization is included as an additional insured by an endorsement issued by us and made a part of this Coverage Part, including all persons or organizations added as additional insureds under the specific additional insured coverage grants in Section F. — Optional Additional Insured Coverages. a. Vendors Any person(s) or organization(s) (referred to below as vendor), but only with respect to bodily injury" or "property damage" arising out of "your products" which are distributed or sold in the regular course of the vendor's business and only if this Coverage Part provides coverage for "bodily injury" or property damage" included within the products -completed operations hazard". 1) The insurance afforded to the vendor is subject to the following additional exclusions: This insurance does not apply to: a) "Bodily injury" or "property damage" for which the vendor is obligated to pay damages by reason of the assumption of liability in a contract or agreement. This exclusion does not apply to liability for damages that the vendor would have in the absence of the contract or agreement; b) Any express warranty unauthorized by you; c) Any physical or chemical change in the product made intentionally by the vendor; d) Repackaging, except when unpacked solely for the purpose of inspection, demonstration, testing, or the substitution of parts under instructions from the manufacturer, and then repackaged in the original container; Page 12 of 24 51 SBABAS314 e) Any failure to make such inspections, adjustments, tests or servicing as the vendor has agreed to make or normally undertakes to make in the usual course of business, in connection with the distribution or sale of the products; f) Demonstration, installation, servicing or repair operations, except such operations performed at the vendor's premises in connection with the sale of the product; g) Products which, after distribution or sale by you, have been labeled or relabeled or used as a container, part or ingredient of any other thing or substance by or for the vendor; or h) "Bodily injury" or "property damage" arising out of the sole negligence of the vendor for its own acts or omissions or those of its employees or anyone else acting on its behalf. However, this exclusion does not apply to: i) The exceptions contained in Subparagraphs (d) or (f); or ii) Such inspections, adjustments, tests or servicing as the vendor has agreed to make or normally undertakes to make in the usual course of business, in connection with the distribution or sale of the products. 2) This insurance does not apply to any insured person or organization from whom you have acquired such products, or any ingredient, part or container, entering into, accompanying or containing such products. b. Lessors Of Equipment 1) Any person or organization from whom you lease equipment; but only with respect to their liability for "bodily injury", "property damage" or personal and advertising injury" caused, in whole or in part, by your maintenance, operation or use of equipment leased to you by such person or organization. Form SS 00 08 04 05 2) With respect to the insurance afforded to these additional insureds, this insurance does not apply to any occurrence" which takes place after you cease to lease that equipment. c. Lessors Of Land Or Premises 1) Any person or organization from whom you lease land or premises, but only with respect to liability arising out of the ownership, maintenance or use of that part of the land or premises leased to you. 2) With respect to the insurance afforded to these additional insureds, this insurance does not apply to: a) Any "occurrence" which takes place after you cease to lease that land or be a tenant in that premises; or 51SBABA5314 BUSINESS LIABILITY COVERAGE FORM e. Permits Issued By State Or Political Subdivisions 1) Any state or political subdivision, but only with respect to operations performed by you or on your behalf for which the state or political subdivision has issued a permit. 2) With respect to the insurance afforded to these additional insureds, this insurance does not apply to: a) "Bodily injury", "property damage" or "personal and advertising injury" arising out of operations performed for the state or municipality; or b) "Bodily injury" or "property damage" included within the "products - completed operations hazard". f. Any Other Party b) Structural alterations, new 1) Any other person or organization who construction or demolition is not an insured under Paragraphs a. operations performed by or on through e. above., but only with behalf of such person or respect to Ii ability for "bodily injury", organization. property damage" or "personal and d. Architects, Engineers Or Surveyors advertising injury" caused, in whole or 1) Any architect, engineer, or surveyor, but in part, by your acts or omissions or only with respect to liability for "bodily the acts or omissions of those acting injury", "property damage" or "personal on your behalf: and advertising injury" caused, in whole a) In the performance of your or in part, by your acts or omissions or ongoing operations; the acts or omissions of those acting on b) In connection with your premises your behalf: owned by or rented to you; or a) In connection with your premises; c) In connection with "your work" and or included within the "products - b) In the performance of your completed operations hazard", but ongoing operations performed by only if you or on your behalf. i) The written contract or written 2) With respect to the insurance afforded agreement requires you to to these additional insureds, the provide such coverage to following additional exclusion applies: such additional insured; and This insurance does not apply to ii) This Coverage Part provides bodily injury", "property damage" or coverage for "bodily injury" or personal and advertising injury" property damage" included arising out of the rendering of or the within the "products - failure to render any professional completed operations hazard". services by or for you, including: 2) With respect to the insurance afforded a) The preparing, approving, or to these additional insureds, this failure to prepare or approve, insurance does not apply to: maps, shop drawings, opinions, Bodily injury", "property damage" or reports, surveys, field orders, personal and advertising injury" change orders, designs or arising out of the rendering of, or the drawings and specifications; or failure to render, any professional b) Supervisory, inspection, architectural, engineering or surveying architectural or engineering services, including: activities. Form SS 00 08 04 05 Page 13 of 24 BUSINESS LIABILITY COVERAGE FORM a) The preparing, approving, or failure to prepare or approve, maps, shop drawings, opinions, reports, surveys, field orders, change orders, designs or drawings and specifications; or b) Supervisory, inspection, architectural or engineering activities. The limits of insurance that apply to additional insureds are described in Section D. — Limits Of Insurance. How this insurance applies when other insurance is available to an additional insured is described in the Other Insurance Condition in Section E. — Liability And Medical Expenses General Conditions. No person or organization is an insured with respect to the conduct of any current or past partnership, joint venture or limited liability company that is not shown as a Named Insured in the Declarations. D. LIABILITY AND MEDICAL EXPENSES LIMITS OF INSURANCE 1. The Most We Will Pay The Limits of Insurance shown in the Declarations and the rules below fix the most we will pay regardless of the number of: a. Insureds; b. Claims made or "suits" brought; or c. Persons or organizations making claims or bringing "suits". 2. Aggregate Limits The most we will pay for. a. Damages because of "bodily injury" and property damage" included in the products -completed operations hazard" is the Products -Completed Operations Aggregate Limit shown in the Declarations. b. Damages because of all other "bodily injury", "property damage" or "personal and advertising injury", including medical expenses, is the General Aggregate Limit shown in the Declarations. This General Aggregate Limit applies separately to each of your 'locations" owned by or rented to you. Location" means premises involving the same or connecting lots, or premises whose connection is interrupted only by a street, roadway or right-of-way of a railroad. SISBABA5314 This General Aggregate limit does not apply to "property damage" to premises while rented to you or temporarily occupied by you with permission of the owner, arising out of fire, lightning or explosion. 3. Each Occurrence Limit Subject to 2.a. or 2.b above, whichever applies, the most we will pay for the sum of all damages because of all "bodily injury", property damage" and medical expenses arising out of any one 'occurrence" is the Liability and Medical Expenses Limit shown in the Declarations. The most we will pay for all medical expenses because of "bodily injury" sustained by any one person is the Medical Expenses Limit shown in the Declarations. 4. Personal And Advertising Injury Limit Subject to 2.b. above, the most we will pay for the sum of all damages because of all personal and advertising injury" sustained by any one person or organization is the Personal and Advertising Injury Limit shown in the Declarations. 5. Damage To Premises Rented To You Limit The Damage To Premises Rented To You Limit is the most we will pay under Business Liability Coverage for damages because of property damage" to any one premises, while rented to you, or in the case of damage by fire, lightning or explosion, while rented to you or temporarily occupied by you with permission of the owner. In the case of damage by fire, lightning or explosion, the Damage to Premises Rented To You Limit applies to all damage proximately caused by the same event, whether such damage results from fire, lightning or explosion or any combination of these. 6. How Limits Apply To Additional Insureds The most we will pay on behalf of a person or organization who is an additional insured under this Coverage Part is the lesser of: a. The limits of insurance specified in a written contract, written agreement or permit issued by a state or political subdivision; or b. The Limits of Insurance shown in the Declarations. Such amount shall be a part of and not in addition to the Limits of Insurance shown in the Declarations and described in this Section. Page 14 of 24 Form SS 00 08 04 05 If more than one limit of insurance under this policy and any endorsements attached thereto applies to any claim or "suit", the most we will pay under this policy and the endorsements is the single highest limit of liability of all coverages applicable to such claim or "suit". However, this paragraph does not apply to the Medical Expenses limit set forth in Paragraph 3. above. The Limits of Insurance of this Coverage Part apply separately to each consecutive annual period and to any remaining period of less than 12 months, starting with the beginning of the policy period shown in the Declarations, unless the policy period is extended after issuance for an additional period of less than 12 months. In that case, the additional period will be deemed part of the last preceding period for purposes of determining the Limits of Insurance. E. LIABILITY AND MEDICAL EXPENSES GENERAL CONDITIONS 1. Bankruptcy Bankruptcy or insolvency of the insured or of the insured's estate will not, relieve us of our obligations under this Coverage Part. 2. Duties In The Event Of Occurrence, Offense, Claim Or Suit a. Notice Of Occurrence Or Offense You or any additional insured must see to it that we are notified as soon as practicable of an "occurrence" or an offense which may result in a claim. To the extent possible, notice should include: 1) How, when and where the "occurrence" or offense took place; 2) The names and addresses of any injured persons and witnesses; and 3) The nature and location of any injury or damage arising out of the occurrence" or offense. b. Notice Of Claim If a claim is made or "suit" is brought against any insured, you or any additional insured must: 1) Immediately record the specifics of the claim or "suit" and the date received; and 2) Notify us as soon as practicable. You or any additional insured must see to it that we receive a written notice of the claim or "suit" as soon as practicable. c. Assistance And Cooperation Of The Insured You and any other involved insured must: 51 SBABAS314 BUSINESS LIABILITY COVERAGE FORM 1) Immediately send us copies of any demands, notices, summonses or legal papers received in connection with the claim or "suit"; 2) Authorize us to obtain records and other information; 3) Cooperate with us in the investigation, settlement of the claim or defense against the "suit'; and 4) Assist us, upon our request, in the enforcement of any right against any person or organization that may be liable to the insured because of injury or damage to which this insurance may also apply. d. Obligations At The Insured's Own Cost No insured will, except at that insured's own cost, voluntarily make a payment, assume any obligation, or incur any expense, other than for first aid, without our consent. e. Additional Insured's Other Insurance If we cover a claim or "suit" under this Coverage Part that may also be covered by other insurance available to an additional insured, such additional insured must submit such claim or "suit" to the other insurer for defense and indemnity. However, this provision does not apply to the extent that you have agreed in a written contract, written agreement or permit that this insurance is primary and non-contributory with the additional insured's own insurance. f. Knowledge Of An Occurrence, Offense, Claim Or Suit Paragraphs a. and b. apply to you or to any additional insured only when such occurrence", offense, claim or "suit" is known to: 1) You or any additional insured that is an individual; 2) Any partner, if you or an additional insured is a partnership; 3) Any manager, if you or an additional insured is a limited liability company; 4) Any "executive officer" or insurance manager, if you or an additional insured is a corporation; 5) Any trustee, if you or an additional insured is a trust; or 6) Any elected or appointed official, if you or an additional insured is a political subdivision or public entity. Form SS 00 08 04 05 - Page 15 of 24 BUSINESS LIABILITY COVERAGE FORM This Paragraph f. applies separately to you and :any additional insured. 3. Financial Responsibility Laws a. When this policy is certified as proof of financial responsibility for the future under the provisions of any motor vehicle financial responsibility law, the insurance provided by the policy for "bodily injury" liability and "property damage" liability will comply with the provisions of the law to the extent of the coverage and limits of insurance required by that law. b. With respect to "mobile equipment" to which this insurance applies, we will provide any liability, uninsured motorists, underinsured motorists, no-fault or other coverage required by any motor vehicle law. We will provide the required limits for those coverages. 4. Legal Action Against Us No person or organization has a right under this Coverage Form: a. To join us as a party or otherwise bring us into a "suit" asking for damages from an insured; or b. To sue us on this Coverage Form unless all of its terms have been fully complied with. A person or organization may sue us to recover on an agreed settlement or on a final judgment against an insured; but we will not be liable for damages that are not payable under the terms of this insurance or that are in excess of the applicable limit of insurance. An agreed settlement means a settlement and release of liability signed by us, the insured and the claimant or the claimant's legal representative. S. Separation Of Insureds Except with respect to the Limits of Insurance, and any rights or duties specifically assigned in this policy to the first Named Insured, this insurance applies: a. As if each Named Insured were the only Named Insured; and b. Separately to each insured against whom a claim is made or "suit" is brought. 6. Representations a. When You Accept This Policy By accepting this policy, you agree: 1) The statements in the Declarations are accurate and complete; 2) Those statements are based upon representations you made to us; and 51 SBABA5314 3) We have issued this policy in reliance upon your representations. b. Unintentional Failure To Disclose Hazards If unintentionally you should fail to disclose all hazards relating to the conduct of your business at the inception date of this Coverage Part, we shall not deny any coverage under this Coverage Part because of such failure. 7. Other Insurance If other valid and collectible insurance is available for a loss we cover under this Coverage Part, our obligations are limited as follows: a. Primary Insurance This insurance is primary except when b. below applies. If other insurance is also primary, we will share with all that other insurance by the method described in c. below. b. Excess Insurance This insurance is excess over any of the other insurance, whether primary, excess, contingent or on any other basis: 1) Your Work That is Fire, Extended Coverage, Builder's Risk, Installation Risk or similar coverage for "your work'; 2) Premises Rented To You That is fire, lightning or explosion insurance for premises rented to you or temporarily occupied by you with permission of the owner; 3) Tenant Liability That is insurance purchased by you to cover your liability as a tenant for property damage" to premises rented to you or temporarily occupied by you with permission of the owner; 4) Aircraft, Auto Or Watercraft If the loss arises out of the maintenance or use of aircraft, "autos" or watercraft to the extent not subject to Exclusion g. of Section A. — Coverages. 5) Property Damage To Borrowed Equipment Or Use Of Elevators If the loss arises out of "property damage" to borrowed equipment or the use of elevators to the extent not subject to Exclusion k. of Section A. — Coverages. Page 16 of 24 Form SS 00 08 04 05 6) When You Are Added As An Additional Insured To Other Insurance That is other insurance available to you covering liability for damages arising out of the premises or operations, or products and completed operations, for which you have been added as an additional insured by that insurance; or 7) When You Add Others As An Additional Insured To This Insurance That is other insurance available to an additional insured. However, the following provisions apply to other insurance available to any person or organization who is an additional insured under this Coverage Part: a) Primary Insurance When Required By Contract This insurance is primary if you have agreed in a written contract, written agreement or permit that this insurance be primary. If other insurance is also primary, we will share with all that other insurance by the method described in c. below. b) Primary And Non -Contributory To Other Insurance When Required By Contract If you have agreed in a written contract, written agreement or permit that this insurance is primary and non-contributory with the additional insured's own insurance, this insurance is primary and we will not seek contribution from that other insurance. Paragraphs (a) and (b) do not apply to other insurance to which the additional insured has been added as an additional insured. When this insurance is excess, we will have no duty under this Coverage Part to defend the insured against any "suit" if any other insurer has a duty to defend the insured against that "suit". If no other insurer defends, we will undertake to do so, but we will be entitled to the insured's rights against all those other insurers. 51SBABA5314 BUSINESS LIABILITY COVERAGE FORM When this insurance is excess over other insurance, we will pay only our share of the amount of the loss, if any, that exceeds the sum of: 1) The total amount that all such other insurance would pay for the loss in the absence of this insurance; and 2) The total of all deductible and self- insured amounts under all that other insurance. We will share the remaining loss, if any, with any other insurance that is not described in this Excess Insurance provision and was not bought specifically to apply in excess of the Limits of Insurance shown in the Declarations of this Coverage Part. c. Method Of Sharing If all the other insurance permits contribution by equal shares, we will follow this method also. Under this approach, each insurer contributes equal amounts until it has paid its applicable limit of insurance or none of the loss remains, whichever comes first. If any of the other insurance does not permit contribution by equal shares, we will contribute by limits. Under this method, each insurer's share is based on the ratio of its applicable limit of insurance to the total applicable limits of insurance of all insurers. 8. Transfer Of Rights Of Recovery Against Others To Us a. Transfer Of Rights Of Recovery If the insured has rights to recover all or part of any payment, including Supplementary Payments, we have made under this Coverage Part, those rights are transferred to us. The insured must do nothing after loss to impair them. At our request, the insured will bring "suit" or transfer those rights to us and help us enforce them. This condition does not apply to Medical Expenses Coverage. b. Waiver Of Rights Of Recovery (Waiver Of Subrogation) If the insured has waived any rights of recovery against any person or organization for all or part of any payment, including Supplementary Payments, we have made under this Coverage Part, we also waive that right, provided the insured waived their rights of recovery against such person or organization in a contract, agreement or permit that was executed prior to the injury or damage. Form SS 00 08 04 05 Page 17 of 24 4 BAS56524792 COMMERCIAL AUTO AC 85 43 08 21 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. CALIFORNIA BUSINESS AUTO COVERAGE ENHANCEMENT ENDORSEMENT This endorsement modifies insurance provided under the following: BUSINESS AUTO COVERAGE FORM With respect to coverage afforded by this endorsement, the provisions of the policy apply unless modified by the endorsement. If the policy to which this endorsement is attached also contains a Business Auto Coverage Enhancement Endorsement with a specific state named in the title, this endorsement does not apply to vehicles garaged in that specified state. COVERAGEINDEX SUBJECT PROVISION NUMBER ACCIDENTAL AIRBAG DEPLOYMENT 12 ADDITIONAL INSURED BY CONTRACT, AGREEMENT OR PERMIT 3 AMENDED DUTIES IN THE EVENT OF ACCIDENT, CLAIM, SUIT OR LOSS 20 AMENDED FELLOW EMPLOYEE EXCLUSION 5 AUDIO, VISUAL AND DATA ELECTRONIC EQUIPMENT COVERAGE 14 BODILY INJURY REDEFINED 24 EMPLOYEES AS INSUREDS (Including Employee Hired Auto) 2 EXTRA EXPENSE -BROADENED COVERAGE 10 GLASS REPAIR- WAIVER OF DEDUCTIBLE 16 HIRED AUTO COVERAGE TERRITORY 22 HIRED AUTO PHYSICAL DAMAGE (Including Employee Hired Auto) 6 LOAN / LEASE GAP (Coverage Not Available In New York) 15 NEWLY FORMED OR ACQUIRED SUBSIDIARIES 1 PARKED AUTO COLLISION COVERAGE (WAIVER OF DEDUCTIBLE) 17 PERSONAL EFFECTS COVERAGE 11 PHYSICAL DAMAGE - ADDITIONAL TRANSPORTATION EXPENSE. COVERAGE 8 PHYSICAL DAMAGE DEDUCTIBLE -VEHICLE TRACKING SYSTEM 13 PRIMARY AND NON-CONTRIBUTORY - WRITTEN CONTRACT OR WRITTEN AGREEMENT 23 RENTAL REIMBURSEMENT 9 SUPPLEMENTARY PAYMENTS 4 TOWING AND LABOR 7 TWO OR MORE DEDUCTIBLES 18 UNINTENTIONAL FAILURE TO DISCLOSE HAZARDS 19 WAIVER OF TRANSFER OF RIGHTS OF RECOVERYAGAINST OTHERS TO US 21 SECTION 11- LIABILITY COVERAGE is amended as follows: 1. NEWLY FORMED OR ACQUIRED SUBSIDIARIES SECTION 11 - LIABILITY COVERAGE, Paragraph A.I. Who Is An Insured is amended to include the following as an "insured": d. Any legally incorporated subsidiary of which you own more than 50 percent interest during the policy period. Coverage is afforded only for 90 days from the date of acquisition or formation. However, "insured" does not include any organization that: 1) Is a partnership or joint venture; or 2) Is an "insured" under any other automobile policy except a policy written specificall y to apply in excess of this policy; or 3) Has exhausted its Limit of Insurance or had its policy terminated under any other automobile policy. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 1 of 7 BAS56524792 Coverage under this provision d. does not apply to "bodily injury" or "property damage" that occurred before you acquired or -formed the organization. 2. EMPLOYEES AS INSUREDS SECTION 11 - LIABILITY COVERAGE, Paragraph A.I. Who Is An Insured is amended to include the following as an "insured": e. Any "employee" of yours while using a covered "auto" you do not own, hire or borrow but only for acts within the scope of their employment by you. Insurance provided by this endorsement is excess over any other insurance available to any "employee". f. Any "employee" of yours while operating an "auto" hired or borrowed under a written contract or agreement in that "employee's" name, with your permission, while performing duties related to the conduct of your business and within the scope of their employment. Insurance provided by this endorsement is excess over any other insurance available to the "employee". ADDITIONAL INSURED BY CONTRACT, AGREEMENT OR PERMIT SECTION II - LIABILITY COVERAGE, Paragraph A.1. Who Is An Insured is amended to include the following as an "insured": ' g. Any person or organization with respect to the operation, maintenance or use of a covered "auto", provided that you and such person or organization have agreed in a written contract, written agreement, or permit issued to you by governmental or public authority, to add such person, or organization, or governmental or public authority to this policy as an "insured". However, such person or organization is an "insured": 1) Only with respect to the operation, maintenance or use of a covered "auto'; caused by an "accident" which takes place after agreement, or the permit has been issued to you; 2) Only for "bodily injury" or "property damage you executed the written contract or written and 3) Only for the duration of that contract, agreement or permit. The "insured" is required to submit a claim to any other insurer to which coverage could apply for defense and indemnity. Unless the "insured" has agreed in writing to primary noncontributory wording per enhancement number 23, this policy is excess over any other collectible insurance. 4. SUPPLEMENTARY PAYMENTS SECTION II - LIABILITY COVERAGE, Coverage Extensions, 2.a. Supplementary Payments, Paragraphs 2) and (4) are replaced by the following: 2) Up to $3,000 for cost of bail bonds (including bonds for related traffic violations ) required because of an "accident" we cover. We do not have to. furnish these bonds. 4) All reasonable expenses incurred by the "insured" at our request, including actual loss of earnings up to $500 a day because of time off from work. 5. AMENDED FELLOW EMPLOYEE EXCLUSION In those jurisdictions where, by law, fellow "employees" are not entitled to the protection afforded to the employer by the workers compensation exclusivity rule, or similar protection, the following provi- sion is added: SECTION II - LIABILITY, Exclusion B.5. Fellow Employee does not apply if the "bodily injury" results from the use of a covered "auto" you own or hire if you have workers compensation insurance in force for all of your "employees" at the time of "loss". This coverage is excess over any other collectible insurance. SECTION III - PHYSICAL DAMAGE COVERAGE is amended as follows: 6. HIRED AUTO PHYSICAL DAMAGE Paragraph A.4. Coverage Extensions of SECTION III - PHYSICAL DAMAGE COVERAGE, is amended by adding the following: If hired "autos" are covered "autos" for Liability Coverage, and if Comprehensive, Specified Causes of Loss or Collision coverage are provided under the Business Auto Coverage Form for any "auto" you own, then the Physical Damage coverages provided are extended to "autos": 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 2 of 7 BAS56524792 a. You hire, rent or borrow; or b. Your "employee" hires or rents under a written contract or agreement in that "e'mployee's" name, but only if the damage occurs while the vehicle is being used in the conduct of your business, subject to the following limit and deductible: a. The most we will pay for "loss" in any one "accident" or "loss" is the smallest of: 1) $50,000; or 2) The actual cash value of the damaged or stolen property as of the time of the "loss'; or 3) The cost of repairing or replacing the damaged or stolen property with other property of like kind and quality, minus a deductible. b. The deductible will be equal to the largest deductible applicable to any owned "auto" for that coverage. c. Subject to the limit, deductible and excess provisions described in this provision, we will provide coverage equal to the broadest coverage applicable to any covered "auto" you own. d. Subject to a maximum of $1,000 per "accident", we will also cover the actual loss of use of the hired "auto" if it results from an "accident", you are legally liable and the lessor incurs an actual financial loss. e. This coverage extension does not apply to: 1) Any "auto" that is hired, rented or borrowed with a driver; or 2) Any "auto" that is hired, rented or borrowed from your "employee" or any member of your employee's" household. Coverage provided under this extension is excess over any other collectible insurance available at the time of "loss". 7. TOWING AND LABOR SECTION III - PHYSICAL DAMAGE COVERAGE, Paragraph A.2. Towing, is amended by the addition of the following: We will pay towing and labor costs incurred, up to the limits shown below, each time a covered "auto" classified and rated as a private passenger type, "light truck" or "medium truck" is disabled: a. For private passenger type vehicles, we will pay up to $75 per disablement. b. For "light trucks", we will pay up to $75 per disablement. "Light trucks" are trucks that have a gross vehicle weight (GVW) of 10,000 pounds or less. c. For "medium trucks", we will pay up to $150 per disablement. "Medium trucks" are trucks that have a gross vehicle weight (GVW) of 10,001 - 20,000 pounds. However, the labor must be performed at the place of disablement. a 8. PHYSICAL DAMAGE -ADDITIONAL TRANSPORTATION EXPENSE COVERAGE Paragraph A.4.a. Coverage Extensions, Transportation Expenses of SECTION III - PHYSICAL DAMAGE COVERAGE, is amended to provide a limit of $50 per day and a maximum limit of $1,500. 9. RENTAL REIMBURSEMENT SECTION III - PHYSICAL DAMAGE COVERAGE, A. Coverage, is amended by adding the following: a. We will pay up to $75 per day for rental reimbursement expenses incurred by you for the rental of an "auto" because of "accident" or "loss", to an "auto" for which we also pay a "loss" under Comprehensive, Specified Causes of Loss or Collision Coverages. We will pay only for those ex- penses incurred after the first 24 hours following the "accident" or "loss" to the covered "auto." b. Rental Reimbursement requires the rental of a comparable or lesser vehicle, which in many cases may be substantially less than $75 per day, and will only be allowed for the period of time it should take to repair or replace the vehicle with reasonable speed and similar quality, up to a maximum of 30 days. c. We will also pay up to $500 for reasonable and necessary expenses incurred by you to remove and replace your tools and equipment from the covered "auto". This limit is excess over any other collectible insurance. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 3 of 7 BAS56524792 d. This coverage does not apply unless you have a business necessity that other "autos" available for your use and operation cannot fill. e. If "loss" results from the total theft of a covered "auto" of the private passenger type, we will pay under this coverage only that amount of your rental reimbursement expenses which is not already provided under Paragraph 4. Coverage Extension. f. No deductible applies to this coverage. g. The insurance provided under this extension is excess over any other collectible insurance. If this policy also provides Rental Reimbursement Coverage you purchased, the coverage provided by this Enhancement Endorsement is in addition to the coverage you purchased. For the purposes of this endorsement provision, materials and equipment do not include "personal effects" as defined in provision 11.B. 10. EXTRA EXPENSE - BROADENED COVERAGE Under SECTION 111 - PHYSICAL DAMAGE COVERAGE, A. Coverage, we will pay for the expense of returning a stolen covered "auto" to you. The maximum amount we will pay is $1,000. 11. PERSONAL EFFECTS COVERAGE A. SECTION III PHYSICAL DAMAGE COVERAGE, A. Coverage, is amended by adding the following: if you have purchased Comprehensive Coverage on this policy for an "auto" you own and that auto" is stolen, we will pay, without application of a deductible, up to $600 for "personal effects" stolen with the "auto." The insurance provided under this 'provision is excess over any other collectible insurance. B. SECTION V - DEFINITIONS is amended by adding the following: For the purposes of this provision, "personal effects" mean tangible property that is wom or carried by an "insured." "Personal effects" does not include tools, equipment, jewelry, money or securi- ties. 12. ACCIDENTAL AIRBAG DEPLOYMENT SECTION Ili - PHYSICAL DAMAGE COVERAGE, B. Exclusions is amended by adding the following: If you have purchased Comprehensive or Collision Coverage under this policy, the exclusion for "loss" relating to mechanical breakdown does not apply to the accidental discharge of an airbag. Any insurance we provide shall be excess over any other collectible insurance or reimbursement by manufacturer's warranty. However, we agree to pay any deductible applicable to the other coverage or warranty. 13. PHYSICAL DAMAGE DEDUCTIBLE -VEHICLE TRACKING SYSTEM SECTION Ill - PHYSICAL DAMAGE COVERAGE, D. Deductible , is amended by adding the following: Any Comprehensive Deductible shown in the Declarations will be reduced by 50% for any "loss" caused by theft if the vehicle is equipped with a vehicle tracking device such as a radio tracking device or a global position device and that device was the method, of recovery of the vehicle. 14. AUDIO, VISUAL AND DATA ELECTRONIC EQUIPMENT COVERAGE SECTION 111 - PHYSICAL DAMAGE COVERAGE, B. Exclusions, Paragraph a. of the exception to exclu- sions 4.c. and 4.d. is deleted and replaced with the following: Exclusions 4.c. and 4.d. do not apply to: a. Electronic equipment that receives or transmits audio, visual or data signals, whether or- net de- signed solely for the reproduction of sound, if the equipment is: 1) Permanently installed in the covered "auto" at the time of the "loss" or removable from a housing unit that is permanently installed in the covered "auto'; and 2) Designed to be solely operated by use from the power from the "auto's" electrical system; and 3) Physical damage coverages are provided for the covered "auto". If the "loss" occurs solely to audio, visual or data electronic equipment or accessories used with this equipment, then our obligation to pay for, repair, return or replace damaged or stolen property will be reduced by a $100 deductible. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 4 of 7 BAS56524792 15. LOAN / LEASE GAP COVERAGE (Not Applicable In New York) A- Paragraph C. Limit Of Insurance of SECTION 111 - PHYSICAL DAMAGE COVERAGE is amended by adding the following: The most we will pay for a "total loss" to a covered "auto" owned by or leased to you in any one accident" is the greater of the: 1. Balance due under the terms of the loan or lease to which the damaged covered "auto" is subject at the time of the "loss" less the amount of: a. Overdue payments and financial penalties associated with those payments as of the date of the 'loss'; b. Financial penalties imposed under a lease due to high mileage, excessive use or abnormal wear and tear; c. Costs for extended warranties, Credit Life Insurance, Health, Accident or Disability Insur- ance purchased with the loan or lease; d. Transfer or rollover balances from previous loans or leases; e. Final payment due under a "Balloon Loan"; f. The dollar amount of any unrepaired damage which occurred prior to the "total loss" of a covered "auto'; g. Security deposits not refunded by a lessor;. h. All refunds payable or paid to you as a result of the early termination of a lease agreement or as a result of the early termination of any warranty or extended service agreement on a covered "auto'; i. Any amount representing taxes; j. Loan,or lease termination fees; or 2. The actual cash value of the damage or stolen property as of the time of the 'loss". An adjustment for depreciation and physical condition will be made in determining the actual cash value at the time of the 'loss". This adjustment is not applicable in Texas. B. Additional Conditions This coverage applies only to the original loan for which the covered "auto" that incurred the loss" serves as collateral, or lease written on the covered ",auto" that incurred the 'loss". C. SECTION V - DEFINITIONS is changed by adding the following: As used in this endorsement provision, the following definitions apply: Total loss" means a 'loss" in which the cost of repairs plus the salvage value exceeds the actual cash value. A "balloon loan" is one with periodic payments that are insufficient to repay the balance over the term of the loan, thereby requiring a large final payment. 16. GLASS REPAIR- WAIVER OF DEDUCTIBLE Paragraph D. Deductible of SECTION 111 - PHYSICAL DAMAGE COVERAGE is amended by the addition of the following: No deductible applies to glass damage if the glass is repaired rather than replaced. 17. PARKED AUTO COLLISION COVERAGE (WAIVER OF DEDUCTIBLE) Paragraph D. Deductible of SECTION III - PHYSICAL DAMAGE COVERAGE is amended by the addition of the following: The deductible does not apply to 'loss" caused by collision to such covered "auto" of the private passenger type or light weight truck with a gross vehicle weight of 10,000 lbs. or less as defined by the manufacturer as maximum loaded weight the "auto" is designed to carry while it is: a. In the charge of an "insured'; b. Legally parked; and c. Unoccupied. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 5 of 7 BAS56524792 The "loss" must be reported to the police authorities within 24 hours of known damage. The total amount of the damage to the covered "auto" must exceed the deductible shown in the Declarations. This provision does not apply to any "loss" if the covered "auto" is in the charge of any person or organization engaged in the automobile business. 18. TWO OR MORE DEDUCTIBLES Under SECTION 111 - PHYSICAL DAMAGE COVERAGE, if two or more company policies or coverage forms apply to the same "accident", the following applies to Paragraph D. Deductible a. If the applicable Business Auto deductible is the smaller (or smallest) deductible, it will be waived; or b. If the applicable Business Auto deductible is not the smaller (or smallest) deductible , it will be reduced by the amount of the smaller (or smallest) deductible; or c. If the "loss" involves two or more Business Auto coverage forms or policies, the smaller (or smallest) deductible will be waived. For the purpose of this endorsement, company means any company that is part of the Liberty Mutual Group. SECTION IV - BUSINESS AUTO CONDITIONS is amended as follows: 19. UNINTENTIONAL FAILURE TO DISCLOSE HAZARDS SECTION IV- BUSINESS AUTO CONDITIONS , Paragraph B.2. is amended by adding the following: If you unintentionally fail to disclose any hazards, exposures or material facts existing as of the incep- tion date or renewal date of the Business Auto Coverage Form, the coverage afforded by this policy will not be prejudiced. However,, you must report the undisclosed hazard of exposure as soon as practicable after its discovery, and we have the right to collect additional premium for any such hazard or exposure. 20. AMENDED DUTIES IN THE EVENT OF ACCIDENT, CLAIM, SUIT OR LOSS SECTION IV - BUSINESS AUTO CONDITIONS , Paragraph A.2.a. is replaced in its entirety by the follow- ing: a. In the event of "accident", claim, "suit" or "loss", you must promptly notify us when it is known to: 1) You, if you are an individual; 2) A partner, if you are a partnership; 3) Member, if you are a limited liability company; 4) An executive officer or the "employee" designated by the Named Insured to give such notice, if you are a corporation. To the extent possible, notice to us should include: a) How, when and where the "accident" or "loss" took place; b) The "insured's" name and address; and c) The names and addresses of any injured persons and witnesses. 21. WAIVER OF TRANSFER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US SECTION IV - BUSINESS AUTO CONDITIONS , Paragraph A.5. Transfer Of Rights Of Recovery Against Others To Us, is amended by the addition of the following: If the person or organization has in a written agreement waived those rights before an "accident" or loss", our rights are waived also. 22. HIRED AUTO COVERAGE TERRITORY SECTION IV - BUSINESS AUTO CONDITIONS , Paragraph B.7. Policy Period, Coverage Territory, is amended by the addition of the following: f. For "autos" hired 30 days or less, the coverage territory is anywhere in the world, provided that the insured's" responsibility to pay for damages is determined in a "suit", on the merits, in the United States, the territories and possessions of the United States of America, Puerto Rico or Canada or in a settlement we agree to. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 6 of 7 a BAS56524792 This extension of coverage does not apply to an "auto" hired, leased, rented or borrowed with a driver. 23. PRIMARY AND NON-CONTRIBUTING IF REQUIRED BY WRITTEN CONTRACT OR WRITTEN AGREE- MENT The following is added to SECTION IV - BUSINESS AUTO CONDITIONS, General Conditions, B.5. Other Insurance and supersedes any provision to the contrary: This Coverage Form's Covered Autos Liability Coverage is primary to and will not seek contribution from any other insurance available to an "insured" under your policy provided that: 1. Such "insured" is a Named Insured under such other insurance; and 2. You have agreed in a written contract or written agreement that this insurance would be primary and would not seek contribution from any other insurance available to such "insured". SECTION V - DEFINITIONS is amended as follows: 24. BODILY INJURY REDEFINED Under SECTION V - DEFINITIONS, Definition C. is replaced by the following: Bodily injury" means physical injury, sickness or disease sustained by a person, -including mental anguish, mental injury, shock, fright or death resulting from any of these at any time. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 7 of 7 PROFESSIONAL SERVICES AGREEMENT for A Zoning Code Update to Implement the 2021 — 2029 Housing Element between 1404 SEA( 8 fc =\pRPOR414CN' f/341, 00 i!* oi • I4 F h UNTNCQ, City of Seal Beach 211 - 8th Street Seal Beach, CA 90740 Lisa Wise Consulting, Inc. 983 Osos Street San Luis Obispo, CA 93401 805) 595-1345 This Professional Service Agreement ("the Agreement") is made as of March 11, 2024 to be effective as of March 1, 2024 (the "Effective Date"), by and between Lisa Wise Consulting, Inc., a California Corporation ("Consultant"), and the City of Seal Beach City"), a California charter city, (collectively, "the Parties"). City of Seal Beach Professional Services Agreement RECITALS A. City desires certain professional services related to revising and updating portions of Title 11 of the Municipal Code (known as the "Zoning Code") to implement the 2021-2029 Housing Element. B. Pursuant to the authority provided by its City Charter and Seal Beach Municipal Code § 3.20.025(C), City issued a solicitation for the zoning code professional services to be performed. C. Consultant represents that the principal members of its firm are licensed and registered professionals with expertise in developing zoning code regulations 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 Consultant as an independent contractor and Consultant desires to serve City to perform those professional 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 Consultant's Services 1.1. Scope of Services. In compliance with all terms, conditions and provisions of this Agreement, Consultant shall provide those professional services (collectively "Services") set forth in the "Scope of Services" attached hereto as Exhibit A and incorporated herein by this reference, all to City's reasonable satisfaction. 1.2. Agreement Documents; Order of Precedence. 1 .2.1. The Agreement Documents include this Agreement itself, and the "Scope of Services", Exhibit A, includes the Proposal, which is incorporated herein by this reference, together with any additional City standards or specifications or requirements set forth therein. 1 .2.2. In the event of any inconsistency or conflict between this Agreement and any Exhibit or incorporated documents, the order of precedence shall be as follows: (i) this Agreement; and then (ii) Exhibit A; and then (iii) Exhibit B (Terms for Compliance with California Labor Law Requirements); and then (iv) Exhibit C (if any); and then (v) Exhibit D (if any); and then (vi) the RFP; and then (vii) the Proposal, shall govern. In the event there is any conflict 2 of 21 City of Seal Beach Professional Services Agreement between the Agreement, on the one hand, and any of the Exhibits, the RFP or the Proposal on the other hand, the Agreement shall govern. 1 .3. Standard of Care. As a material inducement to City to enter into this Agreement, Consultant hereby represents that it has the experience necessary to undertake the Services to be provided. In light of such status and experience, Consultant hereby covenants that it shall follow the customary professional standards in performing all Services. The City relies upon the skill of Consultant, and Consultant's staff, if any, to do and perform the Services in a skillful, competent, and professional manner, and Consultant and Consultant's staff, shall perform the Services in such manner. Consultant shall, at all times, meet or exceed any and all applicable professional standards of care generally exercised by like professionals under similar circumstances and in a manner reasonably satisfactory to City. The acceptance of Consultant's work by the City shall not operate as a release of Consultant from such standard of care and workmanship. 1.4. Familiarity with Services. By executing this Agreement, Consultant represents that, to the extent required by the standard of practice, Consultant (i) has investigated and considered the scope and level of services to be performed, ii) has carefully considered how the Services should be performed, and (iii) understands the facilities, difficulties and restrictions attending performance of the Services under this Agreement. Consultant represents that Consultant, to the extent required by the standard of practice, has investigated any areas of work, as applicable, and is reasonably acquainted with the conditions therein. Should Consultant discover any latent or unknown conditions, which will materially affect the performance of services, Consultant shall immediately inform City of such fact and shall not proceed except at Consultant's risk until written instructions are received from City's Representative. 1.5. Compliance with Laws. In performing this Agreement, Consultant shall comply with all applicable provisions of federal, state, and local law... 1.6. Additional Services. Consultant 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 . Original Term. The term of this Agreement shall commence on March 1, 2024 and shall remain in full force and effect until February 28, 2025 unless sooner terminated as provided in Section 5.0 of this Agreement. 3 of 21 City of Seal Beach Professional Services Agreement 3.0 Consultant's Compensation 3.1. City will pay Consultant 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 $19,400.00 (nineteen thousand four hundred dollars) for the original Term. 4.0 Method of Payment 4.1. Consultant 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 Consultant within 30 days of receiving Consultant's invoice. City will not withhold any applicable federal or state payroll and other required taxes, or other authorized deductions from payments made to Consultant. 4.2. Upon 24-hour notice from City, Consultant shall allow City or City's agents or representatives to inspect at Consultant's offices during reasonable business hours all records, invoices, time cards, cost control sheets and other records maintained by Consultant 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. Termination by City. 5.1.1. This Agreement may be terminated by City, without cause, upon giving Consultant written notice thereof not less than 30 days prior to the date of termination. 5.1.2. This Agreement may be terminated by City upon 10 days' notice to Consultant if Consultant 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. 5.2. Termination by Consultant. This Agreement may be terminated by Consultant based on reasonable cause, by serving written notice of termination to City, provided that Consultant has first City with a written notice of default and demand to cure, and City has failed to cure such default within 30 days of receipt of such notice. 4 of 21 City of Seal Beach Professional Services Agreement 5.3. Obligations Upon Termination. Unless otherwise specified in the notice of termination, Consultant shall cease all work under this Agreement immediately upon receipt of notice of termination from City under Subsection 5.1, or immediately upon City's acknowledgment of receipt of Consultant's notice of termination to City under Subsection 5.1. Upon termination, City shall be immediately given title to and possession of all Work Product (as defined in Subsection 11.1 of this Agreement) and all other documents, writings, and/or deliverables produced or developed pursuant to this Agreement. Provided that Consultant is not then in breach, City shall pay Consultant for any portion of the Services completed prior to termination, based on the reasonable value of the Services rendered. If said termination occurs prior to completion of any specific task for which a payment request has not been received, the charge for Services performed shall be the reasonable value of such Services, based on an amount agreed to by City and Consultant. City shall not be liable for any costs other than the charges or portions thereof which are specified herein. In no event shall Consultant be entitled to payment for unperformed services or services within the Scope of Services performed prior to the effective date of this Agreement; and Consultant shall not be entitled to receive more than the amount that would be paid to Consultant for the full performance of the Services up to date of termination. Consultant shall have no other claim against City by reason of such termination, including any claim for compensation or damages. 6.0 Party Representatives 6.1. The City Manager is the City's representative for purposes of this Agreement. 6.2. Lisa Wise is the Consultant's primary representative for purposes of this Agreement. Lisa Wise shall be responsible during the term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise the Services hereunder. Consultant 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 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 5 of 21 City of Seal Beach Professional Services Agreement To Consultant: Lisa Wise Consulting, Inc. 983 Osos Street San Luis Obispo, CA 93401 Attn: David Bergman 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 Consultant and all of Consultant'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. Consultant 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 Consultant or by Consultant's employees or other personnel under Consultant's supervision. Consultant will determine the means, methods, and details by which Consultant's employees and other personnel will perform the Services. Consultant 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 Consultant's employees and other personnel performing any of the Services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Consultant and Consultant's personnel shall not supervise any of City's employees; and City's employees shall not supervise Consultant's personnel. Consultant'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 Consultant'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. Consultant shall acquire and maintain at its sole cost and expense such vehicles, equipment and supplies as Consultant's personnel require to perform any of the Services required by this Agreement. Consultant shall perform all Services off of City premises at locations of Consultant's choice, except (i) as otherwise required for the performance of Services on City real property, vehicles or equipment; (ii) as otherwise may from time to time be necessary in order for Consultant's personnel to receive projects from City, review plans on file at City, pick up or deliver any work product related to Consultant's performance of any Services under this Agreement, or (iii) as may be necessary to inspect or visit City locations and/or private property to perform 6 of 21 City of Seal Beach Professional Services Agreement such Services. City may make a computer available to Consultant from time to time for Consultant's personnel to obtain information about or to check on the status of projects pertaining to the Services under this Agreement. 9.3. Consultant shall be responsible for and pay all wages, salaries, benefits and other amounts due to Consultant's personnel in connection with their performance of any Services under this Agreement and as required by law. Consultant 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, Consultant 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. Consultant shall defend, indemnify and hold harmless City, its elected and appointed officials, officers, employees, servants, volunteers, and those City 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 Consultant'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 Consultant under this Agreement any amount due to City from Consultant as a result of Consultant's failure to promptly pay to City any reimbursement or indemnification arising under this Section. This duty of indemnification is in addition to Consultant's duty to defend, indemnify and hold harmless as set forth in any other provision of this Agreement. Consultant's covenants and obligations under this Section shall survive the expiration or termination of this Agreement. 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. Consultant agrees that, in providing its employees and any other personnel to City to perform any work or other Services under this Agreement, Consultant shall assure compliance with the Public Employees' Retirement Law ("PERL"), commencing at Government Code § 20000, as amended by the Public 7 of 21 City of Seal Beach Professional Services Agreement Employees' Pension Reform Act of 2013 ("PEPRA"),. and the regulations of PERS, as amended from time to time. Without limitation to the foregoing, Consultant 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. To the maximum extent permitted by law, Consultant shall defend, indemnify and hold harmless City, its City, its elected and appointed officials, officers, employees, servants, volunteers, and those City 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 Consultant's violation of any provisions of this Section 10.0. This duty of indemnification is in addition to Consultant's duty to defend, indemnify and hold harmless as set forth in any other provision of this Agreement. Consultant's covenants and obligations under this Section shall survive the expiration or termination of this Agreement. 11 .0 Ownership of Work Product 11.1. Unless otherwise agreed upon in writing, all field notes and other notes, draft and final reports, drawings, specifications, data, surveys, studies, plans, maps, models, specifications, photographs, images, images, ideas, concepts, designs including but not limited to website designs, source code, object code, computer files, electronic data and/or files, other media of any kind whatsoever, and any other documents and written material of any kind, created, developed or used by Consultant in the performance of this Agreement collectively "Work Product") shall be considered "works made for hire," for the benefit of City. Upon completion of, or in the event of termination or expiration of this Agreement, all Work Product 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 upon final payment being made in accordance with Subsection 5.3, and may be used, reused or otherwise disposed of by City for any purpose without Consultant's consent; provided that any use, reuse or modification of the Work Product by City for any purpose other than the purpose for which the Work Product was prepared or provided under this Agreement shall be at City's own risk. Consultant shall not obtain or attempt to obtain copyright protection as to any of the Work Product. 11 .2. Consultant hereby assigns to City all ownership and any and all intellectual property rights to the Work Product that are not otherwise vested in City pursuant to Subsection 11,1. 8 of 21 City of Seal Beach Professional Services Agreement 11.3. Consultant 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 Work Product produced under this Agreement, and that City has full legal title to and the right to reproduce the Work Product for any purpose. Consultant shall defend, indemnify and hold City, its elected and appointed officials, officers, employees, servants, attorneys, volunteers, and those City 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 Work Product violates federal, state or local laws, or any contractual provisions, or any laws relating to trade names, licenses, franchises, copyrights, patents or other means of protecting intellectual property rights and/or interests in products or inventions. Consultant 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 Work Product produced under this Agreement. In the event the use of any of the Work Product or other deliverables hereunder by City is held to constitute an infringement and the use of any of the same is enjoined, Consultant, at its expense, shall: (i) secure for City the right to continue using the Work Product and other deliverables by suspension of any injunction, or by procuring a license or licenses for City; or (ii) modify the Work Product and other deliverables so that they become non-infringing while remaining in compliance with the requirements of this Agreement. Consultant's covenants and obligations shall survive the expiration and/or termination of this Agreement. 11.4. Upon expiration or termination of the Agreement, Consultant shall deliver to City all Work Product and other deliverables related to any Services performed pursuant to this Agreement without additional cost or expense to City. If Consultant prepares a document on a computer, Consultant shall provide City with said document both in a printed format and in an electronic format that is acceptable to City. 12.0 Confidentiality 12.1. Consultant may have access to financial, accounting, statistical, and personnel data of individuals and City employees, trade secrets, and/or other information that may be protected under other applicable laws relating to privacy, confidentiality and/or privilege. Consultant covenants that all Work Product (as defined in Subsection 11 .1) and/or any other data, documents, writings, discussion or other information created, developed, received or provided by Consultant in the performance of this Agreement are deemed confidential unless such information is in the public domain or already known to Consultant. Consultant shall not release or disclose any such Work Product, data, documents, writings, discussion or other information to persons or entities other than City without prior written authorization by City. City shall grant such 9 of 21 City of Seal Beach Professional Services Agreement authorization if applicable law requires disclosure. Consultant, its officers, 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 the City. Response to a subpoena or court order shall not be considered voluntary," provided Consultant gives City timely notice of such court order or subpoena. 12.2. Consultant shall promptly notify City should Consultant, its officers, 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 the City. City may, but has no obligation to, represent Consultant or be present at any deposition, hearing or similar proceeding. Consultant agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Consultant. 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. 12.3. Consultant's covenants and obligations under this Section shall survive the termination or expiration of this Agreement. 13.0 Subcontractors No portion of this Agreement shall be subcontracted without the prior written approval of the City. Consultant is fully responsible to City for the performance of any and all subcontractors. Authorized subcontracts, if any, shall contain a provision making the subcontractor subject to all requirements of this Agreement, 14.0 Prohibition Against Assignment, Transfer or Delegation Consultant shall not assign or transfer this Agreement or any of its rights, obligations or interest in this Agreement, or delegate any of its duties under this Agreement, either in whole or in part, without City's prior written consent, which may be withheld for any reason. Any purported assignment, transfer or delegation without City's consent shall be void and without effect, and shall entitle City to terminate this Agreement. 15.0 Inspection and Audit of Records Consultant shall maintain complete and accurate records with respect to all Services and other matters covered under this Agreement, including but 10 of 21 City of Seal Beach Professional Services Agreement expressly not limited to, all Services performed, salaries, wages, payroll, invoices, time cards, cost control sheets, costs, expenses, receipts and other records and Work Product with respect to this Agreement. Consultant shall maintain adequate records on the Services provided in sufficient detail to permit an evaluation of all Services in connection therewith. All such records shall be clearly identified and readily accessible. At all times during regular business hours, Consultant 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. Consultant 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 Consultant when unsafe or harmful acts are observed or reported relative to the performance of the Services. Consultant shall maintain the work sites free of hazards to persons and property resulting from its operations. Consultant shall immediately report to the City any hazardous condition noted by Contractor. 17.0 Insurance 17.1. General Requirements. Consultant shall not commence work under this Agreement until it has provided evidence satisfactory to the City that Consultant has secured all insurance required under this Section. 17.2. Minimum Scope and Limits of Insurance. Consultant 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: 17.2.1. Commercial General Liability Insurance: Consultant shall maintain limits no less than $2,000,000 per occurrence for bodily injury, personal injury and property 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 11 of 21 City of Seal Beach Professional Services Agreement broad as the latest version of Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001). If Consultant is a limited liability company, the commercial general liability coverage shall be amended so that Consultant and its managers, affiliates, employees, agents and other persons necessary or incidental to its operation are insureds; 17.2.2. Automobile Liability Insurance: Consultant 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).. 17.2.3. Workers' Compensation Insurance in the amount required by law; and Employer's Liability: with minimum limits of $1,000,000 per accident and in the aggregate for bodily injury or disease; 17.2.4. Professional Liability (or Errors and Omissions) Liability Insurance: Consultant shall maintain professional liability (or errors and omissions liability) insurance that covers the Services to be performed in connection with this Agreement, with minimum limits of $1 ,000,000 per claim/aggregate. Any policy inception date, continuity date, or retroactive date must be before the effective date of this Agreement. If a "claims made" policy is provided, then the policy shall be endorsed to provide an extended reporting period of not less than three years. 17.3. Acceptability of Insurers. The Insurance policies required under this Section 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 the City. 17.4. Additional Insured. 17.4.1. For general liability insurance, City, its elected and appointed officials, officers, employees, agents, 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 the Consultant, including materials, parts or equipment furnished in connection with such work. 17.4.2. For automobile liability insurance, City, its elected and appointed officials, officers, employees, agents, 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 the Consultant or for which the Consultant is responsible. 12 of 21 City of Seal Beach Professional Services Agreement 17.4.3. These additional insured provisions shall also apply to any excess/umbrella liability policies. 17.5. Cancellations or Modifications to Coverage. The insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms supplied or approved by City to state: (i) coverage shall not be suspended, voided, reduced or canceled except after 30 days (or ten days for nonpayment) prior written notice by certified mail, return receipt requested, has been given to City; (ii) 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, volunteers, and those City agents serving as independent contractors in the role of City officials; 17.6. Primary and Non-Contributing. Coverage shall be primary insurance as respects the City, its elected and appointed officials, officers, employees, agents, volunteers and those City agents serving as independent contractors in the role of City officials, or if excess, shall stand in an unbroken chain of coverage excess of the Consultant's scheduled underlying coverage and that any insurance or self-insurance maintained by the City, its elected and appointed officials, officers, employees, agents. volunteers and those City agents serving as independent contractors in the role of City officials, shall be excess of the Consultant's insurance and shall not be called upon to contribute with it; 17.7. Separation of Insureds. Each insurance policy 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, volunteers and those City agents serving as independent contractors in the role of City officials. 17.8. Deductibles and Self-Insured Retentions. Any deductibles or self- insured retentions shall be declared to and approved by City. Consultant guarantees that, at the option of City, either: (i) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects City, its elected and appointed officials, officers, employees, agents, volunteers and those City agents serving as independent contractors in the role of City officials; or (ii) Consultant shall procure a bond guaranteeing payment of losses and related investigation costs, claims and administrative and defense expenses. 17.9. 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, volunteers and those City agents serving as independent contractors in the role of City officials. Consultant hereby waives its own right of recovery and all rights of 13 of 21 City of Seal Beach Professional Services Agreement subrogation against City; and shall require similar express written waivers from any subcontractor. 17.10. Enforcement of Agreement Provisions (Non-Estoppel). Consultant acknowledges and agrees that any actual or alleged failure on City's part to inform Consultant of non-compliance with any insurance requirement does not impose additional obligations on City, nor does it waive any rights hereunder. 17.11. City Remedy for Noncompliance. If Consultant does not maintain the policies of insurance required under this Section in full force and effect during the term of this Agreement, or in the event any of Consultant's policies do not comply with the requirements under this Section, City may either 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 Consultant's expense, the premium thereon. Consultant shall promptly reimburse City for any premium paid by City or City may withhold amounts sufficient to pay the premiums from payments due to Consultant. 17.12. Evidence of Insurance. Prior to the performance of Services under this Agreement, Consultant shall furnish City with original certificates of insurance and all original endorsements evidencing and effecting the coverages required under this Section 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. Consultant may provide complete, certified copies of all required insurance policies to City. Consultant 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 also reserves the right to require complete, certified copies of all required insurance policies, at any time. Consultant 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. Consultant shall furnish such proof at least two weeks prior to the expiration of the coverages. 17.13. Indemnity Requirements Not Limiting. Procurement of insurance by Consultant shall not be construed as a limitation of Consultant's liability or as full performance of Consultant's duties under any provision of this Agreement. 17.14. Broader Coverage/Higher Limits. No representation is made that the minimum insurance requirements of this Agreement are sufficient to cover the obligations of Consultant under this Agreement. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Services. If Consultant maintains broader coverage and/or higher limits than the minimums required above, City requires and shall be 14 of 21 City of Seal Beach Professional Services Agreement entitled to the broader coverage and/or the higher limits maintained by Consultant. 17.15. Subcontractor Insurance Requirements/Pass-Through Clause. Consultant shall require each of its subconsultants and/or subcontractors that perform Services under this Agreement to maintain insurance coverage that meets all of the requirements of this Section. Consultant agrees to monitor and review all such coverages and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this Section. Consultant agrees to submit all agreements with consultants, subcontractors, and others engaged in the Services upon City's request. 17.16. Timely Notice of Claims. Contractor shall give City prompt and timely notice of demands or claims made or suits instituted that arise out of or result from Contractor's performance under this Agreement, and that involve or may involve coverage under any of the required insurance policies. 18.0 Indemnification, Hold Harmless, and Duty to Defend 18.1. Indemnities. 18.1.1. To the fullest extent permitted by law, Consultant shall, at its sole cost and expense, protect, defend, hold harmless and indemnify City and its elected and appointed officials, officers, attorneys, agents, employees, volunteers, successors, assigns and those City agents serving as independent contractors in the role of City officials (collectively "Indemnitees" in this Section 18.0), 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, 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 "Claims"), in law or equity, whether actual, alleged or threatened, to property or persons, including but not limited to, bodily injury, death, personal injury and property damage, in any manner arising out of, claimed to arise out of, pertaining to, or relating to the breach of this Agreement and/or any acts, errors, omissions, negligence or willful misconduct of Consultant, its officers, agents, servants, employees, contractors, subcontractors, subconsultants, materialmen, or suppliers, or their officers, agents, servants or employees (or any entity or individual for whom Consultant shall bear legal liability) in the performance of the Services and/or this Agreement, except to the extent the Claims arise 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. Consultant shall defend the Indemnitees in any action or actions filed in connection with any Claims 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. Consultant shall reimburse the Indemnitees for 15 of 21 City of Seal Beach Professional Services Agreement any and all legal expenses and costs incurred by the Indemnitees in connection therewith. 18.1.2. Consultant shall defend, indemnify and hold harmless City in accordance with Sections 9.0 and 10.0. 18.2. Subcontractor Indemnification. Consultant shall obtain executed indemnity agreements with provisions identical to those in this Section 18.0 from each and every subcontractor, subconsultant, or any other person or entity involved by, for, with or on behalf of Consultant in the performance of this Agreement. If Consultant fails to obtain such indemnities, Consultant shall be fully responsible and indemnify, hold harmless and defend the Indemnitees from and against any and all Claims in law or equity, whether actual, alleged or threatened, arising out of, are claimed to arise out of, pertaining to, or relating to, the breach of this Agreement, any acts, errors, omissions, negligence or willful misconduct of Consultant's subcontractor, its officers, agents, servants, employees, materialmen, contractors, subcontractors and/or subconsultants, or their officers, agents, servants or employees (or any entity or individual for whom Consultant's subcontractor shall bear legal liability) in the performance of the Services or this Agreement, except to the extent the Claims arise 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. 18.3. Workers' Compensation Acts Not Limiting. Consultant's indemnification obligations under this Section, or any other provision of this Agreement, shall not be limited by the provisions of any workers' compensation act or similar act. Consultant expressly waives its statutory immunity under such statutes or laws as to City, its elected and appointed officials, officers, agents, employees, volunteers and those City agents serving as independent contractors in the role of City officials. 18.4. Insurance Requirements Not Limiting. City does not, and shall not, waive any rights that it may possess against Consultant 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 Agreement shall apply regardless of whether or not any insurance policies are determined to be applicable to the Claims or Liabilities asserted against City or any of the other Indemnitees. 18.5. Survival of Terms. Consultant's covenants and obligations under this Section 18.0 shall survive the expiration or termination of this Agreement. 19.0 Non-Discrimination and Equal Employment Opportunity Consultant affirmatively represents that it is an equal opportunity employer. In the performance of this Agreement, Consultant covenants that it shall not 16 of 21 City of Seal Beach Professional Services Agreement discriminate, harass or retaliate against any of its employee, applicants for employment, contractors, subcontractors or subconsultants 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, military or veteran status, or any other basis prohibited by law. Consultant further covenants that in the performance of this Agreement, Consultant shall not discriminate, harass or retaliate against any of City's elected or appointed officials, officers, employees, consultants, contractors, subcontractors, or subconsultants on any such basis prohibited by law. 20.0 Labor Certification By its signature hereunder, Consultant 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. 21.0 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, Consultant shall comply in all respects with all applicable provisions of the California Labor Code, including those set forth in Exhibit B, attached hereto and incorporated by reference herein. 22.0 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. 23.0 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. 24.0 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. Orange County, California, shall be the venue for any action or proceeding that may be brought by reason of, that arises out of, 17 of 21 City of Seal Beach Professional Services Agreement and/or relates to any dispute under this Agreement (whether contract, tort or both). 25.0 No Third Party Beneficiaries This Agreement is made solely for the benefit of the Parties to this Agreement and their respective successors and assigns, and no other person or entity shall be deemed to have any rights hereunder against either party by virtue of this Agreement. 26.0 Waiver 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 (i) effective unless it is in writing and signed by the Party making the waiver, (ii) deemed to be a waiver of, or consent to, any other breach, failure of a condition, or right or remedy, or (iii) deemed to constitute a continuing waiver unless the writing expressly so states. 27.0 Prohibited Interests; Conflict of Interest 27.1. Consultant 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. Consultant further covenants that, in performance of this Agreement, no person having any such interest shall be employed by it. Furthermore, Consultant shall avoid the appearance of having any interest, which would conflict in any manner with the performance of the Services. Consultant shall not accept any employment or representation during the term of this Agreement which is or may likely make Consultant "financially interested" (as provided in California Government Code §§ 1090 and 87100) in any decision made by City on any matter in connection with which Consultant has been retained. 27.2. Consultant further warrants and maintains that it has not employed or retained any person or entity, other than a bona fide employee working exclusively for Consultant, to solicit or obtain this Agreement. Nor has Consultant paid or agreed to pay any person or entity, other than a bona fide employee working exclusively for Consultant, 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 Consultant hereunder the full amount or value of any such fee, commission, percentage or gift. 18 of 21 City of Seal Beach Professional Services Agreement 27.3. Consultant 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 Consultant, and that if any such interest comes to the knowledge of Consultant at any time during the term of this Agreement, Consultant 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 Final Payment Acceptance Constitutes Release The acceptance by Consultant 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 Consultant for anything done, furnished or relating to Consultant'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 Consultant, 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 or liability by City for any defect or error in the work prepared by Consultant, its employees, subcontractors and agents. 29.0 Corrections In addition to the indemnification obligations set forth above, Consultant shall correct, at its expense, all errors in the work which may be disclosed during City's review of Consultant's report or plans. Should Consultant 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 Consultant. 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 Consultant under this Agreement up to the amount of the cost of correction. 30.0 Non-Appropriation of Funds Payments to be made to Consultant 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 Consultant's Services beyond the current fiscal year, this Agreement shall cover payment for Consultant'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. 31.0 Mutual Cooperation 19 of 21 City of Seal Beach Professional Services Agreement 31.1. City's Cooperation. City shall provide Consultant with all pertinent Data, documents and other requested information as is reasonably available for Consultant's proper performance of the Services required under this Agreement. 31.2. Consultant's Cooperation. Consultant agrees to work closely and cooperate fully with City's representative and any other agencies that may have jurisdiction or interest in the work to be performed. In the event any claim or action is brought against City relating to Consultant's performance of Services rendered under this Agreement, Consultant shall render any reasonable assistance that City requires. 32.0 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. 33.0 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 the losing party all of its attorneys' fees and other costs incurred in connection therewith. 34.0 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 part of it. 35.0 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. 36.0 Corporate Authority The person executing this Agreement on behalf of Consultant warrants that he or she is duly authorized to execute this Agreement on behalf of said party and that by his or her execution, the Consultant is formally bound to the provisions of this Agreement. 20 of 21 City of Seal Beach Professional Services 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. CITY OF SEAL BEACH CONSULTANT: Lisa Wise Consulting, Inc., a California Corporation /9 By:y: l`-r Ingram, City Manage Name: ', .AICP Its: P -sid ast • 4 0 Attest: By: If Name:H- rrtwelli Its: Vice 'resid- t and Secreta By: Wir Gloria D. Ha r r, City Clerk Please note, wo signatures required for corporations pursuant to California Corporations Code Section 313 from Approved as to Form: each of the following categories: (i) the chairperson of the board, the president or any vice president, and (ii) the By: secretary, any assistant secretary, the Nicholas Ghirelli, City Attorney chief financial officer or any assistant treasurer of such corporation.) PROOF OF AUTHORITY TO BIND CONTRACTING PARTY REQUIRED 21 of 21 City of Seal Beach Professional Services Agreement EXHIBIT A CONSULTANT'S PROPOSAL i City of Seal Beach Professional Services Agreement LWC City of Seal Beach Zoning Amendments: Scope, Budget and Schedule Prepared by Lisa Wise Consulting, Inc. (LWC) February 21 2022- Revised March 9, 2022 - Revised March 26, 2024 This Scope, Budget, and Schedule prepared for the City of Seal Beach ("City") describes a work plan for preparation and adoption of zoning amendments required by State law to fully implement of the City's 6th Cycle Housing Element. The Scope describes the work plan by task and includes associated meetings and deliverables.All meetings are assumed to be conducted online via a videoconferencing platform, unless otherwise noted. The Budget provides details on a total fee of$119,110 excluding optional tasks. The Schedule describes the timing of each task, including meetings, and deliverables for project completion in October 2022February 2025. SCOPE Task 1 : Project Initiation and Analysis A. Project Initiation Meeting and City Tour. LWC will meet with City staff to discuss the goals and priorities for the Zoning Amendments Project ("Project"), review the public outreach process, finalize the work program, timeline and milestones, and clarify roles and responsibilities. Following the meeting, City staff will lead the team on a virtual tour of the City to evaluate existing conditions,such as the locations, intensity,forms and uses of existing development, and neighborhood and corridor character resulting from current development regulations, noting opportunity areas for residential and mixed-use development. B. Technical Analysis, Site Analysis, and Evaluation. LWC will submit a data request to the City for background material related to the Code update, including projects in the pipeline", recent development projects and proposals. LWC will work closely with the City to identify the highest priority issues with the existing Code. LWC will then conduct a technical analysis and evaluation of applicable ordinances, plans, and policy documents with a particular focus on the City's opportunity areas and potential building types. C. Zoning Code Update Recommendations Memo. Based on the technical analyses, City staff comments, and feedback from stakeholders, LWC will prepare a Zoning Code 983 OSOS STREET, SAN LUIS OBISPO, CA 93401 (805) 595 1345 LISAWISECONSULTING.COM 1 Update Recommendations Memo. The Memo will highlight General Plan and Housing Element policy direction, assess the strengths and areas in need of attention of the existing Code, and present recommendations for the content and organization of Zoning Amendments. DELIVERABLES Task 1 Meetings Project Initiation Meeting Task 1 Products Zoning Code Update Recommendations Memo(PDF) Task 2: Public Outreach A. Public Outreach Program. LWC will work with City staff to formulate a Public Outreach Program for the Zoning Code Update using interviews, a workshop, study sessions, surveys and/or a dedicated project page on the City website. The Public Outreach Program will outline goals, methods, and a schedule for outreach events to encourage the community to share feedback, collaborate, and comment on the Zoning Code Amendments. B. Stakeholder Interviews. LWC will conduct up to 4 one-on-one or small group (up to three individuals) interviews with community members who have experience in the Seal Beach development industry, City decision-makers, and/or individuals with experience using the Zoning Code. It is anticipated that these meeting will be held remotely via teleconference. Interviews are intended to provide a confidential setting for interviewees to provide information and perspectives on major issues of concern, deal-breakers, opportunities, desires, and political factors that impact development in the City. Interviewees may include but are not limited to community members, property owners, designers, architects, developers, special interest groups and City officials. LWC will draft questions in coordination with City staff and will provide reference materials for use during the interviews. Following the interviews, LWC will prepare a comprehensive summary of the feedback received. C. Planning Commission Study Session. LWC will participate in a study session with the Planning Commission to introduce the project and gather direction on key issues and priorities. The session will include a presentation and question-and-answer discussion components. Input gathered will guide LWC in the preparation of the Admin Draft Zoning Amendments (Task 3). This task may also take the form of a Joint Planning Commission/City Council Study Session. This meeting is assumed to be conducted in- person meetings pending County health guidelines. 983 OSOS STREET, SAN LUIS OBISPO, CA 93401 (805) 595 1345 LISAWISECONSULTING.COM 2 D. Community Workshop. Following the release of the Public Review Draft (see Task 4), LWC will lead a Community Workshop to present draft amendments, discuss key changes, and gather input and feedback from the community. The workshop will include a presentation followed by interactive activities designed to engage the community and solicit input on potential changes to the code. Activities may include live surveys, small- group breakout discussions, tabletop sketching activities, and/or"post-it" note activities. This workshop is expected to be held in-person, pending County health guidelines. E. Airport Land Use Commission Working with the City of Seal Beach, LWC will prepare and present zoning options to the Orange County Airport Land Use Commission (ALUC) with the intent of receiving input on their requirements and objectives as it relates to potential modifications of the zoning code required to implement the City's housing element. This task will include one presentation of zoning concepts to the commission as an agenda item at a regular public meeting. Additional meetings, if required, can be arranged for on a time and materials basis. It may be necessary to consult with the ALCU out of sequence with the rest of the outreach program due to their availability. F. Website Materials. Throughout the project, LWC will work closely with the City staff to provide pertinent project material for a web page that will be hosted on the Planning Department's website. Material may include reports, memos, photographs, maps, diagrams, and other information on the project. The webpage provides a record of the process,with meeting dates, agendas, and meeting notes in a central,accessible location. The City will be responsible for hosting, managing, and uploading material to the project Web page. Task 2 Meetings Stakeholder Interviews PC Study Session Materials Community Workshop Airport Land Use Commission Task 2 Products Public Outreach Program Survey instrument for personal interviews and/or online survey Stakeholder Interviews Summary PC Study Session Materials Community Meeting Materials Airport Land Use Commission Materials Website Materials 983 OSOS STREET, SAN LUIS OBISPO, CA 93401 (805) 595 1345 LISAWISECONSULTING.COM 3 TASK 3: Administrative Draft Zoning Code A. Working Meetings with City Staff. LWC will participate in up to three 1-hour working meetings by teleconference with City staff during the development of the Administrative Draft Zoning Amendments. Topics will be determined in coordination with Staff. LWC will provide a summary memo for each meeting. B. Administrative Draft Zoning Amendments. LWC will prepare draft Zoning Amendments required for implementation of the 2021 Seal Beach Housing Element. While the scope and nature of the amendments will be determined through Tasks 1 and Task 2, LWC anticipates this task will include the following; A New Residential Mixed-Use Zone LC-RHD. LWC will develop a use table and development standards for a new residential mixed-use district that allows an appropriate range of non-residential uses as well as up to at least 40 dwelling units per acre. This zone will ensure that the buildout described by the Housing Element Site Inventory is supported in the Zoning Code. This zone will be added to Chapter 11.2.10. LWC anticipates that it may be necessary to include sub-areas or additional zones. This scope of services includes of three sets of development standards. Additional zones can be authorized by the City on a time and materials basis. Supplemental Design Standards for Multi-Family and Mixed-Use Development. LWC will Update and expand upon the supplemental design standards for all residential mixed-use districts in the City, including the existing RDH-46 district and the new LC- RHD district. The supplemental design standards will draw from community input, the design standards of RDH-46 and the design standards of LC-RHD as appropriate. The revised standards will complement the development regulations of the base district and furthermore address the following: o Building massing and scale. Topics may include building type/configuration, building placement at front setback, upper story step-backs, plate heights, and roof form, and adjacencies to lower-intensity districts. o Building design. Topics may include facade articulation, privacy standards, building transparency, entry design, ground floor finish floor elevation and height, corner treatment, window placement and design, Universal Design, and sustainable building design measures. o Site design. Topics may include building orientation and access, parking access and design, landscaping, and sustainable site design measures. 983 OSOS STREET, SAN LUIS OBISPO, CA 93401 (805) 595 1345 LISAWISECONSULTING.COM 4 These standards will satisfy the State's requirements for Objective Design Standards in accordance with SB330. The material will be added or integrated into Chapter 11.2.10 as determined in coordination with City Staff. LWC will also identify changes elsewhere in the zoning code that may need to be addressed for consistency. Task 3 Meetings Working Meetings with City Staff(3), summary memos Task 3 Products Administrative Draft Zoning Amendments TASK 4: Public Review Draft Zoning Amendment A. Public Review Draft Zoning Amendments. LWC will prepare a Public Review Draft of Zoning Amendments based on a single set of consolidated, non-conflicting comments from City staff review of the Administrative Draft. Task 4 Products Public Review Draft (Word and PDF) TASK 5: Review and Adoption A. Planning Commission Hearing (1). LWC will prepare materials/presentations for, and present at a Planning Commission hearings to support adoption of the Zoning Code Amendments. LWC will note commission comments. This presentation will take place in person, pending County health guidelines B. City Council Hearing (1). LWC will prepare materials/presentations for, and present at a City Council hearing to support adoption of the Zoning Code Amendments. This presentation will take place in person, pending County health guidelines 983 OSOS STREET, SAN LUIS OBISPO, CA 93401 (805) 595 1345 LISAWISECONSULTING.COM 5 C. Final Zoning Amendments. Based on the City Council's final decision/adoption of the Zoning Code and final text changes provided by City staff, LWC will prepare the final Zoning Code Amendments.The document will be produced in MS Word and PDF format and will be made accessible and interactive through online publishing. Task 6 Meetings Planning Commission Hearing (1) City Council Hearing(1) Task 6 Products Hearing Draft Zoning Amendments(Word and PDF) Final Draft Zoning Amendments (Word and PDF), and erratum Final Zoning Amendments (Word and PDF) TASK 6: CEQA Support A. CEQA Support LWC will work with the city and its selected consultants to resolve issues related to the requirements of the California Environmental Quality Act (CEQA). It is expected that this project will require LWC to prepare estimates of development capacity and potential unit count associated with the zoning program. LWC will supply support as needed as the City moves to certify a negative declaration (ND) or mitigated negative declaration (MND)for the project. Task 7: Optional Tasks B. Community Survey. LWC will prepare an online community survey to gather ideas and concerns related to new multi-family residential and mixed-use development in Seal Beach. The survey will be designed in collaboration with the City staff and is anticipated to do the following: a. Address neighborhood character and scale. The survey will inform the community of the issues at hand, question the community on the range and locations of non- residential uses, and explore options for building location and design. b. Address approaches to regulating design. Survey questions will focus on whether and how specific design elements should be regulated. Questions will isolate individual design elements (e.g., roof design, frontage design, parking) to show the community the many factors that contribute to building design and neighborhood compatibility. c. Best practices in human informant research. All participants will be assured that no 983 OSOS STREET, SAN LUIS OBISPO, CA 93401 (805) 595 1345 LISAWISECONSULTING.COM 6 personally identifiable information will be included in reports, communications or memos, that participation is completely voluntary and that the survey is kept brief and concise (avoiding compound questions) so participants' time commitment is respected. C. Conceptual Site Plans and Buildout. LWC will prepare conceptual site plan for opportunity sites identified in the Housing Element. The site plans will aid the City staff in visualizing a potential development scenario that complies with all applicable development standards. For each development site, LWC will prepare a site plan, a 3D massing model of the conceptual development plan, and a corresponding buildout table. D. Zoning Map. LWC will update the citywide Zoning map to identify the location of the new zones.The Zoning Map will be based on the most current GIS files to be provided by staff, LWC will also participate in calls (up to 6)with the City staff to discuss map edits.The final map will be provided to City staff in an ESRI GIS format. LWC assumes that the most recent parcel GIS files available will be sufficient and accurate (i.e., include current parcel boundaries, zoning, land use designations, etc. in a compatible ESRI GIS format). 983 OSOS STREET, SAN LUIS OBISPO, CA 93401 (805) 595 1345 LISAWISECONSULTING.COM 7 BUDGET LWC proposes to complete the scope of services described above in a seven (7) month time frame with delivery of the public review of draft zoning amendments(Task 1) in September 2-024. This schedule allows for adoption of the revised zoning standards (Task 5) in October 2022February 2025. Fees for professional service hours are detailed on the table below The fees include in person meetings as specified in the scope of services, subject to County heath guidelines. Lisa Wise Consulting, Inc. Princi.al Director Senior Associate Meetings City of Seal Beach 285 245 195 155 and Zoning Amendments Hours Cost Hours Cost Hours Cost Hours Cost Presentations Total Task 1: Project Initiation and Analysis 10 $2,850 16 $3,920 40 $7,800 40 $6,200 20,770 Task 2: Public Outreach 10 $2,850 16 $3,920 60 $11,700 60 $9,300 14,000 $41,770 Task 3: Administrative Draft Zoning Amendments 10 $2,850 16 $3,920 40 $7,800 40 $6,200 20,770 Task 4: Public Review Draft Zoning Amendments 8 $2,280 8 $1,960 24 $4,680 16 $2,480 11,400 Task 5: Review and Adoption 8 $2,280 8 $1,960 24 $4,680 16 $2,480 7,000 $18,400 Task 6:CEQA Coordination 0 0 8 $1,960 8 $1,560 16 $2,480 6,000 Sub-Total 46 $13,110 64 $17,640 188 $38,220 172 $29,140 21,000 $119,110 983 OSOS STREET, SAN LUIS OBISPO, CA 93401 (805) 595 1345 LISAWISECONSULTING.COM 8 SCHEDULE 2022 MARCH APRIL MAY JUNE JULY AUGUST SEPT OCT Task 1:Project ( Inioaoon •Recs Initiation Analysis \—)Meeting Memo Task 2:Community Outreach ifl Stakeholder. ( PC Study Workshop Outreach Program ''Interviews .J Session Task 3:Admin Draft Admin Zoning Amendments Draft Task 4:PRD Zoning Public Review Amendments Task 5:Adoption and Hearing,J l,J Final Final Amendments Draft = = •Amendments Products Meeting Community 1• HearingWorkshop 983 OSOS STREET, SAN LUIS OBISPO, CA 93401 (805) 595 1345 LISAWISECONSULTING.COM 9 EXHIBIT B TERMS FOR COMPLIANCE WITH CALIFORNIA LABOR LAW REQUIREMENTS 1 . This Agreement calls for services that, in whole or in part, constitute "public works" as defined in Division 2, Part 7, Chapter 1 (commencing with Section 1720) of the California Labor Code ("Chapter 1"). Further, Consultant acknowledges that this Agreement is subject to (a) Chapter 1 and (b) the rules and regulations established by the Department of Industrial Relations ("DIR") implementing such statutes. Therefore, as to those Services that are "public works", Consultant shall comply with and be bound by all the terms, rules and regulations described in 1(a) and 1(b) as though set forth in full herein. 2. California law requires the inclusion of specific Labor Code provisions in certain contracts. The inclusion of such specific provisions below, whether or not required by California law, does not alter the meaning or scope of Section 1 above. 3. Consultant shall be registered with the Department of Industrial Relations in accordance with California Labor Code Section 1725.5, and has provided proof of registration to City prior to the Effective Date of this Agreement. Consultant shall not perform work with any subcontractor that is not registered with DIR pursuant to Section 1725.5. Consultant and subcontractors shall maintain their registration with the DIR in effect throughout the duration of this Agreement. If Consultant or any subcontractor ceases to be registered with DIR at any time during the duration of the project, Consultant shall immediately notify City. 4. Pursuant to Labor Code Section 1771 .4, Consultant's Services are subject to compliance monitoring and enforcement by DIR. Consultant shall post job site notices, as prescribed by DIR regulations. 5. Pursuant to Labor Code Section 1773.2, copies of the prevailing rate of per diem wages for each craft, classification, or type of worker needed to perform the Agreement are on file at City Hall and will be made available to any interested party on request. Consultant acknowledges receipt of a copy of the DIR determination of such prevailing rate of per diem wages, and Consultant shall post such rates at each job site covered by this Agreement. 6. Consultant shall comply with and be bound by the provisions of Labor Code Sections 1774 and 1775 concerning the payment of prevailing rates of wages to workers and the penalties for failure to pay prevailing wages. Consultant shall, as a penalty to City, forfeit 200.00 for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined by the DIR for the work or craft in which the worker is employed for any public work done pursuant to this Agreement by Consultant or by any subcontractor. 7. Consultant shall comply with and be bound by the provisions of Labor Code Section 1776, which requires Consultant and each subcontractor to: keep accurate payroll records and verify such records in writing under penalty of perjury, as specified in City of Seal Beach Professional Services Agreement Section 1776; certify and make such payroll records available for inspection as provided by Section 1776; and inform City of the location of the records. 8. Consultant shall comply with and be bound by the provisions of Labor Code Sections 1777.5, 1777.6 and 1777.7 and California Code of Regulations, Title 8, Section 200 et seq. concerning the employment of apprentices on public works projects. Consultant shall be responsible for compliance with these aforementioned Sections for all apprenticeable occupations. Prior to commencing work under this Agreement, Consultant shall provide City with a copy of the information submitted to any applicable apprenticeship program. Within 60 days after concluding work pursuant to this Agreement, Consultant and each of its subcontractors shall submit to City a verified statement of the journeyman and apprentice hours performed under this Agreement. 9. Consultant shall not perform work with any Subcontractor that has been debarred or suspended pursuant to California Labor Code Section 1777.1 or any other federal or state law providing for the debarment of contractors from public works. Consultant and subcontractors shall not be debarred or suspended throughout the duration of this Contract pursuant to Labor Code Section 1777.1 or any other federal or state law providing for the debarment of contractors from public works. If Consultant or any subcontractor becomes debarred or suspended during the duration of the project, Consultant shall immediately notify City. 10. Consultant acknowledges that eight hours labor constitutes a legal day's work. Consultant shall comply with and be bound by Labor Code Section 1810. Consultant shall comply with and be bound by the provisions of Labor Code Section 1813 concerning penalties for workers who work excess hours. Consultant shall, as a penalty to City, forfeit $25.00 for each worker employed in the performance of this Agreement by Consultant or by any subcontractor for each calendar day during which such worker is required or permitted to work more than eight hours in any one calendar day and 40 hours in any one calendar week in violation of the provisions of Division 2, Part 7, Chapter 1, Article 3 of the Labor Code. Pursuant to Labor Code Section 1815, work performed by employees of Consultant in excess of eight hours per day, and 40 hours during any one week shall be permitted upon public work upon compensation for all hours worked in excess of eight hours per day at not less than one and one-half times the basic rate of pay. 11. California Labor Code Sections 1860 and 3700 provide that every employer will be required to secure the payment of compensation to its employees. In accordance with the provisions of California Labor Code Section 1861, Consultant hereby certifies as follows: I am aware of the provisions of Section 3700 of the Labor Code which 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 I will comply with such provisions before commencing the performance of the work of this contract." City of Seal Beach Professional Services Agreement 12. For every subcontractor who will perform work on the project, Consultant shall be responsible for such subcontractor's compliance with Chapter 1 and Labor Code Sections 1860 and 3700, and Consultant shall include in the written contract between it and each subcontractor a copy of those statutory provisions and a requirement that each subcontractor shall comply with those statutory provisions. Consultant shall be required to take all actions necessary to enforce such contractual provisions and ensure subcontractor's compliance, including without limitation, conducting a periodic review of the certified payroll records of the subcontractor and upon becoming aware of the failure of the subcontractor to pay his or her workers the specified prevailing rate of wages. Consultant shall diligently take corrective action to halt or rectify any failure. 13. To the maximum extent permitted by law, Consultant shall indemnify, hold harmless and defend (at Consultant's expense with counsel reasonably acceptable to City) City, its elected and appointed officials, officers, employees, agents and independent contractors serving in the role of City officials, and volunteers from and against any demand or claim for damages, compensation, fines, penalties or other amounts arising out of or incidental to any acts or omissions listed above by any person or entity (including Consultant, its subcontractors, and each of their officials, officers, employees and agents) in connection with any work undertaken or in connection with the Agreement, including without limitation the payment of all consequential damages, attorneys' fees, and other related costs and expenses. All duties of Consultant under this Section shall survive the termination of the Agreement. City of Seal Beach Professional Services Agreement LISAWIS-01 BOTCERTS ACORO` DATE(MMIDDIYYYY) CERTIFICATE OF LIABILITY INSURANCE 3/28/2024 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 License#0305584 CONTACT Megan Chew j NAME: Morris&Garritano Insurance Agency,Inc. PHONE FAX PO Drawer 1189 A/C,No,Ext):(805)543-6887 341 I(ac,No):(805)543-3064 San Luis Obispo, CA 93406 i(Ss:mchew@morrisgarritano.com INSURER(S)AFFORDING COVERAGE NAIC S INSURER A:Sentinel Insurance Company 11000 INSURED INSURER B:Ohio Security Insurance Company 24082 Lisa Wise Consulting,Inc. INSURER C:Oak River Insurance Company 34630 983 Osos Street INSURER D:Twin City Fire Insurance Company 29459 San Luis Obispo,CA 93401 INSURER E: INSURER F: COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: 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. INSR TYPE OF INSURANCE ADDL SUBR POLICY NUMBER POLICY EFF POLICY EXP LIMITSLTRINS() WVD IMMIDD/YYYY1 (MM/DD/YYYY 2,000,000AXCOMMERCIALGENERALLIABILITYEACHOCCURRENCE $ CLAIMS-MADE X OCCUR X 51SBABA5314 4/1/2024 4/1/2025 PREMISES(EaEoccurr nce) $ 1,000,000 MED EXP(Any one person) $ 10,000 PERSONAL&ADV INJURY $ 2,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $ 4,000,000 X POLICY JEL'T LOC PRODUCTS-COMP/OP AGG $ 4,000,000 OTHER: B AUTOMOBILE LIABIIJTY COMBINED SINGLE LIMIT 1,000,000 Ea accident) X ANY AUTO X BAS56524792 4/1/2024 4/1/2025 BODILYINJURY(Perperson) $ AUTOS ONLY SCHEDULED BODILY INJURY(Per accident) $ HIRED NONWNED PROPERTY DAMAGE AUTOS ONLY _ AUTOSONLY Per accident) UMBRELLA UAB OCCUR EACH OCCURRENCE $ EXCESS UAB CLAIMS-MADE AGGREGATE DED RETENTION$ C WORKERS COMPENSATION 7 X STATUTE EROTH-AND EMPLOYERS'LIABILITY Y/N L1WC524575 4/1/2024 4/1/2025 1,000,000ANYPROPRIETOR/PARTNER/EXECUTIVE E.L.EACH ACCIDENT $ OFFICERIMEMBER EXCLUDED? N/A Mandatory in NH) E.L.DISEASE-EA EMPLOYEE $ 1,000,000 If yes,describe under 1,000,000 DESCRIPTION OF OPERATIONS below E.L.DISEASE-POLICY LIMIT $ D Professional Liab. 51PG028245723 4/1/2024 4/1/2025 Per Claim&Agg.2,000,000 D Professional Liab. 51PG028245723 i 4/1/2024 4/1/2025 Deductible 5,000 DESCRIPTION OF OPERATIONS I LOCATIONS/VEHICLES (ACORD 101,Additional Remarks Schedule,may be attached if more space is required) See form attached as triggered by written contract: GL:AI/PNC-SS0008 0405. AL:Al-AC8543 0821 CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE Cityof THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN SealBeachACCORDANCE WITH THE POLICY PROVISIONS. Community Development Director 211 8th Street Seal Beach,CA 90740 AUTHORIZED REPRESENTATIVE A Oil,4.•- ACORD 25(2016/03) 1988-2015 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD 51 SBABA5314 BUSINESS LIABILITY COVERAGE FORM 2. Applicable To Medical Expenses Coverage e. A trust, you are an insured. Your trustees We will not pay expenses for"bodily injury": are also insureds, but only with respect to their duties as trustees. a. Any Insured 2. Each of the following is also an insured:To any insured,except"volunteer workers". b. Hired Person a. Employees And Volunteer Workers To a person hired to do work for or on behalf Your "volunteer workers" only while of any insured or a tenant of any insured. performing duties related to the conduct of c. Injury On Normally Occupied Premises your business, or your "employees", other than either your "executive officers" (if you To a person injured on that part of are an organization other than a premises you own or rent that the person partnership, joint venture or limited liability normally occupies. company) or your managers (if you are a d. Workers' Compensation And Similar limited liability company), but only for acts Laws within the scope of their employment by To a person, whether or not an you or while performing duties related to employee" of any insured, if benefits for the conduct of your business. the "bodily injury" are payable or must be However, none of these "employees" or provided under a workers' compensation volunteer workers"are insureds for: or disability benefits law or a similar law. 1) "Bodily injury" or "personal and e. Athletics Activities advertising injury": To a person injured while practicing, a) To you, to your partners or instructing or participating in any physical members (if you are a partnership exercises or games, sports or athletic or joint venture), to your members contests. if you are a limited liability f. Products-Completed Operations Hazard company), or to a co"employee" while in the course of his or her Included with the "products-completed employment or performing duties operations hazard". related to the conduct of your g. Business Liability Exclusions business, or to your other Excluded under Business Liability Coverage. volunteer workers" while performing duties related to the C. WHO IS AN INSURED conduct of your business; 1. If you are designated in the Declarations as:b) To the spouse, child, parent, a. An individual, you and your spouse are brother or sister of that co- insureds, but only with respect to the employee" or that "volunteer conduct of a business of which you are the worker" as a consequence of sole owner. Paragraph (1)(a)above; b. A partnership or joint venture, you are an c) For which there is any obligation insured. Your members, your partners, and to share damages with or repay their spouses are also insureds,but only with someone else who must pay respect to the conduct of your business.damages because of the injury c. A limited liability company, you are an described in Paragraphs (1)(a) or insured. Your members are also insureds, b) above; or but only with respect to the conduct of your d) Arising out of his or her providing business. Your managers are insureds, but or failing to provide professional only with respect to their duties as your health care services. managers. If you are not in the business of d. An organization other than a partnership, providing professional health care joint venture or limited liability company, you services, Paragraph (d) does not apply are an insured. Your"executive officers"and to any nurse, emergency medical directors are insureds, but only with respect technician or paramedic employed by to their duties as your officers or directors. you to provide such services. Your stockholders are also insureds,but only 2) "Property damage"to property: with respect to their liability as stockholders. a) Owned,occupied or used by, Page 10 of 24 Form SS 00 08 04 05 51 SBABA5314 BUSINESS LIABILITY COVERAGE FORM b) Rented to, in the care, custody or b. Coverage under this provision does not control of, or over which physical apply to: control is being exercised for any 1) "Bodily injury" or "property damage" purpose by you, any of your that occurred; or employees", "volunteer workers", any partner or member (if you are 2) "Personal and advertising injury" a partnership or joint venture), or arising out of an offense committed any member (if you are a limited before you acquired or formed the liability company). organization. b. Real Estate Manager 4. Operator Of Mobile Equipment Any person (other than your"employee"or With respect to "mobile equipment" registered in volunteer worker"), or any organization your name under any motor vehicle registration while acting as your real estate manager. law, any person is an insured while driving such c. Temporary Custodians Of Your equipment along a public highway with your Property permission. Any other person or organization responsible for the conduct of such person is Any person or organization having proper also an insured, but only with respect to liability temporary custody of your property if you arising out of the operation of the equipment,and die, but only: only if no other insurance of any kind is available 1) With respect to liability arising out of the to that person or organization for this liability. maintenance or use of that property;and However,no person or organization is an insured 2) Until your legal representative has with respect to: been appointed. a. "Bodily injury" to a co-"employee" of the d. Legal Representative If You Die person driving the equipment; or Your legal representative if you die, but b. "Property damage" to property owned by, only with respect to duties as such. That rented to, in the charge of or occupied by representative will have all your rights and you or the employer of any person who is duties under this insurance. an insured under this provision. e. Unnamed Subsidiary 5. Operator of Nonowned Watercraft Any subsidiary and subsidiary thereof, of With respect to watercraft you do not own that yours which is a legally incorporated entity is less than 51 feet long and is not being used of which you own a financial interest of to carry persons for a charge, any person is an more than 50% of the voting stock on the insured while operating such watercraft with effective date of this Coverage Part. your permission. Any other person or The insurance afforded herein for any organization responsible for the conduct of subsidiary not shown in the Declarations such person is also an insured, but only with respect to liability arising out of the operation as a named insured does not apply to injury or damage with respect to which an of the watercraft, and only if no other insurance of any kind is available to thatinsuredunderthisinsuranceisalsoan insured under another policy or would be person or organization for this liability. an insured under such policy but for its However, no person or organization is an termination or upon the exhaustion of its insured with respect to: limits of insurance.a. "Bodily injury" to a co-"employee" of the 3. Newly Acquired Or Formed Organization person operating the watercraft; or Any organization you newly acquire or form, b. "Property damage" to property owned by, other than a partnership, joint venture or rented to, in the charge of or occupied by limited liability company, and over which you you or the employer of any person who is maintain financial interest of more than 50% of an insured under this provision. the voting stock, will qualify as a Named 6. Additional Insureds When Required By Insured if there is no other similar insurance Written Contract, Written Agreement Or available to that organization. However: Permit a. Coverage under this provision is afforded The person(s) or organization(s) identified in only until the 180th day after you acquire Paragraphs a. through f. below are additional or form the organization or the end of the insureds when you have agreed, in a written policy period, whichever is earlier; and Form SS 00 08 04 05 Page 11 of 24 51 SBABA5314 BUSINESS LIABILITY COVERAGE FORM contract, written agreement or because of a e) Any failure to make such permit issued by a state or political inspections, adjustments, tests or subdivision, that such person or organization servicing as the vendor has be added as an additional insured on your agreed to make or normally policy, provided the injury or damage occurs undertakes to make in the usual subsequent to the execution of the contract or course of business, in connection agreement,or the issuance of the permit. with the distribution or sale of the A person or organization is an additional products; insured under this provision only for that f) Demonstration, installation, period of time required by the contract, servicing or repair operations, agreement or permit. except such operations performed at the vendor's premises in However, no such person or organization is an connection with the sale of the additional insured under this provision if such product; person or organization is included as an additional insured by an endorsement issued g) Products which, after distribution by us and made a part of this Coverage Part, or sale by you, have been labeled including all persons or organizations added or relabeled or used as a as additional insureds under the specific container, part or ingredient of any additional insured coverage grants in Section other thing or substance by or for F.—Optional Additional Insured Coverages. the vendor;or a. Vendors h) "Bodily injury" or "property damage" arising out of the sole Any person(s)or organization(s) (referred to negligence of the vendor for its below as vendor), but only with respect to own acts or omissions or those of bodily injury" or "property damage" arising its employees or anyone else out of "your products" which are distributed acting on its behalf. However, this or sold in the regular course of the vendor's exclusion does not apply to: business and only if this Coverage Part provides coverage for "bodily injury" or i) The exceptions contained in property damage" included within the Subparagraphs(d)or(f); or products-completed operations hazard". ii) Such inspections, adjustments, 1) The insurance afforded to the vendor tests or servicing as the vendor is subject to the following additional has agreed to make or normally exclusions:undertakes to make in the usual course of business, in This insurance does not apply to:connection with the distribution a) "Bodily injury" or "property or sale of the products. damage" for which the vendor is 2) This insurance does not apply to any obligated to pay damages by insured person or organization from reason of the assumption of whom you have acquired such products, liability in a contract or agreement. or any ingredient, part or container, This exclusion does not apply to entering into, accompanying or liability for damages that the containing such products. vendor would have in the absence of the contract or agreement; b. Lessors Of Equipment b) Any express warranty 1) Any person or organization from unauthorized by you; whom you lease equipment; but only with respect to their liability for "bodily c) Any physical or chemical change injury", "property damage" or in the product made intentionally by the vendor; personal and advertising injury" caused, in whole or in part, by your d) Repackaging, except when maintenance, operation or use of unpacked solely for the purpose of equipment leased to you by such inspection, demonstration, testing, person or organization. or the substitution of parts under instructions from the manufacturer, and then repackaged in the original container; Page 12 of 24 Form SS 00 08 04 05 51 SBABA5314 BUSINESS LIABILITY COVERAGE FORM 2) With respect to the insurance afforded e. Permits Issued By State Or Political to these additional insureds, this Subdivisions insurance does not apply to any 1) Any state or political subdivision, but occurrence" which takes place after only with respect to operations you cease to lease that equipment. performed by you or on your behalf for c. Lessors Of Land Or Premises which the state or political subdivision 1) Any person or organization from has issued a permit. whom you lease land or premises, but 2) With respect to the insurance afforded only with respect to liability arising out to these additional insureds, this of the ownership, maintenance or use insurance does not apply to: of that part of the land or premises a) "Bodily injury", "property damage" leased to you. or "personal and advertising 2) With respect to the insurance afforded injury" arising out of operations to these additional insureds, this performed for the state or insurance does not apply to: municipality; or a) Any "occurrence" which takes b) "Bodily injury" or"property damage" place after you cease to lease that included within the "products- land or be a tenant in that completed operations hazard". premises;or f. Any Other Party b) Structural alterations, new 1) Any other person or organization who construction or demolition is not an insured under Paragraphs a. operations performed by or on through e. above, but only with behalf of such person or respect to liability for "bodily injury", organization. property damage" or "personal and d. Architects, Engineers Or Surveyors advertising injury" caused, in whole or 1) Any architect, engineer, or surveyor, but in part, by your acts or omissions or only with respect to liability for "bodily the acts or omissions of those acting injury", "property damage" or "personal on your behalf: and advertising injury" caused, in whole a) In the performance of your or in part, by your acts or omissions or ongoing operations; the acts or omissions of those acting on b) In connection with your premises your behalf: owned by or rented to you;or a) In connection with your premises; c) In connection with "your work"and or included within the "products- b) In the performance of your completed operations hazard", but ongoing operations performed by only if you or on your behalf. i) The written contract or written 2) With respect to the insurance afforded agreement requires you to to these additional insureds, the provide such coverage to following additional exclusion applies:such additional insured;and This insurance does not apply to ii) This Coverage Part provides bodily injury", "property damage" or coverage for "bodily injury" or personal and advertising injury" property damage" included arising out of the rendering of or the within the "products- failure to render any professional completed operations hazard". services by or for you, including: 2) With respect to the insurance afforded a) The preparing, approving, or to these additional insureds, this failure to prepare or approve, insurance does not apply to: maps, shop drawings, opinions, Bodily injury", "property damage" or reports, surveys, field orders, personal and advertising injury" change orders, designs or arising out of the rendering of, or the drawings and specifications; or failure to render, any professional b) Supervisory, inspection, architectural, engineering or surveying architectural or engineering services, including: activities. Form SS 00 08 04 05 Page 13 of 24 51 SBABA5314 BUSINESS LIABILITY COVERAGE FORM a) The preparing, approving, or This General Aggregate limit does not failure to prepare or approve,apply to "property damage" to premises maps, shop drawings, opinions,while rented to you or temporarily reports, surveys, field orders,occupied by you with permission of the change orders, designs or owner, arising out of fire, lightning or drawings and specifications; or explosion. b) Supervisory, inspection, 3. Each Occurrence Limit architectural or engineering Subject to 2.a. or 2.b above, whichever activities. applies, the most we will pay for the sum of all The limits of insurance that apply to additional damages because of all "bodily injury", insureds are described in Section D. — Limits property damage" and medical expenses Of Insurance. arising out of any one "occurrence" is the How this insurance applies when other Liability and Medical Expenses Limit shown in insurance is available to an additional insured the Declarations. is described in the Other Insurance Condition The most we will pay for all medical expenses in Section E. —Liability And Medical Expenses because of "bodily injury" sustained by any General Conditions. one person is the Medical Expenses Limit No person or organization is an insured with shown in the Declarations. respect to the conduct of any current or past 4. Personal And Advertising Injury Limit partnership, joint venture or limited liability Subject to 2.b. above, the most we will pay for company that is not shown as a Named Insured in the sum of all damages because of all the Declarations. personal and advertising injury" sustained by D. LIABILITY AND MEDICAL EXPENSES any one person or organization is the Personal LIMITS OF INSURANCE and Advertising Injury Limit shown in the Declarations. 1. The Most We Will Pay 5. Damage To Premises Rented To You Limit The Limits of Insurance shown in the Declarations and the rules below fix the most The Damage To Premises Rented To You we will pay regardless of the number of: Limit is the most we will pay under Business Liability Coverage for damages because of a. Insureds; property damage" to any one premises, while b. Claims made or"suits" brought; or rented to you, or in the case of damage by fire, c. Persons or organizations making claims or lightning or explosion, while rented to you or bringing "suits". temporarily occupied by you with permission of 2. Aggregate Limits the owner. The most we will pay for: In the case of damage by fire, lightning or explosion,the Damage to Premises Rented To a. Damages because of "bodily injury" and You Limit applies to all damage proximately property damage" included in the caused by the same event, whether such products-completed operations hazard" is damage results from fire, lightning or explosion the Products-Completed Operations or any combination of these. Aggregate Limit shown in the Declarations. 6. How Limits Apply To Additional Insureds b. Damages because of all other "bodily The most we will pay on behalf of a person or injury", "property damage" or "personal organization who is an additional insured and advertising injury", including medical under this Coverage Part is the lesser of: expenses, is the General Aggregate Limit a. The limits of insurance specified in a shown in the Declarations. written contract, written agreement or This General Aggregate Limit applies permit issued by a state or political separately to each of your "locations" subdivision;or owned by or rented to you. b. The Limits of Insurance shown in the Location" means premises involving the Declarations. same or connecting lots, or premises Such amount shall be a part of and not in whose connection is interrupted only by a addition to the Limits of Insurance shown in street, roadway or right-of-way of a the Declarations and described in this Section. railroad. Page 14 of 24 Form SS 00 08 04 05 51 SBABA5314 BUSINESS LIABILITY COVERAGE FORM If more than one limit of insurance under this 1) Immediately send us copies of any policy and any endorsements attached thereto demands, notices, summonses or applies to any claim or"suit", the most we will pay legal papers received in connection under this policy and the endorsements is the with the claim or"suit"; single highest limit of liability of all coverages 2) Authorize us to obtain records and applicable to such claim or "suit". However, this other information; paragraph does not apply to the Medical Expenses limit set forth in Paragraph 3.above. 3) Cooperate with us in the investigation, settlement of the claim or defense The Limits of Insurance of this Coverage Part apply against the"suit"; and separately to each consecutive annual period and to 4) Assist us, upon our request, in the any remaining period of less than 12 months, starting enforcement of any right against any with the beginning of the policy period shown in the person or organization that may be Declarations, unless the policy period is extended liable to the insured because of injury after issuance for an additional period of less than 12 or damage to which this insurance months. In that case, the additional period will be may also apply. deemed part of the last preceding period for purposes of determining the Limits of Insurance. d. Obligations At The Insured's Own Cost E. LIABILITY AND MEDICAL EXPENSES No insured will, except at that insured's own GENERAL CONDITIONS cost, voluntarily make a payment, assume any obligation, or incur any expense, other 1. Bankruptcy than for first aid,without our consent. Bankruptcy or insolvency of the insured or of e. Additional Insured's Other Insurance the insured's estate will not relieve us of our If we cover a claim or "suit" under this obligations under this Coverage Part. Coverage Part that may also be covered 2. Duties In The Event Of Occurrence,by other insurance available to an Offense, Claim Or Suit additional insured, such additional insured a. Notice Of Occurrence Or Offense must submit such claim or "suit" to the other insurer for defense and indemnity. You or any additional insured must see to it that we are notified as soon as However, this provision does not apply to practicable of an "occurrence" or an the extent that you have agreed in a offense which may result in a claim. To written contract, written agreement or the extent possible, notice should include: permit that this insurance is primary and non-contributory with the additional 1) How, when and where the "occurrence"insured's own insurance. or offense took place;f. Knowledge Of An Occurrence, Offense, 2) The names and addresses of any Claim Or Suit injured persons and witnesses; and Paragraphs a. and b. apply to you or to 3) The nature and location of any injury any additional insured only when such or damage arising out of the occurrence", offense, claim or "suit" is occurrence"or offense. known to: b. Notice Of Claim 1) You or any additional insured that is If a claim is made or "suit" is brought an individual; against any insured, you or any additional 2) Any partner, if you or an additional insured must:insured is a partnership; 1) Immediately record the specifics of the 3) Any manager, if you or an additional claim or "suit" and the date received; insured is a limited liability company; and 4) Any "executive officer" or insurance 2) Notify us as soon as practicable. manager, if you or an additional You or any additional insured must see to insured is a corporation; it that we receive a written notice of the 5) Any trustee, if you or an additional claim or"suit"as soon as practicable. insured is a trust; or c. Assistance And Cooperation Of The 6) Any elected or appointed official, if you Insured or an additional insured is a political You and any other involved insured must: subdivision or public entity. Form SS 00 08 04 05 Page 15 of 24 51SBABA5314 BUSINESS LIABILITY COVERAGE FORM This Paragraph f. applies separately to 3) We have issued this policy in reliance you and any additional insured. upon your representations. 3. Financial Responsibility Laws b. Unintentional Failure To Disclose a. When this policy is certified as proof of Hazards financial responsibility for the future under If unintentionally you should fail to disclose the provisions of any motor vehicle all hazards relating to the conduct of your financial responsibility law, the insurance business at the inception date of this provided by the policy for "bodily injury"Coverage Part, we shall not deny any liability and "property damage" liability will coverage under this Coverage Part comply with the provisions of the law to because of such failure. the extent of the coverage and limits of 7. Other Insurance insurance required by that law.If other valid and collectible insurance is b. With respect to "mobile equipment" to available for a loss we cover under this which this insurance applies, we will Coverage Part, our obligations are limited as provide any liability, uninsured motorists, follows: underinsured motorists, no-fault or other coverage required by any motor vehicle a. Primary Insurance law. We will provide the required limits for This insurance is primary except when b. those coverages. below applies. If other insurance is also 4. Legal Action Against Us primary, we will share with all that other No person or organization has a right under insurance by the method described in c. this Coverage Form: below. a. To join us as a party or otherwise bring us b. Excess Insurance into a "suit" asking for damages from an This insurance is excess over any of the insured; or other insurance, whether primary, excess, b. To sue us on this Coverage Form unless contingent or on any other basis: all of its terms have been fully complied 1) Your Work with. That is Fire, Extended Coverage, A person or organization may sue us to recover Builder's Risk, Installation Risk or on an agreed settlement or on a final judgment similar coverage for"your work"; against an insured; but we will not be liable for 2) Premises Rented To You damages that are not payable under the terms of this insurance or that are in excess of the That is fire, lightning or explosion applicable limit of insurance. An agreed insurance for premises rented to you settlement means a settlement and release of or temporarily occupied by you with liability signed by us, the insured and the permission of the owner; claimant or the claimant's legal representative. 3) Tenant Liability 5. Separation Of Insureds That is insurance purchased by you to Except with respect to the Limits of Insurance, cover your liability as a tenant for and any rights or duties specifically assigned property damage" to premises rented in this policy to the first Named Insured, this to you or temporarily occupied by you with permission of the owner;insurance applies: a. As if each Named Insured were the only 4) Aircraft,Auto Or Watercraft Named Insured; and If the loss arises out of the maintenance b. Separately to each insured against whom or use of aircraft, "autos"or watercraft to a claim is made or"suit" is brought. the extent not subject to Exclusion g. of Section A.—Coverages. 6. Representations 5) Property Damage To Borrowed a. When You Accept This Policy Equipment Or Use Of Elevators By accepting this policy, you agree: If the loss arises out of "property 1) The statements in the Declarations damage" to borrowed equipment or are accurate and complete; the use of elevators to the extent not 2) Those statements are based upon subject to Exclusion k. of Section A. — representations you made to us; and Coverages. Page 16 of 24 Form SS 00 08 04 05 51 SBABA5314 BUSINESS LIABILITY COVERAGE FORM 6) When You Are Added As An When this insurance is excess over other Additional Insured To Other insurance, we will pay only our share of Insurance the amount of the loss, if any, that That is other insurance available to exceeds the sum of: you covering liability for damages 1) The total amount that all such other arising out of the premises or insurance would pay for the loss in the operations, or products and completed absence of this insurance; and operations, for which you have been 2) The total of all deductible and self- added as an additional insured by that insured amounts under all that other insurance; or insurance. 7) When You Add Others As An We will share the remaining loss,if any,with Additional Insured To This any other insurance that is not described in Insurance this Excess Insurance provision and was not That is other insurance available to an bought specifically to apply in excess of the additional insured.Limits of Insurance shown in the However, the following provisions Declarations of this Coverage Part. apply to other insurance available to c. Method Of Sharing any person or organization who is an If all the other insurance permits additional insured under this Coverage contribution by equal shares, we will follow Part: this method also. Under this approach, a) Primary Insurance When each insurer contributes equal amounts Required By Contract until it has paid its applicable limit of This insurance is primary if you insurance or none of the loss remains, have agreed in a written contract,whichever comes first. written agreement or permit that If any of the other insurance does not permit this insurance be primary. If other contribution by equal shares, we will insurance is also primary, we will contribute by limits. Under this method,each share with all that other insurance insurer's share is based on the ratio of its by the method described in c.applicable limit of insurance to the total below. applicable limits of insurance of all insurers. b) Primary And Non-Contributory 8. Transfer Of Rights Of Recovery Against To Other Insurance When Others To Us Required By Contract a. Transfer Of Rights Of Recovery If you have agreed in a written If the insured has rights to recover all or contract, written agreement or part of any payment, including permit that this insurance is Supplementary Payments, we have made primary and non-contributory with under this Coverage Part, those rights are the additional insured's own transferred to us. The insured must do insurance, this insurance is nothing after loss to impair them. At our primary and we will not seek request, the insured will bring "suit" or contribution from that other transfer those rights to us and help us insurance. enforce them. This condition does not Paragraphs(a) and (b) do not apply to apply to Medical Expenses Coverage. other insurance to which the additional b. Waiver Of Rights Of Recovery (Waiver insured has been added as an Of Subrogation) additional insured. If the insured has waived any rights of When this insurance is excess, we will recovery against any person or have no duty under this Coverage Part to organization for all or part of any payment, defend the insured against any"suit" if any including Supplementary Payments, we other insurer has a duty to defend the have made under this Coverage Part, we insured against that "suit". If no other also waive that right, provided the insured insurer defends, we will undertake to do waived their rights of recovery against so, but we will be entitled to the insured's such person or organization in a contract, rights against all those other insurers. agreement or permit that was executed prior to the injury or damage. Form SS 00 08 04 05 Page 17 of 24 BAS56524792 COMMERCIAL AUTO AC 85 43 08 21 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. CALIFORNIA BUSINESS AUTO COVERAGE ENHANCEMENT ENDORSEMENT This endorsement modifies insurance provided under the following: BUSINESS AUTO COVERAGE FORM With respect to coverage afforded by this endorsement, the provisions of the policy apply unless modified by the endorsement. If the policy to which this endorsement is attached also contains a Business Auto Coverage Enhancement Endorsement with a specific state named in the title, this endorsement does not apply to vehicles garaged in that specified state. COVERAGE INDEX SUBJECT PROVISION NUMBER ACCIDENTAL AIRBAG DEPLOYMENT 12 ADDITIONAL INSURED BY CONTRACT, AGREEMENT OR PERMIT 3 AMENDED DUTIES IN THE EVENT OF ACCIDENT, CLAIM, SUIT OR LOSS 20 AMENDED FELLOW EMPLOYEE EXCLUSION 5 AUDIO, VISUAL AND DATA ELECTRONIC EQUIPMENT COVERAGE 14 BODILY INJURY REDEFINED 24 EMPLOYEES AS INSUREDS (Including Employee Hired Auto) 2 EXTRA EXPENSE - BROADENED COVERAGE 10 GLASS REPAIR- WAIVER OF DEDUCTIBLE 16 HIRED AUTO COVERAGE TERRITORY 22 HIRED AUTO PHYSICAL DAMAGE (Including Employee Hired Auto) 6 LOAN / LEASE GAP (Coverage Not Available In New York) 15 NEWLY FORMED OR ACQUIRED SUBSIDIARIES 1 PARKED AUTO COLLISION COVERAGE (WAIVER OF DEDUCTIBLE)17 PERSONAL EFFECTS COVERAGE 11 PHYSICAL DAMAGE - ADDITIONAL TRANSPORTATION EXPENSE COVERAGE 8 PHYSICAL DAMAGE DEDUCTIBLE - VEHICLE TRACKING SYSTEM 13 PRIMARY AND NON-CONTRIBUTORY - WRITTEN CONTRACT OR WRITTEN AGREEMENT 23 RENTAL REIMBURSEMENT 9 SUPPLEMENTARY PAYMENTS 4 TOWING AND LABOR 7 TWO OR MORE DEDUCTIBLES 18 UNINTENTIONAL FAILURE TO DISCLOSE HAZARDS 19 WAIVER OF TRANSFER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US 21 SECTION II -LIABILITY COVERAGE is amended as follows: 1. NEWLY FORMED OR ACQUIRED SUBSIDIARIES SECTION II - LIABILITY COVERAGE, Paragraph A.1. Who Is An Insured is amended to include the following as an "insured": d. Any legally incorporated subsidiary of which you own more than 50 percent interest during the policy period. Coverage is afforded only for 90 days from the date of acquisition or formation. However, "insured" does not include any organization that: 1) Is a partnership or joint venture; or 2) Is an "insured" under any other automobile policy except a policy written specificall y to apply in excess of this policy; or 3) Has exhausted its Limit of Insurance or had its policy terminated under any other automobile policy. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office,Inc.,with its permission. Page 1 of 7 BAS56524792 Coverage under this provision d. does not apply to "bodily injury" or "property damage" that occurred before you acquired or formed the organization. 2. EMPLOYEES AS INSUREDS SECTION II - LIABILITY COVERAGE, Paragraph A.1. Who Is An Insured is amended to include the following as an "insured": e. Any "employee" of yours while using a covered "auto" you do not own, hire or borrow but only for acts within the scope of their employment by you. Insurance provided by this endorsement is excess over any other insurance available to any "employee". f. Any "employee" of yours while operating an "auto" hired or borrowed under a written contract or agreement in that "employee's" name, with your permission, while performing duties related to the conduct of your business and within the scope of their employment. Insurance provided by this endorsement is excess over any other insurance available to the "employee". 3. ADDITIONAL INSURED BY CONTRACT, AGREEMENT OR PERMIT SECTION II - LIABILITY COVERAGE, Paragraph A.1. Who Is An Insured is amended to include the following as an "insured": g. Any person or organization with respect to the operation, maintenance or use of a covered "auto", provided that you and such person or organization have agreed in a written contract, written agreement, or permit issued to you by governmental or public authority, to add such person, or organization, or governmental or public authority to this policy as an "insured". However, such person or organization is an "insured": 1) Only with respect to the operation, maintenance or use of a covered "auto"; 2) Only for "bodily injury" or "property damage" caused by an "accident" which takes place after you executed the written contract or written agreement, or the permit has been issued to you; and 3) Only for the duration of that contract, agreement or permit. The "insured" is required to submit a claim to any other insurer to which coverage could apply for defense and indemnity. Unless the "insured" has agreed in writing to primary noncontributory wording per enhancement number 23, this policy is excess over any other collectible insurance. 4. SUPPLEMENTARY PAYMENTS SECTION II - LIABILITY COVERAGE, Coverage Extensions, 2.a. Supplementary Payments, Paragraphs 2) and (4) are replaced by the following: 2) Up to $3,000 for cost of bail bonds (including bonds for related traffic violations ) required because of an "accident" we cover. We do not have to furnish these bonds. 4) All reasonable expenses incurred by the "insured" at our request, including actual loss of earnings up to $500 a day because of time off from work. 5. AMENDED FELLOW EMPLOYEE EXCLUSION In those jurisdictions where, by law, fellow "employees" are not entitled to the protection afforded to the employer by the workers compensation exclusivity rule, or similar protection, the following provi- sion is added: SECTION II - LIABILITY, Exclusion B.5. Fellow Employee does not apply if the "bodily injury" results from the use of a covered "auto" you own or hire if you have workers compensation insurance in force for all of your "employees" at the time of "loss". This coverage is excess over any other collectible insurance. SECTION III -PHYSICAL DAMAGE COVERAGE is amended as follows: 6. HIRED AUTO PHYSICAL DAMAGE Paragraph A.4. Coverage Extensions of SECTION III - PHYSICAL DAMAGE COVERAGE, is amended by adding the following: If hired "autos" are covered "autos" for Liability Coverage, and if Comprehensive, Specified Causes of Loss or Collision coverage are provided under the Business Auto Coverage Form for any "auto" you own, then the Physical Damage coverages provided are extended to "autos": 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office,Inc.,with its permission. Page 2 of 7 BAS56524792 a. You hire, rent or borrow; or b. Your "employee" hires or rents under a written contract or agreement in that "employee's" name, but only if the damage occurs while the vehicle is being used in the conduct of your business, subject to the following limit and deductible: a. The most we will pay for "loss" in any one "accident" or "loss" is the smallest of: 1) $50,000; or 2) The actual cash value of the damaged or stolen property as of the time of the "loss": or 3) The cost of repairing or replacing the damaged or stolen property with other property of like kind and quality, minus a deductible. b. The deductible will be equal to the largest deductible applicable to any owned "auto" for that coverage. c. Subject to the limit, deductible and excess provisions described in this provision, we will provide coverage equal to the broadest coverage applicable to any covered "auto" you own. d. Subject to a maximum of $1,000 per "accident", we will also cover the actual loss of use of the hired "auto" if it results from an "accident", you are legally liable and the lessor incurs an actual financial loss. e. This coverage extension does not apply to: 1) Any "auto" that is hired, rented or borrowed with a driver; or 2) Any "auto" that is hired, rented or borrowed from your "employee" or any member of your employee's" household. Coverage provided under this extension is excess over any other collectible insurance available at the time of "loss". 7. TOWING AND LABOR SECTION III - PHYSICAL DAMAGE COVERAGE. Paragraph A.2. Towing , is amended by the addition of the following: We will pay towing and labor costs incurred, up to the limits shown below, each time a covered "auto" classified and rated as a private passenger type, "light truck" or "medium truck" is disabled: a. For private passenger type vehicles, we will pay up to $75 per disablement. b. For "light trucks", we will pay up to $75 per disablement. "Light trucks" are trucks that have a gross vehicle weight (GVW) of 10,000 pounds or less. c. For "medium trucks", we will pay up to $150 per disablement. "Medium trucks" are trucks that have a gross vehicle weight (GVW) of 10,001 -20,000 pounds. However, the labor must be performed at the place of disablement. 8. PHYSICAL DAMAGE -ADDITIONAL TRANSPORTATION EXPENSE COVERAGE Paragraph A.4.a. Coverage Extensions, Transportation Expenses of SECTION III - PHYSICAL DAMAGE COVERAGE. is amended to provide a limit of $50 per day and a maximum limit of $1,500. 9. RENTAL REIMBURSEMENT SECTION III -PHYSICAL DAMAGE COVERAGE, A. Coverage, is amended by adding the following: a. We will pay up to $75 per day for rental reimbursement expenses incurred by you for the rental of an "auto" because of "accident" or "loss", to an "auto" for which we also pay a "loss" under Comprehensive, Specified Causes of Loss or Collision Coverages. We will pay only for those ex- penses incurred after the first 24 hours following the "accident" or "loss" to the covered "auto." b. Rental Reimbursement requires the rental of a comparable or lesser vehicle, which in many cases may be substantially less than $75 per day, and will only be allowed for the period of time it should take to repair or replace the vehicle with reasonable speed and similar quality. up to a maximum of 30 days. c. We will also pay up to $500 for reasonable and necessary expenses incurred by you to remove and replace your tools and equipment from the covered "auto". This limit is excess over any other collectible insurance. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office,Inc.,with its permission. Page 3 of 7 BAS56524792 d. This coverage does not apply unless you have a business necessity that other "autos" available for your use and operation cannot fill. e. If "loss" results from the total theft of a covered "auto" of the private passenger type, we will pay under this coverage only that amount of your rental reimbursement expenses which is not already provided under Paragraph 4. Coverage Extension. f. No deductible applies to this coverage. g. The insurance provided under this extension is excess over any other collectible insurance. If this policy also provides Rental Reimbursement Coverage you purchased, the coverage provided by this Enhancement Endorsement is in addition to the coverage you purchased. For the purposes of this endorsement provision, materials and equipment do not include "personal effects" as defined in provision 11.B. 10. EXTRA EXPENSE -BROADENED COVERAGE Under SECTION III - PHYSICAL DAMAGE COVERAGE, A. Coverage . we will pay for the expense of returning a stolen covered "auto" to you. The maximum amount we will pay is $1,000. 11. PERSONAL EFFECTS COVERAGE A. SECTION III -PHYSICAL DAMAGE COVERAGE, A. Coverage, is amended by adding the following: If you have purchased Comprehensive Coverage on this policy for an "auto" you own and that auto" is stolen, we will pay, without application of a deductible, up to $600 for "personal effects" stolen with the "auto." The insurance provided under this provision is excess over any other collectible insurance. B. SECTION V -DEFINITIONS is amended by adding the following: For the purposes of this provision, "personal effects" mean tangible property that is worn or carried by an "insured." "Personal effects" does not include tools, equipment, jewelry. money or securi- ties. 12. ACCIDENTAL AIRBAG DEPLOYMENT SECTION III -PHYSICAL DAMAGE COVERAGE. B. Exclusions is amended by adding the following: If you have purchased Comprehensive or Collision Coverage under this policy, the exclusion for "loss" relating to mechanical breakdown does not apply to the accidental discharge of an airbag. Any insurance we provide shall be excess over any other collectible insurance or reimbursement by manufacturer's warranty. However, we agree to pay any deductible applicable to the other coverage or warranty. 13. PHYSICAL DAMAGE DEDUCTIBLE -VEHICLE TRACKING SYSTEM SECTION III -PHYSICAL DAMAGE COVERAGE, D. Deductible , is amended by adding the following: Any Comprehensive Deductible shown in the Declarations will be reduced by 50% for any "loss" caused by theft if the vehicle is equipped with a vehicle tracking device such as a radio tracking device or a global position device and that device was the method of recovery of the vehicle. 14. AUDIO, VISUAL AND DATA ELECTRONIC EQUIPMENT COVERAGE SECTION III - PHYSICAL DAMAGE COVERAGE, B. Exclusions, Paragraph a. of the exception to exclu- sions 4.c. and 4.d. is deleted and replaced with the following: Exclusions 4.c. and 4.d. do not apply to: a. Electronic equipment that receives or transmits audio, visual or data signals, whether or not de- signed solely for the reproduction of sound, if the equipment is: 1) Permanently installed in the covered "auto" at the time of the "loss" or removable from a housing unit that is permanently installed in the covered "auto"; and 2) Designed to be solely operated by use from the power from the "auto's" electrical system; and 3) Physical damage coverages are provided for the covered "auto". If the "loss" occurs solely to audio, visual or data electronic equipment or accessories used with this equipment, then our obligation to pay for, repair, return or replace damaged or stolen property will be reduced by a$100 deductible. @ 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office,Inc.,with its permission. Page 4 of 7 BAS56524792 15. LOAN / LEASE GAP COVERAGE (Not Applicable In New York) A. Paragraph C. Limit Of Insurance of SECTION III - PHYSICAL DAMAGE COVERAGE is amended by adding the following: The most we will pay for a "total loss" to a covered "auto" owned by or leased to you in any one accident" is the greater of the: 1. Balance due under the terms of the loan or lease to which the damaged covered "auto" is subject at the time of the "loss" less the amount of: a. Overdue payments and financial penalties associated with those payments as of the date of the "loss"; b. Financial penalties imposed under a lease due to high mileage, excessive use or abnormal wear and tear; c. Costs for extended warranties, Credit Life Insurance, Health, Accident or Disability Insur- ance purchased with the loan or lease; d. Transfer or rollover balances from previous loans or leases; e. Final payment due under a "Balloon Loan"; f. The dollar amount of any unrepaired damage which occurred prior to the "total loss" of a covered "auto"; g. Security deposits not refunded by a lessor; h. All refunds payable or paid to you as a result of the early termination of a lease agreement or as a result of the early termination of any warranty or extended service agreement on a covered "auto"; i. Any amount representing taxes; j. Loan or lease termination fees; or 2. The actual cash value of the damage or stolen property as of the time of the "loss". An adjustment for depreciation and physical condition will be made in determining the actual cash value at the time of the "loss". This adjustment is not applicable in Texas. B. Additional Conditions This coverage applies only to the original loan for which the covered "auto" that incurred the loss" serves as collateral, or lease written on the covered "auto" that incurred the "loss". C. SECTION V -DEFINITIONS is changed by adding the following: As used in this endorsement provision, the following definitions apply: Total loss" means a "loss" in which the cost of repairs plus the salvage value exceeds the actual cash value. A "balloon loan" is one with periodic payments that are insufficient to repay the balance over the term of the loan, thereby requiring a large final payment. 16. GLASS REPAIR-WAIVER OF DEDUCTIBLE Paragraph D. Deductible of SECTION III - PHYSICAL DAMAGE COVERAGE is amended by the addition of the following: No deductible applies to glass damage if the glass is repaired rather than replaced. 17. PARKED AUTO COLLISION COVERAGE (WAIVER OF DEDUCTIBLE) Paragraph D. Deductible of SECTION III - PHYSICAL DAMAGE COVERAGE is amended by the addition of the following: The deductible does not apply to "loss" caused by collision to such covered "auto" of the private passenger type or light weight truck with a gross vehicle weight of 10,000 lbs. or less as defined by the manufacturer as maximum loaded weight the "auto" is designed to carry while it is: a. In the charge of an "insured"; b. Legally parked; and c. Unoccupied. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office, Inc.,with its permission. Page 5 of 7 BAS56524792 The "loss" must be reported to the police authorities within 24 hours of known damage. The total amount of the damage to the covered "auto" must exceed the deductible shown in the Declarations. This provision does not apply to any "loss" if the covered "auto" is in the charge of any person or organization engaged in the automobile business. 18. TWO OR MORE DEDUCTIBLES Under SECTION III - PHYSICAL DAMAGE COVERAGE, if two or more company policies or coverage forms apply to the same "accident", the following applies to Paragraph D. Deductible : a. If the applicable Business Auto deductible is the smaller (or smallest) deductible, it will be waived; or b. If the applicable Business Auto deductible is not the smaller (or smallest) deductible , it will be reduced by the amount of the smaller (or smallest) deductible; or c. If the "loss" involves two or more Business Auto coverage forms or policies, the smaller (or smallest) deductible will be waived. For the purpose of this endorsement, company means any company that is part of the Liberty Mutual Group. SECTION IV -BUSINESS AUTO CONDITIONS is amended as follows: 19. UNINTENTIONAL FAILURE TO DISCLOSE HAZARDS SECTION IV- BUSINESS AUTO CONDITIONS , Paragraph B.2. is amended by adding the following: If you unintentionally fail to disclose any hazards, exposures or material facts existing as of the incep- tion date or renewal date of the Business Auto Coverage Form, the coverage afforded by this policy will not be prejudiced. However, you must report the undisclosed hazard of exposure as soon as practicable after its discovery, and we have the right to collect additional premium for any such hazard or exposure. 20. AMENDED DUTIES IN THE EVENT OF ACCIDENT, CLAIM, SUIT OR LOSS SECTION IV - BUSINESS AUTO CONDITIONS , Paragraph A.2.a. is replaced in its entirety by the follow- ing: a. In the event of "accident", claim, "suit" or "loss", you must promptly notify us when it is known to: 1) You. if you are an individual; 2) A partner, if you are a partnership: 3) Member, if you are a limited liability company: 4) An executive officer or the "employee" designated by the Named Insured to give such notice, if you are a corporation. To the extent possible. notice to us should include: a) How, when and where the "accident" or "loss" took place; b) The "insured's'. name and address; and c) The names and addresses of any injured persons and witnesses. 21. WAIVER OF TRANSFER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US SECTION IV - BUSINESS AUTO CONDITIONS , Paragraph A.5. Transfer Of Rights Of Recovery Against Others To Us. is amended by the addition of the following: If the person or organization has in a written agreement waived those rights before an "accident" or loss", our rights are waived also. 22. HIRED AUTO COVERAGE TERRITORY SECTION IV - BUSINESS AUTO CONDITIONS , Paragraph B.7. Policy Period, Coverage Territory , is amended by the addition of the following: f. For "autos" hired 30 days or less, the coverage territory is anywhere in the world, provided that the insured's" responsibility to pay for damages is determined in a "suit", on the merits, in the United States, the territories and possessions of the United States of America, Puerto Rico or Canada or in a settlement we agree to. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office, Inc.,with its permission. Page 6 of 7 BAS56524792 This extension of coverage does not apply to an "auto" hired, leased, rented or borrowed with a driver. 23. PRIMARY AND NON-CONTRIBUTING IF REQUIRED BY WRITTEN CONTRACT OR WRITTEN AGREE- ME NT The following is added to SECTION IV - BUSINESS AUTO CONDITIONS, General Conditions, B.5. Other Insurance and supersedes any provision to the contrary: This Coverage Form's Covered Autos Liability Coverage is primary to and will not seek contribution from any other insurance available to an "insured" under your policy provided that: 1. Such "insured" is a Named Insured under such other insurance; and 2. You have agreed in a written contract or written agreement that this insurance would be primary and would not seek contribution from any other insurance available to such "insured". SECTION V -DEFINITIONS is amended as follows: 24. BODILY INJURY REDEFINED Under SECTION V -DEFINITIONS , Definition C. is replaced by the following: Bodily injury" means physical injury, sickness or disease sustained by a person, including mental anguish, mental injury, shock, fright or death resulting from any of these at any time. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office, Inc.,with its permission. Page 7 of 7 LISAWIS-01 MCHEW A CERTIFICATE OF LIABILITY INSURANCE DATE(MM/DDIYYYY) 8/1/2023 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER.THISCERTIFICATEDOESNOTAFFIRMATIVELYORNEGATIVELYAMEND, 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 License#0305584 CONTACT NAME: Morris&Garritano Insurance Agency,Inc. PHONE ac,No,E:t):(805)543-6887 I FAX Drawer 1189 ac,No):(805 543-3064 San Luls Obispo,CA 93406 E-MAIMADDRESS: INSURER(S)AFFORDING COVERAGE NAIC# INSURER A:Sentinel Insurance Company 11000 INSURED INSURER B:Ohio Security Insurance Company 24082 Lisa Wise Consulting,Inc. INSURER c:Oak River Insurance Company 34630 983 Osos Street INSURER D:Twin City Fire Insurance Company 29459 San Luis Obispo,CA 93401 INSURER E: INSURER F: COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIODINDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THISCERTIFICATEMAYBEISSUEDORMAYPERTAIN, 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. INS ADDL SUBR POUCY EFF POUCY EXP W LIMITS LIR TYPE OF INSURANCE INS° VD POUCY NUMBER MM(DDIYYYY1 IMMIDD/YYYY) A X COMMERCIAL GENERAL LIABIUTY EACH OCCURRENCE 5 2,000,000 CLAIMS-MADE X OCCUR X 51SBABA5314 4/1/2023 4/1/2024 PREMISES(EaE rrenceL S 1,000,000 MED EXP(Any one person) S 10,000 PERSONAL.1 ADV INJURY S 2,000,000 GENERAL AGGREGATE. S 4,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: 4,000,000 X POLICY je DLOC PRODUCTS-COMP/OP AGG S S OTHER: EOCOMBINED SINGLE UMIT 5 1,000,000 B AUTOMOBILE UABIUTY X ANY AUTO BAS56524792 4/1/2023 4/1/2024 BODILY INJURY(Per person) S AU TOSONLY SCHEDULED BODILY INJURY(Per accident) S AUTOS ONLY ALTO O LY Per PROPERTY S S UMBRELLA LIAR OCCUR EACH OCCURRENCE S EXCESS UAB CLAIMS-MADE AGGREGATE S DED RETENTION S 5 C WORKERS OMCOMPENSATION X SATUE ER EMPLOYERS' rIN LIWC422640 4/1/2023 4/1/2024 1,000,000 ANY PROPRIETOR/PARTNER/EXECUTIVE I E.L EACH ACCIDENT OFFICER/MEMBER EXCLUDED?NIA 1,000,000 Mandatory In NH) E.L.DISEASE-EA EMPLOYEE S If yes,describe under E.L.DISEASE-POLICY LIMIT 5 1,000,000 DESCRIPTION OF OPERATIONS below D Professional Liab. 51 PG028245723 4/1/2023 4/1/2024 Per Claim&Agg.2,000,000 D Professional Liab. 51PG028245723 4/1/2023 4/1/2024 Deductible 5,000 DESCRIPTION OF OPERATIONS I LOCATIONS/VEHICLES (ACORD 101,Additional Remarks Schedule,may be attached if more space is required) See form attached as triggered by written contract: GL:AI/PNC-SS0008 0405. AL:Al-AC8543 0821 CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN City of Seal Beach ACCORDANCE WITH THE POLICY PROVISIONS. Community Development Director 211 8th Street Seal Beach,CA 90740 AUTHORIZED REPRESENTATIVE A044._ ACORD 25(2016/03) 1988-2015 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD 51SBABA5314 BUSINESS LIABILITY COVERAGE FORM 2. Applicable To Medical Expenses Coverage e. A trust, you are an insured. Your trustees We will not pay expenses for"bodily injury": are also insureds, but only with respect to their duties as trustees. a. Any Insured To any insured,except"volunteer workers".2. Each of the following is also an insured: b. Hired Person a. Employees And Volunteer Workers To a person hired to do work for or on behalf Your "volunteer workers" only while of any insured or a tenant of any insured. performing duties related to the conduct of c. Injury On Normally Occupied Premises your business, or your "employees", other than either your"executive officers" (if you To a person injured on that part of are an organization other than a premises you own or rent that the person partnership,joint venture or limited liability normally occupies. company) or your managers (if you are a d. Workers' Compensation And Similar limited liability company), but only for acts Laws within the scope of their employment by To a person, whether or not an you or while performing duties related to employee" of any insured, if benefits for the conduct of your business. the "bodily injury" are payable or must be However, none of these "employees" or provided under a workers' compensation volunteer workers"are insureds for: or disability benefits law or a similar law. 1) "Bodily injury" or "personal and e. Athletics Activities advertising injury": To a person injured while practicing, a) To you, to your partners or instructing or participating in any physical members (if you are a partnership exercises or games, sports or athletic or Joint venture), to your members contests. if you are a limited liability company), or to a co"employee" f. Products-Completed Operations Hazard while in the course of his or her Included with the "products-completed employment or performing duties operations hazard". related to the conduct of your g. Business Liability Exclusions business, or to your other Excluded under Business Liability Coverage. volunteer workers" while performing duties related to the C. WHO IS AN INSURED conduct of your business; 1. If you are designated in the Declarations as:b) To the spouse, child, parent, a. An individual, you and your spouse are brother or sister of that co- insureds, but only with respect to the employee" or that "volunteer conduct of a business of which you are the worker" as a consequence of sole owner. Paragraph (1)(a)above; b. A partnership or joint venture, you are an c) For which there is any obligation insured. Your members, your partners, and to share damages with or repay their spouses are also insureds,but only with someone else who must pay respect to the conduct of your business.damages because of the injury c. A limited liability company, you are an described in Paragraphs (1)(a) or insured. Your members are also insureds, b)above; or but only with respect to the conduct of your d) Arising out of his or her providing business. Your managers are insureds, but or failing to provide professional only with respect to their duties as your health care services. managers. If you are not in the business of d. An organization other than a partnership, providing professional health care joint venture or limited liability company,you services, Paragraph (d) does not apply are an insured. Your"executive officers"and to any nurse, emergency medical directors are insureds, but only with respect technician or paramedic employed by to their duties as your officers or directors. you to provide such services. Your stockholders are also insureds,but only 2) "Property damage"to property: with respect to their liability as stockholders. a) Owned,occupied or used by, Page 10 of 24 Form SS 00 08 04 05 51SBABA5314 BUSINESS LIABILITY COVERAGE FORM b) Rented to, in the care, custody or b. Coverage under this provision does not control of, or over which physical apply to: control is being exercised for any 1) "Bodily injury" or "property damage" purpose by you, any of your that occurred; or employees", "volunteer workers", 2) "Personal and advertising injury" any partner or member (if you are a partnership or joint venture), or arising out of an offense committed any member (if you are a limited before you acquired or formed the liability company). organization. b. Real Estate Manager 4. Operator Of Mobile Equipment Any person (other than your"employee" or With respect to "mobile equipment" registered in volunteer worker"), or any organization your name under any motor vehicle registration while acting as your real estate manager. law, any person is an insured while driving such c. Temporary Custodians Of Your equipment along a public highway with your Property permission. Any other person or organization responsible for the conduct of such person is Any person or organization having proper also an insured, but only with respect to liability temporary custody of your property if you arising out of the operation of the equipment,and die, but only: only if no other insurance of any kind is available 1) With respect to liability arising out of the to that person or organization for this liability. maintenance or use of that property;and However, no person or organization is an insured 2) Until your legal representative has with respect to: been appointed. a. "Bodily injury" to a co-"employee" of the d. Legal Representative If You Die person driving the equipment; or Your legal representative if you die, but b. "Property damage" to property owned by, only with respect to duties as such. That rented to, in the charge of or occupied by representative will have all your rights and you or the employer of any person who is duties under this insurance. an insured under this provision. e. Unnamed Subsidiary 5. Operator of Nonowned Watercraft Any subsidiary and subsidiary thereof, of With respect to watercraft you do not own that yours which is a legally incorporated entity is less than 51 feet long and is not being used of which you own a financial interest of to carry persons for a charge, any person is an more than 50% of the voting stock on the insured while operating such watercraft with effective date of this Coverage Part. your permission. Any other person or organization responsible for the conduct of The insurance afforded herein for any such person is also an insured, but only with subsidiary not shown in the Declarations respect to liability arising out of the operation as a named insured does not apply to of the watercraft, and only if no other injury or damage with respect to which an insurance of any kind is available to that insured under this insurance is also an person or organization for this liability. insured under another policy or would be an insured under such policy but for its However, no person or organization is an termination or upon the exhaustion of its insured with respect to: limits of insurance.a. "Bodily injury" to a co-"employee" of the 3. Newly Acquired Or Formed Organization person operating the watercraft; or Any organization you newly acquire or form, b. "Property damage" to property owned by, other than a partnership, joint venture or rented to, in the charge of or occupied by limited liability company, and over which you you or the employer of any person who is maintain financial interest of more than 50% of an insured under this provision. the voting stock, will qualify as a Named 6. Additional Insureds When Required By Insured if there is no other similar insurance Written Contract, Written Agreement Or available to that organization. However: Permit a. Coverage under this provision is afforded The person(s) or organization(s) identified in only until the 180th day after you acquire Paragraphs a. through f. below are additional or form the organization or the end of the insureds when you have agreed, in a written policy period,whichever is earlier; and Form SS 00 08 04 05 Page 11 of 24 51SBABA5314 BUSINESS LIABILITY COVERAGE FORM contract, written agreement or because of a e) Any failure to make such permit issued by a state or political inspections, adjustments, tests or subdivision, that such person or organization servicing as the vendor has be added as an additional insured on your agreed to make or normally policy, provided the injury or damage occurs undertakes to make in the usual subsequent to the execution of the contract or course of business, in connection agreement,or the issuance of the permit. with the distribution or sale of the A person or organization is an additional products; insured under this provision only for that f) Demonstration, installation, period of time required by the contract, servicing or repair operations, agreement or permit. except such operations performed at the vendor's premises in However, no such person or organization is an connection with the sale of the additional insured under this provision if such product; person or organization is included as an additional insured by an endorsement issued g) Products which, after distribution by us and made a part of this Coverage Part, or sale by you, have been labeled including all persons or organizations added or relabeled or used as a as additional insureds under the specific container, part or ingredient of any additional insured coverage grants in Section other thing or substance by or for F.—Optional Additional Insured Coverages. the vendor;or a. Vendors h) "Bodily injury" or "property damage" arising out of the sole Any person(s)or organization(s) (referred to negligence of the vendor for its below as vendor), but only with respect to own acts or omissions or those of bodily injury" or "property damage" arising its employees or anyone else out of"your products" which are distributed acting on its behalf. However,this or sold in the regular course of the vendor's exclusion does not apply to: business and only if this Coverage Part provides coverage for "bodily injury" or I) The exceptions contained in property damage" included within the Subparagraphs(d)or(f); or products-completed operations hazard". ii) Such inspections, adjustments, 1) The insurance afforded to the vendor tests or servicing as the vendor is subject to the following additional has agreed to make or normally exclusions: undertakes to make in the usual course of business, in This insurance does not apply to: connection with the distribution a) "Bodily injury" or "property or sale of the products. damage" for which the vendor is 2) This insurance does not apply to any obligated to pay damages by insured person or organization from reason of the assumption of whom you have acquired such products, liability in a contract or agreement. or any ingredient, part or container, This exclusion does not apply to entering into, accompanying or liability for damages that the containing such products. vendor would have in the absence of the contract or agreement; b. Lessors Of Equipment b) Any express warranty 1) Any person or organization from unauthorized by you; whom you lease equipment; but only with respect to their liability for"bodily c) Any physical or chemical change injury", "property damage" or in the product made intentionally personal and advertising injury" by the vendor; caused, in whole or in part, by your d) Repackaging, except when maintenance, operation or use of unpacked solely for the purpose of equipment leased to you by such inspection, demonstration, testing, person or organization. or the substitution of parts under instructions from the manufacturer, and then repackaged in the original container; Page 12of24 Form SS 00 08 04 05 51SBABA5314 BUSINESS LIABILITY COVERAGE FORM 2) With respect to the insurance afforded e. Permits Issued By State Or Political to these additional insureds, this Subdivisions insurance does not apply to any 1) Any state or political subdivision, but occurrence" which takes place after only with respect to operations you cease to lease that equipment. performed by you or on your behalf for c. Lessors Of Land Or Premises which the state or political subdivision 1) Any person or organization from has issued a permit. whom you lease land or premises, but 2) With respect to the insurance afforded only with respect to liability arising out to these additional insureds, this of the ownership, maintenance or use insurance does not apply to: of that part of the land or premises a) "Bodily injury", "property damage" leased to you.or "personal and advertising 2) With respect to the insurance afforded injury" arising out of operations to these additional insureds, this performed for the state or insurance does not apply to: municipality;or a) Any "occurrence" which takes b) "Bodily injury" or"property damage" place after you cease to lease that included within the "products- land or be a tenant in that completed operations hazard". premises;or f. Any Other Party b) Structural alterations, new 1) Any other person or organization who construction or demolition is not an insured under Paragraphs a. operations performed by or on through e. above., but only with behalf of such person or respect to liability for "bodily injury", organization. property damage" or "personal and d. Architects,Engineers Or Surveyors advertising injury" caused, in whole or 1) Any architect, engineer, or surveyor, but in part, by your acts or omissions or only with respect to liability for "bodily the acts or omissions of those acting injury", "property damage" or "personal on your behalf: and advertising injury" caused, in whole a) In the performance of your or in part, by your acts or omissions or ongoing operations; the acts or omissions of those acting on b) In connection with your premises your behalf owned by or rented to you;or a) In connection with your premises; c) In connection with"your work"and or included within the "products- b) In the performance of your completed operations hazard", but ongoing operations performed by only if you or on your behalf. i) The written contract or written 2) With respect to the insurance afforded agreement requires you to to these additional insureds, the provide such coverage to following additional exclusion applies:such additional insured;and This insurance does not apply to ii) This Coverage Part provides bodily injury", "property damage" or coverage for "bodily injury" or personal and advertising injury" property damage" included arising out of the rendering of or the within the "products- failure to render any professional completed operations hazard". services by or for you,including: 2) With respect to the insurance afforded a) The preparing, approving, or to these additional insureds, this failure to prepare or approve, insurance does not apply to: maps, shop drawings, opinions, Bodily injury", "property damage" or reports, surveys, field orders, personal and advertising injury" change orders, designs or arising out of the rendering of, or the drawings and specifications;or failure to render, any professional b) Supervisory, inspection, architectural, engineering or surveying architectural or engineering services, including: activities. Form SS 00 08 04 05 Page 13 of 24 51SBABA5314 BUSINESS LIABILITY COVERAGE FORM a) The preparing, approving, or This General Aggregate limit does not failure to prepare or approve,apply to "property damage" to premises maps, shop drawings, opinions,while rented to you or temporarily reports, surveys, field orders,occupied by you with permission of the change orders, designs or owner, arising out of fire, lightning or drawings and specifications;or explosion. b) Supervisory, inspection, 3. Each Occurrence Limit architectural or engineering Subject to 2.a. or 2.b above, whichever activities. applies, the most we will pay for the sum of all The limits of insurance that apply to additional damages because of all "bodily injury", insureds are described in Section D. — Limits property damage" and medical expenses Of Insurance. arising out of any one "occurrence" is the How this insurance applies when other Liability and Medical Expenses Limit shown in insurance is available to an additional insured the Declarations. is described in the Other Insurance Condition The most we will pay for all medical expenses in Section E.—Liability And Medical Expenses because of "bodily injury" sustained by any General Conditions. one person is the Medical Expenses Limit No person or organization is an insured with shown in the Declarations. respect to the conduct of any current or past 4. Personal And Advertising Injury Limit partnership, joint venture or limited liability Subject to 2.b. above, the most we will pay for company that is not shown as a Named Insured in the sum of all damages because of all the Declarations. personal and advertising injury" sustained by D. LIABILITY AND MEDICAL EXPENSES any one person or organization is the Personal LIMITS OF INSURANCE and Advertising Injury Limit shown in the Declarations. 1. The Most We Will Pay 5. Damage To Premises Rented To You Limit The Limits of Insurance shown in the Declarations and the rules below fix the most The Damage To Premises Rented To You we will pay regardless of the number of: Limit is the most we will pay under Business Liability Coverage for damages because of a. Insureds; property damage" to any one premises, while b. Claims made or"suits"brought;or rented to you, or in the case of damage by fire, c. Persons or organizations making claims or lightning or explosion, while rented to you or bringing"suits". temporarily occupied by you with permission of 2. Aggregate Limits the owner. The most we will pay for; In the case of damage by fire, lightning or explosion,the Damage to Premises Rented To a. Damages because of "bodily injury" and You Limit applies to all damage proximately property damage" included in the caused by the same event, whether such products-completed operations hazard"is damage results from fire, lightning or explosion the Products-Completed Operations or any combination of these. Aggregate Limit shown in the Declarations. 6. How Limits Apply To Additional Insureds b. Damages because of all other "bodily The most we will pay on behalf of a person or organization who is an additional insured property property damage" or "personal and advertising injury", including medical under this Coverage Part is the lesser of: expenses, is the General Aggregate Limit a. The limits of insurance specified in a shown in the Declarations. written contract, written agreement or This General Aggregate Limit applies permit issued by a state or political separately to each of your "locations" subdivision;or owned by or rented to you. b. The Limits of Insurance shown in the Location" means premises involving the Declarations. same or connecting lots, or premises Such amount shall be a part of and not in whose connection is interrupted only by a addition to the Limits of Insurance shown in street, roadway or right-of-way of a the Declarations and described in this Section. railroad. Page 14 of 24 Form SS 00 08 04 05 51SBABA5314 BUSINESS LIABILITY COVERAGE FORM If more than one limit of insurance-under this 1) Immediately send us copies of any policy and any endorsements attached thereto demands, notices, summonses or applies to any claim or"suit", the most we will pay legal papers received in connection under this policy and the endorsements is the with the claim or"suit"; single highest limit of liability of all coverages 2) Authorize us to obtain records and applicable to such claim or "suit". However, this other information; paragraph does not apply to the Medical Expenses limit set forth in Paragraph 3.above. 3) Cooperate with us in the investigation, settlement of the claim or defense The Limits of Insurance of this Coverage Part apply against the"suit"; and separately to each consecutive annual period and to 4) Assist us, upon our request, in the any remaining period of less than 12 months,starting enforcement of any right against any with the beginning of the policy period shown in the person or organization that may be Declarations, unless the policy period is extended liable to the insured because of injury after issuance for an additional period of less than 12 or damage to which this insurance months. In that case, the additional period will be may also apply. deemed part of the last preceding period for purposes of determining the Limits of Insurance. d. Obligations At The Insured's Own Cost E. LIABILITY AND MEDICAL EXPENSES No insured will, except at that insured's own GENERAL CONDITIONS cost, voluntarily make a payment, assume any obligation, or incur any expense, other 1. Bankruptcy than for first aid,without our consent. Bankruptcy or insolvency of the insured or of e. Additional Insured's Other Insurance the insured's estate will not relieve us of our If we cover a claim or "suit" under this obligations under this Coverage Part. Coverage Part that may also be covered 2. Duties In The Event Of Occurrence,by other insurance available to an Offense, Claim Or Suit additional insured, such additional insured a. Notice Of Occurrence Or Offense must submit such claim or "suit" to the other insurer for defense and indemnity. You or any additional insured must see to it that we are notified as soon as However, this provision does not apply to practicable of an "occurrence" or an the extent that you have agreed in a offense which may result in a claim. To written contract, written agreement or the extent possible, notice should include: permit that this insurance is primary and non-contributory with the additional 1) How, when and where the "occurrence"insured's own insurance. or offense took place;f. Knowledge Of An Occurrence, Offense, 2) The names and addresses of any Claim Or Suit injured persons and witnesses; and Paragraphs a. and b. apply to you or to 3) The nature and location of any injury any additional insured only when such or damage arising out of the occurrence", offense, claim or "suit" is occurrence"or offense. known to: b. Notice Of Claim 1) You or any additional insured that is If a claim is made or "suit" is brought an individual; against any insured, you or any additional 2) Any partner, if you or an additional insured must:insured is a partnership; 1) Immediately record the specifics of the 3) Any manager, if you or an additional claim or "suit" and the date received; insured is a limited liability company; and 4) Any "executive officer" or insurance 2) Notify us as soon as practicable. manager, if you or an additional You or any additional insured must see to insured is a corporation; it that we receive a written notice of the 5) Any trustee, if you or an additional claim or"suit" as soon as practicable. insured is a trust; or c. Assistance And Cooperation Of The 6) Any elected or appointed official, if you Insured or an additional insured is a political You and any other involved insured must: subdivision or public entity. Form SS 00 08 04 05 Page 15 of 24 51 SBABA5314 BUSINESS LIABILITY COVERAGE FORM This Paragraph f. applies separately to 3) We have issued this policy in reliance you and.any additional insured. upon your representations. 3. Financial Responsibility Laws b. Unintentional Failure To Disclose a. When this policy is certified as proof of Hazards financial responsibility for the future under If unintentionally you should fail to disclose the provisions of any motor vehicle all hazards relating to the conduct of your financial responsibility law, the insurance business at the inception date of this provided by the policy for "bodily injury"Coverage Part, we shall not deny any liability and "property damage" liability will coverage under this Coverage Part comply with the provisions of the law to because of such failure. the extent of the coverage and limits of 7. Other Insurance insurance required by that law.If other valid and collectible insurance is b. With respect to "mobile equipment" to available for a loss we cover under this which this insurance applies, we will Coverage Part, our obligations are limited as provide any liability, uninsured motorists, follows: underinsured motorists, no-fault or other coverage required by any motor vehicle a. Primary Insurance law. We will provide the required limits for This insurance is primary except when b. those coverages. below applies. If other insurance is also 4. Legal Action Against Us primary, we will share with all that other No person or organization has a right under insurance by the method described in c. below. this Coverage Form: a. To join us as a party or otherwise bring us b. Excess Insurance into a "suit" asking for damages from an This insurance is excess over any of the insured;or other insurance, whether primary, excess, b. To sue us on this Coverage Form unless contingent or on any other basis: all of its terms have been fully complied 1) Your Work with. That is Fire, Extended Coverage, A person or organization may sue us to recover Builder's Risk, Installation Risk or on an agreed settlement or on a final judgment similar coverage for"your work"; against an insured; but we will not be liable for 2) Premises Rented To You damages that are not payable under the terms of That is fire, lightning or explosion this insurance or that are in excess of the insurance for premises rented to you applicable limit of insurance. An agreed or temporarily occupied by you with settlement means a settlement and release of permission of the owner; liability signed by us, the insured and the claimant or the claimant's legal representative. 3) Tenant Liability 5. Separation Of Insureds That is insurance purchased by you to cover your liability as a tenant for Except with respect to the Limits of Insurance, property damage" to premises rented and any rights or duties specifically assigned to you or temporarily occupied by you in this policy to the first Named Insured, this with permission of the owner; insurance applies: a. As if each Named Insured were the only 4) Aircraft,Auto Or Watercraft Named Insured;and If the loss arises out of the maintenance b. or use of aircraft,"autos"or watercraft to Separately to each insured against whom a claim is made or"suit"is brought. the extent not subject to Exclusion g. of Section A.—Coverages. 6. Representations 5) Property Damage To Borrowed a. When You Accept This Policy Equipment Or Use Of Elevators By accepting this policy,you agree: If the loss arises out of "property 1) The statements in the Declarations damage" to borrowed equipment or are accurate and complete; the use of elevators to the extent not 2) Those statements are based upon subject to Exclusion k. of Section A.— representations you made to us;and Coverages. Page 16 of 24 Form SS 00 08 04 05 51SBABA5314 BUSINESS LIABILITY COVERAGE FORM 6) When You Are Added As An When this insurance is excess over other Additional Insured To Other insurance, we will pay only our share of Insurance the amount of the loss, if any, that That is other insurance available to exceeds the sum of: you covering liability for damages 1) The total amount that all such other arising out of the premises or insurance would pay for the loss in the operations, or products and completed absence of this insurance; and operations, for which you have been 2) The total of all deductible and self- added as an additional insured by that insured amounts under all that other insurance; or insurance. 7) When You Add Others As An We will share the remaining loss, if any, with Additional Insured To This any other insurance that is not described in Insurance this Excess Insurance provision and was not That is other insurance available to an bought specifically to apply in excess of the additional insured. Limits of Insurance shown in the However, the following provisions Declarations of this Coverage Part. apply to other insurance available to c. Method Of Sharing any person or organization who is an If all the other insurance permits additional insured under this Coverage contribution by equal shares,we will follow Part: this method also. Under this approach, a) Primary Insurance When each insurer contributes equal amounts Required By Contract until it has paid its applicable limit of This insurance is primary if you insurance or none of the loss remains, have agreed in a written contract,whichever comes first. written agreement or permit that If any of the other insurance does not permit this insurance be primary. If other contribution by equal shares, we will insurance is also primary, we will contribute by limits. Under this method,each share with all that other insurance insurer's share is based on the ratio of its by the method described in c.applicable limit of insurance to the total below. applicable limits of insurance of all insurers. b) Primary And Non-Contributory 8. Transfer Of Rights Of Recovery Against To Other Insurance When Others To Us Required By Contract a. Transfer Of Rights Of Recovery If you have agreed in a written If the insured has rights to recover all or contract, written agreement or part of any payment, including permit that this insurance is Supplementary Payments, we have made primary and non-contributory with under this Coverage Part, those rights are the additional insured's own transferred to us. The insured must do insurance, this insurance is nothing after loss to impair them. At our primary and we will not seek request, the insured will bring "suit" or contribution from that other transfer those rights to us and help us insurance. enforce them. This condition does not Paragraphs (a)and (b) do not apply to apply to Medical Expenses Coverage. other insurance to which the additional b. Waiver Of Rights Of Recovery (Waiver insured has been added as an Of Subrogation) additional insured. If the insured has waived any rights of When this insurance is excess, we will recovery against any person or have no duty under this Coverage Part to organization for all or part of any payment, defend the insured against any"suit"if any including Supplementary Payments, we other insurer has a duty to defend the have made under this Coverage Part, we insured against that "suit". If no other also waive that right, provided the insured insurer defends, we will undertake to do waived their rights of recovery against so, but we will be entitled to the insured's such person or organization in a contract, rights against all those other insurers. agreement or permit that was executed prior to the injury or damage. Form SS 00 08 04 05 Page 17 of 24 BAS56524792 COMMERCIAL AUTO AC 85 43 08 21 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. CALIFORNIA BUSINESS AUTO COVERAGE ENHANCEMENT ENDORSEMENT This endorsement modifies insurance provided under the following: BUSINESS AUTO COVERAGE FORM With respect to coverage afforded by this endorsement, the provisions of the policy apply unless modified by the endorsement. If the policy to which this endorsement is attached also contains a Business Auto Coverage Enhancement Endorsement with a specific state named in the title, this endorsement does not apply to vehicles garaged in that specified state. COVERAGE INDEX SUBJECT PROVISION NUMBER ACCIDENTAL AIRBAG DEPLOYMENT 12 ADDITIONAL INSURED BY CONTRACT, AGREEMENT OR PERMIT 3 AMENDED DUTIES IN THE EVENT OF ACCIDENT, CLAIM, SUIT OR LOSS 20 AMENDED FELLOW EMPLOYEE EXCLUSION 5 AUDIO, VISUAL AND DATA ELECTRONIC EQUIPMENT COVERAGE 14 BODILY INJURY REDEFINED 24 EMPLOYEES AS INSUREDS (Including Employee Hired Auto) 2 EXTRA EXPENSE- BROADENED COVERAGE 10 GLASS REPAIR-WAIVER OF DEDUCTIBLE 16 HIRED AUTO COVERAGE TERRITORY 22 HIRED AUTO PHYSICAL DAMAGE (Including Employee Hired Auto) 6 LOAN / LEASE GAP (Coverage Not Available In New York) 15 NEWLY FORMED OR ACQUIRED SUBSIDIARIES 1 PARKED AUTO COLLISION COVERAGE(WAIVER OF DEDUCTIBLE)17 PERSONAL EFFECTS COVERAGE 11 PHYSICAL DAMAGE -ADDITIONAL TRANSPORTATION EXPENSE COVERAGE 8 PHYSICAL DAMAGE DEDUCTIBLE -VEHICLE TRACKING SYSTEM 13 PRIMARY AND NON-CONTRIBUTORY -WRITTEN CONTRACT OR WRITTEN AGREEMENT 23 RENTAL REIMBURSEMENT 9 SUPPLEMENTARY PAYMENTS 4 TOWING AND LABOR 7 TWO OR MORE DEDUCTIBLES 18 UNINTENTIONAL FAILURE TO DISCLOSE HAZARDS 19 WAIVER OF TRANSFER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US 21 SECTION II-LIABILITY COVERAGE is amended as follows: 1. NEWLY FORMED OR ACQUIRED SUBSIDIARIES SECTION II - LIABILITY COVERAGE, Paragraph A.1. Who Is An Insured is amended to include the following as an "insured": d. Any legally incorporated subsidiary of which you own more than 50 percent interest during the policy period. Coverage is afforded only for 90 days from the date of acquisition or formation. However, "insured" does not include any organization that: 1) Is a partnership or joint venture; or 2) Is an "insured" under any other automobile policy except a policy written specificall y to apply in excess of this policy; or 3) Has exhausted its Limit of Insurance or had its policy terminated under any other automobile policy. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office,Inc.,with its permission. Page 1 of 7 BAS56524792 Coverage under this provision d. does not apply to "bodily injury" or "property damage" that occurred before you acquired or•formed the organization. 2. EMPLOYEES AS INSUREDS SECTION II - LIABILITY COVERAGE, Paragraph A.1. Who Is An Insured is amended to include the following as an "insured": e. Any "employee" of yours while using a covered "auto" you do not own, hire or borrow but only for acts within the scope of their employment by you. Insurance provided by this endorsement is excess over any other insurance available to any "employee". f. Any "employee" of yours while operating an "auto" hired or borrowed under a written contract or agreement in that "employee's" name, with your permission, while performing duties related to the conduct of your business and within the scope of their employment. Insurance provided by this endorsement is excess over any other insurance available to the "employee". 3. ADDITIONAL INSURED BY CONTRACT, AGREEMENT OR PERMIT SECTION II - LIABILITY COVERAGE, Paragraph A.1. Who Is An Insured is amended to include the following as an "insured": g. Any person or organization with respect to the operation, maintenance or use of a covered "auto", provided that you and such person or organization have agreed in a written contract, written agreement, or permit issued to you by governmental or public authority, to add such person, or s organization, or governmental or public authority to this policy as an "insured". However, such person or organization is an "insured": 1) Only with respect to the operation, maintenance or use of a covered "auto"; 2) Only for "bodily injury" or "property damage" caused by an "accident" which takes place after you executed the written contract or written agreement, or the permit has been issued to you; and 3) Only for the duration of that contract, agreement or permit. The "insured" is required to submit a claim to any other insurer to which coverage could apply for defense and indemnity. Unless the "insured" has agreed in writing to primary noncontributory wording per enhancement number 23, this policy is excess over any other collectible insurance. 4. SUPPLEMENTARY PAYMENTS SECTION II - LIABILITY COVERAGE, Coverage Extensions, 2.a. Supplementary Payments,. Paragraphs 2) and (4) are replaced by the following: 2) Up to $3,000 for cost of bail bonds (including bonds for related traffic violations ) required because of an "accident" we cover. We do not have to furnish these bonds. 4) All reasonable expenses incurred by the "insured" at our request, including actual loss of earnings up to $500 a day because of time off from work. 5. AMENDED FELLOW EMPLOYEE EXCLUSION In those jurisdictions where, by law, fellow "employees" are not entitled to the protection afforded to the employer by the workers compensation exclusivity rule, or similar protection, the following provi- sion is added: SECTION II - LIABILITY, Exclusion B.5. Fellow Employee does not apply if the "bodily injury" results from the use of a covered "auto" you own or hire if you have workers compensation insurance in force for all of your "employees" at the time of "loss". This coverage is excess over any other collectible insurance. SECTION III -PHYSICAL DAMAGE COVERAGE is amended as follows: 6. HIRED AUTO PHYSICAL DAMAGE Paragraph A.4. Coverage Extensions of SECTION III - PHYSICAL DAMAGE COVERAGE, is amended by adding the following: If hired "autos" are covered "autos" for Liability Coverage, and if Comprehensive, Specified Causes of Loss or Collision coverage are provided under the Business Auto Coverage Form for any "auto" you own, then the Physical Damage coverages provided are extended to "autos": 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office,Inc.,with its permission. Page 2 of 7 BAS56524792 a. You hire, rent or borrow; or b. Your "employee" hires or rents under a written contract or agreement in that "employee's" name, but only if the damage occurs while the vehicle is being used in the conduct of your business, subject to the following limit and deductible: a. The most we will pay for "loss" in any one "accident" or"loss" is the smallest of: 1) $50,000; or 2) The actual cash value of the damaged or stolen property as of the time of the "loss"; or 3) The cost of repairing or replacing the damaged or stolen property with other property of like kind and quality, minus a deductible. b. The deductible will be equal to the largest deductible applicable to any owned "auto" for that coverage. c. Subject to the limit, deductible and excess provisions described in this provision, we will provide coverage equal to the broadest coverage applicable to any covered "auto" you own. d. Subject to a maximum of $1,000 per "accident", we will also cover the actual loss of use of the hired "auto" if it results from an "accident", you are legally liable and the lessor incurs an actual financial loss. e. This coverage extension does not apply to: 1) Any "auto" that is hired, rented or borrowed with a driver; or 2) Any "auto" that is hired, rented or borrowed from your "employee" or any member of your employee's" household. Coverage provided under this extension is excess over any other collectible insurance available at the time of"loss". 7. TOWING AND LABOR SECTION III - PHYSICAL DAMAGE COVERAGE, Paragraph A.2. Towing , is amended by the addition of the following: We will pay towing and labor costs incurred, up to the limits shown below, each time a covered "auto" classified and rated as a private passenger type, "light truck" or"medium truck" is disabled: a. For private passenger type vehicles, we will pay up to $75 per disablement. b. For"light trucks", we will pay up to $75 per disablement. "Light trucks" are trucks that have a gross vehicle weight (GVW) of 10,000 pounds or less. c. For "medium trucks", we will pay up to $150 per disablement. "Medium trucks" are trucks that have a gross vehicle weight (GVW) of 10,001 -20,000 pounds. However, the labor must be performed at the place of disablement. 8. PHYSICAL DAMAGE -ADDITIONAL TRANSPORTATION EXPENSE COVERAGE Paragraph A.4.a. Coverage Extensions, Transportation Expenses of SECTION III -PHYSICAL DAMAGE COVERAGE,is amended to provide a limit of$50 per day and a maximum limit of $1,500. 9. RENTAL REIMBURSEMENT SECTION III -PHYSICAL DAMAGE COVERAGE,A.Coverage,is amended by adding the following: a. We will pay up to $75 per day for rental reimbursement expenses incurred by you for the rental of an "auto" because of "accident" or "loss", to an "auto" for which we also pay a loss" under Comprehensive, Specified Causes of Loss or Collision Coverages. We will pay only for those ex- penses incurred after the first 24 hours following the "accident" or "loss" to the covered "auto." b. Rental Reimbursement requires the rental of a comparable or lesser vehicle, which in many cases may be substantially less than $75 per day, and will only be allowed for the period of time it should take to repair or replace the vehicle with reasonable speed and similar quality, up to a maximum of 30 days. c. We will also pay up to $500 for reasonable and necessary expenses incurred by you to remove and replace your tools and equipment from the covered "auto". This limit is excess over any other collectible insurance. @ 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office,Inc.,with its permission. Page 3 of 7 BAS56524792 d. This coverage does not apply unless you have a business necessity that other "autos" available for your use and operation cannot fill. e. If "loss" results from the total theft of a covered "auto" of the private passenger type, we will pay under this coverage only that amount of your rental reimbursement expenses which is not already provided under Paragraph 4.Coverage Extension. f. No deductible applies to this coverage. g. The insurance provided under this extension is excess over any other collectible insurance. If this policy also provides Rental Reimbursement Coverage you purchased, the coverage provided by this Enhancement Endorsement is in addition to the coverage you purchased. For the purposes of this endorsement provision, materials and equipment do not include "personal effects" as defined in provision 11.B. 10. EXTRA EXPENSE-BROADENED COVERAGE Under SECTION III - PHYSICAL DAMAGE COVERAGE, A. Coverage, we will pay for the expense of returning a stolen covered "auto" to you. The maximum amount we will pay is $1,000. 11. PERSONAL EFFECTS COVERAGE A. SECTION III PHYSICAL DAMAGE COVERAGE,A. Coverage, is amended by adding the following: rt If you have purchased Comprehensive Coverage on this policy for an "auto" you own and that auto" is stolen, we will pay, without application of a deductible, up to $600 for "personal effects" stolen with the "auto." The insurance provided under this provision is excess over any other collectible insurance. B. SECTION V -DEFINITIONS is amended by adding the following: For the purposes of this provision, "personal effects" mean tangible property that is worn or carried by an "insured." "Personal effects" does not include tools, equipment, jewelry, money or securi- ties. 12. ACCIDENTAL AIRBAG DEPLOYMENT SECTION III -PHYSICAL DAMAGE COVERAGE,B.Exclusions is amended by adding the following: If you have purchased Comprehensive or Collision Coverage under this policy, the exclusion for "loss" relating to mechanical breakdown does not apply to the accidental discharge of an airbag. Any insurance we provide shall be excess over any other collectible insurance or reimbursement by manufacturer's warranty. However, we agree to pay any deductible applicable to the other coverage or warranty. 13. PHYSICAL DAMAGE DEDUCTIBLE -VEHICLE TRACKING SYSTEM SECTION III -PHYSICAL DAMAGE COVERAGE, D. Deductible , is amended by adding the following: Any Comprehensive Deductible shown in the Declarations will be reduced by 50% for any "loss" caused by theft if the vehicle is equipped with a vehicle tracking device such as a radio tracking device or a global position device and that device was the method of recovery of the vehicle. 14. AUDIO, VISUAL AND DATA ELECTRONIC EQUIPMENT COVERAGE SECTION III - PHYSICAL DAMAGE COVERAGE, B. Exclusions, Paragraph a. of the exception to exclu- sions 4.c. and 4.d. is deleted and replaced with the following: Exclusions 4.c. and 4.d. do not apply to: a. Electronic equipment that receives or transmits audio, visual or data signals, whether or_not de- signed solely for the reproduction of sound, if the equipment is: 1) Permanently installed in the covered "auto" at the time of the "loss" or removable from a housing unit that is permanently installed in the covered "auto"; and 2) Designed to be solely operated by use from the power from the "auto's" electrical system; and 3) Physical damage coverages are provided for the covered "auto". If the "loss" occurs solely to audio, visual or data electronic equipment or accessories used with this equipment, then our obligation to pay for, repair, return or replace damaged or stolen property will be reduced by a$100 deductible. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office,Inc.,with its permission. Page 4 of 7 BAS56524792 15. LOAN /LEASE GAP COVERAGE (Not Applicable In New York) A. Paragraph C. Limit Of Insurance of SECTION III - PHYSICAL DAMAGE COVERAGE is amended by adding the following: The most we will pay for a "total loss" to a covered "auto" owned by or leased to you in any one accident" is the greater of the: 1. Balance due under the terms of the loan or lease to which the damaged covered "auto" is subject at the time of the "loss" less the amount of: a. Overdue payments and financial penalties associated with those payments as of the date of the "loss"; b. Financial penalties imposed under a lease due to high mileage, excessive use or abnormal wear and tear; c. Costs for extended warranties, Credit Life Insurance, Health, Accident or Disability Insur- ance purchased with the loan or lease; d. Transfer or rollover balances from previous loans or leases; e. Final payment due under a"Balloon Loan"; f. The dollar amount of any unrepaired damage which occurred prior to the "total loss" of a covered "auto"; g. Security deposits not refunded by a lessor; h. All refunds payable or paid to you as a result of the early termination of a lease agreement or as a result of the early termination of any warranty or extended service agreement on a covered "auto"; i. Any amount representing taxes; j. Loan or lease termination fees; or 2. The actual cash value of the damage or stolen property as of the time of the "loss". An adjustment for depreciation and physical condition will be made in determining the actual cash value at the time of the "loss". This adjustment is not applicable in Texas. B. Additional Conditions This coverage applies only to the original loan for which the covered "auto" that incurred the loss" serves as collateral, or lease written on the covered "auto" that incurred the "loss". C. SECTION V-DEFINITIONS is changed by adding the following: As used in this endorsement provision, the following definitions apply: Total loss" means a "loss" in which the cost of repairs plus the salvage value exceeds the actual cash value. A "balloon loan" is one with periodic payments that are insufficient to repay the balance over the term of the loan, thereby requiring a large final payment. 25 16. GLASS REPAIR-WAIVER OF DEDUCTIBLE Paragraph D. Deductible of SECTION III -PHYSICAL DAMAGE COVERAGE is amended by the addition of the following: No deductible applies to glass damage if the glass is repaired rather than replaced. 17. PARKED AUTO COLLISION COVERAGE(WAIVER OF DEDUCTIBLE) Paragraph D. Deductible of SECTION III - PHYSICAL DAMAGE COVERAGE is amended by the addition of the following: The deductible does not apply to "loss" caused by collision to such covered "auto" of the private passenger type or light weight truck with a gross vehicle weight of 10,000 lbs. or less as defined by the manufacturer as maximum loaded weight the "auto" is designed to carry while it is: a. In the charge of an "insured"; b. Legally parked; and c. Unoccupied. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office,Inc.,with its permission. Page 5 of 7 BAS56524792 The "loss" must be reported to the police authorities within 24 hours of known damage. The total amount of the damage to the covered "auto" must exceed the deductible shown in the Declarations. This provision does not apply to any "loss" if the covered "auto" is in the charge of any person or organization engaged in the automobile business. 18. TWO OR MORE DEDUCTIBLES Under SECTION III - PHYSICAL DAMAGE COVERAGE, if two or more company policies or coverage forms apply to the same "accident", the following applies to Paragraph D. Deductible : a. If the applicable Business Auto deductible is the smaller (or smallest) deductible, it will be waived; or b. If the applicable Business Auto deductible is not the smaller (or smallest) deductible , it will be reduced by the amount of the smaller (or smallest) deductible; or c. If the "loss" involves two or more Business Auto coverage forms or policies, the smaller (or smallest) deductible will be waived. For the purpose of this endorsement, company means any company that is part of the Liberty Mutual Group. SECTION IV -BUSINESS AUTO CONDITIONS is amended as follows: 19. UNINTENTIONAL FAILURE TO DISCLOSE HAZARDS SECTION IV- BUSINESS AUTO CONDITIONS , Paragraph B.2. is amended by adding the following: If you unintentionally fail to disclose any hazards, exposures or material facts existing as of the incep- tion date or renewal date of the Business Auto Coverage Form, the coverage afforded by this policy will not be prejudiced. However, you must report the undisclosed hazard of exposure as soon as practicable after its discovery, and we have the right to collect additional premium for any such hazard or exposure. 20. AMENDED DUTIES IN THE EVENT OF ACCIDENT, CLAIM, SUIT OR LOSS SECTION IV -BUSINESS AUTO CONDITIONS , Paragraph A.2.a. is replaced in its entirety by the follow- ing: a. In the event of"accident", claim, "suit" or "loss", you must promptly notify us when it is known to: 1) You, if you are an individual; 2) A partner, if you are a partnership; 3) Member, if you are a limited liability company; 4) An executive officer or the "employee" designated by the Named Insured to give such notice, if you are a corporation. To the extent possible, notice to us should include: a) How, when and where the "accident" or "loss" took place; b) The "insured's" name and address; and c) The names and addresses of any injured persons and witnesses. 21. WAIVER OF TRANSFER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US SECTION IV - BUSINESS AUTO CONDITIONS , Paragraph A.5. Transfer Of Rights Of Recovery Against Others To Us, is amended by the addition of the following: If the person or organization has in a written agreement waived those rights before an "accident" or loss", our rights are waived also. 22. HIRED AUTO COVERAGE TERRITORY SECTION IV - BUSINESS AUTO CONDITIONS , Paragraph B.7. Policy Period, Coverage Territory , is amended by the addition of the following: f. For "autos" hired 30 days or less, the coverage territory is anywhere in the world, provided that the insured's" responsibility to pay for damages is determined in a"suit", on the merits, in the United States, the territories and possessions of the United States of America, Puerto Rico or Canada or in a settlement we agree to. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office,Inc.,with its permission. Page 6 of 7 BAS56524792 This extension of coverage does not apply to an "auto" hired, leased, rented or borrowed with a driver. 23. PRIMARY AND NON-CONTRIBUTING IF REQUIRED BY WRITTEN CONTRACT OR WRITTEN AGREE- MENT The following is added to SECTION IV -BUSINESS AUTO CONDITIONS, General Conditions, B.5. Other Insurance and supersedes any provision to the contrary: This Coverage Form's Covered Autos Liability Coverage is primary to and will not seek contribution from any other insurance available to an "insured" under your policy provided that: 1. Such "insured" is a Named Insured under such other insurance; and 2. You have agreed in a written contract or written agreement that this insurance would be primary and would not seek contribution from any other insurance available to such "insured". SECTION V-DEFINITIONS is amended as follows: 24. BODILY INJURY REDEFINED Under SECTION V -DEFINITIONS , Definition C. is replaced by the following: Bodily injury" means physical injury, sickness or disease sustained by a person,-including mental anguish, mental injury, shock, fright or death resulting from any of these at any time. 2021 Liberty Mutual Insurance AC 85 43 08 21 Includes copyrighted material of Insurance Services Office,Inc.,with its permission. Page 7 of 7 Agenda Item F AGENDA STAFF REPORT DATE:August 11, 2025 TO:Honorable Mayor and City Council THRU:Patrick Gallegos, City Manager FROM:Alexa Smittle, Community Development Director SUBJECT:Amendment 2 to the Professional Services Agreement with Stantec Consulting Services, Inc. ________________________________________________________________ SUMMARY OF REQUEST: That the City Council adopt Resolution 7683: 1. Approving Amendment 2 to the Professional Services Agreement with Stantec Consulting Services, Inc., extending the term to December 31, 2025; and, 2. Directing the City Manager to execute Amendment 2 on behalf of the City. BACKGROUND AND ANALYSIS: On March 27, 2023, the Seal Beach City Council approved a Professional Services Agreement (PSA) with Stantec Consulting Services, Inc. to provide environmental consulting services for the preparation of a Program Environmental Impact Report (EIR) for the City's General Plan and Zoning Code Updates Project. Since then, Stantec has been diligently working on the EIR, making significant progress in its development. However, the complexity and scope of the project have been evolving due to changes requested by the California Department of Housing and Community Development (HCD) to reach substantial compliance for the Housing Element, requiring additional time for completion. Amendment 2 would extend the contract expiration date by three months to December 31, 2025. ENVIRONMENTAL IMPACT: The proposed Agreement is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the State CEQA Guidelines which states that CEQA only applies to projects that have potential for causing a Page 2 2 1 1 1 significant effect on the environment. Approval of the Professional Services Agreement Amendment 2 will not have a significant effect on the environment. LEGAL ANALYSIS: This item has been reviewed and approved as to form. FINANCIAL IMPACT: This Amendment represents a time extension only; adequate funding was included in the adopted FY 2025-26 Annual Budget. STRATEGIC PLAN: The City Council previously established adoption of the Housing Element as a strategic priority. This contract is in furtherance of that effort. RECOMMENDATION: That the City Council adopt Resolution 7683: 1. Approving Amendment 2 to the Professional Services Agreement with Stantec Consulting Services, Inc., extending the term to December 31, 2025; and, 2. Directing the City Manager to execute Amendment 2 on behalf of the City. SUBMITTED BY: NOTED AND APPROVED: Alexa Smittle Patrick Gallegos Alexa Smittle, Community Development Director Patrick Gallegos, City Manager Prepared by: Megan Coats, Management Analyst ATTACHMENTS: A. Resolution 7683 B. Amendment 2 to the Professional Services Agreement with Stantec C. Amendment 1 to the Professional Services Agreement with Stantec D. Original Professional Services Agreement with Stantec RESOLUTION 7683 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL APPROVING AND AUTHORIZING AMENDMENT 2 TO THE PROFESSIONAL SERVICES AGREEMENT WITH STANTEC CONSULTING SERVICES, INC. EXTENDING THE DURATION BY THREE MONTHS WHEREAS, the City of Seal Beach (City) and Stantec Consulting Services, Inc. (Consultant) are parties to that certain Professional Services Agreement dated March 27, 2023, for Environmental Consulting Services (collectively the “Agreement”); and, WHEREAS, the Consultant has been providing services to the City of Seal Beach and has made significant progress on the Environmental Impact Report (EIR); and, WHEREAS, City and Consultant have determined that additional time is required to conduct project meetings, provide extended project management support, and ensure thorough review and refinement of the EIR and wish to extend the Term of the Agreement to December 31, 2025. NOW, THEREFORE, the Seal Beach City Council does resolve, declare, determine, and order as follows: Section 1. The City Council hereby approves to amend the Professional Services Agreement for Environmental Consulting Services with Stantec Consulting Services, Inc., extending the Term through December 31, 2025. Section 2. The Council hereby directs the City Manager to execute Amendment 2 on behalf of the City. PASSED, APPROVED and ADOPTED by the Seal Beach City Council at a regular meeting held on the 11th day of August 2025 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Lisa Landau, 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 7683 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeti ng held on the 11th day of August 2025. Gloria D. Harper, City Clerk PROFESSIONAL SERVICES AGREEMENT Amendment No. 2 for Environmental Consulting Services Between City of Seal Beach 211 - 8th Street Seal Beach, CA 90740 & Stantec Consulting Services, Inc. 2999 Oak Road, Suite 800 Walnut Creek, CA 94597 (925) 285-6541 This Amendment No. 2, dated August 11, 2025, amends that certain agreement (Agreement) made as of March 27, 2023 by and between the City of Seal Beach (City), a California charter city, and Stantec Consulting Services, Inc. (Consultant), a New York corporation (collectively, “the Parties”). 2 of 3 RECITALS A. City and Consultant are parties to the Agreement, pursuant to which Consultant provides environmental consulting services related to the Programmatic Environmental Impact Report (EIR) for the Seal Beach Housing Element and Zone Code Updates Project. B. City and Consultant wish to amend the Agreement for Consultant to extend the executed document from September 30, 2025, for a three -month extension to conclude on December 31, 2025. AMENDMENT NO. 2 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. Section 2.0 (Term) of the March 27, 2023 Agreement is hereby amended for a three-month extension to expire December 31, 2025, to read as follows: The term of this Agreement shall commence on March 15, 2023 and shall remain in full force and effect until December 31, 2025 unless sooner terminated as provided in Section 5.0 of this Agreement. Section 3. All references to the term “Agreement” throughout Sections 1.0 through 35.0 inclusive, of the Agreement are hereby modified to include the this Amendment No. 2, dated August 11, 2025, as if all of those terms are fully set forth therein. Section 4. Except as expressly modified or supplemented b y this Amendment No. 2, all other provisions of the Agreement shall remain unaltered and in full force and effect. Section 4. The person executing this Amendment No. 2 on behalf of Consultant warrants that he or she is fully authorized to execute this Amendment No. 2 on behalf of said Party, and that by his or her execution, Consultant is formally bound to the provisions of this Amendment No. 2. IN WITNESS WHEREOF, the Parties hereto, through their respective authorized representatives have executed this Agreement as of the date and year first above written. CITY OF SEAL BEACH By: _________________________ Patrick Gallegos, City Manager Attest: By: _________________________ Gloria D. Harper, City Clerk Approved as to Form: By: _________________________ Nicholas Ghirelli, City Attorney CONSULTANT: Stantec Consulting Services, Inc. By: __________________________ Name: Trevor Macenski Its: Senior Principal PROFESSIONAL SERVICES AGREEMENT for Environmental Consulting Services between City of Seal Beach 211 - 8th Street Seal Beach, CA 90740 0 Stantec Consulting Services, Inc. 290 Conejo Ridge Avenue Thousand Oaks, CA 91361 866) 782-6832 This Professional Service Agreement ("the Agreement") is made as of March 27, 2023 the "Effective Date"), by and between Stantec Consulting Services, Inc. ("Consultant"), a New York corporation, and the City of Seal Beach ("City"), a California charter city, collectively, "the Parties"). RECITALS A. City desires certain professional services of environmental consulting related to the California Environmental Quality Act. B. Pursuant to the authority provided by its City Charter and Seal Beach Municipal Code § 3.20.025(C), City desires to retain Consultant as an independent contractor to provide environmental consulting services. C. Consultant represents that the principal members of its firm are qualified professional consultants 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 Consultant as an independent contractor and Consultant 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. Consultant shall provide those services (collectively "Services") set forth in the Scope of Services attached hereto as Exhibit A and incorporated herein by this reference. To the extent that there is any conflict between Exhibit A and this Agreement, this Agreement shall control. 1.2. Consultant 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, Consultant 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, Consultant hereby represents that it has the experience necessary to undertake the Services to be provided. In light of such status and experience, Consultant hereby covenants that it shall follow the customary professional standards in performing all Services. The City relies upon the skill of Consultant, and Consultant's staff, if any, to do and perform the Services in a professional manner, and Consultant and Consultant's staff, shall perform the Services in such manner. Consultant shall, at all times, meet or exceed any and all applicable 2 of 22 professional standards of care. The acceptance of Consultant's work by the City shall not operate as a release of Consultant from such standard of care and workmanship. 1.5. Consultant 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 Tenn 2.1. The term of this Agreement shall commence on March 15, 2023 and shall remain in full force and effect until March 30, 2025 unless sooner terminated as provided in Section 5.0 of this Agreement. 3.0 Consultant's Compensation 3.1. City will pay Consultant 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 $392,254 (three hundred ninety- two thousand, two hundred and fifty-four dollars) for the Term. The City Manager may approve, in writing, an additional expenditure of up to 5 percent, or $19,613, for unforeseen contingencies. 4.0 Method of Payment 4.1. Consultant 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 Consultant within thirty (30) calendar days of receipt of each invoice as to all non -disputed fees. If City disputes any of Consultant's fees, within thirty (30) calendar days of receipt of an invoice City will give written notice to Consultant of any disputed fees set forth on such invoice. City will not withhold any applicable federal or state payroll and other required taxes, or other authorized deductions from payments made to Consultant. 4.2. Upon 24-hour notice from City, Consultant shall allow City or City's agents or representatives to inspect at Consultant's offices during reasonable business hours all records, invoices, time cards, cost control sheets and other records maintained by Consultant in connection with this Agreement. City's rights under this Subsection 4.2 shall survive for three (3) years following the termination of this Agreement. 3 of 22 5.0 Termination 5.1. Termination by City. 5.1.1. This Agreement may be terminated by City, without cause, or by Consultant based on reasonable cause, upon giving the other party written notice thereof not less than 30 days prior to the date of termination. 5.1.2. This Agreement may be terminated by City upon 10 days' notice to Consultant if Consultant 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. 5.1.3. Termination by City for Consultant's Breach. At City's option, if Consultant defaults in the performance of this Agreement, City may serve a written notice of breach and demand to cure, whereupon Consultant shall have 15 days after service upon it of such notice and demand in which to cure the default by rendering a satisfactory performance. In the event that Consultant fails to cure its default within such period of time, City shall have the right, notwithstanding any other provision of this Agreement, to terminate this Agreement immediately and without further notice or prejudice to any other remedy to which it may be entitled at law, in equity. The failure of City to object to any default in the performance of the terms and conditions of this Agreement shall not constitute a waiver of any such default. 5.2. Termination by Consultant. 5.2.1. This Agreement may be terminated by Consultant based on reasonable cause, upon giving City written notice thereof not less than 30 days prior to the date of termination. 5.2.2. Termination by Consultant for City's Breach. At Consultant's option, if City defaults in the performance of this Agreement, Consultant may serve a written notice of breach and demand to cure, whereupon City shall have 15 days after service upon it of such notice and demand in which to cure the default by rendering a satisfactory performance. In the event that City fails to cure its default within such period of time, Consultant shall have the right, notwithstanding any other provision of this Agreement, to terminate this Agreement immediately and without further notice or prejudice to any other remedy to which it may be entitled at law, in equity. The failure of Consultant to object to any default in the performance of the terms and conditions of this Agreement shall not constitute a waiver of any such default. 5.3. Obligations upon Termination. Unless otherwise specified in the notice of termination, Consultant shall cease all work under this Agreement immediately upon receipt of notice of termination from City under Subsection 5.1, or immediately upon City's acknowledgment of receipt of Consultant's notice of termination to City under Subsection 5.2. Upon termination, City shall be immediately given title to and 4 of 22 possession of all Work Product (as defined in Subsection 12.1 of this Agreement) produced or developed pursuant to this Agreement up to the date of termination. Provided that Consultant is not then in breach, City shall pay Consultant for any portion of the Services completed prior to termination, based on the reasonable value of the Services rendered. City shall not be liable for any costs other than the charges or portions thereof which are specified herein. In no event shall Consultant be entitled to payment for unperformed services or services within the Scope of Services performed prior to the effective date of this Agreement; and Consultant shall not be entitled to receive more than the amount that would be paid to Consultant for the full performance of the Services. Consultant shall have no other claim against City by reason of such termination, including any claim for compensation or damages. 6.0 Party Representatives 6.1. The City Manager is the City's representative for purposes of this Agreement. 6.2. Christine Abraham is the Consultant's primary representative for purposes of this Agreement. Trevor Macenski shall be responsible during the term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise the Services hereunder. Consultant 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 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 Consultant: Stantec Consulting Services, Inc. 290 Conejo Ridge Avenue Thousand Oaks, CA 91361 Attn: Trevor Macenski 7.2. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service. 5 of 22 8.0 Permits and Licenses Consultant and all of Consultant'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. Consultant 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 Consultant or by Consultant's employees or other personnel under Consultant's supervision. Consultant will determine the means, methods, and details by which Consultant's employees and other personnel will perform the Services. Consultant 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 Consultant's employees and other personnel performing any of the Services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Consultant and Consultant's personnel shall not supervise any of City's employees; and City's employees shall not supervise Consultant's personnel. Consultant'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 Consultant'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. Consultant shall acquire and maintain at its sole cost and expense such vehicles, equipment and supplies as Consultant's personnel require to perform any of the Services required by this Agreement. Consultant shall perform all Services off of City premises at locations of Consultant's choice, except (1) as otherwise required for the performance of Services on City real property, vehicles or equipment; (2) as otherwise may from time to time be necessary in order for Consultant's personnel to receive projects from City, review plans on file at City, pick up or deliver any work product related to Consultant'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 Consultant from time to time for Consultant's personnel to obtain information about or to check on the status of projects pertaining to the Services under this Agreement. 9.3. Consultant shall be responsible for and pay all wages, salaries, benefits and other amounts due to Consultant's personnel in connection with their performance of any Services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such 6 of 22 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, Consultant 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 anyincidentofemploymentbyCity, 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. Consultant shall defend, 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 Consultant's negligence or willful misconduct in its 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 Consultant under this Agreement any amount due to City from Consultant as a result of Consultant's failure to promptly pay to City any reimbursement or indemnification arising under this Section. This duty of indemnification is in addition to Consultant's duty to defend, indemnify and hold harmless as set forth in any other provision of this Agreement. Consultant's indemnifications and obligations under this Section shall survive the expiration or termination of this Agreement. 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. Consultant agrees that, in providing its employees and any other personnel to City to perform any work or other Services under this Agreement, Consultant shall assure compliance with the Public Employees' Retirement Law ("PERE"), 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, Consultant 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. Consultant shall defend (with legal counsel approved by City, whose approval shall not be unreasonably withheld), indemnify 7 of 22 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 Consultant's violation of any provisions of this Section 10.0. This duty of indemnification is in addition to Consultant's duty to defend, indemnify and hold harmless as set forth in any other provision of this Agreement. Consultant's indemnification and obligations under this Section shall survive the expiration or termination of this Agreement. 11.0 Confidentiality 11.1. Consultant covenants that all data, reports, documents, surveys, studies, drawings, plans, maps, models, photographs, images, video files, media, discussion, other information and other Work Product (as defined in Subsection 12.1) developed or received by Consultant or provided for performance of this Agreement are deemed confidential and shall not be disclosed by Consultant without prior written authorization by City. City shall grant such authorization if applicable law requires disclosure. Consultant, its officers, employees, agents, 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 the City. Response to a subpoena or court order shall not be considered "voluntary," provided Consultant gives City notice of such court order or subpoena. 11.2. The restrictions on the use and disclosure of the confidential information shall not apply to information which (a) was known to Consultant before receipt of same from City; or (b) becomes publicly known other than through Consultant; or (c) is disclosed pursuant to the requirements of a judicial order, but only to the extent required to comply with the requirements of the judicial order. 11.3. Consultant shall promptly notify City should Consultant, its officers, employees, agents 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 the City. City may, but has no obligation to, represent Consultant or be present at any deposition, hearing or similar proceeding. Consultant agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Consultant. 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. 8 of 22 11.4. Consultant's covenants under this Section shall survive the termination or expiration of this Agreement. 12.0 Ownership of Work Product 12.1. All field notes, draft and final reports, drawings, specifications, other documents and written material of any kind, and any and all images, ideas, concepts, designs including website designs, source code, object code, electronic data and files, and/or other media whatsoever created or developed by Consultant in the performance of this Agreement (collectively "Work Product") shall be considered to be "works made for hire" for the benefit of the City. Except as otherwise provided in Subsection 5.3, "Obligations Upon Termination," all Work Product 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 its use, duplication or dissemination by City upon final payment being made in accordance with Subsection 5.3, and may be used, reused or otherwise disposed of by City without Consultant's consent. Any use, reuse or modification of the Work Product by City for any purpose other than the purpose for which the Work Product was prepared or provided under this Agreement shall be at City's own risk. Consultant shall not obtain or attempt to obtain copyright protection as to any of the Work Product. 12.2. Upon expiration of the Agreement, or upon termination of the Agreement by City or Consultant, Consultant upon full payment of monies owed in accordance with Subsection 5.3 for Work Product created prior to the date of termination, hereby assigns to City all ownership and any and all intellectual property rights to the Work Product that are not otherwise vested in City pursuant to the paragraph directly above this one. 12.3. Consultant 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 Work Product produced under this Agreement, and that City has full legal title to and the right to reproduce the Work Product. Consultant 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 Work Product 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 of protecting intellectual property rights and/or interests in products or inventions. Consultant 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 Work Product produced under this Agreement. In the event the use of any of 9 of 22 the Work Product or other deliverables hereunder by City is held to constitute an infringement and the use of any of the same is enjoined, Consultant, at its expense, shall: (1) secure for City the right to continue using the Work Product and other deliverables by suspension of any injunction, or by procuring a license or licenses for City; or (2) modify the Work Product 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 and except as otherwise provided in Subsection 5.3, Consultant shall deliver to City all Work Product and other deliverables related to any Services performed pursuant to this Agreement without additional cost or expense to City. If Consultant prepares a document on a computer, Consultant shall provide City with said document both in a printed format and in an electronic format that is acceptable to City. The parties acknowledge that the authenticity, integrity or completeness of data files supplied in electronic format ("Electronic Files") cannot be guaranteed. Consultant and City shall each bear any loss or damage to the extent caused by or arising out of its own acts or omissions. 13.0 Subcontractors No portion of this Agreement shall be subcontracted without the prior written approval of the City. Consultant is fully responsible to City for the performance of any and all subcontractors. 14.0 Prohibition Against Assignment or Delegation Consultant 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 shall be void and without effect, and shall entitle City to terminate this Agreement. As used in this Section, "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 Consultant 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. Consultant shall maintain adequate records on the Services provided 10 of 22 in sufficient detail to permit an evaluation of all Services in connection therewith. All such records shall be clearly identified and readily accessible. At all times during regular business hours, Consultant 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. Consultant 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. Notwithstanding the foregoing, City's right to inspect, copy and audit shall not extend to the composition of Consultant's rates and fees, percentage mark-ups or multipliers but shall apply only to their application to the applicable units, hours and/or tasks used in determining the costs charged to City. 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 Consultant when unsafe or harmful acts are observed or reported relative to the performance of the Services. Consultant shall maintain the work sites free of hazards to persons and property resulting from its operations. Consultant shall immediately report to the City any hazardous condition noted by Contractor. 17.0 Insurance 17.1. General Requirements. Consultant shall not commence work under this Agreement until it has provided evidence reasonably satisfactory to the City that Consultant has secured all insurance required under this Section. 17.2. Minimum Scope and Limits of Insurance. Consultant 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: 17.2.1. Commercial General Liability Insurance: Consultant shall maintain limits no less than $2,000,000 per occurrence for bodily injury, personal injury and property 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 11 of 22 latest version of Insurance Services Office Commercial General Liability coverage occurrence form CG 0001). If Consultant is a limited liability company, the commercial general liability coverage shall be amended so that Consultant and its managers, affiliates, employees, agents and other persons necessary or incidental to its operation are insureds; 17.2.2. Automobile Liability Insurance: Consultant 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). 17.2.3. Workers' Compensation Insurance in the amount required by law; and Employer's Liability: $1,000,000 per accident and in the aggregate for bodily injury or disease. 17.2.4. Professional Liability (or Errors and Omissions) Liability, with minimum limits of $1,000,000 per claim/aggregate. If a "claims made" policy is provided, then the policy shall be endorsed to provide an extended reporting period of not less than three years. 17.3. Acceptability of Insurers. The Insurance policies required under this Section 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 the City. 17.4. Additional Insured. 17.4.1. For general liability insurance, City, its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents acting 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 the Consultant, including materials, parts or equipment furnished in connection with such work. 17.4.2. For automobile 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 ownership, operation, maintenance, use, loading or unloading of any auto owned, leased, hired or borrowed by the Consultant or for which the Consultant is responsible. 17.4.3. These additional insured provisions shall also apply to any excess/umbrella liability policies. 17.5. Cancellations or Modifications to Coverage. The insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms supplied or approved by City to state: (1) coverage shall not be 12 of 22 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; 17.6. Primary and Non -Contributing. Coverage shall be primary insurance as respects the 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 the Consultant's scheduled underlying coverage and that any insurance or self-insurance maintained by the City, its elected and appointed officials, officers, employees, agents. designated volunteers and agents serving as independent contractors in the role of City officials, shall be excess of the Consultant's insurance and shall not be called upon to contribute with it; 17.7. Separation of Insureds. All insurance required by this Section 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. 17.8. Deductibles and Self -Insured Retentions. Any deductibles or self- insured retentions shall be declared to and approved by City. Consultant 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) Consultant shall procure a bond guaranteeing payment of losses and related investigation costs, claims and administrative and defense expenses. 17.9. 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. Consultant hereby waives all rights of subrogation against City. 17.10. City Remedy for Noncompliance. If Consultant does not maintain the policies of insurance required under this Section in full force and effect during the term of this Agreement, or in the event any of Consultant's policies do not comply with the requirements under this Section, City may either 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 Consultant's expense, 13 of 22 the premium thereon. Consultant shall promptly reimburse City for any premium paid by City or City may withhold amounts sufficient to pay the premiums from payments due to Consultant. 17.11. Evidence of Insurance. Prior to the performance of Services under this Agreement, Consultant shall furnish City with original certificates of insurance and all original endorsements evidencing and effecting the coverages required under this Section 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. Consultant may provide complete, certified copies of all required insurance policies to City. Consultant 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. Consultant 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. Consultant shall furnish such proof at least two weeks prior to the expiration of the coverages. 17.12. Indemnity Requirements Not Limiting. Procurement of insurance by Consultant shall not be construed as a limitation of Consultant's liability or as full performance of Consultant's duty to indemnify City under Section 18.0. 17.13. Broader Coverage/Higher Limits. If Consultant 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 Consultant, up to the. limits of Consultant's standard insurance certificate levels, e.g., $3 million professional liability, $2 million/$4 million commercial general liability, $5 million umbrella, and $1 million auto. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to City. 17.14. Subcontractor Insurance Requirements. Consultant 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. Consultant agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. However, in the event Consultant's subcontractor cannot comply with this requirement, which proof must be submitted to City, Consultant shall be required to ensure that its subcontractor provides and maintains insurance coverage and endorsements sufficient to the specific risk of exposure involved with subcontractor's scope of work and services, with limits less than required of Consultant, but in all other terms consistent with Consultant's requirements under this Agreement. This provision does not relieve Consultant of its contractual 14 of 22 obligations under the agreement and/or limit its liability to the amount of insurance coverage provided by its subcontractors. This provision is intended solely to provide Consultant with the ability to utilize a subcontractor who may be otherwise qualified to perform the work or services but may not carry the same insurance limits as required of Consultant under this agreement given the limited scope of work or services provided by the subcontractor. Consultant agrees that upon request, all agreements with subcontractors, and others engaged in the project, will be submitted to City for review. 18.0 Indemnification, Hold Harmless, and Duty to Defend 18.1. Indemnity for Design Professional Services. To the fullest extent permitted by law, Consultant shall, at its sole cost and expense, protect, indemnify and hold harmless 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 18.0), 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, including but not limited to fees of attorneys, accountants and other professionals and all costs associated therewith, and reimbursement of attorneys' fees and costs of defense (collectively "Claims"), in law or in equity, whether actual, alleged or threatened, to the extent arising out of, pertaining to, or relating to, in whole or in part, the negligence, recklessness or willful misconduct of Consultant, its officers, directors, agents, servants, employees, subcontractors, contractors or their officers, directors, agents, servants or employees (or any entity or individual that Consultant shall bear the legal liability thereof) in the performance of design professional services under this Agreement by a "design professional," as the term is defined under California Civil Code Section 2782.8(c). Notwithstanding the foregoing and as required by Civil Code Section 2782.8(a), in no event shall the cost to defend the Indemnitees that is charged to Consultant exceed Consultant's proportionate percentage of fault. 18.2. Other Indemnities. 18.2.1. Other than in the performance of design professional services and to the fullest extent permitted by law, Consultant shall, at its sole cost and expense, protect, defend, hold harmless and indemnify the Indemnitees 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, 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, to the extent arising out of, pertaining to, or relating to the acts or omissions of Consultant, its officers, agents, servants, 15 of 22 employees, subcontractors, materialmen, suppliers, or contractors, or their officers, agents, servants or employees (or any entity or individual that Consultant shall bear the legal liability thereof) in the performance of this Agreement, except for Liabilities arising from the negligence or willful misconduct of the Indemnitees, as determined by final arbitration or court decision or by the agreement of the Parties. Consultant 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. Consultant shall reimburse the Indemnitees for any and all legal expenses and costs incurred by the Indemnitees in connection therewith. 18.2.2. Consultant shall indemnify and hold harmless City in accordance with Sections 9.0 and 10.0. 18.3. Subcontractor Indemnification. Consultant shall obtain executed indemnity agreements with provisions identical to those in this Section 18.0 from each and every subcontractor or any other person or entity involved by, for, with or on behalf of Consultant in the performance of this Agreement. If Consultant fails to obtain such indemnities, Consultant shall be fully responsible and indemnify and hold harmless the Indemnitees from and against any and all Claims to the same extent as outlined in Subsection 18.1 with respect to performance of professional services, and Consultant shall be fully responsible and indemnify, hold harmless and defend the Indemnitees from and against any and all Liabilities to the same extent as outlined in Subsection 18.2 with respect to all other indemnities, including all Claims and/or Liabilities, in law or equity, whether actual, alleged or threatened, to the extent arising out of, pertaining to, relating to the acts or omissions of Consultant's subcontractor, its officers, agents, servants, employees, subcontractors, materialmen, contractors or their officers, agents, servants or employees (or any entity or individual that Consultant's subcontractor shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees' active or passive negligence, except for Claims and/or 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. 18.4. Workers' Compensation Acts Not Limiting. Consultant's indemnification obligations under this Section, or any other provision of this Agreement, shall not be limited by the provisions of any workers' compensation act or similar act. Consultant 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. 18.5. Insurance Requirements Not Limiting. City does not, and shall not, waive any rights that it may possess against Consultant because of the acceptance by City, or the deposit with City, of any insurance policy or certificate required 16 of 22 pursuant to this Agreement. The indemnities and obligations in this Section 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. 18.6. Survival of Terms. Consultant's indemnifications and obligations under this Section 18.0 shall survive the expiration or termination of this Agreement. 19.0 Non -Discrimination and Equal Employment Opportunity Consultant affirmatively represents that it is an equal opportunity employer. In the performance of this Agreement, Consultant shall not discriminate 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. Consultant 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. 20.0 Labor Certification By its signature hereunder, Consultant 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. 21.0 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, Consultant shall comply in all respects with all applicable provisions of the California Labor Code, including those set forth in Exhibit B, attached hereto and incorporated by reference herein. 22.0 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. 17 of 22 23.0 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. 24.0 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. 25.0 No Third Party Beneficiaries This Agreement is made solely for the benefit of the Parties to this Agreement and their respective successors and assigns, and no other person or entity shall be deemed to have any rights hereunder against either party by virtue of this Agreement. 26.0 Waiver 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. 27.0 Prohibited Interests; Conflict of Interest 27.1. Consultant 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. Consultant further covenants that, in performance of this Agreement, no person having any such interest shall be employed by it. Furthermore, Consultant shall avoid the appearance of having any interest, which would conflict in any manner with the performance of the Services. Consultant shall not accept any employment or representation during the term of this Agreement which is or may likely make Consultant "financially interested" (as provided in California Government Code §§ 1090 and 87100) in any decision made by City on any matter in connection with 18 of 22 which Consultant has been retained. 27.2. Consultant further warrants and maintains that it has not employed or retained any person or entity, other than a bona fide employee working exclusively for Consultant, to solicit or obtain this Agreement. Nor has Consultant paid or agreed to pay any person or entity, other than a bona fide employee working exclusively for Consultant, 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 Consultant hereunder the full amount or value of any such fee, commission, percentage or gift. 27.3. Consultant 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 Consultant, and that if any such interest comes to the knowledge of Consultant at any time during the term of this Agreement, Consultant 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 Final Payment Acceptance Constitutes Release The acceptance by Consultant 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 Consultant for anything done, furnished or relating to Consultant'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 calendr 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 Consultant, 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 or liability by City for any defect or error in the work prepared by Consultant, its employees, subcontractors and agents. 29.0 Corrections In addition to the indemnification obligations set forth above, Consultant shall correct, at its expense, all errors in the work which may be disclosed during City's review of Consultant's report or plans. Should Consultant 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 Consultant. In addition to all other available remedies, City may deduct the cost of such correction from any retention amount 19 of 22 held by City or may withhold payment otherwise owed to Consultant under this Agreement up to the amount of the cost of correction. 30.0 Non -Appropriation of Funds Payments to be made to Consultant 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 Consultant's Services beyond the current fiscal year, this Agreement shall cover payment for Consultant'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. 31.0 Mutual Cooperation 31.1. City's Cooperation. City shall provide Consultant with all pertinent Data, documents and other requested information as is reasonably available for Consultant's proper performance of the Services required under this Agreement. 31.2. Consultant's Cooperation. In the event any claim or action is brought against City relating to Consultant's performance of Services rendered under this Agreement, Consultant shall render any reasonable assistance that City requires. 32.0 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. 33.0 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 the losing party all of its attorneys' fees and other costs incurred in connection therewith. 34.0 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. 35.0 Corporate Authority 20 of 22 The person executing this Agreement on behalf of Consultant warrants that he or she isi,duly authorized to execute this Agreement on behalf of said party and that by his(Wher execution, the Consultant 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. 21 of 22 CITY OF SEAL BEACH Attesi IS Approved as to Form: By: Nicholas Ghirelli, City Attorney CONSULTANT: Stantec Consulting Services, Inc., a Yor c rporation By: Name: Trevor Macenski Its: Senior Principal By: Name: Its: 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.) PROOF OF AUTHORITY TO BIND CONTRACTING PARTY REQUIRED 22 of 22 EXHIBIT Consultant's Proposal Stantec Consulting Services Inc. 290 Conejo Ridge Avenue, Thousand Oaks, CA 91361 Stantec October 3, 2022 Attention: Ms. Alexa Smittle Community Development Director Department of Community Development City of Seal Beach 211 Eighth Street Seal Beach, California 90740 Electronically submitted to: asmittle@sealbeachca.gov Dear Ms. Alexa Smittle, Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report At your request, Stantec Consulting Services Inc. (Stantec) has prepared this scope of work to prepare a Program Environmental Impact Report (EIR) for the City of Seal Beach General Plan Zoning Code Updates Project, for the City of Seal Beach (City), California, pursuant to the California/Environmental Quality Act CEQA). This revised proposal includes amended scope, schedule and fees related to transportation planning services, the noise assessment, the evaluation of hazards, and provides some additional revisions/clarifications based on our recent meetings with the City. As members of the community and with Southern California offices in that include the cities of Los Angeles, Long Beach, Irvine and others, we are well versed in executing CEQA documents proposed in the region. Stantec has an exemplary history of producing objective, cost-effective and timely CEQA documents and technical reports for the City, as well as having recently assisted with environmental permitting for projects in the Los Cerritos Wetlands area. Stantec is committed to providing responsive and highly capable environmental practitioners to assist the City with the Project. Our team is experienced in preparing CEQA documentation for both public and private agencies and for all types of projects. We are able to provide seamless and flexible consulting services to accommodate expedited project processing, expansive public outreach programs, and advanced understanding of public infrastructure projects; all will help maintain the Project schedule and stay within budget. Stantec looks forward to preparing the Program EIR for the Project and we encourage you to reach out if you have any questions or concerns. Our contact information is included at the end of this proposal. Introduction The City is proposing to prepare the Program EIR for the Project in order for the City to implement its Housing Element. The City is working with the California Department of Housing and Community Development (HCD) to demonstrate their compliance with the mandated Regional Housing Needs Assessment (RHNA) allocation. The City's current Housing Element has not yet been certified by HCD, and the potential impacts of the increased residential density resulting from the required zoning updates needs to be addressed. As the City does not have a current General Plan EIR, preparation of a Program EIR is required to focus on the potential impacts caused by Project implementation. The new zoning resulting from giign wrffi community in mind October 3, 2022 Ms. Alexa Smittle Page 2 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report Project implementation would result in increased densification and intensification of low- and moderate - income residential uses at 11 identified candidate sites in various locations across the City. The focus of the environmental evaluations will be the areas around these 11 identified candidate sites. The City would be the CEQA Lead Agency for the Project. Stantec will review and use information provided by the City to prepare the EIR, including the City's General Plan, 2021 Housing Element, Zoning Code and Maps, 2020 Urban Water Management Plan, Orange County Transportation Analysis Model (OCTAM) to assess vehicle miles travelled (VMT), and any other relevant data or information provided by the City. Stantec anticipates that a Program EIR will provide the appropriate level of CEQA review for the Project. As provided in CEQA Guidelines Section 15168(a), a Program EIR is appropriate for projects which are "...a series of actions that can be characterized as one large project and are related either: 1. Geographically; 2. A logical part in the chain of contemplated actions; 3. In connection with issuance of rules, regulations, plans or other general criteria to govern the conduct of a continuing program; or 4. As individual activities carried out under the same authorizing statutory or regulatory authority and having generally similar environmental effect which can be mitigated in similar ways." Section 15168(b) of the CEQA Guidelines states: "Use of a Program EIR can provide the following advantages. The Program EIR can: 1. Provide an occasion for a more exhaustive consideration of effects and alternatives than would be practical in an EIR on an individual action; 2. Ensure consideration of cumulative impacts that might be slighted in a case-by-case analysis; 3. Avoid duplicate consideration of basic policy considerations; 4. Allow the Lead Agency to consider the broad policy alternative and program -wide mitigation measures at an early time when the agency has greater flexibility to deal with basic problems or cumulative impacts; and 5. Allow reduction in paperwork." Future discretionary actions resulting from Project implementation, and specifically those related to residential development projects, would be required to prepare individual project -specific evaluations to determine consistency with the analysis provided in the proposed Program EIR. Stantec Project Team We understand the value of assigning quality leadership and experienced resources staff to complete projects within schedule and budget. We have assembled a Project team that will provide a wide range of Desiga vAib community in mind October 3, 2022 Ms. Alexa Smittle Page 3 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report cost-effective, timely, high-quality technical services that meet environmental regulations and agency requirements. The selection of team members was based upon four key factors: Technical expertise in issue areas of concern to the City Prior experience with similar projects near Seal Beach Demonstrated ability to comply with schedule constraints Demonstrated ability to effectively communicate and present technical information to the public Our Project team includes experts in key environmental fields who provide the technical credibility to successfully produce the necessary technical studies and finalize a comprehensive environmental document. Professional technical analyses are essential to ensure the environmental document is deemed credible, objective, and technically sound in the eyes of the lead agency and the public. Of equal importance to the technical ability of the team members is their previous experience working on complex projects involving substantial public and stakeholder input, which helps the team produce the highest quality work product. Key strengths associated with Stantec's Project team include: Established working relationships between team members Technical expertise in areas specific to the Project Ability to assign key management and senior staff immediately upon contract award with the intent of meeting the schedule requirements Brief descriptions of the Project management team are provided below Project Management Team Principal in Charge - Trevor Macenski Trevor is a Senior Principal and Geographic Technical Leader for Assessment and Permitting in the United States for Stantec's Environmental Services Impact Assessment, Permitting, and Compliance division. As an environmental scientist with advanced understanding of land use planning, he specializes in developing comprehensive environmental compliance strategies for complex, multi-component development projects from environmental and land use -based siting to impact assessment, and agency permitting through construction. Trevor focuses on complex and controversial projects under federal and state laws. Trevor brings a creative problem -solving approach to his role as a liaison between the various participants in the planning, permitting, and project development process, including project sponsors, engineers, attorneys, lead and responsible agencies, and concerned community groups. He is experienced with public involvement processes and is a skilled public presenter. Trevor has authored more than 150 CEQA documents, including 25 EIRs, and has worked on two published CEQA cases. As an experienced environmental impact assessment practitioner and educator, Trevor served as adjunct faculty at the University of California, Davis, teaching environmental impact assessment methodologies. He is on the Association of Environmental Professionals: Advanced CEQA Practitioners List, which allows him to teach concerning annual statewide CEQA updates, and he is a Planning Commissioner for the City of Benicia. Design wits; communily in mind October 3, 2022 Ms. Alexa Smittle Page 4 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report For the Project, Trevor will serve as the liaison between the Stantec team and the City, as needed. He will ensure that information is distributed appropriately, comments regarding Project -related issues are communicated effectively and efficiently, and financial performance is tracked regularly (i.e., invoices). Trevor will serve as the primary point of contact with the City along with Christine Abraham. Project Manager - Christine Abraham Christine is a Principal Environmental Planner, focusing on environmental review and CEQA compliance documentation. Christine manages Stantec project teams and contributes analytical work products documenting CEQA compliance for agency decisions related to urban development, redevelopment, and infill projects. She has prepared and managed all levels of CEQA documentation, from Notices of Exemption and Initial Studies in support of Mitigated Negative Declarations (MNDs) to EIRs. In addition to document preparation, Christine draws from her legal background, as a Member of the State Bar of California, to provide a thorough peer review of environmental documents to ensure defensibility, as well as engaging in litigation support when needed. She is highly organized, an effective communicator, and understands what it takes to successfully coordinate and track multidisciplinary project teams for complex and controversial projects. Christine will be responsible for the day-to-day coordination of CEQA documentation, ensuring that the Stantec's CEQA practitioners and subject matter technical experts are on task and delivering technically sound, legally defensible documentation. Christine will confirm that the Stantec team has adequate resources to respond to your needs and deliver high quality projects efficiently and in a timely manner. Christine has the authority to reassign staff and pull additional resources as needed. Scope of Work Task 1: Project Initiation & Project Description Task 1 a: Project Initiation and Kick -Off Meeting Upon Project authorization, Stantec will meet virtually the City to initiate this scope of work. Lines of communication will be established, and the scope of work, schedule, and cost estimate will be reviewed and may be refined. To maximize efficiency, Stantec's kick-off meeting agendas often include, but are not limited to, the following: Introduce and establish lines of communication among the Project team members and identify roles and responsibilities. Identify, discuss, and revise, as necessary, the scope, methodology, content, approach, and schedule for completion. Review/refine the Project objectives. Discuss the schedule for providing information to Stantec for documents required for preparation of the Program EIR. Stantec will review information provided by the City and prepare a data needs memorandum of any outstanding data needs. Stantec's Project Manager will be responsible for overseeing our quality Design wifh commun ly in mind October 3, 2022 Ms. Alexa Smittle Page 5 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report assurance/quality control (QA/QC) plan and will work closely with our technical leads and our highly experienced editor who will review all written work products prior to submittal. Deliverables: Kick-off meeting with agenda, with up to three (3) Stantec Environmental Services Staff (virtual) Meeting notes/action items list (electronic) Preparation of Data Needs Memorandum (electronic) Task 1 b: Project Description The Project Description is the "sine qua non" of the EIR, or in layman's terms, an essential and indispensable element. One of the first key actions will be the formulation of a working Project Description for the proposed Project. We will work closely with the City to establish Project objectives and to prepare a Project Description that accurately describes how the overall objectives are met. The Project Description will include a comprehensive overview of all the Project characteristics, as well as a detailed description of related projects, which would be included as an approved, up-to-date list provided by the City for purposes of cumulative analyses. The Project Description will, at a minimum, include the following: Project Characteristics Project Objectives Regional and Local Setting Project Development Data Graphic Representations of the Project Project Design Features Related Projects Construction Phasing Timeline Required Approvals Deliverable: Preparation of Draft and Final Project Description (electronic) Assumptions: Any changes to the Project Description after it has been approved by the City could result in changes to the later environmental analysis. Resulting revisions would be considered out of scope. One consolidated set of comments on the Project Description. Oesian with communify in mind October 3, 2022 Ms. Alexa Smittle Page 6 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report Task 2: Preparation of Technical Studies Task 2a: Air Quality, Greenhouse Gas and Energy Study Air Quality The proposed Project would result in increased residential development on a City-wide level, which would result in additional emissions of criteria air pollutants. The Project is in the South Coast Air Basin, which is designated nonattainment for ozone and particulate matter 2.5 microns or smaller (PM2.5) under the California and National Ambient Air Quality Standards AAQS), nonattainment for lead (Los Angeles County only) under the National AAQS, and nonattainment for particulate matter 10 microns or smaller (PM 10) under the California AAQS (CARB 2022). As such, the primary pollutants of concern are ozone precursors - reactive organic gases or volatile organic compounds ROGs/VOCs), oxides of nitrogen (NOx), and PM. Regional Analysis: Stantec will provide an air quality impact assessment technical memorandum which will include emissions modeling, methodology, and assumptions, as well as model outputs. The analysis will follow guidance provided by the South Coast Air Quality Management District (SCAQMD) and will compare the emissions estimates to SCAQMD regional thresholds. Stantec will use a combination of the California Emissions Estimator Model and/or EMFAC to calculate the increase in emissions from the proposed Project. For mobile source emissions, Stantec will compare the net difference in proposed project vehicle miles travelled (VMT) compared to the baseline VMT. Stantec will also evaluate Project alternatives using the above methodology as well. Localized Significance Thresholds: SCAQMD also has localized significance thresholds (LSTs); however, because there is no defined project with a construction schedule and equipment list, the LST evaluation would not be applicable. Stantec will recommend best practices for minimizing emissions with the potential to cause an exceedance of LSTs. Health Risk Assessment: A health risk analysis is required of projects that require the use of chemical compounds identified in SCAQMD Rule 1401 or placed on the California Air Resources Board's (CARB) air toxics list pursuant to Assembly Bill 1807, the Air Contaminant Identification and Control Act (1983) or placed on the EPA's National Emissions Standards for Hazardous Air Pollutants. SCAQMD has identified the following risk thresholds. Residential uses do not use substantial quantities of toxic air contaminants TACs) and typically do not exacerbate existing hazards. Accordingly, a quantitative health risk assessment will not be prepared. If sensitive uses, such as nursery schools or senior housing, are being developed, additional assessments may be required for an additional fee. Buildout of the proposed project could result in siting sensitive receptors (e.g., residential) near sources of emissions (e.g., freeways, industrial uses, etc.), which could expose sensitive receptors to potential air quality -related impacts. In California Building Industry Association v. Bay Area Air Quality Management District (2015) 62 CalAth 369 (Case No. S213478) the court found that CEQA does not require analysis of the potential environmental effects from siting sensitive receptors near existing sources. As such, Stantec will provide a qualitative discussion focused on best practices for siting sensitive uses in accordance with Design with communliy in mind October 3, 2022 Ms. Alexa Smittle Page 7 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report existing guidance from the SCAQMD and the California Air Resources Board and any applicable General Plan policies. Greenhouse Gases The air quality modeling prepared for the criteria air pollutants will be used to generate emissions estimates of GHG gases limited to: carbon dioxide (CO2), methane (CH4), and nitrous oxide (N20). The interim SCAQMD GHG thresholds of will be used to determine the project's significance as well compliance with applicable regional and State plans developed for the reduction of GHG emissions, such as the Regional Transportation Plan/Sustainable Communities Strategy and the Scoping Plan. Energy Stantec will use the modeling information from air quality and greenhouse gases to estimate the Project's increase in energy use from the baseline compared to the buildout horizon year. Stantec will estimate the project's increase in natural gas, electricity, and vehicle fuels for the buildout horizon compared to the baseline year. Assumptions: Baseline VMT and Project VMT will be provided. A qualitative assessment of CO hotspots will be provided. If it is later determined that a quantitative assessment of CO is necessary, a budget augment will be requested. Major changes to the project features, design, schedule or other parameters that precipitate revisions to the emissions modeling may also warrant a budget augment. Changes to the Project that occur after completing the analysis that require re -modeling will be considered additional work that is not covered by this scope of work. A qualitative LST and HRA assessment for construction and operations is proposed. The Project is not considered a source of substantial odors. A qualitative assessment of odors will be provided, which documents the distance to any odor sources relative to the BAAQMD's guidance. This scope of work includes one round of review and assumes one draft and one final deliverable. Task 2b: Biological Resources Assessment Stantec will a Biological Resources Technical Report (BRTR) to support the preparation of the Program EIR that will analyze the potential construction of housing projects at 11 different sites (per the 2021-2029 City of Seal Beach Housing Element). Stantec is not proposing any field level reconnaissance level surveys as part of this effort but proposes to conduct a desktop review for each of 11 potential sites and provide information on special -status species and/or habitats that may have the potential to occur. In order to provide the City with enough specificity to identify the potential resources at each site and provide recommended mitigation measures for various species and habitats, each site plus a 10 -mile buffer will be analyzed. , Desktop Review: A literature review will be performed in conjunction with the field surveys for the project site. A review of the California Department of Fish and Wildlife (CDFW) California Natural Diversity Database (CNDDB) will be conducted for the U.S. Geological Survey's (USGS) 7.5 -minute topographic Design with communily In mind October 3, 2022 Ms. Alexa Smittle Page 8 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report quadrangle in which the survey(s) occur along with the adjacent eight quadrangles. The purpose of the review is to determine the special -status plants, wildlife, and vegetation communities that have been documented within the vicinity of the project. Additional data regarding the potential occurrence of special - status species and policies relating to these special -status natural resources is generally gathered from the following sources: State and federally listed endangered and threatened animals of California CDFW Special Animals List CDFW California Wildlife Habitat Relationships CNPS Inventory of Rare and Endangered Vascular Plants of California Consortium of California Herbaria Locally Important Species Lists United States Fish and Wildlife Service Information for Planning and Consultation (I PaC) online tool Aerial photographs of the location to be surveyed and surrounding areas Upon completion of the desktop review Stantec will prepare a BRTR that presents the findings of the reviews for each of the sites, a map of special -status species records, an analysis of the potential for special -status species to occur, and avoidance/mitigation measures for sensitive resources. Deliverables: Draft and Final Biological Resources Technical Report: electronic copy (Word and PDF) Assumptions: A GIS shapefile for the location of each of the 11 sites will be provided to Stantec before the desktop review can begin. No fieldwork is proposed as part of the proposed tasks. This scope of work includes one round of review and assumes one draft and one final deliverable. Task 2c: Cultural and Tribal Cultural Resources Assessment In order to analyze of the potential impacts of the General Plan Zoning Code Updates on cultural archaeological and tribal) and historical resources under CEQA, and pursuant to Public Resource Code Section 21084.1, Stantec will conduct a desktop analysis to assess cultural resources conditions throughout the City. Stantec will prepare a cultural resources technical report, as well as the cultural and tribal cultural resources sections of the Program EIR, inclusive of the following tasks: Literature Review Stantec cultural resources staff will conduct background research at multiple repositories. As part of the archival research, the following sources will be consulted: the California Archaeological Inventory Records, National Register of Historic Places (NRNP), California Register of Historical Resources (CRHR), California Historic Landmarks list, California Points of Historical Interest, Built Environment Resources Directory, and Historical Landmarks and Points of Historical Interest for Orange County. Research about the region and selected potentially historic properties will be developed as part of a historic context. Additional on-line sources will be accessed and reviewed to further enhance the understanding of the City. Such sources may Design wRh community in mind October 3, 2022 Ms. Alexa Smittle Page 9 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report include modern and historic maps, historic aerial imagery, newspaper archives, as well as other sources i.e., historic society, library). Record Search Stantec cultural resources staff will request a records search from the South -Central Coastal Information Center (SCCIC) of the California Historical Resource Information System (CHRIS), located at California State University, Fullerton. Based on a preliminary review of the candidate sites, Stantec assumes that of the 11 candidate sites for potential rezoning, only 5 will require a records search. Stantec will define a'/<- mile study area surrounding each of the sites to determine the type of cultural resources that were previously documented within and/or near the site, as well as previously conducted cultural resources surveys, excavations projects, and regional overviews. Inclusion of additional sites as part of the records search request will require a change order/contract modification. Sacred Lands File Search and Native American Consultation As part of Assembly Bill (AB) 52 and Senate Bill 18 compliance pursuant to the CEQA, Stantec will complete a Sacred Lands File and Tribal Contacts List Request with the Native American Heritage Commission (NAHC) in Sacramento. Using the list of NAHC provided contacts, Stantec will prepare and mail Native American outreach letters on letterhead provided by the City. The letters must be signed by a City staff person and include the contact information for the City as the primary point of contact. The City will provide Stantec with all comments received in response to the outreach letters, and Stantec will maintain a log of all contact and communication, which will be submitted to the City with the final report. Stantec will also attend up to two (2) consultation meetings with Native American tribes/organizations. Stantec assumes that all meetings will be virtual, and that no in-person meetings will be required. Technical Report Stantec will prepare a draft Cultural Resources Technical Report for the Project. The report will discuss the proposed project, regulatory framework, research methodologies, and prehistoric and historic contexts. It will include a summary of the records search results and literature review. It will also provide an analysis of the potential project impacts on identified cultural resources as well as mitigation measures and recommendations. Stantec will revise the draft technical report based upon one round of comments. The final report will be submitted electronically as a Word and PDF document to the City. It will also be submitted to the SCCIC within 45 days of project completion. Deliverable: Draft and Final Cultural Resources Technical Report: electronic copy (Word and PDF) Assumptions: Excludes fieldwork (i.e., archaeological survey, test excavation, architectural resource inventory and/or evaluation). Any fieldwork will require a change order/contract modification. Qedgn v4h communfly in mind October 3, 2022 Ms. Alexa Smittle Page 10 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report Excludes costs associated with tribal monitors, which would require a change order/contract modification. Excludes consultation with interested parties (i.e., parties other than Native American tribes, organizations and individuals), attendance at public meetings, or preparation of responses to public comments. Any consultation with interested parties will require a change order/contract modification. Record search fees are set by the California Historical Resources Information System. An estimate is provided based on the assumption that 5 of the 11 candidate sites for potential rezoning. If the final invoice is more than the estimate provided, a change order/contract modification will be necessary. City of Seal Beach will provide Stantec with GIS parcel boundaries and Orange County assessor data for parcels within the city boundaries once the Notice to Proceed is approved. Within 14 days of a decision to undertake the Project, the City shall provide written notification to the Tribes that requested placement on notice list. Notice to Tribes shall include brief Project description, location, and City contact information. Tribes have 30 days to request consultation. The City shall begin the consultation process within 30 days of receiving Tribe's request for consultation. Task 2d: Noise Impact Assessment Stantec will develop a noise study within the Program EIR that will evaluate the proposed General Plan Zoning Code update impacts from noise. The noise evaluation would be directly incorporated into the Noise section of the Program EIR and will address the following elements: Sensitive receptors and the existing noise environment. The current and future noise environment will be determined using the Noise Element in the City of Seal Beach General Plan and the Joint Forces Training Base Airport Land Use Plan. Noise associated with construction activities. Stantec will use the Federal Highway Administration Roadway Construction Noise Model (RCNM) as a tool for impact assessment. Fixed -source noise. Requirements listed in Section 7.15 "Noise" in the Seal Beach Municipal Code and the City of Seal Beach General Plan will be referenced. Groundborne vibration. Stantec will use the Federal Transit Administration, Transit Noise and Vibration Impact Assessment Guidelines document for impact assessment. Traffic noise impact. Using the traffic information provided for this study and general industry standard practice, determine the potential effect the zoning code update will have on local traffic counts and determine the impact to the neighboring communities. Cumulative impacts. Task 2e: Paleontological Resources Technical Report Stantec will prepare a paleontological resources technical report in order to develop paleontological resources management recommendations for the General Plan Zoning Code Updates, pursuant to CEQA and Public Resources Code Chapter 1.7, Sections 5097 and 30244. These statutes require reasonable Design wiin community In mind October 3, 2022 Ms. Alexa Smittle Page I I of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report mitigation of adverse impacts to paleontological resources resulting from a project. Stantec's paleontological resources assessment will be conducted to the standards of the Society of Vertebrate Paleontology (SVP) and include the following tasks: A) Paleontological Resources Assessment; B) Technical Report; and C) Paleontological Resources Section. This scope of work is designed to address the CEQA Appendix G question, 'Will the proposed project directly or indirectly destroy a unique paleontological resource or site or unique geologic feature?" The paleontological resources assessment will consist of an analysis of existing data, assessment of paleontological potential, and recommendations. The analysis of existing data will consist of a review of the relevant scientific literature and geologic mapping, as well as the results of a museum records search of the collections of the Natural History Museum of Los Angeles County (NHMLA). This background research will be used to identify the geologic units present at the surface or in the subsurface within the City and collect information regarding their lithology and if they have a history of preserving paleontological resources. Stantec will use the results of the analysis of existing data to assign paleontological potential rankings of the SVP to the geologic units present in the City at the surface and in the subsurface. Should any high potential units be present, Stantec will develop recommendations that conform to the guidelines of the SVP (2010) and industry best practices (e.g., Murphy et al. 2019) for avoiding impacts to any paleontological resources that might be present for future projects in Seal Beach. Stantec will prepare a paleontological resources technical report (PRTR) that addresses the findings of the study and assessments and will provide recommendations for mitigation activities. Deliverable: Draft and Final Paleontological Resources Technical Report: electronic copy (Word and PDF) Assumptions: Stantec will revise the draft technical report based upon one round of City comments. Record search fees are set by the NHMLA and estimated assuming the project intersects two LISGS 7.5 -minute topographic quadrangle and will not require expedited processing time. It is assumed that a paleontological resources field survey will not be necessary. Should the project change such that a survey is necessary, additional costs for this will be incurred. City of Seal Beach will provide Stantec with GIS shapefiles of the project area and any existing reports that are relevant, such as geotechnical studies or previous paleontological studies, once the Notice to Proceed is approved. Stantec will require 90 days from the receipt of these materials to complete the study. Task 2f: Traffic Impact Assessment Stantec will evaluate the project's impact on transportation, including an analysis of vehicle miles traveled VMT). The analysis will address CEQA Guidelines regarding the analysis of transportation impacts where VMT is recognized as the most appropriate metric to evaluate a project's transportation impact. The Governor's Office of Planning and Research (OPR) has provided a Technical Advisory (December 2018) that recommends specific VMT significance thresholds that may constitute a significant transportation impact and lead agencies have the discretion to set or apply their own thresholds of significance. OPR Design vvith aQGmnun4 In rnlnd October 3,2022 Ms: Alexa.Smittle Page 12 of 26 Reference: Proposal to Prepare•the.City.of Sedl,Beach 'jeral Planloning-Code Up.dates:.Project Program Environ rental, ImpdctARepoit' recommends use of aper -capita measurement of VMT for CEQA.analysis .based; on average V.MT .per resident,for evaluation of residential. .d`evelop`ment.;The`City-of:Seal Beach-,hassimilatlyadoptedaihresholds of significance consistent, the recommendation. Certaintyges of:development, such as a 9 -. developmentwithin-a:-one-half:;mile.of anfezisting;maj&trc nsltrstop.can generally bexpresumed-to have a less tharrsignificant`impact. The proposed project would change the ceitain locationssthrouglout the. City: In County Transportation AnalysisWodel=.1 Engineer, -to:_evaluate th&project's imps based,on:informatiohAo:,be provide&by be analyzed. Signifi0ant]mpacts-will?be VMT guidelines. If the proposed project mitigation measures will bwidentifiOL zoning codato. allow for additional reside ianbe with.,the,!Cityps'VMT°guidelinesi we h., -or anoth6rasirnilar,model as approve( up to th the VMT thresholdsyof significance, development. at use:theQrange the; City ling, units -will be ned1mthe. reducing. In addition to the CEQA analysis.. described.above, w_e;will:prepare an.assessment,of,the project?s.effect,on the City's.roadwaysystem. The. analysis will,"be basednoaaverage•:daily traffic (ADT) volumes and includes. the•collection.ofaraffic,counts: at up to 1.2 key:roadway segment s;in the ,City. Traffic volume forecasts prepared=using QCTAM will be incrementally,,added,tath'6 traffic_counts-to derive futurexconditions with the project.an&alternatives. The .findings from the;bnalysis will be provided .in-a,stand-alohe aechnical report separatefrom theaCEQA analysis. Deliverable: The -transportation assessment -will. be wholly contained=within the3ransportationsection,ofAhe Program'EIR; ind allirelevant data*d ,calculations will bean appendix to h, e CEQA Document.., The roadway ADT assessment wilhbe provided-in a stand-alone technical memorandum. Assumptions: Intersection level of service (LOS)#analysis will not be required for the Project. These: items are specifically excludedafrom. this scope. of work: Traffic counts; LOS analysis,.,site circulation andtaccess analysis, and "parking studies. Task 2g: Water Supply Assessment Stantec will prepare a. Water Supply Assessment to -support the`City's Program.;EIR for their General, -,Plan Zoning Code Updates. The California WaterCode requires, projects meeting specificKcriter;ia to consider:the available water supply. and -.demand .as.parf,of`the. CEQA analysis: These:requirements were added»in:.2001 With, the passage of Senate Bill (SB) 6110 and` companion SB -221 legislation, and further modified,with the passage,of SB°1262;;which provides 6,'l inkio°SR610 and SB 221 andhfie Sustainable'`Groundwatet: Management Act,of'201:4, which was con pF'ised of a three -Bill legislative.pad kage.includingAB 1739'; •SB 1168,andrSB.1349.. Stahtec,,will consider the -available inforrnation-i;egarding the water supplies,available to.. serve,the project,and. compare this information agaihst.an.assessment of;the _estiimated`r ater3denaand.. This analysis will.be presenfed'in.a tecfariical report`tFiat summanizessttaevresultsffor use_in the EIR. Oedgn:vyit4 omt murk fh-rrritid October 3,:2022 Ms. Alexa Smittle" Page 13 of 26 Reference: Proposal.to Prepare theCity_of Seal•Beach,General PlanIoning Code" Updates:Project,P-rogram En4lronmentcl Impact Report Deliverable: Draft:Water S,upply Assessment' .6 weeks afternotice to proceed Final Water Supply Assessment Response;; 3 weeks after' receipt of a single set of. consolidated. comments on ,the%draft' Assumptions: City will provide Stantec with -.,'all available documents for background research. Development of` new estiniafes,of exist g;watersupply a nd;demand will ;not be required. All informationtriecessar y.to determine'fututa;,watersupplyand;demand,is,readily available (e.g., waterentitlernenfcontracts, Groundwater',S,ustainability,Plan;.City. Water supplyaourees.a'nd quantities and,:projected„.waterdem,ani s). Proposed water duty^factors#or estimatiog: future demands for scenarios will: beprovided by City. Projected. increases: inygroundwater extractions.for the project,- if any, will be. part,of a planned groundwater banking-'kin-quality management pbgramiand will hot lead toia'•long=term condition=of overdraft. Information is-readily-available:;regarding any additional.,groundwater wells that will.be developed, or capital4orks projedt.(e.gµ;• water,,treatment;:facilities)`that will be constructed andinoperation: in time for the ,distribution;of .the mwater riec-qssary to meet the needs -ofthe .Project. No additional-hydraulic.orhydrologic"analysisJs ,required. Task 3: Initial: Study and Scoping Meeting Task 3a: Initial Study and Notice of -Preparation - Based on the information provided ;bythe=City;.,discussic the:Project'ito date, the preparation::ofogran,..EIR,, is potential,impacts,of the Project, adtlre."ssingthe;compr accordance with°ahe most receht.apdate of Appendik,,'Q that the City: is'the CEQA, Lead...Agency,.having;,ptimary-i will consist of an of potential;enviro_nmental impactssthat which wilLbepresented for each;resource.ar,ea;"Impacts of impacts will be-measurea:against criteriaithat have be or other definable"criteria:, Information -sources -,will be -cit following environmentalf6ctors1',` Aesthetics Agriculture and:.Forestry Resources Air -Quality Biological.Resources Cultural Resources Energy Geology.and Soils Greenhouse Qds,:Emi9sibns Hazar,ds.and Hazardous Materials o; gcfa mtl i, m., r040ity in,'cni d th City:,staff, and Stanteds.,understanding of inted: T: ,h- -Program EIR would evaluate the 1 . e-range.of; environmental:topic's ;in CEQA Guidelines. Stantec-further vassumes isibility.Jbr-oject approval. The lbitiat'Study lyoccurk.as,a,WSUlt oft, Pfoject,implementation, e assessed>and-descrioed,,and sidnifi"cance tablisled; byregulation, .accepted' standards, J e Initial Study will specifically evaluate=tfe Hydrolbgy;and Water Quality Lan.&Llse and Planning Mineral, -Resources Noise Population and, Housing Public"Services Recreation Transportation Tribal."CulturahResources October 3, 2022 Ms. Alexa Smittle Page 14 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report Utilities and Service Systems • Wildfire The Initial Study will also include Mandatory Findings of Significance, Stantec will evaluate the Project's potential to substantially degrade the quality of the environment, if it will have individually limited but cumulatively considerable impacts, and of the Project will have substantial adverse effects on human beings, either directly or indirectly. Impacts areas will be briefly summarized, and cumulative Project -related impacts will be evaluated qualitatively. Through the Initial Study process, the Program EIR would be able to scope out obvious topics that would not require further evaluation in the EIR. At this time, Stantec assumes that topics such as Agriculture and Forestry Resources, Mineral Resources, and Wildfire will not require further evaluation in the EIR, an addition to several other subsections of environmental impact topics. Stantec will also prepare the Notice of Preparation (NOP), in compliance with City and CEQA requirements, in order for the City to upload to the State Clearinghouse website, submit to the Orange County Clerk Registrar, and distribute to the public. Task 3b: Scoping Meeting Pursuant to the Public Resources Code Section 21083.9, a public scoping meeting, help in an open house format, will be held during the NOP comment period to gather public and agency comments on the scope of the Program EIR, approximately halfway through the NOP 30 -day review period. Stantec will attend the scoping meeting and assist the City in responding to questions regarding the environmental compliance process/content of the EIR that might be raised by agency representatives and other interested parties, as well as identify resource areas that should be removed from the scope of the Program EIR. Based on City input, any comments from the public should be provided on comment cards or otherwise submitted in writing to City staff. Within one week of the Scoping Meeting, Stantec will provide the City with an electronic summary of comments received at the meeting. Stantec will assist in compiling a list of all the NOP comments as necessary. Deliverables Preparation of Draft and Public Review Initial Study (electronic) Preparation of Draft and Final NOP for Public Review (electronic) In-person attendance at Scoping Meeting by up to two (2) Stantec staff Consolidated electronic summary of comments received Assumptions Any changes to the Project Description after it has been approved by the City could result in changes to the environmental analysis in the Initial Study. Resulting revisions would be considered out of scope. One consolidated set of comments on the Initial Study would be provided by the Project Team. One consolidated set of comments on the Initial Study would be provided by the City and their team. Design v4fh cornmunidy in mind October 3, 2022 Ms. Alexa Smittle Page 15 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report The City would be responsible for development of mailing lists, all printing and mailing, and physical placement of the NOP at the appropriate public repository, as well as publication in the local newspaper. The City would be responsible for uploading NOP to State Clearinghouse website. The City would be responsible for submitting NOP to County Clerk/Recorder. No translation or stenography services would be required at the Scoping Meeting. Task 4: Prepare Administrative Draft, Screencheck, and Public Draft Program EIR Stantec will prepare the Administrative Draft Program EIR under this task, which will include a description of the Project, supporting map(s) showing the Project area and identified candidate sites, a list of Project objectives, and the probable environmental effects of the Project based on criteria contained in CEQA Guidelines. The Program EIR will evaluate the potential Project impacts on the resource areas covered under CEQA following the Environmental Checklist, Appendix G of the 2022 CEQA Guidelines. Ourteam will compile all sections of the document, including figures and appendices, and will conduct a thorough internal senior review by the project manager, QA/QC review, and editorial review to ensure an appropriate level of technical content, readability, and consistency prior to submittal to the City for review. The Administrative Draft Program EIR will be prepared for the City. Stantec will then use the Administrative Draft Program EIR to develop the Screencheck Draft and ultimately the Public Draft Program EIR. While all resources will be analyzed in the Program EIR, per CEQA Guidelines, the following discussions highlight the resource considerations that we anticipate being critical to the Project: Aesthetics This section of the Program EIR will provide an overarching review of visual resources in the Project vicinity and the potential for visual impacts to occur as a result of Project implementation. The City's General Plan will be used to determine the local significance of the area's visual character. The candidate rezone sites are currently developed with various uses, and development of the Project could potentially affect the aesthetic character or quality of the existing visual environment. The potential visual resource impacts of the Project will be evaluated, and Stantec will utilize the information available to evaluate the potential visual and aesthetic impacts of the Project at a program level. Air Quality and Greenhouse Gas Emissions Stantec will provide an air quality and greenhouse gas assessment to support the CEQA document, as described under Task 2a above. The analysis will be wholly contained within the air quality and greenhouse gas sections of the Program EIR, with supporting documentation and modeling provided as an appendix. The analysis will respond to the CEQA Guidelines Appendix G Checklist Questions for Air Quality and Greenhouse Gases. 0Psign wFflh oom.munify in mind October 3, 2022 Ms. Alexa Smittle Page 16 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report Biological Resources This section of the Program EIR will address the biological resources in the Project vicinity and the potential for biological resources impacts to occur as a result of Project implementation, as described under Task 2b above. The analysis will be wholly contained within the biological resources section of the EIR document with the supporting technical studies provided as an appendix to the EIR. Cultural Resources and Built Environment Stantec will provide cultural resources support for archaeology and the built environment of the Program EIR, based on the evaluations described under Task 2c above. The analysis will be wholly contained within the cultural resources and tribal cultural resources sections of the Program EIR, with technical memos included as appendices to the Program EIR. This scope of work is not intended to comply with Section 106 of the National Historic Preservation Act (NHPA) and Section 15064.5(a) (2)(3) of CEQA. Energy Stantec will determine potential energy use of the Project and the potential increases associated with Project implementation, consistent with modeling conducted for air quality and greenhouse gas emissions, as described under Task 2a above, to determine whether Project implementation would result in wasteful or inefficient use of energy. Geology and Soils The most important geologic hazard that could affect the Project is the risk to life and property from a large earthquake through either severe ground shaking, ground rupture, or liquefaction, especially due to the coastal location of City. In addition, soils with a high shrink -swell potential could create substantial risks to life or property. Project implementation could also result in substantial soil erosion. As the discussion of paleontological resources is now included in the Geology and Soils impact analysis of the CEQA Appendix G Checklist. Stantec will include an evaluation of potential impacts to Paleontological Resources based on the report as described in Task 2e. Stantec's approach to development of Geology and Soils section of the EIR will include the following: Mapping and locating known active fault zones in the Project area. Identify soil types and characteristics such as shrink -swell potential and unstable soil conditions. Description of physiographic and topographic setting. Description of local geology. If geologic hazards are located within the Project area, a description of their significance and a description of how the Project would affect them. Since future Project implementation would be performed according to the applicable building codes, which incorporate measures to ensure adequate building design in the event of earthquakes and unstable soils, there is not likely to be a significant Project -related impact associated with geologic hazards. Potential soil erosion and loss of topsoil will also be evaluated. Design wain community In mind October 3, 2022 Ms. Alexa Smittle Page 17 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report Incorporate findings of the Paleontological Resources Study. A significance analysis would be based on the California Register of Historical Resources eligibility criteria, or the National Register of Historic Places eligibility criteria, as appropriate. Hazards and Hazardous Materials Stantec will prepare the hazards and hazardous materials section of the Program EIR utilizing publicly available documentation, including data from the Department of Toxic Substances Control, Regional Board, and other regulatory agencies to determine the potential for encountering hazardous wastes within the Project area. A policy consistency review will be conducted to determine consistency with the Airport Environs Land Use Plan and relevant federal resources related to hazards associated with proximity to the Joint Forces Training Base. Hydrology and Water Quality Water resources issues addressed by Stantec staff will holistically evaluate include the following: water discharge, water quality degradation, alteration of drainage patterns and flooding hazards. During evaluation of water resources issues, Stantec will rely upon publicly available information to incorporate the following elements into this section of the EIR: A narrative discussion and graphic identification of surface and groundwater bodies in the Project area including known beneficial uses Identification of local and regional drainage characteristics, including representative flood studies and FEMA Flood Insurance Maps Evaluation of the potential for fill of waters of the United States, streambed alterations, and water - quality changes resulting from construction and operation Evaluation of the potential for channel erosion or stream sedimentation. Stormwater runoff and evaluation of the potential for water quality degradation. Land Use and Planning Stantec understands that the Project seeks to rezone parcels in various locations throughout the City, thereby requiring a General Plan Amendment. Existing conditions will be reviewed by Stantec, including a determination of current zoning site zoning and an examination of local land use plans and policies to determine Project consistency. The Program EIR's evaluation of land use will rely upon data from the most updated Housing Element and General Plan. Existing surrounding land uses will be identified and described to determine land use compatibility and to identify potential conflicts that could occur during future Project construction or operation. In evaluating land use issues, Stantec will consider the consistency/compliance of the Project with federal, state, regional, and local land use plans and regulations, as well as the Project's compatibility with the existing and planned land uses in the vicinity. Noise Stantec will provide a noise impact assessment to support the Program EIR, as described under Task 2d above. The noise analysis will be contained within the noise section of the EIR with the supporting Oesign with community in mind October 3, 2022 Ms. Alexa Smittle Page 18 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report documentation and analyses provided as an appendix to the EIR, as required. Data will be evaluated for anticipated noise during and post -construction of the Project. The noise section will include an analysis of the construction and operational noise expected from the Project. Population and Housing Project implementation would result in growth related to population and housing; however, Stantec will evaluate the population and housing in the surrounding area, as well as projected growth plans regionally, in Orange County and the City. Stantec will identify the increase in population or housing requirements that could result from Project implementation and will evaluate the significance of any increases. Stantec will include the following elements in this section of the EIR: Population and demographic characteristics and trends, as identified by the Southern California Association of Governments (SCAG). Estimates of Project construction and operation labor force requirements. Significance of the Project on population and housing with respect to dividing existing communities or displacing existing residents. Public Services Stantec will use the most recent data available and contact relevant service providers to provide a description of existing City community services, including police and fire protection and schools. We will provide a description of potential impacts to existing conditions and services resulting from Project implementation. Transportation Using the transportation impact analysis prepared for the Project, as described above in Task 2f, a determination of Project impacts will be made using the City's preferred capacity analysis methodology. Impacts will be evaluated for an Existing -plus -Project scenario and for a Cumulative Conditions scenario based on cumulative Project information to be provided by the City. An evaluation of site access, including an assessment of on-site queuing, will be prepared. Mitigation measures for each identified significant impact will be investigated and identified, where feasible. The findings of the traffic study will be documented in a stand-alone traffic study with supporting documentation as attachments. Tribal Cultural Resources Stantec will provide an overview of the AB 52 process undertaken by the City, including the outcome of any requested tribal government consultation. Stantec will assist the City with outreach required under AB 52 to the City's most current list of tribal governments to notify them regarding the Project and solicit their input, as described under Task 2c above. An evaluation of any identified tribal cultural resources or properties that were disclosed as part of the AB 52 process will be provided. Stantec's approach to the evaluation of tribal cultural resources will include the following: Designv fh communely in mind October 3; 2022 Ms. Alexa Smittle Page 19V 26 Reference: Proposal to Prepare the City, of Seal Beach General, Plan Zoning .Code,Updates Project Program Environmental;Impact;Report An overview.AB 52.notification,activities. A summa y.df:efforts to2discovdf4anytribal .cultural.resources in,,the Project vicinity. A summaryofthe repults;ofA6 52tnbal-responses and.analysis of consultation dutcomes. Utilities and Service Systems This,section of the EIR will.address,potential_effects;related to theavailability and capacity of utilities -and services. Utilities, and-services,thatwill bd.addressed include sewerrNice, water service;. and solid' waste collection and disposal. This section,,will-discuss:whether any oVtl 'ese services or facilities is below°adopted standards, or near or'beyond their-capacity°taadequately. serve future Projects. Particular attention wil[be. given to water demands that will result from long ,term operation of the Project. A Water Supply, Assessment WSA); pursuant fo SR:610, will be required for thp.,Project, as provided 4p Task. 2g above An analysis. of impacts that could, occur as a result of Project implementation will be presented for each element of the natural-and;built'environment.;;Baseline,conditions.will be qualitatively and quantitatively described. The boundaries, of tie affected„envirorim.ent will be estaflislied by definab e;geographic units such as-airshed, watershed, viewshed, and, sociozpolitical boundaries. -Impacts wilFbe:qualitatiyely and quantitatively assessed. -and described' as appropriate. Significance of,-impwill,be.measiired against criteria that have .been established. by.. regulation, accepted.standards, or other definable criteria. Information sources wil.hbeoited Wildfire Stantec has confirmed that the City is not;located in a State Responsibility Area, a Local. Responsibility Area,.,or on land's.classified•as very high firebizard,; gv ity'zones,,as,designated by CALFIRE: Stantec will qualitatively. address wildfire.risk]n the Initial'StOdy, due to the sensitivity of this,topic, and:therrthis topic Will -be scoped out-of:the Prograrr(EIR. Administrative Draff and Scre.encheck EIR After receipt of public,ct: komments after circulation7of the.,NOP and the Scoping Meeting, the.Project VI. Description: will be finalized to,reflect the most,up to;date and final versiomof the proposed Project for preparation of a;legally,defensible Program EIR. -Anytopics scoped out.during .the Initial Study and scoping process will notbe evaluatedjfurther in=the Program _EIR. The final Project,Description.will include„intended uses, of the Program. (as. required, Section 15124(4) of the CEQA Guidelines), -including a list _of r related projects, 'responsibleand other agencies, -expected to use.the Program EIR in decision-making; and a lisfiof approvals#or.Wh'ich:the Program E-l,tie used. Stantec will work_closelywith.-City.to eraft;three=(3),alternatives (No.Project, an&two additional alternatives) for the Project;.pgrtiddltirly those needed to,address.,any potential,unavgidable andcsignificant=impacts associated 4ith, Project,implementation' Sfontec will.also ask the City for any<alternit iv already considered: The alternatives analysiswill,providd,a sufficient levehof,detail to_allow.decision makersto.gain a greater understanding; of all alternatives shoul&a determination be ren, dered4to.support-an alternative development'scenario: The alternatives sktion, Iltculmihate with,the selection ofthe environmentally superior,alternative ih:.accord'ance with'CEQA Alliimpacis iritheN,alternative_s analysis will be considered at L7.esigrl,wffh.bw- M"U.,riifiy in, 04104 October 3, 2022 Ms. Alexa Smittle Page 20 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report a qualitative level. Alternatives could potentially include the following: no project; a reduced or increased residential density alternative; or a consideration of alternate sites. Stantec will describe the reasonably foreseeable projects within a City -approved study area that may result in cumulative impacts associated with Project implementation. Cumulative or related projects are often defined as projects constructed, but not occupied; projects approved, but not constructed; or pending projects for which pre -filing or filing of an application has occurred. However, the evaluation area for cumulative impacts would vary dependent upon the technical issue to be addressed. Findings of recent court cases will be used to address all pertinent issues. Cumulative projects will be discussed for each technical issue. The potential for impacts and levels of significance are contingent upon the radius or area of interaction with the Project locations. Stantec will prepare and submit one electronic copy (MS Word) of the Administrative Draft Program EIR for the City and its team to review. It is assumed that the City's legal counsel would review and provide one set of consolidated comments, as would the separate review conducted by the City, on the Administrative Draft Program EIR. Upon receipt of the Program EIR comments, from both legal review and City review, Stantec will make necessary revisions and prepare and submit one electronic copy of the Screencheck Program EIR to the City. It is assumed that comments on the Screencheck Draft Program EIR will be minimal. Deliverables: Administrative Draft Program EIR— City Review: one electronic copy (MS Word) Administrative Draft Program EIR— Legal Review: one electronic copy (MS Word) Screencheck Draft Program EIR: one electronic copy (MS Word) Public Draft EIR After implementation of Screencheck comments, Stantec will prepare the Public Draft Program EIR. This is the version of the document which will be circulated to the public and agencies, posted on the City's website, and sent to the State Clearinghouse. Stantec assumes that the City will prepare all public notices, newspaper notices, citizen mailings, etc., as well as planning and coordination of any public meetings. It is assumed that the City will be responsible for further distribution of the EIR as required by law. Deliverables: Electronic copy of the Draft Program EIR for City submittal to the State Clearinghouse Preparation of the electronic State Clearinghouse Summary Form for City submittal to the State Clearinghouse Task 5: final EIR Administrative Draft Final EIR The City will compile and transmit to Stantec all written and emailed comments received on the Draft Program EIR. Stantec will confer with City staff to review written comments on the Draft Program EIR to Design v&h communi'ly in mind October 3, 2022 Ms. Alexa Smittle Page 21 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report develop a general framework and strategies for preparation of responses. We will prepare thorough, reasoned, and sensitive written responses to relevant environmental issues. Master topical responses will be used to the extent possible. Written comments on the Draft Program EIR received during the public review period are included in this section. Comments may vary from simple form letters to complex legal letters. Every comment letter is identified, followed by a tailored written response. When a comment is made by multiple parties, the response is provided the first time the comment is made, and all other similar comments are referred back to that response. The format of the responses to all the comments is based on a unique letter and number code for each comment. The letter and number immediately following the letter refer to an individual agency, business, group, organization, or member of the general public comment. The number at the end of the code refers to a specific comment within the individual letter. Therefore, each comment has a unique code assignment. For example, comment A-1 is the first comment in letter A. Comments received would be reviewed to determine whether there is substantial disagreement about the potential significance of impacts. Any issues raised concerning potentially significant impacts would be reviewed, addressed, and clarified. It is assumed that responses to comments will not exceed the lesser of 50 comment letters or 100 individual comments. Final EIR The City will provide the responses to comments to the applicable agencies at least 10 days prior to the public hearing. The Final Notice of Decision (NOD) is assumed to be filed with the County Clerk within five 5) working days of Project approval. We assume that the City will provide the funds necessary for all filing fees at the time of filing the NOD. The Final Program EIR will contain the following chapters and items: Introduction and Overview of Draft and Final EIR Process Errata or Changes to the Draft Program EIR Index to Comments and Responses Each comment letter with individual comments bracketed and numbered followed by response to comments Mitigation Monitoring and Reporting Program Stantec will prepare a Mitigation Monitoring and Reporting Program (MMRP) in accordance with Public Resources Code section 21081.6. The MMRP will be designed to ensure compliance with adopted mitigation requirements during project implementation. In coordination with City staff, we will prepare the MMRP for mitigation measures that address significant impacts. After review and comment from the City on the Draft MMRP, we will revise the MMRP and will submit the Final MMRP with the submittal of the Final Program EIR. Design wifn community In Tnind October 3, 2022 Ms. Alexa Smittle Page 22 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report CEQA Findings Stantec will draft written findings for each of the significant effects identified in the Program EIR, pursuant to Sections 15091 and 15093 of the State CEQA Guidelines. A Statement of Overriding Considerations will be prepared for all potentially significant impacts that would not be avoided or substantially reduced to a less than significant level. Stantec assumes that the efforts related to the Findings task will take no more than 50 labor hours. Deliverables: Preparation of Draft and Final EIR, including Errata, Responses to Comments and MMRP electronic) Preparation of Draft and Final NOD for Public Review (electronic) Preparation of CEQA Findings for City (electronic) Assumptions: The City would be responsible for physical placement of the NOD at a library (or other selected repository) and City Hall, as well as publication of notices in the local newspaper The City would be responsible to upload the NOD to the State Clearinghouse website (electronic) The City would submit the NOD to the County Clerk/Recorder Compilation of the complete administrative record is not included in this scope of work and can be prepared for a separate scope and fee. Task 6: Project Management and Public Bearings Task 6a: Project Management and Coordination Stantec will manage the preparation of the Initial Study and Program EIR and maintain close communication with City staff and Project team members. This task is intended to ensure the Project is running on time and within budget and is technically correct and legally defensible. Our Project Manager will provide management liaison among the Project team and City staff for communication of issues, transmittal of comments, financial management (i.e., invoices), and other Project Management matters. Project Management for the Program EIR process will be carried out in accordance with Stantec's rigorous Project Management program. This is one of the benefits of having the document prepared by a single firm. Stantec will attend up to ten (10) meetings with the City and their team. The Stantec management team will coordinate with the City on needs for the meetings including logistics, materials, and proposed agenda. The Project Manager and up to three (3) members of the Stantec team will attend these meetings. Task 6b: Planning Commission and City Council Meetings Stantec has extensive experience in public outreach programs and scoping, including public participation programs and public hearings. We will be present at public meetings and hearings to develop an Design wRh community in mind October 3, 2022 Ms. Alexa Smittle Page 23 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report understanding of the public's comments and concerns, be available to answer questions on environmental issues, and make presentations on the Program EIR. Deliverable: Participation in up to a total of 10 one-hour meetings during the Initial Study and EIR review process. Public Hearings—Stantec will attend up to five (5) public hearings (likely two Planning Commission, two City Council and one Environmental Committee), with up to three (3) Stantec staff members. Assumptions: The City will coordinate logistics and advertising for the hearings, including venue selection, and arrange for all necessary equipment and/or special services (i.e., stenography or translation services). The cost estimate includes attendance by Christine and up to two (2) additional Stantec team members at the programmed meetings summarized below. Early Consultation Meeting—Stantec will attend one (1) Project kick-off meeting with City staff and the Project team to review the project description, discuss critical Project items, and identify any known data or information gaps required to prepare the Program EIR. EIR Review Meeting—Stantec will review City comments before coordinating review meetings to address any comments on the Administrative Draft Program EIR. Public Meetings and/or Hearings—Stantec will attend up to five (5) public meetings and/or hearings, which may include the City's Environmental Quality Control Board, Planning Commission, and/or City Council with up to three (3) Stantec staff members. Additional meetings will be reimbursed at a cost of $2,500 per meeting for Christine and an additional Stantec team member to attend, with prior written authorization by the City. SCHEDULE The following is the proposed work schedule for the City's General Plan Zoning Codes Update Project Program EIR, assuming authorization is received by January 1, 2023. it assumes that the Project Team and the City would provide timely feedback and comments on deliverables received. Stantec will work with City on finalizing this schedule during the initial Project kick off meeting, as the City may need more time for review periods. Estimated Work Product / Milestone Completion Weeks) Contract Awarded _ — Week 1. Project Initiation Meeting; Receipt of Approved Project Plans, and all Background Information. Draft Project Description. for City Review Design vfn community in mirid Week 3 Week 5 October 3, 2022 Ms. Alexa Smittle Page 24 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report Estimated Work Product / Milestone Completion Weeks) Receive Comments from City Week 7 rf Submit Draft InitialStudy and NOP for City Review Week 8 Revise Draft Initial Study and NOP after City Review Weeks 10 Stantec Submits Initial Study and NOP to City Week 11. Issue NOP for 30 -day Review Period Weeks 12-16 Nofice to Tribes — 30 days to request consultation (City action) Week 11 EIR Scoping Meeting Week 14 NOP (Comment Period) and AB 52 Request for Consultation Period Ends Weeks 16' City begins consultation 30 days after Tribes request to consult ,(City action) Week 17 Submit Administrative Draft Program EIR to City Weeks 18-24 Revise Administrative Draft Program EIR after City Review Weeks 25-27 Submit Screencheck Draft Program EIR to the City Week 28 Revise Screencheck Draft Program EIR after City Review Weeks 30-32 Prepare Public Draft'Program EIR for Public Review Week 33 Distribute Public Draft Program EIR (45 -day review period) Weeks 34-41 If End of Public Review Period and Receipt of Public. Comments from the City! Week 42 { Submit Admin Final Program EIR and Admin MMRP to City Weeks 43-45 j Revised. Admin; Final Program EIR and Admin MMRP after City Review Weeks 46-48 Submit Final EIR, Final MMRP, Final NOD, Draft Findings and Statement of Overriding Week 49 Considerations to the City tSubmit Final Findings and Statement of Overriding Considerations to the City Week 50 Public Hearings (Planning Commission) TBD Public, (CityCouncil) J TBD. P5711COST ESTIMATE The cost estimate for preparing the EIR documentation in accordance with CEQA is shown below. The cost reflects the scope of work described herein, travel, and associated expenses. Should less meetings or in- person participation at meetings/hearings be required, direct costs would be reduced below the estimates presented below. Design v f*n communf;y in mind October 3, 2022 Ms. Alexa Smittle Page 25 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report Task ;a Budget 1 Task 1: Project Initiation and Project Description $15,918 Task 2: Preparation of Technical Studies Task, 2a: Air Quality, Energy and Greenhouse Gas Study and Health Risk Assessment Report ! 21,815 Task 2b: Biological Resources Assessment 18,905 ask2c: Cultural and Tribal Resources Assessment 42,332 Task 2d: Noise Impact Assessment 3,328 Task 2e: Paleontological Resources Technical Report 8,944 Task 2f: Traffic Impact Assessment 22,790 Task 2g: Water Supply Assessment 36,336 Task 3: Initial Study and Scoping Meeting 25,648 Task 4: Prepare Administrative Draft, Screencheck and Public Draft Program EIR 103,174 Task 5: Final Program EIR, MMRP, and CEQA Findings Task 6: Project Management and Public Hearings 34,3244 45,510 Stantec Labor Subtotal $379,024 Direct Costs, Records Searches, Mileage and Reimbursable Fees $13,230 Total Estimated Fee 392,254 Assumptions and Disclaimers Additional assumptions used in determining the above Project schedule and cost estimate are provided below: Scope Assumptions This scope of work is considered preliminary and interim in nature. More specifically, it may be subject to revisions based upon feedback from the City's review of our proposal. Printing, mailing, physical noticing, event coordination and venue planning are not included in this scope of work. City -Review Assumptions The cost estimate assumes that the City will conduct a three-week review of the Administrative Draft Program EIR, and a two-week review of the Screencheck Draft Program EIR, resulting in the approximately 50 -week Project schedule presented above. Should the City determine that they require additional time for their review the schedule will change or additional rounds of revisions, then additional budget may be required. It is assumed that the City will provide one consolidated set of comments on each deliverable noted in this scope of work Design vvrfn carnmua'rty in mind October 3, 2022 Ms. Alexa Smittle Page 26 of 26 Reference: Proposal to Prepare the City of Seal Beach General Plan Zoning Code Updates Project Program Environmental Impact Report Schedule Assumptions Stantec will receive approved Project Description and construction plans, Project -related information, base maps, and any technical reports and water/sewer/stormwater capacity calculations. The periods shown in the schedule assume a set amount of time for the City's review of each submittal. If review schedules change, the elapsed time of other tasks will be maintained. All data resources will be deemed adequate by the City when provided to Stantec for use in the Program EIR. As we are all aware, we are all working in unprecedented times as a result of the COVID-19 pandemic. The situation is a very fluid one. Our proposal is based on what we understand as of today but may change as conditions change. We would be pleased to have a further discussion with you to share our respective plans and efforts to help manage and mitigate the impact of this evolving situation on your contract. Regards, Stantec Consulting Services Inc. Christine Abraham Principal Planner Phone: 323-363-6834 christine.abraham@stantec.com stantec.com Oesign wifh community In mind 1. Trevor Macenski Senior Principal Phone: 916-508-4170 trevor.macenski@stantec.com EXHIBIT B TERMS FOR COMPLIANCE WITH CALIFORNIA LABOR LAW REQUIREMENTS 1. This Agreement calls for services that, in whole or in part, constitute "public works" as defined in Division 2, Part 7, Chapter 1 (commencing with Section 1720) of the California Labor Code ("Chapter 1"). Further, Consultant acknowledges that this Agreement is subject to (a) Chapter 1 and (b) the rules and regulations established by the Department of Industrial Relations ("DIR") implementing such statutes. Therefore, as to those Services that are "public works", Consultant shall comply with and be bound by all the terms, rules and regulations described in 1(a) and 1(b) as though set forth in full herein. 2. California law requires the inclusion of specific Labor Code provisions in certain contracts. The inclusion of such specific provisions below, whether or not required by California law, does not alter the meaning or scope of Section 1 above. 3. Consultant shall be registered with the Department of Industrial Relations in accordance with California Labor Code Section 1725.5, and has provided proof of registration to City prior to the Effective Date of this Agreement. Consultant shall not perform work with any subcontractor that is not registered with DIR pursuant to Section 1725.5. Consultant and subcontractors shall maintain their registration with the DIR in effect throughout the duration of this Agreement. If Consultant or any subcontractor ceases to be registered with DIR at any time during the duration of the project, Consultant shall immediately notify City. 4. Pursuant to Labor Code Section 1771.4, Consultant's Services are subject to compliance monitoring and enforcement by DIR. Consultant shall post job site notices, as prescribed by DIR regulations. 5. Pursuant to Labor Code Section 1773.2, copies of the prevailing rate of per diem wages for each craft, classification, or type of worker needed to perform the Agreement are on file at City Hall and will be made available to any interested party on request. Consultant acknowledges receipt of a copy of the DIR determination of such prevailing rate of per diem wages, and Consultant shall post such rates at each job site covered by this Agreement. 6. Consultant shall comply with and be bound by the provisions of Labor Code Sections 1774 and 1775 concerning the payment of prevailing rates of wages to workers and the penalties for failure to pay prevailing wages. Consultant shall, as a penalty to City, forfeit 200.00 for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined by the DIR for the work or craft in which the worker is employed for any public work done pursuant to this Agreement by Consultant or by any subcontractor. 7. Consultant shall comply with and be bound by the provisions of Labor Code Section 1776, which requires Consultant and each subcontractor to: keep accurate payroll records and verify such records in writing under penalty of perjury, as specified in Section 1776; certify and make such payroll records available for inspection as provided by Section 1776; and inform City of the location of the records. 8. Consultant shall comply with and be bound by the provisions of Labor Code Sections 1777.5, 1777.6 and 1777.7 and California Code of Regulations, Title 8, Section 200 et seq. concerning the employment of apprentices on public works projects. Consultant shall be responsible for compliance with these aforementioned Sections for all apprenticeable occupations. Prior to commencing work under this Agreement, Consultant shall provide City with a copy of the information submitted to any applicable apprenticeship program. Within 60 days after concluding work pursuant to this Agreement, Consultant and each of its subcontractors shall submit to City a verified statement of the journeyman and apprentice hours performed under this Agreement. 9. Consultant shall not perform work with any Subcontractor that has been debarred or suspended pursuant to California Labor Code Section 1777.1 or any other federal or state law providing for the debarment of contractors from public works. Consultant and subcontractors shall not be debarred or suspended throughout the duration of this Contract pursuant to Labor Code Section 1777.1 or any other federal or state law providing for the debarment of contractors from public works. If Consultant or any subcontractor becomes debarred or suspended during the duration of the project, Consultant shall immediately notify City. 10. Consultant acknowledges that eight hours labor constitutes a legal day's work. Consultant shall comply with and be bound by Labor Code Section 1810. Consultant shall comply with and be bound by the provisions of Labor Code Section 1813 concerning penalties for workers who work excess hours. Consultant shall, as a penalty to City, forfeit 25.00 for each worker employed in the performance of this Agreement by Consultant or by any subcontractor for each calendar day during which such worker is required or permitted to work more than eight hours in any one calendar day and 40 hours in any one calendar week in violation of the provisions of Division 2, Part 7, Chapter 1, Article 3 of the Labor Code. Pursuant to Labor Code Section 1815, work performed by employees of Consultant in excess of eight hours per day, and 40 hours during any one week shall be permitted upon public work upon compensation for all hours worked in excess of eight hours per day at not less than one and one-half times the basic rate of pay. 11. California Labor Code Sections 1860 and 3700 provide that every employer will be required to secure the payment of compensation to its employees. In accordance with the provisions of California Labor Code Section 1861, Consultant hereby certifies as follows: I am aware of the provisions of Section 3700 of the Labor Code which 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 I will comply with such provisions before commencing the performance of the work of this contract." 12. For every- subcontractor who..will:.perform work onl the, project, Consultant,.shall,-be responsiblefor such.subcontractor,8-tompliance.witliChapter 1 and Labor. Code- Sections 1:86`0-and 3700;:and Consultant shall inclbde.in the written contract,between its.and eachn,r_= subcontractor a copy of those statutory provisions, an'd a requirement .that <each subcontractor spall .comply,.with thosefsfatutory 0ObVisions .,ConsuItant shall be required to take, all actions necessary to' -enforce such confractual provisions and ensure subcontraactdr's compliance,_`includirig, without limitation, .conducting a periodic, review of the certifed,P'. rol[ records; of the subcontractor,and upon, becoming, aware of-.the:.i&lure of ;the subcontrtactor. to. PEv, pis: or her ;workers the. specified prevailih. ' rate of -wages: Consultant shall diligently take correcfivre action toehalt-or rectify.any failure: 13: To the,, aximum .extent permitted,by,;.law, Consultant sh, all. indemnify, hold: harmless. and defend 4(at,°Consultanfzsnexpense with.counsel,= easonabl'* eptable-to.Citys) .City; its officials, officers, ,employees, agents. and :independent contractors .serving; in the role.: of City officials; aid vkolunteers from'ar%d -:against any demand or ,clai_rn .,,for ,damages; compensation, fries;' penalties orjother,amounts- arising,,out-,of or incidental•to anpacts'or omissions listed above by any person'or:entity,(nciuding'C.onsultanf,'its ubcontractors, and` each of their officials, officers; employees' and agents): int cgn,pjpct on with` any°work undertaken or-in connection withtheA,greernent, including.without`lironitation.the-payment of ail consequential da- :ages, attorneys' fee&;,and4.otherlrelated--costs-.and expenses::All duties of{Consultant-under th'is:Section shail'surviVe the tern inatioii of:thefAgreemen't., Attachment Code: D564542 Master ID: 1415077, Certificate ID: 19405943 STANTEC CONSULTING SERVICES INC..; 1415077 19405943 CITY OF SEAL BEACH 211 8TH STREET, SEAL BEACH, CA 90740 Dear Valued Client: In our continuing effort to provide timely certificate delivery, Lockton Companies is utilizing paperless delivery of Certificates of Insurance. To ensure electronic delivery for future renewals of this certificate, we need your email address. Please contact us via the email below and reference Certificate ID: 19405943. You must reference this Certificate ID number in order for us to complete this process. Certificate ID: 19405943 Email: kcasu@Lockton.com Subject Line: ASU E -Delivery NOTES: Signing up for this will NOT sign you up for any solicitation emails - your email will only be used to forward updated or renewal certificates direct from Lockton. We are not able to send PDFs of certificates, your certificates will come via a secure link to our database see below) with the following email "certificates@locktoncerts.com". This is how you know it is from Lockton directly. Also - please do not send any emails to "certificates@locktoncerts.com" as it is not an actual email address. If you do need a pdf of a certificate, please email kcasu@lockton.com to request one. The link will look like this: ib MYa.l:.MW11.t'.oie'l:ti.fi 1111'w+9.p:'1 14'.' R!.('Cl lfwu'l!'M w ManlAfMRfw sY[Fy qC aPA w NNrltr iw ita • M,e ef lytl 1]Yw yKYr. ^X t KV i1'r l.F. M If you received this letter with a certificate via email, no further action on your part is necessary. If you no longer need this certificate, please contact us at kcasu@lockton.com, reference the Holder ID number and use this subject line: "Certificate Removal' Thank you for your cooperation. Lockton Companies Account Services Unit Email I Mailing Update - Liability Certificates Attachment Code: D522032 Certificate ID: 19405943 POLICY NUMBER: 47 - GLO-307584 COMMERCIAL GENERAL LIABILITY CG 20 10 04 13 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - OWNERS, LESSEES OR CONTRACTORS - SCHEDULED PERSON OR ORGANIZATION This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART SCHEDULE Name Of Additional Insured Person(s) Or Organization(s) Locations Of Covered Operations LL LOCATIONS COVERED UNDER THIS POLICY, FOR ANY SUCH PERSON OR ORGANIZATION BUT ONLY TO LIABILITIES ARISING OUT OF OUR NAMED INSURED'S HE EXTENT REQUIRED BY A WRITTEN CONTRACT ACTIVITIES ONLY. EXECUTED PRIOR TO THE "OCCURANCE" FOR OFFENSE. Information required to complete this Schedule, if not shown above, will be shown in the Declarations. A. Section If — Who Is An Insured is amended to include as an additional insured the person(s) or organization(s) shown in the Schedule, but only with respect to liability for "bodily injury", "property damage" or "personal and advertising injury" caused, in whole or in part, by: 1. Your acts or omissions; or 2. The acts or omissions of those acting on your behalf; in the performance of your ongoing operations for the additional insured(s) at the location(s) designated above. However: 1. The insurance afforded to such additional insured only applies to the extent permitted by law; and 2. If coverage provided to the additional insured is required by a contract or agreement, the insurance afforded to such additional insured will not be broader than that which you are required by the contract or agreement to provide for such additional insured. B. With respect to the insurance afforded to these additional insureds, the following additional exclusions apply: This insurance does not apply to "bodily injury" or property damage" occurring after: 1. All work, including materials, parts or equipment furnished in connection with such work, on the project (other than service, maintenance or repairs) to be performed by or on behalf of the additional insured(s) at the location of the covered operations has been completed; or 2. That portion of "your work" out of which the injury or damage arises has been put to its intended use by any person or organization other than another contractor or subcontractor engaged in performing operations for a principal as a part of the same project. CG 20 10 0413 © Insurance Services Office, Inc., 2012 Page 1 of 2 Attachment Code: D522032 Certificate ID: 19405943 C. With respect to the insurance afforded to these 2. Available , under the applicable Limits of, additional) insureds, the, ,follovv ng,Js ,added to Insuranceq shown in fhe Declarations Sectiowill =`Lits?OfInsurance., whichever is less. If coverage provided ,to the' additional insured is This endorsement shall not increase the required by a- contrctor. ag e;mehQtliegriiost46e ; :. ` applicat le irriits .sof" Insurance.+shown in the will. pay•.on beh, alf of the., iddiitiiooKai!iihtuurred is theYe. -Declarations.- amount of insurance. 1. Required by the contract -or agreement; or CG 20 10 04 IS PAGE 2 df,2 Insurance Services Office., Inc., 2012 Attachment Code: D522054 Certificate ID: 19405943 POLICY NUMBER: 47 - GLO-307584 COMMERCIAL GENERAL LIABILITY CG 20 37 0413 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - OWNERS, LESSEES OR CONTRACTORS - COMPLETED OPERATIONS This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE PART SCHEDULE Name Of Additional Insured Person(s) Or Organization(s) Location And Description Of Completed Operations ANY LOCATION OR PROJECT WHERE YOU ARE ANY SUCH PERSON OR ORGANIZATION REQUIRED TO PROVIDE ADDITIONAL INSURED BUT ONLY TO THE EXTENT REQUIRED BY STATUS IN A WRITTEN CONTRACT OR WRITTEN A WRITTEN CONTRACT EXECUTED AGREEMENT, EXCEPT WHERE SUCH CONTRACT OR PRIOR TO THE "OCCURANCE" FOR AGREEMENT IS PROHIBITED BY LAW OFFENSE. Information required to complete this Schedule, if not shown above, will be shown in the Declarations. A. Section II — Who Is An Insured is amended to include as an additional insured the person(s) or organization(s) shown in the Schedule, but only with respect to liability for "bodily injury" or property damage" caused, in whole or in part, by your work" at the location designated and described in the Schedule of this endorsement performed for that additional insured and included in the "products -completed operations hazard". However: 1. The insurance afforded to such additional insured only applies to the extent permitted by law; and 2. If coverage provided to the additional insured is required by a contract or agreement, the insurance afforded to such additional insured will not be broader than that which you are required by the contract or agreement to provide for such additional insured. B. With respect to the insurance afforded to these additional insureds, the following is added to Section 111— Limits Of Insurance: If coverage provided to the additional insured is required by a contract or agreement, the most we will pay on behalf of the additional insured is the amount of insurance: 1. Required by the contract or agreement; or 2. Available under the applicable Limits of Insurance shown in the Declarations; whichever is less. This endorsement shall not increase the applicable Limits of Insurance shown in the Declarations. CG 20 37 0413 © Insurance Services Office, Inc., 2012 Page 1 of 1 Wolters Kluwer Financial Services I Uniform FormsTM Attachment. Code: D522092 Certificate ID: 19405943 - ENDORSEMENT This endorsement,,,effectiv e 12 01.AM ,5/1/;2022E Forms apart of P.olicy'No . 47 -,'GLO 307584. is o: SEE A`TT 'CHED CERTIFICATE By: Berkshire Hathaway.Insurance Company FRTIVI 12` TOIVCONT UTOR ' -OTHER INSURANCE; .. PROVISION THIS!END0,;RS_EMENTaCHANJI3 THE_,PQLICY:';PLEASE READ IT CAREFULLY. This:endorsement,modifies:insurance provided:urideratheJbIlowing:. . COMMERCIi11L+-GENERALLIABILITrYMLICY + COMMERCIALiUMBRELLA'.LIABIL TY,OPLICY Y. ._ . , t. n:. x COMIVIERCIALiRETAINED;LIMIT WABILITX PyO.LICY x. FOLLOW FbkM EXCESS',LIBIALITY;POLICY _ x PRODU,CTr ,CO_,MPLETED OPERATIONS: LIABILIlYfPOLICY .•. The:following.Condition.is:added to the -policy: Primary -Noncontributory Other Insurance The insurance provided by this policy. is .primary, and will: not seek contribution from any insurance available to an additional: insured under this,policy,.provided that: a) The additional insured:is,a named,insured under such other insurance; and a) Prior to an "occurrence" you agreed, in a fully, executed -written contract or agreement, that this. insurance Would;be.primary and would not seek contribution•..from any insurance available to that additional insured. All other terms;andconditions of this policy remain -unchanged.. Pa. a CLP -UN -065710/2013 Includes copyrighted material of Insurance:Services Office; Inc., with its permission. Attachment Code: D522094 Certificate ID: 19405943 COMMERCIAL AUTO THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. BLANKET ADDITIONAL INSURED - PRIMARY AND NON-CONTRIBUTORY WITH OTHER INSURANCE This endorsement modifies insurance provided under the following: BUSINESS AUTO COVERAGE FORM PROVISIONS 1 The following is added to Paragraph A.1.c., Who Is An Insured, of SECTION II - COVERED AUTOS LIABILITY COVERAGE: This includes any person or organization who you are required under a written contract or agreement between you and that person or organization, that is signed by you before the "bodily injury" or property damage" occurs and that is in effect during the policy period, to name as an additional insured for Covered Autos Liability Coverage, but only for damages to which this insurance applies and only to the extent of that person's or organization's liability for the conduct of another insured". 2. The following is added to Paragraph B.5., Other Insurance of SECTION IV - BUSINESS AUTO CONDITIONS: Regardless of the provisions of paragraph a. and paragraph d. of this part 5. Other Insurance, this insurance is primary to and non-contributory with applicable other insurance under which an additional insured person or organization is the first named insured when the written contract or agreement between you and that person or organization, that is signed by you before the bodily injury" or "property damage" occurs and that is in effect during the policy period, requires this CA T4 74 02 16 © 2016 The Travelers Indemnity Company. All rights reserved. Page 1 of 1 Includes copyrighted material of Insurance Services Office, Inc. with its permission. Attachment Code: D522252 Certificate ID: 19405943 Notification to Others of Cancellation Policy No. Eff. Date of Pol. Exp. Date of Pol. Eff. Date of End. Producer No. AWL Prem Return Prem. 47 - GLO-307584 5/1/2022 5/1/2023 Cancellation. THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. This endorsement modifies insurance provided under the: Commercial General Liability Coverage Part Liquor Liability Coverage Part Products/Completed Operations Liability Coverage Part A. If we cancel this Coverage Part(s) by written notice to the first Named Insured for any reason other than nonpayment of premium, we will mail or deliver a copy of such written notice of cancellation: 1. To the name and address corresponding to each person or organization shown in the Schedule below; and 2. At least 10 days prior to the effective date of the cancellation, as advised in our notice to the first Named Insured, or the longer number of days notice if indicated in the Schedule below. B. If we cancel this Coverage Part(s) by written notice to the first Named Insured for nonpayment of premium, we will mail or deliver a copy of such written notice of cancellation to the name and address corresponding to each person or organization shown in the Schedule below at least 10 days prior to the effective date of such cancellation. C. If notice as described in Paragraphs A. or B. of this endorsement is mailed, proof of mailing will be sufficient proof of such notice. SCHEDULE Name and Address of Other Person(s) / Organization(s): Number of Days Notice: Those persons and organizations as stated: in a certificate of 30 Insurance, on file with the insurer, as of the date of Cancellation. All other terms and conditions of this policy remain unchanged. Includes copyrighted material of Insurance Services Office, Inc., with its permission. POLICY NUMBER: TC2J-CAP-8E086819 (AOS); TJ -BAP -8E086820; [ICAUPOL31] ILT4001209 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. DESIGNATED ENTITY - NOTICE OF CANCELLATION/NONRENEWAL PROVIDED BY US This endorsement modifies insurance provided under the following: ALL COVERAGE PARTS INCLUDED IN THIS POLICY SCHEDULE CANCELLATION NUMBER OF DAYS NOTICE OF CANCELLATION: 30 NONRENEWAL NUMBER OF DAYS NOTICE OF NONRENEWAL: 30 PERSON OR ORGANIZATION: Where Required By Written Contract ADDRESS: PROVISIONS: A. If we cancel this policy for any statutorily permitted reason other than nonpayment of premium, and a number of days is shown for cancellation in the schedule above, we will mail notice of cancellation to the person or organization shown in the schedule above. We will mail such notice to the address shown in the schedule above at least the number of days shown for cancellation in the schedule above before the effective date of cancellation. B. If we decide not to renew this policy for any statutorily permitted reason, and a number of days is shown for nonrenewal in the schedule above, we will mail notice of nonrenewal to the person or organization shown in the schedule above. We will mail such notice to the address shown in the schedule above at least the number of days shown for nonrenewal in the schedule above before the expiration date. IL T4 00 12 09 Attachment Code: D522107 Certificate ID: 19405943 WORKERS COMPENSATION AND EMPLOYERS LIABILITY POLICY ENDORSEMENT WC 99 06 R3 (00) POLICY NUMBER: UB -3P635310 (AOS); UB -3P533004 (MA, WI) NOTICE OF CANCELLATION TO DESIGNATED PERSONS OR ORGANIZATIONS The following is added to PART SIX - CONDITIONS: Notice of Cancellation To Designated Persons Or Organizations If we cancel this policy for any reason other than non-payment of premium by you, we will provide notice of such cancellation to each person or organization designated in the Schedule below. We will mail or deliver such notice to each person or organization at its listed address at least the number of days shown for that person or organization before the cancellation is to take effect. You are responsible for providing us with the information necessary to accurately complete the Schedule below. If we cannot mail or deliver a notice of cancellation to a designated person or organization because the name or address of such designated person or organization provided to us is not accurate or complete, we have no responsibility to mail, delivery or otherwise notify such designated person or organization of the cancellation. SCHEDULE Name and Address of Designated Persons or Organizations: WHERE REQUIRED BY WRITTEN CONTRACT. Number of Days Notice: 30 ALL OTHER TERMS AND CONDITIONS OF THIS POLICY REMAIN UNCHANGED. Attachment Code: D522110 Certificate ID: 19405943 Attachment Code: D522055 Certificate ID: 19405943 BERKSHIRE HATHAWAY SPECIALTY INSURANCE ENDORSEMENT This endorsement, effective 12:01 AM: 5/1/2022 Forms a part of Policy No.: 47 - GLO-307584 Issued to: SEE ATTACHED CERTIFICATE By: Berkshire Hathaway Specialty Insurance Company WAIVER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY POLICY COMMERCIAL UMBRELLA LIABILITY POLICY COMMERCIAL RETAINED LIMIT LIABILITY POLICY PRODUCTS/COMPLETED OPERATIONS LIABILITY POLICY SCHEDULE Name Of Person Or Organization: Any person or organization that requires you to waive your rights of recovery, in a written and executed contract or agreement with you that is executed prior to the "occurrence" or "offense". The following Condition is added to the policy: We waive any right of recovery we may have against the person or organization shown in the Schedule above because of payments we make for injury or damage arising out of your ongoing operations or "your work" done under a written and executed contract with that person or organization and included in the "products -completed operations hazard". This waiver applies only to the person or organization shown in the Schedule above. The Transfer of Rights of Recovery condition in the policy is deleted to the extent of the waiver provided in this endorsement for the person or organization shown in the Schedule above. All other terms and conditions of this policy remain unchanged. Page 11 CL -UN -045-10/2016 Attachment,gpdS:,,p522017,Certificate,ID: 19405943 POLICY,N.UI4BgR:,TC,2J.,C,A,,P-8EO86,8,1.9(AOS); TJ =BAR 0086820,;. [ICAUPOL31] COMMERCIALAUTO 40CX04- k4, THMENDORSEMENT CHANGE&THEPOLICY. PLEASE READ IT CAREFULLY WAMMEWOFTRANSFE_R -,.OF-:RIGHTS.Q,,F OR,'E'COV4ER-YV F"ROGATJON) This endP serrient4nodifie - s.msuranqq4prqyided under the following: BUSINESSAUTOCQVERAGE, FORM BUSINESSAU -T.OPHYSICAL DAMAGE COVERAGEYORM, GARAGEU, COVERAGE FORM MOTOR'CAM AER,'COVE YORM T,kUCKAR,St'QUEP,AGE-.FORM With respect to: covqqge proyid6d,b this-endorsement,.the provisions of the,C6verE!gq,:F.prM,,applyunless modified byyth6jgndorsem6ni. This endorsement:changesthe,policypffective on the in;epjiondateoflhe,pplic-unless ateds,, indicated-. Nam, 4, -Ins C.0 -,TPCSUANOStRNICE'S-' 6. gn4qrspment.-Effecthve Date: -N1/2022 SCHEDULE atip']*-): WHEREREQUIREDZBYNV#ITT-EN CONTRACT Information -re uired to complete this.Schedule--if not,show.w,above,w', hbe,shown in,,the Declarations. q i l The Transfer :Of Righls,.,.Of,-,,,RecoveryAgainst- Others To. Us,.Condition, does not apply to the ppT on(s) or,orgaiii2dti6n(s),,,,shown '_ii-the SOliedifle,'but'only-to -oxterit4thdt.,sObro2ation-iswai,v PrIp4` to the accid6At".'.or" l6ss'.!-,undera contract with,that PAT 6r7$amzation. GA 04 44 03, 10 ACORO® CERTIFICATE OF LIABILITY INSURANCE 5/1/2024 DATE(MWDDNYYY) 4/21/2023 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 Lockton Companies 444 W. 47th Street, Suite 900 Kansas City MO 64112-1906 816) 960-9000 CONTACT PHOIC,NE FAX Ext): AIC NoEMAILADDRESS: 47 - GLO-307584 kcasu@lockton.com INSURER(S) AFFORDING COVERAGE I NAIC # INSURER A: Travelers Property Casualty Company of America 25674 DAMAGE TO RENTE PREM SES Ea..."Dence $ 1,000,000 INSURED STANTEC CONSULTING SERVICES INC. 1415077 41017TH STREET INSURER B: Berkshire Hathaway Specialty Insurance Company I 22276 INSURER C: SUITE 1400 DENVER CO 80202-4427 INSURER D: INSURER E: I INSURER F: I A COVERAGES *N CERTIFICATE NUMBER: 1 A40SA41 REVISION NUMBER: XXXXXXX 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 ADDL INSD SUBR WVD POLICY NUMBER I POLICY EFFM/DD POLICY EXP MIDD LIMITS B X COMMERCIAL GENERAL LIABILITY CLAIMS -MADE FxJ OCCUR X CONTRACTUAL/CROSS Y Y 47 - GLO-307584 5/1/2023 5/1/2024 EACH OCCURRENCE s 2,000 000 DAMAGE TO RENTE PREM SES Ea..."Dence $ 1,000,000 MED EXP (Anyone person) s 25,000 X XCU COVERED PERSONAL & ADV INJURY s 2,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: POLICY PRO - II )ECT F—X] LOC OTHER: GENERAL AGGREGATE S 4,000,000 PRODUCTS - COMPIOP AGG S 2,000,000 A AUTOMOBILE X LIABILITY ANY AUTO OWNED AUTOS ONLY SCHEDULED AUTOS HIRED NON -OWNED AUTOS ONLY AUTOS NLY Y Y TC2 CAP - 8EO86819 (AOS) TJ - BAP - 8E086820 5/1/2023 5/1/2023 5/1/2024 5/1/2024 COMEaBINED SINGLE LIMIT accident $ 11000,000 BODILY INJURY (Per person) $ j{j{Xj{XYX BODILY INJURY (Per accident) $ XXXXXXX Pe accidenDAMAGE s XXXXXXX sXXXXXXX B X UMBRELLA LIAR EXCESS LIAB j{ OCCUR CLAIMS -MADE Y Y 47 - UMO-307585 5/1/2023 5/1/2024 EACH OCCURRENCE s 5 000 000 AGGREGATE s 5 000 000 DED I I RETENTION s s XXXXXXX A A A WORKERS COMPENSATION AND EMPLOYERS' LIABILITY ANY PROPRIETOR/PARTNER/EXECUTIVE Y / N OFFICER/MEMBER EXCLUDED? F—N] M If yandatory in NH) describe under DESCRIPTION OF OPERATIONS below NIA N UB - 3P635310 AOS) UB - 3P533004 (IIIA, WD EXCEPT FOR OH ND WA WY 5/1/2023 5/1/2023 5/1/2024 5/1/2024 X STATUTE ERH E.L. EACH ACCIDENT S 1,000,000 E.L. DISEASE - EA EMPLOYEES 1,000,000 E.L. DISEASE - POLICY LIMIT S 1,000,000 DESCRIPTION OF OPERATIONS I LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) SEE ATTACHED*** rPDTlGlr ATE HQI DER CANCELLATION See Attachments ACORD 25 (2016103) V 19S8vL117b AGUKU I:UKF'UKAIIUN. All rlgnis rebuivea. The ACORD name and logo are registered marks of ACORD SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE 9419405943 THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. CITY SEAL BEACH 211 8TH STREET AUTHORIZED REPRESENTATI SEAL BEACH CA 90740 1 1 Al zna ACORD 25 (2016103) V 19S8vL117b AGUKU I:UKF'UKAIIUN. All rlgnis rebuivea. The ACORD name and logo are registered marks of ACORD CONTINUATION DESCRIPTION OF OPERATIONSILOCATIONSIVEHICLESIEXCLUSIONS ADDED BY ENDORSEMENT/SPECIAL PROVISIONS (Use only if more space is required) STANTEC PROJECT #: 2042. PROJECT NAME: CITY OF SEAL BEACH GENERAL PLAN ZONING CODE UPDATES. CITY, ITS ELECTED AND APPOINTED OFFICIALS, OFFICERS, EMPLOYEES, AGENTS, DESIGNATED VOLUNTEERS AND THOSE CITY AGENTS ACTING AS INDEPENDENT CONTRACTORS IN THE ROLE OF CITY OFFICIALS ARE ADDITIONAL INSUREDS AS RESPECTS GENERAL LIABILITY, AUTO LIABILITY AND EXCESS/UMBRELLA LIABILITY, THESE COVERAGES ARE PRIMARY AND NON-CONTRIBUTORY IF REQUIRED BY WRITTEN CONTRACT. WAIVER OF SUBROGATION APPLIES TO GENERAL LIABILITY, AUTO LIABILITY AND EXCESS/UMBRELLA LIABILITY, WHERE ALLOWED BY STATE LAW AND IF REQUIRED BY WRITTEN CONTRACT. SEPARATION OF INSUREDS CLAUSE APPLIES TO GENERAL AND AUTO LIABILITY SUBJECT TO POLICY TERMS, CONDITIONS AND EXCLUSIONS. ACORD 25 (2016/03) Certificate Holder ID: 19405943 ACORO® CERTIFICATE OF LIABILITY INSURANCE 10/1/2023 DATE(MMIDDlYYYY) 3/14/2023 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(es) 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 Lockton Companies 444 W. 47th Street, Suite 900 Kansas City MO 64112-1906 816) 960-9000 CONTANAME: CT a coNno (AIC, No E-MAILADDRESS: COMMERCIAL GENERAL LIABILITY kcasu@lockton.com INSURER(S) AFFORDING COVERAGE I NAIC # INSURER A: Berkshire Hathaway Specialty Insurance Company 22276 INSURED STANTEC CONSULTING SERVICES INC. 1414100 410 17TH STREET INSURER B: AIG Specialty Insurance Com aLay 26883 INSURER C : SUITE 1400 DENVER CO 80202-4427 INSURER D: INSURER E: INSURER F: COVERAGES *N CERTIFICATE NUMBER: 19405901 REVISION NUMBER: XXXXXXX 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 ADDL D SUBRI WVD I POLICY NUMBER POLICY EFF WDD/YY POLICY EXP MIDDIYYY LIMITS COMMERCIAL GENERAL LIABILITY NOT APPLICABLE EACH OCCURRENCE $ XXXXXXX CLAIMS -MADE FIOCCUR DAMAGE TO PREM SES Ea oTED NcO ... ence $ XXXXXXX MED EXP (Any one person) $ XXXXXXX PERSONAL & ADVINJURY $ XXXXXXX GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $ XXXXXXX POLICY F—] PRO- JECT LOC PRODUCTS - COMP/OP AGG $XXXXXXX OTHER: AUTOMOBILE LIABILITY NOT APPLICABLE EaacccidentSINGLE LIMIT $ XXXXXXX BODILY INJURY (Per person) $ XXXXXXXANYAUTO OWNEDAUTOS ONLY AUTOSULED BODILY INJURY (Per accident) $ XXXXXXX cidenDAMAGE $ XXXXXXXPenaccident) HIRED AUTOS ONLY AUUTOS ONLOY XXXXXXX UMBRELLA LIAB HCLAIMS-MADE OCCUR NOT APPLICABLE EACH OCCURRENCE $ XXXXXXX AGGREGATE $ XXXXXXXEXCESSLIAB DED I I RETENTION $ XXXXXXX WORKERS COMPENSATION NOTAPPLICABLEPER OTH- - STATUTE ERANDEMPLOYERS' LIABILITY YIN ANY PROPRIETOR/PARTNER/EXECUTIVE —] E.L. EACH ACCIDENT $ XXXXXXX OFFICERIMEMBER EXCLUDED? Mandatory in NH) N / A E.L. DISEASE - EA EMPLOYEE $. XXXXXXX IF yes, describe under DESCRIPTION OF OPERATIONS below E.L. DISEASE -POLICY LIMIT 1 $ XXXXXXX A Professional Liab N N 47-EPP-308810 10/1/2022 10/1/2023 3,000,000 PER CLAIM/AGG A NO RETROACTIVE DATE INCLUSIVE OF COSTS B I Contractors Pollution Liab I I I CP08085428 10/1/2021 10/1/2023 3,000,000 PER LOSS/AGG DESCRIPTION OF OPERATIONS I LOCATIONS I VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) STANTEC PROJECT #: 2042. PROJECT NAME: CITY OF SEAL BEACH GENERAL PLAN ZONING CODE UPDATES. ' 19405901 CITY OF SEAL BEACH 211 8TH STREET SEAL BEACH CA 90740 I..NIVUMA_H I lulV SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED 5 ACORD CORPORATION. All rights reserved. ACORD 25 (2016103) The ACORD name and logo are registered marks of ACORD Attachment Code: D522032 Certificate ID: 19405943 POLICY NUMBER: 47 - GLO-307584 COMMERCIAL GENERAL LIABILITY CG 20 10 04 13 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - OWNERS, LESSEES OR CONTRACTORS - SCHEDULED PERSON OR ORGANIZATION This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART SCHEDULE Name Of Additional Insured Person(s) Or Organization(s) Locations Of Covered Operations ALL LOCATIONS COVERED UNDER THIS POLICY, FOR ANY SUCH PERSON OR ORGANIZATION BUT ONLY TO LIABILITIES ARISING OUT OF OUR NAMED INSURED's HE EXTENT REQUIRED BY A WRITTEN CONTRACT ACTIVITIES ONLY. EXECUTED PRIOR TO THE "OCCURANCE" FOR OFFENSE. Information required to complete this Schedule, if not shown above, will be shown in the Declarations. A. Section If — Who Is An Insured is amended to include as an additional insured the person(s) or organization(s) shown in the Schedule, but only with respect to liability for "bodily injury", "property damage" or "personal and advertising injury" caused, in whole or in part, by: 1. Your acts or omissions; or 2. The acts or omissions of those acting on your behalf; in the performance of your ongoing operations for the additional insured(s) at the location(s) designated above. However: 1. The insurance afforded to such additional insured only applies to the extent permitted by law; and 2. If coverage provided to the additional insured is required by a contract or agreement, the insurance afforded to such additional insured will not be broader than that which you are required by the contract or agreement to provide for such additional insured. B. With respect to the insurance afforded to these additional insureds, the following additional exclusions apply: This insurance does not apply to "bodily injury" or property damage" occurring after: 1. All work, including materials, parts or equipment furnished in connection with such work, on the project (other than service, maintenance or repairs) to be performed by or on behalf of the additional insured(s) at the location of the covered operations has been completed; or 2. That portion of "your work" out of which the injury or damage arises has been put to its intended use by any person or organization other than another contractor or subcontractor engaged in performing operations for a principal as a part of the same project. CG 20 10 0413 © Insurance Services Office, Inc., 2012 Page 1 of 2 Attachment Code: D522032 Certificate ID: 19405943 C. With respect to the insurance afforded to these additional insureds, the following is added to Section III — Limits Of Insurance: If coverage provided to the additional insured is required by a contract or agreement, the most we will pay on behalf of the additional insured is the amount of insurance: 1. Required by the contract or agreement; or 2. Available under the applicable Limits of Insurance shown in the Declarations; whichever is less. This endorsement shall not increase the applicable Limits of Insurance shown in the Declarations. CG 20 10 0413 © Insurance Services Office, Inc., 2012 PAGE 2 of 2 Attachment Code: D522054 Certificate ID: 19405943 POLICY NUMBER: 47 - GLO-307584 COMMERCIAL GENERAL LIABILITY CG 20 37 0413 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - OWNERS, LESSEES OR CONTRACTORS - COMPLETED OPERATIONS This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE PART SCHEDULE Name Of Additional Insured Person(s) Or Organization(s) Location And Description Of Completed Operations ANY LOCATION OR PROJECT WHERE YOU ARE ANY SUCH PERSON OR ORGANIZATION REQUIRED TO PROVIDE ADDITIONAL INSURED BUT ONLY TO THE EXTENT REQUIRED BY STATUS IN A WRITTEN CONTRACT OR WRITTEN A WRITTEN CONTRACT EXECUTED AGREEMENT, EXCEPT WHERE SUCH CONTRACT OR PRIOR TO THE "OCCURANCE" FOR AGREEMENT IS PROHIBITED BY LAW OFFENSE. Information required to complete this Schedule, if not shown above, will be shown in the Declarations. A. Section II — Who Is An Insured is amended to include as an additional insured the person(s) or organization(s) shown in the Schedule, but only with respect to liability for "bodily injury" or property damage" caused, in whole or in part, by your work" at the location designated and described in the Schedule of this endorsement performed for that additional insured and included in the "products -completed operations hazard". However: 1. The insurance afforded to such additional insured only applies to the extent permitted by law; and 2. If coverage provided to the additional insured is required by a contract or agreement, the insurance afforded to such additional insured will not be broader than that which you are required by the contract or agreement to provide for such additional insured. B. With respect to the insurance afforded to these additional insureds, the following is added to Section III — Limits Of Insurance: If coverage provided to the additional insured is required by a contract or agreement, the most we will pay on behalf of the additional insured is the amount of insurance: 1. Required by the contract or agreement; or 2. Available under the applicable Limits of Insurance shown in the Declarations; whichever is less. This endorsement shall not increase the applicable Limits of Insurance shown in the Declarations. CG 20 37 0413 © Insurance Services Office, Inc., 2012 Page 1 of 1 Wolters Kluwer Financial Services I Uniform FormsTM Attachment Code: D522092 Certificate ID: 19405943 This endorsement, effective 12:01 AM: Forms a part of Policy No.: Issued to: By: ENDORSEMENT 5/1/2023 47 - GLO-307584 SEE ATTACHED CERTIFICATE Berkshire Hathaway Insurance Company PRIMARY NONCONTRILBUTORY - OTHER INSURANCE PROVISION THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY POLICY COMMERCIAL UMBRELLA LIABILITY POLICY COMMERCIAL RETAINED LIMIT LIABILITY POLICY FOLLOW FORM EXCESS LIABILITY POLICY PRODUCTS/COMPLETED OPERATIONS LIABILITY POLICY The following Condition is added to the policy: Primary Noncontributory — Other Insurance The insurance provided by this policy is primary, and will not seek contribution from any insurance available to an additional insured under this policy, provided that: a) The additional insured is a named insured under such other insurance; and a) Prior to an "occurrence" you agreed, in a fully executed written contract or agreement, that this insurance would be primary and would not seek contribution from any insurance available to that additional insured. All other terms and conditions of this policy remain unchanged. Page 11 CLP -UN -065-10/2013 Includes copyrighted material of Insurance Services Office, Inc., with its permission. POLICY #: TC2J - CAP - 8EO86819 (AOS), TJ -BAP -8E086820 Attachment Code: D522094 Certificate ID: 19405943 COMMERCIAL AUTO THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. BLANKET ADDITIONAL INSURED - PRIMARY AND NON-CONTRIBUTORY WITH OTHER INSURANCE This endorsement modifies insurance provided under the following: BUSINESS AUTO COVERAGE FORM PROVISIONS 1 The following is added to Paragraph A.1.c., Who Is An Insured, of SECTION II - COVERED AUTOS LIABILITY COVERAGE: This includes any person or organization who you are required under a written contract or agreement between you and that person or organization, that is signed by you before the "bodily injury" or property damage" occurs and that is in effect during the policy period, to name as an additional insured for Covered Autos Liability Coverage, but only for damages to which this insurance applies and only to the extent of that person's or organization's liability for the conduct of another insured". 2. The following is added to Paragraph B.5., Other Insurance of SECTION IV - BUSINESS AUTO CONDITIONS: Regardless of the provisions of paragraph a. and paragraph d. of this part 5. Other Insurance, this insurance is primary to and non-contributory with applicable other insurance under which an additional insured person or organization is the first named insured when the written contract or agreement between you and that person or organization, that is signed by you before the bodily injury" or "property damage" occurs and that is in effect during the policy period, requires this CA T4 74 02 16 © 2016 The Travelers Indemnity Company. All rights reserved. Page 1 of 1 Includes copyrighted material of Insurance Services Office, Inc. with its permission. Attachment Code: D522252 Certificate ID: 19405943 Notification to Others of Cancellation Policy No. Eff. Date of Pol. Exp. Date of Pol. Eff. Date of End. Producer No. AWL Prem Return Prem. 47 - GLO-307584 5/1/2023 5/1/2024 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. This endorsement modifies insurance provided under the: Commercial General Liability Coverage Part Liquor Liability Coverage Part Products/Completed Operations Liability Coverage Part A. If we cancel this Coverage Part(s) by written notice to the first Named Insured for any reason other than nonpayment of premium, we will mail or deliver a copy of such written notice of cancellation: 1. To the name and address corresponding to each person or organization shown in the Schedule below; and 2. At least 10 days prior to the effective date of the cancellation, as advised in our notice to the first Named Insured, or the longer number of days notice if indicated in the Schedule below. B. If we cancel this Coverage Part(s) by written notice to the first Named Insured for nonpayment of premium, we will mail or deliver a copy of such written notice of cancellation to the name and address corresponding to each person or organization shown in the Schedule below at least 10 days prior to the effective date of such cancellation. C. If notice as described in Paragraphs A. or B. of this endorsement is mailed, proof of mailing will be sufficient proof of such notice. SCHEDULE Name and Address of Other Person(s) / Organization(s): Number of Days Notice: Those persons and organizations as stated in a certificate of 30 Insurance, on file with the insurer, as of the date of Cancellation. All other terms and conditions of this policy remain unchanged. Includes copyrighted material of Insurance Services Office, Inc., with its permission. Attachment Code: D522107 Certificate ID: 19405943 POLICY NUMBER: TC2J - CAP - 8EO86819 (AOS), TJ - BAP - 8EO86820 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. DESIGNATED PERSON OR ORGANIZATION - NOTICE OF CANCELLATION OR NONRENEWAL PROVIDED BY US This endorsement modifies insurance provided under the following: ALL COVERAGE PARTS INCLUDED IN THIS POLICY SCHEDULE CANCELLATION: Number of Days Notice: 30 WHEN WE DO NOT RENEW (Nonrenewal): Number of Days Notice: 30 PERSON OR ORGANIZATION: ANY PERSON OR ORGANIZATION TO WHOM YOU HAVE AGREED IN A WRITTEN CONTRACT THAT NOTICE OF CANCELLATION OR NONRENEWAL OF THIS POLICY WILL BE GIVEN, BUT ONLY IF: 1. YOU SEE TO IT THAT WE RECEIVE A WRITTEN REQUEST TO PROVIDE SUCH NOTICE, INCLUDING THE NAME AND ADDRESS OF SUCH PERSON OR ORGANIZATION, AFTER THE FIRST NAMED INSURED RECEIVES NOTICE FROM US OF THE CANCELLATION OF THIS POLICY; AND 2. WE RECEIVE SUCH WRITTEN REQUEST AT LEAST 14 DAYS BEFORE THE BEGINNING OF THE APPLICABLE NUMBER OF DAYS SHOWN IN THIS ENDORSEMENT. ADDRESS: THE ADDRESS FOR THAT PERSON OR ORGANIZATION INCLUDED IN SUCH WRITTEN REQUEST FROM YOU TO US. PROVISIONS A. If we cancel this policy for any legally permitted reason other than nonpayment of premium, and a number of days is shown for Cancellation in the Schedule above, we will mail notice of cancellation to the person or organization shown in such Schedule. We will mail such notice to the address shown in the Schedule above at least the number of days shown for Cancellation in such Schedule before the effective date of cancellation. B. If we do not renew this policy for any legally permitted reason other than nonpayment of premium, and a number of days is shown for When We Do Not Renew (Nonrenewal) in the Schedule above, we will mail notice of nonrenewal to the person or organization shown in such Schedule. We will mail such notice to the address shown in the Schedule above at least the number of days shown for When We Do Not Renew (Nonrenewal) in such Schedule before the effective date of nonrenewal. IL T4 00 0519 © 2019 The Travelers Indemnity Company. All rights reserved. Page 1 of 1 Attachment Code: D522110 Certificate ID: 19405943 WORKERS COMPENSATION AND EMPLOYERS LIABILITY POLICY ENDORSEMENT WC 99 06 R3 (00) POLICY NUMBER: UB - 3P635310 (AOS); UB - 3P533004 (MA, WI) NOTICE OF CANCELLATION TO DESIGNATED PERSONS OR ORGANIZATIONS The following is added to PART SIX - CONDITIONS: Notice of Cancellation To Designated Persons Or Organizations If we cancel this policy for any reason other than non-payment of premium by you, we will provide notice of such cancellation to each person or organization designated in the Schedule below. We will mail or deliver such notice to each person or organization at its listed address at least the number of days shown for that person or organization before the cancellation is to take effect. You are responsible for providing us with the information necessary to accurately complete the Schedule below. If we cannot mail or deliver a notice of cancellation to a designated person or organization because the name or address of such designated person or organization provided to us is not accurate or complete, we have no responsibility to mail, delivery or otherwise notify such designated person or organization of the cancellation. SCHEDULE Name and Address of Designated Persons or Organizations: Name: Any person or organization with whom you have agreed in a written contract that notice of cancellation of this policy will be given, but only if: 1. You see to it that we receive a written request to provide such notice, including the name and address of such person or organization, after the first Named Insured receives notice from us of the cancellation of this policy; and 2. We receive such written request at least 14 days before the beginning of the applicable number of days shown in this endorsement. Address: The address for that person or organization included in such written request from you to us. Number of Days Notice: 30 ALL OTHER TERMS AND CONDITIONS OF THIS POLICY REMAIN UNCHANGED. Attachment Code: D522055 Certificate ID: 19405943 BERKSHIRE HATHAWAY SPECIALTY INSURANCE ENDORSEMENT This endorsement, effective 12:01 AM: 5/1/2023 Forms a part of Policy No.: 47 - GLO-307584 Issued to: SEE ATTACHED CERTIFICATE By: Berkshire Hathaway Specialty Insurance Company WAIVER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY POLICY COMMERCIAL UMBRELLA LIABILITY POLICY COMMERCIAL RETAINED LIMIT LIABILITY POLICY PRODUCTS/COMPLETED OPERATIONS LIABILITY POLICY SCHEDULE Name Of Person Or Organization: Any person or organization that requires you to waive your rights of recovery, in a written and executed contract or agreement with you that is executed prior to the "occurrence" or "offense". The following Condition is added to the policy: We waive any right of recovery we may have against the person or organization shown in the Schedule above because of payments we make for injury or damage arising out of your ongoing operations or "your work' done under a written and executed contract with that person or organization and included in the "products -completed operations hazard". This waiver applies only to the person or organization shown in the Schedule above. The Transfer of Rights of Recovery condition in the policy is deleted to the extent of the waiver provided in this endorsement for the person or organization shown in the Schedule above. All other terms and conditions of this policy remain unchanged. Page 11 CL -UN -045-10/2016 Attachment Code: D522017 Certificate ID: 19405943 POLICY NUMBER: TC2J - CAP - 8EO86819 (AOS); TJ - BAP - 8E086820; [ICAUPOL31] COMMERCIAL AUTO CA 04 44 03 10 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY WAIVER OF TRANSFER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US (WAIVER OF SUBROGATION) This endorsement modifies insurance provided under the following: BUSINESS AUTO COVERAGE FORM BUSINESS AUTO PHYSICAL DAMAGE COVERAGE FORM GARAGE COVERAGE FORM MOTOR CARRIER COVERAGE FORM TRUCKERS COVERAGE FORM With respect to coverage provided by this endorsement, the provisions of the Coverage Form apply unless modified by the endorsement. This endorsement changes the policy effective on the inception date of the policy unless another date is indicated. Named Insured: STANTEC CONSULTING SERVICES INC. Endorsement Effective Date: 5/1/2023 SCHEDULE Name(s) Of Person(s) Or Organization(s): WHERE REQUIRED BY WRITTEN CONTRACT Information required to complete this Schedule, if not shown above, will be shown in the Declarations. The Transfer Of Rights Of Recovery Against Others To Us Condition does not apply to the person(s) or organization(s) shown in the Schedule, but only to the extent that subrogation is waived prior to the accident" or "loss" under a contract with that person or organization. CA 04 44 03 10 Re: Stantec Consulting Services Professional Services Agreement This agreement was originally scheduled for March 13, 2023, Council Meeting, at that time, the City Council continued the item until the March 27, 2023, meeting. The agreement was approved with an effective date of March 27, 2023; however, the 2.0 Term - List the agreement commencement date as March 15, 2023. For record keeping purposes, the commencement date is March 27, 2023. We did not want to alter the contract after Council approval. Dated: June 7, 2023 Agenda Item G AGENDA STAFF REPORT DATE:August 11, 2025 TO:Honorable Mayor and City Council THRU:Patrick Gallegos, City Manager FROM:Alexa Smittle, Community Development Director SUBJECT:Amendment 3 to the Professional Services Agreement with Holistic System Integration Solutions ________________________________________________________________ SUMMARY OF REQUEST: That the City Council adopt Resolution 7684: 1. Approving Amendment 3 to the Professional Services Agreement with Holistic System Integration Solutions to approve an increase in compensation of $15,000 for continued post-implementation support of Tyler Technologies’ Enterprise Permitting and Licensing (EPL) Land Management Software System for a revised total not-to-exceed amount of $35,000; and, 2. Directing the City Manager to execute Amendment 3 on behalf of the City. BACKGROUND AND ANALYSIS: Holistic System Integration Solutions (Holistic) has been assisting the City of Seal Beach (City) with providing support services for Tyler Technologies’ (Tyler) EPL Land Management Software System. Holistic ensured a smooth transition and optimal functionality of the newly implemented system and has been instrumental in ongoing support of the Tyler system with services including system configuration, comprehensive testing, development of operating procedures, and provision of various remote services. The initial Agreement, along with Amendment 1 and 2, have designated a budget of $20,000 for Holistic to deliver transitional support services through December 31, 2025. As the City has advanced, it has experienced a decline in vendor support services. Amendment 3 would augment the project scope for an additional $15,000 for a total not-to-exceed amount of $35,000 for the continuation of support services to ensure system stability and optimization through December 31, 2025. Page 2 2 1 1 0 ENVIRONMENTAL IMPACT: The proposed professional services agreement amendments are exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the State CEQA Guidelines which states that CEQA only applies to projects that have potential for causing a significant effect on the environment. Approval of the Professional Services Agreement Amendment 3 will not have a significant effect on the environment. LEGAL ANALYSIS: This item has been reviewed and approved as to form. FINANCIAL IMPACT: Adequate funding is available in Fund 103-300-0231-51303, a fee-based revenue source for technology needs. STRATEGIC PLAN: Implementation of a new permitting system was included in the 2021 Strategic Plan. RECOMMENDATION: That the City Council adopt Resolution 7684: 1. Approving Amendment 3 to the Professional Services Agreement with Holistic System Integration Solutions to approve an increase in compensation of $15,000 for continued post-implementation support of Tyler Technologies’ Enterprise Permitting and Licensing (EPL) Land Management Software System for a revised total not-to-exceed amount of $35,000; and, 2. Directing the City Manager to execute Amendment 3 on behalf of the City. SUBMITTED BY: NOTED AND APPROVED: Alexa Smittle Patrick Gallegos Alexa Smittle, Community Development Director Patrick Gallegos, City Manager Prepared by: Megan Coats, Management Analyst Page 3 2 1 1 0 ATTACHMENTS: A. Resolution 7684 B. Amendment 3 to the Professional Services Agreement with Holistic System Integration Solutions C. Amendment 2 to the Professional Services Agreement with Holistic System Integration Solutions D. Amendment 1 to the Professional Services Agreement with Holistic System Integration Solutions E. Original Professional Services Agreement with Holistic System Integration Solutions RESOLUTION 7684 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL APPROVING AND AUTHORIZING AMENDMENT 3 TO THE PROFESSIONAL SERVICES AGREEMENT WITH HOLISTIC SYSTEM INTEGRATION SOLUTIONS INCREASING THE TOTAL COMPENSATION BY $15,000 WHEREAS, the City of Seal Beach (City) and Holistic System Integration Solutions (Consultant) are parties to that certain Professional Services Agreement approved on September 23, 2024, for Post-Go-Live Transition Services (collectively the “Agreement”); and, WHEREAS, the Consultant has been instrumental in the successful launch and ongoing support of the Tyler Technologies system, providing services including system configuration, comprehensive testing, development of operating procedures, and various services; and, WHEREAS, the City faces significant changes in the support structure from Tyler, necessitating a proactive approach to ensure continued system stability and optimization; and, WHEREAS, City and Consultant have determined that additional funding of $15,000 is necessary for the continued support services. NOW, THEREFORE, the Seal Beach City Council does resolve, declare, determine, and order as follows: Section 1. The City Council hereby approves to amend the Professional Services Agreement for Post-Go-Live Transition Services, approving an increase in compensation of $15,000 for a revised total not-to-exceed amount of $35,000. Section 2. The Council hereby directs the City Manager to execute Amendment 3 on behalf of the City. PASSED, APPROVED and ADOPTED by the Seal Beach City Council at a regular meeting held on the 11th day of August 2025 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Lisa Landau, 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 7684 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 11th day of August 2025. Gloria D. Harper, City Clerk PROFESSIONAL SERVICES AGREEMENT Amendment No. 3 for Post-Go-Live Transition Services Between City of Seal Beach 211 - 8th Street Seal Beach, CA 90740 & Holistic System Integration Solutions P.O. Box 6313 La Quinta, CA 92248 (760) 861-6532 This Amendment No. 3, dated August 11, 2025, amends that certain agreement (Agreement) made as of September 23, 2024 by and between the City of Seal Beach (City), a California charter city, and Holistic System Integration Solutions (Consultant), a sole proprietorship (collectively, “the Parties”). 2 of 3 RECITALS A. City and Consultant are parties to the Agreement, pursuant to which Consultant provides post-go-live professional services to support implementation of the Tyler Enterprise, Permitting and Licensing software system . B. City and Consultant wish to amend the Agreement for Consultant to increase the executed agreement for an additional $15,000 for continued support. AMENDMENT NO. 3 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. Section 3.0 (Payment) of the September 1, 2024 Agreement is hereby amended to increase by $15,000, the contract amount to $35,000, to read as follows: City will pay Consultant 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 $35,000 (thirty- five thousand dollars) for the Term. Section 3. All references to the term “Agreement” throughout Sections 1.0 through 35.0 inclusive, of the Agreement are hereby modified to include the this Amendment No. 3, dated August 11, 2025, as if all of those terms are fully set forth therein. Section 4. Except as expressly modified or supplemented b y this Amendment No. 3, all other provisions of the Agreement shall remain unaltered and in full force and effect. Section 4. The person executing this Amendment No. 3 on behalf of Consultant warrants that he or she is fully authorized to execute this Amendment No. 3 on behalf of said Party, and that by his or her execution, Consultant is formally bound to the provisions of this Amendment No. 3. IN WITNESS WHEREOF, the Parties hereto, through their respective authorized representatives have executed this Agreement as of the date and year first above written. CITY OF SEAL BEACH By: _________________________ Patrick Gallegos, City Manager Attest: By: _________________________ Gloria D. Harper, City Clerk Approved as to Form: By: _________________________ Nicholas Ghirelli, City Attorney CONSULTANT: Holistic Systems Integration Solutions, a Sole Proprietorship By: __________________________ Name: Angelica Zarco Its: President PROFESSIONAL SERVICES AGREEMENT Amendment No. 1 for Post-Go-Live Transition Services Between F SEA( B pPORg1Fo,' 24 0 i*s i i0 Qi 11.E 11 12Cisp FR 27 19\i City of Seal Beach 211 - 8th Street Seal Beach, CA 90740 Holistic System Integration Solutions P.O. Box 6313 La Quinta, CA 92248 760) 861-6532 This Amendment No. 1, dated December 9, 2024, amends that certain agreement Agreement) made as of August 26, 2024 by and between the City of Seal Beach (City), a California charter city, and Holistic System Integration Solutions (Consultant), a sole proprietorship (collectively, "the Parties"). RECITALS A. City and Consultant are parties to the Agreement, pursuant to which Consultant provides post-go-live professional services to support implementation of the Tyler Enterprise, Permitting and Licensing software system. B. City and Consultant wish to amend the Agreement for Consultant to extend the executed document from September 1, 2024, for a seven month extension to conclude on June 30, 2025, and to increase the executed agreement for an additional $15,000 for continued support. 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. Section 2.0 (Term) of the September 1, 2024 Agreement is hereby amended for a seven month extension to expire June 30, 2025, to read as follows: The term of this Agreement shall commence on September 1, 2024 and shall remain in full force and effect until June 30, 2025 unless sooner terminated as provided in Section 5.0 of this Agreement. Section 2. Section 3.0 (Payment) of the September 1, 2024 Agreement is hereby amended to increase by $15,000, the contract amount to $20,000, to read as follows: City will pay Consultant 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$20,000 (twenty thousand dollars) for the Term. Section 3. All references to the term "Agreement" throughout Sections 1 .0 through 35.0 inclusive, of the Agreement are hereby modified to include the this Amendment No. 1, dated December 9, 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. Section 4. The person executing this Amendment No. 1 on behalf of Consultant warrants that he or she is fully authorized to execute this Amendment 2 of 3 No. 1 on behalf of said Party, and that by his or her execution, Consultant is formally bound to the provisions of this Amendment No. 1. IN WITNESS WHEREOF, the Parties hereto, through their respective authorized representatives have executed this Agreement as of the date and year first above written. CITY OF SEAL BEACH CONSULTANT:Holistic Systems Integration Solutions, a Sole Proprietorship By: Patrick Gallegos;-interim City - By: Manager V`j Name: Angelica Zarco Atte yf Its: President co By: cam co Gloria . rper, 5A. Q•CA[IFO t Approved as to Form: By:7. Ntithoias Ghirelli, City Attorney 3 of 3 r:h IFFI HOLISTIC SYSTEM INTEGRATION SOLUTIONS I • trio 0. iii'''i1 fi!H!f i r w viktios=irmiver..-‘ - Proposal: City of Seal Beach Consulting Assistance for Implementation of Tyler's EnerGov Civic Services Software Angelica Zarco fFSEALe\ P.O. Box 6313 F''• La Quinta, CA. 92248 9C:\ Office (760) 861-6532 0 — — azarco@holisticsystemint.com CA _ `P; r t/PORN-. www.holisticsystem-int.com Page 1 November 4, 2024 Alexa Smittle Community Development Director City of Seal Beach, California asmittleasealbeachca.c ov RE: Consulting services for post-implementation support of Tyler's EnerGov, Community Development Software System Dear Ms. Smittle. Holistic System Integration Solutions is pleased to submit this proposal to the City of Seal Beach Community Development Department, to provide post-implementation support of Tyler's, EnerGov Civic Services Software. Implementation of the City's new permitting system occurred on August 19'", 2024.The City desires to engage post-implementation support services for a period of up to one (1) year. Holistic looks forward to working with the City of Seal Beach to develop a model for efficient business operations that safely delivers development services to its customers. Thank you for consideration of our proposal. Sincerely, Holistic System Integration Solutions Angelica Zarco President/CEO Page 2 SCOPE OF WORK Provide post-implementation support of Tyler's. Enterprise Permitting software system to include the following: Configuration/Business Process Integration Fee Schedule/Structure configuration System Reports Development Coordination (Forms/Documents/Reports) GIS Coordination Testing Develop Standard Operating Procedures (SOP's) Develop Training materials Ticket creation to report system issues, monitoring and follow through to resolution Conduct one-on-one and/or group sessions with City staff Remote support services via phone/video conference Page 3 QUALIFICATIONS HOLISTIC SYSTEM INTEGRATION SOLUTIONS OUR PURPOSE Based in Riverside County, Holistic System Integration Solutions is dedicated to providing smart holistic solutions for PEOPLE software implementation and process integration. Holistic's in-depth understanding of land management systems, 1601111comprehensiveknowledgeofmunicipallanddevelopment processes and proven system implementation/integration cut TURF experience, paired with our client's desires to achieve future system goals and capitalize on their investment while delivering exceptional customer service,ensures seamless and streamlined collaborations. TECHNOLOGY Holistic has developed streamlined solutions that utilize a holistic approach to system design and integration by balancing four major elements that are key to successful system implementation—People, Culture, Process, and Technology. This approach delivers system integration on a global scale while taking-into-account and minimizing adverse impacts to the organization. EXECUTION STRATEGY Our success is attributed to an execution strategy that incorporates the Lean Six Sigma, DMAIC (Define, Measure, Analyze. Improve, Control) method to software implementation/integration. The DMAIC approach allows them to continually identify and apply improvements to business processes through software system design that result in enhanced system performance. Change management strategies are also built into our programs to assist with the least impactful introduction of end-users to their new land management environment.This approach is imperative to organizational health. SERVICES PROVIDED (all of which may be provided remotely) RFP Development Develop Training Materials and Conduct Staff Training Software System Implementation (New or Upgrade) Vendor issue creation to report system issues. monitoring Software Configuration/Integration and follow through to resolution Workflow Development, Design and Automation Conduct one-on-one and/or group sessions with staff Fee Schedule/Structure Calculations Remote support services via phone/video conference System Reports Development Coordination • On-site and/or remote project management/support Forms/Documents/Reports) services GIS Implementation Coordination Electronic plan review software Implementation/integration System Testing Develop Process/Project Action Team's to achieve project goals Streamlined Strategies for Data Mapping/Migration Page 4 Develop Standard Operating Procedures(SOP's) Develop performance metrics and key performance indicators(KPI's)for increased productivity Holistic System Integration Solutions Experience CITY OF SAN CLEMENTE The City of San Clemente's Information Technology Division utilized Holistic System Integration Solutions to supplement their efforts during a staff transitional period and implementation/integration of a new GIS module. Holistic's ability to provide uninterrupted services while implementing a complex GIS module to their existing land management system resulted in a successful partnership. Services provided to the City included the following: Review, analysis, coordination. testing and implementation of a new GIS module to their existing land management system. Review, analysis, coordination and validation of the City's, County and Fire GIS data and migration into existing land management system. Developed Standard Operating Procedures for City Staff use at implementation. Developed roadmap and made recommendations to implement electronic plan review. Developed reporting methods for Clean Oceans Annual Jurisdictional Runoff report and Park Ranger program. Provided configuration and system support services: CITY OF MEDFORD (OR) Holistic quickly became a critical element to a successful implementation of a complex system for the City of Medford. The knowledge and resources provided were extremely hardworking and competent. We could not have achieved success without these resources." Barbara Madruga The City of Medford procured Holistic System Integration Solutions to assist them with a complex implementation of a new software system just three months prior to their scheduled Go-Live date. Holistic addressed and fast-tracked resolutions for concerns surrounding their anticipated Go-Live schedule. Our assistance lead to a successful implementation. Services provided to the City included the following: Conducted analysis of project timeline and task evaluation, identified critical stops and developed plan of action to accomplish scheduled tasks for successful Go-live. Conducted business process and workflow analysis, made recommendations for streamlining and standardizing opportunities and configured in system. Conducted analysis of TRAKiT system for configuration needs, accuracy and made configuration adjustments in accordance with desired workflows and business processes. Conducted data migration analysis and developed streamlined methods for mapping and migration to new system. Conducted GIS analysis and made recommendations for effective system implementation Developed SOPs and conducted training to staff in all modules Page 5 Implemented mobile inspection platform and conducted training for inspection staff Made recommendations for system preparedness and roll-out to public CITY OF COACHELLA Holistic conducted an in-depth System Needs Analysis of the City of Coachella's existing land management software system (Eden) and processes surrounding their land development activities which included impacts to water & sewer Utilities and Environmental Compliance Departments. The analysis provided them with the ability to measure existing software system capabilities against newer, more sophisticated systems and identified process improvement/streamlining opportunities which will allow them to make informed decisions about future procurement of a new software system. Services provided to the City included the following: Conducted comprehensive system needs analysis of various systems used, including the City's existing Eden land management system, and evaluated based on capability. efficiency and accessibility in comparison with newer land management systems available in today's market. Conducted comprehensive business process review of land development activities and made recommendations for standardizing and streamlining opportunities. Coordinated software vendor demonstrations and prepared system cost comparison. Provided the City with a menu of short-term, mid-term and long-term next steps and made recommendations for actionable goals based on priority. Provided roadmap for actionable items with realistic timelines for execution. CITY OF LA QUINTA The City of La Quinta sought to implement an on-line land management system for the Design&Development Department. Angelica Zarco (Systems Integration Manager), spearheaded implementation of the City's new land management software system, TRAKiT, which included strategic planning, streamlining, standardizing, implementation and integration of processes and systems for the Design and Development Department. Responsibilities included the following: Development, configuration and implementation of the City's software system (TRAKiT) utilized for all development related, business license and Short-Term Vacation Rental application, review, processing and payment activities for both over the counter and online functionality. Implemented the City's online, electronic plan review, GIS and mobile inspection platforms. Engaged with City Staff to understand complex business processes, developed workflows, identified process improvements, streamlining opportunities, standardized business processes and integrated with relative software. Developed Standard Operating Procedures and User Guides and conducted training for all modules. Oversaw the City's Short-Term Vacation Rental Program which involved revamping the marketing and branding of the program. Development of complex key performance indicators to measure business and system performance. Page 6 Angelica Zarco - Project Manager/President, Holistic SIS Business Process Review, Workflow Development, Streamlining and Standardizing for Improved Business Continuity, Configuration, SOP Development &Training Certifications Intermediate Project Management- Microsoft Project; Lean Six Sigma— Lean Management Angelica has 14 years of municipal government experience with 10+ years directly related to Community Development. She was also employed as a Project Manager for 3 years with a major Southern California land development company where she managed large-scale tract home development projects. Her experience in both public and private land development sectors has granted her a unique perspective to the land management software implementation and integration process. She is able to utilize her knowledge and experience from behind both sides of the counter to accurately, efficiently and effectively interpret and deploy land management systems based on the critical business needs of cities and customers alike. Angelica was responsible for the successful implementation of the City of La Quinta's Design and Development Department's land management system, which included Permit, Project, Business License, AEC and GIS modules. She also implemented electronic plan review, mobile inspection and the eTRAKiT online platform which consisted of 82 land development application types. Angelica developed methods to successfully measure key performance indicators for business process and system performance. The implementation process included: Establishing comprehensive strategic plans for implementation / integration of the Department's software system and various project initiatives including project budgets and schedule development adherence. Managing. assigning, and directing activities of various Project Action Teams (PAT's). Developing, configuring, and implementing the City's TRAKiT software system Conducting stakeholder workshops for eTRAKiT online permitting software. Working with City Staff to understand their business processes, developing process workflows, and identifying process improvement opportunities prior to their integration into TRAKiT. Developing and implementing standard operating procedures (SOPs) and user manuals, as well as City policies and best management practices (BMP's) Conducting effective staff training utilizing SOP's and effective training materials Page 7 References Agency Contact Phone Number Email Address Holistic References City of Medford,Oregon Barbara Madruga, 541.774.2064 blmadruga@cityofinedford.org Technology&Innovation Director City of San Clemente, Brian Brower, California Information Technology Manager 949.361.8259 browerb@san-clemente.org Fee Information Cost of Services/Hour Price Total Project Cost Time and Materials—Contract Duration(Up to 1 Year) 125/hour 15,000 To be billed in Increments of no less than 30 minutes per task TOTAL CONTRACT AMOUNT 15,000 l Page 8 E. HOLISTIC SYSTEM INTEGRATION SOLUTIONS AIRMyFW.r kpoprimortisorip 1,1,! . ._/ /'tom' 1,'1 11 tU Ji i ihI11,./:4/i1 API%$PiR!iIM 1= • Mr • , , , Nit', ,ii r Proposal: City of Seal Beach Consulting Assistance for Implementation of Tyler's EnerGov Civic Services Software Angelica Zarco SEA( e. P.O. Box 6313 F,9 y La Quinta, CA. 92248 V nS Office (760) 861-6532 I azarco©holisticsystemint.com c — AP I.c1/FOR •r www.holisticsystem-int.com Page 1 November 4, 2024 Alexa Smittle Community Development Director City of Seal Beach, California asmittleasealbeachca.gov RE: Consulting services for post-implementation support of Tyler's EnerGov, Community Development Software System Dear Ms. Smittle, Holistic System Integration Solutions is pleased to submit this proposal to the City of Seal Beach Community Development Department, to provide post-implementation support of Tyler's, EnerGov Civic Services Software. Implementation of the City's new permitting system occurred on August 19'h, 2024.The City desires to engage post-implementation support services for a period of up to one(1) year. Holistic looks forward to working with the City of Seal Beach to develop a model for efficient business operations that safely delivers development services to its customers. Thank you for consideration of our proposal. Sincerely, Holistic System Integration Solutions Angelica Zarco President/CEO Page 2 SCOPE OF WORK Provide post-implementation support of Tyler's, Enterprise Permitting software system to include the following: Configuration/Business Process Integration Fee Schedule/Structure configuration System Reports Development Coordination (Forms/Documents/Reports) GIS Coordination Testing Develop Standard Operating Procedures (SOP's) Develop Training materials Ticket creation to report system issues, monitoring and follow through to resolution Conduct one-on-one and/or group sessions with City staff Remote support services via phone/video conference Page 3 QUALIFICATIONS HOLISTIC SYSTEM INTEGRATION SOLUTIONS OUR PURPOSE Based in Riverside County, Holistic System Integration Solutions is dedicated to providing smart holistic solutions for PEOPLE software implementation and process integration. Holistic's in-depth understanding of land management systems, lor •comprehensive knowledge of municipal land development processes and proven system implementation/integration 401 PROCESS experience, paired with our client's desires to achieve future system goals and capitalize on their investment while delivering fl/Aexceptionalcustomerservice,ensures seamless and streamlined collaborations. TECHNOLOGY Holistic has developed streamlined solutions that utilize a holistic approach to system design and integration by balancing four major elements that are key to successful system implementation—People, Culture, Process, and Technology. This approach delivers system integration on a global scale while taking-into-account and minimizing adverse impacts to the organization. EXECUTION STRATEGY Our success is attributed to an execution strategy that incorporates the Lean Six Sigma, DMAIC (Define, Measure, Analyze, Improve, Control) method to software implementation/integration. The DMAIC approach allows them to continually identify and apply improvements to business processes through software system design that result in enhanced system performance. Change management strategies are also built into our programs to assist with the least impactful introduction of end-users to their new land management environment.This approach is imperative to organizational health. SERVICES PROVIDED (all of which may be provided remotely) RFP Development Develop Training Materials and Conduct Staff Training Software System Implementation (New or Upgrade) Vendor issue creation to report system issues. monitoring Software Configuration/Integration and follow through to resolution Workflow Development, Design and Automation Conduct one-on-one and/or group sessions with staff Fee Schedule/Structure Calculations Remote support services via phone/video conference System Reports Development Coordination • On-site and/or remote project management/support Forms/Documents/Reports) services Electronic plan review software Implementation/integration GIS Implementation Coordination Develop Process/Project Action Team's to achieve project System Testing goals Streamlined Strategies for Data Mapping/Migration Page 4 Develop Standard Operating Procedures(SOP's) Develop performance metrics and key performance indicators(KPI's)for increased productivity Holistic System Integration Solutions Experience CITY OF SAN CLEMENTE The City of San Clemente's Information Technology Division utilized Holistic System Integration Solutions to supplement their efforts during a staff transitional period and implementation/integration of a new GIS module. Holistic's ability to provide uninterrupted services while implementing a complex GIS module to their existing land management system resulted in a successful partnership. Services provided to the City included the following: Review, analysis, coordination, testing and implementation of a new GIS module to their existing land management system. Review, analysis, coordination and validation of the City's. County and Fire GIS data and migration into existing land management system. Developed Standard Operating Procedures for City Staff use at implementation. Developed roadmap and made recommendations to implement electronic plan review. Developed reporting methods for Clean Oceans Annual Jurisdictional Runoff report and Park Ranger program. Provided configuration and system support services: CITY OF MEDFORD (OR) Holistic quickly became a critical element to a successful implementation of a complex system for the City of Medford. The knowledge and resources provided were extremely hardworking and competent. We could not have achieved success without these resources." Barbara Madruga The City of Medford procured Holistic System Integration Solutions to assist them with a complex implementation of a new software system just three months prior to their scheduled Go-Live date. Holistic addressed and fast-tracked resolutions for concerns surrounding their anticipated Go-Live schedule. Our assistance lead to a successful implementation. Services provided to the City included the following: Conducted analysis of project timeline and task evaluation, identified critical stops and developed plan of action to accomplish scheduled tasks for successful Go-live. Conducted business process and workflow analysis, made recommendations for streamlining and standardizing opportunities and configured in system. Conducted analysis of TRAKiT system for configuration needs, accuracy and made configuration adjustments in accordance with desired workflows and business processes. Conducted data migration analysis and developed streamlined methods for mapping and migration to new system. Conducted GIS analysis and made recommendations for effective system implementation Developed SOPs and conducted training to staff in all modules Page 5 Implemented mobile inspection platform and conducted training for inspection staff Made recommendations for system preparedness and roll-out to public CITY OF COACHELLA Holistic conducted an in-depth System Needs Analysis of the City of Coachella's existing land management software system (Eden) and processes surrounding their land development activities which included impacts to water & sewer Utilities and Environmental Compliance Departments. The analysis provided them with the ability to measure existing software system capabilities against newer, more sophisticated systems and identified process improvement/streamlining opportunities which will allow them to make informed decisions about future procurement of a new software system. Services provided to the City included the following: Conducted comprehensive system needs analysis of various systems used, including the City's existing Eden land management system, and evaluated based on capability, efficiency and accessibility in comparison with newer land management systems available in today's market. Conducted comprehensive business process review of land development activities and made recommendations for standardizing and streamlining opportunities. Coordinated software vendor demonstrations and prepared system cost comparison. Provided the City with a menu of short-term, mid-term and long-term next steps and made recommendations for actionable goals based on priority. Provided roadmap for actionable items with realistic timelines for execution. CITY OF LA QUINTA The City of La Quinta sought to implement an on-line land management system for the Design &Development Department. Angelica Zarco (Systems Integration Manager), spearheaded implementation of the City's new land management software system, TRAKiT, which included strategic planning, streamlining, standardizing, implementation and integration of processes and systems for the Design and Development Department. Responsibilities included the following: Development, configuration and implementation of the City's software system (TRAKiT) utilized for all development related, business license and Short-Term Vacation Rental application, review, processing and payment activities for both over the counter and online functionality. Implemented the City's online, electronic plan review, GIS and mobile inspection platforms. Engaged with City Staff to understand complex business processes, developed workflows, identified process improvements, streamlining opportunities, standardized business processes and integrated with relative software. Developed Standard Operating Procedures and User Guides and conducted training for all modules. Oversaw the City's Short-Term Vacation Rental Program which involved revamping the marketing and branding of the program. Development of complex key performance indicators to measure business and system performance. Page 6 Angelica Zarco - Project Manager/President, Holistic SIS Business Process Review, Workflow Development, Streamlining and Standardizing for Improved Business Continuity, Configuration, SOP Development &Training i4 Certifications Intermediate Project Management- Microsoft Project; Lean Six Sigma—Lean Management Angelica has 14 years of municipal government experience with 10+ years directly related to Community Development. She was also employed as a Project Manager for 3 years with a major Southern California land development company where she managed large-scale tract home development projects. Her experience in both public and private land development sectors has granted her a unique perspective to the land management software implementation and integration process. She is able to utilize her knowledge and experience from behind both sides of the counter to accurately, efficiently and effectively interpret and deploy land management systems based on the critical business needs of cities and customers alike. Angelica was responsible for the successful implementation of the City of La Quinta's Design and Development Department's land management system. which included Permit, Project, Business License, AEC and GIS modules. She also implemented electronic plan review, mobile inspection and the eTRAKiT online platform which consisted of 82 land development application types. Angelica developed methods to successfully measure key performance indicators for business process and system performance. The implementation process included: Establishing comprehensive strategic plans for implementation / integration of the Department's software system and various project initiatives including project budgets and schedule development adherence. Managing, assigning, and directing activities of various Project Action Teams (PAT's). Developing, configuring, and implementing the City's TRAKiT software system Conducting stakeholder workshops for eTRAKiT online permitting software. Working with City Staff to understand their business processes, developing process workflows, and identifying process improvement opportunities prior to their integration into TRAKiT. Developing and implementing standard operating procedures (SOPs) and user manuals, as well as City policies and best management practices (BMP's) Conducting effective staff training utilizing SOP's and effective training materials Page 7 References Agency Contact Phone Number Email Address Holistic References City of Medford,Oregon Barbara Madruga, Technology&Innovation Director 541.774.2064 blmadruga@cityofinedford.org City of San Clemente, Brian Brower, California Information Technology Manager 949.361.8259 browerb@san-clemente.org Fee Information Cost of Services/Hour Price Total Project Cost Time and Materials—Contract Duration(Up to 1 Year) 125/hour 15,000 To be billed in Increments of no less than 30 minutes per task TOTAL CONTRACT AMOUNT 15,000 Page 8 PROFESSIONAL SERVICES AGREEMENT for Post-Go-Live Transition Services between F SEA( BAf hi i'/\_*%Z"CI RgWiel #.I 110 ,005 Z 444,COUN l i ,..__ City of Seal Beach 211 - 8th Street Seal Beach, CA 90740 Holistic System Integration Solutions P.O. Box 6313 La Quinta, CA 92248 760) 861-6532 This Professional Service Agreement ("the Agreement") is made as of August 26, 2024, to be effective as of September 1, 2024 (the "Effective Date"), by and between Holistic System Integration Solutions ("Consultant"), a sole proprietorship, and the City of Seal Beach ('`City"), a California charter city, (collectively, the Parties"). RECITALS A. City desires certain professional services for post-go-live for Tyler Enterprise, Permitting and Licensing software system. B. Pursuant to the authority provided by its City Charter and Seal Beach Municipal Code § 3.20.025(C), City desires to retain Consultant as an independent contractor to provide information technology services. C. Consultant 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 Consultant as an independent contractor and Consultant 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. Consultant shall provide those services (collectively "Services") set forth in the Scope of Services attached hereto as Exhibit A and incorporated herein by this reference. To the extent that there is any conflict between Exhibit A and this Agreement, this Agreement shall control. 1.2. Consultant 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, Consultant 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, Consultant hereby represents that it has the experience necessary to undertake the Services to be provided. In light of such status and experience, Consultant hereby covenants that it shall follow the customary professional standards in performing all Services. The City relies upon the skill of Consultant, and Consultant's staff, if any, to do and perform the Services in a skillful, competent, and professional manner, and Consultant and Consultant's staff, shall perform the Services in such manner. Consultant shall, at all times, meet or exceed any and all applicable professional standards of care. The acceptance of Consultant's 2 of 19 work by the City shall not operate as a release of Consultant from such standard of care and workmanship. 1.5. Consultant 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 on September 1, 2024 and shall remain in full force and effect until November 30, 2024, unless sooner terminated as provided in Section 5.0 of this Agreement. 3.0 Consultant's Compensation 3.1. City will pay Consultant 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 $5,000 (five thousand dollars) for the Original Term. 4.0 Method of Payment 4.1. Consultant 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 Consultant within 30 days of receiving Consultant's invoice. City will not withhold any applicable federal or state payroll and other required taxes, or other authorized deductions from payments made to Consultant. 4.2. Upon 24-hour notice from City, Consultant shall allow City or City's agents or representatives to inspect at Consultant's offices during reasonable business hours all records, invoices, time cards, cost control sheets and other records maintained by Consultant 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. 3 of 19 5.0 Termination 5.1. This Agreement may be terminated by City, without cause, or by Consultant 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 Consultant if Consultant 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. Angelica Zarco is the Consultant's primary representative for purposes of this Agreement. Angelica Zarco shall be responsible during the term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise the Services hereunder. Consultant 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 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 Consultant:Holistic System Integration Solutions P.O. Box 6313 La Quinta, CA 92248 Attn: Angelica Zarco 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 Consultant and all of Consultant's employees and other personnel shall obtain and maintain during the Agreement term all necessary licenses, permits and 4 of 19 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. Consultant 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 Consultant or by Consultant's employees or other personnel under Consultant's supervision. Consultant will determine the means, methods, and details by which Consultant's employees and other personnel will perform the Services. Consultant 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 Consultant's employees and other personnel performing any of the Services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Consultant and Consultant's personnel shall not supervise any of City's employees; and City's employees shall not supervise Consultant's personnel. Consultant'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 Consultant'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. Consultant shall acquire and maintain at its sole cost and expense such vehicles, equipment and supplies as Consultant's personnel require to perform any of the Services required by this Agreement. Consultant shall perform all Services off of City premises at locations of Consultant's choice, except (1) as otherwise required for the performance of Services on City real property, vehicles or equipment; (2) as otherwise may from time to time be necessary in order for Consultant's personnel to receive projects from City, review plans on file at City, pick up or deliver any work product related to Consultant'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 Consultant from time to time for Consultant's personnel to obtain information about or to check on the status of projects pertaining to the Services under this Agreement. 9.3. Consultant shall be responsible for and pay all wages, salaries, benefits and other amounts due to Consultant's personnel in connection with their performance of any Services under this Agreement and as required by law. Consultant 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, Consultant and any of its officers, employees, agents, and 5 of 19 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. Consultant 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 Consultant'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 Consultant under this Agreement any amount due to City from Consultant as a result of Consultant's failure to promptly pay to City any reimbursement or indemnification arising under this Section. This duty of indemnification is in addition to Consultant's duty to defend, indemnify and hold harmless as set forth in any other provision of this Agreement. Consultant's indemnifications and obligations under this Section shall survive the expiration or termination of this Agreement. 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. Consultant agrees that, in providing its employees and any other personnel to City to perform any work or other Services under this Agreement, Consultant 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, Consultant 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. Consultant 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, 6 of 19 damages, claims, costs and expenses of any nature to the extent arising from, caused by, or relating to Consultant's violation of any provisions of this Section 10.0. This duty of indemnification is in addition to Consultant's duty to defend, indemnify and hold harmless as set forth in any other provision of this Agreement. Consultant's indemnification and obligations under this Section shall survive the expiration or termination of this Agreement. 11.0 Confidentiality 11.1. Consultant covenants that all data, reports, documents, surveys, studies, drawings, plans, maps, models, photographs, images, video files, media, discussion, or other information (collectively "Data & Documents") developed or received by Consultant or provided for performance of this Agreement are deemed confidential and shall not be disclosed by Consultant without prior written authorization by City. City shall grant such authorization if applicable law requires disclosure. Consultant, its officers, employees, agents, 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 the City. Response to a subpoena or court order shall not be considered "voluntary," provided Consultant gives City notice of such court order or subpoena. 11.2. Consultant shall promptly notify City should Consultant, its officers, employees, agents 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 the City. City may, but has no obligation to, represent Consultant or be present at any deposition, hearing or similar proceeding. Consultant agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Consultant. 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. Consultant's covenants under this Section 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 7 of 19 and remain the property of City without restriction or limitation upon their use, duplication or dissemination by City. Consultant shall not obtain or attempt to obtain copyright protection as to any Data & Documents. 12.2. Consultant 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. Consultant 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. Consultant 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 of protecting intellectual property rights and/or interests in products or inventions. Consultant 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, Consultant, 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, Consultant 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 Consultant prepares a document on a computer, Consultant 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 the City. Consultant is fully responsible to City for the performance of any and all subcontractors. 8 of 19 14.0 Prohibition Against Assignment or Delegation Consultant 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 shall be void and without effect, and shall entitle City to terminate this Agreement. As used in this Section, "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 Consultant 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. Consultant shall maintain adequate records on the Services provided in sufficient detail to permit an evaluation of all Services in connection therewith. All such records shall be clearly identified and readily accessible. At all times during regular business hours, Consultant 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. Consultant 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 Consultant when unsafe or harmful acts are observed or reported relative to the performance of the Services. Consultant shall maintain the work sites free of hazards to persons and property resulting from its operations. Consultant shall immediately report to the City any hazardous condition noted by Contractor. 9 of 19 17.0 Insurance 17.1. General Requirements. Consultant shall not commence work under this Agreement until it has provided evidence satisfactory to the City that Consultant has secured all insurance required under this Section. 17.2. Minimum Scope and Limits of Insurance. Consultant 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: 17.2.1. Commercial General Liability Insurance: Consultant shall maintain limits no less than $2,000,000 per occurrence for bodily injury, personal injury and property 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 Consultant is a limited liability company, the commercial general liability coverage shall be amended so that Consultant and its managers, affiliates, employees, agents and other persons necessary or incidental to its operation are insureds; 17.2.2. Automobile Liability Insurance: Consultant 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).. 17.2.3. Workers' Compensation Insurance in the amount required by law; and Employer's Liability: $1,000,000 per accident and in the aggregate for bodily injury or disease; 17.2.4. Professional Liability (or Errors and Omissions) Liability. , within minimum limits of $1,000,000 per claim/aggregate. If a "claims made" policy is provided, then the policy shall be endorsed to provide an extended reporting period of not less than three years. 17.2.5 Cyber Security & Privacy Liability Insurance. Service Provider shall procure and maintain Cyber Security and Privacy Liability insurance with limits of $1,000,000 per occurrence and $2,000,000 general aggregate which shall include the following coverage: a. Liability arising from the theft, dissemination and/or use of confidential or personally identifiable information; including credit monitoring and 10 of 19 regulatory fines arising from such theft, dissemination, or use of confidential information. b. Network security liability arising from the unauthorized use of, access to, or tampering with computer systems, including hacker or denial of service attacks. c. Liability arising from the failure of technology products (software) required under the contract for Service Provider to properly perform the services intended. d. Electronic Media Liability arising from personal injury, plagiarism or misappropriation of ideas, domain name infringement or improper deep- linking or framing, and infringement or violation of intellectual property rights. e. Liability arising from the failure to render professional services. If coverage is maintained on a claims- made basis, Service Provider shall maintain such coverage for an additional period of three (3) years following termination of the contract. Required Endorsements — a 30-day notice of cancellation. 17.3. Acceptability of Insurers. The Insurance policies required under this Section 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 the City. 17.4. Additional Insured. 17.4.1. For general liability insurance, City, its elected and appointed officials, officers, employees, agents, designated volunteers and those City agents acting 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 the Consultant, including materials, parts or equipment furnished in connection with such work. 17.4.2. 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 the Consultant or for which the Consultant is responsible. 17.4.3. These additional insured provisions shall also apply to any excess/umbrella liability policies. 17.5. Cancellations or Modifications to Coverage. The insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms supplied or approved by City to state: (1) coverage shall not be suspended, voided, reduced or canceled except after 30 days prior 11 of 19 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; 17.6. Primary and Non-Contributing. Coverage shall be primary insurance as respects the 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 the Consultant's scheduled underlying coverage and that any insurance or self-insurance maintained by the 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 the Consultant's insurance and shall not be called upon to contribute with it; 17.7. Separation of Insureds. All insurance required by this Section 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. 17.8. Deductibles and Self-Insured Retentions. Any deductibles or self- insured retentions shall be declared to and approved by City. Consultant 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) Consultant shall procure a bond guaranteeing payment of losses and related investigation costs, claims and administrative and defense expenses. 17.9. 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. Consultant hereby waives all rights of subrogation against City. 17.10. City Remedy for Noncompliance. If Consultant does not maintain the policies of insurance required under this Section in full force and effect during the term of this Agreement, or in the event any of Consultant's policies do not comply with the requirements under this Section, City may either 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 Consultant's expense, the premium thereon. Consultant shall promptly reimburse 12 of 19 City for any premium paid by City or City may withhold amounts sufficient to pay the premiums from payments due to Consultant. 17.11. Evidence of Insurance. Prior to the performance of Services under this Agreement, Consultant shall furnish City with original certificates of insurance and all original endorsements evidencing and effecting the coverages required under this Section 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. Consultant may provide complete, certified copies of all required insurance policies to City. Consultant 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. Consultant 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. Consultant shall furnish such proof at least two weeks prior to the expiration of the coverages. 17.12. Indemnity Requirements Not Limiting. Procurement of insurance by Consultant shall not be construed as a limitation of Consultant's liability or as full performance of Consultant's duty to indemnify City under Section 18.0. 17.13. Broader Coveraqe/Higher Limits. If Consultant 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 Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to City. 17.14. Subcontractor Insurance Requirements. Consultant 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 Indemnification, Hold Harmless, and Duty to Defend 18.1. Indemnities. 18.1.1. To the fullest extent permitted by law, Consultant 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 18.0), 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, including 13 of 19 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, pertain to, or relate to the acts or omissions of Consultant, its officers, agents, servants, employees, subcontractors, materialmen, suppliers, or contractors, or their officers, agents, servants or employees (or any entity or individual that Consultant 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. Consultant 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. Consultant shall reimburse the Indemnitees for any and all legal expenses and costs incurred by the Indemnitees in connection therewith. 18.1.2. Consultant shall indemnify and hold harmless City in accordance with Sections 9.0 and 10.0. 18.2. Subcontractor Indemnification. Consultant shall obtain executed indemnity agreements with provisions identical to those in this Section 18.0 from each and every subcontractor or any other person or entity involved by, for, with or on behalf of Consultant in the performance of this Agreement. If Consultant fails to obtain such indemnities, Consultant 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 Consultant's subcontractor, its officers, agents, servants, employees, subcontractors, materialmen, contractors or their officers, agents, servants or employees (or any entity or individual that Consultant'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 sole negligence or willful misconduct of the Indemnitees, as determined by final arbitration or court decision or by the agreement of the Parties. 18.3. Workers' Compensation Acts Not Limiting. Consultant's indemnification obligations under this Section, or any other provision of this Agreement, shall not be limited by the provisions of any workers' compensation act or similar act. Consultant 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. 18.4. Insurance Requirements Not Limiting. City does not, and shall not, waive any rights that it may possess against Consultant because of the 14 of 19 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 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. 18.5. Survival of Terms. Consultant's indemnifications and obligations under this Section 18.0 shall survive the expiration or termination of this Agreement. 19.0 Non-Discrimination and Equal Employment Opportunity Consultant affirmatively represents that it is an equal opportunity employer. In the performance of this Agreement, Consultant shall not discriminate 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. Consultant 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. 20.0 Labor Certification By its signature hereunder, Consultant 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. 21.0 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, Consultant shall comply in all respects with all applicable provisions of the California Labor Code, including those set forth in Exhibit B, attached hereto and incorporated by reference herein. 22.0 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. 15 of 19 23.0 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. 24.0 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. 25.0 No Third Party Beneficiaries This Agreement is made solely for the benefit of the Parties to this Agreement and their respective successors and assigns, and no other person or entity shall be deemed to have any rights hereunder against either party by virtue of this Agreement. 26.0 Waiver 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. 27.0 Prohibited Interests; Conflict of Interest 27.1. Consultant 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. Consultant further covenants that, in performance of this Agreement, no person having any such interest shall be employed by it. Furthermore, Consultant shall avoid the appearance of having any interest, which would conflict in any manner with the performance of the Services. Consultant shall not accept any employment or representation during the term of this Agreement which is or may likely make Consultant "financially interested" (as provided in California Government Code §§ 1090 and 87100) in any decision made by City on any matter in connection with which Consultant has been retained. 16 of 19 27.2. Consultant further warrants and maintains that it has not employed or retained any person or entity, other than a bona fide employee working exclusively for Consultant, to solicit or obtain this Agreement. Nor has Consultant paid or agreed to pay any person or entity, other than a bona fide employee working exclusively for Consultant, 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 Consultant hereunder the full amount or value of any such fee, commission, percentage or gift. 27.3. Consultant 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 Consultant, and that if any such interest comes to the knowledge of Consultant at any time during the term of this Agreement, Consultant 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 Final Payment Acceptance Constitutes Release The acceptance by Consultant 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 Consultant for anything done, furnished or relating to Consultant'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 Consultant, 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 or liability by City for any defect or error in the work prepared by Consultant, its employees, subcontractors and agents. 29.0 Corrections In addition to the indemnification obligations set forth above, Consultant shall correct, at its expense, all errors in the work which may be disclosed during City's review of Consultant's report or plans. Should Consultant 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 Consultant. 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 Consultant under this Agreement up to the amount of the cost of correction. 17 of 19 30.0 Non-Appropriation of Funds Payments to be made to Consultant 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 Consultant's Services beyond the current fiscal year, this Agreement shall cover payment for Consultant'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. 31.0 Mutual Cooperation u 1 • 31.1. Citv's Cooperation. City shall prbvjde Cohsul an with al pe inent Data, documents and other requested information as is reasonably avarfa le for Consultant's proper performance of the Services required under this Agreement. 31.2. Consultant's Cooperation. In the event any claim or action is brought against City relating to Consultant's performance of Services rendered under this Agreement, Consultant shall render any reasonable assistance that City requires. 32.0 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. 33.0 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 the losing party all of its attorneys' fees and other costs incurred in connection therewith. 34.0 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. 35.0 Corporate Authority The person executing this Agreement on behalf of Consultant warrants that he or she is duly authorized to execute this Agreement on behalf of said party and that 18 of 19 by his or her execution, the Consultant 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. CITY OF SEAL BEACH CONSULTANT: Holistic Systems Integration Solutions, a Sole it Proprietorship By: J'IF'. Ingram, City Manage By: Name: Angelica Zarco Its: President Attest: Please note, two signatures required for corporations pursuant to California By: \.; r g A Corporations Code Section 313 from oria I. Harp: , i y Clerk each of the following categories: (i) the chairperson of the board, the president or any vice president, and (ii) the Approved as to Form: secretary, any assistant secretary, the chief financial officer or any assistant treasurer of such corporation.) By: Nicholas Ghirelli, City Attorney PROOF OF AUTHORITY TO BIND CONTRACTING PARTY REQUIRED 19 of 19 EXHIBIT A Consultant's Proposal v ". 1.11/71 HOLISTIC t.M I NtF•:4At-ON i.)t of TANS 114111, y fie Nal 4.....4011100, orm c Illifir off, 1.--"' ' ii ti. idiAieiii;i:i/iil:d011$11•t:11'ae1 a 1 .w.w+-*` 4 e. 41111 yr. Proposal: City of Seal Beach Consulting Assistance for Implementation of Tyler's EnerGov Civic Services Software Angelica Zarco f SEAL•••e`• P O Box 6313 O e'9e` La Quinta, CA. 92248 V 1111 y 0 i i Office (760) 861-6532 Z —. . i azarco@holisticsystemint.com cq — ‘ .FOR.NP www.holisticsystem-int.com Page 1 SCOPE OF WORK Provide continued Implementation support of Tyler's, Enterprise Permitting and Lisencing software system to include the following: Configuration/Business Process Integration Workflow Development Fee Schedule/Structure configuration System Reports Development Coordination (Forms/Documents/Reports) GIS Coordination Testing Data mapping guidance for data migration Develop Standard Operating Procedures (SOP's) Develop Training materials Conduct Staff training Ticket creation to report system issues. monitoring and follow through to resolution Conduct one-on-one and/or group sessions with City staff Remote support services via phone/video conference On-site project management/support services—To be scheduled and agreed upon between City and HSIS Electronic Plan Review Implementation/integration Develop Process/Project Action Team's to accomplish project goals Optional Services Attend bi-weekly team meeting(s)via phone/video conference SQL/Cognos/Crystal Report Writer services O Coordinate temporary services to be directly contracted by City GIS Consultant Coordinate temporary services to be directly contracted by City Page 3 Holistic System Integration Solutions Experience CITY OF SAN CLEMENTE The City of San Clemente's Information Technology Division utilized Holistic System Integration Solutions to supplement their efforts during a staff transitional period and implementation/integration of a new GIS module. Holistic's ability to provide uninterrupted services while implementing a complex GIS module to their existing land management system resulted in a successful partnership. Services provided to the City included the following: Review, analysis, coordination, testing and implementation of a new GIS module to their existing land management system. Review, analysis, coordination and validation of the City's, County and Fire GIS data and migration into existing land management system. Developed Standard Operating Procedures for City Staff use at implementation. Developed roadmap and made recommendations to implement electronic plan review. Developed reporting methods for Clean Oceans Annual Jurisdictional Runoff report and Park Ranger program. Provided configuration and system support services: CITY OF MEDFORD (OR) Holistic quickly became a critical element to a successful implementation of a complex system for the City of Medford. The knowledge and resources provided were extremely hardworking and competent. We could not have achieved success without these resources." Barbara Madruga The City of Medford procured Holistic System Integration Solutions to assist them with a complex implementation of a new software system just three months prior to their scheduled Go-Live date. Holistic addressed and fast-tracked resolutions for concerns surrounding their anticipated Go-Live schedule. Our assistance lead to a successful implementation. Services provided to the City included the following Conducted analysis of project timeline and task evaluation, identified critical stops and developed plan of action to accomplish scheduled tasks for successful Go-live. Conducted business process and workflow analysis, made recommendations for streamlining and standardizing opportunities and configured in system. Conducted analysis of TRAKiT system for configuration needs, accuracy and made configuration adjustments in accordance with desired workflows and business processes. Conducted data migration analysis and developed streamlined methods for mapping and migration to new system. Conducted GIS analysis and made recommendations for effective system implementation Developed SOPs and conducted training to staff in all modules Implemented mobile inspection platform and conducted training for inspection staff Made recommendations for system preparedness and roll-out to public Page 5 Angelica Zarco - Project Manager/President, Holistic SIS Business Process Review. Workflow Development, Streamlining and Standardizing for Improved Business Continuity, Configuration, SOP Development &Training Certifications Intermediate Project Management-Microsoft Project: Lean Six Sigma—Lean Management Angelica has 14 years of municipal government experience with 10+ years directly related to Community Development. She was also employed as a Project Manager for 3 years with a major Southern California land development company where she managed large-scale tract home development projects. Her experience in both public and private land development sectors has granted her a unique perspective to the land management software implementation and integration process. She is able to utilize her knowledge and experience from behind both sides of the counter to accurately. efficiently and effectively interpret and deploy land management systems based on the critical business needs of cities and customers alike. Angelica was responsible for the successful implementation of the City of La Quinta's Design and Development Department's land management system. which included Permit, Project, Business License, AEC and GIS modules. She also implemented electronic plan review, mobile inspection and the eTRAKiT online platform which consisted of 82 land development application types. Angelica developed methods to successfully measure key performance indicators for business process and system performance. The implementation process included: Establishing comprehensive strategic plans for implementation / integration of the Department's software system and various project initiatives including protect budgets and schedule development adherence. Managing, assigning, and directing activities of various Project Action Teams(PAT's) Developing, configuring, and implementing the City's TRAKiT software system Conducting stakeholder workshops for eTRAKiT online permitting software. Working with City Staff to understand their business processes, developing process workflows, and identifying process improvement opportunities prior to their integration into TRAKiT. Developing and implementing standard operating procedures (SOPs) and user manuals, as well as City policies and best management practices (BMP's) Conducting effective staff training utilizing SOP's and effective training materials Page 7 EXHIBIT B TERMS FOR COMPLIANCE WITH CALIFORNIA LABOR LAW REQUIREMENTS 1. This Agreement calls for services that, in whole or in part, constitute "public works" as defined in Division 2, Part 7, Chapter 1 (commencing with Section 1720) of the California Labor Code ("Chapter 1"). Further, Consultant acknowledges that this Agreement is subject to (a) Chapter 1 and (b) the rules and regulations established by the Department of Industrial Relations ("DIR") implementing such statutes. Therefore, as to those Services that are "public works", Consultant shall comply with and be bound by all the terms, rules and regulations described in 1(a) and 1(b) as though set forth in full herein. 2. California law requires the inclusion of specific Labor Code provisions in certain contracts. The inclusion of such specific provisions below, whether or not required by California law, does not alter the meaning or scope of Section 1 above. 3. Consultant shall be registered with the Department of Industrial Relations in accordance with California Labor Code Section 1725.5, and has provided proof of registration to City prior to the Effective Date of this Agreement. Consultant shall not perform work with any subcontractor that is not registered with DIR pursuant to Section 1725.5. Consultant and subcontractors shall maintain their registration with the DIR in effect throughout the duration of this Agreement. If Consultant or any subcontractor ceases to be registered with DIR at any time during the duration of the project, Consultant shall immediately notify City. 4. Pursuant to Labor Code Section 1771.4, Consultant's Services are subject to compliance monitoring and enforcement by DIR. Consultant shall post job site notices, as prescribed by DIR regulations. 5. Pursuant to Labor Code Section 1773.2, copies of the prevailing rate of per diem wages for each craft, classification, or type of worker needed to perform the Agreement are on file at City Hall and will be made available to any interested party on request. Consultant acknowledges receipt of a copy of the DIR determination of such prevailing rate of per diem wages, and Consultant shall post such rates at each job site covered by this Agreement. 6. Consultant shall comply with and be bound by the provisions of Labor Code Sections 1774 and 1775 concerning the payment of prevailing rates of wages to workers and the penalties for failure to pay prevailing wages. Consultant shall, as a penalty to City, forfeit 200.00 for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined by the DIR for the work or craft in which the worker is employed for any public work done pursuant to this Agreement by Consultant or by any subcontractor. 7. Consultant shall comply with and be bound by the provisions of Labor Code Section 1776, which requires Consultant and each subcontractor to: keep accurate payroll records and verify such records in writing under penalty of perjury, as specified in Section 1776; certify and make such payroll records available for inspection as provided by Section 1776; and inform City of the location of the records. 8. Consultant shall comply with and be bound by the provisions of Labor Code Sections 1777.5, 1777.6 and 1777.7 and California Code of Regulations, Title 8, Section 200 et seq. concerning the employment of apprentices on public works projects. Consultant shall be responsible for compliance with these aforementioned Sections for all apprenticeable occupations. Prior to commencing work under this Agreement, Consultant shall provide City with a copy of the information submitted to any applicable apprenticeship program. Within 60 days after concluding work pursuant to this Agreement, Consultant and each of its subcontractors shall submit to City a verified statement of the journeyman and apprentice hours performed under this Agreement. 9. Consultant shall not perform work with any Subcontractor that has been debarred or suspended pursuant to California Labor Code Section 1777.1 or any other federal or state law providing for the debarment of contractors from public works. Consultant and subcontractors shall not be debarred or suspended throughout the duration of this Contract pursuant to Labor Code Section 1777.1 or any other federal or state law providing for the debarment of contractors from public works. If Consultant or any subcontractor becomes debarred or suspended during the duration of the project, Consultant shall immediately notify City. 10. Consultant acknowledges that eight hours labor constitutes a legal day's work. Consultant shall comply with and be bound by Labor Code Section 1810. Consultant shall comply with and be bound by the provisions of Labor Code Section 1813 concerning penalties for workers who work excess hours. Consultant shall, as a penalty to City, forfeit $25.00 for each worker employed in the performance of this Agreement by Consultant or by any subcontractor for each calendar day during which such worker is required or permitted to work more than eight hours in any one calendar day and 40 hours in any one calendar week in violation of the provisions of Division 2, Part 7, Chapter 1, Article 3 of the Labor Code. Pursuant to Labor Code Section 1815, work performed by employees of Consultant in excess of eight hours per day, and 40 hours during any one week shall be permitted upon public work upon compensation for all hours worked in excess of eight hours per day at not less than one and one-half times the basic rate of pay. 11. California Labor Code Sections 1860 and 3700 provide that every employer will be required to secure the payment of compensation to its employees. In accordance with the provisions of California Labor Code Section 1861, Consultant hereby certifies as follows: I am aware of the provisions of Section 3700 of the Labor Code which 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 I will comply with such provisions before commencing the performance of the work of this contract." 12. For every subcontractor who will perform work on the project, Consultant shall be responsible for such subcontractor's compliance with Chapter 1 and Labor Code Sections 1860 and 3700, and Consultant shall include in the written contract between it and each subcontractor a copy of those statutory provisions and a requirement that each subcontractor shall comply with those statutory provisions. Consultant shall be required to take all actions necessary to enforce such contractual provisions and ensure subcontractor's compliance, including without limitation, conducting a periodic review of the certified payroll records of the subcontractor and upon becoming aware of the failure of the subcontractor to pay his or her workers the specified prevailing rate of wages. Consultant shall diligently take corrective action to halt or rectify any failure. 13. To the maximum extent permitted by law, Consultant shall indemnify, hold harmless and defend (at Consultant's expense with counsel reasonably acceptable to City) City, its officials, officers, employees, agents and independent contractors serving in the role of City officials, and volunteers from and against any demand or claim for damages, compensation, fines, penalties or other amounts arising out of or incidental to any acts or omissions listed above by any person or entity (including Consultant, its subcontractors, and each of their officials, officers, employees and agents) in connection with any work undertaken or in connection with the Agreement, including without limitation the payment of all consequential damages, attorneys' fees, and other related costs and expenses. All duties of Consultant under this Section shall survive the termination of the Agreement. Lipi- HOLISTIC i Y S T F M I N T F 3 A T O N S O L J T I O N S w tt14 , p l 'M M4 la . Far.M'. r 11114111 1."... - .... tl"z ' "`• tea ,.. P M.,... ram""-- g Proposal: City of Seal Beach Consulting Assistance for Implementation of Tyler's EnerGov Civic Services Software Angelica Zarco r SEAL ''..F P.O. Box6313 O _ 4 \ La Quinta, CA. 92248 V , _\r-=90) Office (760) 861-6532 S azarco@holisticsystemint.com 4' cq/FORI° 4 www.holisticsystem-int.com Page 1 August 22, 2024 Alexa Smittle Community Development Director City of Seal Beach, California asmittle@sealbeachca.gov RE: Consulting services for post-implementation support of Tyler's EnerGov, Community Development Software System Dear Ms. Smittle, Holistic System Integration Solutions is pleased to submit this proposal to the City of Seal Beach Community Development Department, to provide post-implementation support of Tyler's, EnerGov Civic Services Software. The City of Seal Beach implemented Tyler's Enterprise, Permitting and Licensing software system. Implementation of the software is aligned with the City Council's strategic objective for Community Development to improve business processes. The City of Seal Beach desires to receive post- implementation support of their Community Development software system through the end of September, 2024. Holistic looks forward to working with the City of Seal Beach to develop a model for efficient business operations that safely delivers development services to its customers. Thank you for consideration of our proposal. Sincerely, Holistic System Integration Solutions Angelica Zarco President/CEO Page 2 SCOPE OF WORK Provide continued Implementation support of Tyler's, Enterprise Permitting and Lisencing software system to include the following: Configuration/Business Process Integration Workflow Development Fee Schedule/Structure configuration System Reports Development Coordination (Forms/Documents/Reports) GIS Coordination Testing Data mapping guidance for data migration Develop Standard Operating Procedures (SOP's) Develop Training materials Conduct Staff training Ticket creation to report system issues. monitoring and follow through to resolution Conduct one-on-one and/or group sessions with City staff Remote support services via phone/video conference On-site project management/support services—To be scheduled and agreed upon between City and HSIS Electronic Plan Review Implementation/integration Develop Process/Project Action Team's to accomplish project goals Optional Services Attend bi-weekly team meeting(s) via phone/video conference SQL/Cognos/Crystal Report Writer services c Coordinate temporary services to be directly contracted by City GIS Consultant Coordinate temporary services to be directly contracted by City Page 3 QUALIFICATIONS HOLISTIC SYSTEM INTEGRATION SOLUTIONS OUR PURPOSE Based in Riverside County, Holistic System Integration Solutions is dedicated to providing smart holistic solutions for PEOPLE software implementation and process integration. Holistic's in-depth understanding of land management systems. comprehensive knowledge of municipal land development processes and proven system implementation/integration cut 1',PF experience, paired with our client's desires to achieve future system goals and capitalize on their investment while delivering exceptional customer service, ensures seamless and streamlined collaborations. TECHNOLOGY Holistic has developed streamlined solutions that utilize a holistic approach to system design and integration by balancing four major elements that are key to successful system implementation—People, Culture, Process. and Technology. This approach delivers system integration on a global scale while taking-into-account and minimizing adverse impacts to the organization. EXECUTION STRATEGY Our success is attributed to an execution strategy that incorporates the Lean Six Sigma, DMAIC (Define, Measure, Analyze. Improve. Control) method to software implementation/integration. The DMAIC approach allows them to continually identify and apply improvements to business processes through software system design that result in enhanced system performance. Change management strategies are also built into our programs to assist with the least impactful introduction of end-users to their new land management environment.This approach is imperative to organizational health. SERVICES PROVIDED (all of which may be provided remotely) RFP Development Develop Training Materials and Conduct Staff Training Software System Implementation (New or Upgrade) Vendor issue creation to report system issues. monitoring Software Configuration/Integration and follow through to resolution Workflow Development, Design and Automation Conduct one-on-one and/or group sessions with staff Fee Schedule/Structure Calculations Remote support services via phone/video conference System Reports Development Coordination • On-site and/or remote project management/support services Forms/Documents/Reports) GIS Implementation Coordination Electronic plan review software Implementation/integration System Testing Develop Process/Project Action Team's to achieve project goals Streamlined Strategies for Data Mapping/Migration Develop performance metrics and key performance Develop Standard Operating Procedures(SOP's) indicators(KPI's)for increased productivity Page 4 Holistic System Integration Solutions Experience CITY OF SAN CLEMENTE The City of San Clemente's Information Technology Division utilized Holistic System Integration Solutions to supplement their efforts during a staff transitional period and implementation/integration of a new GIS module. Holistic's ability to provide uninterrupted services while implementing a complex GIS module to their existing land management system resulted in a successful partnership. Services provided to the City included the following: Review, analysis, coordination. testing and implementation of a new GIS module to their existing land management system. Review, analysis, coordination and validation of the City's. County and Fire GIS data and migration into existing land management system. Developed Standard Operating Procedures for City Staff use at implementation. Developed roadmap and made recommendations to implement electronic plan review. Developed reporting methods for Clean Oceans Annual Jurisdictional Runoff report and Park Ranger program. Provided configuration and system support services: CITY OF MEDFORD (OR) Holistic quickly became a critical element to a successful implementation of a complex system for the City of Medford. The knowledge and resources provided were extremely hardworking and competent. We could not have achieved success without these resources." Barbara Madruga The City of Medford procured Holistic System Integration Solutions to assist them with a complex implementation of a new software system just three months prior to their scheduled Go-Live date. Holistic addressed and fast-tracked resolutions for concerns surrounding their anticipated Go-Live schedule. Our assistance lead to a successful implementation. Services provided to the City included the following: Conducted analysis of project timeline and task evaluation, identified critical stops and developed plan of action to accomplish scheduled tasks for successful Go-live. Conducted business process and workflow analysis, made recommendations for streamlining and standardizing opportunities and configured in system. Conducted analysis of TRAKiT system for configuration needs, accuracy and made configuration adjustments in accordance with desired workflows and business processes. Conducted data migration analysis and developed streamlined methods for mapping and migration to new system. Conducted GIS analysis and made recommendations for effective system implementation Developed SOPs and conducted training to staff in all modules Implemented mobile inspection platform and conducted training for inspection staff Made recommendations for system preparedness and roll-out to public Page 5 CITY OF COACHELLA Holistic conducted an in-depth System Needs Analysis of the City of Coachella's existing land management software system (Eden) and processes surrounding their land development activities which included impacts to water& sewer Utilities and Environmental Compliance Departments. The analysis provided them with the ability to measure existing software system capabilities against newer, more sophisticated systems and identified process improvement/streamlining opportunities which will allow them to make informed decisions about future procurement of a new software system. Services provided to the City included the following: Conducted comprehensive system needs analysis of various systems used, including the City's existing Eden land management system. and evaluated based on capability, efficiency and accessibility in comparison with newer land management systems available in today's market. Conducted comprehensive business process review of land development activities and made recommendations for standardizing and streamlining opportunities. Coordinated software vendor demonstrations and prepared system cost comparison. Provided the City with a menu of short-term, mid-term and long-term next steps and made recommendations for actionable goals based on priority. Provided roadmap for actionable items with realistic timelines for execution. CITY OF LA QUINTA The City of La Quinta sought to implement an on-line land management system for the Design &Development Department. Angelica Zarco (Systems Integration Manager). spearheaded implementation of the City's new land management software system, TRAKiT. which included strategic planning, streamlining. standardizing, implementation and integration of processes and systems for the Design and Development Department. Responsibilities included the following: Development, configuration and implementation of the City's software system (TRAKiT) utilized for all development related, business license and Short-Term Vacation Rental application, review, processing and payment activities for both over the counter and online functionality. Implemented the City's online, electronic plan review, GIS and mobile inspection platforms. Engaged with City Staff to understand complex business processes, developed workflows. identified process improvements, streamlining opportunities, standardized business processes and integrated with relative software. Developed Standard Operating Procedures and User Guides and conducted training for all modules. Oversaw the City's Short-Term Vacation Rental Program which involved revamping the marketing and branding of the program. Development of complex key performance indicators to measure business and system performance. Page 6 Angelica Zarco - Project Manager/President, Holistic SIS Business Process Review, Workflow Development, Streamlining and Standardizing for Improved Business Continuity, Configuration, SOP Development &Training Certifications Intermediate Project Management- Microsoft Project; Lean Six Sigma—Lean Management Angelica has 14 years of municipal government experience with 10+ years directly related to Community Development. She was also employed as a Project Manager for 3 years with a major Southern California land development company where she managed large-scale tract home development projects. Her experience in both public and private land development sectors has granted her a unique perspective to the land management software implementation and integration process. She is able to utilize her knowledge and experience from behind both sides of the counter to accurately, efficiently and effectively interpret and deploy land management systems based on the critical business needs of cities and customers alike. Angelica was responsible for the successful implementation of the City of La Quinta's Design and Development Department's land management system, which included Permit, Project, Business License, AEC and GIS modules. She also implemented electronic plan review, mobile inspection and the eTRAKiT online platform which consisted of 82 land development application types. Angelica developed methods to successfully measure key performance indicators for business process and system performance. The implementation process included: Establishing comprehensive strategic plans for implementation / integration of the Department's software system and various project initiatives including project budgets and schedule development adherence. Managing. assigning. and directing activities of various Project Action Teams (PAT's). Developing, configuring, and implementing the City's TRAKiT software system Conducting stakeholder workshops for eTRAKiT online permitting software. Working with City Staff to understand their business processes. developing process workflows, and identifying process improvement opportunities prior to their integration into TRAKiT. Developing and implementing standard operating procedures (SOPs) and user manuals. as well as City policies and best management practices (BMP's) Conducting effective staff training utilizing SOP's and effective training materials Page 7 References Agency Contact Phone Number Email Address Holistic References City of Medford,Oregon Barbara Madruga, Technology&Innovation Director 541.774.2064 blmadruga©cityofmedford.org City of San Clemente, Brian Brower, California Information Technology Manager 949.361.8259 browerb@san-clemente.org Fee Information Cost of Services/Hour Price Total Project Cost Holistic—40 hours 125/hour 5,000 TOTAL CONTRACT AMOUNT 5,000 Page 8 Agenda Item H AGENDA STAFF REPORT DATE:August 11, 2025 TO:Honorable Mayor and City Council THRU:Patrick Gallegos, City Manager FROM:Iris Lee, Director of Public Works SUBJECT:Proposition 218 Protest Public Hearing – Water Rate and Sewer Rate Adjustments ________________________________________________________________ SUMMARY OF REQUEST: 1. That the City Council conduct a public hearing to accept comments on the proposed water and sewer rate adjustments; and, 2. Upon the conclusion of the public hearing, that the City Council adopt Resolution 7668 responding to timely filed written objections to the proposed water and sewer rates pursuant to the requirements of Assembly Bill 2257; and, 3. Upon the conclusion of the public hearing, provided a majority protest against the proposed water rates does not exist, that City Council adopt Resolution 7669 establishing the water rates, effective August 1, 2025; and, 4. Upon the conclusion of the public hearing, provided a majority protest against the proposed sewer rates does not exist, that City Council adopt Resolution 7670 establishing the sewer rates, effective August 1, 2025; and, 5. Receive and file the Water and Wastewater Financial Plan and Rate Study, prepared by Raftelis Financial Consultants, Inc., dated June 17, 2025, as presented to the City Council at this meeting and on file in the office of the City Clerk. BACKGROUND AND ANALYSIS: Background: The City’s Water and Sewer utilities are funded by fees received from the ratepayers, also known as Water Enterprise and Sewer Enterprise funds, respectively. The majority of associated expenditures, such as operating and maintenance costs, capital improvements, and reserves are funded through rate-funded revenues, and not the General Fund. Page 2 2 0 9 4 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 and cost of service study was approved in February 2021; however, the rates are no longer sufficient to balance ongoing operating costs. The City retained Raftelis Financial Consultants, Inc. (Raftelis) to conduct a Water and Wastewater Financial Plan and Rate Study (2025 Financial Plan), utilizing the existing rate structures, to develop a financial plan and proposed rates for the water and sewer utilities. The objective of the 2025 Financial Plan is to ensure revenues are sufficient to pay or provide for operation and maintenance, capital improvement projects, adequate debt service coverage ratios, and sufficient reserves. The 2025 Financial Plan considered reserve policies, capital investment requirements for the aging infrastructure to ensure system reliability, inflationary cost increases, current and future State mandates, and health and safety requirements. On May 12, 2025, an overview of the draft 2025 Financial Plan, including analysis results and recommendations for proposed water and sewer rate adjustments, was presented to the City Council. Water Utility System: The City owns and maintains a water system and is responsible for ensuring safe and reliable water for potable and fire protection use. 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. Increased wholesale import and groundwater costs; 2. Aging infrastructure and deferred maintenance; 3. Overall inflationary impacts; and, 4. 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 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 water sales, or unforeseen costs. o Minimum: 20% of Operating & Maintenance expenditures Page 3 2 0 9 4 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: 25% of average 5 - year CIP 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 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 2026 FYE 2027 FYE 2028 FYE 2029 FYE 2030 Market Debt Issuance $25M State Loan (SRF)$2.5M $1M $3M $3M 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 may 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 as the increase in wholesale water purchase costs divided by annual water use. Water Bill Components: Water rates have two (2) components – 1) fixed charges; and 2) variable volumetric charges. Fixed charges are a function of meter size and are charges without respect to use. Volumetric charges are calculated based on the amount of water 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 generally broken down into the following: • A two-tiered Single-Family Residential, Multi-Family Residential, and Leisure World customer class based on consumption; and, Page 4 2 0 9 4 • A single-tiered rate structure for Commercial, Irrigation, Sunset Aquatic Park, and City customer class based on consumption. Although the overall rate structure will not change, the amount of the fixed charge, which is based on meter size, is proposed to increase for the Leisure World community based upon a recent evaluation of its meter infrastructure. The City’s engineering consultant, AKM Consulting Engineers (AKM), conducted an independent evaluation of the meter size for the Leisure World community. In an opinion dated April 1, 2025, AKM concluded that the two (2), existing 12-inch service meters serving Leisure World are appropriately sized to account for the community’s “peak hour and maximum day demand plus fire flow.” Beginning with the City’s last rate update in 2021, Leisure World’s fixed rate charge was based on one (1), six-inch meter in accordance with an earlier analysis of Leisure World’s effective flow demand. However, AKM has provided a current and different analysis of the cost of providing service to the Leisure World community. The tables below illustrate the proposed rate and charge increases for the next five (5) years, subject to pass throughs for increases in the cost to purchase wholesale water. These adjustments were calculated by forecasting revenue, expenses and reserves to establish adequate cost-to-debt ratio. Page 5 2 0 9 4 Proposed Water Fixed Charges ($/bi-monthly) Page 6 2 0 9 4 Proposed Water Volumetric Charges ($/hcf) * 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 Residential (MFR) account with two dwelling units would be equal to 17 hcf X 2 dwelling units = 34 hcf bi-monthly. ** 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 (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. o Minimum: 25% of average 5 - year CIP Page 7 2 0 9 4 o Target: 25% of average 5 - year CIP Proposed Sewer Debt: The required Sewer Utility revenue to properly sustain operations will require market-debt issuance. This will allow expenditures 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 2026 FYE 2027 FYE 2028 FYE 2029 FYE 2030 Market Debt Issuance $6M $4M $4M Sewer Bill Components: Sewer Rates have two (2) components – 1) fixed charges; and 2) variable volumetric charges. Fixed charges are a function of customer classification and are charges without respect to use. The City does not measure wastewater flow, but instead estimates flows based on water use by applying a return-to-sewer factor (RTS) to non-residential water use. Volumetric charges, therefore, are calculated based on the amount of water used multiplied by the rate per unit. Proposed Sewer Rates: The current sewer rate structures will remain the same. • Single Family Residential: fixed charge; • Other Customer Classes: fixed charge plus volumetric rate based on water consumption. The table below illustrates the proposed rate and charge increases for the next five (5) years. These adjustments were calculated by forecasting revenue, expenses and reserves to establish adequate cost-to-debt ratio.   Page 8 2 0 9 4 Proposed Sewer Fixed Charges ($/bi-monthly & Volumetric Charges ($/hcf of water) Proposition 218 Requirements: Water and sewer rate adjustments are subject to Proposition 218’s (California Constitution Article XIIII D) public hearing and majority protest procedures. On May 12, 2025, City Council set a public hearing on the proposed water and sewer rate adjustments for July 14, 2025, and directed staff to initiate the Proposition 218 majority protest process for the proposed water and sewer rate adjustments in compliance with Proposition 218. At the conclusion of the public hearing, the City Clerk will complete the tabulation of all written protests received from record property owners receiving water or Page 9 2 0 9 4 sewer service, water customers and sewer customers, including those received during the public hearing. Only one (1) protest will be counted per parcel in determining the existence of a majority protest. The City Clerk will then report on the results to the City Council. If, according to the final tabulation, the written protests submitted against the water rate adjustments represent more than 50% of all the parcels in the City receiving water service, a majority protest exists, and the City Council shall not impose the water rate increase. If the final tabulation of written protests represents less than 50% of all the parcels in the City receiving water service, the City Council could consider implementing the water rate increases effective August 1, 2025, and on July 1 for each year from 2026 through 2029. If, according to the final tabulation, the written protests submitted against the sewer rate adjustments represent more than 50% of all the parcels in the City receiving sewer service, a majority protest exists, and the City Council shall not impose the sewer rate increase. If the final tabulation of written protests represents less than 50% of all the parcels in the City receiving sewer service, the City Council could consider implementing the sewer rate increases effective August 1, 2025, and on July 1 for each year from 2026 through 2029. Exhaustion of Administrative Remedies Procedure: The State of California Legislature enacted Assembly Bill 2257 (Exhaustion of Administrative Remedies Procedure) (AB 2577), effective January 1, 2025, which assists local agencies in avoiding litigation by having an opportunity to address or resolve any written objections before making a final decision to impose or adjust water and sewer rates. AB 2257 added Sections 53759.1 and 53759.2 to the Government Code and establishes a formal written objection procedure requiring persons and entities to timely raise, in writing, specific Proposition 218 concerns about proposed water and sewer rate adjustments or be barred from filing litigation alleging noncompliance with Proposition 218. On May 12, 2025, City Council adopted Resolution 7645 establishing an Exhaustion of Administration Remedies Procedure pursuant to AB 2577. The Notice of Public Hearing includes the substantive and procedural requirements for submitting a written objection to the proposed water and sewer rates in accordance with the requirements of AB 2257. As set forth in the Notice of Public Hearing, the City set July 7, 2025 at 5:00 p.m., as the deadline for the submittal of written objections, which date is at least 45 days after the notice was mailed as required by AB 2257. The City Clerk received three (3) timely submitted written objections pursuant to AB 2577. Copies of the three (3) written objections are set forth in Exhibit A of proposed Resolution 7668. Pursuant to AB 2257, the City Council must respond in writing to timely submitted written objections. The City’s written responses to each timely objection are set forth in Exhibit B of the same Resolution. In accordance with AB 2257, the responses include the grounds for which a Page 10 2 0 9 4 challenge is not resulting in amendments to the proposed water and sewer rate adjustments and explain the substantive basis for retaining or altering the proposed water and sewer rate adjustments in response to each objection. In considering the responses, the City Council must determine the following: (1) whether the objections and the responses warrant clarifications to the proposed water and/or sewer rates; (2) whether to reduce the proposed water and/or sewer rates; (3) whether to further review before making a determination on whether clarification or reduction is needed; and (4) whether to proceed with the Public Hearing. ENVIRONMENTAL IMPACT: This item is not subject to the California Environmental Quality Act (CEQA) because CEQA does not apply to the establishment, modification, structuring, restructuring, or approval of water and sewer rates under Public Resources Code Section 21080(b)(8). The proposed rates are proposed to meet operating expenses, purchase necessary supplies and equipment, meet financial reserve needs, and fund capital projects necessary to maintain service within the existing service area. Furthermore, 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 approved the resolutions 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 Adjustment FYE 2026 FYE 2027 FYE 2028 FYE 2029 FYE 2030 Projected Revenue Adjustment $2.67M $2.23M $595k $625k $660k Projected Sewer Utility Revenue Adjustment FYE 2026 FYE 2027 FYE 2028 FYE 2029 FYE 2030 Projected Revenue Adjustment $800k $665k $535k $565k $195k STRATEGIC PLAN: This item is not applicable to the Strategic Plan. Page 11 2 0 9 4 RECOMMENDATION: 1. That the City Council conduct a public hearing to accept comments on the proposed water and sewer rate adjustments; and, 2. Upon the conclusion of the public hearing, that the City Council adopt Resolution 7668 responding to timely filed written objections to the proposed water and sewer rates pursuant to the requirements of Assembly Bill 2257; and, 3. Upon the conclusion of the public hearing, provided a majority protest against the proposed water rates does not exist, that City Council adopt Resolution 7669 establishing the water rates, effective August 1, 2025; and, 4. Upon the conclusion of the public hearing, provided a majority protest against the proposed sewer rates does not exist, that City Council adopt Resolution 7670 establishing the sewer rates, effective August 1, 2025; and, 5. Receive and file the Water and Wastewater Financial Plan and Rate Study, prepared by Raftelis Financial Consultants, Inc., dated June 17, 2025, as presented to the City Council at this meeting and on file in the office of the City Clerk. SUBMITTED BY: NOTED AND APPROVED: Iris Lee Patrick Gallegos Iris Lee, Director of Public Works Patrick Gallegos, City Manager ATTACHMENTS: A. Resolution 7668 – Responding to Written Objections B. Resolution 7669 – Approving Water Rates C. Resolution 7670 – Approving Sewer Rates RESOLUTION 7668 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL RESPONDING TO TIMELY FILED WRITTEN OBJECTIONS TO PROPOSED ADJUSTMENTS TO THE RATES FOR THE CITY’S WATER AND SEWER SERVICE CHARGES PURSUANT TO THE REQUIREMENTS OF STATE ASSEMBLY BILL 2257 WHEREAS, the City of Seal Beach maintains a municipal Water Utility that provides water services and a municipal Sewer Utility that provides wastewater (sewer) collection services to residents and businesses; and, WHEREAS, the City’s Water Utility and Sewer Utility operational and capital improvement costs have increased substantially since the last rate adjustment, and are estimated to continue increasing significantly; and, WHEREAS, the City’s currently established water and sewer rates are not adequate to meet increasing operations and maintenance and capital improvements costs without compromise to system operations; and, WHEREAS, on June 12, 2023, the City retained Raftelis Financial Consultants, Inc. to conduct a Water and Wastewater Financial Plan and Rate Study (2025 Financial Plan) to analyze the cost of providing water and sewer services and recommend appropriate water and sewer rate adjustments; and, WHEREAS, on May 12, 2025, an overview of the draft 2025 Financial Plan, including recommendations for proposed water and sewer rate adjustments were presented to the City Council; and, WHEREAS, in order to adjust the water and sewer rates, the City must comply with Article XIIID of the Constitution, more commonly known as Proposition 218; and, WHEREAS, on September 25, 2024, Governor Newsom approved State Assembly Bill 2257 (AB 2577), effective January 1, 2005, which added Sections 53759.1 and 53759.2 to the California Government Code; and, WHEREAS, AB 2257 creates an exhaustion of administrative remedies requirement that, if implemented by a local public agency, requires persons and entities to submit a written objection that specifies the grounds for alleging noncompliance of proposed water and sewer rates with Proposition 218 prior to the deadline established by the local public agency, or be barred from any right to challenge the water and sewer rates through a legal proceeding; and, WHEREAS, on May 12, 2025, City Council adopted Resolution 7645 to provide for an exhaustion of administrative remedies requirement pursuant to AB 2257 in connection with the proposed water and sewer rate adjustments and set July 7, 2025 at 5:00 p.m., as the deadline for the submittal of written objections; and, WHEREAS, on May 12, 2025, City Council adopted Resolution 7644 setting a public hearing on the proposed water and sewer rate adjustments on July 14, 2025 (the “Public Hearing”), and directing staff to initiate the Proposition 218 majority protest process for the proposed water and sewer rate adjustments; and, WHEREAS, in accordance with the requirements of AB 2257 and Proposition 218, the City provided mailed notice of the Public Hearing, which notice includes, among other information, the substantive and procedural requirements for submitting a written objection to the proposed water and sewer rate adjustments and a statement that the failure to timely object in writing to the proposed water and sewer rate adjustments bars any right to challenge the proposed rate adjustments through a legal proceeding; and, WHEREAS, the City complied with the provisions set forth in AB 2257 for establishing an exhaustion of remedies requirement in connection with the proposed water and sewer rate adjustments, including, among other things, providing not less than 45 days from the date of the mailing the notice of the Public Hearing for persons and entities to submit a written objection to the proposed water and sewer rate adjustments; and, WHEREAS, as of the July 7, 2025, 5:00 p.m. deadline for submitting written objections, the City received three (3) written objections to the proposed water rate adjustments and/or the proposed sewer rate adjustments, which objections are set forth in Exhibit A, attached hereto and incorporated herein (Objections); and, WHEREAS, this Resolution, as required by AB 2577, responds in writing to the Objections, and the responses to the Objections are set forth in Exhibit B, attached hereto and incorporated herein (Responses); and, WHEREAS, each Response includes the grounds for which a challenge is not resulting in amendments to the proposed water rate adjustments and/or proposed sewer rate adjustments, as applicable, and an explanation of the substantive basis for retaining or altering the proposed water rate adjustments and/or proposed sewer rate adjustments, as applicable in response to the Objection. NOW, THEREFORE, the Seal Beach City Council does resolve, declare, determine and order as follows: Section 1. The City Council finds the Recitals set forth in this Resolution are true and correct and are incorporated by reference. Section 2. The City Council hereby adopts the Responses set forth in Exhibit B, attached hereto. Section 3. In considering the Responses, the City Council determined (1) whether the Objections and the Responses warrant clarifications to the proposed water rate adjustments and/or proposed sewer rate adjustments; (2) whether to reduce the proposed water rates and/or proposed sewer rates; (3) whether to undertake further review before making a determination on whether clarification or reduction is needed; and (4) whether to proceed with the Public. If any part of this Ordinance or its application is deemed invalid by a court of competent jurisdiction, the City Council intends that such invalidity will not affect the effectiveness of the remaining provisions or their application and, to this end, the provisions of this Ordinance are severable. Section 4. If any provision of this Resolution or its application is deemed invalid by a court of competent jurisdiction, the City Council intends that such invalidity will not affect the effectiveness of the remaining provisions or their application and, to this end, the provisions of this Resolution are severable. PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 11th day of August 2025 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Lisa Landau, 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 7668 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 11th day of August 2025. Gloria D. Harper, City Clerk Exhibit A – Written Objections (redacted) Exhibit B – Responses to Written Objections EXHIBIT A Written Objections (redacted) City of Seal Beach June 19, 2025 Office of the City Clerk 211 Eighth Street Seal Beach, CA 90740 Please register my NO vote to this outrageously high water and wastewater rate hike. Water rate structures that exclude a flat "door fee" service charge often appear to promote conservation or fairness by charging only by meter size and usage. However, in practice, they can be deeply inequitable for several reasons. Moreover, in areas that are not metered, like the 6,608 homes in Leisure World, the inequity is ever worse. This study is such an example of inequity and does not meet Prop 218 standards requiring equitable billing. 1. Essential Infrastructure Costs Are Shared by All: Every customer, regardless of how much water they use, benefits from access to a maintained, functioning water system—pipes, treatment plants, emergency readiness, meter reading, billing systems, and more. These fixed costs do not vary with usage and must be covered to ensure a reliable water supply. Without a flat door fee, these infrastructure costs are unfairly shifted onto single family homes and higher usage customers, even though low-usage customers benefit equally from the availability of service. 2. Low Users Don’t Pay Their Fair Share: While it may seem equitable to charge multi-family based only on meter size and consumption, very low users—including vacant properties, second homes, or seasonal short-term rentals—still rely on the water system being ready to serve them at any time. Without a door fee, these properties contribute little or nothing toward the fixed costs of maintaining that readiness. 3. Cost Burden Shifts to Families and Low-Income Households: Meter size flat rates with volume usage systems often shift the cost burden onto single ¾” – 1” meters and larger households, which may include low-income or multigenerational families. These households may have higher water use due to basic needs (cooking, hygiene, laundry) but not necessarily the ability to pay more. A flat door fee ensures all users contribute a fair minimum amount, rather than penalizing single family dwellings and those who may use slightly more water due to family size or circumstance. 4. Discourages System Equity and Resilience Investments: Utilities trying to fund projects for equity—like replacing lead pipes, expanding access, or supporting affordability programs—need stable revenue. Without base door fees, funding such initiatives becomes harder, exacerbating disparities for families and vulnerable populations. Having reviewed the new wastewater rate hikes, it is obvious that once again, the single-family dwelling is subsidizing others. If single family homes can be charged a flat fee on sewer, so should every dwelling unit using our sewer system. Multi-family homes once again are being subsidized by single family residences. Also, Sunset Aquatic Park is the sole user of their sewer system and yet to upgrade their system, all of Seal Beach is being charged. Again, this is not equitable. I oppose the deeply flawed and inequitable rate increase on the grounds that it has single family dwellings supporting multi-family units and Sunset Aquatic Park. Prop 218 requires that no segment of our population subsidize another. This study falls short of that goal on both Water and Wastewater. While I agree our infrastructure needs work, until the billing is equitable, I oppose. Sincerely, Ellery Deaton Water/Wastewater Bill Payer 1 Iris Lee From:Brandon DeCriscio Sent:Monday, July 7, 2025 11:53 AM To:Iris Lee; Patrick Gallegos Subject:FW: Written Protest - Exhaustion of Administrative Remedies FYI… Apologies if this is a duplicate and Gloria has already sent it. Thank you, Brandon DeCriscio Deputy City Clerk (562) 431-2527 x 1306 From: Theresa Miller Sent: Monday, July 7, 2025 11:32 AM To: Brandon DeCriscio <BDeCriscio@sealbeachca.gov> Subject: Fwd: Written Protest - Exhaustion of Administrative Remedies Please confirm receipt of this email. Thnak you. ---------- Forwarded message --------- From: Theresa Miller Date: Mon, Jul 7, 2025 at 11:27 AM Subject: Written Protest - Exhaustion of Administrative Remedies To: Gloria Harper <gharper@sealbeachca.gov> Cc: Joe Kalmick <jkalmick@sealbeachca.gov>, Lisa Landau <LLandau@sealbeachca.gov>, <psenecal@sealbeachca.gov>, <bwong@sealbeachca.gov>, Nathan Steele <nsteele@sealbeachca.gov> Theresa Miller July 7, 2025 2 City Clerk City of Seal Beach 211 Eighth Street Seal Beach, CA 90740 Re: Written Protest and Objection to Proposed Water and Sewer Rate Increases Under Proposition 218 – Exhaustion of Administrative Remedies Dear City Clerk and Members of the City Council: I am the record property owner of , located within the City of Seal Beach. I hereby submit this written protest and formal objection to the proposed water and sewer rate increases scheduled for a public hearing on July 14, 2025, pursuant to the Proposition 218 notice issued by the City. This written protest constitutes an objection to the proposed rates under Article XIII D, Section 6 of the California Constitution. Furthermore, this submission serves as a formal notice of exhaustion of administrative remedies. I intend this protest to fully preserve my right to challenge the proposed rate increases in any future legal or administrative forum. My specific objections include, but are not limited to, the following: 1. The proposed water and sewer rates appear to exceed the proportional cost of service attributable to my property, in violation of Proposition 218. 2. The City has failed to clearly demonstrate that the revenues derived from the increased water and sewer rates will not be used for purposes other than those for which the fees are charged. 3. The notice provided to ratepayers lacks sufficient detail to determine whether the methodology used in the rate study is consistent with constitutional requirements. 4. The public process surrounding these changes lacks transparency and may not meet the standards required by the California Constitution and Government Code. I respectfully request that the City Council reject the proposed water and sewer rate increases and direct staff to revise the rate structure in compliance with applicable law. Please confirm receipt of this objection and ensure it is included in the record of the public hearing. Sincerely, Theresa Miller EXHIBIT B Responses to Written Objections Response to Ellery Deaton Written Objection, dated June 19, 2025 Comment #1 1. Essential Infrastructure Costs Are Shared by All: Every customer, regardless of how much water they use, benefits from access to a maintained, funcƟoning water system—pipes, treatment plants, emergency readiness, meter reading, billing systems, and more. These fixed costs do not vary with usage and must be covered to ensure a reliable water supply. Without a flat door fee, these infrastructure costs are unfairly shiŌed onto single family homes and higher usage customers, even though low-usage customers benefit equally from the availability of service. Response #1 The City agrees that every customer benefits from the City’s water system regardless of how much water they use and that fixed costs must be covered to ensure a reliable water supply. The City does not agree that, without a “flat door fee”, infrastructure costs are unfairly shifted from low-usage customers to higher usage customers. For purposes of this response, the City has assumed that a “flat door fee” refers to a fixed water charge that is the same for each dwelling unit (e.g., home, apartment, condo) regardless of how much water used. The City’s water and sewer charges are property-related fees, meaning that they are governed by Proposition 218, which was approved by California voters in 1996 and added Article XIII D to the California Constitution. Article XIII D imposes substantive requirements for property-related fees, including a requirement that the amount of the fee imposed on any parcel shall not exceed the proportional cost of the service attributable to that parcel. This means that the City’s cost of providing water and sewer service must be allocated among the parcels in the City in a reasonable manner that does not result in one or more customers unfairly subsidizing another customer or customers. Proposition 218 requires rate structuring on the basis of parcels, rather than units. To assist the City in ensuring that the water and sewer charges, as proposed to be modified and increased, meet the substantive requirements of Proposition 218, the City hired Raftelis, a rate consultant. Raftelis prepared a Water and Wastewater Financial Plan and Rate Study, dated June 17, 2025 (the “2025 Financial Plan”). Except as noted therein and below, the 2025 Financial Plan uses the cost-of-service analysis and rate structure design that Raftelis completed in 2020 (the “2020 Study”). In 2021, the City’s water and sewer rates were set on the basis of the 2020 Study in compliance with the Proposition 218 proportionality requirement. The rate design set forth in the 2020 Study is consistent with the rate setting principles established by the American Water Works Association in the Manual M1: Principles of Water Rates, Fees and Charges, Seventh Edition (“Manual”). The 2025 Financial Plan relies on the rate design in the 2020 Study, with the exception that the amount of the fixed charge for the Leisure World community is proposed to increase based upon a recent evaluation of its meter infrastructure. The City’s engineering consultant, AKM Consulting Engineers (“AKM”), conducted an independent evaluation of the meter size for the Leisure World community. In an opinion dated April 1, 2025, AKM concluded that the two existing 12-inch service meters serving Leisure World are appropriately sized to account for the community’s “peak hour and maximum day demand plus fire flow.” Beginning with the City’s last rate adjustment in 2021, Leisure World’s fixed rate charge was based on one 6-inch meter in accordance with an earlier analysis of Leisure World’s eƯective flow demand. However, AKM has provided a current and di Ưerent analysis of the cost of providing service to the Leisure World community. Raftelis’ water cost-of-service analysis allocates costs to each parcel based on: 1) Water use; 2) Number of meters (if a customer has more than one); and, 3) Meter size. The fixed charge recovers a portion of infrastructure costs and recovers those costs in proportion to meter size, which is an industry standard. The fixed charges do not shift costs from low use customers onto single family homes and higher use customers because the rate structure ensures that the charges take into account the diƯerent demands that each residential customer places on the City’s water system in proportion to meter size. The fixed charge is based on the premise that the meter size is proportional to potential infrastructure use. A meter of a certain size has the potential to demand a certain volume of water, and the water system infrastructure is sized accordingly. Larger meters can demand more water and therefore customers pay in proportion to the potential flow through the meter. A flat door fee would mean that an unmetered dwelling unit (i.e., a door) would be subject to the costs that are recovered in the fixed charge as though it had a meter. The fixed charge (often called a Ready to Serve Charge) recovers three types of costs shown below. Set forth below is an explanation of why the rate structure does not recover these costs on a “per door” basis. 1. Customer billing costs - Customer billing costs involve answering customer calls, sending paper bills and reading customer meters and since only metered customers get a bill (the apartment owner/manager gets a bill for the meters serving the complex) these costs are not charged on a per door basis. 2. Meter maintenance costs - Since dwelling units in an apartment do not have a meter, meter maintenance costs are not charged on a per door basis. 3. Fixed capacity (infrastructure) costs – Since an entire apartment complex’s potential demand is reflected in the meter size serving it and the meter’s associated hydraulic capacity, these costs are allocated in proportion to the meter (or meters) serving a complex and not charged on a per door basis. The single-family class and all customer classes are paying their proportional share of the costs of each of these three items. It is an industry standard and in alignment with the substantive requirements of Proposition 218 for property-related fees to recover infrastructure costs through both the fixed charge (in proportion to meter size) and the volumetric rate. Recovering a portion of infrastructure costs in proportion to actual volumetric use ensures that high volume users pay in proportion to actual use as opposed to potential use. Rate setting is a complex process, and it is possible that a variety of rate structures could meet Proposition 218’s requirement that the amount of the water or sewer charge imposed on any parcel shall not exceed the proportional cost of the service attributable to the parcel. To transition to a flat per door rate would require a new rate study and cost-of- service analysis to support such rate structure. However, for the reasons discussed above, it is unlikely that a new study and analysis could support a flat per door rate structure as meeting Proposition 218’s proportionality requirement. Comment #2 2. Low Users Don’t Pay Their Fair Share: While it may seem equitable to charge multi-family based only on meter size and consumption, very low users—including vacant properƟes, second homes, or seasonal short-term rentals—sƟll rely on the water system being ready to serve them at any Ɵme. Without a door fee, these properƟes contribute liƩle or nothing toward the fixed costs of maintaining that readiness. Response #2 The “very low users” mentioned above – vacant properties, second homes or seasonal short-term rentals – pay the fixed charge (Ready to Serve Charge) even if they did not use water. This is how they contribute towards the fixed costs of the system and pay their fair share. Very low users are paying their proportional cost of service covered by the fixed charge, as described in Responses #1. Comment #3 3. Cost Burden Shifts to Families and Low-Income Households: Meter size flat rates with volume usage systems oŌen shiŌ the cost burden onto single ¾” – 1” meters and larger households, which may include low-income or mulƟgeneraƟonal families. These households may have higher water use due to basic needs (cooking, hygiene, laundry) but not necessarily the ability to pay more. A flat door fee ensures all users contribute a fair minimum amount, rather than penalizing single family dwellings and those who may use slightly more water due to family size or circumstance. Response #3 See Response #1. Comment #4 4. Discourages System Equity and Resilience Investments: Utilities trying to fund projects for equity—like replacing lead pipes, expanding access, or supporƟng affordability programs—need stable revenue. Without base door fees, funding such initiatives becomes harder, exacerbaƟng dispariƟes for families and vulnerable populations. Response #4 Stable revenue is a function of the proportion of revenue collected from the fixed charge (Ready to Serve Charge) out of total revenue (fixed plus volumetric). This would only change if the City purposefully increased the proportion of revenue derived from the fixed charge. In other words, adding a “per door” charge, without increasing the proportion of fixed revenue would not impact revenue stability. It would only redistribute the proportion of fixed revenue that each class or customer pays. Stable revenue can be achieved regardless of “door” charges. Comment #5 Having reviewed the new wastewater rate hikes, it is obvious that once again, the single-family dwelling is subsidizing others. If single family homes can be charged a flat fee on sewer, so should every dwelling unit using our sewer system. MulƟ-family homes once again are being subsidized by single family residences. Response #5 Single-family homes are paying their fair share, in accordance with the rate structure which allocates costs in proportion to parameters described in Response #1 and in alignment with Proposition 218. The 2020 Study allocated costs between single-family and multi-family customers based on a Return to Sewer (RTS) factor, ensuring that each customer class pays in proportion to its usage. Therefore, single-family homes are not subsidizing multi-family properties. Because sewer discharge from single-family homes tends to be more consistent and predictable compared to other customer classes, it was determined that a flat rate was appropriate and equitable approach for single-family homes. Comment #6 Also, Sunset Aquatic Park is the sole user of their sewer system and yet to upgrade their system, all of Seal Beach is being charged. Again, this is not equitable Response #6 Water - The fixed charge for the Sunset Aquatic Park meter size is higher than the fixed charge for other customers with the same meter size. This is to recover the added capital cost associated with the water line feeding Sunset Aquatic Park. Sewer – Sunset Aquatic Park has a separate sewer service equity charge and sewer capital equity charge to recover added cost associated with the sewer service. Based on the foregoing responses, the City Council determines that the objections described herein do not warrant (1) clarifications to the proposed water rates or sewer rates; (2) a reduction to the proposed water rates or sewer rates, (3) further review, or (4) delaying the public hearing on the proposed water and sewer rate adjustments. Response to Eugenya Yasnogorodsky Written Objection, received June 10, 2025 Comment #1 Response #1 Comment noted. Comment #2 Response #2 Your concern regarding the personnel cost inflator is noted. The 8% annual personnel cost projection is a comprehensive estimate that includes merit increases, cost of living adjustments (COLAs), retirement costs, insurance, and other legally obligated personnel- related expenses. This projection is based on recent cost trends and anticipated future obligations and is necessary to maintain service levels and staƯing required for utility operations. Additionally, the claim that this personnel inflator is applied to capital improvement projects is incorrect. Capital costs are modeled separately with their own inflators—5% for FY 2025-26, 4% for FY 2026-27, and 3% annually thereafter. Based on the foregoing responses, the City Council determines that the objections described herein do not warrant (1) clarifications to the proposed water rates or sewer rates; (2) a reduction to the proposed water rates or sewer rates, (3) further review, or (4) delaying the public hearing on the proposed water and sewer rate adjustments. Response to Theresa Miller Written Objection, received July 7, 2025 Comment #1 The proposed water and sewer rates appear to exceed the proportional cost of service attributable to my property, in violation of Proposition 218. Response #1 The comment asserts that the proposed water and sewer rates appear to exceed the proportional cost of service attributable to the commenter’s property, but does not include any specific information regarding alleged noncompliance with Proposition 218. However, the City notes that the City’s water and sewer charges are property- related fees, meaning that they are governed by Proposition 218, which was approved by California voters in 1996 and added Article XIII D to the California Constitution. Article XIII D imposes substantive requirements for property-related fees, including a requirement that the amount of the fee imposed on any parcel shall not exceed the proportional cost of the service attributable to that parcel. This means that the City’s cost of providing water and sewer service must be allocated among the parcels in the City in a reasonable manner that does not result in one or more customers unfairly subsidizing another customer or customers. Proposition 218 requires rate structuring on the basis of parcels, rather than units. To assist the City in ensuring that the water and sewer charges, as proposed to be modified and increased, meet the substantive requirements of Proposition 218, including that the amount of the fee imposed on any property does not exceed the proportional cost of the water and sewer services attributable to the parcel, the City hired Raftelis, a rate consultant. Raftelis prepared a Water and Wastewater Financial Plan and Rate Study, dated June 17, 2025 (the “2025 Financial Plan”). The 2025 Financial Plan uses the cost-of-service analysis and rate structure design that Raftelis completed in 2020 (the “2020 Study”). In 2021, the City’s water and sewer rates were set on the basis of the 2020 Study in compliance with the Proposition 218 proportionality requirement. The rate design set forth in the 2020 Study is consistent with the rate setting principles established by the American Water Works Association in the Manual M1: Principles of Water Rates, Fees and Charges, Seventh Edition (“Manual”). Raftelis’ cost-of-service analysis allocates costs to each customer class based on: 1) Water use/water discharged to the sewer; 2) Number of meters (if a customer has more than one); and, 3) Meter size. Comment #2 The City has failed to clearly demonstrate that the revenues derived from the increased water and sewer rates will not be used for purposes other than those for which the fees are charged. Response #2 The comment does not include any specific information alleging that the revenues derived from the proposed water and sewer rates will be used for purposes other than those for which the fees are charged. The City strictly complies with all applicable laws that govern the use of water and sewer utility revenues. Revenues collected from water and sewer rates are legally restricted and are accounted for in separate enterprise funds, entirely distinct from the City’s General Fund. These funds have their own accounting code structure to ensure transparency and proper tracking of all revenues and expenditures. By law, and as a matter of City policy, these revenues can only be used for the costs of providing water and sewer services, including operations, maintenance, capital improvements, and system reinvestment. The City of Seal Beach undergoes an independent annual financial audit to ensure compliance with generally accepted auditing standards and government regulations. This process evaluates the City's financial practices, internal controls, and overall fiscal health while promoting accountability and transparency in financial reporting. Comment #3 The notice provided to ratepayers lacks suƯicient detail to determine whether the methodology used in the rate study is consistent with constitutional requirements. Response #3 The Notice of Public Hearing to Consider Proposed Water and Sewer Rate Adjustments (“Notice”) was prepared in accordance with the requirements of Proposition 218, and contains all the necessary information required by law. Optional supplemental information was also included to better explain the rate adjustment process and described the City’s water and sewer infrastructure. As noted in the Notice, the reasons for the proposed rate adjustments, the basis upon which they were calculated, and the amount of the proposed rates are described in more detail in the 2025 Financial Plan and the 2020 Study posted on the City’s webpage at utilityratestudy.sealbeachca.gov and available for review at the City Clerk’s OƯice. Comment #4 The public process surrounding these changes lacks transparency and may not meet the standards required by the California Constitution and Government Code. Response #4 The comment does not include any specific information regarding an alleged lack of transparency or how the public process does not meet the requirements of Proposition 218 and only states that the “public process may not meet the standards required by the California Constitution and Government Code”. However, the City notes that the public process for considering the proposed water and sewer rates fully complies with Proposition 218. As described in the Notice of Public Hearing, which was mailed to record owners and customers of record at least 45 days prior to the deadline for submitting written objections, the City will respond to all timely submitted written objections, consider all timely submitted written protests and all testimony at the public hearing, and determine whether there is a majority protest prior to considering approval of the proposed rates. Based on the foregoing responses, the City Council determines that the objections described herein do not warrant (1) clarifications to the proposed water rates or sewer rates; (2) a reduction to the proposed water rates or sewer rates, (3) further review, or (4) delaying the public hearing on the proposed water and sewer rate adjustments. RESOLUTION 7669 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL ESTABLISHING RATES FOR THE CITY’S WATER SERVICE CHARGES EFFECTIVE ON AUGUST 1, 2025, JULY 1, 2026, JULY 1, 2027, JULY 1, 2028, AND JULY 1, 2029 WHEREAS, the City of Seal Beach maintains a municipal Water Utility that provides water services to residents and businesses; and, WHEREAS, on February 22, 2021, City Council adopted Resolution 7114 to adjust water rates; and, WHEREAS, the City’s Water Utility operational and capital improvement costs have increased substantially since the last rate adjustment, and are estimated to continue increasing significantly; and, WHEREAS, the City’s currently established water rates are not adequate to meet increasing operations and maintenance and capital improvements costs without compromise to system operations; and, WHEREAS, on June 12, 2023, the City retained Raftelis Financial Consultants, Inc. to conduct a Water and Wastewater Financial Plan and Rate Study to analyze the cost of providing water and sewer services, and recommend appropriate water and sewer rate adjustments (2025 Financial Plan); and, WHEREAS, on May 12, 2025, an overview of the draft 2025 Financial Plan, including recommendations for proposed water rate adjustments was presented to the City Council; and, WHEREAS, in order to adjust the water rates, the City must comply with Article XIIID of the California Constitution, more commonly known as Proposition 218; and, WHEREAS, on May 12, 2025, City Council adopted Resolution 7644 setting a public hearing on the proposed water and sewer rate adjustments on July 14, 2025 (Public Hearing), and directing staff to initiate the Proposition 218 majority protest process for the proposed water and sewer rate adjustments; and, WHEREAS, the City provided mailed notice of the Public Hearing in accordance with the requirements of Proposition 218 and held the Public Hearing on July 14, 2025; and, WHEREAS, at the Public Hearing, the City Council considered the 2025 Financial Plan and heard and considered all oral testimony and written protests and materials submitted regarding the proposed water rate adjustments; and, 1 0 2 8 2 WHEREAS, following the conclusion of the Public Hearing, in conformity with Proposition 218, the City Council determined that no majority protest against the proposed water rates exist (i.e., written protests against the proposed water rates submitted and not withdrawn do not represent a majority of the parcels (50% +1) that receive water service). NOW, THEREFORE, the Seal Beach City Council does resolve, declare, determine and order as follows: Section 1. The City Council finds the Recitals set forth in this Resolution are true and correct and are incorporated herein by reference. Section 2. The City Council hereby repeals Resolution 7114 and adopts the following water rates, subject to potential pass-through of increases in wholesale water purchase costs: Proposed Water Fixed Charges ($/bi-monthly) 1 0 2 8 2 Proposed Water Volumetric Charges ($/hcf) * Multi-Family and Leisure World tier allocations are determined by multiplying the hcf by the number of dwelling units for a given account. Section 3. The City purchases water from the Orange County Water District and Municipal Water District of Orange County and has no control over the charges from these wholesale agencies. As part of the 2025 Financial Plan, the City estimated future wholesale costs. However, if wholesale costs are higher than predicted, the City may pass through to customers the increase in wholesale water purchase costs. The pass-through will be calculated based on the increase in wholesale water purchase costs compared to projected wholesale costs included in the 2025 Financial Plan, divided by customer annual volumetric water use. Notice of any adjustment to pass- through costs will be provided 30 days or more before the effective date of the adjustment. Section 4. If any provision of this Resolution or its application is deemed invalid by a court of competent jurisdiction, the City Council intends that such invalidity will not affect the effectiveness of the remaining provisions or their application and, to this end, the provisions of this Resolution are severable. PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 11th day of August 2025 by the following vote: 1 0 2 8 2 AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Lisa Landau, 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 7669 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 11th day of August 2025. Gloria D. Harper, City Clerk RESOLUTION 7670 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL ESTABLISHING RATES FOR THE CITY’S WASTEWATER (SEWER) SERVICE CHARGES EFFECTIVE ON AUGUST 1, 2025, JULY 1, 2026, JULY 1, 2027, JULY 1, 2028, AND JULY 1, 2029 WHEREAS, the City of Seal Beach maintains a municipal Sewer Utility that provides sewer services to residents and businesses; and, WHEREAS, on February 22, 2021, the City Council adopted Resolution 7115 to adjust the rates for the City’s wastewater (sewer) service charges; and, WHEREAS, the City’s Sewer Utility operational and capital improvement costs have increased substantially since the last rate adjustment, and are estimated to continue increasing significantly; and, WHEREAS, the City’s currently established sewer rates are not adequate to meet increasing operations and maintenance and capital improvements costs without compromise to system operations; and, WHEREAS, on June 12, 2023, the City retained Raftelis Financial Consultants, Inc. to conduct a Water and Wastewater Financial Plan and Rate Study to analyze the cost of providing water and sewer services, and recommend appropriate water and sewer rate adjustments (2025 Financial Plan); and, WHEREAS, on May 12, 2025, an overview of the draft 2025 Financial Plan, including recommendations for proposed sewer rate adjustments was presented to the City Council; and, WHEREAS, in order to adjust the sewer rates, the City must comply with Article XIIID of the California Constitution, more commonly known as Proposition 218; and, WHEREAS, on May 12, 2025, City Council adopted Resolution 7644 setting a public hearing on the proposed water and sewer rate adjustments on July 14, 2025 (the “Public Hearing”), and directing staff to initiate the Proposition 218 majority protest process for the proposed water and sewer rate adjustments; and, WHEREAS, the City provided mailed notice of the Public Hearing in accordance with the requirements of Proposition 218 and held the Public Hearing on July 14, 2025; and, WHEREAS, at the Public Hearing, the City Council considered the 2025 Financial Plan and heard and considered all oral testimony and written protests and materials submitted regarding the proposed sewer rate adjustments; and, 1 0 2 8 3 WHEREAS, following the conclusion of the Public Hearing, in conformity with Proposition 218, the City Council determined that no majority protest against the proposed water rates exist (i.e., written protests against the proposed sewer rates submitted and not withdrawn do not represent a majority of the parcels (50% +1) that receive sewer service). NOW, THEREFORE, the Seal Beach City Council does resolve, declare, determine and order as follows: Section 1. The City Council finds the Recitals set forth in this Resolution are true and correct and are incorporated herein by reference. Section 2. The City Council hereby repeals Resolution 7115 and adopts the following sewer rates: Proposed Sewer Fixed Charges ($/bi-monthly & Volumetric Charges ($/hcf of water) 1 0 2 8 3 Section 3. If any provision of this Resolution or its application is deemed invalid by a court of competent jurisdiction, the City Council intends that such invalidity will not affect the effectiveness of the remaining provisions or their application and, to this end, the provisions of this Resolution are severable. PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 11th day of August 2025 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Lisa Landau, 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 7670 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 11th day of August 2025. Gloria D. Harper, City Clerk City of Seal Beach Proposed Water and Wastewater Rate Adjustment Public Hearing – August 11, 2025 Revised Financial Plan- City Council Workshop #1 2/26/25 Informational Open House #2 6/14/2025 Financial Analysis Commenced June 2023 Public Hearing Rates Proposed No Action Taken 2/12/2024 Timeline – Where We’ve Been 2023 Financial Plan Presented December 2023 City Implemented Final Rate Increase from Prior Rate Adoption 1/1/2025 City Council Workshop #2 3/26/25 TODAY Public Hearing 7/14/25 2024 2025 Informational Open House #1 6/4/2025 City Council Meeting 5/12/25 2 Community Information Sessions 3 Fire Station No. 48 3131 N. Gate Road, Seal Beach 1.Wednesday, June 4, 2025 2.Saturday, June 14,2025 What do my rates pay for? Utility rates fund operations, maintenance, repairs, debt payments, emergency reserves, and forward-looking capital improvement projects. Water •Imported water and groundwater replenishment •73 miles of pipelines, downtown has 120-year-old pipe •4 groundwater wells •2 reservoirs Sewer •34 miles of sewer mains •25% severe condition •Over 100-year-old pipes •6 pump stations •800 manholes 4 Water and Sewer Utilities Are Not Covering Expenses Inflation: Post Covid-19 reached highest rate since 1981 and has impacted operational and capital project costs Rain: FY 2023 and 2024 were wet years; net result is decreased revenue; $600k lower revenue than anticipated each year Wholesale Water Costs: Increased OCWD water wholesale costs (partly due to PFAS), MWDOC – Import water wholesaler Both OCWD and MWDOC have had or are proposing 2 years of double-digit rate increases and historically increases have been in the mid single digits Aging Infrastructure / Deferred Maintenance Sewer: Not meeting required debt coverage ratio, charges were reduced by 25% in the last study 5 Why Rate Increases are Needed: 6 Water Water Infrastructure 7 Phase Lampson Well Treatment System About Purpose & Benefits Project Timeline Financials Constraints Treatment system to remove nuisance odor, allowing increased pumping capacity. May need to import water at double the cost of groundwater if not producing at capacity. •Construction: FY 2025-2027 •Design is complete. Soliciting for construction bids. •$4.5 M •OCWD Producers Loan •Lampson Well must be fully operational before the rehabilitation of the Bolsa Chica Well, which currently supplies the majority of the City's groundwater Lampson Well, the City’s newest built in 2011, produces a nuisance odor caused by naturally occurring H2S. 8 LCWA Water Main Lining About Purpose & Benefits Project Timeline Project will reline the transmission line to provide water to southerly part of City to provide the necessary fire flow. Transmission line crossing Los Cerritos Wetlands/Hellman Ranch that has experienced several recent breaks. Phase Financials Constraints •Construction: FY 2025-2026 •Design is complete •Coastal Development Permit complete •Coordinating construction with LCWA •$2.5M Construction Value •Anticipated SRF funding, pending rate approval •Environmentally sensitive habitat •Must be constructed with wetlands restoration – Fall 2025 9 Beverly Manor Pump Station About Purpose & Benefits Project Timeline Pump station upgrade including new pumps, discharge piping, emergency generator, Variable Frequency Drives, and electric controls. Without Beverly Manor in full operation, system may not maintain adequate pressure and fire flow. Constructed in 1969, the booster station is responsible for connecting Beverly Manor Reservoir to the distribution system. Phase Financials •Construction: FY 2026-28 •Design is substantially completed •Production well in service. Fully manual operation. •$8M Construction Value •Anticipated SRF Funding Constraints •Antiquated system with no supporting parts for maintenance •Inability to fully pump reservoir water to distribution system Navy Reservoir Rehabilitation About Purpose & Benefits Project Timeline Tank provides necessary water storage to address water demand fluctuations, including emergency needs Navy Reservoir, constructed in 1963, has a usable storage capacity of 2.5 million gallons. Project will rehabilitate reservoir that has deteriorated due to corroded steel tank coating, will also rebuild the booster pumps. Phase Financials •Construction:FY 2026-28 •Assessment is completed. •Next phase is design. •$1.8 M Constraints •Timely completion to prevent further corrosion, which can lead to tank failure Water Infrastructure Replacement & Compliance Program About Purpose & Benefits Project Timeline Replace aging infrastructure to improve reliability, meet regulatory compliance, and increase capacity to meet fire flow and pressure needs. Mainline emergency repairs are costly and will cause service disruptions. Program helps fund on-going state and federal regulatory compliance efforts, and methodically and systematically improves the aging water infrastructure, in particular areas that have shown deterioration and need for capacity. Phase Financials •Ongoing •Ongoing, especially 100-year-old pipes •$500,000 to $1M annually Constraints •30,000 linear feet of pipeline that is past its useful life identified in 2012. Thirteen years later, this number is higher. Bolsa Chica Well Rehabilitation About Purpose & Benefits Project Timeline Well improvements include replacing pumps, generators, motors, and a water treatment system. Pump failure may lead to water imports, which is double the cost of groundwater. The project will rehabilitate the groundwater well site that was built in 1979. Phase Financials •Construction: FY 2027-29 •Design is completed. •$4 M Constraints •Lampson Well needs to be fully operational before this well can be shutdown Advanced Metering Infrastructure About Purpose & Benefits Project Timeline AMI provides numerous benefits, including: 1.Reduces in-person manual reading 2.Complies with ongoing water efficiency and conservation mandates 3.Provides on-demand customer user interface (i.e., leak detection) Existing manual meters are at the end or have surpassed serviceable life, warranting replacement. AMI (Advanced Metering Infrastructure) is a two-way communication system to collect detailed metering information. Phase Financials •Construction: FY 2026-28 •Preliminary Study - Completed •Next phase is design •Water Enterprise - $4 M •BOR Grant – $2M Constraints •Not billing for water provided •Eliminate manual/in-person meter reading •Multi-year process SCADA Improvement Upgrade About Purpose & Benefits Project Timeline Supports operations and management monitoring and automation, to better address and respond to emergencies and reduce in-person response under time-sensitive constraints. Used to optimize energy use. SCADA – Supervisory Control and Data Acquisition for Water and Sewer Systems. Phase Financials •In Progress •Implementation at select locations •On-going & in progress •$50k/year Water •$50k/year Sewer Constraints •Replacement of antiquated equipment for compatibility Photos is for demonstration purposes only. Seal Way Water/Sewer Upgrade About Purpose & Benefits Project Timeline Upsize pipe from 6-inch to 8-inch to meet demands. Has had frequent water main breaks that can lead to service interruption,and sewer blockages that can lead to overflows. Area has frequent blockage and sewer cleaning needs. CCTV shows sewer mainline delamination. One of the older water/sewer mainlines in the city. Phase Financials •Construction:FY 2033-34 •Planned •$2.2 M Water •$2.2 M Sewer Constraints •Concrete alley, tight working quarters, high water table 6th Street Alley Water/Sewer Replacement About Purpose & Benefits Project Timeline Address sewer line offset and delamination, manhole upgrade, and waterline upsizing to meet demands. Delamination and/or offset in the lines will lead blockages & service interruptions. CCTV identified issues. Pipe joint sections can shift, sink, or be invaded by roots causing them to become unaligned with the rest of the pipe. Phase Financials Constraints •Construction: FY 2033 •Design is completed •Project on hold •$2.0M Water •$2.6M Sewer •Concrete alley, tight working quarters, high water tablePhotos are for demonstration purposes only. Lampson Transmission/CPE Waterline Improvements About Purpose & Benefits Project Timeline Increase the volume of water that can be delivered from Lampson Well and improve water pressure throughout the city. Upsizing Lampson Avenue transmission main to maintain pressure during peak demands. Project will run the span of Lampson Avenue from Seal Beach Boulevard to easterly City limits, in phases. Phase Financials Constraints •Phase I Construction: FY 2029-31 •Planned •$3.3 M for Lampson Transmission Phase I •$2.2M for Lampson Transmission Phase II •$2.2M for CPE Waterline Improvements •TBD College Park West Water System Improvements About Purpose & Benefits Project Timeline Establish an additional connection point to the College Park West neighborhood to provide an alternate water supply in the event of an emergency. Installation of a new emergency interconnection transmission line to enhance system reliability and provide greater failover capability, minimizing the risk of service disruption in an emergency. Phase Financials Constraints •Phase I Construction: FY 2028-29 •Planned •$3.3 M Water for Phase I •Negotiations with neighboring water agencies for emergency intertie Allocation to Cost Causation Components SUPPLY EXTRA CAPACITY (Peaking Costs) CONSERVATION METER MAINTENANCE CUSTOMER SERVICE Cost of Service 20 Volumetric Rate ($/HCF)Fixed Charge by Meter Size BASE DELIVERY / COSTS Water Financial Outlook Without Revenue Increases (or bond issuances) In the red before paying for capital expenses 21 FY 2024 FY 2025 FY 2026 FY 2027 Projected Total Revenue $6,488,889 $6,909,669 $7,049,657 $7,049,899 Personnel $2,017,372 $1,551,794 $1,675,937 $1,810,012 Maintenance and Operations $1,632,896 $2,250,908 $2,376,601 $2,465,225 Water Purchase Costs $2,562,447 $3,074,071 $3,230,820 $3,410,563 Subtotal Expenses $6,212,715 $6,876,772 $7,283,358 $7,685,799 Debt Service $103,850 $117,000 $0 $0 Cashflow $172,323 ($84,103)($233,701)($635,900) Water Financial Plan Scenarios Scenario 1 Scenario 2 Revenue Adjustments 5-Year Increase FY 2026 38% FY 2027 23% FY 2028 5% FY 2029 5% FY 2030 5% Total CAGR 96.5% FY 2026 29% FY 2027 15% FY 2028 8% FY 2029 7% FY 2030 6% Total CAGR 81.7% CIP $44M Does more projects sooner $34M Pushes out projects Grants/Loans/Market Debt $25M Market Debt $9.5M SRF Loan $4.4M OCWD Loan $19M Market Debt $9.5M SRF Loan $4.4M OCWD Loan 22 Revenue adjustments show increased revenue above prior year revenue Water - Recommended CIP 23 WATER - SCENARIO 1 - RECOMMENDED CIP FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 Total Encumbered Rollover Projects $431,300 $0 $0 $0 $0 $0 $431,300 O-WT-1 Water Infrast. Replacement & Compliance Program $0 $500,000 $500,000 $500,000 $500,000 $500,000 $2,500,000 WT2701 Navy Reservoir Rehabilitation $0 $300,000 $1,500,000 $0 $0 $0 $1,800,000 WT1801 SCADA Improvement Upgrade Project $0 $50,000 $50,000 $50,000 $50,000 $50,000 $250,000 WT1603 Bolsa Chica Water Well Rehabilitation $0 $0 $4,000,000 $0 $0 $0 $4,000,000 WT2401 Seal Way Sewer/Water Upgrade $0 $0 $150,000 $2,000,000 $0 $0 $2,150,000 WTXXXX Leisure World Well Reestablishment $0 $0 $0 $3,000,000 $3,000,000 $0 $6,000,000 SS1902 6th Street Alley Water/Sewer Replacement $0 $0 $0 $2,000,000 $0 $0 $2,000,000 WT1704 Lampson Ave Trans Main Repl. (to Seal Bch Blvd)$0 $0 $0 $0 $300,000 $3,000,000 $3,300,000 WT2102 College Park East Waterline Improvements $0 $0 $0 $0 $200,000 $2,000,000 $2,200,000 WT2301 College Park West Water System Improvements $0 $0 $0 $0 $0 $200,000 $200,000 Subtotal $431,300 $850,000 $6,200,000 $7,550,000 $4,050,000 $5,750,000 $24,831,300 WT1902 Lampson Well Treatment System $0 $5,072,863 $0 $0 $0 $0 $5,072,863 WT0904 Beverly Manor Water Pump Station Rehabilitation $0 $0 $2,000,000 $3,000,000 $3,000,000 $0 $8,000,000 WT2103 LCWA Watermain Lining $0 $2,500,000 $0 $0 $0 $0 $2,500,000 Subtotal - SRF and OCWD Loan Projects $0 $7,572,863 $2,000,000 $3,000,000 $3,000,000 $0 $15,572,863 WT2001 Advanced Metering Infrastructure $0 $40,000 $2,000,000 $2,000,000 $0 $0 $4,040,000 Total $431,300 $8,462,863 $10,200,000 $12,550,000 $7,050,000 $5,750,000 $44,444,163 FY 2025 to FY 2030 Year CIP $44,444,163 Bi-monthly Fixed Charge & Leisure World Assumptions (Shown for Illustrative Purposes) •Certain costs centers: Meter Maintenance and Capacity are allocated to customers classes based on the number and size of meters •Prior assumption: Leisure World (LW) needed the equivalent of one 6” meter •Revised to 2 – 12” meters •LW would no longer be charged for their 4 private fire accounts •LW bi-monthly fixed charge = $14,916 equates to a $2.26 increase per dwelling unit 24 1/1/2025 Fixed Charges with LW Fixed Charges with LW Scenario 1 Difference Scenario 2 Difference Meter Size Current 1 - 6" Meter 2 - 12" Meters $$ 5/8''$52.38 $72.28 $70.68 ($1.60)($1.50) 3/4''$52.38 $72.28 $70.68 ($1.60)($1.50) 1"$77.92 $107.53 $104.87 ($2.66)($2.49) 1.5"$150.93 $208.28 $202.85 ($5.43)($5.08) 2"$228.33 $315.10 $306.50 ($8.59)($8.03) 3"$406.25 $560.63 $544.72 ($15.91)($14.87) 4"$675.94 $932.80 $906.18 ($26.62)($24.88) 6"$1,331.01 $1,836.79 $1,783.70 ($53.10)($49.64) 8"$2,128.92 $2,937.91 $2,852.83 ($85.08)($79.53) 10"$3,047.29 $4,205.26 $4,083.10 ($122.16)($114.19) 12" NA NA $7,458.19 NA NA 2" Aquatic Park $344.58 $475.52 $476.01 $0.49 $0.45 Aquatic Park includes a capital surcharge due to under sea pipelines Scenario 1 Proposed Water Bi-Monthly 5-Year fixed Charges (assumes 2 -12” meter for LW) 25 FYE 2026 FYE 2027 FYE 2028 FYE 2029 FYE 2030 Water 1/1/2025 8/1/2025 7/1/2026 7/1/2027 7/1/2028 7/1/2029 Bi-monthly Fixed Charges All Customers 5/8''$52.38 $70.68 $86.94 $91.29 $95.85 $100.64 3/4''$52.38 $70.68 $86.94 $91.29 $95.85 $100.64 1"$77.92 $104.87 $128.99 $135.44 $142.21 $149.32 1.5"$150.93 $202.85 $249.51 $261.99 $275.09 $288.84 2"$228.33 $306.50 $377.00 $395.85 $415.64 $436.42 3"$406.25 $544.72 $670.00 $703.50 $738.68 $775.61 4"$675.94 $906.18 $1,114.60 $1,170.33 $1,228.84 $1,290.28 6"$1,331.01 $1,783.70 $2,193.95 $2,303.64 $2,418.82 $2,539.77 8"$2,128.92 $2,852.83 $3,508.98 $3,684.43 $3,868.65 $4,062.08 10"$3,047.29 $4,083.10 $5,022.21 $5,273.32 $5,536.99 $5,813.84 12" Leisure World $1,331.01 $7,458.19 $9,173.58 $9,632.26 $10,113.87 $10,619.56 2" Aquatic Park $344.58 $476.01 $585.49 $614.76 $645.50 $677.78 Private Fire Charges 4"$54.42 $75.10 $92.37 $96.99 $101.84 $106.93 6"$158.07 $218.14 $268.31 $281.72 $295.81 $310.60 8"$336.86 $464.87 $571.79 $600.38 $630.39 $661.91 10"$605.79 $835.99 $1,028.27 $1,079.68 $1,133.67 $1,190.35 12" NA $1,350.35 $1,660.94 $1,743.98 $1,831.18 $1,922.74 Proposed Water Volumetric Rates ($ / hcf) 26 FYE 2026 FYE 2027 FYE 2028 FYE 2029 FYE 2030 1/1/2025 8/1/2025 7/1/2026 7/1/2027 7/1/2028 7/1/2029 Volumetric Rates ($ /hcf) Residential Tier 1 $3.77 $5.20 $6.40 $6.72 $7.06 $7.41 Tier 2 $3.99 $5.51 $6.77 $7.11 $7.47 $7.84 Multi-Family Residential & Leisure World Tier 1 $3.77 $5.20 $6.40 $6.72 $7.06 $7.41 Tier 2 $3.94 $5.44 $6.69 $7.02 $7.37 $7.74 Commercial $3.77 $5.20 $6.40 $6.72 $7.06 $7.41 Irrigation $3.86 $5.33 $6.55 $6.88 $7.22 $7.58 City $3.82 $5.27 $6.48 $6.81 $7.15 $7.51 Aquatic Park $4.27 $5.89 $7.25 $7.61 $7.99 $8.39 Water – Modified CIP (Absolute Minimum Required Projects) 27 WATER - SCENARIO 2 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 Total FYE 2024 Rollover Projects into FY 2025 $431,300 $0 $0 $0 $0 $0 $431,300 O-WT-1 Water Infrast. Replacement & Compliance Program $0 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $5,000,000 WT2701 Navy Reservoir Rehabilitation $0 $300,000 $1,500,000 $0 $0 $0 $1,800,000 WT1801 SCADA Improvement Upgrade Project $0 $50,000 $50,000 $50,000 $50,000 $50,000 $250,000 WT1603 Bolsa Chica Water Well Rehabilitation $0 $0 $0 $0 $2,000,000 $2,000,000 $4,000,000 WTXXXX Leisure World Well Reestablishment $0 $0 $0 $0 $0 $3,000,000 $3,000,000 Subtotal $431,300 $1,350,000 $2,550,000 $1,050,000 $3,050,000 $6,050,000 $14,481,300 WT1902 Lampson Well Treatment System $0 $5,072,863 $0 $0 $0 $0 $5,072,863 WT0904 Beverly Manor Water Pump Station Rehabilitation $0 $0 $2,000,000 $3,000,000 $3,000,000 $0 $8,000,000 WT2103 LCWA Watermain Lining $0 $2,500,000 $0 $0 $0 $0 $2,500,000 Subtotal - SRF and OCWD Loan Projects $0 $7,572,863 $2,000,000 $3,000,000 $3,000,000 $0 $15,572,863 WT2001 Advanced Metering Infrastructure $0 $40,000 $2,000,000 $2,000,000 $0 $0 $4,040,000 Total $431,300 $8,962,863 $6,550,000 $6,050,000 $6,050,000 $6,050,000 $34,094,163 FY 2025 to FY 2030 Year CIP $34,094,163 Modified Option Water Bi-Monthly 5-Year fixed Charges (assumes 2 -12” meter for LW) 28 FYE 2026 FYE 2027 FYE 2028 FYE 2029 FYE 2030 Water 1/1/2025 8/1/2025 7/1/2026 7/1/2027 7/1/2028 7/1/2029 Bi-monthly Fixed Charges All Customers 5/8''$52.38 $66.07 $75.98 $82.06 $87.81 $93.08 3/4''$52.38 $66.07 $75.98 $82.06 $87.81 $93.08 1"$77.92 $98.03 $112.73 $121.75 $130.28 $138.09 1.5"$150.93 $189.62 $218.07 $235.51 $252.00 $267.12 2"$228.33 $286.51 $329.49 $355.85 $380.76 $403.60 3"$406.25 $509.19 $585.57 $632.42 $676.69 $717.29 4"$675.94 $847.08 $974.14 $1,052.07 $1,125.72 $1,193.26 6"$1,331.01 $1,667.37 $1,917.47 $2,070.87 $2,215.83 $2,348.78 8"$2,128.92 $2,666.78 $3,066.79 $3,312.14 $3,543.98 $3,756.62 10"$3,047.29 $3,816.81 $4,389.33 $4,740.48 $5,072.31 $5,376.65 12" Leisure World $1,331.01 $6,971.79 $8,017.56 $8,658.96 $9,265.09 $9,821.00 2" Aquatic Park $344.58 $444.96 $511.71 $552.64 $591.33 $626.81 Private Fire Charges 4"$54.42 $70.20 $80.73 $87.19 $93.29 $98.89 6"$158.07 $203.91 $234.50 $253.26 $270.98 $287.24 8"$336.86 $434.55 $499.73 $539.71 $577.49 $612.14 10"$605.79 $781.47 $898.69 $970.58 $1,038.53 $1,100.84 12" NA $1,262.29 $1,451.63 $1,567.76 $1,677.51 $1,778.16 Modified Option Water Volumetric Rates ($ / hcf) 29 FYE 2026 FYE 2027 FYE 2028 FYE 2029 FYE 2030 1/1/2025 8/1/2025 7/1/2026 7/1/2027 7/1/2028 7/1/2029 Volumetric Rates ($ /hcf) Residential Tier 1 $3.77 $4.86 $5.59 $6.04 $6.46 $6.85 Tier 2 $3.99 $5.15 $5.92 $6.39 $6.84 $7.25 Multi-Family Residential & Leisure World Tier 1 $3.77 $4.86 $5.59 $6.04 $6.46 $6.85 Tier 2 $3.94 $5.08 $5.84 $6.31 $6.75 $7.16 Commercial $3.77 $4.86 $5.59 $6.04 $6.46 $6.85 Irrigation $3.86 $4.98 $5.73 $6.18 $6.62 $7.01 City $3.82 $4.93 $5.67 $6.12 $6.55 $6.94 Aquatic Park $4.27 $5.51 $6.33 $6.84 $7.32 $7.76 30 Sewer 31 Sewer Infrastructure Sunset Aquatic Park Pump Station About Purpose & Benefits Project Timeline Project will provide additional capacity and pump station upgrades. Overflows from this system would go directly into the Anaheim Bay and City would be fined. Due to previous force main failures, current flow is diverted to 2 - 2” mains across the Bolsa Chica Channel. Phase Financials •Construction: FY 2027-29 •Planned •$2.7 M construction value •Sunset Aquatic Park Equity Fund Constraints •Force mains are undersized and frequently have blockages •Coordination with Huntington Beach to receive wastewater 32 Pump Station #35 About Purpose & Benefits Project Timeline Project will provide emergency sewage by-pass, mechanical/electrical upgrades, and emergency back-up power generation. This a very important pump station – an outage would cause sewer backups in the southern part of the City. Originally constructed in 1973, and subsequently upgraded. PS #35 is the main sewer station that serves the Hill, Bridgeport, Naval Weapons Station, Old Town. Financials •Phase I - Under construction •Phase II – FY 29/30 •$1.6 M construction value •$3.3 M Phase II Constraints •Critical system to transport wastewater to OCSan regional system •Noticeable increase of Fats, Oils, Grease (FOG) discharge Adolfo Lopez and Boeing Pump Stations About Purpose & Benefits Project Timeline Project will rehabilitate components and evaluate the feasibility of constructing a parallel force main. Pump station and electrical failures may result in wastewater leaching and system overflow, which can potentially be a substantial water quality fine. Adolfo Lopez Station was constructed in 2005; the Boeing Pump Station was constructed in 2003. Both stations are reaching a point where more frequent failures and repairs are needed, in particular electrical components. Furthermore, settling and corrosion is apparent in the piping and wet wells. Phase Financials •FY 2027-29 •Planned •$1.7M Adolfo Lopez •$1.7M Boeing Constraints •Force mains are original and near end of serviceable life. •Electrical repair requires frequent contractor call - outs. Sewer Mainline Improvement Program About Purpose & Benefits Project Timeline Program will address structural and capacity deficiencies, manhole upgrades, and point repairs. The sewer system is on average 80 years old. Inability to properly convey wastewater may result in blockages, overages, and ultimately a health hazard. Continuous repair of sewer infrastructure per CCTV assessment to address deficiencies (e.g., cracks, offsets, delamination, capacity, flow). Phase Financials •Ongoing •CCTV Analysis (2023) •Next target area – The Hill/Old Town •$500,000 to $750,000 annually Constraints •On-going CCTV/cleaning per state requirements •Aging infrastructure that was not built for existing demands Sewer Financial Outlook Without Revenue Increases •A debt service coverage ratio of 1.2 means the City has promised bondholders to set rates so that net cashflow (before CIP expenses) is about $650k (positive) •Revenue is decreasing due to lower interest earned in cash balances •Does not include capital projects 36 FY 2024 FY 2025 FY 2026 FY 2027 Projected Total Revenue $2,625,899 $2,589,328 $2,477,265 $2,410,373 Personnel $1,451,291 $1,319,707 $1,425,284 $1,539,306 Maintenance and Operations $758,140 $1,146,858 $1,204,201 $1,240,327 Subtotal Expenses $2,209,430 $2,466,565 $2,629,484 $2,779,633 Revenue Less Expenses $416,469 $122,763 ($152,219)($369,260) Debt Service $545,583 $545,623 $545,183 $544,263 Cashflow ($129,114)($422,860)($697,402)($913,523) Sewer Financial Plan Scenarios Scenario 1 Scenario 2 Revenue Adjustments 5-Year Increase FY 2026 34% FY 2027 21% FY 2028 14% FY 2029 13% FY 2030 4% Total CAGR 117.2% FY 2026 34% FY 2027 20% FY 2028 9% FY 2029 8% FY 2030 7% Total CAGR 102.5% CIP (today’s $)$19.2M •Does more projects sooner, compared to scenario 2 $15.7M •Pushes out projects Debt $14 M Market Debt $15 M Market Debt 37 34% is needed in the 1st year to meet debt covenants! Revenue adjustments show increased revenue above prior year revenue Proposed Sewer CIP 38 SEWER - SCENARIO 1 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 Total FYE 2023 Encumbered Rollover Projects $3,645,000 $0 $0 $0 $0 $0 $3,645,000 O-SS-2 Sewer Mainline Improvement Program $0 $500,000 $500,000 $500,000 $500,000 $500,000 $2,500,000 SS2303 Sunset Aquatic Park & Forcemain Upgrade $0 $200,000 $2,500,000 $0 $0 $0 $2,700,000 WT2401 Seal Way Sewer/Water Upgrade $0 $0 $150,000 $2,000,000 $0 $0 $2,150,000 WT1801 SCADA Improvement Upgrade Project $0 $50,000 $50,000 $50,000 $50,000 $50,000 $250,000 SS1902 6th Street Alley Water/Sewer Replacement $0 $0 $0 $2,600,000 $0 $0 $2,600,000 SSXXXX Adolfo Lopez Pump Station & Forcemain Upgrade $0 $0 $0 $0 $0 $200,000 $200,000 SS2204 Boeing Pump Station & Forcemain Upgrade $0 $0 $0 $200,000 $1,500,000 $0 $1,700,000 SSXXXX Pump Station 35 Upgrades - Phase 2 $0 $0 $0 $0 $300,000 $3,000,000 $3,300,000 SSXXXX 1st Street Pump Station & Forcemain Upgrade $0 $0 $0 $0 $0 $150,000 $150,000 Total $3,645,000 $750,000 $3,200,000 $5,350,000 $2,350,000 $3,900,000 $19,195,000 FY 2025 to FY 2030 CIP $19,195,000 Proposed Sewer Bi-Monthly 5-Year Rates & Charges FYE 2026 FYE 2027 FYE 2028 FYE 2029 FYE 2030 Fixed Charge Current 8/1/2025 7/1/2026 7/1/2027 7/1/2028 7/1/2029 Single-Family Residential Fixed Charge $48.04 $64.37 $77.89 $88.80 $100.34 $104.35 Customers with a Fixed Charge and Volumetric Rate Current 8/1/2025 7/1/2026 7/1/2027 7/1/2028 7/1/2029 Multi-Family Residential Fixed Charge $1.22 $1.63 $1.98 $2.26 $2.55 $2.65 Volumetric Rate ($/hcf)$4.00 $5.36 $6.49 $7.39 $8.35 $8.69 Commercial and City Fixed Charge $1.22 $1.63 $1.98 $2.26 $2.55 $2.65 Volumetric Rate ($/hcf)$4.00 $5.36 $6.49 $7.39 $8.35 $8.69 Leisure World Fixed Charge $1.22 $1.63 $1.98 $2.26 $2.55 $2.65 Flat Rate $2,198.06 $2,945.40 $3,563.93 $4,062.89 $4,591.06 $4,774.70 Navy Sewer Meter Fixed Charge $1.22 $1.63 $1.98 $2.26 $2.55 $2.65 Sewer Meter Volumetric ($/hcf)$0.24 $0.32 $0.39 $0.44 $0.50 $0.52 Aquatic Park Fixed Charge $1.22 $1.63 $1.98 $2.26 $2.55 $2.65 Volumetric Charge ($/hcf)$4.00 $5.36 $6.49 $7.39 $8.35 $8.69 Sewer Service Equity Charge $997.50 $1,336.65 $1,617.35 $1,843.78 $2,083.47 $2,166.80 Sewer Capital Equity Charge $1,322.00 $1,771.48 $2,143.49 $2,443.58 $2,761.24 $2,871.6939 Modified Option Sewer CIP 40 SEWER - SCENARIO 2 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 Total FYE 2024 Projects rolled over into FYE 2025 $3,645,000 $0 $0 $0 $0 $0 $3,645,000 O-SS-2 Sewer Mainline Improvement Program $0 $750,000 $750,000 $750,000 $750,000 $750,000 $3,750,000 SS2303 Sunset Aquatic Park & Forcemain Upgrade $0 $200,000 $2,500,000 $0 $0 $0 $2,700,000 WT1801 SCADA Improvement Upgrade Project $0 $50,000 $50,000 $50,000 $50,000 $50,000 $250,000 SS2204 Boeing PS & Forcemain Upgrade $0 $0 $0 $200,000 $1,500,000 $0 $1,700,000 SSXXXX PS#35 Upgrades - Phase 2 $0 $0 $0 $0 $300,000 $3,000,000 $3,300,000 SSXXXX Adolfo Lopez PS & Forcemain Upgrade $0 $0 $0 $0 $0 $200,000 $200,000 SSXXXX 1st Street PS & Forcemain Upgrade $0 $0 $0 $0 $0 $150,000 $150,000 Total $3,645,000 $1,000,000 $3,300,000 $1,000,000 $2,600,000 $4,150,000 $15,695,000 FY 2025 to FY 2030 CIP $15,695,000 41 Modified Option Sewer Bi-Monthly 5-Year Rates & Charges FYE 2026 FYE 2027 FYE 2028 FYE 2029 FYE 2030 Fixed Charge Current 8/1/2025 7/1/2026 7/1/2027 7/1/2028 7/1/2029 Single-Family Residential Fixed Charge $48.04 $64.37 $77.25 $84.20 $90.94 $97.30 Customers with a Fixed Charge and Volumetric Rate Current 8/1/2025 7/1/2026 7/1/2027 7/1/2028 7/1/2029 Multi-Family Residential Fixed Charge $1.22 $1.63 $1.96 $2.14 $2.31 $2.47 Volumetric Rate ($/hcf)$4.00 $5.36 $6.43 $7.01 $7.57 $8.10 Commercial and City Fixed Charge $1.22 $1.63 $1.96 $2.14 $2.31 $2.47 Volumetric Rate ($/hcf)$4.00 $5.36 $6.43 $7.01 $7.57 $8.10 Leisure World Fixed Charge $1.22 $1.63 $1.96 $2.14 $2.31 $2.47 Flat Rate $2,198.06 $2,945.40 $3,534.48 $3,852.58 $4,160.79 $4,452.05 Navy Sewer Meter Fixed Charge $1.22 $1.63 $1.96 $2.14 $2.31 $2.47 Sewer Meter Volumetric ($/hcf)$0.24 $0.32 $0.39 $0.42 $0.45 $0.49 Aquatic Park Fixed Charge $1.22 $1.63 $1.96 $2.14 $2.31 $2.47 Volumetric Charge ($/hcf)$4.00 $5.36 $6.43 $7.01 $7.57 $8.10 Sewer Service Equity Charge $997.50 $1,336.65 $1,603.98 $1,748.34 $1,888.21 $2,020.38 Sewer Capital Equity Charge $1,322.00 $1,771.48 $2,125.78 $2,317.10 $2,502.46 $2,677.64 42 Bi-Monthly Customer Bill Impacts Proposed First Year Combined Water & Sewer Bill Impacts (Bi-Monthly) 43 Proposed Multi-Year Combined Residential Water & Sewer Bill Impacts (Annual & Bi-Monthly) 44 Proposed Leisure World - Combined Water & Sewer Bill Impacts (Annual) 45 ≈$19 bi-monthly increase per dwelling unit or $9.51 monthly for first year Modified Option First Year Combined Water & Sewer Bill Impacts (Bi-Monthly) 46 Modified Option Multi-Year Combined Residential Water & Sewer Bill Impacts (Bi-Monthly) 47 Modified Option Leisure World - First Year Combined Water & Sewer Bill Impacts (Bi-Monthly) 48 ≈$15.20 bi- monthly increase per dwelling unit or $7.60 monthly Summary •Proposed revenue increases will restore the utilities’ financial health so the City can: ›Continue to deliver safe, reliable water and sewer services ›Maintain and upgrade aging infrastructure ›Maintain good credit standing and be able to issue debt •Consequences of delaying: ›$222k/month for water and $67k/month for sewer ›Projects may be affected if delayed –LCWA Watermain Lining and Beverly Manor Well assume an SRF loan –Lampson Well Treatment System assumes an OCWD Producers Loan –Need to demonstrate that the City can pay current and future loans back ›WW enterprise remains in technical default •The rate study follows standard rate setting practice and uses available data to determine the cost to serve each class 49 50 Myths Myth Busters •Myth 1: The Water & Sewer Enterprise Funds will subsidize the General Fund. o FACT: By law, revenues generated by water and sewer rates may only be used for costs of providing water and sewer services. •Myth 2: Nothing was done with the revenue from the last rate study. o FACT: On the contrary, many of the projects identified in the 2020 Rate Study have already been designed. However, due to various external factors, construction has been delayed. As a result, funding through debt issuance has not yet been pursued since the projects have not moved into the construction phase. 51 Myth Busters •Myth 3: The CIP schedules are not attainable. o FACT: While the Option 1 CIP schedule is ambitious, it is not unattainable—many of the projects are already designed and considered "shovel ready." Option 2 includes fewer projects, making its completion timeline even more manageable. •Myth 4: Delays won't have an impact. o FACT: Each month of delay is approximately $300k of revenue loss that could have been used towards enhancing your utility. Also, delays jeopardize external funding opportunities to help augment burden to rate payers and construction windows. •Myth 5: The rates are subsidizing future developments. o FACT: The rates fund current system needs to keep your water and sewer systems reliable today.They are not designed to subsidize or fund future developments. 52 53 Summary of Objections and Responses 54 AB 2257 •Established a formal written objection procedure for ratepayers to raise specific legal concerns •Must include specific grounds for alleging noncompliance of the proposed rates with Proposition 218 •Designed to address disputes during public participation period •Permits agency to resolve issues during participation period •Creates an exhaustion of administrative remedies procedure •Requires ratepayers to bring a specific legal objection prior to the deadline established as part of the rate setting process to preserve their ability to file a legal challenge 54 AB 2257 Objection Tally 55 Written Objections Received 3 As of the 5 p.m. deadline on July 7, 2025, the City received: 56 Objection Letter #1 a.Object to proposed water and wastewater rates, citing inequity in the rate structure based on: o Fixed charges are not “per door,” o Lower use parcels unfairly pay less, o Burden on those without ability to pay (i.e. fixed- and low-income, large families) o Lack of per door fees leads to unstable revenues b.Object to wastewater rates, citing the charge for Single-Family customers are subsidizing others c.Object to Sunset Aquatic Park sewer rates, citing all other customers are subsidizing Aquatic Park Written Objections Summary Objection Letter #3 a.Proposed rates are excessive and not proportional to her property b.Object to proposed rates, stating they appear to exceed proportional cost of service to the objector’s property. c.Object that the City has not demonstrated that the revenues will be used exclusively for each utility d.The notice lacks sufficient detail to determine if the methodology is consistent with Constitutional requirements, citing detailed financial analysis and rate modeling was not available to the public e.The public process lacked transparency 57 Objection Letter #2 a.Object to proposed rates, citing they are excessive b.Object that the proposed rates circumvent Proposition 13 c.Object to personnel compensation increases, citing they are unjustified d.Object to public process, citing lack of transparency Written Objections Summary Response Summary The City acknowledges residents' concerns about proposed water and sewer rate increases but asserts that they are necessary, legally compliant, based on detailed studies, and designed to ensure the long- term reliability and equitable funding of essential water and wastewater services. •Written Objections did not demonstrate noncompliance with Proposition 218; therefore, the publicly noticed and available proposed rates, 2025 Financial Plan and 2020 Cost of Service Study Report stand. •Water and Sewer revenues are restricted and accounted for in Water Enterprise and Sewer Enterprise Funds, separate from the City’s General Fund. Rate revenues pay for water and sewer expenses only. •The City undergoes an independent annual financial audit to ensure compliance with generally accepted accounting principles in which expenditures from utility Enterprise Funds are noted. •Written Responses to the Written Objections are included in the City’s Administrative Record and included in the Public Hearing agenda packet. 58 Response Summary – 5 Themes 1. Necessity of Rate Increases - Objections did not provide specific information on alleged non-compliance with Proposition 218. Proposed rate increases are deemed essential and not arbitrary, driven by critical factors such as: o Aging Infrastructure: The need for substantial investment in repairing, replacing, and modernizing old water and wastewater systems to ensure reliability, prevent failures, and meet public health standards. o Regulatory Compliance: Adhering to increasingly stringent federal and state environmental and public health regulations, which require significant capital and operational adjustments. o Rising Operational Costs: Covering the increasing expenses for supplies, energy, chemicals, and maintenance necessary for daily system operation. o Long-Term Financial Stability: Ensuring a stable financial foundation for the utility to meet current needs, fund future projects, and maintain reserves to avoid larger, unpredictable increases. 59 Response Summary – 5 Themes 2.Equity in Billing Structure: •Fair Cost Allocation: While promoting conservation through use-based billing, the overall rate structure aims to recover fixed infrastructure costs equitably from all users. All customers with an account, even if they use no water, pay the fixed charge. A customer pays in proportion to their 1) water use (on average is about 70% of the bill), 2) number of meters, and 3) meter size. •Fixed Cost Recovery: The proposed water fixed charge recovers the following costs: o Customer Billing: only customers who get a bill cause this cost and therefore can be charged for it The following are proportional to meter size: o Meter Maintenance: only customers with meters can be charged for it because the costs are associated with meter maintenance and meter reading o Fixed Capacity (infrastructure): capacity costs are assessed in proportion to a customer’s meter size as meter size is proportional to potential water use that affects infrastructure needs. Potential demand to serve multi-family dwellings is reflected in their meter size. For example, a SFR ¾” meter fixed charge is currently $26/month compared to a MFR 4” meter fixed charge is $338/month. Continued next slide 60 Response Summary – 5 Themes 2.Equity in Billing Structure Continued: •Single Family subsidizing other classes: Single family class pays in proportion to their estimated sewer discharge •Subsidies and Sunset Aquatic Park: The City is committed to ensuring all customer classes, including multi -family units and specific users like Sunset Aquatic Park, contribute their fair share based on their use and impact on the system, in line with Proposition 218 which requires that no class subsidizes another. •The City implemented Sunset Aquatic Park charges specifically to address equity concerns: o Water - The fixed charge for Sunset Aquatic Park is higher than the fixed charge for other customers with the same meter size. This is to recover the added capital cost associated with the water line feeding Sunset Aquatic Park. o Sewer – Sunset Aquatic Park has a separate sewer service equity charge and sewer capital equity charge to recover the added costs associated with Sunset Aquatic Park sewer service. 61 Response Summary – 5 Themes 3. Justification for Personnel Compensation: Staff compensation is a significant part of the operational budget for any utility, as it relies on skilled personnel to manage complex systems, maintain infrastructure, and ensure compliance. The 8% annual personnel cost inflator is a comprehensive estimate that includes: •merit increases, •cost of living adjustments, •retirement costs, •insurance and •other legally obligated personnel-related expenses. It is based on recent cost trends and future obligations and is necessary to maintain service levels and staffing. The personnel inflator is not used to inflate capital improvement projects. There is a separate CIP inflator which is 5%, 4% , 3%, 3% and 3% for the 5-year proposed rates period. 62 Response Summary – 5 Themes 4. Compliance with Proposition 218 and Legal Standards: o Prop 218 (User Fees) vs Prop 13 (Taxes): Water and wastewater charges are considered property related fees, not property taxes, meaning Proposition 13 (pertaining to property taxes) does not apply. o Cost of Service Basis: All proposed rates are based on comprehensive, independent financial analysis and cost-of-service studies designed to ensure that revenues do not exceed the cost of service and that charges are proportional to the cost of serving each parcel, fulfilling Proposition 218 requirements. o Restricted Funds: Revenues derived from these rates are legally restricted and exclusively dedicated to the operation, maintenance, and capital improvement of the water and sewer systems through each utility Enterprise Fund, separate from the General Fund. 63 Response Summary – 5 Themes 5.Transparency and Public Process: •Adherence to Legal Process: The proposed rate adjustments followed the legally mandated Prop 218 process, including public notification and a Public Hearing. The Notice of Public Hearing provided an explanation of cost and inflation drivers, capital needs, how proposed rates were determined, and directed interested persons to the consultant's reports available on the website and from the City Clerk’s Office. •Transparent Public Process Included: o Multiple publicly-noticed City Council workshops (February 26, March 26, 2025) o Regular City Council Meetings (2023, 2024, 2025) o Community information sessions (2023, 2024, 2025: June 4 and June 14). o Meetings and information sessions were promoted across various City communication channels (website, media releases, social media, e-newsletters, and within the Public Hearing Notice). 64 65 Proposition 218 Tally Summary of Requests: 1.That the City Council conduct a public hearing to accept comments on the proposed water and sewer rate adjustments; and, 2.Upon the conclusion of the public hearing, that the City Council adopt Resolution 7668 responding to timely filed written objections to the proposed water and sewer rates pursuant to the requirements of Assembly Bill 2257; and, 3.Upon the conclusion of the public hearing, provided a majority protest against the proposed water rates does not exist, that City Council adopt Resolution 7669 establishing the water rates, effective September 1, 2025; and, 4.Upon the conclusion of the public hearing, provided a majority protest against the proposed sewer rates does not exist, that City Council adopt Resolution 7670 establishing the sewer rates, effective September 1, 2025; and, 5.Receive and file the Water and Wastewater Financial Plan and Rate Study, prepared by Raftelis Financial Consultants, Inc., dated June 17, 2025, as presented to the City Council at this meeting and on file in the office of the City Clerk. 66 67 End of Presentation Revenue must be used to cover the costs for which the charge was imposed The charge must be for a service that is actually used or immediately available The fee may not exceed the proportional cost to serve the parcel Proposition 218 Requires: Cannot collect more than what you need Must send a written notice to customers no less than 45 days before a public hearing 68 NOTE: Revenues collected from rates cannot be used for any other purpose. Utility Enterprise Funds are separate from the General Fund. AWWA – Issues Facing the Water Sector 69 Water & Sewer Compared to Other Goods 70 Textbook Fixed Charge Rate Setting (Simplified for Discussion) •Each customer has at least one meter and charges are based upon their use and meter size •It is common to charge apartment complexes based on their meter/meters which serve the entire complex 71 Based on meters Based on “doors” Extra Capacity $$$$$$ Meter Maintenance $$$$ Customer Service $$ FY 2025 Total $2,400,000 $2,400,000 # of Equivalent Meters ≈ 7,800 # of Equivalent Meters + each “door” (apartment/condo) ≈ 7,800 + (2,700 MFR + 6,600 LW) x 0.3 factor ≈ 10,590 Bi-monthly Fixed Charge ≈$51.28 ≈$37.77 Combined (Water & Sewer) Bi-Monthly Bill Impacts Option 1 Option 2 Current Bill $168.50 $168.50 Proposed Bill (First Year Increase)$228.96 $218.21 Bi-monthly Difference $60.46 $49.71 Proposed Bill (5th Year Increase)$338.70 $314.01 Bi-monthly Difference (5th Year)$170.20 $145.51 72 73 “The presentation talked about setting rates in proportion to land use or acreage, but unfortunately, sewer rates are based on estimated sewer discharge and that's how your rates are set for the sewer based on their estimated proportion of use of that pipeline, not on land use. Because you could have a big empty base with nobody on it and maybe they're not using a sewer. So, there's nothing better to set rates on than sewer use compared to estimating sewer use from land use.” “So, then it would be our opinion that they are being correctly charged.” "Yes." no wrong again the entire presentation was about water, the word sewer wasn't said once 1,000 ft?250 ft 10,000 ft?250 ft 100,000 ft?250 ft Myth: The Naval Weapons Station is being charged a fair share for water services because it's billed based on its usage. fun fact, this should be one word if it's in reference to the show Myth 2: There is no better way to charge rates than based on usage. FACT: While the NWS is billed according to its direct water usage, this approach overlooks the significant amount of frontage that the NWS occupies along the city's water lines (over 10% of all lines). Since the frontage that the NWS occupies along the water lines cannot be developed, this results in higher bills for all other ratepayers, as the fixed costs are evenly spread over a smaller base of ratepayers. FY 2030 Bimonthly Naval Weapons Station Bill: ~$53,000 Average Seal Beach Resident Bill: $338.70 ~$53,000 / $338.70 = 157 Homes 157 x 25 Feet = 3,925 Feet 3,925 Feet there is no better way to charge rates than based on usage M218 Water/Sewer Fiduciary “Fiduciary responsibility”refers to the legal and ethical obligation of a fiduciary to act in the best interests of their clients or beneficiaries. This includes prioritizing the needs of the client above personal interests and establishing a relationship based on trust. Common fiduciaries include business partners, directors, trustees, and advisors, who are expected to uphold duties such as care, loyalty, good faith, confidentiality, and disclosure. M218 Process ▪Proposition M218, approved by California voters in November 1996, significantly reformed local government finance by requiring voter approval for most local taxes, assessments, and property-related fees. M218 Process ▪Proposition M218, approved by California voters in November 1996, significantly reformed local government finance by requiring voter approval for most local taxes, assessments, and property-related fees. ▪“Special Benefit Assessments on real property must provide a specific benefit to the property (e.g., sewer or water improvements) and be proportional to the benefit received. Local governments cannot use assessments for general services like police or fire. M218 Process ▪Proposition M218, approved by California voters in November 1996, significantly reformed local government finance by requiring voter approval for most local taxes, assessments, and property-related fees. ▪“Special Benefit Assessments on real property must provide a specific benefit to the property (e.g., sewer or water improvements) and be proportional to the benefit received. Local governments cannot use assessments for general services like police or fire. ▪“Fees for services like water, sewer, or refuse collection cannot exceed the cost of providing the service. Local governments must notify property owners and allow protests; a majority protest can block the fee.  “Leisure World Doesn’t Pay Their Fair Share”  “Leisure World Doesn’t Pay Their Fair Share” ▪History: Built between 1961 and 1964  “Leisure World Doesn’t Pay Their Fair Share” ▪History: Built between 1961 and 1964 ▪We built our own water distribution and sewer system  “Leisure World Doesn’t Pay Their Fair Share” ▪History: Built between 1961 and 1964 ▪We built our own water distribution and sewer system ▪LW pays the same price for Fixed meter charge  “Leisure World Doesn’t Pay Their Fair Share” ▪History: Built between 1961 and 1964 ▪We built our own water distribution and sewer system ▪LW pays the same price for Fixed meter charge ▪LW pays the same Volume price  “Leisure World Doesn’t Pay Their Fair Share” ▪History: Built between 1961 and 1964 ▪We built our own water distribution and sewer system ▪LW pays the same price for Fixed meter charge ▪LW pays the same Volume price ▪We divide our water bill by 6,800 apartments  “Leisure World Doesn’t Pay Their Fair Share” ▪History: Built between 1961 and 1964 ▪We built our own water distribution and sewer system ▪LW pays the same price for Fixed meter charge ▪LW pays the same Volume price ▪We divide our water bill by 6,800 apartments ▪We built it. We paid for it. We own it. We maintain it.  “Leisure World Doesn’t Pay Their Fair Share” ▪History: Built between 1961 and 1964 ▪We built our own water distribution and sewer system ▪LW pays the same price for Fixed meter charge ▪LW pays the same Volume price ▪We divide our water bill by 6,800 apartments ▪We built it. We paid for it. We own it. We maintain it. ▪LEISURE WORLD PAYS THEIR FAIR SHARE. END OF STORY  “Besides...” ▪If Seal Beach wanted to change the way LW pays for water – “door fee” or some other mechanism ▪Ballot Measure by all the voters in SB ▪The utility users affected by this M218 process cannot impose new charges on LW ▪The voters cannot “confiscate” LW’s water and sewer system ▪This would be vigorously opposed by LW Employee Compensation Myth’s Employee Compensation Myth’s ▪Myth: Employees are getting a 40%+ pay increase or an 8% pay increase Employee Compensation Myth’s ▪Myth: Employees are getting a 40%+ pay increase or an 8% pay increase ▪Truth: Employee time that is attributable to running the utility business is paid for by the utility business. ▪Billing, payables and collections –pay-as-you-go ▪Maintenance by public works employees –pay-as-you-go ▪Executive –a fixed percentage of their paycheck Suggested Alternatives ▪I have listened to many constituents who are concerned about increasing the water rates. Suggested Alternatives ▪Phase in the projects ▪Use main street parking revenue or Measure GG revenue ▪50 years experience in construction or experience in water/sewer systems, and so on... ▪With so many suggestions from concerned citizens, we would be evaluating various options ad infinitum, never solving the problems, with no one on the “professional hook” Professionals ▪Iris Lee –Director of Public Works – ▪25 years of engineering experience ▪20+ years of water/sewer experience ▪Certified Water Distribution Operator ▪Registered Professional Civil Engineer ▪Steve Gagnon ▪28 years experience engineering ▪16 years experience in financial planning and rate setting ▪Series 50 Municipal Advisor ▪Master of Environmental and Engineering Professionals ▪We hire experts. We pay experts. Experts who are educated, certified and experienced. ▪Compared to a variety of suggestions from the well-meaning public IMHO: To ignore the advice of the professionals we pay would be an irresponsible abdication of my fiduciary duty.  Not Just Empty Words ▪Leisure World Cares Fund. www.lwcaresfund.org Here’s My Logic ▪First, the utility business lost $1.7 million in the last audited report that came out earlier this year. (FY 23/24)  2024 Audited Results Here’s My Logic ▪First, the utility business lost $1.7 million in the last audited report that came out earlier this year. (FY 23/24) ▪The utility Enterprise is losing money every single month. Here’s My Logic ▪First, the utility business lost $1.7 million in the last audited report that came out earlier this year. (FY 23/24) ▪The utility Enterprise is losing money every single month. ▪We are already in violation of our loan covenants on existing loans. Here’s My Logic ▪First, the utility business lost $1.7 million in the last audited report that came out earlier this year. (FY 23/24) ▪The utility Enterprise is losing money every single month. ▪We are already in violation of our loan covenants on existing loans. ▪In the last 2 years, there have been 3 major water main failures Here’s My Logic ▪First, the utility business lost $1.7 million in the last audited report that came out earlier this year. (FY 23/24) ▪The utility Enterprise is losing money every single month. ▪We are already in violation of our loan covenants on existing loans. ▪In the last 2 years, there have been 3 major water main failures ▪Last year, all 3 pump stations were down at the same time. Here’s My Logic ▪First, the utility business lost $1.7 million in the last audited report that came out earlier this year. (FY 23/24) ▪The utility Enterprise is losing money every single month. ▪We are already in violation of our loan covenants on existing loans. ▪In the last 2 years, there have been 3 major water main failures and ▪All 3 pump stations were down at the same time. ▪Repairs on the pump stations are becoming more expensive because spare parts have to be custom made. Here’s My Logic ▪First, the utility business lost $1.7 million in the last audited report that came out earlier this year. (FY 23/24) ▪The utility Enterprise is losing money every single month. ▪We are already in violation of our loan covenants on existing loans. ▪In the last 2 years, there have been 3 major water main failures and ▪All 3 pump stations were down at the same time. ▪Repairs on the pump stations are becoming more expensive because spare parts must be custom made. ▪By not passing last year’s M218 water study, Seal Beach has incurred a $5.1 million loss in revenues. Here’s My Logic ▪First, the utility business lost $1.7 million in the last audited report that came out earlier this year. (FY 23/24) ▪The utility Enterprise is losing money every single month. ▪We are already in violation of our loan covenants on existing loans. ▪In the last 2 years, there have been 3 major water main failures and ▪All 3 pump stations were down at the same time. ▪Repairs on the pump stations are becoming more expensive because spare parts have to be custom made. ▪By not passing last year’s M218 water study, Seal Beach has lost $5.1 million in lost revenues. ▪The longer we wait to do these capital improvement projects the more expensive they’ll get. Vote “YES” on Option 1 ▪I urge my colleagues to join me in doing what is best for the future of Seal Beach, insure our ability to access running water and flush our toilets, ▪vote “YES” on Option 1